India signed a Financing Agreement for Second Elementary Education Project (Sarva Shiksha Abhiyan II) with the World Bank, here today for a total assistance of US $ 600 million. The project aims to significantly increase the number of 6-14 year old children, especially from special focus groups, enrolled, regularly attending and completing elementary education and demonstrating basic learning levels. There are two key thrusts of activities financed under the project viz (i) Improving quality with equity; and (ii) Universalizing access and promoting equity.

The Agreement was signed by Shri M. Prasad, Joint Secretary, Department of Economic Affairs, Ministry of Finance on behalf of Government of India and Mr. Rachid Benmessaoud, Acting Country Director on behalf of the World Bank.

The World Bank's efforts to assist with US $ 600 million have been supplemented by two other external development partners, namely, Department for International Development (DFID, UK) and European Commission with US $ 375 million. The total cost of SSA II project is around US $ 10,700 million; so the external development partners are financing about 11% of the project cost. The closing date of the project is 31.3.2010.

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/SS/GN-194-08

Financing agreement advances elementary education project, linking external development financing to universal access and quality with equity. Signing of a Financing Agreement formalises external financing for the Second Elementary Education Project, with the World Bank as principal financer and additional co-financiers, and establishes project aims to increase enrolment, attendance, completion and basic learning among 6-14 year olds, prioritising special focus groups and organised around improving quality with equity and universalising access and promoting equity.