The Asian Development Bank (ADB) on Monday signed an agreement with the Centre to extend a $300-million loan for water supply and sanitation infrastructure and services in 14 small towns of Rajasthan.

Sameer Kumar Khare, Additional Secretary (Fund Bank and ADB), Department of Economic Affairs in the Finance Ministry, and Takeo Konishi, Country Director of ADB’s India Resident Mission, signed the agreement for the the Rajasthan Secondary Towns Development Sector Project.

Khare said the project aims to provide clean and sustainable water supply and sanitation (WSS) services in the project towns that will improve quality of life of the residents, including the poor and vulnerable.

The investments in WSS with 10-year operation and maintenance contracts will ensure improved and sustainable service delivery in line with the State government’s urban sector development plan, an official release said.

‘Lessons learnt’

Konishi said ADB incorporated practical lessons from the three earlier urban sector projects it has funded in Rajasthan since 2000 and included innovations such as the use of smart technologies and cost-effective systems. The project will empower urban local bodies, and strengthen their institutional capacity; deepen sector reforms, and build resilience of communities to manage health pandemics, the release added.

Through the project, water supply systems in at least eight project towns are expected to improve by 2027, benefiting more than 5.7 lakh people. Citywide sanitation systems will benefit about 7.20 lakh residents in at least 14 secondary towns.

The project will strengthen the institutional capacity of the local governments and the Rajasthan Urban Drinking Water, Sewerage, and Infrastructure Corporation Limited, a corporate entity established with ADB’s technical support.

Enhanced support to women and vulnerable groups will be provided through skills training, paid internships, and community engagement and awareness activities, it said.

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