The Cook Islands has reached out to the Asian Development Bank (ADB) during the 58th Annual Meeting in Milan, emphasizing the need for tailored support for its developmental goals. Prime Minister Mark Brown urged the ADB to ensure that the Cook Islands can access entitlements under the Asian Development Fund 14 (ADF14) within the next four years, acknowledging both the vulnerabilities and potential strengths of the nation.
ADB’s Vice President for East Asia, South East Asia, and the Pacific announced a more than one-third increase in allocations for Pacific Developing Member States under ADF14, which is set to provide significant financial support for the region’s poorest nations. The recent replenishment sets aside USD $5 billion for ADF14, earmarked for grant operations between 2025 and 2028.
While the specific allocations under ADF14 have not yet been disclosed, previous ADF allocations showcased the financial trend—Cook Islands and similar nations received substantial support. For instance, under the previous ADF13 round, Kiribati received USD $55 million, and the Republic of the Marshall Islands secured USD $50 million.
Prime Minister Brown highlighted the limited capacity and resource availability often faced by Small Island Developing States (SIDS), urging the ADB to adapt its approach to support reform and startup initiatives effectively. He expressed gratitude for ADB’s commitment to increasing concessional financing and technical assistance, underscoring the unique challenges and economic conditions that SIDS encounter.
In light of Cook Islands’ recent economic growth—14.0% in real GDP—largely driven by the tourism sector, the Prime Minister acknowledged potential risks. Factors such as the global economic landscape, conflicts, and supply chain disruptions pose significant challenges to sustained growth. He pointed out that Cook Islands’ reliance on a single currency creates additional vulnerabilities, suggesting a collaborative effort with ADB towards financial resilience.
Climatic challenges were also a focus, as Pacific Small Island Developing States require effective climate finance strategies. The Cook Islands praised the ADB for its ongoing support in developing the Regional Programmatic Approach on Climate Action (RPACA), which aims to enhance regional collaboration and build local capacity to combat climate change impacts.
This proactive engagement with the ADB reflects a hopeful outlook not only for the Cook Islands but for the entire Pacific region, as it seeks to strengthen its economic and environmental resilience in the face of global uncertainties. By reinforcing local solutions and fostering international partnerships, the Cook Islands is positioning itself for a sustainable and prosperous future.
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