Ideas from India
World Bank and IMF have competition from China and India in the developing world.
Economic Times reports that with an eye on making Indian funding attractive amid massive Chinese funded projects in the developing world, the Modi government has approved the new Indian Development Assistance Scheme (IDEAS) to streamline Lines Of Credit (LOC) offered to various countries in South Asia, SE Asia, Africa and Central America emphasizing on timely completion of projects.
Timely completion of projects under Line Of Credit scheme and other assistance programs across countries have been key complaint of the recipient countries. Several factors including delay in release of funds to audit system for projects abroad based on Indian rules contribute to projects missing deadlines. The recipient countries have been raising the delay factor with India in various bilateral meetings or in meetings on the sidelines of multilateral meets.
However, hoping to reverse this trend the Modi government has updated the IDEAS scheme this month. The initiative includes provisions to provide better terms of credit, which will be attractive to many developing countries, who are now seeking alternative means of finance, according to MoS (External Affairs) V K Singh.