The Asian Development Bank (ADB) has committed $2.57 billion in new sovereign financing to Bangladesh by 2025, more than doubling its $1.18 billion commitment in 2024.
The 2025 programme prioritises investments in energy, transport, banking reforms, urban services, climate resilience, small and medium-sized enterprises (SMEs), and improving livelihoods and services in Cox's Bazar.
According to an ADB press release, this year's sovereign lending portfolio is balanced in terms of sectors and financing modalities.
"We proudly reaffirm our commitment to supporting Bangladesh's priorities during this critical transition period, which is exacerbated by an increasingly difficult global landscape," said ADB Country Director Hoe Yun Jeong.
"The 2025 commitments highlight our long-standing partnership with Bangladesh and our shared focus, in close collaboration with the Economic Relations Division (ERD) and other government ministries and agencies, on economic diversification, improved infrastructure and services, and human development," he added.
The ADB's sovereign commitments for 2025 placed a strong emphasis on infrastructure and institutional reforms. Of the $2.57 billion committed across ten projects, approximately 35% went towards transportation infrastructure, 23% to finance, and 16% to public sector management and governance.
Energy initiatives accounted for 11%, followed by water and urban development at 9% and human and social development at 6%.
Key commitments include the $688 million South Asia Subregional Economic Cooperation-Chattogram-Dohazari Railway Project, which will upgrade a critical rail line and construct a bypass to allow direct train service from Dhaka to Cox's Bazar.
The $500 million Stabilising and Reforming the Banking Sector Programme, Subprogramme 1, aims to strengthen regulation, corporate governance, asset quality, and financial stability; and the $400 million Climate-Resilient Inclusive Development Programme, Subprogramme 2, aims to improve climate resilience, reduce emissions in climate-critical sectors, and promote inclusive growth.
Improved project readiness and portfolio management will lead to more effective implementation in 2025.
The ADB also provided non-sovereign assistance to the private sector, encouraging investments in textiles, renewable energy, trade finance, food security, microfinance, and public-private partnerships (PPPs).
Throughout the year, ADB collaborated closely with other development partners to provide coordinated support for implementing the Bangladesh Climate Development Partnership, promoting public and financial sector reforms, and improving economic diversification and logistics.
These collaborative efforts helped to raise $720 million in co-financing. ADB also provided targeted knowledge support to help shape policy on foreign investment, inclusive development, and public debt management.
As of December 31, 2025, ADB's total sovereign and non-sovereign loan commitments to Bangladesh surpassed $42 billion, with an active sovereign portfolio of 48 projects worth $10.8 billion.
Looking ahead to 2026, ADB will remain adaptable to meet the country's changing needs and priorities.
Priorities will include expanding economic corridors, improving multimodal logistics, advancing public sector reforms and capital market development, promoting private sector development, and hastening digital transformation.
ADB is a leading multilateral development bank that promotes inclusive, resilient, and sustainable growth in Asia and the Pacific.
ADB collaborates with its members and partners to solve complex challenges, using innovative financial tools and strategic partnerships to transform lives, build quality infrastructure, and protect the environment. ADB was founded in 1966 and is owned by 69 members, 50 of whom are from the region.