ADB Annual Meeting Closes with Commitment to Relevance, Responsiveness and Results

ISTANBUL, TURKEY (6 May 2005) - At today's close of ADB's 38th Annual Meeting of the Board of Governors, ADB President Haruhiko Kuroda confirmed ADB's commitment to institutional change and renewal to better serve the needs of developing Asia and the Pacific.

"ADB is firmly committed to reducing poverty and achieving the Millennium Development Goals (MDGs) in the Asia and Pacific region," Mr. Kuroda said.

"We are entering a new era that holds much promise for the region. In this new era, ADB must become a more relevant, more responsive and more results-oriented institution, serving the needs of all its shareholders."

In summarizing the proceedings of the meeting, Mr. Kuroda noted that Governors had commended ADB for its leadership role in addressing the aftermath of the tsunami in late 2004, and on the introduction of grants in the 8th replenishment of the Asian Development Fund (ADF IX) agreed last year. They welcomed ADB's establishment of an Integrity Division to support transparency and anti-corruption efforts, and a Results Unit to ensure implementation of a results agenda throughout the institution.

ADB is strongly committed to a more proactive role in regional cooperation and integration, Mr. Kuroda said. In this regard, Governors welcomed the creation of the Office of Regional Economic Integration. They also applauded ADB's plan to establish an independent risk management unit.

During the three-day session, Governors discussed a wide range of issues, challenges and opportunities facing the Asia and Pacific region.

While developing Asia and the Pacific has experienced strong growth in recent years, Governors agreed that the generally buoyant economic profile is not uniform, and that significant economic and social disparities persist within countries and across the region. In addition, global macroeconomic challenges may constrain future growth in Asia. Governors further observed that achieving the MDGs, especially the nonincome MDGs, will require significant effort across the region, and increased support from the international community.

Governors stressed the urgency of addressing Asia's large infrastructure needs, ensuring inclusive economic growth, and promoting good governance. They also noted the critical importance of the private sector as an "engine for growth" in the region.

In the context of these broad regional challenges, Governors urged ADB to:

• Increase its promotion and leadership of regional cooperation and economic integration, including more efficient financial intermediation in the region;
• Strengthen its ordinary capital resources and increase the quality of financial assistance by streamlining policies and procedures, developing new lending instruments and ensuring the cost-competitiveness of its products and services;
• Work with governments, development partners, and the private sector to meet priority infrastructure investment needs; and
• Use its comparative advantage to promote increased private sector participation in the region's development.

Governors also strongly encouraged ADB to accelerate internal reforms, including full implementation of the Human Resource Strategy, and noted the importance of the new Public Communications Policy in ensuring high standards of transparency and accountability.

"I would like to thank the Governors for providing valuable insights and perspectives on the challenges involved in further reducing poverty and achieving the MDGs in Asia and the Pacific," Mr. Kuroda said. "I look forward to your continued support and partnership."

The Annual Meeting was attended by delegates from ADB's 63 member countries, including senior economic and finance planning government officials, ministers, academics, journalists, business people, investment bankers, and representatives of international organizations and nongovernment organizations.

The 39th Annual Meeting of the Board of Governors will be held from 4 to 6 May 2006 in Hyderabad, India. In 2007, the 40th Annual Meeting will be held in Kyoto, Japan.

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