ADB commits $3.23b for pandemic response, green recovery in Pakistan
The Asian Development Bank (ADB) committed $3.32 billion in 2021 to help Pakistan tackle the immediate effects of the coronavirus disease (COVID-19) pandemic and promote a green recovery.
Financial and operational results published on Monday in ADB's Annual Report 2021 depict how ADB supported its developing member countries (DMCs) through a combination of finance, knowledge, and partnerships.
The commitment made by the ADB in 2021 includes loans and guarantees, grants, equity investments, and technical assistance provided to governments and the private sector. In addition, ADB also mobilized $2.019 billion in co-financing.
According to the report, the ADB committed $600 million for Pakistan's Integrated Social Protection Development Program and $235 million for the Central Asia Regional Economic
Cooperation Corridor Development Investment Program - Tranche 2.
Similarly $300 million were committed for Balakot Hydropower Development, $372 million for Khyber Pakhtunkhwa Cities Improvement, and $5 million were committed for Preparing Kurram Tangi Integrated Water Resources Development Project.
The ADB also committed $300 million concessional loan for Pakistan's Energy Sector Reforms and Financial Sustainability Program, and $500 million concessional loan for COVID-19 Vaccine Support under the Asia Pacific Vaccine Access Facility.
Overall the ADB committed $22.8 billion from its own resources in 2021 to help Asia and the Pacific tackle the immediate effects of the coronavirus disease (COVID-19) pandemic and promote a green recovery.
In addition, ADB also mobilized $12.9 billion in co-financing.
Of ADB's 2021 commitments, $13.5 billion, or 59%, was for pandemic response, although many of these commitments, such as strengthening the health sector, will also help the region long after the pandemic is over.
The bank's pandemic response support included $4.9 billion in rapid disbursing financing for governments to support structural reforms and address debt sustainability. The financing included $4.6 billion in policy-based lending and $250 million through the COVID-19 Pandemic Response Option.
As part of the pandemic response, ADB committed $4.1 billion to enable the procurement and delivery of safe and effective vaccines for its DMCs. The bank also provided $3.3 billion to the private sector to keep businesses open, trade flowing, and make medical products and services available. A broad range of knowledge support guided COVID-19 response and recovery plans.
"ADB firmly believes that addressing the impacts of the pandemic and supporting long-term development are not mutually exclusive," said ADB President Masatsugu Asakawa. "Our sustained COVID-19 response has laid the foundations for an inclusive, resilient, and green recovery, ensuring progress toward our Strategy 2030 objectives."