ADB’s $350 mn loan to modernise India’s logistics aims to cut costs, create jobs, and drive export growth by 2030.
The Asian Development Bank (ADB) has sanctioned a $350 million policy-based loan to support India’s logistics sector, advancing the country’s export goals. Announced on December 6, this funding will bolster the second phase of reforms under India’s comprehensive logistics modernisation plan.
The initiative focuses on building a robust policy framework, strengthening infrastructure, and integrating digital technologies at state and city levels. ADB highlighted that the enhanced logistics ecosystem will cut transaction costs, create employment opportunities, and foster gender inclusion while improving supply chain efficiency and export competitiveness.
Key government policies, such as the PM Gati Shakti-National Master Plan and the National Logistics Policy, are pivotal in streamlining operations and promoting digitisation across the sector. Between 2000 and 2022, India’s goods exports surged nearly tenfold, reaching $467.5 billion, while industrial exports rose to $317.4 billion.
India aims for $2 trillion in exports by 2030, with ADB’s assistance expected to accelerate this goal by reducing logistics costs, enhancing productivity, and lowering greenhouse gas emissions.
