The Asian Development Bank’s board of governors has re-elected Takehiko Nakao as the lender's president for a further five years starting 24 November.
Nakao, first elected as president in April 2013, is ADB's ninth president. He was first appointed to serve the three and a half years remaining of the term of his predecessor, Haruhiko Kuroda, after the latter cut his tenure short to become the governor of Japan's central bank.
During Nakao's first term, the multilateral bank increased its lending capacity from $13 billion in 2014 to $20 billion by 2020, through the merger of its Asian Development Fund operations with the Ordinary Capital Resources balance sheet. The merger will be effective in the beginning of 2017.
Last year, ADB’s loan and grant approvals reached a record $16.3 billion, including private sector operations of $2.6 billion. This May, the board of governors approved a $3.8 billion capital injection to replenish the Asian Development Fund.
“Effectively catalysing greater private sector resources for infrastructure and other development needs is critical. We are strengthening our work for public-private partnerships. We will also improve the investment climate through policy-based lending and technical assistance,” Nakao said in the closing address of ADB's 2016 annual meeting.
During his first term, ADB went through a number of institutional reforms, including delegating more authority to resident missions, streamlining procurement and other procedures, establishing the Office of Public-Private Partnership and strengthening sector and thematic expertise.
Another important move was forming co-financing partnerships with two China-led counterparts – the Beijing-based Asian Infrastructure Investment Bank and Shanghai-based New Development Bank. Earlier this year, ADB and AIIB agreed to each provide a $100 million loan to a Pakistani road project, a transaction that marked their first co-investment.