Imphal Ring Road Project likely to be aborted
Source: The Sangai Express

Imphal, July 13 2026: The ambitious Imphal Ring Road Project is now facing a very precarious situation with the Asian Development Bank (ADB) refusing to release funds.

The project which has been already initiated is likely to be aborted due to fund crunch.

Well placed sources said that the Imphal Ring Road Project is supposed to be completed by 2027 but the ADB is yet to release any money.

The ADB invested around Rs 1400 crore for the Imphal-Kangchup-Tamenglong Road (IKTR) Project but the project was not implemented properly.

The project was implemented in a very sloppy manner, not at all compatible with the amount invested.

Imphal Ring Road Project likely to be aborted

It is quite likely that this ugly precedent made the ADB rethink the Imphal Ring Road Project and hold back funds, said the sources.

Notably, the IKTR Project still remains incomplete even though a huge amount has already been invested in it.

It is estimated that more than Rs 300 crore would be needed to complete the IKTR Project in addition to the Rs 1400 crore already invested.

This amount of Rs 300 crore should be borne by the State Government but the State Government, because of its sick financial condition, has been facing a difficult time in pooling this amount.

Given this situation, the State Government is not in a position to execute the Imphal Ring Road Project from its own resources, said the sources.

Till date, the ADB has not spelt out any specific reason for refusing to release funds for the Imphal Ring Road Project and the ADB has shown its unwillingness or reluctance to invest in projects in Manipur, according to the sources.

Imphal Ring Road Project was already initiated with the hope that the ADB would invest in the project.

It is being speculated that the ADB is now reluctant to invest in the project because of discrepancies and lapses on the part of those concerned, said the sources.

Work orders for such projects should be issued through proper tender after the loan negotiation process is initiated or completed.

But the tender process for Imphal Ring Road Project was held and work orders were issued even before the loan negotiation was initiated and the ADB was yet to approve the alignment of the road, said the sources.

Subsequent upon the granting of work orders, contractors started executing the project but the Government is unable to clear the liabilities incurred so far.

Nonetheless, around Rs 50 crore has been already spent from the State fund in paying contractors' liabilities.

At present, the State Government owes liabilities of around Rs 30 crore to the contractors, said the sources.

With the ADB refusing to invest in the Imphal Ring Road Project, the State Government has now started ex- ploring other fund sources.

It is not yet clear which funding agency or institution will be roped in to fund the project.

The State Government will need to spend around Rs 100 crore in land acquisition for the Imphal ring Road Project.

So far, around Rs 30 crore has been spent in paying compensation to land owners.

The State Government has already set aside around Rs 70 crore needed for payment of land compensation.

Even though the State Government has the amount needed for payment of land compensation, it is unable to hand out the compensation amounts in view of the uncertainty hanging over the Imphal Ring Road project.