ADB President Asakawa Proposes $25 Billion Support To India's Development Priorities
ADB is finalising the new five-year country partnership strategy for India after a comprehensive stakeholder consultation process.
Asian Development Bank President Masatsugu Asakawa on Tuesday called on Prime Minister Narendra Modi and conveyed ADB’s intention to provide $20-25 billion resources over five years to advance India’s aspirations for fast, inclusive, and green growth.
In a release, the Manila-based multilateral lending agency said its President in his meeting with the Prime Minister discussed a range of issues, including ADB support to India’s infrastructure and social development and climate actions.
ADB is now finalising the new five-year country partnership strategy for India following a comprehensive stakeholder consultation process.
“ADB will provide multifaceted support for India’s key priorities, including the important infrastructure push under the PM’s Gati Shakti (National Master Plan for multimodal connectivity) initiative, building future cities, mobilizing domestic resources, and strengthening basic services in disadvantaged districts," Asakawa said.
He also congratulated Modi on India’s assumption of the Group of 20 presidency and reaffirmed ADB’s support to the G20 agenda.
As a guest international organisation at the G20 meetings and Leaders’ Summit, ADB is supporting the priorities of India’s presidency across the finance and sherpa tracks, the release said.
ADB started operations in India in 1986. At end-December 2022, it had committed $52.28 billion in sovereign lending in the country and $6.75 billion in non-sovereign lending and investment.
ADB’s current India portfolio comprises 64 projects worth about $16 billion across the transport, urban, energy, human development, agriculture and natural resources, and finance sectors.
Asakawa also met with Finance Minister Nirmala Sitharaman and outlined ADB efforts to achieve annual regular lending of $4 billion from its sovereign operations in the next few years.
In a series of tweets, the Ministry of Finance said Sitharaman stressed on laying the foundation for India@100. In the light of this, the two leaders also discussed India-ADB Country Partnership Strategy 2023-2027, which is being finalised.
"FM suggested to Mr Asakawa that ADB may attune its priorities to Government of India's vision for Amrit Kaal, and initiatives like energy transition, PM Gati Shakti, Logistics Policy, industrial corridors, climate change adaptation, circular economy, health, Mission Karmayogi and Skill India," one of the tweets said.
Asakawa welcomed the Finance Minister's prioritisation of green growth in the Union Budget 2023-2024.
He informed Sitharaman that following the guidance of Prime Minister Modi, ADB has set up the secretariat for South Asia Sub-Regional Economic Co-operation in ADB’s India office.