Asian Development Bank Loans $350 Million to Revolutionize India's Logistics Sector

The Asian Development Bank (ADB) has approved a $350 million loan aimed at bolstering the Government of India's reforms in the logistics sector to enhance economic competitiveness and export potential. This loan finances the second phase of the Strengthening Multimodal and Integrated Logistics Ecosystem Program, which supports systemic institutional reforms and improves coordination at multiple governmental levels. The loan aims to foster private sector involvement and improve efficiency, addressing logistical constraints through initiatives like the Prime Minister Gati Shakti-National Master Plan and the National Logistics Policy. The reforms target improving supply chain resilience, cutting costs, boosting export competitiveness, and encouraging gender inclusion, all while contributing to sustainable growth and job creation. ADB underscores the importance of digital integration and green transition guidelines as essential components in restructuring India's logistics ecosystem. From 2000 to 2022, India's export figures have surged, and the current development aims to push this further, aligning with the country's ambitious export goals. This positions the logistics sector as a vital cog in driving both manufacturing growth and employment across urban and rural settings.