SDG 17: Partnerships for the Goals | SDG 9: Industry, Innovation and Infrastructure
Institutions: Ministry of Finance | Ministry of External Affairs
On 17 November 2025, the Board of Governors of ADB reached the required threshold to ratify an amendment to its founding charter — specifically to remove the lending cap under Article 12.1. This pivotal change enables ADB to increase annual financing commitments from roughly USD 24 billion (2024 level) to over USD 36 billion by 2034, a roughly 50% expansion of operations.
According to ADB President Masato Kanda, the removal of the cap means the Bank can “move forward with an ambitious plan … without placing any burden on our shareholders for a general capital increase” — the first amendment to its charter since its creation in 1966. ADB’s Capital Utilisation Plan (CUP) outlines this pathway to scale up its operations while adhering to reforms approved in 2023 and exposure exchange agreements with other multilateral development banks.
For India, this development has direct implications: as a key member of ADB, India stands to benefit from a larger share of increased financing for infrastructure, climate, digital, and private-sector development. The scaling up signals enhanced availability of multilateral development finance, which aligns with the country’s National Infrastructure Pipeline, Digital India, and Atma Nirbhar Bharat objectives. It also enhances India’s opportunities to access blended finance, accelerated project-preparation support and co-financing for large-scale sustainable investments.
Relevant Question for Policy Stakeholders:
How can India optimise its project pipeline and institutional readiness to absorb and effectively utilise the expanded ADB financing capacity?
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ADB Capital Utilization Plan Expands Operations by 50 % over Next Decade