VIJAYAWADA: The World Bank governing board has stamped its final nod for grant of Rs 6700 crore loan for Amaravati.
Although, WB gave its in principle consent almost two months ago, the board approved the proposal at a meeting on Thursday. Asian Development Bank (ADB) last week cleared a loan proposal for Rs 6800 crore to take up different projects in Amaravati.
The World Bank in its document said that the development of Amaravati capital city is divided into two phases based on land availability and strategic investment needs. Phase-1 focuses on constructing public buildings, basic trunk infrastructure, and neighborhood infrastructure for Zones 1–7 and Zone 10, while phase 2 will cover the remaining trunk infrastructure and neighborhood services for other zones.
Environmental and Social Systems Assessment (ESSA) has been undertaken primarily for the proposed Phase-1 activities, parts of which will be supported by the operation, the Amaravati Capital City Development Program (ACCDP), financed by the World Bank and the Asian Development Bank (ADB).
The Centre had in fact requested World Bank for the development of Amaravati in 2016 through the Amaravati Sustainable Infrastructure and Institutional Development Project (ASIIDP), but withdrew the request for financing in 2019 following the change in the then state govt’s priorities. The proposal was once again revived in 2024 following the change of regime in the state.
As part of the preparation for the ASIIDP, APCRDA had prepared key safeguards documents, including the Environmental and Social Management Framework (ESMF), Resettlement Policy Framework (RPF), Environmental Impact Assessments (EIAs), and Environmental Management Plans (EMPs) and Resettlement Action Plans (RAPs) for proposed interventions such as priority roads, building infrastructure and flood mitigation works.
