The Asian Development Bank (ADB) is planning to increase its lending to India to 2.65 billion US dollars by 2008, according to a new Indian strategy and program update.

The lending was 1.12 billion US dollars in 2005.

"The program reflects the continuing priority of upgrading infrastructure, which accounts for more than three quarters of the three-year pipeline, and gives emphasis to agriculture and rural development to create jobs and make the country's growth more broad based," Indo-Asian News Service quoted Tadashi Kondo, ADB country director in India in a statement Wednesday, as saying.

Transport projects account for the bulk (36 percent) of ADB's infrastructure lending pipeline, followed by urban sector operations (21 percent), and energy sector projects (20 percent).

Loans for developing the agribusiness sector, improving water resource management, strengthening commodity markets, and boosting coastal resources management account for around 11 percent of the program.

The remaining pipeline comprises loans to assist with public resource management in Assam and West Bengal, strengthen rural finance institutions, and promote private sector participation in infrastructure.

All these steps are being initiated to help India achieve the target of eight percent annual growth, up from seven percent currently.

Source: Xinhua