New Delhi: The Government of India and the World Bank have signed a $200 million loan agreement for the Assam’s agribusiness and rural transformation project.
The project will support the Government of Assam to facilitate agri-business investments, increase agricultural productivity and market access, and enable small farm holders to produce crops that are resilient to recurrent floods or droughts in the state.
The Agreement for the Project was signed by Mr Sameer Kumar Khare, Joint Secretary, Department of Economic Affairs, Ministry of Finance, on behalf of the Government of India; Mr Ravi Kota, Principal Secretary, Finance, Government of Assam, on behalf of the Government of Assam; and Mr. Hisham Abdo, Operations Manager, World Bank India, on behalf of the World Bank.
After the Agreement, Mr Khare, Joint Secretary, Department of Economic Affairs, Ministry of Finance said that Assam is simplifying several regulatory procedures related to doing business, agricultural marketing, and fisheries amongst others. He said that the project will help the State increase agricultural productivity by strengthening the farming systems, raise private sector investments to promote agri-enterprises which will create better job opportunities for the youth in the State.
The $200 million loan from the International Bank for Reconstruction and Development (IBRD), has a 7-year grace period, and a maturity of 16.5 years.