Global Economy

ADB approves USD 181 million loan to enhance urban infrastructure in Ahmedabad's Peri-urban areas



The Asian Development Bank (ADB) has given its nod to a USD 181 million loan aimed at bolstering the quality of urban infrastructure and services, thereby enhancing urban liveability and mobility in the peri-urban regions of Ahmedabad city in Gujarat.

According to a press release by ADB, Ahmedabad and its peripheral areas have seen rapid industrial growth, significantly contributing to Gujarat’s economic development.

ADB Principal Urban Development Specialist Sanjay Joshi, said, “Ahmedabad and surrounding areas are rapidly growing as an industrial centre, contributing to Gujarat’s economic development. This project envisions the future of the areas surrounding Ahmedabad city to help control urban sprawl, a planning approach that can be replicated in other states.”

Joshi further said, “The project will help upgrade basic infrastructure and services and strengthen urban management in these areas to raise the quality of life of its residents and sustain economic growth.”

The Ahmedabad Peri-urban Liveability Improvement Project is set to construct critical infrastructure, including 166 kilometres of water distribution network, 126 kilometres of climate-resilient stormwater drainage, 300 kilometres of sewerage systems, and four sewage treatment plants.

These efforts will provide residents in the surrounding areas of Ahmedabad with high-quality urban infrastructure and services.Additionally, the project will support the enhancement of 10 junctions along the existing Sardar Patel Ring Road to bolster connectivity between peri-urban areas and Ahmedabad city.Peri-urban areas often experience the highest population growth rates due to industrial expansion and the influx of workers who may lack access to fundamental urban services.

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The project aims to improve urban services and urban governance, benefiting the urban poor, women, and migrant workers.

ADB’s role extends to enhancing the capacity of the Ahmedabad Urban Development Authority and urban local bodies in technology-based urban planning.

This includes the development of climate change and disaster-resilient infrastructure that integrates environmental and social safeguards, gender equality, and social inclusion.

The project will also facilitate land development plans and town planning schemes that incorporate these elements, with the potential for replication in other states to encourage more structured urban development and densification through agglomeration.

Furthermore, the project will enhance the government agencies’ capabilities in financial planning, revenue enhancement, and infrastructure asset operations.

Community awareness programs will be initiated to promote water conservation, health, and hygiene.

Women’s self-help groups will receive training in water supply operations. Additionally, the project will support the development of recycling treated sewage for industrial purposes through public-private partnerships.

The ADB remains dedicated to fostering prosperity, inclusivity, resilience, and sustainability across Asia and the Pacific, while persistently working to eradicate extreme poverty.

This initiative underscores the organization’s commitment to furthering these goals and improving the living conditions of those residing in peri-urban areas near Ahmedabad.



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