Major Boost: PM Modi Secures USD 10 Billion from ADB for Urban Infrastructure Development

In a significant move towards enhancing India’s growing cities, Prime Minister Narendra Modi met with Asian Development Bank (ADB) President Masato Kanda in New Delhi. During the high-level meeting, the ADB reaffirmed its strong commitment to India’s progress by pledging a substantial USD 10 billion investment dedicated to urban infrastructure development over the next five years.

This commitment marks a major milestone in India’s urban transformation journey and comes at a time when the nation is rapidly expanding its cities to meet population demands and future-proof its economy.

Strengthening Ties: ADB’s Vision for India’s Urban Growth

President Masato Kanda highlighted the ADB’s continued support for India’s ambitious vision of urban infrastructure development. He praised India’s focus on sustainable, inclusive, and technologically integrated cities and reaffirmed that the ADB will collaborate closely with both central and state governments to ensure that the infrastructure projects meet global standards.

The USD 10 billion investment will primarily target critical areas such as urban mobility, water supply and sanitation, solid waste management, and climate-resilient infrastructure—all vital to achieving smarter, more livable urban spaces.

PM Modi’s Push for Inclusive Urban Transformation

During the meeting, Prime Minister Modi emphasized the importance of transforming urban India into engines of economic growth while ensuring that development reaches every corner of society. He welcomed the ADB’s support and discussed the need for projects to focus on future-readiness, sustainability, and local capacity building.

PM Modi also reiterated the government’s vision of building smart, inclusive cities that serve the needs of all citizens—particularly in Tier 2 and Tier 3 cities which are expected to witness rapid growth in the coming decade.

The Role of ADB in India’s Urban Infrastructure Development

The Asian Development Bank has been a long-standing development partner for India, with investments spanning sectors such as transport, energy, education, and urban planning. However, this latest funding announcement is one of the largest earmarked specifically for urban infrastructure development, signaling a shift toward tackling India’s urban challenges head-on.

According to ADB officials, the funds will support public-private partnerships, technical capacity building, and digital innovation—enabling cities to implement scalable and sustainable models.

What This Means for India’s Cities

India’s urban population is expected to grow from 460 million today to over 600 million by 2030. With such rapid urbanization, the need for robust urban infrastructure development has never been more urgent.

The funding will not only provide financial support but also help drive systemic improvements in how Indian cities are planned, developed, and maintained. Key outcomes are expected to include improved access to basic services, reduced urban pollution, better transport systems, and more efficient city governance.

Looking Ahead: A Collaborative Urban Future

This landmark funding deal between India and the ADB is more than just a financial transaction—it represents a deeper strategic partnership built on mutual goals. The emphasis on urban infrastructure development also aligns with India’s Smart Cities Mission and Sustainable Development Goals (SDGs), reflecting a shared vision for future-ready, inclusive urban environments.

As implementation begins, all eyes will be on how this collaboration translates into real-world improvements for Indian citizens. With the ADB’s expertise and India’s bold urban agenda, the road ahead looks promising.