The Market Monitor Minding the Nation's Business
More than 400 dignitaries, including President Duterte, celebrated last Feb. 21 the 50th anniversary of the Asian Development Bank (ADB) headquarters in Manila.
ADB President Takehiko Nakao welcomed Duterte, senior government officials, and Manila-based dignitaries for the celebration. About 400 senior government officials, ambassadors representing ADB member countries, development partners, and media attended.
The two presidents held a short discussion before joining the event. Philippine dignitaries included former Presidents Gloria Macapagal-Arroyo and Fidel V. Ramos, and Carlos Dominguez III, Secretary of Finance and Governor of ADB.
Nakao said 50 years ago, ADB was created through the collective wishes and collaborative efforts of people and countries from within and outside Asia and the Pacific. Many people made great contributions to the creation of the institution. Among them was P. Florentino Feliciano, a Filipino lawyer, who helped write the ADB Charter.
“Since ADB was established in 1966, with support from the Philippines, our host country, and all our partners within and outside the region, ADB has helped improve the lives of people,” Nakao said.
Mr. Duterte valued the partnership with ADB as its host country, and expressed his appreciation for ADB’s support to the Philippines in the past 50 years. “It is my hope that the ADB will continue to lend its support, as the country accelerates its development efforts,” he said.
ADB held its opening ceremony in Manila on 19 December 1966 with 31 members, of which 19 were regional.
The Philippine capital has proven a good base for ADB’s HQ, Nakao said, because ADB is closer to its developing member countries, has benefited from the hospitality of the Philippine government and people, and can draw on a strong pool of English-speaking professionals.
Starting with ADB’s first loan to the Philippines in 1969, ADB has provided $16 billion in loans and grants to the government and about $1 billion in loans and equity investments to private companies.
In the aftermath of Typhoon Yolanda in 2013, ADB provided $900 million for affected areas.
Nakao noted the Philippines’ recent strong economic performance, adding that ADB is strongly committed to supporting the 10-point Socioeconomic Agenda set out by the Duterte administration right after his election.
Since its first loan in 1968 to Thailand, ADB has provided the region with $267 billion in loans and grants, combining finance with knowledge in infrastructure and social sectors.
Nakao also highlighted ADB’s achievement of promoting good policies including stable macroeconomic policies, open trade and investment regimes, and strong governance. Catalyzing regional cooperation and friendship has also been a strong component of its work.
Fifty years ago, Asia was poor, food was in short supply, and it lacked resources to finance development. It has evolved into a dynamic growth center of the world, but Nakao warned against complacency. 330 million people still live in absolute poverty, on less than $1.90 a day.
Large infrastructure gaps constrain economic development and people’s welfare. Asian countries need to address climate change, further promote the private sector, and enhance gender equality. Asia is also facing challenges such as urbanization, aging, and widening inequalities.
In addressing these remaining and emerging challenges in Asia and the Pacific, ADB will continue to partner with member countries, multilateral and bilateral development agencies, civil society organizations, the private sector, and academia.
The first ADB President Watanabe wanted ADB to be a “family doctor” for Asian countries and an institution that “learns before teaching.”
Nakao said these approaches have been an integral part of ADB’s tradition over the past 50 years, although ADB today is much more than a family doctor.
He said that in the coming years, ADB will become stronger, better, and faster. ADB will continue to scale up its operations, promote infrastructure with cleaner and more advanced technologies, act as a knowledge provider based on its experience across countries, and expand support for public-private partnerships.