The World Bank has approved a $600 million loan to the Indian government-run power transmission company, Power Grid Corporation of India, to strengthen its electricity transmission system.
Announcing the loan backed by Government of India guarantee, the bank said in a statement that the Fourth Power System Development Project would aim to reduce transmission losses and cut the cost of energy through further investments in its systems.
The project is part of the bank's long term partnership with Power Grid, initiated when the firm was formed in 1989.
"Despite a booming economy, India's growth potential is constrained by inadequate electricity services and limited power generation and supply infrastructure... The power sector has improved in recent years, albeit