New Delhi: The Asian Development Bank has committed USD 4.258 billion in sovereign lending to India in 2025, backing projects across skills development, renewable energy, urban infrastructure, transport, healthcare, and ecotourism.
The multilateral lender said the portfolio aligns closely with India’s priority development goals.
Nearly 32 percent of ADB’s 16 newly committed projects are focused on human and social development. The energy sector accounts for 26 percent of the portfolio, mainly aimed at expanding renewable energy, while over 18 percent is directed toward urban development.
Major Push for Workforce Skilling
A key initiative is a USD 846 million financing package for PM-SETU, India’s flagship skilling program. The funding will support the modernisation of hundreds of Industrial Training Institutes across states, to improve skills, employability, and workforce readiness.
ADB is also supporting clean energy expansion through a USD 650 million commitment to the PM Surya Ghar Muft Bijli Yojana. The program focuses on accelerating rooftop solar adoption nationwide, helping households reduce power costs while increasing renewable energy capacity.
Urban Infrastructure and Mobility Projects
Reaffirming its support for India’s urban transformation, ADB committed USD 775 million for five urban projects across Assam, Kerala, Sikkim, and West Bengal. These investments will upgrade water supply, sanitation, and other essential urban services.
In the transport sector, USD 729 million has been allocated to expand regional rapid rail on the Delhi-Meerut corridor and metro networks in Chennai and Indore. These projects aim to improve mobility, reduce congestion, and support growing urban populations.
Healthcare, Power, and Ecotourism Initiatives
ADB has also approved a USD 398.8 million loan to Assam to modernise healthcare services and medical education. Maharashtra will receive USD 460 million to upgrade rural power infrastructure and expand solar electricity for irrigation. In addition, loans exceeding USD 200 million have been committed to Meghalaya and Uttarakhand to promote ecotourism development.
Knowledge Support and Policy Guidance
Beyond financing, ADB continues to support India through policy and knowledge work. In 2025, it assisted the Ministry of Housing and Urban Affairs (MoHUA) in developing three knowledge frameworks focused on city redevelopment, cities as growth hubs, and urban water and sanitation systems. These frameworks support the government’s new urban challenge fund aimed at attracting commercial financing.
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