Srinagar: Road tax, water connection charges, taxes on petrol and diesel, and extraction of timber up to the “full permissible limit” – as much as 80 lakh cubic feet (cft) – will go towards repaying loans to banks of Rs 1,500 crore that the J&K Government is planning to borrow at a rate of 8.5% interest.
The Jammu and Kashmir Infrastructure Development Finance Corporation (JKIDFC), the government undertaking formed in 2018 to speed up pending, unfunded or languishing infrastructure development projects in JK, has already invited expressions of interest (EOI) from banks for lending Rs 1,500 crore. The corporation will pay an interest rate of 8.5 percent on the borrowed amount, it has declared.