ADB unveils new strategy, prioritising urban schemes in India

The Asian Development Bank (ADB) has outlined its commitment to India's urban-focused flagship programs and schemes in its newly unveiled country partnership strategy. The ADB's operations in India from 2023 to 2027 will prioritise initiatives aimed at driving structural transformation, fostering job creation, promoting climate-resilient growth, and strengthening social and economic inclusiveness. While specific details regarding the monetary outlay and implementation of contributions to central and state schemes were not provided, the ADB emphasised its intent to deepen engagement with India and support the nation's pursuit of robust, climate-resilient, and inclusive growth. The strategy recognises the potential of urban areas as engines of growth, aiming to unlock their full potential, enhance industrial competitiveness, and generate employment opportunities in formal manufacturing and services sectors. Highlighting India's swift recovery from the impact of the COVID-19 pandemic, the ADB acknowledged the country's projected economic growth of 6.4% in FY24, ranking it among the fastest-growing major global economies. This aligns with the Indian government's own projection of 6.5% GDP growth for the current fiscal year. However, the ADB emphasised the need for India to address critical challenges related to infrastructure and human development, income and regional disparities, as well as vulnerability to climate change and natural hazards to sustain inclusive growth. The new strategy is the result of extensive consultations with government counterparts, the private sector, and other stakeholders within India. Its objective is to support India in achieving a higher growth trajectory. Takeo Konishi, ADB Country Director for India, expressed the bank's commitment to this goal and its determination to work closely with Indian authorities and stakeholders to drive progress.