ADB to Focus on Robust, Climate-Resilient, and Inclusive Growth in India

NEW DELHI — The Asian Development Bank (ADB) today launched a new country partnership strategy (CPS) for India with a focus on deepening its engagement with the country and supporting India’s drive for robust, climate-resilient, and inclusive growth.

During 2023–2027, ADB operations in India will focus on accelerating structural transformation and job creation, promoting climate-resilient growth, and deepening social and economic inclusiveness.

India quickly rebounded from the impact of COVID-19 pandemic, with economic growth projected at 6.4% in FY2023–2024, and now ranks among the fastest growing major global economies. The country needs to accelerate and sustain inclusive growth by tackling critical challenges in infrastructure and human development, income and regional disparities, and vulnerability to climate change and natural hazards.

To support structural transformation and the creation of well-paying jobs, ADB will contribute to India’s national flagship programs on developing industrial corridors, multimodal logistics systems, urban infrastructure, skill ecosystem, and small businesses. This will enable urban areas to unlock their potential as engines of growth, promote industrial competitiveness, and create more jobs in formal manufacturing and services sectors.

“Building on our comprehensive consultations with government counterparts, private sector, and other in-country stakeholders, the new CPS aims to help India achieve a higher growth trajectory. ADB will simultaneously increase support for better education, health, and social protection, and will assist improvements in urban livability and rural development while ensuring gender empowerment and environmental sustainability,” said ADB Country Director for India Takeo Konishi. “Support to India’s climate agenda will be at the forefront of the new strategy via interventions in energy transition, transport decarbonization, climate adaptation, and disaster risk management.”

ADB will meet these objectives through its public and private sector operations, and by catalyzing public–private partnerships. To complement these interventions, ADB will promote domestic resource mobilization including at the municipal level, gender equality and social inclusion, digitalization and expansion of the innovation ecosystem, and regional cooperation.

ADB will adopt differentiated approaches corresponding to the development status of the states. “Strategic partnerships have been formed with lower-income states to develop critical infrastructure, basic services, institutional capacity, and private sector, while ADB interventions for the developed states will focus on transformational projects, nonsovereign operations, knowledge, and policy advice,” said ADB Principal Country Specialist Rajesh Vasudevan.

The new CPS will also maximize value addition through knowledge solutions, technical assistance, and capacity building of its partner agencies in the areas of strategic engagement.

India is a key ADB partner. As of the end of December 2022, ADB had committed $52.6 billion in 605 public sector loans, grants, and technical assistance in India, as well as $8 billion in private sector investments.

ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 68 members—49 from the region.

 

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