Manila: The Asian Development Bank (ADB) said on October 4, it would lend about $ 2 billion to India and $ 1.18 billion to Bangladesh in the next three years.

This would be an increase from the $ 1.5 billion the ADB had originally programmed to lend to India from 2003 to 2005, the bank said in a statement from its headquarters at the Philippine capital.

The increase in lending to India will go to projects in renewable energy, power and gas distribution and transport including railways, roads and waterways.

Additional loans will also go to projects in resource management, urban infrastructure and financing for the rural areas and small and medium enterprises, the Manila based bank said.

Bangladesh is scheduled to get $ 1.18 billion in loans over the next three years along with $ 18.1 million in grants under the ADB's country strategy for the next three years, the bank said.

This will go to projects in agriculture, education, health, urban management, and infrastructure development as well as the development of domestic financial markets.