(a) whether his Ministry has received a proposal from the Government of Kerala regarding declaring the DFID assistance to the State as grant;
(b) if so, the latest position of the said proposal;
(c) whether the same has been concurred with; and
(d) if so, the details thereof?
MINISTER OF STATE IN THE MINISTRY OF URBAN DEVELOPMENT & POVERTY ALLEVIATION ( SHRI BANDARU DATTATREYA )
(a): Yes, Sir.
(b)to(d): Under DFID-UK assisted slum improvement projects,
Ministry of Finance receives funds from DFID and releases the
same to the concerned State Governments. This Ministry had
taken up the matter for release of DFID`s funds as 100% grant to
the State Governments with the Ministry of Finance who informed
that provision of grant being passed on as `grant` is applicable
only to new poverty alleviation projects approved after March,
1999 and not to the on-going projects. Since, Cochin Urban
Poverty Reduction Project was approved on 1.5.1997, Ministry of
Finance have stated that this being an on-going project,
therefore, it will continue to receive DFID`s funds on 70% -
Loan and 30% - Grant basis only.