The Asian Development Bank (ADB) mobilized a record $8.7 billion in nonsovereign cofinancing in 2024, highlighting the expanding role of private sector partnerships in driving development across Asia and the Pacific, the bank said in a statement.
The milestone contributed to a total cofinancing volume of $14.9 billion, supplementing ADB’s own investments of $24.3 billion for the year.
Broad-based growth was recorded across all nonsovereign cofinancing modalities, with long-term project cofinancing rising 3.3% to $3.4 billion, and trade finance, supply chain, and microfinance programs increasing 2.4%.
Transaction volumes in trade and supply chain finance surged to 27,600 deals in 2024 from 21,400 in 2023, driven by higher demand.
Notable transactions included the Gulf Solar and battery energy storage project in Thailand, backed by $260 million from ADB and $529 million from private partners.
Sovereign operations accounted for $6.2 billion of total cofinancing, with multilateral institutions contributing $3.1 billion across 43 projects and bilateral partners providing $2.9 billion across 35 projects.
The figures were unveiled in ADB’s Partnership Report 2024, launched at the bank’s 58th Annual Meeting in Milan.
The report showcases initiatives funded by cofinancing, including early childcare programs in India, disaster risk financing in Mongolia, and power sector reforms in Uzbekistan.
“Through bold actions, innovative solutions, and stronger partnerships, we are committed to driving progress, protecting the most vulnerable, and sustaining ecosystems for millions,” said Xinning Jia, ADB’s Director General for Strategy, Policy, and Partnerships.
In 2024, two out of every five ADB projects were funded jointly with partners, underlining the institution’s collaborative development model.
Trust funds also played a pivotal role, with the Japan Fund for Prosperous and Resilient Asia and the Pacific supporting 33 projects, while the Republic of Korea e-Asia and Knowledge Partnership Fund and the High-Level Technology Fund backed 17 and 14 projects, respectively.
Private sector initiatives such as ADB Ventures Investment Fund 1 and Leading Asia’s Private Infrastructure Fund 2 continued to provide critical early-stage and long-term financing for projects promoting innovation and green growth.
ADB also forged new partnerships in 2024, including an agreement with the South Asian Association for Regional Cooperation Development Fund to boost economic growth and poverty reduction in South Asia.
