ADB aims to up borrowing limit via expanded capital

The Asian Development Bank aims to increase its capital by 2 to 3 times so it can raise its borrowing ceiling, which to be hit by 2011 under the current capital base of $55 billion, a top official said on Friday.

ADB Managing Director General Rajat Nag also said there were indications the current global crisis is hitting emerging Asia with a greater impact than earlier thought and ADB growth estimates for the region would be cut sharply.

"We are discussing with our shareholders to increase our capital," Nag said in an interview."We are looking at several scenarios. One calls for a doubling, one calls for a trebling and the third is 2.5 times -- in between."

The Manila-based development bank is seeking to raise its capital base from about $55 billion, which will enable ADB to leverage by 13 to 15 times, Nag said.