The Asian Development Bank (ADB) meeting held in Manila has approved the proposal to provide a total of Rs. 8000 crores for the construction of the capital Amaravati. The ADB has stated that a loan has been sanctioned to develop Amaravati as a green and smart city. It has revealed that a total of 121.97 billion Japanese yen has been sanctioned.
In this context, the process of releasing funds will begin as soon as the central and state governments and banks give their approval. The total funds to be received in the form of loans will be Rs 16,000 crores, of which Rs. 8,000 crores will be provided by the ADB. Out of the total Rs. 16,000 crores, the World Bank and the Asian Development Bank will provide a loan of 8,000 crores each.
The World Bank will also give its approval to the Amaravati assistance agreement in the World Bank board meeting to be held on the 17th of this month. In the context of receiving funds, the CRDA and the state government have already prepared a complete plan for execution of the works. The tender process for various works is almost complete.
The government will undertake key works with these funds. The government will use these funds to develop the Amaravati region as a growth hub, increase the living standards of the people of the region, provide job opportunities, benefit the farmers who have given land in land pooling, and provide other infrastructure facilities.
The Asian Development Bank India Country Director Mio Oka made key comments on the sanction of this loan. He explained that funds are being allocated for the development of greenfield cities. He commented that more cities are going to be developed in the future. Amaravati is going to become a role model for them.
As part of the development of a green and smart city, infrastructure will be provided in particular. Green spaces will be ensured. Priority will be given to water, sanitation services, and low-carbon transport facilities. Drainage systems will be improved to reduce flood risks. The government will be supported in bringing in investors. Private investment will be created and new jobs will be created that will benefit women and youth.