THE Asian Development Bank (ADB) said it launched the Critical Minerals-to-Manufacturing Financing Partnership Facility, which is designed to assist countries in Asia and the Pacific to develop critical-mineral supply chains.
ADB President Masato Kanda said critical minerals will shape the following industrial era.
“Asia and the Pacific ought to be greater than a source of raw materials. The region also needs to capture the roles, technology, and value these minerals provide,” he said in an announcement on Sunday.
“This facility is about urgency and fairness: constructing responsible supply chains now so our developing member countries can compete in advanced manufacturing and create opportunities at home,” he added.
The power, which is geared toward moving the region beyond mining into higher-value industries, shall be in two parts — a grant window and a catalytic finance window.
“The grant window will fund early project work, including feasibility studies, environmental and social assessments, technical assistance and knowledge sharing,” the ADB said.
For the grant window, Japan has committed $20 million, while the UK has committed $1.6 million.
Meanwhile, the catalytic finance window “is designed to usher in co-financing and risk-sharing from other financing partners.”
Korea Eximbank and the Korean Trade Insurance Corp. signed a $500-million memorandum as the power’s first partner, the ADB said.
The newly-launched facility is a component of the ADB’s strategy of supporting responsible and sustainable critical minerals-to-manufacturing value chains across the region.
Within the Philippines, the bank is currently supporting the critical minerals roadmap and regulatory reform. — Justine Irish D. Tabile