ADB and MIGA Promote Foreign Investment into Asia

ADB and MIGA Promote Foreign Investment into Asia

WASHINGTON, DC, September 23, 2002 — The Asian Development Bank (ADB) and the Multilateral Investment Guarantee Agency (MIGA) today agreed to collaborate in supporting foreign direct investment into Asia.
According to a Memorandum of Understanding signed here by MIGA's Executive Vice President Motomichi Ikawa and ADB Vice President (Finance and Administration) John Lintjer, the two agencies will promote economic growth and sustainable development in Asia through closer collaboration on projects and programs.

ADB and MIGA will support joint projects in which one or both will provide investment guarantees, in combination with ADB direct assistance, such as loans or equity investments. Eligible projects must be financially, technically, and environmentally sound. One such collaborative project, already undertaken by the two agencies, is the Manila North Tollways Corporation, which entails the expansion and rehabilitation of a toll road in the Philippines.

MIGA and ADB will also work together to increase awareness about political risk insurance and guarantees in Asia. They will collaborate to support private sector development in other ways, such as providing technical assistance to governments and investment promotion boards.

"The signing of this memorandum, as well as last week's opening of our regional office in Singapore, signal our commitment to increasing the flows of foreign investment into the region," said Ikawa. "By formalizing our cooperation with ADB, we take this commitment one step further."

"This partnership creates a powerful combination — MIGA's experience in political risk, and ADB's regional expertise and resources," added Lintjer. "Together they strengthen our hand for private sector development and reducing poverty in Asia."
For information

Angela Gentile, agentile@worldbank.org,
t. 202.473.3509

In Manila:
Werner Liepach, wliepach@adb.org,
t. 632/632-5707