In December 2025, the Asian Development Bank (ADB) approved three major loans of USD 240 million for Chennai Metro Expansion Phase 2, USD 108 Million for Mizoram Public Healthcare and USD 100 Million for Micro, Small, and Medium Enterprises (MSME) Finance for Women Borrowers to support infrastructure, healthcare, and financial inclusion initiatives in India.
Exam Hints:
- What? ADB approved three loans to support infrastructure, healthcare, and financial inclusion initiatives in India
- Chennai Metro Expansion – Phase 2:
- Loan Amount: USD 240 million (second tranche), under the USD 780 million facility sanctioned in 2022
- Length: 118.9 km (Lines 3, 4, and 5)
- Completion: Mid-2028
- Mizoram Public Healthcare Strengthening:
- Loan Amount: USD 108 million (results-based)
- Scheme: Mizoram Universal Health Care Scheme (MUHCS)
- Coverage: Up to Rs. 5 lakh per family per year
- MSME Finance for Women:
- Loan Amount: USD 100 million
- Implementer: Five-Star Business Finance Limited (Chennai)
- Coverage: 400,000+ borrowers via 700+ branches
About Chennai Metro Expansion – Phase 2:
Financing: ADB approved a USD 240 million second tranche under the USD 780 million facility sanctioned in 2022, to promote clean, safe, and reliable urban mobility in Chennai, Tamil Nadu, TN.
Network: Phase 2 spans 118.9 kilometer (km) across three corridors
- Line 3: The Purple Line spans 45.8 km from Madhavaram to SIPCOT-2 (State Industries Promotion Corporation of Tamil Nadu Limited in Siruseri, Chennai, TN).
- Line 4: The Orange Line covers 26.1 km between Lighthouse and Poonamallee Bus Depot.
- Line 5: The Red Line extends 47 km from Madhavaram to Sholinganallur.
Funded Works: Financing covers Line 3 elevated civil works, Line 4 underground civil works, and Line 5 system components.
Systems: Line 5 receives major system components including power supply, traction, and telecommunications.
Stations: The project includes 18 new universally accessible, disaster-resilient stations and upgraded multimodal interchanges.
Timeline: Construction under this tranche is targeted for completion by mid-2028.
About Mizoram Public Healthcare Strengthening:
Programme: ADB approved a USD 108 million results-based loan to support public healthcare system strengthening and achieve universal health coverage in Mizoram.
Coverage: The Mizoram Universal Health Care Scheme (MUHCS) provides cashless coverage of up to Rs. 5 lakh per family annually.
Beneficiaries: The programme targets 1.38 million residents, with emphasis on women, older people, and persons with disabilities.
Integration: The programme integrates Pradhan Mantri Jan Arogya Yojana (PMJAY) and state schemes into a single platform linking primary, secondary, and tertiary care.
Focus Areas: Key priorities include noncommunicable diseases, disaster-resilient health infrastructure, and institutional strengthening.
Significance: Mizoram is the first Indian state to undertake this type of ADB-supported health system reform.
About MSME Finance for Women:
Financing: ADB approved a USD 100 million loan to Five-Star Business Finance Limited in Chennai, TN.
Objective: The programme expands MSME loan access for women entrepreneurs from lower-income groups to promote financial inclusion.
Coverage: The initiative serves 400,000+ borrowers across tier-3 cities and underserved regions through 700+ branches.
Gender Focus: Funds are deployed under an ADB-verified social finance framework that promotes gender-responsive practices, including tailored engagement, digital financial literacy, and inclusive workplace training.
Impact: The project addresses barriers such as lack of collateral and informal income while supporting women-led enterprises.
About Asian Development Bank (ADB):
President – Masato Kanda (Japan)
Headquarters – Manila, the Philippines
Member nations: 69
Established – 1966
