fbpx United Kingdom Fund for Asia Regional Trade and Connectivity | Asian Development Bank

United Kingdom Fund for Asia Regional Trade and Connectivity

What is the fund?

The United Kingdom Fund for Asia Regional Trade and Connectivity was established on 25 April 2018. It is a trust fund under the Regional Cooperation and Integration Financing Partnership Facility of ADB. The objective of the fund is to support the implementation of ADB’s Operational Plan for Regional Cooperation and Integration, 2016–2020 by financing regional cooperation and integration (RCI) activities in selected developing member countries (DMCs) in Central and South Asia, leading to improved integration with other regions of the world.

What are the priorities?

The fund will support:

  1. the identification and design of projects that improve cross-border transport, energy, and information and communication technology infrastructure, as well as tackle red tape and regulatory bottlenecks;
  2. financing of regional projects to increase the poverty reduction and gender impacts of their loans; and
  3. strengthening individual and organizational capacity in the preparation and financing of high-priority regional and/or cross-border investments that facilitate regional integration.

The fund will prioritize activities and projects that:

  1. promote and develop nascent RCI sectors and subsectors;
  2. support nonsovereign RCI operations through direct private financing and public–private partnerships; and
  3. pilot country programs for inter-subregional RCI, backed by inter-subregional knowledge product development.

What kind of activities are eligible for the fund?

The fund will support RCI activities in the following sectors and/or areas:

  • regional electricity connectivity and trade,
  • transport connectivity,
  • digital connectivity,
  • regulatory reform and broad regional trade and investment facilitation,
  • regional and/or cross-border value chains, and
  • broader strategic issues related to connectivity investments.

Who is eligible to receive the fund?

Eight DMCs in Central and South Asia are eligible to receive fund support:

  • Afghanistan
  • Bangladesh
  • India
  • the Kyrgyz Republic
  • Myanmar
  • Nepal
  • Pakistan
  • Tajikistan

Other DMCs can be supported if they cooperate or collaborate with one or more of the eight selected DMCs through a subregional program (e.g., the Central Asia Regional Economic Cooperation Program, the Greater Mekong Subregion Economic Cooperation Program, and the South Asia Subregional Economic Cooperation Program) or other subregional and regional groups and forums.

Who supports the fund?

The Government of the United Kingdom supports this fund.