The Asian Development Bank (ADB) and Deutsche Investitions- und Entwicklungsgesellschaft mbH (DEG) signed a cooperation arrangement towards the co-financing of private sector investments in ADB's developing member countries to support Sustainable Development Goals (SDGs) targets.
ADB and DEG will identify socially responsible and environmentally sustainable finance projects under ADB's private sector operations that qualify for co financing, reports BSS. The two institutions will hold periodic collaborative and knowledge-sharing meetings to discuss potential investments, and will together endeavor to bring in further co-financing support from their respective markets, said a press release.
"We are thrilled to work together with DEG, which bridges Asia and the Pacific, and Europe. Our collaboration can help mobilize much-needed capital in the fight against climate change." added Suzanne.
"We have been working with ADB on private sector development impact projects on an ad hoc basis for several years now and recently this year on women and children's sanitation in Viet Nam. ADB and DEG's priorities are uniquely aligned with our goal to support the Sustainable Development Goals by fostering private sector development. To deepen our partnership is a logical next step," said Germany's Development Finance Institution DEG Member of the Management Board Monika Beck.
"With ADB's leadership in the Asia and Pacific region and DEG's sustainable financial expertise and European leverage, we are linking the two institutions to further mobilize capital towards sustainable development impact." added Monika.
For 60 years, DEG, a 100 percent subsidiary of German KfW, has provided the private sector with sustainable finance in developing and emerging markets. Its current portfolio is about EUR 9 billion, out of which about 3 billion is invested in industries and services, infrastructure and energy, and financial institutions in Asia.
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 68 members-49 from the region.