Government Dismisses Claims of India Seeking ADB Funding Cut for Pakistan as ‘Baseless and Untrue’
The Government of India has categorically denied recent social media posts and speculative reports claiming that Finance Minister Nirmala Sitharaman requested the Asian Development Bank (ADB) to reduce funding to Pakistan. In an official clarification issued on Monday, the Ministry of Finance termed the allegations as “baseless and untrue.”
Earlier reports had claimed that during her meeting with ADB President Masatsugu Asakawa (correcting previously misreported name as Masato Kanda), Minister Sitharaman urged the bank to halt or reduce financial assistance to Pakistan. However, the Ministry firmly dismissed these assertions, stating that no Pakistan-related matters were discussed during the meeting.
The Press Information Bureau’s Fact Check unit also addressed the matter via a post on X (formerly Twitter), stating:
“This claim is completely fake. India has not made any such request to the ADB. Beware! Trust only official government sources for credible information.”
Focus on Development Cooperation and Economic Reforms
According to the Finance Ministry, the meeting between Sitharaman and the ADB President focused on strengthening India-ADB cooperation aligned with Prime Minister Narendra Modi’s vision of Viksit Bharat 2047 — a roadmap for a developed India by its centenary of independence.
During the meeting, FM Sitharaman reiterated India’s commitment to private sector-led economic growth and outlined key structural reforms that have transformed the business ecosystem. These include:
- Insolvency and Bankruptcy Code (IBC)
- Corporate tax rate reduction
- Implementation of the Goods and Services Tax (GST)
- Production-Linked Incentive (PLI) schemes
- National Infrastructure Pipeline
- PM GatiShakti National Master Plan
- Startup India initiative
“These bold policy moves reflect India’s sustained efforts to create a favorable environment for investors, foster innovation, and improve ease of doing business,” the ministry stated.
The ADB President acknowledged India’s reforms and expressed the Bank’s full support for India’s development priorities, reaffirming ADB’s role as a long-standing development partner.
Bilateral Engagement with Italy
On the sidelines of the 58th ADB Annual Meeting, Minister Sitharaman also held bilateral talks with Giancarlo Giorgetti, Italy’s Minister of Economy and Finance. The two leaders discussed strategies to enhance India–Italy economic cooperation, and explore synergies in global and multilateral platforms on shared priorities.
