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ADB sanctions $125 million loan for urban infrastructure upgrade in Assam

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Guwahati, Aug 31: The Asian Development Bank (ADB) has approved a $125 million loan to strengthen urban infrastructure, enhance climate resilience, and improve service delivery in Assam’s six district headquarters and state capital Guwahati.

The Assam Urban Sector Development Project will directly benefit around 360,000 residents by ensuring continuous metered water supply and modern stormwater management systems, while also driving institutional reforms and capacity building in urban governance.

“This transformative project will not only improve basic services but also empower communities, especially women and disadvantaged groups, through inclusive climate-resilient infrastructure and digital governance,” said ADB Country Directory for India Mio Oka.

Key investments include six new water treatment plants with a total capacity of 72 million liters per day, along with 800 kilometers of distribution pipelines in Barpeta, Bongaigaon, Dhubri, Goalpara, Golaghat, and Nalbari. A real-time monitoring system will also be deployed to curb nonrevenue water below 20%.

In Guwahati, stormwater management will be strengthened in the Bahini Basin through diversion channels, upgraded drainage networks, and a nature-based retention pond aimed at reducing floods and recharging groundwater.

The project will further establish the Assam State Institute for Urban Development in partnership with IIT Guwahati, introduce GIS-based property tax databases, digital billing, and volumetric water tariffs to enhance financial sustainability.

Social inclusion forms a strong focus, with initiatives to train women self-help groups in water operations, offer internships for college-age women, and conduct school outreach programs on water, sanitation, and hygiene.

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