Private Sector (Nonsovereign) Financing
In the Spotlight
As small and medium-sized businesses in the Kyrgyz Republic face an economic downturn, mobile phone technology and local banks are making access to finance easier.
ADB has approved loans of up to $175 million for private renewable energy development to Mytrah Energies (India) Ltd (MEIL) to help it develop wind and solar power projects, which will generate up to 1,200 gigawatt-hours of clean energy a year.
The Japan International Cooperation Agency (JICA) and the ADB have agreed to a new fund, the Leading Asia's Private Infrastructure (LEAP). Capitalized by $1.5 billion in equity from JICA, this fund will support private infrastructure investments across Asia and the Pacific.
ADB is administering a $6 million loan from the Clean Technology Fund to help Simpa Energy India Private Ltd expand its off-grid solar home system service to underserved markets in rural India.
As a catalyst for private investments, ADB provides direct financial assistance to private sector projects. While ADB’s participation is usually limited, it leverages a large amount of funds from commercial sources to finance these projects. Projects must also have clear development impacts and/or demonstration effects that go beyond the benefits captured in the financial rate of return.
10.2(2014) Nonsovereign operations, in US$ billions
6.9(2014) Value of private sector approvals, in US$ billions
1.9(2014) Private sector approvals financed by ADB, in US$ billions