Union Cabinet approves raising budgetary support Rs.9020 cr for Irrigation fund

16 August, New Delhi

The Union Cabinet has approved raising extra budgetary resources up to 9,020 crore rupees for Long Term Irrigation Fund in 2017-18.

Briefing reporters after the meeting, Finance Minister Arun Jaitley said, the amount will be raised by NABARD through Bonds.

The Fund seeks to make loans from NABARD attractive for states by ensuring lending rate of 6 per cent per annum.

The loans are for implementation of Accelerated Irrigation Benefits Programme works of 99 ongoing prioritised irrigation projects under Pradhan Mantri Krishi Sinchayee Yojana.

The completion of projects will generate immediate wage and other employment opportunities during the construction phase.

The utilisation of irrigation potential of 76 lakh hectares is expected to transform the agriculture sector in the region resulting in more employment opportunities.