NEW DELHI: Finance Minister of India Smt Nirmala Sitharaman is all set to attend the  Asian Development Bank's (ADB) 56th annual meeting from May 2-5. The finance minister embarked on a four-day visit to South Korea starting Tuesday.

The Finance Ministry said in a tweet: "India Finance Minister Smt. Nirmala Sitharaman reached the Republic of Korea for her 4-day official visit. She was received by Shri KumarAmit, MEA, Ambassador of India to the Republic of Korea, upon her arrival at the Incheon Airport today early morning"

Sitharaman will address investors and hold private meetings in addition to attending the ADB Board of Governors' Annual General Meeting. The Union Finance Minister will also connect with the community diaspora and participate in roundtable discussions with top business executives and investors from around the world.

FM Sitharaman will take part in the Governors' Business, one of the main activities of the annual meeting. The ADB Governors' Seminar on "Policies to Support Asia's Rebound" will also feature her on a panel.

A financing guarantee facility was also launched by the ADB on Tuesday in order to assist the region in reducing greenhouse gas emissions and creating infrastructure that is resilient to the effects of climate change.

The new funding scheme, which was created by a development bank as the first mechanism of its sort, underscores the pressure that these lenders face from their shareholders to come up with innovative solutions to the climate catastrophe, which has disproportionately affected Asia.

The scheme is the first leveraged guarantee mechanism for climate funding developed by a multilateral development bank, according to the ADB, and is known as the Innovative funding Facility for Climate in Asia and the Pacific (IF-CAP).

Denmark, Japan, South Korea, Sweden, the United Kingdom, and the United States will back some of the lender's loans under the plan and take the losses if the borrowers don't pay them back.

It will allow the ADB to increase lending to climate-related projects in Asia and release funds that it must reserve for credit risk.

Asia is one of the continents most at risk from the effects of climate change. Since the turn of the century, more than 40% of climate-related disasters have struck Asia and the Pacific, according to the ADB.

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