Agreement establishing the Asian Development Bank
Type of Document: Treaties
International Organization: Asian Development Bank
Year: 1965
Country: Afghanistan, Australia, Austria, Bangladesh, Belgium, Bhutan, Cambodia, Canada, China, Cook Islands, Denmark, Fiji, Finland, France, Germany, Hong Kong, India, Indonesia, Israel, Italy, Japan, Kiribati, Laos, Malaysia, Maldives, Myanmar, Nepal, Netherlands, New Zealand, Norway, Pakistan, Papua New Guinea, Philippines, Samoa, Singapore, Solomon Islands, Spain, Sri Lanka, Sweden, Switzerland, South Korea, Thailand, Tonga, United Kingdom, United States, Uzbekistan, Vanuatu, Viet Nam
The Agreement, signed on 4 December 1965 and entered into force on 22 August 1966, establishes the Asian Development Bank. To enable the Bank effectively to fulfill its purpose and carry out the functions entrusted to it, Chapter of VIII of the Agreement regulates the Bank’s legal status and confers on the Bank and its officials privileges and immunities.
Pursuant to Article 50, the Bank shall enjoy immunity from every form of legal process, except in cases arising out of or in connection with the exercise of its powers to borrow money, to guarantee obligations, or to buy and sell or underwrite the sale of securities, in which cases actions may be brought against the Bank in a court of competent jurisdiction in the territory of a country in which the Bank has its principal or a branch office, or has appointed an agent for the purpose of accepting service or notice of process, or has issued or guaranteed securities.
No action shall be brought against the Bank by any member, or by any agency or instrumentality of a member, or by any entity or person directly or indirectly acting for or deriving claims from a member or from any agency or instrumentality of a member. Members shall have recourse to such special procedures for the settlement of controversies between the Bank and its members as may be prescribed in this Agreement, in the by-laws and regulations of the Bank, or in contracts entered into with the Bank.
Pursuant to Article 55, all Governors, Directors, alternates, officers and employees of the Bank, including experts performing missions for the Bank, shall be immune from legal process with respect to acts performed by them in their official capacity, except when the Bank waives the immunity.
The Bank at its discretion may waive any of the privileges, immunities and exemptions conferred under this Chapter in any case or instance, in such manner and upon such conditions as it may determine to be appropriate in the best interests of the Bank (Article 58).