Asian Development Bank

The Asian Development Bank (ADB) is a multilateral development bank established in 1966 with a core mission to foster economic growth and reduce poverty in Asia and the Pacific. Owned by 68 members, 49 of which are from the region, ADB provides financial and technical assistance to its developing member countries. Its operations encompass a wide range of initiatives aimed at achieving a prosperous, inclusive, resilient, and sustainable future for the region, with a significant emphasis on climate action and gender equality.

Unlike traditional venture capital firms, ADB primarily provides loans, technical assistance, grants, and equity investments for large-scale development projects. Its Private Sector Operations Department (PSOD) focuses on financing private enterprises and infrastructure projects that contribute to sustainable development. These investments are typically directed towards critical sectors such as energy, transport, water, urban development, finance, and agribusiness, often involving complex project finance structures and significant capital mobilization.

ADB's investment approach is characterized by substantial capital commitments, reflecting the scale of the development challenges it addresses. For instance, in 2023, ADB committed a total of $23.6 billion across its various operations, including sovereign and non-sovereign financing. Its direct equity investments in private sector projects typically range from significant amounts, often starting around $10 million for smaller, yet impactful, initiatives, and extending well into the hundreds of millions of dollars for major infrastructure or corporate finance deals. These are not early-stage startup investments but rather growth capital or project finance for established entities or large-scale ventures. The bank often acts as a catalyst, mobilizing additional co-financing from other development partners and commercial sources.