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ADB Urban Day 2008

Keynote Address by
Ursula Schäfer-Preuss
Vice President, Knowledge Management and Sustainable Development
Asian Development Bank

8 September 2008
ADB Headquarters, Mandaluyong City

Introduction

Good morning, distinguished guests and colleagues. I am very pleased to be participating in the first 'Urban Day' for ADB. This has been organized by the Urban Community of Practice - and I especially want to thank Mr Juan Miranda, Mr Hun Kim, and Mr Michael Lindfield - for organizing this innovative event. Ladies and gentlemen, as we are all aware, the issues associated with urban development represent major development challenges for the Asia-Pacific region. The cities development in the region is unprecedented with an expected 1.1 billion more people living in the cities within the next 20 years - making urbanization a critical policy issue for the governments. Not to forget in this context the urgent need to look probably differently into the informal sector and think about new forms of employment creation.

Today, I will briefly share with you on ADB's plans to promote urban development. In May of this year, our Board of Governors endorsed ADB's new long-term strategic framework, Strategy-2020. The issues of urban development are clearly highlighted in Strategy-2020. What are the challenges? Urban development needs to be more inclusive, so that more people, especially poor people, can have access to the essential needs. Urban development needs to continue to promote growth - by investing in infrastructure and maintain as the engine of development. Finally, urban development needs to be more sustainable - protecting the environment and addressing climate change.

ADB's Actions for Urban Development

Recognizing that our objectives require strong partnership across the region, ADB has supported the establishment of a multi donor project which will contribute significantly towards improving the living conditions of people in Asian cities - and make them more inclusive for all people. This partnership is called the Cities Development Initiative for Asia (CDIA). Through the CDIA, ADB will facilitate international dialogue, training and advice in order to build the problem-solving capacity of decision-makers from Asian cities and urban areas, to support them in preparing municipal infrastructure investment, and to assist in finding financiers.

The CDIA aims to upscale investments in the urban sector, foster ownership, aligning support with national priorities. It is designed to assist Regional Departments and the Private Sector Operations Department in ADB to support city investment programs; to build coordination mechanisms, financial management and procurement capacities; to pool and coordinate donors offering different types of support so as to most effectively deliver such assistance; and to ensure the assistance produces the desired outcomes.

Finally, looking into the complex issues of climate change, ADB will complement the CDIA activities with various sector and thematic support. Foremost, our Regional and Sustainable Development Department has resources available to the urban community for mitigation and adaptation activities, both for technical assistance and for investment cofinancing, in our Clean Energy and Water Financing Partnership Facilities. We are also supporting the development of sustainable transport systems to mitigate the effects of climate change. In addition, as this afternoon's session climate change will inform all of you, ADB has been active in preparing for our comprehensive action plan to assist our development member countries to address climate change. Furthermore, to make the cities more livable, ADB and the World Bank, with support from a number of Asian cities and organizations, launched the Clean Air Initiative-Asia in 2001. Its mission is to promote and demonstrate innovative ways to improve the air quality of Asian cities by sharing experiences and building partnerships. Through these various efforts, ADB will provide assistance to our developing member countries so that the countries, and the cities, will follow a more sustainable growth path.

Today's sessions highlight the important interaction between global and local actions, as well as the need for forging stronger partnerships for successful urban development. And in this context, as mentioned earlier not to forget to involve the informal sector.

• Starting at the global level, the session on climate change will raise issues of how investments for climate change mitigation and adaptation can be financed and discuss ADB's role in this field. We understand that climate change is primarily a problem of cities and as aforementioned, this is at the core of ADB's operations.



• At the city level, the session on city clusters will discuss how infrastructure in support of industry clusters can be planned and ADB's role in implementing this infrastructure. Balancing economic growth, social inclusion, including employment creation and environmental protection, is a task of primary importance in Asia.



• And the session on solid waste will discuss the opportunities for ADB's upscaling its activity in this sector. I hope that the session will provide insights on how we can build partnerships in specific areas to and attain resources from various sources to better finance and design projects on solid waste.

Conclusion

Ladies and gentlemen, I want to thank you again for participating in this important event. The issues as discussed require actions to protect global public goods, mechanisms of investment and employment at the local levels, and investment plans to ensure sufficient resources.

Due to other commitments, I will not be able to stay during the morning session. However, I hope to meet with all of you during the afternoon. Thank you again, and I wish you all a productive day and look forward to the results of your discussions.