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You are here: Home / cat / ADB Approves $125 Million Loan to Enhance Urban Infrastructure in Assam, India

ADB Approves $125 Million Loan to Enhance Urban Infrastructure in Assam, India

Dated: September 2, 2025

The Asian Development Bank (ADB) has approved a $125 million loan to improve urban livability and enhance climate resilience in six district headquarters and the city of Guwahati in Assam, India. The Assam Urban Sector Development Project aims to benefit 360,000 residents by providing continuous metered water supply and upgrading stormwater management systems. Additionally, the project seeks to strengthen urban governance through institutional reforms and capacity building.

ADB’s Country Director for India, Mio Oka, emphasized that the project supports India’s urban transformation agenda by improving basic urban services and empowering communities, especially women and disadvantaged groups. The initiative focuses on inclusive, climate-resilient infrastructure and digital governance, positioning Assam as a model for sustainable urban development in the country.

Key infrastructure investments include constructing six water treatment plants with a total capacity of 72 million liters per day and installing 800 kilometers of distribution pipelines in the district headquarters of Barpeta, Bongaigaon, Dhubri, Goalpara, Golaghat, and Nalbari. The project will also implement a real-time monitoring system to reduce nonrevenue water to below 20 percent.

In Guwahati, the project will enhance stormwater management in the Bahini Basin by constructing flood diversion channels, upgrading drainage systems, and creating a nature-based retention pond to reduce flood discharge and improve groundwater recharge.

The initiative also includes the establishment of the Assam State Institute for Urban Development in collaboration with the Indian Institute of Technology Guwahati. Furthermore, a GIS-based property tax database, digital water billing systems, and a volumetric water tariff structure will be introduced across the project towns to improve financial sustainability and service delivery.

Social inclusion and support for women and girls are key components of the project. Activities planned include training women’s self-help groups in water operations, offering internships for college-age women, and conducting school outreach programs to raise awareness about water, sanitation, and hygiene.

Founded in 1966, ADB is a leading multilateral development bank owned by 69 members, including 50 from Asia and the Pacific. The bank focuses on fostering inclusive, resilient, and sustainable growth through innovative financial solutions and strategic partnerships across the region.

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