Philippines among biggest recipients of ADB financial assistance

MANILA, Philippines — The Philippines was among the biggest recipients of financial assistance from the Asian Development Bank (ADB) last year, securing a total of about $3 billion.

ADB’s Annual Report 2022 showed the Philippines was the fifth top recipient of ADB’s financial assistance last year, receiving $2.55 billion worth of loans from the multilateral institution.

In addition, the country secured ADB cofinancing amounting to $433.9 million last year.

Topping the list of recipients of ADB’s financial assistance was Pakistan with $5.58 billion. It was followed by Bangladesh, which received $3.94 billion.

India placed third with $3.12 billion, while Vietnam ranked fourth with $3.09 billion.

Among the loans received by the Philippines from the ADB last year is the $1.75 billion South Commuter Railway - Tranche 1.  This loan is part of a wider $4.3 billion investment program, which is the ADB’s biggest infrastructure investment to date.

Aimed at improving the public transport network in Metro Manila, the first phase will involve the construction of 54.6 kilometers of commuter railway connecting Metro Manila and Calamba.

Last year, the ADB also provided the $400 million Support to Capital Market-Generated Infrastructure Financing Program (Subprogram 2) to the Philippines to help deepen domestic capital markets and increase long-term financing for projects not served by the banking sector, especially for infrastructure development.

Other loans provided by the ADB to the Philippines last year are the $100 million Supporting Innovation in the Philippine Technical and Vocational Education and Training System; and $250 million Climate Action Program (Subprogram 1).

Last year, the ADB committed $20.5 billion worth of financial assistance from its own resources to help Asia and the Pacific to continue to bounce back from the coronavirus disease 2019 pandemic, amid economic shocks following the Russian invasion of Ukraine, a worsening food crisis, as well as extreme weather events.

In addition, ADB mobilized $11.4 billion in cofinancing.

ADB president Masatsugu Asakawa said the multilateral institution’s financial assistance helped developing member countries navigate the immediate impacts of crises and build  longer-term resilience in climate change and food security.

“I am confident that these reforms will ensure ADB delivers greater impact in the region, including by scaling up climate financing, mobilizing more private sector investment, and providing a wider range of development solutions in response to client needs,” he said.