ADB triples financial aid to fight Covid-19 to USD 20 billion for its member nations

New Delhi: The Asian Development Bank (ADB) has tripled its initial Covid-19 response package to $20 billion that it had announced for developing member countries (DMCs), according to a release on Monday.

The international bank has also approved measures to streamline its operations for quicker and more flexible delivery of assistance, it said, as the fallout from the pandemic worsens and pushes the global economy further into recessionary territory.

On March 18, the multilateral lender had announced a $6.5 billion package for 31 DMCs to enable a speedy recovery of their economies. It has added another $13.5 billion as the virus spread persists and lockdown measures bring economies to a grinding halt.


“This pandemic threatens to severely set back economic, social, and development gains in Asia and the Pacific, reverse progress on poverty reduction, and throw economies into recession,” said ADB president Masatsugu Asakawa.

“Our expanded and comprehensive package of assistance, made possible with the strong support of our Board, will be delivered more quickly, flexibly, and forcefully to the governments and the private sector in our developing member countries to help them address the urgent challenges in tackling the pandemic and economic downturn,” he added.

Up to $13 billion will be available to governments to implement effective countercyclical expenditure programs that focus on the poor and vulnerable. Grants will also continue for procurement of medical supplies and personal protective gear.

For the private sector and financial institutions, $2 billion will be made available through loans and guarantees along with microfinance loans for medium-sized enterprises and direct financing for companies.