The Union Government on 19 June 2017 signed USD 275 million loan agreement with the Asian Development Bank (ADB) for improving urban services in 64 small towns in the State of Madhya Pradesh.
The loan agreement was signed by Raj Kumar, Joint Secretary under Department of Economic Affairs of Union Ministry of Finance and LB Sondjaja, Deputy Country Director of ADB’s India Resident Mission.
The project agreement was signed by Vivek Aggarwal, Secretary of Urban Development & Housing Department on behalf of the Madhya Pradesh Government.
Highlights of the project
• The project will be carried out in design-build-operate model including 10-years operation and maintenance to ensure better sustainability of the water service operation and financial viability.
• The project will develop sustainable, inclusive and climate-resilient water supply in 64 small and medium-sized towns.
• It will also develop integrated storm water and sewerage infrastructure in two heritage towns of Khajuraho and Rajnagar.
• Along with ADB’s loan, the Madhya Pradesh Government will provide counterpart support of USD 124 million.
• The project will run for almost five years with an expected completion date of June 2022.
Who: India and ADB
When: 19 June 2017