Akshay Azad
Jammu, Feb 1: Facing acute financial hiccups, the State Government has not taken up any new road or bridge construction project from any district of state except Samba, to fund the same by National Bank for Agriculture and Rural Development (NABARD).
Sources informed Early Times that NABARD provides loan to various State Governments under Rural Infrastructure Development Fund (RIDF) head, for completion of ongoing or new infrastructure projects in rural areas. However, no headway has been made in almost all the districts as far as construction projects are concerned.
"The State Government generally fixes its ceiling limit and apprises NABARD about the same, following which the latter sanctions loan...... This is later paid in installments by State Government again to NABARD", sources said, adding that several road and bridge construction projects were taken up across state in the last three years, for which the funds were provided by State Government from loan taken by NABARD.
Sources further said that the liabilities of contractors, who had executed various works under NABARD in the last three years, have reached around Rs. 750 Crores. "The ceiling fixed by State Government is only Rs. 300 Crores", sources said, adding that for the financial year 2013-14, only Rs. 300 Crores would be released by NABARD.
Even after release of Rs. 300 Crores, the liability of contractors over State Government would remain at Rs. 450 Crores, sources said, adding that if State Government would enhance the ceiling, the state would have been in a position to take some projects from various districts.
"Due to weak financial condition of State Government and its failure to enhance ceiling no new road or bridge construction project in any rural area of 19 districts of state have been taken up for ongoing financial year under NABARD", sources said, adding that only eight projects of district Samba have been taken up by the concerned department for execution of same.
Pertinently, NABARD, following the direction from Government of India, set up Rural Infrastructure Development Fund (RIDF) in 1995-96, to extend financial assistance to the State Governments, Government owned Corporations, Grama Panchayats, Self Help Groups and Non Government Organisations for completing ongoing or new infrastructure projects in rural areas. |
