Asian Development Fund Gets USD 5 Billion Replenishment

Tbilisi (Georgia), May 3 (PTI) The Asian Development Fund (ADF) will be replenished with USD 5 billion to support most vulnerable sections in the Asia Pacific region.

Donors and the Asian Development Bank (ADB) have agreed for the replenishment of ADF and Technical Assistance Special Fund (TASF) during the 57th Annual Meeting of the Manila-based multilateral funding agency here.

ADF is ADB's largest source of grants for operations in its poorest and most vulnerable developing member countries and is replenished every four years.

ADB President Masatsugu Asakawa said ADF 14, marking the 13th replenishment since the fund's establishment, will support grant operations during 2025 ­-2028.

The current replenishment is about 22 per cent higher than the USD 4.1 billion available in ADF 13, and will provide eligible ADB members with the largest-ever volume of ADF grants, he said.

The TASF 8 will provide grants that help prepare projects, build capacity, and provide technical or policy advice.

"We meet amidst multiple challenges that impact human and economic development, where progress has stalled for many. It is incumbent on us to intensify efforts to address the climate crisis, eradicate poverty, and foster inclusive socioeconomic development. The Asian Development Bank, alongside other multilateral development banks, plays a pivotal role in these efforts," he said.

With this in mind, he said, "we concluded the pledging session for the Asian Development Fund 14, or ADF 14. I am very grateful for the generous pledges from donors, which helped deliver a replenishment of USD 5 billion."

Established in 1974, ADF is dedicated to eradicating poverty and enhancing the quality of life in Asia and the Pacific's poorest and most vulnerable countries. ADF combines contributions from ADB members with net income transfers from ADB's ordinary capital resources.

ADF 14 prioritizes dedicated assistance to small island developing states that are particularly vulnerable, especially to climate change, and to countries in fragile and conflict-affected situations, Asakawa said.

ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 68 members, 49 from the region.