Asian Development Bank

October 2015
President

Takehiko Nakao

Azerbaijan
Uzbekistan
Georgia

ADB Regional Members（48 economies）
Kazakhstan
Mongolia

Kyrgyz Republic

Armenia

Republic of Korea

Tajikistan

People’s Republic of China
Nepal Bhutan
Japan

Turkmenistan

Lao PDR Hong Kong, China
Afghanistan

India

MyanmarThailand

Pakistan= Advanced
economies andgraduateddeveloping member
countries

Bangladesh

Taipei,China

Viet Nam

Marshall Islands

Philippines

Cambodia
Sri Lanka

BruneiMicronesia

PalauKiribati
Nauru

TuvaluMalaysia
Maldives

Papua New Guinea
Solomon Islands Samoa

SingaporeIndonesia

Cook Islands

Timor-Leste

Fiji
Vanuatu

Non-Regional Members（19 countries）

Tonga

Australia

Austria, Belgium, Canada, Denmark, Finland, France,Germany, Italy, Ireland, Luxembourg, Netherlands,
Norway, Portugal, Spain, Sweden, Switzerland,Turkey, United Kingdom, United States

2New ZealandCountry Data（20１4）
Population(million）
People’s Rep. of China
India
Indonesia
Pakistan
Bangladesh
Philippines
Viet Nam
ThailandMyanmarRepublic of Korea

GDP（$ billion）

Per capita GDP（$）

10,355
2,048
856
233
187
290
188
380
65
1,449

7,572
1,626
3,404
1,275
1,179
2,913
2,073
5,550
1,270
28,7394,770
17,416
3,820
2,902
2,848

37,54054,67847,20145,384
44,141

1,367.5
1,259.7
251.5
186.3
158.2
99.4
90.6
68.6
51.4
50.4

（reference: advanced economies）
Japan
127.1
United States

Germany
FranceUnited Kingdom

318.5
80.9
64.0
64.5

Note: 2014 data are estimates. Pakistan’s GDP and per capita GDP data are for 2013.
Source: World Economic Outlook October 2014 database.

3

Growth Rate (%)
2014

2015

2016

（Forecast）（Forecast）

Developing Asia

6.2

5.8

6.0

People’s Rep. of China

7.3

6.8

6.7

India

7.3

7.4

7.8

Indonesia

5.0

4.9

5.4

Pakistan

4.1

4.2

4.5

Bangladesh

6.1

6.5

6.7

Philippines

6.1

6.0

6.3

Viet Nam

6.0

6.5

6.6

Thailand

0.9

2.7

3.8

Myanmar

7.7

8.3

8.2

Republic of Korea

3.3

2.7

3.4

Source: Asian Development Outlook 2015 Update (September 2015)

4

Asian Development Bank (ADB)
Headquarters Manila, Philippines
Founded in 1966
67 Members
Authorized Capital $ 153.1 billion*(end 2014)

Major shareholders (capital share %): Japan （15.7%), UnitedStates （15.6%), PRC（6.5%), India（6.4%）* Paid-in capital (including $1.6bn committed but not paid yet): $7.7bn
Callable capital: $145.4bn

Annual Loan/Investment Approval $13.1 billion (2014)
Loan Outstanding $83.4 billion (end 2014)
Top recipients: India, PRC, Pakistan, Viet Nam, Philippines

Staff 2,990 (including international staff 1,074) (Dec.
52014)

Contribution by Members• Ordinary Capital Resources (Capital Share/ Voting Power Share)– Japan (15.7%/ 12.8%), United States (15.6%/ 12.7%), PRC (6.5%/5.5%), India (6.4%/ 5.4%), Australia (5.8%/ 4.9%), Canada (5.3%/4.5%), Indonesia (5.1%/ 4.4%), Korea (5.1%/ 4.3%), Germany (4.3%/3.8%）, others (30.2%/ 41.6%)• Asian Development Fund (Cumulative Contribution)– Japan (37.9%), United States (14.2%), Australia (7.6%), Canada(6.1%), Germany (5.9%), United Kingdom (5.0%), France (4.3%),
others (19.0%)• International Staff (Head Count: 1,074) (December 2014)– Japan (151), United States (146), India (79), Australia (65), PRC (62),
Korea (50), Canada (46), United Kingdom (43), Philippines (42),Germany (41), Indonesia (33), Pakistan (32), France (29), others(255)6

ADB Operations••

ADB provides loans, grants and technical assistance to developing
member countries in Asia and the Pacific.
Loans are financed from ordinary capital resources (OCR) and AsianDevelopment Fund (ADF).
– OCR loans are provided to middle-income countries (per capita income ≤$7,185) at quasi market rate.
– ADF loans are provided to low income countries (per capita income ≤ $1,215)
at concessional terms (long maturities, low interest rate including grants)•Grants are offered to countries with limited debt repayment capacity
e.g. Afghanistan, Cambodia, Lao PDR•

Technical assistance includes capacity building, project preparation, andresearch for developing members.

2014 Approvals
OCR$10.44 billion
ADF$ 2.69 billion
Grants
$ 0.41 billion
Technical Assistance $ 0.16 billion•

2014 Outstanding$ 55.9 billion$ 27.5 billion

Equity$ 16.9 billion*$ 31.5 billion*As of 31 December 2014. Including Paid-in capital ($6.1bn) and ordinary reserves (accumulated retained earnings: $10.8bn)

7

ADB Operations
Ordinary Capital Resources （OCR) Operations Approvals ($ million)［USD million］

14,00012,0001 0 ,438

10,000

8,000
6,000
4,000

2,00002005

2006

2007

2008

Viet Nam
7.1%(4.0%)
Pakistan
7.9%(10.3%)

Note: Bracketed numbers are from 2013.

2010

2011

By sector(2014)

By country (2014)
Others
30.3%(28.3%)

2009

Industry & Trade
3.4% (0.3%)
Other
Infrastructure
4.4% (0.2%)

India
27.9%(23.6%)

2012

2013

2014

Information &Communication
Agriculture Technology
0.5% (-)
3.3% (3.7%)
Health
0.002% (0.6%)

Education
4.8% (4.1%)

PRC
17.4%(19.6%)
Philippines
9.3%(8.4%)

Water
9.6% (10.9%)

Transportation
34.3% (32.6%)

Finance Sector
Development
10.0% (11.1%)

8

Public Sector
Management
12.5% (7.2%)

Energy17.1% (29.4%)

Asian Development Fund（ADF) Operations Approvals ($ million)

USD million
4,500
4,000

3,091

3,500
3,000
2,500
2,000

1,500
1,000
500
0
2005

2006

2007

2008

2012

2013

2014

2.3% (1.2%) Industry & Trade
1.4% (0.5%)
Finance Sector
Development
Health
0.0% (2.5%)
Public Sector 3.2% (4.0%)
Management
6.5% (27.0%)

Pakistan
18.2%(11.9%)

Cambodia
7.3%(1.8%)

Note: Bracketed numbers are from 2013.

2011

By sector (2014) Infrastructure

Bangladesh
16.0%(9.4%)

Nepal
10.5%(9.8%)

2010

OtherBy country (2014)
Others
34.8%(40.1%)

2009

Water
8.0% (14.1%)

Energy29.6% (19.4%)

Education
10.1% (5.6%)

Viet Nam
13.2%(9.5%)

9Agriculture
13.0% (8.6%)

Transportation
25.8% (17.0%)

“Asian Century” Scenario（global GDP composition)＜Source: “Asia 2050”, which is a study in 2011 commissioned by ADB＞

Present（2013）“Asian Century” Scenario（2050）

Asia’s GDP: $22 trillion (market FX rate)
Asia’s per capita GDP: $10,078 (PPP)

Asia’s GDP: $174 trillion (market FX rate)
Asia’s per capita GDP: $40,800 (PPP)

Population (billion) and Share (%)
2013
Asia
3.97 （56％）
World
7.15 （100％）
1020504.76 （52％）
9.15 （100％）

Asian Share of World GDP
70%

60%
50%

40%
30%

20%
10%

0%
1700 1820 1870 1913 1950 1970 1980 1995 2010 2020 2030 2040 2050
Source: Asia 2050: Realizing the Asian Century

11Poverty in ADB Developing Member Countries$1.25 per day
Year1999
2005

2011

Population(million)

3,104(51%)*
3,337(51%)*
3,547(51%)*$2.00 per day

Number ofPoor(million)

Poverty
Incidence

Share ofWorldPoor

Number ofPoor(million)

Poverty
Incidence

Share ofWorld
Poor

1,236

39.8%

70.3%

2,129

68.6%

72.3%

886

26.5%

64.5%

1,786

53.5%

69.3%

544

15.3%

53.8%

1,398

39.4%

64.7%

* Ratio to the world population (6,051 million in 1999; 6,514 million in 2005; 6,998 in 2011)12

Eight Conditions for Economic Development- Op-ed by President Nakao, Nikkei Asian Review (Feb 5, 2015) 1. Infrastructure investment
2. Investment in health and education

3. Macroeconomic stability
4. Open trade and investment regimes: including streamliningregulatory framework and reforming sate-owned enterprises

5. Public governance: anti-corruption, efficiency of delivering
services and quality of regulations

6. Social inclusiveness: sharing development fruits
7. Vision for the future
8. Political stability, security, and good relations withneighboring countries
13

ADB’s Long-Term Strategic Framework:
Strategy 2020 (formulated in 2008)• Vision: An Asia and Pacific Free of Poverty• Strategic Agendas
1) Inclusive Economic Growth2) Environmentally Sustainable Growth3) Regional Integration• Core Areas of Operations
1)
2)
3)
4)
5)

InfrastructureEnvironment
Regional Cooperation and Integration
Finance Sector Development
Education

The Three “I”s-Innovation- Inclusiveness- Integration(President Nakao’s speech, ADB Annual Meeting in May 2013)14

Midterm Review of Strategy 2020
-Meeting the Challenges of a Transforming Asia and the Pacific(approved by the Board on 23 April, 2014)

ADB’s Strategic Priorities for 2014-2020
1. Poverty Reduction and Inclusive Economic Growth
2. Environment and Climate Change
3. Regional Cooperation and Integration
4. Infrastructure Development
5. Middle-Income Countries
6. Private Sector Development and Operations
7. Knowledge Solutions
8. Financial Resources and Partnerships
9. Delivering Value for Money in ADB
10. Organizing to Meet New Challenges
15

Reforming ADB• Enhancing lending capacity up to $20 billion or by up to50% over the current level, by combining AsianDevelopment Fund (ADF)’s equity and lending operations
to the Ordinary Capital Resources (OCR) balance sheet.
• Streamlining procurement• More authorities delegated to Resident Missions.
• The office of Public-Private Partnership established.
• 7 Sector Groups (Transport, Energy, Health, Educationetc.) and 8 Thematic Groups (Gender, Governance,Environment etc.) reconstituted with full time secretariats.
• Talent management and workforce planning• Private sector operations strengthened through morerational interpretation of equity headroom, introduction ofa facility for small non-sovereign transactions, and etc.
16

ADB TO DOUBLE ANNUAL CLIMATE FINANCING
TO $6 BILLION FOR ASIA-PACIFIC BY 2020
(announced on 25 September 2015)• Doubling ADB’s annual climate financing to $6 billion by2020, from the current $3 billion.
– $4 billion for mitigation through scaling up support for renewableenergy, energy efficiency, sustainable transport, and building
smart cities.
– $2 billion for adaptation through more resilient infrastructure,climate-smart agriculture, and better preparation for climaterelated disasters.

• Continuing to explore cofinancing with Green Climate
Fund and other partners. Mobilizing greater privateresources. Issuing more green bonds.
• Strengthen partnerships with centers of excellence toprovide cutting-edge knowledge and expertise