Address by the Deputy Minister of Finance and Secretary of State for Budget to the 41st annual meeting of the Board of Governors of the Asian Development Bank, in Madrid, Spain
Honourable Governors,
Mr. President of the Asian Development Bank,
Distinguished guests,
It is a great honour to address this meeting on behalf of the Portuguese government. I would like to begin by thanking the Spanish authorities and the Asian Development Bank for their excellent organisation of this meeting and their warm welcome.
As regards the Bank’s main developments in the last year, we welcome the recent approval by the Board of Directors of the Long-Term Strategic Framework, which resulted from an extensive process of internal and external consultations. The priority given to environmentally-sustainable growth represents a great step forward, mostly regarding water management, climate change and renewable and efficient energy. Delivering implementation must be granted at this respect. All in all, this framework constitutes adequate guidelines for the Bank’s 2020 horizon, although flexibility in response to emerging contingencies must be kept constantly in mind. The current sharp increase in food prices is a great example of this need.
Some other challenges remain for the upcoming years. Higher efficiency in the management of both financial and human resources, which we believe has not yet reached its full potential, and greater coordination and cooperation with other multilateral development banks must also play an important role.
We also welcome Bank’s strategic approach for Weakly Performing Countries, which will allow increase the flexibility of business processes, adapting them to less easier environments while continuing to apply proper safeguard policies. Building capacity in these countries certainly needs an expanded use of grants and longer-term technical assistance. At this respect, we acknowledge the cautionary lending approach granted to East Timor in its phasing out from the post conflict assistance status. We believe that the significant grant share of the funding at Timor’s disposal represents an important contribution to peace and development in this country.
We welcome the yearly results presented, which reflect an adequate financial management policy. The Bank must continue to be selective in its lending and give priority to operations with the greatest potential impact on poverty reduction and the achievement of the Millennium Development Goals.
The implementation of the human resources strategy, despite the measures already adopted or announced by the management, remains a challenge. We urge the Bank to increase transparency and decentralisation in recruitment, as well as involving the staff in the process of reform implementation as a means of retaining world class professionals.
Ladies and gentlemen,
Asia and the Pacific region is home to two thirds of the world’s poor. The elimination of poverty is a challenge we must pursue through inclusive growth and sustainable development, but also education.
In this regard, we welcome the agreement reached here in Madrid regarding the ninth replenishment of the Asian Development Fund. Portugal increased its contribution by 15%, stressing its deep dedication to poverty reduction.
I could not end without expressing our appreciation for the work carried out by President Kuroda. Changing the culture of a given organisation is neither easy nor fast, demanding a continuous effort on all levels of management.