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ADB plans to expand infra fund

ADB plans to expand infra fund
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Asian Development Bank (ADB) plans to widen the corpus of Association of Southeast Asian Nations (ASEAN) Infrastructure Fund by inviting participation from mammoth economies in the region namely India and China.

The multilateral development bank expects India and China to contribute a fraction of their reserves in the fund. ASEAN Infrastructure Fund has a corpus of $750 million, of which ADB’s contribution is $150 million.

The ASEAN Development Fund’s total lending commitment through 2020 will be about $4 billion. With a proje­cted 70 per cent co-financing by ADB, it is expected to lev­erage over $13 billion in infrastructure financing by 2020.

According to ADB estimates, over the next decade ASEAN economies will require approximately $60 billion a year to fully address the region’s infrastructure needs.

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