{"id":12831,"date":"2025-06-03T08:39:32","date_gmt":"2025-06-03T03:09:32","guid":{"rendered":"https:\/\/vajiramandravi.com\/current-affairs\/?p=12831"},"modified":"2025-06-04T17:29:37","modified_gmt":"2025-06-04T11:59:37","slug":"asian-development-bank-adb","status":"publish","type":"post","link":"https:\/\/vajiramandravi.com\/current-affairs\/asian-development-bank-adb\/","title":{"rendered":"Asian Development Bank (ADB)"},"content":{"rendered":"<h2>Asian Development Bank Latest News<\/h2>\n<p>The Asian Development Bank (ADB) president recently announced a five-year initiative to transform urban infrastructure across India, with an estimated investment of $10 billion.<\/p>\n<h2>About Asian Development Bank<\/h2>\n<ul>\n<li>It is a<strong>\u00a0multilateral development bank\u00a0<\/strong>established on 19th December 1966.<\/li>\n<li>It is the\u00a0<strong>principal\u00a0<\/strong>international\u00a0<strong>development finance institution for<\/strong>\u00a0the\u00a0<strong>Asia-Pacific region.<\/strong><\/li>\n<li>It envisions a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty in the region.<\/li>\n<li><strong>Headquarters: Manila, Philippines.<\/strong><\/li>\n<li><strong>In terms of financial commitments to members<\/strong>\u00a0that are developing countries,\u00a0<strong>India ranks first with 14% of the bank\u2019s financial commitment, followed by China, Bangladesh,\u00a0<\/strong>the Philippines, and Pakistan.<\/li>\n<\/ul>\n<h2>Asian Development Bank Functions<\/h2>\n<ul>\n<li>It provides\u00a0<strong>assistance to its developing member countries<\/strong>, the\u00a0<strong>private sector,\u00a0<\/strong>and public-private partnerships\u00a0<strong>through grants, loans, technical assistance,<\/strong>\u00a0and\u00a0<strong>equity investments\u00a0<\/strong>to promote social and economic development.<\/li>\n<li>ADB maximizes the development impact of its assistance by\u00a0<strong>facilitating policy dialogues,<\/strong>\u00a0providing\u00a0<strong>advisory services<\/strong>, and mobilizing financial resources through<strong>\u00a0cofinancing operations<\/strong>\u00a0that tap official, commercial, and export credit sources.<\/li>\n<li>The Bank focuses on\u00a0<strong>six key areas<\/strong>\u00a0that align with the UN\u2019s Sustainable Development Goals (SDGs):\u00a0<strong>education, health, transport, energy, finance, and climate change.<\/strong><\/li>\n<li>The ADB also\u00a0<strong>works in partnership with NGOs and private companies<\/strong>\u00a0to\u00a0<strong>improve capital markets and the business infrastructure\u00a0<\/strong>of developing countries in the region.<\/li>\n<\/ul>\n<h2>Asian Development Bank Membership<\/h2>\n<ul>\n<li>Membership in the ADB is\u00a0<strong>open to members and associate members of\u00a0<\/strong>the\u00a0<strong>United Nations Economic Commission for Asia and the Far East.<\/strong><\/li>\n<li>It&#8217;s also\u00a0<strong>open to other regional countries and non-regional developed countries<\/strong>\u00a0that are members<strong>\u00a0of the U.N.<\/strong>\u00a0or of any of its specialized agencies.\u00a0<\/li>\n<li>From 31 members at its establishment in 1966, ADB has grown to encompass\u00a0<strong>69 members,<\/strong>\u00a0including\u00a0<strong>49 regional members from Asia and the Pacific<\/strong>, such as\u00a0<strong>India, China, Japan,\u00a0<\/strong>South Korea, Australia, and many others, and\u00a0<strong>20 non-regional members<\/strong>\u00a0from Europe, North America, and other regions.<\/li>\n<\/ul>\n<h2>Asian Development Bank Governance<\/h2>\n<ul>\n<li>It is operated by a\u00a0<strong>Board of Governors,<\/strong>\u00a0which is composed of one representative from each member state.\u00a0<\/li>\n<li>The Board then votes to\u00a0<strong>choose 12 of their members to serve as<\/strong>\u00a0the\u00a0<strong>Board of Directors,\u00a0<\/strong>with eight members coming from members from the Asia and Pacific region and the other four from non-regional members.<\/li>\n<li>The\u00a0<strong>Board of Governors\u00a0<\/strong>is also r<strong>esponsible for electing a president<\/strong>\u00a0who serves a\u00a0<strong>five-year term\u00a0<\/strong>as the chairperson of the Board as well as being\u00a0<strong>responsible for the bank\u2019s operations.<\/strong><\/li>\n<li>Because Japan founded the ADB and remains the largest shareholder of the bank,\u00a0<strong>every single president\u00a0<\/strong>of the ADB\u00a0<strong>has been from Japan.<\/strong><\/li>\n<\/ul>\n<h2>Asian Development Bank Voting Power<\/h2>\n<ul>\n<li>The ADB was\u00a0<strong>modelled closely on the World Bank<\/strong>\u00a0and has a\u00a0<strong>similar weighted voting system\u00a0<\/strong>where\u00a0<strong>votes are distributed in proportion to members&#8217; capital subscriptions.<\/strong><\/li>\n<li><strong>ADB&#8217;s five largest shareholders\u00a0<\/strong>are\u00a0<strong>Japan and the United States<\/strong>\u00a0(each with\u00a0<strong>15.6%<\/strong>\u00a0of total shares), the People&#8217;s Republic of\u00a0<strong>China (6.4%), India (6.3%)<\/strong>, and\u00a0<strong>Australia\u00a0<\/strong>(5.8%).<\/li>\n<\/ul>\n<h2>Asian Development Bank Source of Funding<\/h2>\n<ul>\n<li>It raises capital regularly through the\u00a0<strong>international bond markets.<\/strong><\/li>\n<li>The ADB also relies on\u00a0<strong>member contributions, retained earnings from lending,\u00a0<\/strong>and the\u00a0<strong>repayment of loans\u00a0<\/strong>for the funding of the organization.<\/li>\n<\/ul>\n<h2>Asian Development Bank FAQs<\/h2>\n<p><strong>Q1:<\/strong>\u00a0Where is the headquarters of Asian Development Bank situated?<\/p>\n<p><strong>Ans:<\/strong>\u00a0Manila, Philippines<\/p>\n<p><strong>Q2:<\/strong>\u00a0How is voting power determined in the ADB?<\/p>\n<p><strong>Ans:<\/strong>\u00a0Proportional to members&#8217; capital subscriptions.<\/p>\n<p><strong>Q3:<\/strong>\u00a0Which two countries are the largest shareholders of the ADB?<\/p>\n<p><strong>Ans:<\/strong>\u00a0Japan and the United States<\/p>\n<p><strong>Source<\/strong>:\u00a0<a href=\"https:\/\/www.financialexpress.com\/business\/banking-finance\/adb-announces-10-billion-funding-for-indias-urban-projects\/3864931\/\" target=\"_blank\" rel=\"nofollow noopener\">FE<\/a><\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Asian Development Bank (ADB), established on 19th December 1966, is a multilateral institution that supports economic growth and development in Asia-Pacific.<\/p>\n","protected":false},"author":5,"featured_media":49256,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[681,21,22,23],"class_list":{"0":"post-12831","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-upsc-prelims-current-affairs","8":"tag-asian-development-bank","9":"tag-prelims-pointers","10":"tag-upsc-current-affairs","11":"tag-upsc-prelims-current-affairs","12":"no-featured-image-padding"},"acf":[],"_links":{"self":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/12831","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/comments?post=12831"}],"version-history":[{"count":0,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/12831\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media\/49256"}],"wp:attachment":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media?parent=12831"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/categories?post=12831"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/tags?post=12831"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}