Bihar has secured a $500 million loan from the World Bank to enhance its urban infrastructure and economic productivity, as approved by the Bihar Cabinet on May 7, 2026.
The loan aims to promote urbanisation and develop integrated urban economic regions, strengthening the state’s economic framework. The Cabinet, led by Chief Minister Samrat Choudhary, also approved AI training for legislative members and state officials.
The Bihar Artificial Intelligence Mission has been established to position the state as a leader in AI, with training enhancing transparency and efficiency across sectors.
In addition, the Cabinet approved the purchase of 400 electric AC buses under the PM E-Bus Sewa Yojana, with a revised subsidy of ₹517.16 crore to support the initiative over 12 years.
Further decisions include transferring 1.85 acres of land to the Airport Authority of India for infrastructure development and extending the Bihar Industrial Investment Promotion Package until June 30, 2026.
Published in SouthAsianDesk, May 8, 2026
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