ADB's Response
Operations

ADB adopts a flexible approach in its use of regular and additional resources to support its developing member countries (DMCs) in the region to cope with the challenges of the global economic crisis.

ADB plans to increase its lending assistance by more than $10 billion in 2009-2010, bringing total ADB assistance for these two years to about $32 billion. This compares with about $22 billion in 2007-2008. Of the $10 billion increase in lending, $1 billion is to support trade finance, $3 billion to the Countercyclical Support Facility (CSF) and about $6 billion to extend loans such as those for infrastructure investment. ADB will also expand its crisis-related support through grants for policy analysis and capacity building.

ADB's crisis-related response is tailored to the specific circumstances and needs of each DMC. Plans by the operational departments include the following (as of 30 July 2009).

Central and West Asia

• In Central and West Asia, 2009 crisis-related response is programmed for 5 DMCs focusing on lending to restore and build market confidence, and support DMC's fiscal expansion programs, using mainly the program loan modality.
• A regional technical assistance (TA) is planned in 2009 to mitigate the impact of the global financial crisis on Central and West Asia, and another regional TA for social sector financing.

Approved Loans:

East Asia

• Crisis-related response is programmed for Mongolia to maintain the momentum in development through support in education and health sectors. A loan was approved with emphasis on avoiding erosion in Mongolia's social safety net.
• A project preparatory TA for financial crisis response is also planned for Mongolia.
• A research and development TA including the People's Republic of China for policy analysis and knowledge on global developments on financial sector is planned for 2009, as well as a capacity development TA to assist in capital markets.

Approved Loans:

Approved TA:

Pacific

• For the Pacific countries, crisis-related response is programmed for 6 DMCs (Cook Islands, Marshall Islands, Palau, Solomon Islands, Timor-Leste, and Tonga) and will focus on lending to maintain momentum in infrastructure development and to ease financial markets' liquidity constraint.
• There are 5 capacity development TAs and one policy and advisory TA programmed for 2009 in the Pacific DMCs primarily to support economic and public financial management.

Approved Loans:

Approved TA:

South Asia

• 2009 crisis-response lending in South Asia aims mainly to restore or build market confidence and maintain development momentum through infrastructure programs, using the program loan and guarantee modalities.
• Its 2009 crisis-related TAs support economic management, public financial management, and public private partnerships.

Approved Loans:

Approved TA:

Southeast Asia

• 2009 lending for crisis response in Southeast Asia aims to alleviate the impact of the global economic/financial turmoil on Cambodia, Indonesia, Lao PDR, Philippines, Thailand and Viet Nam. The guarantee modality is planned to be used in some countries to maintain development momentum in infrastructure investment.
• Southeast Asia's 2009 nonlending program in response to the crisis is focused on building the governments' capacity in macroeconomic, financial, monetary and fiscal policy formulation and implementation.

Approved Loans:

Approved TA:

Private Sector

• Responding to the crisis, ADB's private sector operations will effectively utilize the guarantee modality to support trade finance.

Approved Program:

Approved TAs: