World Bank $500m Loan To Develop India’s Green Highway Corridors
The Government of India has signed a $500m loan agreement with the World Bank for the development of green, resilient and safe highways in India. The funding will be utilised for the construction of green national highway corridors in Indian states, including Rajasthan, Himachal Pradesh, Uttar Pradesh and Andhra Pradesh. The Green National Highways Corridors project is expected to improve the capacity of the Ministry of Road Transport and Highways (MoRTH) in mainstreaming safety and green technologies. It will support MoRTH to build 783km of highways across various locations in India by integrating safe and green technologies including local and marginal materials, industrial byproducts, and other bioengineering solutions. Upon completion, the project is expected to provide seamless connectivity and reduce logistics costs and greenhouse gases (GHG) in the construction, as well as the maintenance of highways. It will also support analytics to map the freight volume and movement pattern on the National Highway network, identifying constraints and provide innovative logistics solutions. The Green National Highways Corridors project will strengthen and further broaden the existing structures. It will also support the construction of new pavements, drainage facilities and bypass roads, improve junctions; and introduce road safety features. The World Bank said that the loan amount is being provided by the International Bank for Reconstruction and Development (IBRD) and will have a maturity of 18.5 years along with a five-year grace period. This operation brings these two priorities together in support of India’s growth strategy. This project will provide efficient transportation for road users in the four states, connect people with markets and services, promote efficient use of construction materials and water to reduce the depletion of scarce natural resources, and help lower GHG emissions.