Releasing the funds from Backward Region Grant (BRG), a central government sponsored assistance, Malkangiri district collector, M Muthu Kumar said more funds will be provided for the construction of 8 km canal from the Kampakunda main canal.
After the construction, irrigation facilities will be provided to tribal-dominated, heavily forested and inaccessable areas, he said.
While demanding construction of the canal, the Maoists had also kidnapped three block-level officers from a village meeting but later released.
The canal construction was a long-standing demand of the local tribal people as well as Maoists.