The World Bank has approved a sixth and final extension to its Rs 1500 crore Jhelum and Tawi Flood Recovery Project in Jammu and Kashmir, pushing the completion deadline to August 31, 2026. The project, which began in 2016, aims to rebuild critical infrastructure damaged during the catastrophic floods of 2014.
In a letter addressed to India’s Union Finance Ministry, Auguste Tano Kouame, the World Bank’s Country Director for India, confirmed the extension. “We refer to the Financing Agreement between India (‘Recipient’) and the International Development Association (‘Association’), dated January 21, 2016, pursuant to which the Association has provided the above-captioned Credit for the Jhelum and Tawi Flood Recovery Project. We are pleased to inform you that the Association has established August 31, 2026, as the later date for purposes of Section IV.B.2 of Schedule 2 to the Financing Agreement,” the letter read.
The extension, which follows a request by the Department of Economic Affairs (DEA) on November 14, 2024, was granted on an exceptional basis. Kouame emphasized that this would be the final extension for the project, specifically targeted at completing critical infrastructure works, including the Lal Ded Hospital in Srinagar and the construction of four key bridges.
“This extension is specifically focused on the completion of the LD Hospital in Srinagar and the construction of four bridges,” stated the World Bank official in the letter, adding that these projects would have remained incomplete under the previous deadline of December 31, 2024.
The Lal Ded Hospital is envisioned as a state-of-the-art tertiary care gynecological facility, while the bridges are expected to play a vital role in restoring connectivity and aiding economic recovery in flood-affected areas.
Multiple Extensions Since Project Inception
The Jhelum and Tawi Flood Recovery Project has faced numerous delays since its original closing date of June 30, 2020. The project has already undergone five extensions:
- June 2020: Extended to June 30, 2021
- June 2021: Extended to June 30, 2022
- June 2022: Extended to December 31, 2022
- December 2022: Extended to December 31, 2023
- December 2023: Extended to December 31, 2024
The latest extension was granted following a request from the project’s implementing entity on November 9, 2024, which was subsequently endorsed by the Indian government.
With the final deadline now set for August 31, 2026, stakeholders hope to bring the ambitious recovery project to a successful conclusion, ensuring that the region’s critical infrastructure is restored to support its people and economy.
