ADB Boosts Food Security Commitment in Asia-Pacific to $40 Billion by 2030

The Asian Development Bank (ADB) has announced an increase in its financial pledge for food and nutrition security in the Asia-Pacific region, raising it to $40 billion by 2030. This marks a substantial rise from the previously committed $14 billion.

Speaking at the 58th ADB Annual Meeting held in Milan, ADB President Masato Kanda stated that this amplified support, which amounts to an additional $26 billion, is intended to tackle the escalating issues arising from climate change, resource depletion, and food insecurity prevalent throughout the region.

Kanda emphasized, “Unprecedented dry spells, inundations, intense heat, and the deterioration of natural resources are adversely affecting agricultural output, simultaneously posing risks to food security and the sustenance of rural communities.”

“This expanded assistance will play a crucial role in helping countries alleviate hunger, enhance dietary quality, and safeguard the natural environment,” he added.

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The allocated funds will facilitate an extensive program spanning the complete food value chain, encompassing activities from farming and processing to distribution and consumption.

The initiative is geared towards producing diverse and nutritious food options, generating employment opportunities, minimizing environmental impacts, and reinforcing agricultural supply networks.

From the newly declared $26 billion, $18.5 billion will be channeled to governments via direct ADB assistance, while $7.5 billion will be designated for mobilizing private sector investments.

The ADB anticipates that the private sector will contribute over 27% of the total $40 billion by the year 2030.

A significant portion of the world’s undernourished population resides in developing Asia, where food systems account for a substantial 70% of water consumption, occupy 50% of habitable land, and contribute to 80% of biodiversity reduction. These food systems also employ around 40% of the region’s workforce.

ADB’s undertaking will equally promote digital advancements, improvements in soil vitality, and the preservation of biodiversity to augment productivity and resilience to climate-related challenges.

The bank is also introducing a $150 million Natural Capital Fund, supported by the Global Environment Facility along with other collaborators, to bolster agri-food ventures that focus on protecting natural ecosystems.

Established in 1966, the ADB functions as a multilateral development bank owned by 69 member nations, with 50 of them located within the Asia-Pacific region.