ADB and India Sign $141.12 Million Loan for Industrial Corridor Development in Andhra Pradesh

The Asian Development Bank (ADB) and the Government of India have entered into a loan agreement worth $141.12 million to support the development of high-quality internal infrastructure in three industrial clusters located in Andhra Pradesh. This funding is part of the larger multi-tranche financing facility (MFF) of $500 million approved by ADB in 2016 to improve infrastructure in the Visakhapatnam and Srikalahasthi-Chittoor nodes of the state.

Promoting Industrialization and Economic Growth

The ADB’s financing approach aims to promote industrialization and increase the manufacturing sector’s contribution to Andhra Pradesh’s gross domestic product (GDP). It seeks to enhance competitiveness and generate employment opportunities in the target areas of the project. The loan will specifically focus on strengthening the industrial infrastructure in the Visakhapatnam node, including the development of internal infrastructure in the Rambilli and Nakkapalli industrial clusters, road widening, and improving access roads to the clusters.

Development Initiatives and Resilience

The project encompasses several outputs to support the state’s development objectives. It includes the implementation of an updated marketing action plan to attract investments, skill enhancement programs for socially and economically vulnerable sections of the population, and the establishment of a disaster risk management plan to ensure resilience in industrial clusters under extreme weather conditions. The project also aims to improve the operation and maintenance of start-up industrial clusters, integrate gender-responsive and socially inclusive guidance into industrial and urban planning, and facilitate sustainable industrial and urban development.

Towards a Bright Future

The signing of the loan agreement between ADB and the Government of India marks a significant step forward in the development of Andhra Pradesh’s industrial corridors. It emphasizes the importance of improving internal infrastructure, promoting industrialization, and creating a favorable environment for economic growth and job creation. The project aligns with the shared vision of ADB and the government to foster sustainable and inclusive development in the region, contributing to the overall progress and prosperity of Andhra Pradesh.

About The The Asian Development Bank

The Asian Development Bank (ADB) is a regional development bank that aims to foster economic growth, reduce poverty, and improve the living conditions of people in Asia and the Pacific. It was established in 1966 and is headquartered in Manila, Philippines. ADB works closely with its member countries to provide financial assistance, technical expertise, and policy advice to support various development projects and programs.

The primary focus areas of ADB include infrastructure development, energy, environmental sustainability, regional cooperation, and poverty reduction. The bank provides loans, grants, and technical assistance to its member countries to finance development projects in sectors such as transportation, water supply and sanitation, education, healthcare, agriculture, and urban development.

ADB operates through a network of regional and field offices, collaborating with governments, private sector entities, civil society organizations, and other development partners to implement projects and programs effectively. It also promotes knowledge sharing, capacity building, and policy dialogue to enhance development outcomes and foster inclusive and sustainable growth in the region.

With a strong commitment to the principles of good governance, social inclusivity, and environmental sustainability, ADB plays a crucial role in supporting the economic and social development of its member countries and advancing the overall well-being of the people in the Asia-Pacific region.


Who is the largest shareholder in the Asian Development Bank?

The largest shareholder in the Asian Development Bank (ADB) is Japan. Japan has the highest voting power and holds the largest share of the total subscribed capital of the bank. Japan’s voting power in ADB stood at 15.6%. Other major shareholders include the United States, China, India, and Australia, among others. The distribution of shares and voting power in ADB reflects the contributions made by member countries and their commitment to supporting the bank’s operations and development efforts in the Asia-Pacific region.

What is the difference between the ADB and the NDB?

The Asian Development Bank (ADB) and the New Development Bank (NDB) are multilateral development banks with some key differences. ADB focuses on development initiatives in the Asia-Pacific region, while NDB funds infrastructure and sustainable development projects in emerging economies, with a focus on the BRICS countries. ADB has a broader membership base of 68 countries, while NDB has a more limited membership of the BRICS countries. ADB was established in 1966, headquartered in Manila, and has a longer track record with a diverse project portfolio. NDB, established in 2014, is headquartered in Shanghai and is still in its early stages of operations. Both banks provide project financing but have different sectoral focuses and operational approaches.


  • Shubham Mittal

    Shubham Mittal is a renowned current affairs writer and expert in government exam preparation, inspiring readers with insightful articles and guiding aspirants with his expertise.

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top