The Asian Development Bank (ADB) approved a concessional loan of USD 18.5 M and a grant of USD 10 M as additional financing today for the Phuentshogling Township Development Project. As per the press release from the ADB, this additional financing will continue funding the ongoing activities until their successful completion, targeted in 2025.
ADB has been supporting the development and expansion of Phuentshogling by constructing flood and riverbank erosion defences along the Amochhu and facilities for an additional 163 hectares of the new modern urban area since 2018. The climate-resilient infrastructure will ensure the safe and sustainable expansion of human settlement and commercial activities in the area.
Phuentshogling is the country’s largest commercial and industrial hub and serves as the strategic trading gateway. It is the country’s second-most populous city after Thimphu and is anticipated to grow by 5 per cent per annum. Phuentshogling has reached its current limit for expansion due to being confined by steep terrain and close proximity to the Amochhu. The project will be an effort to develop Phuentshogling into becoming a regional growth centre and main trading gateway, facilitating its economic development.
Sonam Pem
