ADB extends US$252mn loan to fund road construction in five India states

Philippines-based Asian Development Bank (ADB) has agreed to loan the Indian government US$252 million for key road construction projects. The 25-year loan has a grace period of five years, a commitment charge of 0.15% per annum, and the interest rate will be determined on ADB’s LIBOR-based lending facility. The loan will be used to finance the construction of 3,461km of all-weather rural roads in West Bengal, Odisha, Madhya Pradesh, Chhattisgarh and Assam with the first phase scheduled to complete in Decem
April 9, 2013 Read time: 1 min
Philippines-based 943 Asian Development Bank (ADB) has agreed to loan the Indian government US$252 million for key road construction projects. The 25-year loan has a grace period of five years, a commitment charge of 0.15% per annum, and the interest rate will be determined on ADB’s LIBOR-based lending facility.

The loan will be used to finance the construction of 3,461km of all-weather rural roads in West Bengal, Odisha, Madhya Pradesh, Chhattisgarh and Assam with the first phase scheduled to complete in December 2015. The rural roads will benefit 1,600 rural habitations across the five states. The loan is also the first tranche of an $800 million financing facility under the Rural Connectivity Investment Programme.

For more information on companies in this article

Related Content

  • Chinese funding will help pay for Macedonia road project
    October 4, 2013
    In Macedonia a new 50km section of highway will be constructed, with €574 million of financing coming from China's Export-Import Bank. The Exim Bank credit line to Macedonia will be used to build a the highway connecting Skopje and Stip. The new route will also link Stip with pan-European transport corridor 10. The loan will carry an interest rate of 2% and will have a 20 year term with a five year grace period. Macedonia is close to completing work on the corridor 10 road project, which is worth €300 milli
    Read More
  • India plans major infrastucture investment
    April 5, 2012
    India says it turned its Commonwealth Games into a world-class success, and now it aims to do the same with its infrastructure. Patrick Smith reports On October, 2010 India put itself on the world stage, and disaster appeared to loom as a catalogue of problems dogged its biggest ever sporting event. Costing nearly US$2 billion to stage, the most expensive Commonwealth Games ever were, according to some, in doubt. After years of planning some projects were incomplete, there were health scares and a br
    Read More
  • Green roads for India’s Madhya Pradesh State
    November 24, 2023
    Green roads will help to transform India’s Madhya Pradesh State.
    Read More
  • Brazil motorway upgrade programme gets extra US$250mn from IADB
    January 21, 2013
    A US$250 million loan has been agreed for a huge motorway upgrade scheme in southern Brazil. The loan from the Inter-American Development Bank (IADB) means a total of $319.47 million (BRL 650mn) is now available for the Pacto por Santa Catarina programme. The 25-year deal includes a 66 month loan grace period. The first phase of the Pacto programme will include an investment of $163.19 million in ten projects covering 222kms. The projects include the construction of new roads as well as asphalting and recov
    Read More

Highlighted Content