ADB Mobilises $4 Billion to Help Countries Weather Middle East Crisis

Fifteen governments across the region have formally requested support from ADB, with assistance ranging from $15 million to $1.5 billion.

The Asian Development Bank (ADB) is providing rapid and large-scale support to countries affected by the ongoing Middle East conflict, mobilising $4 billion in financing to address urgent economic and social pressures. About $3 billion is being deployed at the request of affected governments, while an additional $1 billion is provided as trade finance to secure energy and food imports.

ADB President Masato Kanda said the bank is drawing on its full range of crisis response tools to provide tailored support for member countries, including budget support, trade finance, and a new mechanism that allows rapid repurposing of existing funds to meet urgent needs. The measures are intended to protect both economies and communities from the immediate and ongoing impacts of the conflict, including shocks to finances, remittances, tourism, and fuel and fertilizer supplies.

Government Requests and Targeted Support

Fifteen governments across the region have formally requested support from ADB, with assistance ranging from $15 million to $1.5 billion. Countries previously supported include Bangladesh, Fiji, the Philippines, and Sri Lanka. Additional discussions are ongoing with four more countries facing economic disruptions.

India has requested $1.5 billion in financing to strengthen resilience and support reform-based urban and energy initiatives. This includes a $1 billion policy-based loan under the Urban Transformation and Investment Program to sustain urban infrastructure investment and reforms, and $500 million for the Accelerating Affordable and Inclusive Rooftop Solar Systems Development Program, aiming to expand clean energy access, reduce reliance on imported fuels, strengthen domestic manufacturing, deploy battery storage, and promote circular economy practices.

Trade Finance and Rapid Response Mechanisms

ADB has also reactivated support for oil imports through its Trade and Supply Chain Finance Program (TSCFP) on a temporary basis, delivering $673 million for oil and gas imports and $390 million for food security across nine countries since March. Trade finance support for the Cook Islands will commence shortly.

For Vanuatu, ADB is introducing the Rapid Resource Reprogramming and Deployment Option (3RDO), enabling swift repurposing of existing portfolio funds for immediate relief and early recovery. The mechanism allows governments to respond quickly to crises, such as the current fuel shortage, while establishing a contingency tool for future emergencies.

ADB's swift and targeted financing is designed to help countries maintain essential supplies, protect vulnerable communities, and strengthen economic resilience amid ongoing uncertainty and global market disruptions.