India signs USD 329 million loan pact with AIIB for Gujarat road project

NEW DELHI: India today signed a loan agreement with Asian Infrastructure Investment Bank (AIIB) for financing of USD 329 million for Gujarat Rural Roads Project, a finance ministry statement said.

The agreement was signed by Joint Secretary (MI) in the Ministry of Finance, Sameer Kumar Khare, on behalf of India and Vice President and Chief Investment Officer, AIIB, D J Pandian on behalf of the AIIB.

"The objective of the project is to improve the rural road connectivity and accessibility (by providing all weather road connectivity) to 1,060 villages in all the 33 districts in Gujarat state benefiting about 8 million people.

"The project will also benefit the service providers such as public transport operators, educational institutions, hospitals, local markets and traders," the statement said.