NEWS FROM www.adb.org/PRCM
A Newsletter of the People’s Republic of China Resident Mission August 2006
of the Asian Development Bank 2006 8
ADB and the PRC Celebrate 20 Years of Partnership
In its transition to a market economy,
the PRC faces many challenges such as
eradicating poverty, accelerating rural
development, maintaining rapid growth
and job creation, addressing inequalities
in income and opportunity, promoting
private sector development, increasing
reliance on the rule of law, and educating
children so that they can fully participate
in future economic activities.
Jointly with the PRC Government,
ADB has been preparing a new partner-
ship strategy for the PRC. The strategy
will review the changing development
setting, discuss opportunities for ADB to
help combat poverty in the country, and
examine how to further enhance the PRC-
ADB President Haruhiko Kuroda delivers the opening speech. ADB partnership.
I am confident that ADB can continue to
DB and the People’s Republic ADB-funded projects and ADB studies make an important contribution to economic
of China (PRC) marked their 20 in the PRC on poverty reduction, transport, and social development in the PRC, Mr. Kuroda
years of partnership during a agriculture and rural development, urban said. And by deepening our partnership with
conference held in Beijing on 6 July. development, and renewable energy the PRC, I know we can also increase our
ADB President Haruhiko Kuroda, PRC development. The participants also dis- contribution to poverty reduction in Asia and
Finance Minister Jin Renqing, and Na- cussed international experiences and les- the Pacific as a whole.
tional Development and Reform Com- sons in foreign capital utilization, rural
mission Deputy Secretary General Yang development, energy and environment,
Weimin opened the celebration. and labor market and employment.
It is a partnership in which ADB After years of remarkable growth,
takes great pride, said Mr. Kuroda in his the PRC is entering into a new phase of
opening speech. The 20th anniversary development. Its 11th Five-Year Program
is a time not only to celebrate our fruitful lays out a vision for improved standard of
past collaboration, but also to look to the living for the country’s citizens, broaden-
future of this important relationship. ing the benefits of growth to less devel-
oped regions, and ensuring environmen- A great place to meet old and new friends.
During the conference, implement-
ing agencies presented best practices of
The PRC joined ADB in 1986. ADB’s
cumulative lending to the PRC amounted
to $16.2 billion by the end of 2005. In
2005, ADB approved eight loans totaling
$1.5 billion and 34 technical assistance
grants amounting to $18.33 million.
While building on its operational
base in infrastructure, ADB is diversify-
ing its operations into rural and urban
development, environment, energy
conservation, regional cooperation, and
social development, both through lend-
ing and knowledge-based non-lending Signing ceremony for Guangxi Nanning Urban Infrastructure
operations. Development loan project.
2006 7 6
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ADB New and Revised Policies and Procedures
day after the PRC-ADB 20th Innovation and Efficiency Initiative
A Anniversary celebration, ADB
and the Ministry of Finance
(MOF) jointly organized a
ADB has established the Innovation
and Efficiency Initiative to streamline
some of its business processes and de-
workshop on ADB’s new and revised velop new financing instruments and
disbursement, procurement, and lending modalities, making ADB more client-
policies and procedures for the local and results-oriented and efficient.
Innovation and Efficiency InitiativesWorkshop
finance bureaus. Over 100 participants
from 23 provinces across the PRC at- New Instruments and Modalities
was held in Beijing on 7 July.
7 7 tended the workshop. ADB is testing five new financing
cial management; (v) results-based moni-
toring of projects; and (vi) on-lending
agreements. On signing the memorandum
of understanding with MOF, the Six-Point
Action Plan will be implemented.
Satish Rao 3
The workshop brought together 135 4
participants from MOF, National Devel-
opment and Reform Commission, line 5 6
ministries, local government agencies, EAs,
and IAs. During the workshop, Mr. Rao
also met with the Governor of Inner
Mongolia Autonomous Region to discuss
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ADB Board of Governors 39th Annual Meeting Held
DB’s Board of Governors held
its 39th Annual Meeting on 3-6
May in Hyderabad, India. India’s
Prime Minister Manmohan Singh; India’s
Minister of Finance P. Chidambaram, who is
also Chairman of ADB’s Board of Governors;
and ADB President Haruhiko Kuroda for-
mally opened the meeting on 4 May.
Investment rates in Asia seem too Manmohan
low to sustain growth and poverty reduc- Singh
tion in the future, President Kuroda told (P. Chidambaram)
the Governors’ Seminar on the second
day. A panel of ADB Governors shared
their perspectives on a Shared
Responsibility: Fixing Global Payments
ADB President Haruhiko Kuroda delivers a Imbalances.
keynote speech at the Governors' seminar.
2006 5 3 6
ADB’s Events Related to the PRC
Workshop on Competition Policy and Controller’s Department, PRCM, and
Laws. 11 May. Co-organized by ADB’s Ministry of Finance (MOF) conducted
PRC Resident Mission (PRCM) and these series of seminars for central and
Organisation of Economic Co-op- provincial government officials and
eration and Development (OECD), representatives of project executing
the workshop discussed with experts agencies.
and the press the roles of policy, law,
On the following day, PRCM Country
and institutional setups in strength-
Director Toru Shibuichi (second from
ening the competition mechanism in
right) visited a poor county and a voca-
the PRC’s market economy. Interna-
tional training school.
tional and domestic media partici-
pated in this event and showed their
high interest in the topic.
Second PRC Soy Product Industry
Roundtable Summit. Shanghai. 22-24
May. PRCM staff presented a paper on
nutrition in developing countries, out-
lining findings of a TA project in the
PRC and regional support on public
nutrition at the summit.
5 22 24
5 23 6 1
International Conference on Poverty
Reduction Strategy in the New
Millennium. Beijing. 23-24 May.
ADB Vice President Liqun Jin’s Visit
PRCM presented a paper on the role of
to the PRC. 11-13 June. Mr. Jin (right)
nongovernment organizations (NGOs)
met with senior officials from MOF,
as partners in government-funded pov-
People's Bank of China, China Bank-
erty programs, including pioneering
Seminar Series on ADB’s Loan Dis- ing Regulatory Commission, and the
work in the PRC under a technical
bursement and Accounting Policies private sector. They discussed bank-
assistance (TA) project.
and Practices. Luoyang, Henan ing sector reforms, including
5 23 24 Province; and Taiyuan, Shanxi nonperforming loans, impact of for-
Province. 23 May-1 June. ADB eign entries, and capital market devel-
opment in the PRC. Mr. Jin also met Visit of Kazakhstan Small and Medium 7 26 2
with private enterprises in Zhejiang Enterprise Delegation. 25 July. The
Province and discussed with them pri- Chief Vice Chair of the Social Eco-
vate sector development in the PRC. nomic Analytical Department of the
Kazakhstan President's Office headed?
the delegation to PRCM. PRCM’s
Yuanyuan Wang (left) gave a presenta-
tion on ADB’s private sector operations.
6 11 13
Central Asia Regional Economic Co-
operation (CAREC) In-country Con-
sultation Workshop. Taiyuan, Shanxi
PRCM and NGO Roundtable Province. 26-29 July. Toru Shibuichi
Discussion. 15 July. The roundtable Conference on Rural Road Develop- (third from right), Country Director,
discussion was held as part of the stake- ment and Poverty Impact. Beijing. 26 PRCM gave opening remarks at the
holder dialogue in preparation for the July. H. Satish Rao (second from right), workshop on the Comprehensive Ac-
next Country Strategy and Program for Director General, ADB East Asia tion Plan for Central Asia Regional
the PRC. Domestic and international Department, and Weng Mengyong Economic Cooperation (CAREC)
NGOs discussed ADB's recent PRC (middle), Communications First Vice Program, cosponsored by MOF and
programs and emerging directions. Minister opened the conference. Mr. ADB. The participants also discussed
Rao met with senior officials from MOF the PRC’s initiative in developing a
and the National Development and Re- country strategy for CAREC, the first
form Commission. among CAREC countries.
7 26 29
7 15 Mr. Rao also made a 3-day visit in
western Gansu Province. He met with
Vice Governor Feng Jianshen (right)
and exchanged views on ADB’s ongo-
ing and planned assistance for the
Gansu Province to support the PRC’s
Western Development Strategy.
Roundtable of Donors and Government 8 25 part of a TA project for preparing the
Officials on the PRC’s Food Safety. PRC’s 11th 5-year Program. Resource
Beijing. 17 August. ADB and WHO 3000 persons from India, Indonesia, Repub-
held a meeting to review findings and 5% lic of Korea, and Thailand shared coun-
policy recommendations under a TA 3 try experiences. PRCM CD Toru
project for a national food safety stra- Shibuichi (pictured at lectern) deliv-
tegic and regulatory framework, as a ered opening remarks.
precursor to an inter-ministerial meet-
Senior Officials' Meeting on CAREC.
ing that took place on 21 August. The
meeting was held a week after another Urumqi, Xinjiang Uygur Autonomous
Region of the PRC. 28-29 August. Of-
food safety scandal hit Beijing front-
page headlines. High-level officials ficials from Afghanistan, Azerbaijan,
PRC, Kazakhstan, Kyrgyz Republic,
from the MOF, State Food and Drug
Administration, and other crosscutting Mongolia, Tajikistan, and Uzbekistan;
and representatives of ADB, European
agencies reviewed the TA project’s
final findings and recommendations Bank for Reconstruction and
Development, International Monetary
for policy and institutional reform.
Fund, Islamic Development Bank,
8 17 United Nations Development 6 19
Programme, and World Bank reviewed
the proposed strategic framework for a
comprehensive action plan and dis-
cussed program activities.
Forum on Economic Cooperation of
Beibu Gulf Rim. Nanning, Guangxi
Province. 20-21 July. ADB Vice Presi-
Signing Ceremony for ADB’s Invest- dent van der Linden opened the forum
ment in Hangzhou City Commercial and met with provincial government
Bank. Hangzhou, Zhejiang Province. officials. He also visited an ADB road
25 August. ADB invested $30 million, project that is part of the Greater Mekong
equivalent to about 5% of total out- Subregional economic corridor.
8 28 29
standing shares in the Hangzhou City
Commerical Bank. Country Director
Shibuichi (third from left) delivered a
speech at the ceremony. ADB’s del-
egation also met with the Vice Mayor
of Hangzhou City.
International Seminar on Utilization of
International Financial Institutions 7 20-21
(IFIs) and commercial loans. Beijing. . .
19 June. Seminar participants discussed
the PRC’s strategies in using loans
from IFIs and commercial sources, as
Medium-Term Strategy II (MTS II), II MTS II ments/books/key_indicators/2006/.
2006-2008 in Chinese
II 2006 2008 8 16
poverty reduc- Key Indicators (KI) 2006 Second Governance and Anticorruption
tion impact of
2006 Action Plan
tions through This an-
five strategic nual statistical On 21 August, ADB launched
priorities: catalyzing investment, databook on 44 this action plan, which aims to im-
strengthening inclusiveness, promot- of ADB’s devel- prove the effectiveness of ADB’s de-
ing regional cooperation and oping member velopment assistance and contribute
integration, managing the countries was to poverty reduction throughout the
environment, and improving gover- launched on 16 region. See http://www.adb.org/Docu-
nance and preventing corruption. The August. The ments/Policies/Governance/GACAP-
Chinese version of MTS II is avail- 37th issue of KI II.pdf.
able online: http://www.adb.org/ features a spe-
Documents/Translations/Chinese/. cial chapter on Measuring Policy Effec- 8 21
Hard copies can be obtained from tiveness in Health and Education. The
PRCM. Statistical Database System has also been
updated. See http://www.adb.org/docu- ( )
The quarterly newsletter of the People's Repub-
lic of China Resident Mission (PRCM) of the
Asian Development Bank (ADB) aims to en-
hance communications between ADB and its
client groups. News from the PRC disseminates
information on ADB activities and provides a
Asian Development Bank
forum on development issues in the People's
PRC Resident Mission 156
Republic of China. Articles in the newsletter,
7th Floor, Block D, D 7 however, do not necessarily reflect the official
Beijing China Merchants (8610) 6642 6601 ADB view. We welcome comments and sug-
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