New Delhi: Asian Development Bank (ADB) president Masatsugu Asakawa assured Finance Minister Nirmala Sitharaman of USD 2.2 billion (about Rs 16,500 crore) support to India in its fight against the COVID-19 pandemic.
In a call, ADB chief Asakawa commended the Indian government’s decisive response to the pandemic, including a national health emergency programme, tax and other relief measures provided to businesses and a USD 23 billion (Rs 1.7 lakh crore) economic relief package announced March 26 to provide immediate income and consumption support to the poor, women, and workers affected by the three-week nationwide lockdown.
“ADB is committed to supporting India’s emergency needs. We are now preparing USD 2.2 billion in immediate assistance to the health sector and to help alleviate the economic impact of the pandemic on the poor; informal workers; micro, small, and medium-sized enterprises; and the financial sector,” Asakawa said Friday during his call with Nirmala Sitharaman.
ADB is also engaged with the private sector to meet its financing needs during this period. “ADB assistance for India will be further increased if needed. We will consider all financing options available with us to meet India’s needs, including emergency assistance, policy-based loans, and budget support to facilitate swift disbursement of ADB funds,” said the ADB chief.
Weakening global economic growth is causing disruptions in India’s trade and manufacturing supply chains, along with the slowdown in tourism and other economic activities. This is straining the large number of micro, small, and medium-sized enterprises, and the livelihood of formal and informal labourers across the country.
Asakawa asserted that the policy measures announced by the Indian government will provide much-needed relief and stimulus to the most vulnerable people as well as businesses and become a basis for faster recovery.
ADB had announced March 18 an initial package of approximately USD 6.5 billion to address the immediate needs of its developing member countries, including India.
PTI
