Amaravati (AP), Jul 19: The World Bank Friday said it 'dropped' the USD 300-million loan proposal for the Amaravati development project as the central government withdrew the financing request, triggering a blame game between the ruling YSRC and opposition TDP in Andhra Pradesh.

"The Government of India has withdrawn its request to the World Bank for financing the proposed Amaravati Sustainable Infrastructure and Institutional Development Project," a World Bank official said in an email response.

The bank's board of executive directors has been informed that the proposed project is no longer under preparation following the government's decision, the official added.

"The World Bank is not in a position to comment on the nature of internal consultations conducted by the Government of India," he said, when asked for the reason behind the Centre's decision.

Andhra Pradesh Capital Region Development Authority Commissioner Lakshmi Narasimham told PTI they received "no communication" from the Department of Economic Affairs (DEA), under the Union Ministry of Finance, on why the Centre withdrew the loan request.

On Thursday, the World Bank posted on its official website that funding proposal for the Amaravati Sustainable Infrastructure and Institutional Development Project has been "dropped".

Sources said it had apparently taken into consideration widespread complaints lodged by farmers in the region on forcible take over of their fertile lands by the previous N Chandrababu Naidu government in the name of land pooling for capital development.

The Inspection Panel, constituted by the World Bank to look into the complains by farmers and non-governmental organisations in 2017, reportedly sought a deeper inspection of the ground situation as the alleged violation of environment and other laws were against the bank's policy for lending.

The World Bank recently wrote a letter to the state government in this regard.

The state, through the Department of Economic Affairs, sought more time to consider the World Bank request as the new government of Y S Jaganmohan Reddy had just set in.

The Centre reportedly did not want the international lender to conduct such a probe as it could "set an unwarranted precedent" and affect other major projects in the country.

The same was communicated to the state government, sources said.

Under these circumstances, the DEA withdrew the request for financing the Amaravati Sustainable Infrastructure and Institutional Development Project, government sources here said.

Chandrababu Naidu blamed the YSR Congress government for the World Bank's action.

"Was it not the YSRC that instigated farmers to lodge complaints with the World Bank? Is not the YSRC responsible for the World Bank going back (on the loan commitment)," he asked during an informal chat with reporters in the Assembly lobby.

The state would henceforth not get any funds for infrastructure projects, he said and alleged the ruling party did not want any development.

Government Chief Whip G Srikanth Reddy hit back, saying the World Bank rejected the loan only because of Naidu's atrocities.

"The Chandrababu Naidu government terrorised farmers, misused the provisions of land pooling and manipulated land records. Farmers complained to the World Bank about this," he pointed out.

The TDP leaders were, however, carrying out a false propaganda that the loan proposal was dropped because of YSRC's complaints, Reddy said.

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New Delhi (PTI): The Congress on Friday said Leaders of Opposition Mallikarjun Kharge and Rahul Gandhi have not been invited to the banquet for Russian President Vladimir Putin, and took a swipe at its own MP Shashi Tharoor for accepting the invite.

Congress general secretary in-charge communications Jairam Ramesh said, "There has been speculation whether the Leader of the Opposition in the Lok Sabha and the Leader of the Opposition in the Rajya Sabha have been invited for tonight's official dinner in honour of President Putin. The two LoPs have not been invited."

Congress' media and publicity department head Pawan Khera accused the government of breaking protocols daily and not believing in democratic principles.

"There is no invite to both the LoPs, Mr (Mallikarjun) Kharge and Mr (Rahul) Gandhi. This comes as a surprise but I don't think we should be surprised. This government is known to be breaching all protocols. What else to say, ask the government," he told PTI Videos on the sidelines of an event.

Asked about party MP Tharoor getting invited to the banquet and accepting the invitation, Khera said, "Ask Mr. Tharoor. All of us who are in the party, if our leaders don't get invited and we get invited, we need to question our own conscience and listen to our conscience. Politics has been played in inviting or not inviting people, which in itself is questionable and those who accept such an invite is also questionable," Khera said.

"We would have listened to our voice of conscience," he added.

Earlier, Tharoor said there was a time when the chairman of the external affairs committee was routinely invited but that practice seems to have stopped from some years.

"It has been resumed ...I have been invited, yes. I will definitely go," the chairman of the Parliamentary Standing Committee on External Affairs said.

On the LoPs reportedly not getting an invite, Tharoor said, "I don't know on what basis invitations were sent. I think the custom that usually used to be followed was for a wide representation. Certainly, I remember in the olden days, they used to invite not only the LoPs, (but) various other cross section of representatives of different parties. It conveys a good impression."

"I dont know the basis (of invitation), this is all done by the government, by the protocol by the Rashtrapati Bhawan, what do I know. All I can say I have honoured to have been invited. Of course I will go," Tharoor told reporters in the Parliament House complex.

Gandhi on Thursday had alleged that the government tells visiting foreign dignitaries not to meet the Leader of the Opposition due to its "insecurity".

His remarks had come hours ahead of Putin's two-day visit to India.

Gandhi had said it is a tradition that visiting foreign dignitaries meet the LoP but Prime Minister Narendra Modi and the Ministry of External Affairs were not following this norm.

"Normally the tradition is that those who come from abroad have a meeting with the LoP. This used to happen during (Atal Bihari) Vajpayee ji's time, Manmohan Singh ji's time, it has been a tradition but what happens these days is that when foreign dignitaries come and when I go abroad, the government suggests to them to not meet the LoP," Gandhi had told reporters in Parliament House complex.