The World Bank issued a clarification on loan arrangement for Amaravati continues and made it clear that the inspection of land pooling will not impact financing the capital construction project.
“We would also like to clarify that the Inspection Panel process does not affect project preparation or implementation, and that, in the case of the Amaravati Sustainable Capital City Development Project, the Bank team will continue to work with the government to strengthen the preparation and design of the Bank-financed investments as per the agreed schedule”, said the press release.
It may be recalled that farmers have written to the world bank that the project about the forceful land acquisition of agriculture lands and resettlement issues. Several reports emerged that financing of the project is dependent on the Inspection Panel report.
However, as per the statement, the board is yet to decide if the Inspection Panel will carry out the investigation or not. Incase the process of due diligence is proposed, the Bank noted that it will take several months and will not impact project preparation activities.
The Bank is preparing an IBRD loan of US$300 million co-financed by a US$200 million loan from the Asian Infrastructure Investment Bank (AIIB) for Amaravati Capital City development project.
