Government of India and ADB Sign $126.4 Million Loan Agreement to Boost Sustainable Tourism in Uttarakhand
Project to benefit 87,000 residents and 2.7 million visitors annually in Tehri Garhwal District
The Government of India and the Asian Development Bank (ADB) have signed a $126.42 million loan agreement to promote rural development through sustainable and climate-resilient tourism in the Tehri Lake region of Uttarakhand.
The agreement for the Sustainable, Inclusive, and Climate-Resilient Tourism Development at Tehri Lake Area Project was signed yesterday by Ms. Juhi Mukherjee, Joint Secretary, Department of Economic Affairs, Ministry of Finance, Government of India, and Mr. Kai Wei Yeo, Officer-in-Charge, India Resident Mission, ADB.
Speaking on the occasion, Ms. Mukherjee said, “The ADB loan supports the Government of Uttarakhand’s policy to position the state as a diversified, all-weather tourism destination, with Tehri Lake identified as a priority area for development.”
Mr. Yeo added, “The project showcases a model for sustainable tourism anchored around a hydropower lake by adopting a multisector approach to generate jobs, diversify income, and build climate resilience.”
The project specifically targets Tehri Garhwal District, one of Uttarakhand’s most climate-vulnerable and economically disadvantaged regions. It aims to benefit more than 87,000 residents and around 2.7 million annual visitors through:
- Improved tourism planning and infrastructure
- Enhanced sanitation and waste management
- Disaster preparedness and climate-resilient facilities
Key interventions under the project include:
- Institutional strengthening and capacity building
- Climate-resilient infrastructure and nature-based solutions to mitigate landslide and flood risks
- Inclusive tourism services led by women, youth, and the private sector
- Livelihood matching grant programs to support women, youth, and MSMEs engaged in tourism
- Universal access design, ensuring facilities for persons with disabilities
- A women-led disaster risk management initiative in pilot villages
This project is expected to position Tehri Lake as a flagship model for climate-resilient tourism development in India while generating jobs, diversifying local incomes, and strengthening community resilience.
