KUALA LUMPUR (April 27): The Asian Development Bank (ADB) committed a record US$31.6 billion in 2020 to help Asia and the Pacific swiftly tackle the Covid-19 outbreak; support a green, sustainable recovery from the pandemic; and address longer-term development challenges.
The ADB’s Annual Report 2020 released today sets out the bank’s operational and financial results for 2020 as it supported its developing member countries (DMCs) through a year of unprecedented challenges.
ADB president Masatsugu Asakawa said ADB’s assistance is bolstering health systems, protecting vulnerable groups, supporting small businesses, and laying the path for recovery.
“Looking ahead, as we support the region in its recovery from the pandemic, we will ensure that our DMCs rebuild smartly and sustainably,” he said.
The US$31.6 billion ADB committed from its own resources in 2020 was 32% higher than 2019’s US$24 billion.
The bank said these figures comprise loans and guarantees — including short-term trade finance, supply chain finance, and microfinance — grants, equity investments, and technical assistance, both to governments and the private sector.
Just over half of ADB’s 2020 commitments, namely US$16.1 billion, was targeted for pandemic response, and the rest was for helping DMCs to address the long-term development agenda, such as advancing gender equality, tackling climate change, and investing in quality infrastructure.
ADB said its US$16.1 billion pandemic response in 2020, through a US$20 billion package announced in April 2020, was provided in various ways, most notably via a new Covid-19 Pandemic Response Option which had provided quick-disbursing fiscal support to 26 countries by the end of the year.
It said out of the US$16.1 billion, US$2.9 billion was for the private sector, which included direct support to companies, as well as through trade and supply chain finance to keep trade networks functioning.
ADB said to fund these record commitments, it implemented the largest borrowing program in its history, raising US$35.8 billion, including through local currency bonds and green, gender, health, and water bonds.
The bank said it also mobilised record co-financing of US$16.4 billion, which included US$10.8 billion for Covid-19 response, from peer international organisations and private financial institutions.