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New Delhi: The Government of India and the Asian Development Bank (ADB) have signed a $126.4 million loan agreement to promote sustainable, inclusive, and climate-resilient tourism in the Tehri Lake region of Uttarakhand, one of the country’s most scenic yet climate-vulnerable destinations.
The project, titled the Sustainable, Inclusive, and Climate-Resilient Tourism Development at Tehri Lake Area Project, is designed to transform the Tehri Garhwal district into a model of responsible tourism while boosting rural development, generating employment, and enhancing community resilience against climate risks.
Key Stakeholders and Signatories
The agreement was signed by Ms. Juhi Mukherjee, Joint Secretary, Department of Economic Affairs, Ministry of Finance, on behalf of the Government of India, and Mr. Kai Wei Yeo, Officer-in-Charge, India Resident Mission, representing ADB.
Highlighting the importance of the project, Ms. Mukherjee said, “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.”
Echoing the sentiment, Mr. Yeo stated, “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.”
Why Tehri Garhwal?
Tehri Garhwal, where the project will be implemented, is among Uttarakhand’s most climate-sensitive and economically disadvantaged regions. Despite its natural beauty and the attraction of the Tehri Lake — formed by the Tehri Dam, one of the tallest dams in the world — the region faces challenges such as limited infrastructure, fragile ecosystems, poor waste management, and vulnerability to landslides and floods.
The project aims to benefit over 87,000 local residents and 2.7 million annual visitors by improving tourism planning, infrastructure, sanitation, and disaster preparedness, while also creating sustainable livelihood opportunities.
Project Scope and Interventions
The $126.4 million loan will fund a wide range of interventions that collectively seek to transform tourism in the Tehri Lake region:
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Institutional Strengthening – Building capacities of state and local institutions to manage tourism sustainably and effectively.
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Climate-Resilient Infrastructure – Developing facilities that can withstand extreme weather conditions and reduce environmental impact.
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Nature-Based Solutions – Initiatives to mitigate risks of landslides and floods through ecological restoration, afforestation, and other green measures.
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Inclusive Tourism Services – Ensuring active participation of women, youth, and local communities in the tourism value chain.
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Enhanced Sanitation and Waste Management – Setting up modern, eco-friendly systems to handle the growing tourist inflows and protect the lake environment.
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Disaster Preparedness – Introducing village-level disaster risk management programs, particularly women-led initiatives, to strengthen community resilience.
Special Focus on Women and Youth
One of the most innovative features of the project is the livelihood matching grant program, which will encourage women, youth, and micro, small, and medium enterprises (MSMEs) to lead tourism-related ventures. From homestays and eco-lodges to cultural tours and adventure services, these enterprises will diversify the region’s economy while empowering marginalized groups.
Additionally, universal access design will be incorporated across tourism facilities, ensuring inclusivity for persons with disabilities and elderly travelers.
A Model for Sustainable Tourism in India
The project is expected to serve as a national model for sustainable tourism development. By balancing infrastructure growth with ecological preservation, it offers a blueprint for how tourism in India’s ecologically fragile regions can be expanded without compromising environmental and social safeguards.
Experts note that this initiative comes at a crucial time. With rising footfall in Uttarakhand, especially in destinations like Rishikesh, Mussoorie, and Char Dham, there is growing concern over over-tourism, waste generation, and ecological degradation. The Tehri Lake project addresses these issues by embedding sustainability, inclusivity, and climate resilience at the core of development.
Expected Benefits
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Improved connectivity and tourist facilities at Tehri Lake.
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Cleaner surroundings with better sanitation and waste management systems.
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Reduced climate risks through green infrastructure and eco-based solutions.
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Economic diversification through community-led tourism enterprises.
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Enhanced disaster resilience for villages prone to natural calamities.
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More inclusive growth with women and youth at the forefront of development.
Looking Ahead
The ADB-supported project represents a strong collaboration between India’s national government, the Uttarakhand state government, and international partners. By leveraging finance, expertise, and community participation, it is poised to transform Tehri Garhwal into a sustainable tourism hub.
If successful, the initiative could inspire similar climate-resilient tourism models across other Himalayan states such as Himachal Pradesh, Sikkim, and Arunachal Pradesh, which face similar ecological challenges.
Conclusion
The signing of the $126.4 million loan agreement marks a significant milestone in India’s journey toward sustainable tourism. Beyond its economic and environmental benefits, the project promises to empower local communities, protect fragile ecosystems, and position Uttarakhand as a year-round global tourism destination.
For Tehri Garhwal’s residents and millions of visitors, this initiative represents not just improved facilities, but also a safer, cleaner, and more inclusive travel experience.
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