Why is it in the news?
- The Government of India and the Asian Development Bank (ADB) have signed a $250 million loan agreement for Industrial Corridor Development in India.
More about the news
- The $250 million policy-based loan aims to support Industrial Corridor Development (Subprogramme 2).
- Focuses on developing alternative financing solutions, including green finance for industrial cluster development.
- Aims to enhance industrial workplace safety and integrate practices related to the environment and climate change.
- This loan builds on Subprogramme 1, where ADB approved a $250 million loan in October 2021. Subprogramme 1 was designed to strengthen policy frameworks for the National Industrial Corridor Programme (NICP).
| ADB
· The Asian Development Bank (ADB) is a multilateral financial institution headquartered in Manila, Philippines. · ADB is committed to achieving prosperity, inclusivity, resilience, and sustainability in Asia and the Pacific. |
Significance of Industrial Corridors
- Industrial corridors position India as a strong player in the Global Value Chain.
- Enhances India’s competitiveness in manufacturing through the creation of high-quality infrastructure.
- Industrial corridors contribute to the creation of better jobs.
- They play a role in alleviating poverty in states along the corridor.
| National Industrial Corridor Programme (NICP)
· NICP aims at the development of futuristic industrial cities in India that can compete with the best manufacturing and investment destinations globally. · The government has approved the development of 11 Industrial Corridors with 32 projects in four phases as part of NICP. · Implementation is through the National Industrial Corridor Development and Implementation Trust. |
