Dmitry Pankin: Development banks' participation in infrastructure projects helps developing markets

Astana, 26 May 2016. Development banks' participation in infrastructure projects helps developing markets. Dmitry Pankin, Chairman of the Management Board at Eurasian Development Bank (EDB), said this at the Astana Economic Forum (Kazakhstan), running on 25-26 May 2016.   

He pointed out that one of the results of the economic crisis was an outflow of commercial banks from developing markets. As a consequence, these markets found themselves in a higher need for finance for major projects from development banks. "The role of multilateral development banks is no more to merely provide funds. The market expects they will also assess the quality of projects and control spending of the extended money," the speaker emphasised. 

The head of EDB stated that the Bank was interested in cooperation with other development banks. He also pointed out that priority was given to infrastructure projects with an integration component. 

 

Dmitry Pankin gave an example of EDB's cooperation with the Asian Development Bank (ADB). Their co-finance programme in the common member states exceeds US $3 billion. Kyrgyzstan is fulfilling Phase IV of the Bishkek–Osh Road Reconstruction Project. The road is the only automobile route connecting the country's north and south and its neighbouring countries Kazakhstan and Tajikistan, respectively. In Armenia, EDB and the ADB co-finance the North–South Transport Corridor Construction Project, which is part of the international transport corridor running through the country from its border with Iran to the border with Georgia. Some other large transport infrastructure projects, with significant integration effects for two or more countries, are at the preparation stage.  

Additional Information:

Eurasian Development Bank (EDB) is an international financial institution founded by Russia and Kazakhstan in January 2006 with the mission to facilitate the development of market economies, sustainable economic growth, and the expansion of mutual trade and other economic ties in its member states. EDB’s charter capital totals US $7 billion. The member states of the Bank are the Republic of Armenia, the Republic of Belarus, the Republic of Kazakhstan, the Kyrgyz Republic, the Russian Federation, and the Republic of Tajikistan.

Read more at https://eabr.org/

EDB Media Center:
+7 (727) 244 40 44 ext. 6147 (Almaty)
+7 (495) 645 04 45 ext. 2732 (Moscow)
e-mail: pressa@eabr.org

Related materials:

Russian and ASEAN convergence

Co-financing Agreement with the ADB 

EDB in the AIIB

Memorandum of Understanding with the EBRD

Financing Agreement on the North-South Road Corridor Project (Phase 4)

Financing Agreement on the Bishkek–Osh Road Reconstruction Project