Amaravati, Jan 4 (PTI) Contradicting what UnionFinance Minister Arun Jaitley told the Rajya Sabha, the AndhraPradesh Capital Region Development Authority (CRDA) claimedthe World Bank has already "approved" a loan for developmentof the state capital city Amaravati."They (World Bank) have given the approval to goahead with the project for 30 per cent of the projectcomponents."They have considered (the loan) under the retrofinance category and accordingly we have gone ahead with theproject," CRDA Commissioner Cherukuri Sreedhar said late lastnight.The state-run planning agency had applied to the WorldBank for a loan of USD 500 million.However, Jaitley had said the project is still at theappraisal stage with the international financial body."This project is presently with the World Bank at theappraisal stage, with preliminary assessments and studiescurrently underway."Once project appraisal is completed, the loannegotiation will take place after which the loan will beapproved by the World Bank," Jaitley told the Rajya Sabha onJanuary 2 in reply to a question raised by YSR Congressmember Vijayasai Reddy."In the case of the 'Amaravati Capital CityDevelopment Project', since the loan has not yet beenapproved, there is no utilisation and release of fund underthis project," Jaitley had said.While approval comes after appraisal, according toJaitley, but the CRDA claims approval comes first andappraisal next."That is the World Bank system. Project, evaluation,approval, then appraisal and then contract. So we are in thesystem," the CRDA Commissioner contended.In a 154-page status report brought out in December onAmaravati, the CRDA categorically stated that Rs 14,200 crorewas "sanctioned" by Hudco, the World Bank and commercialbanks, but did not give a break up of figures."That's the World Bank system. You go and ask theWorld Bank," the Commissioner curtly said when asked aboutthe Finance Minister's statement that the project is still atthe appraisal stage.In fact, for close to two years now, the CRDA hadbeen repeatedly claiming the World Bank accorded "in principleapproval", "in principle sanction" and finally "sanction" forthe loan."Yes, they have given written concurrence. They havegiven the approval to go ahead with the project for 30 percent of the project components," Sreedhar said.The CRDA's claims come at a time when the World Bank is looking into various issues related to the capital development project based on the many complaints it received.

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