Himachal Pradesh News
World Bank Approves $245 Million Loan for Himachal Pradesh Resilient Infrastructure and Livelihoods
The World Bank has approved a $245 million loan to help Himachal Pradesh rebuild disaster-resilient infrastructure, strengthen early warning systems and support over 10 lakh women and 12,000 workers through improved livelihood opportunities.
The World Bank has approved a $245 million loan to help Himachal Pradesh rebuild disaster-resilient infrastructure, strengthen early warning systems and support over 10 lakh women and 12,000 workers through improved livelihood opportunities.
Shimla: The World Bank on Wednesday approved a $245 million loan to support Himachal Pradesh in rebuilding resilient infrastructure and strengthening livelihood opportunities in the wake of repeated extreme weather events.
According to an official statement, the hill state has suffered estimated losses of nearly $1 billion due to extreme weather over the past three years. Heavy rainfall during the 2023 and 2025 monsoon seasons led to loss of lives, widespread damage to housing and infrastructure, and disruption of access to schools, markets and employment opportunities.
Water supply and sanitation systems were also severely affected, impacting agriculture and horticulture production — key sectors of the state’s economy.
Resilient Action for Development and Disaster Recovery Project
The funding will be provided under the Resilient Action for Development and Disaster Recovery Himachal Pradesh Project, aimed at supporting post-disaster recovery and reducing future risks through improved planning and resilient infrastructure design.
The project will:
- Rehabilitate over 250 bridges, roads and footbridges, benefiting more than one million people
- Strengthen early warning systems in partnership with the Agence Française de Développement (AFD)
- Enable community-owned firms to invest in sustainable businesses
- Mobilise $100 million in private capital for disaster-risk financing and insurance solutions
The Coalition for Disaster Resilient Infrastructure (CDRI) will assist in bringing global expertise for rebuilding sustainable infrastructure across the state.
Boost to Women and Rural Livelihoods
The initiative is expected to directly benefit over 10 lakh women by improving access to essential services and enhancing livelihood opportunities in farming, handicrafts and rural tourism.
Additionally, investments in community-owned enterprises are projected to support 12,000 people with new or improved employment opportunities and create stronger market linkages for artisans, producers and farmers.
World Bank’s Statement
“By investing in sustainable infrastructure that connects people to opportunities, this project will help Himachal Pradesh build back better. It will also mobilise $100 million in private capital towards disaster-risk financing and insurance solutions,” said Paul Procee, Acting Country Director, World Bank India.
The funding is seen as a significant step toward strengthening Himachal Pradesh’s climate resilience and ensuring long-term economic stability in the face of growing climate risks.
