"ADB and the Government of India have agreed on a new three-year business plan that will provide lending assistance of USD 7.4 billion to support inclusive and environmentally sustainable growth in the country," the multi-lateral lending agency said in a statement.
A major thrust of ADB's India Country Operations Business Plan (COBP) for 2011-2013 will be to support infrastructure development, particularly through public-private partnership (PPP) programs, the statement added.
Continued assistance for development of the vital energy sector by means of projects involving clean and renewable energy sources, including solar power is another key focus area, ADB said.
"ADB is pleased to note that approval of the India COBP comes against the backdrop of record performance by ADB in terms of both program delivery and portfolio performance in 2010," ADB Country Director (India) Hun Kim said.
In 2010 ADB approved loans amounting to USD 2.2 billion while its annual disbursement reached a record level of USD 1.7 billion. "We very much look forward to continue to work closely with the Government of India in implementing the projects in the COBP to help promote inclusive growth and reduce poverty in the country," Kim said.
In order to help bridge inter-state economic disparities, the bank will continue with its projects in transport, energy and urban sectors in states like Assam, Bihar, Chhattisgarh, Himachal Pradesh, Madhya Pradesh, and Rajasthan, the Manila-based lender said.
ADB is a multilateral financial institution that promotes social and economic progress in the Asia-Pacific region. The agency would also continue to provide assistance for the critical national Rural Roads Development Program in Assam, Chhattisgarh, Madhya Pradesh, Orissa, and West Bengal and for public resource management in Assam and Mizoram, it added.