The World Bank (WB) has approved a $107 million credit project for India that will enhance Mizoram and other northeastern states’ road links with Bangladesh and Myanmar.
WB Board of Executive Director’s approved the credit for Mizoram State Roads II– Regional Transport Connectivity Project on June 12 in Washington, a WB press release said.
“The link to Bangladesh will facilitate greater bilateral trade and access to the Port of Chittagong– the nearest shipping port for the northeastern region of India.”
The press release read: “The link to the border with Myanmar will facilitate connectivity to Myanmar and the rest of East Asia and beyond. The impacts on trade and employment will be felt at two levels, intra-state and between Mizoram and neighbouring states and countries, namely Bangladesh and Myanmar.”
Mizoram’s road network is of poor quality and under developed, and has among the lowest density in all of India, the WB press release stated.
It said: “Prices for basic staples like rice, sugar, tea and tomatoes can cost as much as three times more in Mizoram and other northeastern states when compared with most Indian cities or neighbouring countries like Bangladesh.”
The Project will be financed by a credit from the International Development Association (IDA)– the World Bank’s concessionary lending arm- which provides interest-free loans with 25 years to maturity and a grace period of five years.