A 69,6 million US dollar credit approved by the World Bank Thursday will benefit 9.200 villages in the Indian state of Uttaranchal.
Over a period of seven years, the Uttaranchal Decentralized Watershed Development Project will maximize the potential of natural resources and increase the income of inhabitants in selected watersheds through socially inclusive, institutionally and environmentally sustainable approaches, the World Bank reports in a press release.
The project builds on the successful experiences of the Second Integrated Watershed Hills Project, also financed by the World Bank.
Numerous studies have shown that the Integrated Watershed project has had several positive impacts. It has increased the agricultural productivity while sustaining the natural resource base. For instance, beneficiaries incomes in project areas rose by 38 percent.
The proposed project will expand the geographical coverage of these successful experiences so as to cover about 300.000 hectares in the middle Himalayas of Uttaranchal ranging from 700 meters to 2.000 meters above sea level.
– The watershed development approach is necessary to sustainably increase the productivity of natural resources and increase the income of inhabitants living in the fragile and erosion prone hills of Uttaranchal, says Talib Esmail, Senior Rural Development Specialist at the World Bank.
– In support of the Government of Uttaranchals decentralization policy, the project will take the concept of participatory development to an advanced level by devolving responsibilities for planning, prioritization, financial management, procurement and implementation to democratically elected village governments. The project will strengthen the capacity of these village governments in a number of critical areas including the promotion of equitable participation by all groups, including the most vulnerable such as women and landless, added Esmail.
The Uttaranchal Watershed Development Project has three main components.
The first one will finance participatory watershed development and management by promoting social mobilization and community driven planning at the village level. In addition to government staff, NGOs will also be contracted to assist in participatory planning. In addition, this component will promote transparency by providing a budget envelop to each village government which will be used to prioritize, implement, operate and maintain village development and watershed investments.
The second component will fund initiatives to enhance livelihood opportunities to farmers. These include the introduction of improved technologies and practices for agriculture and horticulture, and the creation of a pilot agribusiness fund to identify and sustainably develop niche market opportunities by linking up farmers with private sector entrepreneurs.
This component will also fund small income-generating micro-enterprise activities and training for especially vulnerable groups, such as seasonal workers, women and landless farmers.
The third component will fund institutional strengthening of elected village governments (Gram Panchayats) and local community institutions, including the training of elected officials, self-help groups and community organizations in project related activities. Project coordination and monitoring will also be funded under this component.
The Watershed Management Directorate will implement the project. The 69,6 million US dollar interest-free credit, from the International Development Association, carries a 0.75 service charge, a 10-years grace period and a 35-year maturity.
For more information on the World Banks activities in India, visit: www.worldbank.org.in/
