AfDB: AfDB pledges $25 billion for India’s infrastructural, social and green needs – Mintpaisa

The Asian Development Bank (ADB) on Tuesday pledged up to $25 billion over the next five years to fund India’s infrastructure creation under Prime Minister Gati Shakti’s initiative, as well as social development and climate action to help the country meet its priority development needs.

During his meeting with Prime Minister Narendra Modi, AfDB President Masatsugu Asakawa expressed AfDB’s intention to provide $20-25 billion over five years to advance the country’s aspirations for a rapid, inclusive and green growth, the AfDB said in a statement.

“The AfDB will provide multifaceted support to India’s top priorities, including the major infrastructure push under the Prime Minister’s Gati Shakti (National Master Plan for Multimodal Connectivity) initiative, building cities future, the mobilization of national resources and the strengthening of basic services in disadvantaged neighborhoods,” he said. .

As part of its green growth program, the AfDB will focus on supporting the decarbonization of transport and the transition to clean energy, including the development of the carbon market and the transition to a circular economy.

“Actions to adapt to climate change are planned through projects on flood management, coastal protection, improving water use efficiency and developing the agricultural value chain” , did he declare.

Acknowledging India’s effective fight against the Covid-19 pandemic and a rapid post-pandemic recovery, President Asakawa said India remained the fastest growing major economy with an expected growth of 7% for fiscal year ending March 31, 2023.

During his meeting with FM Nirmala Sitharaman, Asakawa described the AfDB’s efforts to secure annual regular loans of $4 billion from its sovereign operations over the next few years.

The AfDB began its operations in India in 1986. As of December 31, 2022, the AfDB had committed $52.28 billion in sovereign loans in the country and $6.75 billion in non-sovereign loans and investments. ADB’s current Indian portfolio includes 64 projects worth $16 billion in the sectors of transport, urban planning, energy, human development, agriculture and natural resources and finance. The AfDB is also in the process of finalizing the new five-year Country Partnership Strategy (CPS) for India for 2023-2027 following a comprehensive stakeholder consultation process, he said.