Telangana Govt to give guarantee for Rs 784 crore HUDCO loan

Telangana government decided to give guarantee for the State Industrial Infrastructure Corporation to obtain a loan of Rs 784 crore from HUDCO, a central PSU.

The loan is to develop National Investment and Manufacturing Zone (NIMZ) at Medak and a pharma NIMZ in Hyderabad.

The decision to give guarantee for the Corporation to obtain a loan of Rs 784 crore from HUDCO was taken at a meeting of Telangana cabinet, a release from the Chief Minister's Office said.

NIMZs are mega industrial zones or integrated townships with world-class supporting infrastructure.

Government also decided to give guarantee for the Agriculture Department to obtain a Rs 1,000-crore loan from NABARD, it said. The loan is to promote micro irrigation.

In other decisions, the cabinet alleged the Andhra Pradesh government is spreading "lies" about the irrigation projects undertaken by Telangana on Krishna and Godavari rivers and decided to approach the Centre over the issue.

Alleging that AP government is writing letters to the Centre with "lies" though Telangana is building projects as per its share of water in Krishna and Godavari, the cabinet decided that a team led by Irrigation Minister T Harish Rao should go to Delhi.

The team should meet Union Minister (for Water Resources) and the officials of Krishna Board (River Management) to "explain the facts", the release said.

The cabinet endorsed the agreement entered into by Telangana with Maharashtra regarding construction of projects on Godavari river, it added.