Vijayawada: The World Bank has given enough indications that it will help the state in other sectors for dropping the $300 million loan for the capital city construction. There is every possibility of an increase in the quantum of aid.
The World Bank had earlier dropped the proposal of funding the Amaravati Sustainable Infrastructure and Institut-ional Development Project, citing non-compliance with its policies, especially those related to settlements with affected parties besides flaws by the previous government in its approach and dealing with ‘subjects’.
A top official of the Chief Minister’s Office (CMO) said that the Washington-based Bank was not averse to extending a loan to the Y.S. Jagan Mohan Reddy government should it mention its priorities.
The chance of increasing the quantum of loan was not ruled out by the Bank.
“The priorities of the AP government have been well-defined, drafted and are in the public domain with categorical and explicit details of the Navaratnas which will benefit all sections of the society besides improve the quality of life of the citizens,” he said
“The main reasons behind the World Bank backing out of the Amaravati Capital City project were considered to be rampant corruption besides flouting of various socio-economic norms,” said the CMO’s to official.
The TD government invited tenders for infrastructure development even before the World Bank loan details were finalised. The World Bank team (independent accountability mechanism), that toured the proposed city area region from September 13 to 17, 2017, found many irregularities in the tender process which were heavily loaded in favour of contractors, the official said. The CRDA was asked to give an explanation by the Wold Bank Team which visited the place and conducted field-level investigations.
The team found numerous irregularities in land pooling, utilisation of verdant agricultural land for other purposes, agricultural workers losing livelihood, serious environmental violations, the plan of the new proposed capital affecting the course of Krishna river and other issues. The Centre expressed dismay over the World Bank team inspections even before the loan sanction was finalised.
“The team submitted its report on September 27 and amended it on November 27, 2017. The report underwent one more revision on June 26, 2018 and the final Report was filed on Mach 29, 2019. The Team had to take up investigations following a spate of complaints from social organisations and voluntary organisations,” he said.
