14.1 During 1966 to 1976 Italy had provided government credits of Lira 33,125 Million for Fertilisers and Debt Relief. Apart from this, Italian assistance was mostly in the form of suppliers credits. The amount of Suppliers credit offered upto 1981 was US$ 401 million against which the utilisation upto 30th September 1982 was US$ 328 million. This facility was available only upto 30th September, 1982 and is not operational any more.
14.2 In February 1981 an Inter-Governmental agreement was concluded for technical cooperation under which Italy agreed to provide expert services and related equipment on grant basis for specific and approved projects. During the Indo-Italian cooperation meeting held in June, 1996, the Italian side informed that technical cooperation grant projects would not be considered any more.
14.3 Since 1981-82, a total of US$ 161.2 million and DM 144.2 million of soft credit has been utilised. The credit carries an interest rate of 2% per annum and is repayable over 20 years including a grace period of 10 years.
14.4 The details of the Loans are given in Annexure I.