India signs loan agreement with ADB for road improvement in Karnataka
The Government of India (GoI) has signed a $346 million million loan agreement with the Asian Development Bank (ADB) for Karnataka State Highways lmprovement lll Project (KSHIP-lll). Under KSHIP-III, about 419Kms of state highways will be upgraded to two- and four-lane roads and will involve reconstruction as well as widening and strengthening of bridges and culverts. It will enhance connectivity and access to economic centers across 12 districts in the state. The key element of the project is the use of hybrid annuity contracts to increase participation of private sector and improve quality & sustainibility of road assets with performance based maintenance period of 7 years post construction. The project will also carry out a road safety audit to identify and mitigate critical accident blackspots across the state highway network and strengthen the institutional capacity of the Karnataka Public Works, Ports, and lnland Water Transport Department (IWTD).