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About The Asian Development Bank


The Asian Development Bank (ADB) is providing a $400 million loan to assist the government in implementing its urban reform program. This policy-based loan is intended to bolster the government’s efforts to incorporate reforms focused on enhancing infrastructure and promoting well-planned urban development within a regulated framework.



  • Bilateral, Regional and Global Groupings and Agreements involving India and/or affecting India’s interests.
  • Important International Institutions, agencies and fora – their Structure, Mandate.

Dimensions of the article:

  1. About ADB
  2. Areas of focus
  3. India and ADB

About ADB:

  • The Asian Development Bank (ADB) is a regional development bank that extends loans and investments for development initiatives in its member countries.
  • The bank was established in 1966 with the support of the United Nations organization, now known as the Economic and Social Commission for Asia and the Pacific (ESCAP), and under the leadership of Japan, one of the first industrialized countries in Asia.
  • ADB’s headquarters is situated in the Ortigas Center in Mandaluyong, Metro Manila, Philippines.
  • ADB started with 31 members and now has 68. Out of these, 49 are regional members located in Asia, benefiting from the bank’s programs, and 19 are non-regional members, mainly from Western countries, contributing capital to the bank.
  • The bank admits members of the UN Economic and Social Commission for Asia and the Pacific (UNESCAP) and non-regional developed countries.
  • The decision-making process at ADB is similar to that of the World Bank, with the number of votes a member holds corresponding to their share ownership. Presently, Japan holds the highest number of shares, constituting about 15.5% of the bank’s ownership.

Areas of Focus:

  • ADB concentrates on key development areas aligned with the World Bank’s sustainable development goals (SDGs).
  • These areas encompass education, health, transport, energy, the finance sector, and climate change. ADB aims to foster sustainable and inclusive economic growth by financing projects in fields such as education and health and by enhancing capital markets and business infrastructure in target countries.
  • The bank also undertakes specialized areas like Public-Private Partnerships (PPPs), Information Technology, Regional Cooperation and Integration, and more, serving as secondary capacity-building programs.

India and ADB:

  • India is a founding member of ADB and ranks as the bank’s fourth-largest shareholder.
  • Since its initiation in India in 1986, ADB has aligned its operations with the government’s development priorities. This approach will persist through the forthcoming country partnership strategy for 2023–2027.
  • ADB remains dedicated to revitalizing India’s economy, generating formal job opportunities, addressing climate challenges, and assisting lower-income states. ADB’s operations also promote private sector development, gender empowerment, regional integration, knowledge solutions, and capacity development.
  • Up to the present time, ADB has committed $52.6 billion in public sector loans, grants, and technical assistance to India, with cumulative loan and grant disbursements totaling $40.71 billion, financed through regular ordinary capital resources and other special funds. ADB’s sovereign portfolio encompasses 66 loans amounting to $15.4 billion.

-Source: The Hindu

July 2024