Editing Asian Development Bank (section)

===1960s===
As early as 1956, Japan Finance Minister [[Hisato Ichimada]] had suggested to [[United States Secretary of State]] [[John Foster Dulles]] that development projects in Southeast Asia could be supported by a new financial institution for the region. A year later, Japanese Prime Minister [[Nobusuke Kishi]] announced that Japan intended to sponsor the establishment of a regional development fund with resources largely from Japan and other industrial countries. But the US did not warm to the plan and the concept was shelved. See full account in  "Banking the Future of Asia and the Pacific: 50 Years of the Asian Development Bank", July 2017.

The idea came up again late in 1962 when Kaoru Ohashi, an economist from a research institute in Tokyo, visited [[Takeshi Watanabe (bureaucrat)|Takeshi Watanabe]], then a private financial consultant in Tokyo, and proposed a study group to form a development bank for the Asian region. The group met regularly in 1963, examining various scenarios for setting up a new institution and drew on Watanabe's experiences with the [[World Bank]]. However, the idea received a cool reception from the World Bank itself and the study group became discouraged.

In parallel, the concept was formally proposed at a trade conference organized by the Economic Commission for Asia and the Far East (ECAFE) in 1963 by a young Thai economist, Paul Sithi-Amnuai. (ESCAP, United Nations Publication March 2007, "The first parliament of Asia" pp.&nbsp;65). Despite an initial mixed reaction, support for the establishment of a new bank soon grew.

An expert group was convened to study the idea, with Japan invited to contribute to the group. When Watanabe was recommended, the two streams proposing a new bank—from ECAFE and Japan—came together. Initially, the US was on the fence, not opposing the idea but not ready to commit financial support. But a new bank for Asia was soon seen to fit in with a broader program of assistance to Asia planned by United States President [[Lyndon B. Johnson]] in the wake of the escalating U.S. military support for the government of [[South Vietnam]].

As a key player in the concept, Japan hoped that the ADB offices would be in Tokyo. However, eight other cities had also expressed an interest: [[Bangkok]], [[Colombo]], [[Kabul]], Kuala Lumpur, [[Manila]], [[Phnom Penh]], Singapore, and [[Tehran]]. To decide, the 18 prospective regional members of the new bank held three rounds of votes at a ministerial conference in Manila in November/December 1965. In the first round on 30 November, Tokyo failed to win a majority, so a second ballot was held the next day at noon. Although Japan was in the lead, it was still inconclusive, so a final vote was held after lunch. In the third poll, Tokyo gained eight votes to Manila's nine, with one abstention. Therefore, Manila was declared the host of the new development bank; the Japanese were mystified and deeply disappointed. Watanabe later wrote in his personal history of ADB: "I felt as if the child I had so carefully reared had been taken away to a distant country." (Asian Development Bank publication, "Towards a New Asia", 1977, p.&nbsp;16)

On 3 December 1965, Philippine President [[Diosdado Macapagal]] lays the foundation stone of the Asian Development Bank.

As intensive work took place during 1966 to prepare for the opening of the new bank in Manila, high on the agenda was choice of president. Japanese Prime Minister [[Eisaku Satō]] asked Watanabe to be a candidate. Although he initially declined, pressure came from other countries and Watanabe agreed. In the absence of any other candidates, Watanabe was elected first President of the Asian Development Bank at its Inaugural Meeting on 24 November 1966.

By the end of 1972, Japan had contributed $173.7&nbsp;million (22.6% of the total) to the ordinary capital resources and $122.6&nbsp;million (59.6% of the total) to the special funds. In contrast, the United States contributed only $1.25&nbsp;million to the special fund.<ref name="Ming Wan" />

After its creation in the 1960s, ADB focused much of its assistance on food production and rural development. At the time, Asia was one of the poorest regions in the world.<ref name="admin">{{Cite web |title=ADB History |url=http://www.adb.org/about/history |access-date=2015-12-21 |publisher=Asian Development Bank |archive-date=29 January 2016 |archive-url=https://web.archive.org/web/20160129195803/http://www.adb.org/about/history |url-status=live }}</ref>

Early loans went largely to [[Indonesia]], [[Thailand]], [[Malaysia]], [[South Korea]] and the [[Philippines]]; these countries accounted for 78.48% of the total ADB loans between 1967 and 1972. Moreover, Japan received tangible benefits, 41.67% of the total procurements between 1967 and 1976. Japan tied its special funds contributions to its preferred sectors and regions and procurements of its goods and services, as reflected in its $100&nbsp;million donation for the Agricultural Special Fund in April 1968.<ref name="Ming Wan" />

Watanabe served as the first ADB president to 1972.<ref name="KapurLewis">{{Cite book |last1=Devesh Kapur |url=https://books.google.com/books?id=suOGRlBoPgQC&pg=PA304 |title=The World Bank: Perspectives |last2=John Prior Lewis |last3=Richard Charles Webb |date=2010-12-01 |publisher=Brookings Institution Press |isbn=978-0-8157-2014-0 |pages=304–}}</ref><ref name="Magill2014">{{Cite book |last=Frank N. Magill |url=https://books.google.com/books?id=ySJpAwAAQBAJ&pg=PA891 |title=Chron 20c Hist Bus Comer |date=23 April 2014 |publisher=Routledge |isbn=978-1-134-26462-9 |pages=891–}}</ref>