India has inked a USD 200 million loan agreement with the World Bank to finance the setting up of technology centres to help small enterprises enhance productivity.
“The Loan Agreement for World Bank (IBRD) financing of USD 200 million for Technology Centre System Programme (TCSP) was signed here today between Government of India and the World Bank,” the finance ministry said in a statement.
The TCSP is for setting-up 15 new Technology Centres and to modernise existing 18 TCs at an estimated cost of Rs 2,200 crore (USD 400 million) including World Bank assistance of USD 200 million.
The project aims at enhancing the productivity of MSMEs (Micro, Small and Medium Enterprises) by improving their access to technology and business advisory services as well as skilled workers through systems of financially sustainable technology centres, the statement said.
The pact was signed by Joint Secretary in the Ministry of Finance Tarun Bajaj on behalf of India and Country Director of World Bank Onno Ruhl on behalf of World Bank, it added.
Representatives from the MSME Ministry and the World Bank, among others, were present on the occasion.
The loan is for an implementation period of 5 years. The Office of Development Commissioner, MSME ministry is the implementing agency, the statement said.