World Bank boost to tourism projects

BHUBANESWAR: The tourism sector in Odisha is likely to get a fillip with International Finance Corporation (IFC), the lending arm of World Bank, evincing interest in the state. An IFC delegation on Wednesday held discussions with tourism department officials here and agreed to provide the technical know-how.

Department sources said IFC would help to expedite two long-pending projects — Shamuka beach project in Puri and Dhauli Peace Park in Bhubaneswar — stuck in limbo due to operational hiccups. Both the projects, announced in 2004, are yet to see the light of day due to slow pace of land acquisition and infrastructure development.

“IFC would work as transaction adviser and recommend components that would ensure better tourist footfall at these sites. The agency would also arrange for a consultancy to draw project designs and bring in investors. It would also facilitate loans for the investors,” tourism director Manoranjan Pattnaik told TOI.

The ambitious Rs 200 crore Shamuka project envisages establishment of a chain of star hotels, restaurants, parks, golf courses, street bazaar, convention centres, art and craft museum, hospitality institute and high-end condominiums on sprawling 3,000 acre, facing the sea at Sipasarubali in Puri. The project was announced with an objective to provide additional recreational facilities to tourists, whose leisure has been limited to Jagannath Temple and beach.

At the meeting, the IFC reportedly advised the government to scale down the plan and start off with one five-star hotel, three three-star hotels, a museum, a craft bazaar and an amusement park.

Official sources said the government has so far acquired only 972 of the 3,000 acre. State-run Odisha Industrial Infrastructure Development Corporation (Idco) is developing infrastructure like road and electricity. The tourism department recently released Rs 9 crore to Idco for infrastructure development of Shamuka project.

For the proposed Dhauli Peace Park, the IFC has suggested creation of a museum with interpretation centre that would highlight the legends and other historic significance, involving the Kalinga War. “There will be a retreat centre, gardens and cafeterias for tourists,” Pattnaik said.

Land acquisition has been a major hurdle in the project. The tourism department has taken possession of only 46 of the 132 acre, sources said. 

World Bank boost to tourism projects