French body to provide Rs. 740 crore loan for Jodhpur water project

New Delhi, Feb 2 (ANI): To inprove water supply in Jodhpur, the French Development Agency (AFD) has given approval for the loan of Rs. 740 crores for the reorganising of Jodhpur Water Supply Project.

A Memorandum of Understanding (MoU) regarding this was signed between Joint Secretary (Economic Affairs), in the Finance Ministry Prabodh Saxena and Additional Chief Secretary (PHED), Rajasthan Ram Lubhaya, in the presence of French Ambassador Francois Richier on Thursday in New Delhi.

Ambassador Richier said France and India share one common priority, and that, is to help and work on sustainable development in the field of water management.

He informed that there is another project of water management in Nagpur in Maharashtra.

The AFD functions as a public development bank and a bilateral agency of France to support economic growth in over 60 developing countries.

The loan has been sanctioned on a floating rate of interest as "six-monthly Euribore" flat which is currently 1.425percent p.a. and the principal sum is to be repaid in the duration of 15 years after the execution period for five years.

To provide 24 hour water supply to the people of Jodhpur, Rs.550 crore would be spent in the first phase of the Reorganised Jodhpur Water Supply Project. The French outfit would provide loan of worth Rs. 440 crores. A loan of Rs. 190 crore for the second phase of the project has been approved in principle.

Under the project water would flow with gravity, while high technique pumping stations would help to save electricity. The areas of Mandor, Mahamandir and Pavta face a drinking water problem and sreps are neing taken to provide adequate water settlement developed on Nagaur Road, Jaipur Road and Pali Road would also get proper drinking water supply. (ANI)