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ADB to lend $84 mn to improve water supply in Bihar

IANS  |  New Delhi 

Multilateral lending agency (ADB) on Friday signed an agreement with the to lend $84 million to improve water supply in two cities of

"The government of and the signed a $84-million loan today (Friday) for improvement and expansion of water supply in Bhagalpur and Gaya towns in Bihar," the Union Ministry of said in a statement.

This is the second tranche of the $200-million multi-tranche financing facility (MFF) for the Urban Development Investment Program that was approved by the ADB in 2012 for four cities -- Bhagalpur, Gaya, Darbhanga and Muzaffarpur.

"The Project 2 will improve access to better quality and sustainable water supply for the people of Bhagalpur and Gaya towns. It will also promote better water management practices that will result in a citywide coverage with 24-hour uninterrupted supply of treated water of 135 litres per capita per day in both cities," said Sameer Kumar Khare, (Multilateral Institutions), Department of Economic Affairs, Ministry of

The loan agreement was signed by Khare on behalf of the Indian government, ADB and government Resident

"The loan finances will support civil works sub-projects and would benefit 1.1 million people in the two project towns with increased coverage of treated water supply by 2021; train 400 urban local body (ULB) staff in the management and operation and maintenance of water supply systems, and help ULBs improve technical and of the water supply operations," said

The two cities would achieve the goals or match many of the national averages for urban service delivery performance in The investment programme will assist ULBs in designing affordable tariffs for cost recovery, said the ministry.

The loan will have a 25-year term, including a grace period of five years.

--IANS

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(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Fri, February 23 2018. 18:24 IST
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