Asian Development Bank to provide 6 billion Dollars to India over next 3 years

Asian Development Bank (ADB) on 5 May 2013 announced that it is going to provide about 6 billion dollars loan to India over the next three years which was decided at the concluding day of the 46th annual meeting of the funding agency.

Although, the ADB is facing the challenge of raising resources, the basic idea behind providing loan is to maintain its lending level to India. The bank is working on partnership strategy and is planning to maintain the level of lending to India.

It is important here to note that India is the biggest borrower of ADB and ADB had extended a 2.4 billion dollars loan to India in 2012 across sectors like transport, energy, commerce, industry, trade and finance.

The bank will also continue to lend10 billion dollars a year across the member-nations despite generating lower return from investments.

ADB’s capital was tripled in 2009. The fund enhancement came after a gap of 15 years.