Mizoram to get 100 mn USD loan from ADB

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Aizawl, August 19: Asian Development Bank (ADB) will give a structural adjustment loan to the tune of 100 million USD to Mizoram for improving the Government’s finances and service delivery. Informing that the ADB has approved the loan for the Mizoram Public Resource Management Programme, state Finance Department Additional Secretary Vanlalruata today said,’’The programme aims at strengthening service delivery in the education and health sectors.’’
‘’It will also help the Government create fiscal space by taking steps to raise additional revenue from tax and non-tax sources, and improve debt management, including pre-payment of high cost loans,’’ he added.
According to UNI report, Vanlalruata also made it clear that this structural adjustment loan was different from the recently sanctioned ADB loan of 200 million USD under the North Eastern Region Capital Cities Development Investment Programme (NERCCDIP) for five state capitals of North-east India.
Under the NERCCDIP, Mizorams capital Aizawl had been allocated Rs 330 crore, of which Rs 26 crore was expected in the first tranche to address water supply infrastructure. Under the Mizoram Public Resource Management Programme, revamping the state’s costly pension scheme will be another priority, while the programme will also seek to overhaul loss-making public sector enterprises, with downsizing or closure not excluded among the options.
Funds will also be allocated for a voluntary retirement scheme for under-qualified teachers in primary and secondary schools as part of the ongoing efforts to improve the education sector, the official added.