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Maharashtra PWD Minister Ashok Chavan on Monday said his government was planning to obtain loans to the tune of Rs 15,000 crore from the Asian Development Bank at a nominal rate to build roads and clear the work backlog in the state.
Speaking to reporters here, Chavan said the backlog in road work had gone up and the funds required would be more than what the state budget has allocated.
“The MVA government is planning to take a loan of Rs 15,000 crore from the Asian Development Bank at a nominal rate of interest ranging between 1 per cent and 1.5 per cent,” he said.
“The process of getting cabinet sanction for this loan application is underway. We are also planning to raise funds through asset monetization. Last year, fund allocation for road works was 30-40 per cent due to the coronavirus outbreak.
This year, we will need more funds,” Chavan added.
He added that restrictions placed on the Shiv Jayanti celebrations, scheduled for February 19, were due to the coronavirus outbreak.
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