Bhubaneswar: The World Bank’s Board of Executive Directors on Monday approved a $100 million loan to help Odisha strengthen its early forecasting systems for improved response to disasters and enhance its social protection coverage for poor and vulnerable households through digital platforms.
According to the World Bank, Odisha is vulnerable to natural disasters with cyclones hitting the state every 15 months on average. The state’s 480 km coastline is also exposed to tsunami risk. Recurrent disasters significantly impact economic activities including agricultural production, infrastructure and access to health, education, and jobs.
The Odisha State Capability and Resilient Growth Programme will help reduce losses caused by natural disasters through a multi-hazard digital warning system and strengthen the state’s data collection efforts for better resilience planning. The programme will also increase social protection coverage through a cash transfer program, with coastal and underserved communities receiving assistance through online delivery platforms (Mo-Sewa Kendras), the World Bank said in a press release.
“The programme will help the Government of Odisha scale up existing social protection systems to better protect vulnerable households from climate shocks,” said Auguste Tano Kouame, the World Bank’s Country Director for India. “The proposed engagement complements reform priorities identified by the Government of Odisha while building on the extensive program of technical assistance provided by the World Bank to the state over the past decade,” he added.
The new programme will support the state’s efforts to enhance digital social service delivery systems.
“Better data and delivery systems can lead to stronger resilience. The programme can help the state address risks and gender gaps in social protection programs and allow for future planning,” said the Task Team Leaders for the project Shrayana Bhattacharya, Ambrish Shahi, and Samik Sundar Das.
The $100 million loan from the International Bank of Reconstruction and Development (IBRD) uses the Programme-for-Results (PforR) financing instrument that links the disbursement of funds directly to the achievement of specific program results. The programme has a maturity of 12.5 years with a grace period of three years.
