Development Effectiveness Report 2016: Private Sector Operations | Asian Development Bank

Development Effectiveness Report 2016: Private Sector Operations

Institutional Document | May 2017

ADB is partnering with private financiers to mobilize resources in support of public priorities by financing projects with significant development impact.

In 2016, ADB approved $2.5 billion to support private sector operations (PSOs), nearly matching the record levels reached in 2015. In addition to this, PSOs mobilized $5.8 billion in direct value-added cofinancing. This represents 41% of ADB’s total cofinancing. Combined, ADB's private sector financing and the cofinancing that raised from the market was 15% higher in 2016 than in 2015. In 2016, ADB’s total private sector portfolio grew to $9.3 billion, an increase of 17% compared to 2015.

ADB’s PSOs emphasize working in poorer and more challenging markets and funding projects that serve the bottom of the pyramid or promote gender equity. Transactions approved in 2016 will make significant contributions to the economies of developing member countries. They are expected to generate more than $10.2 billion in government revenues and enable procurement of $3.3 billion of goods and services from local firms. 2016 approvals are expected to provide 67,000 new jobs, of which 20,000 are directly targeted for women.

Since introducing the option of financing projects without sovereign guarantee in the 1980s, ADB has approved $23.9 billion in private sector operations. A special chapter in this report retraces ADB’s experience with nonsovereign operations and how ADB’s work with the private sector evolved.

Contents 

  • Figures, Tables, and Boxes
  • Foreword
  • ADB’s Private Sector Operations at a Glance
  • Abbreviations
  • Summary
  • Introduction
  • ADB at 50—Working with the Private Sector
  • ADB’s Private Sector Activities and Accomplishments in 2016
  • Awards Received by ADB’s Investees and Transactions