ISLAMABAD, Nov 14: The Asian Development Bank has approved a soft loan of $20.8 million for basic infrastructure and improvement of urban services in 24 urban centres in the NWFP.

According to an announcement made by the local ADB office here on Tuesday, the aim of the NWFP Urban Development Sector Project is to improve the capacity of the local governments to provide, operate, and maintain essential services.

In line with the government’s decentralization programme, it will expedite policy reforms and finance high-priority basic infrastructure schemes involving water supply, sewerage and sanitation, drainage, solid waste management, and local access roads.

The project has two main components: urban development, including infrastructure improvements and community development and participation; and institutional development. It will improve the living conditions of about 400,000 residents by enhancing the quality of life, improving the environment, and creating conditions conducive to sustained urban development and economic growth.