India & ADB Sign Loans Worth Over $2.2 Billion for Development Projects

India has strengthened its development partnership with the Asian Development Bank (ADB) by signing five loan agreements worth over $2.2 billion on 15 December 2025. The funding will support key national flagship programmes and state-level projects in skilling, renewable energy, healthcare, urban transport, and sustainable livelihoods.

What Is the Agreement About?

• The Government of India and ADB signed loan agreements to finance five major development projects.
• These projects align with India’s priorities under flagship schemes such as Pradhan Mantri Skilling and Employability Transformation Programme and Pradhan Mantri Surya Ghar: Muft Bijli Yojana.
• The loans were signed by officials from the Department of Economic Affairs, Ministry of Finance, on behalf of India, and the ADB India Resident Mission.

Key Projects Covered Under the Loans

Project	Amount	Objective/Key Features
Pradhan Mantri Skilling & Employability Transformation through Upgraded ITIs	$846 million	Modernise 650 ITIs in 12 states; upgrade 5 National Skill Training Institutes; demand-driven courses in renewable energy, electric mobility, advanced manufacturing; employability for 1.3 million youth
Accelerating Affordable & Inclusive Rooftop Solar Systems (Subprogramme 1)	$650 million	Support Pradhan Mantri Surya Ghar: Muft Bijli Yojana (PMSGMBY); rooftop solar adoption for 10 million households by 2027; uniform guidelines, standards, collateral-free low-interest loans
Assam State Tertiary Health Care Augmentation (ASTHA)	$398.8 million	Modernise medical colleges in Guwahati, Dibrugarh, Silchar; enhance tertiary healthcare and medical education under Srimanta Sankaradeva University of Health Sciences
Chennai Metro Rail Investment Project – Tranche 2	$240 million	Expand metro along 3 lines: 20 km elevated & underground corridors, 18 new stations; universal access features; climate-resilient infrastructure
Integrated Ecotourism & Sustainable Agri-based Livelihood Development, Meghalaya	$77 million	Promote ecotourism; integrate nature-based tourism with climate-smart farming; economic benefits for 8,000+ local beneficiaries including women & indigenous communities

Significance

• Strengthens India-ADB partnership in development finance
• Supports flagship schemes like PMSGMBY and skill development programmes
• Enhances climate action, urban mobility, healthcare, and rural livelihoods
• Focus on inclusive growth and capacity building across multiple sectors

Key Takeaways

• India and ADB signed five loan agreements worth over $2.2 billion in December 2025.
• Major focus areas include skilling, rooftop solar energy, healthcare, metro rail, and ecotourism.
• $846 million allocated for upgrading ITIs under the PM Skilling Programme.
• $650 million supports PM Surya Ghar: Muft Bijli Yojana for rooftop solar adoption.
• Healthcare project targets tertiary care expansion in Assam.
• Chennai Metro expansion and Meghalaya ecotourism projects are also included.

Question

Q. What is the total value of loans signed by India with ADB in December 2025?

(A) $1.5 billion
(B) $2.2 billion
(C) $3 billion
(D) $2.8 billion