India, ADB Sign Over $800 Million in Loans to Boost Power, Transport, and Skill Development; $1 Million Grant Approved for Assam’s Wetland and Fisheries Project.
New Delhi:
In a major push toward strengthening India’s infrastructure, renewable energy capacity, and workforce capabilities, the Government of India and the Asian Development Bank (ADB) have signed loan agreements worth more than $800 million, along with a $1 million Technical Assistance (TA) grant for an upcoming environmental and fisheries project in Assam.
The agreements were formalized in New Delhi under the guidance of the Joint Secretary (ADB & Japan), Department of Economic Affairs (DEA). Representing the Government of India, Saurabh Singh, Deputy Secretary, DEA, Ministry of Finance, signed the loan documents, while Mio Oka, Country Director, India Resident Mission, signed on behalf of ADB.
Breakdown of Loan Agreements
The trio of development-focused projects spans Maharashtra, Madhya Pradesh, and Gujarat:
₹500 Million Loan for Maharashtra Power Distribution Enhancement Programme
The largest component of the signing—worth $500 million—supports Maharashtra’s initiative to modernize its rural electricity network. The programme will Enhance the state’s power distribution infrastructure, Integrate distributed renewable energy systems, Support agricultural solarization by providing reliable daytime solar electricity for irrigation and Benefit at least 900,000 agricultural consumers by 2028
Key upgrades include new substations, transformers, high- and low-tension lines, and a 500 MWh battery storage system, enabling efficient renewable integration and improved agricultural productivity.
¥27.1 Billion Loan ($190.6 Million) for Indore Metro Rail Project
A Japanese Yen-denominated loan will accelerate the development of the Indore Metro Rail Project in Madhya Pradesh. The funds will be used to Construct an 8.62-km underground metro corridor, Build seven major stations connecting congested city areas to the airport, Create multimodal integration with buses and feeder services and Enhance connectivity to markets, schools, and major institutions.
The system will be implemented by the Madhya Pradesh Metro Rail Corporation Limited, with operations expected to begin January 2030.
$109.97 Million Gujarat Skills Development Programme
To strengthen Gujarat’s competitiveness in high-growth sectors, the ADB-backed skill development programme will focus on Upgrading 11 mega Industrial Training Institutes (ITIs) and the Establishing advanced centres of excellence under a hub-and-spoke model anchored by Kaushalya: The Skill University (KSU), Enhancing industry partnerships to align training with the evolving needs in logistics, manufacturing, IT, renewable energy, healthcare, automotive, and agri-tech sectors.
The initiative aims to produce an industry-ready workforce with future-oriented skill sets.
$1 Million Technical Assistance Grant for Assam’s SWIFT Project
Alongside the major loans, ADB also approved a $1 million TA grant to support implementation of the Sustainable Wetland and Integrated Fisheries Transformation (SWIFT) Project.
The project seeks to enhance wetland conservation in Assam, Strengthen sustainable fisheries systems, Improve ecological resilience and local livelihoods.
The grant will help prepare and implement measures for long-term environmental sustainability.
A Strengthened Partnership for India’s Development Goals
The latest agreements reaffirm ADB’s continued support for India’s infrastructure, clean energy, and skill development initiatives. These investments are projected to meaningfully contribute to India’s goals of sustainable growth, urban transformation, and capacity building while boosting economic opportunities across multiple sectors and states.
