Patna, Sept. 29: The state government has decided to use the World Bank loan of $84 million in strengthening the panchayati raj institutions.

According to the Bihar Panchayat Strengthening Project, the funds would be used for constructing Panchayat Sarkar Bhavans in selected panchayats of six districts, training of employees and elected representatives of the three-tier panchayati raj institutions (PRIs), afforestation and other social works for the uplift of the rural people.

The six districts are Patna, Nalanda, Bhojpur, Saharsa, Supaul and Madhepura.

“There is a proposal to construct panchayat sarkar bhavans at 1,435 village panchayats from our own state plan. But the World Bank assistance of $84 million will help the government in constructing bhavans in six districts,” panchayati raj minister Bhim Singh, who is also in charge of the rural works department, told The Telegraph.

Stating that each panchayat bhavan would cost Rs 82 lakh, Singh said they would be modelled on the ministry’s building at the Centre, the secretariats in state capitals and the collectorates in districts. People would be able to meet elected gram panchayat members at these buildings.

The state government has been holding talks for the past three-four years to get the loan sanctioned but the Centre last year amended the rule and said the state would have to share 30 per cent of the total project cost while rest can be taken as a loan.

The interest-free loan would be given for 25 years with a grace period of five years.