G-8 action will havt no effect for now

  • 13/06/1998

Montek : The decision of the G-8 countries to block all future non-humanitarian loans to India, will not affect the inflow of funds during the current financial year as these have already been sanctioned, said finance secretary Montek Singh Ahluwalia on Saturday. The joint blockade by the developed countries could, however, affect fresh loans. The annual external aid to India is about Rs 10,000 crore, which comes mainly from multilateral agencies such as the World Bank and the Asian Development Bank (ADB). In the 1998-99 budget, the government has taken credit for Rs 9,994 crore on account of external aid, which has already been sactioned.