DHAKA, Dec 15, 2018 (BSS)-The Asian Development Bank (ADB) approved the 2019 administrative budget of $690.5 million.
This represents a 2.7 percent increase over the 2018 administrative budget, consisting of 1.3 percent in price increase and 1.4 percent in volume growth.
The volume growth is -0.1 percent if excluding the three special initiatives for IT reforms, organizational resilience, and the decentralization of operations, said an ADB media release.
The 2019 budget will support ADB’s work program, which includes estimated commitments of $17.1 billion for sovereign operations, $3.2 billion for nonsovereign operations, and $329 million for technical assistance.
The main cost drivers include increased staffing to deliver the work program, information technology reforms, the organizational resilience program, and support for the decentralization of operations.
“This budget is the first under Strategy 2030, and supports ADB’s increasingly complex and expanding work program,” said ADB President Mr. Takehiko Nakao. “ADB will focus on operationalizing Strategy 2030 and will strengthen the One ADB approach.”
Under Strategy 2030, ADB aims to address remaining poverty and reduce inequalities in Asia and the Pacific; accelerate progress in gender equality; tackle climate change, build climate and disaster resilience, and enhance environmental sustainability; make cities more livable; promote rural development and food security; strengthen governance and institutional capacity; and foster regional cooperation and integration.
The One ADB approach will be employed, encouraging collaboration between ADB’s sovereign and nonsovereign operations, synergy in knowledge activities between operations and nonoperations departments, and integrated solutions through collaboration across the sector and thematic groups.
The One ADB approach will also strengthen collaboration in support of the expansion and diversification of nonsovereign and public-private partnership operations.
The decentralization of operations is essential to implementing Strategy 2030, and resident missions will represent One ADB in the field, including both sovereign operations and nonsovereign operations. ADB will establish Pacific country offices in 11 small Pacific island countries and will ensure resident missions have the capacity to meet the expanding roles. Business processes and resident mission functions will be reviewed.
ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty.
Established in 1966, it is owned by 67 members-48 from the region. In 2017, ADB operations totaled $32.2 billion, including $11.9 billion in cofinancing.