Out of the shadows
President Takehiko Nakao says the Asian Development Bank can play a bigger role than ever in promoting the region’s development.
It is hard to think of a more appropriate setting for this year’s Asian Development Bank annual meetings. Manila, the Philippines capital, has long been a case study for under-investment in infrastructure, but the current administration is doing its best to shake off that reputation with an ambitious development plan. The Philippines is growing fast, at close to 7% a year. It is investing heavily in infrastructure, reforming its capital markets and stamping out corruption. The buzzwords of inclusive growth, resilience and technology feature...Read more
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President Takehiko Nakao says the Asian Development Bank can play a bigger role than ever in promoting the region’s development.
Tariffs and trade wars are not good news for Asia’s export-driven economies. Can intra-Asian links and China’s BRI save the day?
Eleven countries, including Japan and Canada, signed a landmark Asia-Pacific trade agreement without the United States in early March in what one minister called a powerful signal against protectionism and trade wars. The deal came as US President Donald Trump vowed to press ahead with a plan to impose tariffs on steel and aluminium imports, a move that other nations and the International Monetary Fund said could start a global trade war. The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CP-TPP) will reduce tariffs in...
Indiscriminate tariffs are not the answer to the current US-China trade imbalance, especially as China’s once overwhelming competitive advantage has dwindled, says Dilip Parameswaran
Asia has been a laggard in the global growth of sustainable investments, but interest in Green financing is growing fast. The ADB is backing steps to boost both supply and demand.
Asia’s emerging capital markets offer a case study in the hurdles to regional integration. While local bond markets are now far deeper than they were before the Asian financial crisis of 1997-98, moving capital across borders remains a challenge. The ADB and the ASEAN+3 Bond Market Initiative are looking to change that. “We don’t just want to promote local bond markets, we also want to promote regional integration,” said Avonechith “Noy” Siackhachanh, a senior adviser at the ADB working closely with the ABMI. “Sometimes the bond market is way...
The rapid growth of digital technologies is bringing with it both fear and opportunity for Asian economies. Productivity gains should outweigh any loss of jobs, but Asia still needs to be on guard.
Advancements in financial technology are opening up new opportunities for fast-growing Asian companies to finance trade and expansion, but pose new challenges for the region’s regulators. How can blockchain technology help power Asian development, and are Asia’s central banks ready to embrace virtual assets? The ADB has so far been quiet on the topic of blockchain technology or virtual currencies, but the 2018 annual meetings promise to change that. Discussions on the future of finance feature high on the agenda, and ADB President Takehiko...
President Duterte’s ambitious infrastructure programme may be laying the foundations for stronger long-term growth, but the government’s funding strategy is not keeping everyone happy.
Regulators are hoping that a package of reforms – supported by a US$300m ADB facility – will stimulate the Philippines’ capital markets and provide better access to long-term funding for local companies and infrastructure developers.
The Republic of the Philippines shook up the Panda bond market in March with an exceptionally tight debut that underscored the growing role of overseas investors in onshore renminbi financings. The Baa2/BBB/BBB rated sovereign priced the Rmb1.46bn (US$230m) 5.0% three-year notes in China’s interbank market at the low end of 5.0%–5.6% indicative guidance. In a first for the Panda market, most of the bonds went to overseas buyers, helping the Philippines smash through pricing expectations and leaving other issuers scrambling to understand the...