ADB Loan to Help Uttarakhand Rebuild After June's Unprecedented Disaster | Asian Development Bank

ADB Loan to Help Uttarakhand Rebuild After June's Unprecedented Disaster

News Release | 29 October 2013

MANILA, PHILIPPINES – The Asian Development Bank (ADB) will provide $200 million to help the Indian state of Uttarakhand recover from unprecedented floods and landslides that have affected close to a million people.

“The June disaster took many lives and wiped out the livelihoods of thousands,” said Juan Miranda, Director General of ADB’s South Asia Department. “With rescue and evacuation activities completed, we now need to rebuild roads, power and water supply systems, and other infrastructure so that families can start to rebuild their lives. We need to act fast and do the rebuilding well.”

In mid-June 2013, major cloudbursts, heavy rainfall, and floods washed away several towns, with the districts of Bageshwar, Chamoli, Pithoragarh, Rudraprayag, and Uttarkashi worst affected. Almost 600 people lost their lives and more than 5,400 people are still missing. A joint damage and needs assessment by the government of Uttarakhand, ADB, and World Bank estimated the preliminary cost of rehabilitation at close to $700 million. However, the final cost could rise to more than $1 billion.

ADB’s loan will be used to rebuild 2,400 kilometers of state roads and repair or reconstruct 16 damaged bridges. In eight to 10 towns, the funds will be used to repair 20 kilometers of urban roads and rehabilitate water supply facilities, including water treatment plants and 56 km of water pipelines. This rebuilt infrastructure will improve access to services, markets, and jobs, benefitting people and companies.

On top of the $200 million loan, ADB will also provide $15 million to repair damaged energy sector facilities under an already approved $300 million ADB financing facility that has been earmarked for the Uttaranchal power sector.

The rehabilitation works, due to be completed by the end of 2016, will be designed to better withstand future disasters.

The State Disaster Management Authority of the state government of Uttarakhand will execute the project.