ADB approves $500m loan for sustainable infrastructure in India

The Asian Development Bank (ADB) approved on Wednesday a $500 million loan to promote environmentally sustainable infrastructure in India, aiming to support the country’s rapid economic growth while addressing its climate commitments.

The loan, secured in favour of India Infrastructure Finance Company Limited (IIFCL) with a sovereign guarantee, will provide long-term capital for infrastructure projects focusing on energy transition, connectivity, and underfunded sectors such as urban development, education, and healthcare.

“This support aligns with India’s climate goals and ensures inclusive, sustainable economic growth,” said ADB Principal Finance Sector Specialist Sanjeev Kaushik.

India faces a $1 trillion climate financing gap, exacerbated by climate-related hazards like floods and droughts. The ADB project will also establish a sustainability framework to integrate green practices into infrastructure development, fostering private sector involvement in financing.

The ADB remains committed to building resilient and sustainable economies in Asia and the Pacific.

Attribution: ADB

Subediting: Y.Yasser