India's Call for Reforms at the Asian Development Bank (ADB)
India has emphasized the need for process reforms at the ADB to expedite the approval process for both sovereign and non-sovereign lending. This initiative aims to enhance support for developing economies.
Key Points from Union Finance Minister Nirmala Sitharaman's Address
- Expeditious Action: Emphasis on quick action regarding capital expansion and management, including exposure exchange agreements, hybrid capital, and callable capital.
- Country-led Approach: Advocated for a country-led and differentiated approach to align ADB's priorities with those of developing countries.
- Digital Transformation: Backing ADB's digital transformation as part of its Strategy 2030, emphasizing India's readiness to support this agenda.
Meetings on the Sidelines
- Multilateral Financing: Discussed potential for India to serve as a pilot for innovative financing products with ADB President Masato Kanda.
- Bilateral Cooperation: Highlighted the implementation of the Joint Strategic Action Plan 2025-2029 to deepen India-Italy cooperation.
Global Economic Context and ADB's Role
ADB President Masato Kanda noted that despite challenges like external shocks and climate change, the region is on a positive trajectory with growth, trade, and innovation.
China's Position at ADB
- Turbulence and Protectionism: China's governor raised concerns about global instability due to unilateral actions and protectionism.
- Graduation to Developed Country Status: China opposed discussions on its graduation, citing unmet criteria in ADB's 2023 assessment.
