The Asian Development Bank (ADB) committed USD 10 billion support for infrastructure building and immediate development needs of less-developed states in the country.
Support for Infrastructure Development
- The fund support to meet immediate development needs of up to USD 5 billion over the five-year period for less developed states, including Uttar Pradesh, Bihar, Jharkhand, Odisha and Chhattisgarh, addressing critical infrastructure and capacity deficits.
- This major investments would be part of ADBs new country strategy, which proposes annual lending over the 5-year period of USD 3-4 billion from sovereign and non-sovereign operations.
- Final amounts will depend on the implementation and readiness of projects under preparation and the borrowing policies of the central and state governments.
- The funding agency is prepared to invest up to USD 5 billion during 2018-2022 for infrastructure building to develop the East Coast Economic Corridor.
Asian Development Bank
- Asian Development Bank (ADB) is a regional development bank established on 19 December 1966
- ADB defines itself as a social development organization that is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration.
- This is carried out through investments in the form of loans, grants and information sharing in infrastructure, health care services, financial and public administration systems, helping nations prepare for the impact of climate change or better manage their natural resources, as well as other areas.
- The ADB was modeled closely on the World Bank, and has a similar weighted voting system where votes are distributed in proportion with members’ capital subscriptions.
Source : The Hindu
GS II : International Relation