"ASEAN Green Fund" launched in Thai North

CHIANG RAI, THAILAND, April 5 (TNA) - A new regional fund, the "ASEAN Green Fund", has been launched at a regional gathering in the Thai North. Thai Finance Ministry Spokesman Lawan Saengsanit, who is also Director-General of the ministry's Fiscal Policy Office (FPO), on Friday publicly introduced the newly-established "ASEAN Green Fund" in the country's northern Chiang Rai Province, where the 23rd ASEAN Finance Ministers’ Meeting, the 5th ASEAN Finance Ministers’ and Central Bank Governors’ Meeting and related forums are being held during April 2-5. "The governments of all member countries of the Association of Southeast Asian Nations (ASEAN), the Manila-based Asian Development Bank (ADB) and other large-scaled regional financial institutes have jointly launched the ASEAN Green Fund in a recent ceremony, witnessed by ADB President Takehiko Nakao and Thai Finance Minister Apisak Tantivorawong, as well as senior ASEAN officials and representatives from the regional financial partners and the private sector", the spokesman stated. The spokesman told journalists that the over- 1 billion US dollar-ASEAN Green Fund will provide loans and technical support for "green" infrastructure development projects run by the governments of ASEAN member countries, including those on sustainable transport and water management systems and clean energy programs, in which the private sector will be welcome to join to reduce risk factors through financial innovations. The spokesman acknowledged that for the over 1 billion US dollars to be mobilized for the newly-established ASEAN Green Fund, the Asia Investment Facility (AIF) will contribute 75 million US dollars, along with 300 million US dollars to be contributed by the ADB, 336 million US dollars (300 million euro) to be contributed by the German Development Bank, 168 million US dollars (150 million euro) to be contributed by the European Development Bank and another 168 million US dollars (150 million euro) to be contributed by the Agence Française de Développement. Besides, the Organization for Economic Cooperation Development (OECD) and the Global Green Growth Institute have offered to share their knowledge bases and help enhance the competitiveness of the ASEAN Green Fund in the so-called "green finance", while the Overseas Private Investment Cooperation has expressed its interest in also providing financial support to new infrastructure development projects under the ASEAN Green Fund. According to the spokesman, the ASEAN Green Fund is part of the AIF, which has also been established by the governments of ASEAN member countries and the ADB since 2011 to provide financial support to comprehensive infrastructure development projects in urban areas in the region, including those on energy, transport and water management systems. The spokesman revealed that a comprehensive fund with more relaxing regulations has also been launched by the ADB-steered AIF to specially finance major infrastructure development plans in Cambodia, Lao PDR and Myanmar in the ASEAN Community (AC). (TNA)