New Delhi, Nov 19 (IANS): The Asian Development Bank (ADB) Wednesday said it would provide a $350 million loan for upgradation of district roads in Madhya Pradesh.

"The Asian Development Bank has approved a $350-million loan to upgrade district roads in Madhya Pradesh," the ADB said in a statement.

"The loan, which is ADB's first in the district roads sector in India, will address a neglected part of ongoing road network upgrades, with these secondary roads providing a key link between rural roads and State highways," Ravi Peri, principal transport specialist in ADB's South Asia department said.

The project will upgrade 1,600 km of district roads in the state through lane widening, surface improvements, and strengthening of culverts and bridges.

The ADB loan will provide 70 percent of the $500 million project, while the Madhya Pradesh government will dispense the remaining $150 million.

The Manila-based multilateral body said roads under the project will also be covered under an accident response system being developed by the state and ADB.

"The state is pioneering this initiative to create insurance links that will finance the immediate hospital treatment costs for road accident victims," ADB said.

As part of the project, expected to be completed by April 2018, 5-year performance-based maintenance contracts will be taken up along with the construction contracts to ensure a high standard of road construction and good maintenance, ADB added.