Announcement of India Strengthens Family-Welfare Services in Five States on May 21, 1990

FOR IMMEDIATE RELEASE World Bank 1818 H Street, N.W., Washington, D.C. 20433, U.S.A.* Telephone: (202) 477-1234 Contact: Leandro V. Coronel (202) 477-3641 INDIA STRENGTHENS FAMILY-WELFARE SERVICES IN FIVE STATES WASHINGTON, May 21, 1990 -- More than 22 million women in rural areas of the states of Bihar, Gujarat, Haryana, Jammu and Kashmir and Punjab in India will benefit from the second phase of the country's National Family Welfare Program. This phase of the program will be supported by a loan of $10 million from the World Bank and a credit of SDR 67.10 million ($86.70 million) from the International Development Association (IDA), the Bank's affiliate that lends on concessional terms to the poorest countries. The project aims at expanding and improving the quality of family welfare services in five states. It will also strengthen the management of the country's Family Welfare Program at the national and state levels. Fertility rates in the five states are expected to decline as a result of the project. The $141.50 million project will establish 1,100 community/primary health centers and about 5,000 subcenters; restructure and expand a national Social Marketing of Contraceptives program; and increase assistance to private voluntary organizations. The project will also strengthen family-welfare information, education and communication activities in each of the states. About 400,000 new and existing health workers, mostly women, will be trained in the delivery of improved family welfare services. The World Bank loan is for 20 years, including five years of grace, with a variable interest rate, currently 7.75 percent, linked to the cost of the Bank's borrowings. It also carries an annual commitment charge of 0.25 percent on the undisbursed balance. The IDA credit is for 35 years, including 10 years' grace; it carries no interest, but has annual charges of 0.75 percent on the disbursed balance and a variable charge of up to 0.5 percent, currently zero percent, on the undisbursed balance. NOTE: Money figures are in U.S. dollar equivalents. IDA credits are denominated in SDRs (Special Drawing Rights), which are valued on the basis of a "basket" of currencies. The U.S. dollar equivalent of the SDR amount of the IDA credit reflects the exchange rates existing at the time of the negotiation of the credit.