**Policy Summary: Sustainable Tourism Development in Uttarakhand**
The Government of India and the Asian Development Bank (ADB) signed a \$126.42 million loan agreement on September 10, 2025, to implement the Sustainable, Inclusive, and Climate-Resilient Tourism Development at Tehri Lake Area Project in Uttarakhand. The project focuses on the Tehri Garhwal District, a climate-vulnerable and economically disadvantaged region, with the goal of promoting rural development through sustainable and climate-resilient tourism.
The project aims to benefit over 87,000 residents and 2.7 million annual visitors through several key interventions: improved tourism planning, upgraded infrastructure, enhanced sanitation and waste management, and improved disaster preparedness. Specific initiatives include institutional strengthening, climate-resilient infrastructure development, nature-based solutions for landslide and flood risk mitigation, and the promotion of inclusive tourism services led by women, youth, and the private sector. A livelihood matching grant program will support tourism-related enterprises led by women, youth, and micro, small, and medium-sized enterprises. The project also emphasizes universal access design, including provisions for persons with disabilities, and includes a women-led disaster risk management initiative in pilot villages.
Ms. Juhi Mukherjee, Joint Secretary, Department of Economic Affairs, Ministry of Finance, signed the agreement on behalf of the Government of India, while Mr. Kai Wei Yeo, Officer-in-Charge, India Resident Mission, represented ADB. The ADB loan supports the Government of Uttarakhand’s policy to establish the state as a diversified, all-weather tourism destination, with Tehri Lake identified as a priority development area. The project is designed as a model for sustainable tourism centered around a hydropower lake, employing a multi-sector approach to generate jobs, diversify income, and build climate resilience. Project details can be found at: https://www.adb.org/projects/57213-001/main.
Key Entities Referenced
Ministry of Finance: The ministry representing the Government of India, responsible for the loan agreement.
Asian Development Bank (ADB): An international development finance institution that provided a loan for the project.
Uttarakhand: A state in India where the sustainable tourism project is located.
Tehri Garhwal District: A district in Uttarakhand, identified as climate-vulnerable and economically disadvantaged, and a target of the project.
Tehri Lake: A lake in Uttarakhand and the central area for the Sustainable, Inclusive, and Climate-Resilient Tourism Development Project.
Department of Economic Affairs: A department under the Ministry of Finance representing the Government of India in the agreement.
Sustainable, Inclusive, and Climate-Resilient Tourism Development at Tehri Lake Area Project: The name of the project being funded by the ADB loan, focused on developing tourism in the Tehri Lake area.
India Resident Mission: The local office of the Asian Development Bank (ADB) in India.
Ministry of Finance
Government of India and ADB sign $126.4 million
loan agreement to promote sustainable tourism in
Uttarakhand
Project targets the Tehri Garhwal District, one of
Uttarakhand’s most climate-vulnerable and
economically disadvantaged regions
Project aims to benefit over 87,000 residents and 2.7
million annual visitors through improved tourism
planning, upgraded infrastructure, enhanced
sanitation and waste management, and disaster
preparedness
Posted On: 11 SEP 2025 1:08PM by PIB Delhi
The Asian Development Bank (ADB) and the Government of India yesterday signed a $126.42 million loan
agreement to promote rural development through sustainable and climate-resilient tourism in the Tehri Lake
region of Uttarakhand.
The signatories to the Sustainable, Inclusive, and Climate-Resilient Tourism Development at Tehri Lake Area
Project (https://www.adb.org/projects/57213-001/main) were Ms. Juhi Mukherjee, Joint Secretary,
Department of Economic Affairs, Ministry of Finance for the Government of India, and Mr. Kai Wei Yeo,
Officer-in-Charge, India Resident Mission, for ADB.
“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 Ms.
Mukherjee after signing the loan agreement.
“The project showcases a model for sustainable tourism anchored around a hydropower lake by adopting a
multisector approach to generate jobs, diversify income, and build climate resilience,” said Mr. Yeo.
The project targets the Tehri Garhwal District, one of Uttarakhand’s most climate-vulnerable and
economically disadvantaged regions. It aims to benefit over 87,000 residents and 2.7 million annual visitors
through improved tourism planning, upgraded infrastructure, enhanced sanitation and waste management, and
disaster preparedness.
Key interventions include institutional strengthening, climate-resilient infrastructure, nature-based solutions to
mitigate landslide and flood risks, and inclusive tourism services led by women, youth, and the private sector.
Notable features include a livelihood matching grant program to support tourism led by women, youth, andmicro, small and medium-sized enterprises, universal access design including for persons with disability, and
a women-led disaster risk management initiative in pilot villages.
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NB/KMN
(Release ID: 2165579)