The centre and the Asian Development Bank (ADB) have signed loan agreements worth more than $800 million for major development projects in Maharashtra, Madhya Pradesh and Gujarat, along with a $1 million technical assistance grant for a fisheries and wetlands project in Assam.
The agreements were formalised under the guidance of the Department of Economic Affairs, with Saurabh Singh, Deputy Secretary, signing on behalf of the Government of India, and Mio Oka, Country Director of ADB’s India Resident Mission, signing for the Bank.
The largest component of the financing is the $500 million loan for the Maharashtra Power Distribution Enhancement Programme aimed at agricultural solarization. The programme seeks to modernise rural power infrastructure, integrate renewable energy sources into the distribution network, and provide reliable daytime solar power for irrigation. By 2028, the initiative is expected to supply daytime electricity to at least 900,000 agricultural consumers. Key activities include upgrading substations, installing transformers, constructing high- and low-tension lines and deploying a 500 MWh battery storage system.
For Madhya Pradesh, ADB has extended a Japanese Yen-denominated loan of ¥27.14 billion (about $190.6 million) for the Indore Metro Rail Project. The financing will support the construction of an 8.62-km underground metro corridor with seven stations, connecting densely populated parts of Indore with the airport. The project aims to enhance multimodal integration, improve access to markets and educational hubs and is targeted for operational readiness by January 2030.
In Gujarat, a $109.97 million loan was signed for the Skills Development Programme. The initiative focuses on equipping the state’s workforce with advanced, industry-ready skills in sectors such as manufacturing, IT, logistics, renewable energy, healthcare and agri-tech. The programme, led by the state’s Labour, Skill Development and Employment Department in partnership with Kaushalya: The Skill University, will upgrade 11 mega ITIs, establish centres of excellence and strengthen partnerships with private training providers through a hub-and-spoke model.
The centre and ADB also signed a $1 million technical assistance grant to support the upcoming Sustainable Wetland and Integrated Fisheries Transformation (SWIFT) Project in Assam. The initiative is designed to enhance wetland ecosystems and develop sustainable fisheries in the state.