Asian Development Bank (ADB) private sector operations over the past year reached $2.3Bn, growing the bank’s overall portfolio of private sector operations by 17% to $10.9Bn. The 27 new private sector operations committed in 2017 accounted for 13.4% of overall signed regular ordinary capital resources financing.
Last year’s commitments were complemented by $5.9Bn in cofinancing, representing 50% of all cofinancing mobilized by ADB. The report was released in Manila, Philippines at the 51st Annual Meeting of ADB’s Board of Governors.
Those are some data from the Private Sector Operations Department’s (PSOD) Development Effectiveness Report 2017.
Headquartered in Manila, ADB is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, it is owned by 67 members (48 from the region).
In 2017, ADB operations totaled $32.2Bn, including $11.9Bn in cofinancing.
17,000 new jobs, 750 mill wastewater treated a year, electric power to meet 870,000 households needs
ADB private sector transactions committed in 2017 are expected to create 17,000 new jobs in Asia and the Pacific, while generating more than $492 million in government revenues and enabling the procurement of $2.2Bn of goods and services from local firms.
Private sector commitments last year are also projected to improve infrastructure access and services, helping treat 750 million cubic meters of wastewater every year and generating around 7,755 gigawatt hours of electricity, enough to power 870,000 households.
“ADB is firmly committed to partnering with the private sector to help improve infrastructure, expand access to finance, and achieve the Paris Agreement on climate change and the Sustainable Development Goals,” said ADB Vice-President for Private Sector and Cofinancing Operations, Diwakar Gupta.
“PSOD will continue to ambitiously work to expand its private sector operations from 13.4% to 20% of total commitments by 2020, including by working in new frontier markets and sectors and increasing support for high-level technologies to improve development impact.”
11.8 million individuals have better acces to finance, 90% of them women or enterprises led by women
Private sector operations support for financial inclusion in 2017 will result in over 11.8 million individuals and small businesses in the region having better access to finance. Among these, 90% are expected to be women or enterprises owned by women. Agribusiness projects committed last year will help more than 2,800 farming households, while over 400,000 farmers and rural households are expected to benefit from improved financial services.
Active private sector operations have already contributed to the region’s economy, providing employment for an additional 133,850 people and training 308,000 beneficiaries, mostly in financial literacy. ADB’s private sector clients have also achieved carbon emissions reductions of 4.1 million tons annually.
Image over the headline.- © ADB.
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