Regional Cooperation

ADB's Role

Poverty is a complex issue, and the strategies to fight it must be comprehensive enough to address all of its many causes. Although many problems are often better dealt by the countries themselves, finding solutions to poverty may also depend to a large degree on strong and sustained support from the international community. For small countries with limited options, regional cooperation may be meaningful and useful. Through regional cooperation, participating countries have greater access to resources that they need, and thus have wider development options.

Promoting regional cooperation is an area where ADB has unique experience and strengths. Over 35 years of experience supporting loan projects, sector studies, and technical assistance in Asia and the Pacific have given ADB the foundation to link national and regional priorities and activities. When countries decide to cooperate in particular themes and sectors, ADB usually already has an in-depth understanding of the theme or sector, and of what does and does not work in practice.

ADB's policy is to support regional cooperation by playing the role of a catalyst in regional cooperation. It has three complementary functions in this regard:

1. Provider of information to the developing member countries (DMCs)
2. "Honest broker" among the DMCs, facilitating dialogue and participation
3. Supporter of the mobilization of public and private sector resources to finance regional cooperation activities

ADB adopts a 3 phase approach in supporting regional cooperation.

Phase 1: the emphasis is on increasing DMCs' understanding and awareness of the potential for regional cooperation and on increasing ADB's understanding of the nature and extent of existing regional organizations and cooperation arrangements.

Phase 2: projects with potential regional implications will be identified by assisting studies in this regard.

Phase 3: ADB will finance or help mobilize financing for such regional projects that have a strong economic rationale.