The World Bank’s Board of Executive Directors has approved financing for a new project to improve highway efficiency, resilience, and safety across the Indian state of Rajasthan. The project will benefit more than 3 million people and improve connectivity to stimulate job creation in economic corridors across the agriculture, industrial, mining, and tourism sectors.
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Rajasthan is one of India’s largest states and serves as a critical gateway connecting 40 per cent of India’s markets. Although the state has had an annual growth rate of 11 per cent between 2015-16 and 2023-24, the state’s road infrastructure has not kept pace, the World Bank said in a statement.
“The Rajasthan Highway Modernisation Project (USD 225 million) will support the transformation of Rajasthan State Highway Authority into a modern, service-oriented highway agency, while upgrading and maintaining about 800 km of selected highway corridors, making them safer, climate-resilient and more reliable for commuters. The project will place strong emphasis on improving road safety management to reduce fatalities and improve safety across Rajasthan,” it said.
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The USD 225 million loan from the International Bank for Reconstruction and Development (IBRD) has a final maturity of 35 years, with a step-up loan feature, including a grace period of 5 years, it added.