The Asian Development Bank (ADB) has committed $2.57 billion in new sovereign financing to Bangladesh in 2025, more than doubling its 2024 commitment of $1.18 billion.
The 2025 programme targeted critical investments across energy, transport, banking reforms, urban services, climate resilience, small and medium-sized enterprises, and improvements to livelihoods and services in Cox’s Bazar, said a press release published by ADB today (5 January).
“We proudly reaffirm our commitment to supporting Bangladesh’s priorities during this significant transition period, which is further complicated by an increasingly challenging global landscape,” said the ADB Country Director Hoe Yun Jeong.
“Our 2025 commitments underscore our enduring partnership with Bangladesh and our shared focus, in close collaboration with the Economic Relations Division and other government ministries and agencies, on economic diversification, enhanced infrastructure and services, and human development,” read the press release.
Of the total $2.57 billion committed across ten projects, approximately 35 per cent supported transport infrastructure, whilst 23 per cent was allocated to finance, and 16 per cent supported public sector management and governance.
Energy initiatives accounted for 11 per cent, water and urban development contributed 9 per cent, and human and social development represented 6 per cent.
Among the key commitments was the $688 million South Asia Subregional Economic Cooperation-Chattogram-Dohazari Railway Project, which will upgrade a critical rail line and construct a bypass to enable direct train services from Dhaka to Cox’s Bazar.
The $500 million Stabilising and Reforming the Banking Sector Programme, Subprogram 1, aimed to strengthen regulation, corporate governance, asset quality, and financial stability in Bangladesh’s banking sector.
Another significant commitment was the $400 million Climate-Resilient Inclusive Development Programme Subprogram 2, designed to enhance climate resilience, reduce emissions in climate-critical sectors, and promote inclusive growth.
Throughout 2025, ADB worked closely with other development partners to deliver coordinated support for operationalising the Bangladesh Climate Development Partnership, promoting public and financial sector reforms, and enhancing economic diversification and logistics.
As of 31 December 2025, ADB’s cumulative sovereign and non-sovereign loan commitments to Bangladesh exceeded $42 billion, with an active sovereign portfolio comprising 48 projects amounting to $10.8 billion.
For 2026, ADB has indicated it will maintain flexibility to address the country’s evolving needs and priorities. Key focus areas will include developing economic corridors, strengthening multimodal logistics, advancing public sector reforms and capital market development, promoting private sector development, and accelerating digital transformation.
The Asian Development Bank, founded in 1966, is a leading multilateral development bank supporting inclusive, resilient, and sustainable growth across Asia and the Pacific.
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