The Resilient Action for Development and Disaster Recovery Himachal Pradesh Project will support reconstruction and resilience across transport, water, energy and sanitation systems, and bolster community-owned enterprises and jobs in farming, handicrafts and rural tourism. The financing decision comes after heavy monsoon rainfall in 2023 and 2025 caused widespread damage to homes, roads, bridges and essential services, costing the state an estimated $1 billion in losses and disrupting agriculture and livelihoods.
Under the plan, improved infrastructure will be designed to better withstand landslides, floods and other extreme weather linked to climate change. More than one million women are expected to benefit from improved access to essential services and enhanced livelihood opportunities, while investments in community-owned businesses are projected to create or upgrade jobs for about 12,000 people and expand market access for local artisans, producers and farmers.
The initiative is being implemented in partnership with the Agence Française de Développement (AFD) and the Coalition for Disaster Resilient Infrastructure (CDRI), which will bring global expertise to strengthen early warning systems and guide resilient reconstruction efforts. Together, the partners plan to rehabilitate more than 250 bridges, roads and footbridges to improve connectivity between rural and urban areas, enhancing access to schools, markets and jobs.
World Bank officials say the project is intended not only to help Himachal Pradesh recover from recent disasters but also to reduce the future impacts of extreme weather by embedding resilient planning and design into infrastructure investment. The financing also aims to mobilize $100 million in private capital toward disaster-risk financing and insurance solutions, expanding local capacity to manage risk and protect assets.
Himachal Pradesh, a Himalayan state with rugged terrain and vulnerable ecosystems, has seen a rise in extreme weather events in recent years. Officials and experts note that improved resilience measures from strengthened roads and bridges to early warning systems and community-led solutions are essential to protect lives and livelihoods as the region adapts to more volatile climate conditions.