The Asian Development Bank (ADB) and the World Bank Group have unveiled their initial joint initiatives in the Pacific region within the Full Mutual Reliance Framework (FMRF). At the launch event held in Manila, Philippines, President of ADB Masato Kanda discussed the FMRF as a forward-thinking financial model that enhances operational efficiency and effectiveness for both entities.
“This is a way to make development finance simpler, faster, and more effective," he remarked, as broadcast here through an online conference.
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In accordance with the new framework, countries eligible for benefits can access financial support from both organizations, with the stipulation that they must comply with the regulations and protocols of one primary lender exclusively.
Kanda stated that the primary lender, be it the ADB or the World Bank, will have authority over every stage of the project, including planning, preparation, monitoring, and assessment.
He believes that the approach enables institutions to collaboratively tackle intricate challenges, including but not limited to enhancing disaster readiness and improving connectivity.
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"This approach streamlines (financing) processes and eliminates duplication (of rules and procedures), allowing us all to concentrate on what matters most, which is the impact (of the projects for the people),” Kanda states.
Ajay Banga, President of the World Bank Group, reiterated these emotions by asserting that the program is founded on a collective dedication to achieving a more significant effect for the countries receiving assistance.
He observed that the FMRF scheme had been created in response to specific appeals from beneficiary nations aiming to minimize administrative complexities.
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He noted that countries with constrained resources frequently found themselves grappling with the diverse regulations, paperwork prerequisites, and acquisition processes of both organizations, leading to delays in the implementation of financed initiatives.
"There are these two projects now, but we have got 20 more in the pipeline across infrastructure, energy, agribusiness, healthcare, and social protection," Banga says.
The initial two initiatives consist of a project aimed at the modernization of the health sector in Fiji, where the World Bank is the primary financial institution involved, and a project focused on integrated transport and urban infrastructure in Tonga, where the ADB is leading the financing activities.
In February 2025, the Asian Development Bank (ADB) and the World Bank formalized the Full Mutual Reliance Framework Agreement.