The World Bank Group has announced an additional loan of USD 1 Billion to India as part of the social sector technology fund. This is expected to boost the nation’s spending capabilities towards urban poor and migrant labourers and also enable India to integrate about 400 social security schemes technologically as it combats Covid-19.
Earlier in April, the World Bank had announced a loan of USD 1 Billion to India to boost its health sector.
Also Read: Firm up ties with India to punish China for its COVID-19 atrocities: US Senator
“The project will be crucial to rebalance social security towards urban poor, as much as rural,” said Junaid Ahmad, the Country Director at World Bank.
Out of this USD 1 Billion, USD 550 Million will be in the form of credit from the International Development Association (IDA), USD 200 Million will be a loan from the International Bank for Reconstruction and Development (IBRD). Both IDA and IBRD are constituents of the World Bank Group.
Last month, the Bank had approved a loan of USD 160 Billion in emergency cover to nations who are dealing with the impact of this deadly coronavirus.
Prime Minister Narendra Modi has also announced a package amounting to USD 266 Billion which is about 10% of India’s GDP.