In a major boost to Hyderabad’s Musi rejuvenation project, the Asian Development Bank (ADB) has agreed in principle to extend Rs 4,100 crore in phased financial assistance. An ADB mission team recently met state government officials to discuss project components, timelines, and phased disbursement.

The proposed loan, to be released in two to three phases, will fund world-class riverfront infrastructure, including roads along both banks, trunk and interceptor networks to divert untreated sewage, and new bridges to enhance connectivity and urban mobility. Earlier, the previous BRS government sanctioned sewage treatment plants to ensure wastewater is treated before entering the river.

Efforts to secure international funding began in September 2024, with the Musi Riverfront Development Corporation (MRDCL) submitting a Rs 5,863 crore proposal to the Department of Economic Affairs. Following clarifications on feasibility and sustainability, the proposal was cleared two months ago.

The Rs 4,100 crore from ADB will cover key project components, while remaining works will be financed through state funds, additional foreign aid, or PPPs, particularly for beautification and recreational facilities.