New Delhi: In what signals a shift in multilateral lending agencies’ approach to finance infrastructure projects in Indian border areas that abut China, the Asian Development Bank (ADB) on Thursday articulated its willingness to fund projects in India’s north eastern (NE) states, including Sikkim. This is significant because previously multilateral lending agencies, including the World Bank, have been unwilling to fund projects in the so-called disputed border states of India. ADB plans to invest $5 billion over the next five years for creating infrastructure in less developed Indian states. As part of Japan’s growing engagement with India, the Japan International Cooperation Agency (JICA) had first signalled its willingness in 2015 to finance infrastructure projects in Indian areas bordering China. China claims 90,000 sq.km of Indian territory in Arunachal Pradesh and occupies around 38,000 sq.km in Jammu and Kashmir.

Source: Mint June 30, 2017 03:33 UTC