MDBs revise private finance metrics following G20 mandate

New Framework for Private Development Finance Measurement

A consortium of 30 multilateral development banks (MDBs) and development finance institutions (DFIs) has today, 1 October 2026, unveiled a revised and expanded set of joint methodologies for measuring private finance directed towards development. The MDB Task Force on Mobilization prepared these updates, which all member institutions have endorsed.

This initiative directly addresses a call from the G20 in 2024, outlined in their Viewpoint Note, to broaden the scope of how MDBs measure their impact on private capital mobilisation.

The updated framework aims to provide a more comprehensive view of how these institutions facilitate private funding for development projects in emerging markets and developing economies, moving beyond traditional mobilisation metrics.

Updates to Mobilisation Reference Guide

The updated package includes the first revision to the joint mobilisation methodology since 2018, detailed in the updated Mobilization Reference Guide. These enhancements introduce clearer principles for defining what financial flows qualify as mobilised capital.

The revisions also expand attribution rules for transactions involving multiple institutions, designed to reduce instances of double counting when several MDBs or DFIs participate in the same project.

Furthermore, the new methodology incorporates indicators for public and portfolio-based mobilisation, alongside a precise definition for the mobilisation of advisory services, offering greater clarity and consistency in reporting.

Expanding Beyond Mobilisation Alone

Recognising the diverse forms of private finance for development, the MDB Task Force has expanded its measurement approach beyond just mobilisation. The new package introduces a Generation Reference Guide, which outlines a new methodology, and a Catalyzation Progress Note, detailing ongoing work on an additional indicator.

These new metrics differentiate private finance by the level of risk investors assume, the timing of the financing, and whether an MDB or DFI also provides direct funding for the activity. This comprehensive approach is intended to capture the entire lifecycle of MDB and DFI engagement, from initial capital raising to subsequent long-term investments.

Incentivising Innovation in Finance

The revised methodologies are structured to encourage and accurately account for innovative financing mechanisms. Specific guidance has been introduced or expanded for tools such as originate-to-distribute models, securitisation mechanisms, MDB guarantees, risk-transfer instruments, and foreign exchange hedging.

These updates respond to calls from shareholders to increase the use of such models, aiming to better capture their results and incentivise their application in development finance. This reflects a commitment by the MDBs and DFIs to meet current development challenges, which require private finance at a scale beyond what these institutions can provide individually.

Implications for Asia's Development Capital

For Asian markets and companies, these updated MDB methodologies will bring greater transparency and standardisation to how private capital contributions for development projects are measured.

As a prominent member of the MDB Task Force and a key player in the region, the Asian Development Bank (ADB) will apply these new standards, influencing how its engagement with private investors in Asia and the Pacific is reported.

Decision-makers in Asian governments and businesses seeking development finance can expect clearer reporting on the impact of MDB-supported private investments. The MDBs anticipate engaging with shareholders, clients, and investors on these new guidelines in the months ahead, providing a specific timeframe for further clarification and adaptation of the new reporting standards.