World Bank warms up to citys needs
MUMBAI: The Maharashtra government and the World Bank are trying to put the past behind, and start afresh. In March this year, the bank had temporarily suspended the $150-m funding to the road and resettlement component of the Mumbai Urban Transport Project being implemented by the Mumbai Metropolitan Region Development Authority (MMRDA) for non-compliance of guidelines regarding resettlement of project affected persons (PAPs). The funding was resumed in June.
On Wednesday, World Bank south Asia region vice-president, Praful Patel, said both the agencies were looking forward to a productive relationship. A World Bank team led by managing director Graeme Wheeler was in Mumbai for a presentation by government officials on a proposal to improve the city infrastructure.
Mr Patel and World Bank acting country director for India, Fayez Omar, said the Maharashtra government had put in an impressive performance on the resettlement of project-affected people. Maharashtra chief secretary DK Sankaran echoed the banks view that differences have been sorted out.
The new-found bonhomie between the two is interesting in the backdrop of the bitterness that had developed after the lending agency suspended aid to MUTP. The bank had cited serious non-compliance of certain resettlement norms by the government.
Asked the reason for this change in perception, Mr Omar said suspension of aid never meant that Maharashtra and the bank were not on talking terms. Suspension of aid does not mean that we will sit back and not try to sort out differences. Thats what we did and resumed funding after we became convinced of the governments efforts on resettlement, Mr Omar said.
The World Bank officials also commended Maharashtras performance on civic reforms. Mr Sankaran said the state, and in particular Mumbai, would see many reforms like property tax revision and the repeal of Urban Land Ceiling Act within six months or even earlier.
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