Germany

ADB and KfW signed a second amendment to the ADB–KfW Cofinancing Memorandum of Understanding (MOU) in November 2019, extending the MOU to 2023, increasing the cofinancing amount by another $2 billion, and expanding priority countries and themes. The original MOU, totaling $2 billion, was first signed in July 2017 and later amended in September 2017 to extend its validity to 2020 with an additional $2 billion.

At a Glance

Cumulative Project-Specific Cofinancing

$5.8 billion

  

Cumulative Trust Funds Contribution

$122.5million

  

2020 Project-Specific Cofinancing

  • $943.6 million

The country’s provision of development assistance is managed by the Federal Ministry for Economic Cooperation and Development (BMZ), KfW, and Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ).

Germany’s priority sectors and themes are: extending global partnerships and regional cooperation; supporting vocational training, sustainable and social economic development, and employment promotion; protecting the climate and biodiversity; combating the causes of conflict and displacement; strengthening human rights, participation, and the capacity of state institutions; improving structures and living conditions in cities; and improving health and social protection systems. The priority countries include Afghanistan, Bangladesh, Cambodia, India, Indonesia, the Kyrgyz Republic, the Lao People’s Democratic Republic, Mongolia, Myanmar, Nepal, Pakistan, the People’s Republic of China, the Philippines, Tajikistan, Timor-Leste, Uzbekistan, and Viet Nam. GIZ also prioritizes Kazakhstan, Maldives, Thailand, and the Pacific region. The BMZ will contribute €2 million over 2 years (2020–2021) to the Cities Development Initiative for Asia Trust Fund. The contribution agreement was signed on 19 December 2019.

As of December 2020, ADB’s Trade Finance Program (TFP) has supported 637 German export and import transactions (through German and non-German banks) to developing Asia valued at over $574.9 million. Exports and imports were to 16 countries, but mostly to Bangladesh, Pakistan, and Viet Nam. Isolating its work with German banks, the TFP works with 10 banks domiciled in Germany and has provided guarantees supporting $3.4 billion in trade in over 3,166 transactions. The TFP has mobilized $754.7 million in cofinancing with banks domiciled in Germany. Furthermore, ADB’s Supply Chain Finance Program (SCFP) worked with one bank domiciled in Germany and supported $115.2 million in trade in over 559 transactions from September 2018 to April 2020. The SCFP mobilized $57.6 million in cofinancing with the bank operating in Germany. This cofinancing helps leverage ADB resources and brings more support for developing members as well as exports, imports, growth, and job creation.

Active Trust Funds

1 January 2014–31 December 2020 Cofinanced Projects
Country Project Cofinancing Amount ($ million) Type of Cofinancinga
People’s Republic of China Beijing-Tianjin-Hebei Air Quality Improvement-Hebei Policy Reforms Program 166.7 L
Guangxi Modern Technical and Vocational Education and Training Development Program 200 L
Shandong Green Development Fund 113.7 L
Anhui Huangshan Xin’an River Ecological Protection and Green Development 58.9 L
India Green Energy Corridor and Grid Strengthening 848.9 L
Indonesia Fiscal and Public Expenditure Management Program – Subprogram 1 224 L
Fiscal and Public Expenditure Management Program – Subprogram 2 239 L
Java–Bali 500-Kilovolt Power Transmission Crossing 57 L
Stepping Up Investments for Growth Acceleration Program – Subprogram 1 245 L
Stepping Up Investments for Growth Acceleration Program – Subprogram 2 224.6 L
Stepping Up Investments for Growth Acceleration Program – Subprogram 3 340.3 L
Sustainable and Inclusive Energy Program – Subprogram 1 200 L
Sustainable and Inclusive Energy Program – Subprogram 2 210 L
Sustainable Energy Access in Eastern Indonesia- Electricity Grid Development Program 310 L
Fiscal and Public Expenditure Management Program—Subprogram 3 553.7 L
COVID-19 Active Response and Expenditure Support Program 632.8 L
Promoting Innovative Financial Inclusion Program - Subprogram 1 227.1 L
Lao PDR Sustainable Rural Infrastructure and Watershed Management Sector 24.7 G
Viet Nam Power Transmission Investment Program – Tranche 3 71 L
Regional Establishing a Support Facility for Article 6 of the Paris Agreement 1.5 TA
Inclusive Business Support (Supplementary) 0.2 TA
Strengthening Disaster Resilience in Selected Urban Areas of Southeast Asia 0.2 TA
Supporting the Cities Development Initiative for Asia (Supplementary) 0.4 TA

a L = official loan cofinancing. TA = technical assistance cofinancing

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