The Asian Development Bank (ADB) and the Union government have signed a $126.42 million loan agreement to promote rural development through sustainable and climate-resilient tourism in Uttarakhand’s Tehri Lake region, the Ministry of Finance announced on Thursday.
According to the ministry, the project aims to transform Tehri Lake into a model of sustainable tourism anchored around the state’s hydropower reservoir, adopting a multi-sector approach to generate jobs, diversify income sources, and enhance climate resilience.
“The ADB loan supports the government of Uttarakhand’s policy to position the state as a diversified, all-weather tourism destination, with Tehri Lake identified as a priority area for development,” said Juhi Mukherjee, Joint Secretary, Department of Economic Affairs.
The initiative will focus on Tehri Garhwal district, one of Uttarakhand’s most climate-vulnerable and economically disadvantaged areas. It is expected to benefit more than 87,000 local residents and 2.7 million annual visitors by improving tourism planning, upgrading infrastructure, strengthening sanitation and waste management, and enhancing disaster preparedness.
Key interventions under the project include institutional strengthening, development of climate-resilient infrastructure, adoption of nature-based solutions to mitigate landslide and flood risks, and inclusive tourism initiatives led by women, youth, and the private sector.
Special features include a livelihood matching grant programme to support enterprises run by women, youth, and micro, small, and medium-sized businesses; universal access-friendly infrastructure, including facilities for persons with disabilities; and a women-led disaster risk management initiative in pilot villages.
Kai Wei Yeo, Officer-in-Charge of ADB’s India Resident Mission, noted that the project is designed as a scalable model of sustainable tourism development that can serve as a benchmark for similar initiatives across India.
