“Asia will need $1700bn per year in investments in power, transport, telecommunications and water through 2030.

This is more than double our previous estimate,” Asian Development Bank (ADB) president Takehiko Nakao told the 50th Annual Meeting of ADB’s board of governors last week.

And yet, as Mr Nakao reported, while ADB’s total operations last year achieved record levels, they only reached $31.7bn: a drop in the ocean relative to the region’s financing needs.

Stepping into this financing gap over the past year or so has been China’s motivation to create the Asian Infrastructure Investment Bank (AIIB).

This new bank’s lending may be only slowly getting off the ground, but it already has more members than the ADB, and its authorised lending limit is also higher than the ADB’s. The new competition from the AIIB has seen the ADB streamline its lending procedures and rush to approve new lending.

Source link

About the author

Leave a Reply

Sign Up for Our Newsletter

Get notified of our weekly selection of news

You May Also Like

Thailand’s Monetary Policy remains stable as COVID-19 outbreak is weighing on Thai economy

The Bank of Thailand held the interest rate steady at 0.5% during its scheduled meeting in August. Current risks are pointing to the downside, with the country’s slow inoculation campaign, low tourist arrivals, and raging COVID-19 outbreak weighing on the economy

Fitch keeps Thailand’s Outlook Stable at ‘BBB+’

Fitch Ratings – Hong Kong – 20 Dec 2021: Fitch Ratings has affirmed Thailand’s Long-Term Foreign-Currency Issuer Default Rating (IDR) at ‘BBB+’ with a Stable Outlook.

Updated! Sandbox entry programme available at 4 destinations from 11 January 2022

In addition to the Phuket Sandbox, Thailand will reopen Krabi, Phang-Nga, and Surat Thani (Ko Samui, Ko Pha-ngan, and Ko Samui) for international arrivals under the Sandbox programme from 11 January, 2022.