1This directive and framework apply to all CGIF loan guarantees requested after January 1, 2019. The revised Directive and Framework for Environmental and Social Protection Measures have been approved by the CGIF Board of Directors, as recommended in cgif`s NOvember 30, 2018 CEO`s communication and available under www.cgif-abmi.org. Updates to the directive and framework may be required from time to time and are immediately posted on the FMC website following such updates. CGIF`s goal is to help companies that would otherwise struggle to penetrate local bond markets secure longer-term financing, reduce their reliance on short-term foreign currency loans to mitigate monetary and maturity convergences. Increased local currency bond issuance will promote financial stability in the European region and support the development of ASEAN bond markets. 1This is in line with the ADB Anti-Corruption Policy (1998), as amended, and the ADB Directive: Strengthening the Role of the Asian Development Bank in Combating Money Laundering and terrorist Financing (2003). CGIF was established in November 2010 to promote financial stability and long-term investment in the ASEAN+3 region (the “Region”). CGIF will provide collateral for local currency bonds issued by companies in the region. Such guarantees will make it easier for companies to issue local currency bonds over the longer term. This will help reduce monetary and maturing convergences caused by the 1997-1998 Asian financial crisis and make the region`s financial system more resilient to volatile global capital flows and external shocks. CGIF`s strong ability to pay has been recognized by international and national rating agencies.
5Insteps are in line with the amended ADB Anti-Corruption Directive (1998) and the ADB Integrity Principles and Guidelines (2015). The Board of Directors is composed of 8 members appointed by contributors, including the Chief Executive Officer. The People`s Republic of China and Japan each have the right to appoint two directors. The Republic of Korea shall have the power to appoint a Director. An appointment is warranted for the Asian Development Bank and the ASEAN countries, which represent Brunei Darussalam, Cambodia, Indonesia, the Lao People`s Democratic Republic, Malaysia, the Republic of the Union Myanmar, the Philippines, Singapore, Thailand and Vietnam. The executive decision-making powers of the CGIF and the day-to-day management of the CGIF are conferred and transferred to the Chief Executive Officer (CEO). The CEO is recommended by the Board of Directors and approved by the Assembly of Contributors. She is CGIF`s legal representative. The CEO leads the management team which currently consists of the Deputy Chief Executive Officer / Chief Risk Officer, the Chief Credit Risk Officer, the Vice President of Operations, the Chief Financial Officer, the General Counsel & Board Secretary, the Corporate Planner & Head of Budget, Planning, Personnel & Management Systems and the Internal Auditor. For the full picture of the collateral portfolio, click here CGIF will provide collateral for local currency denominated bonds issued by investment companies in the region.
CGIF had received $700 million in capital from ASEAN, the People`s Republic of China, Japan, the Republic of Korea and the ADB. As of August 20, 2020, according to the capital increase plan, CGIF`s capitalization amounts to $1.1022 billion. 4This is in line with the ADB Directive: Anti-Corruption Policy: Strengthening the Role of the Asian Development Bank in Tax Integrity (2016). . . .