ADB loans $400 mn to support India’s urban reforms

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NEW DELHI: Juhi Mukherjee, Joint Secretary of the Ministry of Finance, Government of India, and Takeo Konishi, Country Director of Asian Development Bank’s India Resident Mission, signed a policy-based agreement of $400 million for Sub-programme 2 of the Sustainable Urban Development and Service Delivery Programme on behalf of Asian Development Bank (ADB).

Sub-programme 1, which was approved in 2021 with a financing of $350 million, established national-level policies and guidelines to enhance urban services. However, Sub-programme 2 is supporting investment planning and reform actions at the state and urban local body (ULB) levels.

After signing the loan agreement, Mukherjee noted that the programme aligns with the government’s urban sector strategy, with a focus on urban reforms aimed at making cities livable and centres of economic growth through the provisioning of inclusive, resilient, and sustainable infrastructure.

Konishi said, “Sub-programme 2 supports the reforms initiated by the states and the ULBs in operationalizing the national flagship programme of Atal Mission for Rejuvenation and Urban Transformation (AMRUT) 2.0 targeted for universal access to water supply and sanitation.”

Konishi further added, “The sub-programme also supports other mission objectives for ensuring urban water security through reducing water losses, recycling treated sewage for non-domestic use, rejuvenation of water bodies, and maintaining the sustainable groundwater level.”