India

World Bank approves $188.2 million loan to Maharashtra

December 4, 2024

World Bank approves 8.2 million loan to Maharashtra

The World Bank Tuesday approved a $188.28 million loan to Maharashtra to help the state achieve a more balanced development as only seven out of 36 districts contribute to more than half of the $500 billion state GDP.

The loan is granted under the World Bank’s program “Maharashtra Strengthening Institutional Capabilities in Districts for Enabling Growth,” and has a maturity of 15 years, including a grace period of 5 years.

According to the World Bank press note, the program aims to “strengthen the capacity of the district administrations to identify growth opportunities, facilitate private sector participation and use data for evidence-based planning and decision-making.”

The districts that are lagging in growth are plagued with issues such as unavailability of credible and timely data, multiple agencies operating in silos and other governance challenges.

The investment under the program will allow districts access to necessary data and funds and build expertise to maximise the value of public money invested in driving growth and job creation.