The State Government has sought scaling up of allocation from the National Bank of Agriculture and Rural Development (NABARD) to the extent of Rs 10,000 crore to boost rural infrastructure.
Finance Principal Secretary Vishal Dev is coordinating such an effort as NABARD is allocating funding under various programs such as Rural Infrastructure Development Fund (RIDF), Rural Infrastructure Assistance to State Governments (RIAS) Warehouse Infrastructure Fund (WIF) and Long Term Irrigation Fund (LTIF).
Out of Rs 10,000 crore, breakup is Rs 5,000 crore from RIDF, Rs 4,500 crore from RAIS and Rs 500 crore from LTIF programmes. Recently, Chief Secretary SC Mahapatra has also written to the NABARD Chairman to hike the RIDF allocation. During 2021-22, Odisha got allocation of Rs 3,000 crore under RIDF and received sanction of Rs 1,287 crore.
However, looking at the demand for more rural infrastructures, the State Government has intimated the NABARD to allocate Rs 5,000 crore under the RIDF programme.
NABARD Chairman Dr GR Chintala lauded utilisation of RIDF in Odisha during his interaction with senior State officials and Chief Minister Naveen Patnaik recently. The State has a reputation of consistent ‘Outstanding Performance’ under RIDF.
During the visit of the NABARD Chairman, the State Government communicated its willingness to avail RIAS funding taking into consideration its robust appraisal mechanism inbuilt in the system. While in the country, the NABARD has allocated Rs 40,000 crore under RIDF, Odisha has received allocation of Rs 3,000 crore during 2021-22 and requires Rs 2,000 crore more during 2021-22, sources said.
Odisha has an 83per cent rural population and a low Rural Infrastructure Development Index is posing problem for the people. So, infusion of more funds for improvement of rural infrastructure is highly essential, pointed out a senior official in Department of Finance.
He said requirement of public investment for infrastructure development with focus on rural infrastructure for post-Covid revival of economy is much more needed.
