Project Name
Infrastructure Development Investment Program for Tourism - Tranche 3
Project Number
Country / Economy
  • India
Project Status
Project Type / Modality of Assistance
  • Loan
Source of Funding / Amount
Loan 3223-IND: Infrastructure Development Investment Program for Tourism - Tranche 3
Source Amount
Ordinary capital resources US$ 123.51 million
Strategic Agendas
  • Environmentally sustainable growth
  • Inclusive economic growth
Drivers of Change
  • Gender Equity and Mainstreaming
  • Governance and capacity development
  • Private sector development
Sector / Subsector
  • Transport / Urban roads and traffic management

  • Water and other urban infrastructure and services / Other urban services - Renovation and protection of cultural heritage - Urban policy, institutional and capacity development

Effective gender mainstreaming
ADB and the Government of India are working together promote tourism in rural areas in order to benefit the poor. The Infrastructure Development Investment Program for Tourism is making rural tourist destinations more visitor friendly with improved water facilities, upgraded restrooms and sanitation systems, new signs and street lights, and more efficient garbage disposal methods. The program is helping state governments build the basic infrastructure for tourism while encouraging private companies to provide services and facilities. Work is also being done to help manage India''s many heritage sites and to encourage greater local community participation tourist activities. This includes an emphasis on bring tourism-related facilities to remote communities. The program is primarily focused on the states of Himachal Pradesh, Punjab, and Uttarakhand (the three main states of the North West Himalayan Heritage Circuit) and Tamil Nadu (the anchor state of the South Heritage Circuit). As a result of the program, the Government of India hopes to see a 50% increase in tourism-related employment in the participating states, as well as a 30% increase in the contribution of tourism to the states' gross domestic product.
Project Rationale and Linkage to Country/Regional Strategy
India has enjoyed high economic growth in the last decade but it is still struggling to transfer that prosperity to the poorest and most vulnerable members of society. Some parts of the country, and some people, are experiencing unprecedented wealth while others are struggling to survive. People in the cities are enjoying India's economic boom much more than those in the countryside. Traditionally, governments try to address rural poverty by investing in agriculture and India has pursued this strategy as well. But the Government of India, and its partners, have also recognized that tourism is another important option for bringing more prosperity to the countryside. India is already a popular tourist destination. Increasing the attractiveness and efficiency of the tourist sites in the country will further increase its popularity. This will create jobs and economic opportunities for people living in the rural areas that host many of the countries tourist sites.

increased volume of domestic and international tourists to destinations within the states of Himachal Pradesh, Punjab, and Uttarakhand.

Project Outcome

Description of Outcome

enhanced tourism environment in Himachal Pradesh, Punjab, and Uttarakhand.

Progress Toward Outcome
Ongoing by utilizing state's own resources

Implementation Progress

Description of Project Outputs

Enhanced quality of natural and cultural attractions

Greater participation by local communities in tourism-related economic and livelihood activities

Improved basic urban infrastructure and incidental services at tourist destinations and gateways

Improved connectivity to tourist attractions

Strengthened capacity of sector agencies and local communities for planning, development, management, and marketing of tourist destinations and attractions and promoting private sector participation and small businesses

Status of Implementation Progress (Outputs, Activities, and Issues)
Himachal Pradesh-The five plans have been combined into a single package "Tourism Infrastructure Sustainable Plan for Himachal Pradesh' and work has completed.Himachal Pradesh2721 Community members trained including 1378 females in Himachal PradeshHimachal PradeshEA has prepared the bid document for O & M.Himachal PradeshPlanning work for tourism management plan has been completed in Himachal Pradesh.Himachal Pradesh2 mobility plans for two destinations has been completed in Himachal Pradesh. Statewide heritage management plan has been completed in Himachal PradeshFostering Community Participation, Marketing and Promotion work has been completed in Himachal Pradesh.200 committee members trained in Uttrakhand for skill development.2,721 committee members trained in Himachal Pradesh for skill development.O & M would be outsourced after completion of works (currently spilled over works are in progress by using state's resource)..1 events management plan at Haridwar, Uttarakhand is preparedMobility plan at Nainital finalized.State tourism policy for Uttrakhand has been revised.Detailed design completed for 1 statewide tourist and state likely to take up the work under their own financing in Uttarakhand.Gender awareness brochures/leaflets distributed in sub-project areas and guidebooks/brochure/posters etc on tourist destinations in Uttarakhand were distributedCapacity development completed in Punjab.Community training completed in Punjab.Destination management plans completed in Punjab.Site management plan at Gobindgargh Fort completed.Guidelines for conservation of heritage buildings and promoting PPP prepared.Works completed at two projects of Manali and Nagrota Bhawan in Himachal PradeshTourism culture centre work has been completedEco-park work completed in Himachal PradeshEco-tourism boating facility (Pong Dam) has been dropped in Himachal Pradesh.Total 30 packages planned for heritage structures works in six districts. Works completed for 19packages and in progress through state funds for 8 packages.Heritage walk in Patiala work completed in Punjab.Development of cultural craft resource centre works are completed.Works are completed in Ropar and Harike wetlands in Punjab.Works completed for 6 packages in Jwalaji, Markandey, Nagrota Bhagwan, Rampur and in progress at 2 packages (Jhanjheli and Bantony Castle) of Himachal PradeshChurch works have been dropped due to court order.All works completed for conservation of heritage structure in five towns except two works (Mallamahal and Almora fort).Himachal Pradesh-Training / Workshops given to Ancillary service providers Cluster (Total Participants 2721, including 1343 Male) in Himachal Pradesh.Uttarakhand45 community based societies are operational in the management of natural and cultural heritage sites in Uttarakhand.Uttarakhand200 persons engaged in tourism support activities at attractions supported under the project in Uttarakhand. Uttarakhand200 persons engaged in tourism support activities at attractions supported under the project in Uttarakhand. Himachal Pradesh-Entry level workshops held in 14 Panchayats of Shimla Cluster (Total Participants 1369, including 570 females) in Himachal Pradesh.Punjab2 Societies have been formed one each at Harike and Amritsar. 2 more community based societies are being processed in Punjab.Punjab2 Societies have been formed one each at Harike and Amritsar and will commence its function after completion of project works. 2 more community based societies are being processed in Punjab.Punjab2 Societies have been formed one each at Harike and Amritsar and will commence its function after completion of project works. 2 more community based societies processed in Punjab.Himachal PradeshTraining / Workshops given to 2721 Ancillary service providers Cluster (Female Participants 1378) in Himachal Pradesh.Himachal PradeshWorks completed for three tourist attractions of Jwalaji, Mandi and Dharmshala in Himachal PradeshUttarakhandWorks completed under 2 packages for rural tourism for improvement of basic tourist facilities and amenities.UttarakhandWorks completed for solar power facilities at 64 tourist rest houses in Uttarakhand.Punjab:Total 8 packages planned for improvement of basic tourist facilities and amenities and works completed.Himachal PradeshWorks completed for Shimla mall road Extension.Uttarakhand10 km of existing approach roads have been completedUttarakhandTrekking trails works have been completed.UttarakhandPedestrian walkway works completedPunjab20 km of work existing approach work has been completed.PunjabWorks for development of trekking trails completed.
Geographical Location

Safeguard Categories

Involuntary Resettlement
Indigenous Peoples

Summary of Environmental and Social Aspects

Environmental Aspects
No significant impacts are anticipated. Initial environmental examinations (IEEs) with environmental management plans (EMPs) were prepared for sample subprojects in accordance with ADBs Safeguard Policy Statement (SPS), 2009. All subprojects are consistent with existing natural area management plans, where relevant, and impacts during construction and operation can be avoided and/or mitigated through measures identified in the EMPs. The IEEs will form part of the bidding and contract documents and monitored during implementation. Each state demonstrated good capacity from previous tranche implementation, and will continue to receive consultant support to ensure sufficient monitoring of environmental impacts.
Involuntary Resettlement
One RP was prepared for Himachal Pradesh to address temporary livelihood impacts to 180 shop tenants and permanent impacts to 2 shop tenants currently using government-owned shops along the road right-of-way for their business. In Uttarakhand, two RPs were prepared to address temporary livelihood impacts to 213 shop tenants and 32 mobile vendors temporarily affected and permanent impacts to 5 shop owners due to works in Haridwar and and Kartikeya Swami. The RPs were prepared in consultation with the affected people and will be updated and finalized during detailed engineering design. Safeguard reporting to ADB will be done on a semi-annual basis.
Indigenous Peoples

Stakeholder Communication, Participation, and Consultation

During Project Design

The project was designed using a participatory approach and included consultations with the communities along the various destinations. The gender and development consultant in the PMCs carried out discussions with key informants at the subproject locations including heads of panchayats (villages), management committee of the cultural and religious tourist destinations, heads of local associations, shopkeepers etc. The results were discussed with the government departments at the state consultative meetings towards selecting subprojects. These were further discussed in the national workshop with the central government wherein the subproject components were discussed for four participating states.

During Project Implementation
The community participation and community mobilization NGO recruited under the project organized and conducted workshops, focus group discussions, seminars, meetings and households surveys to promote people's participation and identified their needs, priorities and preferences through participatory approaches. Consultation and participation of local communitiesin the subproject areastheir leaders, line agencies, and PMU representatives were an integral part of the overall mobilization and community participation plan.

Business Opportunities

Consulting Services
While consultants under the existing tranches will be extended to continue services for Tranche 3, any new consultants and NGOs, if deemed required during implementation, will be recruited according to ADB's Guidelines on the Use of Consultants.
All procurement of goods and works will be undertaken in accordance with ADB's Procurement Guidelines.


Responsible ADB Officer
Vishal, Vivek
Responsible ADB Department
South Asia Department
Responsible ADB Division
India Resident Mission (INRM)
Executing Agencies
Department of Tourism, Govt of Uttarakhand
Dept of Tourism & Civil Aviation, Gov't of HP
Dept. of Tourism, Gov't. of Punjab


Concept Clearance
Fact Finding
03 Nov 2014
11 Dec 2014
Last Review Mission
Last PDS Update
15 Dec 2020


Loan 3223-IND

Approval Signing Date Effectivity Date Closing
Original Revised Actual
11 Dec 2014 28 Sep 2015 28 Oct 2015 30 Jun 2020 27 Sep 2020 26 Feb 2021
Financing Plan
  Total (Amount in US$ million)
Project Cost 176.45
ADB 123.51
Counterpart 52.94
Cofinancing 0.00
Loan Utilization
  Date ADB Others Net Percentage
Cumulative Contract Awards 12 Dec 2023 91.74 0.00 100%
Cumulative Disbursements 12 Dec 2023 91.74 0.00 100%
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