DUSHANBE, March 2, 2016, Asia-Plus – The Eurasian Development Bank (EDB) and the Asian Development Bank (ADB) have reportedly agreed to invest US$3 billion in projects in Armenia, Kazakhstan, Kyrgyzstan and Tajikistan.
According to the EDB, Eurasian Development Bank”s delegation headed by Chairman of the Management Board Dmitry Pankin has paid an official visit to the Asian Development Bank (ADB).
Dmitry Pankin and Takehiko Nakao, President of the ADB, reportedly discussed a wide range of issues relating to cooperation between the two development institutions in project activities. The sides agreed to share experience and expertise.
They signed a framework co-financing agreement, setting forth the main areas and mechanisms of cooperation in the EDB and ADB member states. The document states that the banks will invest in projects in Armenia, Kazakhstan, Kyrgyzstan, and Tajikistan. EDB will provide US $1 billion and the ADB US$2 billion until 2021.
The banks also signed a protocol on joint additional co-finance for the investment program to build the North–South road corridor in Armenia, envisioning an additional investment of US$ 320 million to be provided by EDB if it receives the respective application from the Armenian Government. EDB has already provided US$ 150 million for the project. The ADB intends to assist the EDB under the framework agreement and invest in the preparation of the project”s feasibility study.
As part of the visit, EDB and ADB representatives also discussed strategic planning, risk management, investments in industries, infrastructure, energy, and equity, procurement procedures, and other issues.
Eurasian Development Bank (EDB) is an international financial organization founded by Russia and Kazakhstan in 2006. The members of the Bank are Russia, Kazakhstan, Armenia, Tajikistan and Belarus (2010). Other states or international organizations can become members by joining the Agreement Establishing the EDB. The Bank has authorized capital in exceeds US$1.5 billion, which was formed of contributions by its member states: Russia (US$1billion), Kazakhstan (US$500 million), Armenia (US$100,000), Tajikistan (US$500,000) and Belarus (US$15 million). The authorized capital may be increased by resolution of the Bank’s Council. The Bank has the status of an international organization, and is subject to international law.
ADB, based in Manila, dedicates itself to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, it is owned by 67 members – 48 from the Asia-Pacific region.
Tajikistan joined ADB in 1998, and to date ADB has approved around $1.4 billion in concessional loans, grants, and technical assistance to the country. The ADB-Tajikistan partnership has promoted social development, upgraded and built new infrastructure, expanded agricultural production, developed the microfinance market, and encouraged regional cooperation and trade.
