Domestic Resource Mobilization Trust Fund
What is the fund?
The Domestic Resource Mobilization Trust Fund (DRMTF) is a multi-partner trust fund established in July 2017. It aims to enhance Domestic Resource Mobilization (DRM) in ADB’s developing member countries (DMCs) to achieve the UN’s 2030 Sustainable Development Goals (SDGs), particularly Goal 17.1, which states: “Strengthen domestic resource mobilization, including through international support to developing countries, to improve domestic capacity for tax and other revenue collection.” SDG 2030 is a top development priority that requires urgent and substantial financial resources to help DMCs achieve the SDG targets.
What are the priorities?
The supported activities must have strong links to ADB operational activities and/or concerns consistent with the country strategies and programs (CSPs); the stronger the link, the higher the priority. Given the same degree of linkage to operations, those activities that can be shown to contribute concretely to reducing poverty will be given higher priority over others. Individual donor countries participating in the DRMTF may specify further priorities for their respective contributions. The fund may be used to assist tax authorities in DMCs to prepare for implementation of internationally agreed standards including base erosion and profit shifting and automatic exchange of information.
What activities are eligible for the fund?
Activities that are eligible for the DRMTF support should:
- be consistent with the country partnership strategy and results framework;
- address the overall objectives of the 2030 Agenda for sustainable development;
- demonstrate the promotion of broad based involvement and participation of key stakeholders in the formulation of the proposal;
- utilize DMC expertise to the extent possible where applicable and available;
- have good potential for replication and scalability in the country, and/or region; and
- be in compliance with ADB policies and guidelines.
Who is eligible to receive the fund?
All ADB DMCs are eligible to receive support from the fund.
Who supports the fund?
The Government of Japan is the first contributor to the fund.