Pakistan

2022, Pakistan will be the largest recipient of ADB-funded programmes.

Published

1 year ago

May 1, 2023

Credent TV

According to the Asian Development Bank’s (ADB) Annual Report 2022, Pakistan received $5.58 billion in loans, making it the largest recipient of ADB-funded programs/projects in 2022.

In the midst of an economic crisis, Pakistan becomes the largest recipient of ADB-funded programmes:

According to the Asian Development Bank’s (ADB) Annual Report 2022, Pakistan received loans totaling $5.58 billion, making it the country that received the most ADB funding for programmes and projects in that year. Pakistan received $2.67 billion in concessional funding from the bank out of the total amount lent, underscoring the dire economic circumstances in the nation. This sizeable lending illustrates the depth of Pakistan’s economic crisis, which has been exacerbated by political and geopolitical unrest.

Natural Disasters and Food Insecurity Make Pakistan and Afghanistan’s Economic Problems Worse:

According to the ADB report, Pakistan experienced severe floods that destroyed more than one-third of the country’s Kharif (summer) seasonal cropping area, reducing food supplies and raising prices. In the meantime, drought and flash floods in Afghanistan worsened food insecurity and caused staple goods’ prices to soar, which had an effect on the entire population. The ADB committed $3.7 billion from the programme in 2022 to address this crisis, including food aid for those in need, particularly women and girls, in Afghanistan (using UN systems), Pakistan, and Sri Lanka.

Countercyclical Support Facility for Developing Nations Affected by the Food and Energy Crises:

Additionally, the ADB contributed a total of $2.2 billion to the Kyrgyz Republic, Mongolia, Pakistan, Tajikistan, and Uzbekistan via the bank’s countercyclical support facility. The food and energy crisis brought on by the Russian invasion of Ukraine had a significant impact on all of these nations. Devastating floods in Pakistan made the country’s economic problems worse, increasing domestic inflation and reducing consumption.

The ADB’s Responsibility to Respond Quickly to Emergencies in the Asia Pacific Region

In the Asia Pacific region, the Asian Development Bank’s (ADB) has been crucial in providing prompt responses to both ongoing and emerging crises. The bank has provided a significant amount of assistance to the nations affected by natural disasters and economic difficulties. The funding from the ADB has aided in addressing food insecurity, boosting energy security, and providing aid to the affected population. The bank’s emphasis on concessional financing has given the nations facing serious economic difficulties vital support.

Asian Development Bank (ADB) information

In order to advance social and economic development in Asia and the Pacific, the Asian Development Bank (ADB) was founded in 1966.

49 of the 68 member nations of the ADB, which has its headquarters in Manila, the Philippines, are in the Asia-Pacific.

The Asian Development Bank (ADB) offers loans, grants, and technical support to its member nations for a range of development initiatives, such as infrastructure improvement, poverty alleviation, and regional integration.

Addressing climate change, advancing gender equality, and assisting private sector development are among ADB’s top priorities.

Since its founding, the Asian Development Bank (ADB) has committed over $330 billion in loans and grants with the goal of fostering a prosperous, inclusive, resilient, and sustainable Asia and the Pacific.

According to voting power, Japan (15.6%), the United States (15.6%), China (6.4%), India (6.3%), and Australia (5.8%) are the top five ADB shareholders.

India has been a member of the ADB since its inception and is currently the fourth-largest shareholder. One of the biggest recipients of ADB funding in recent years for various development projects, such as infrastructure, education, health, and poverty reduction, has been India.