ADB agrees $375m loan for Madhya Pradesh irrigation project

The Asian Development Bank has approved a $375 million loan for a project that will contribute to doubling farming incomes in the Indian state of Madhya Pradesh by expanding irrigation networks and system efficiency.

The project will focus on two large irrigation systems. The first - the Kundalia irrigation project - will develop 125,000 ha of new and climate resilient irrigation network. The second will prepare a comprehensive modernisation feasibility study and other preparatory work for the Sanjay Sarovar Irrigation Project.

The total project cost is $535.1 million, of which $160.7 million will be provided by the government.