$400 million loan agreement with ADB

• India signed a $400 million policy-based loan agreement with the Asian Development Bank (ADB) to create high-quality urban infrastructure, improve service delivery, and promote efficient governance systems.
• The sub-programme 1, approved in 2021 with the financing of $350 million, established national-level policies and guidelines to improve urban services, while the latest sub-programme 2 supports investment planning and reform actions at the state and urban local body (ULB) levels.
• Sub-programme 2 supports the reforms initiated by the states and the ULBs in operationalising the national flagship programme of Atal Mission for Rejuvenation and Urban Transformation (AMRUT) 2.0 targeted for universal access of water supply and sanitation.
• The programme also envisages integrated planning reforms to control urban sprawls and foster systemic and planned urbanisation through enhancing the entire ecosystem of legal, regulatory, and institutional reforms.
• Other mission objectives will also be achieved by reducing water losses, recycling treated sewage for non-domestic use, rejuvenation of water bodies, and maintaining sustainable groundwater levels.

ABOUT ADB

• It is a multilateral development bank established on 19^th December 1966.
• It is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific while sustaining its efforts to eradicate extreme poverty.
• Members- 68 members (49 are from within Asia and the Pacific)
• Headquarters– Manila, Philippines
• ADB’s five largest shareholders are Japan and the United States (each with 15.6% of total shares), the People’s Republic of China (6.4%), India (6.3%), and Australia (5.8%).