Manila, April 15: In the wake of the global financial crisis the board of the Asian Development Bank has passed a resolution calling for a 200 per cent increase in the bank`s
capital base, the bank`s president said on Wednesday.
Haruhiko Kuroda said that the increase would boost the
bank`s general capital from USD 55 billion to USD 165 billion
in what will be the fifth increase in the bank`s 42 year
history and the first in 14 years.
He said the bank`s 67 governors were now voting on the
resolution with a decision expected on April 29 - a week
before the Manila-based bank`s annual general meeting on the
Indonesian island of Bali.
Speaking to reporters Kuroda said the resolution needs
the backing of a three-quarters majority to be approved.
"I am not anticipating any problems," Kuroda said.
He said the financial crisis had hit most developing
Asian nations "very hard."
"I expect you will see (economic) growth in most
low-to-middle income Asian nations to be either low or
negative this year," Kuroda said.
"India and China, on the other hand, appear to be doing
relatively well."
Kuroda said he expected lending to increase this year and
in 2011 as countries try to ease the pain inflicted by the
global financial downturn.
Bureau Report
