ADB signs loan agreement with GoI for BUDIP II

The Asian Development Bank (ADB) has signed a loan agreement worth Rs 5,436.94 million ($84 million) with the central government for the Bihar Urban Development Investment Program (BUDIP) II. BUDIP II was approved by ADB as a part of the Rs 12,951 million ($200 million) multi-tranche financing facility in 2012 to provide sustainable urban infrastructure and services in Bhagalpur and Gaya. The total estimated cost for the second tranche is Rs 7,770.6 million ($120 million). In Gaya, the programme will support civil works to increase water supply capacity and improve the distribution network through the construction of 24 tube wells to augment water sources by 58 million litres per day (mld), the rehabilitation of 29 tube wells with a combined capacity of 68 mld, etc. Besides, in Bhagalpur, it will undertake bulk water supply that will support the ongoing distribution networks being implemented under Tranche I.