By Meghaa Gangahar
World Bank CEO, Kristalina Georgieva, recently announced the Banks decision to lend $1 billion to Maharashtra for the completion of two projects in the fields of urban transport and climate change, over the course of 2-3 years.The first area of investment is the third phase of the Mumbai Urban Transport Project (MUTP- III), while the second is the Climate Resilient Agricultural Project set up in the drought-stricken areas of Vidarbha and Marathwada. The loan will be given at a Libor Plus interest rate, spanning a period of 18-20 years.
Travelling the Mumbai way
On her two-day visit to India, Kristalina Georgieva opted for the first-hand experience of commuting like a Mumbaikar, by travelling in the second-class coach of a Mumbai local train. Her journey from Churchgate to Dadar included conversations with local travellers which helped her gauge the challenges of the public transportation system. She concluded that there is scope for improvement which required massive investment in transport infrastructure. She shared her views and pledged the amount in a meeting with Maharashtra’s Chief Minister, soon after her journey ended.
The assistance is expected to improve transportation in the metropolis, seeking to decongest the train system and increase its efficiency. One of the strategies is to provide alternate train routes to expand the suburban network. The World Bank CEO also voiced another concern-the safety factor. There is a dire need to upgrade the infrastructure by improving the interior and exterior of the trains as well as the platforms. Achieving this will ensure a safer voyage for the eight million daily travellers who are, quite literally, hanging on the edge.
Good news for the farmers
A large portion of rural Maharashtra has been victim to dry spells and acute water shortage. In the wake of climate change awareness, it is necessary to assist those worst affected, the farmers. Since a majority of Indians still engage in primitive farming, the need to assist them becomes all the more necessary. The Climate Resilient Agricultural Project seeks to promote efficient use of water, encourage the pattern of multi-cropping and improve agriculture productivity. It also advocates appropriate land use in the 5000 drought-prone villages of Vidarbha and Marathwada. These measures will help farmers safeguard their land and mitigate the effects of adverse climatic conditions.
India, the future leader?
This is the largest amount that the World Bank has ever invested in any Indian state.The World Bank has been closely associated with Maharashtra in the past having invested over $1.4 billion over the last five years, in the second phase of the MUTP and the areas of agriculture, rural water supply and sanitation.
Kristalina Georgieva has stated that India is a laboratory for the world to learn about what works in development. The Indian economy currently features a booming middle-class that is directly impacting global growth. The World Bank believes that Indias achievements in development especially in health and education can help the world come closer to its sustainable development goals and is, therefore more than willing to extend a helping hand to India in its endeavours.
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