Domestic resource mobilization (DRM) continues to be a major strategic priority for the Asian Development Bank (ADB) and its developing member countries (DMC). It is now more important than ever for our DMCs to address debt sustainability and to achieve the Sustainable Development Goals (SDGs). Many developing countries are still dealing with high debt levels due to the COVID-19 pandemic, which has been further exacerbated by the disruption in global supply chains caused by increasing geopolitical tensions. Many DMCs in the Asia Pacific region have a tax-to-GDP ratio below the 15% benchmark that is considered the minimum level needed to achieve sustainable growth. This region is falling short on all 17 SDGs. While the role of external finance is crucial in filling the fiscal gaps of DMCs, DRM (which is included as SDG Goal 17) is the indispensable foundation for achieving all the other SDGs and for supporting a strong, inclusive and green recovery.
International tax cooperation (ITC) can also play a key role in assisting DMCs to work together to close the tax loopholes exploited by aggressive tax planning and combat tax evasion. The consensus-based Two-Pillar solution to address tax challenges arising from digitalization of economy has a great potential for helping DMCs collect additional revenue for building a prosperous, inclusive, resilient, and sustainable future. However, international cooperation on tax issues in this region is still lagging. The rate of participation in international tax initiatives such as the Inclusive Framework on Base Erosion and Profit Shifting and the Global Forum on Transparency and Exchange of Information for Tax Purposes shows room for improvement. The introduction of the Global Minimum Tax rules has significantly changed the landscape of tax incentives and developing countries are affected by these rules irrespective of participation levels.
ADB officially launched the Asia Pacific Tax Hub (APTH) at the 54th ADB Annual Meeting in 2021. The APTH serves as an open and inclusive platform for strategic policy dialogue, knowledge sharing, and development coordination among ADB, its member countries, and development partners. The APTH Secretariat organized the first High-Level Regional Tax Conference (HLRTC) that underscored the importance of DRM in achieving the SDGs and the core role of the APTH in the taxation agenda in Asia and the Pacific. Held in November 2021 and November 2023, the events brought together officials from tax policy and administration agencies from ADB members, senior representatives from development partners, ADB staff, and other stakeholders who presented their experiences and brainstormed in plenary and breakout sessions. This knowledge exchange on reform experience highlighted the challenges governments face in DRM and identified the possible support needed for future tax system reforms.
HLRTC 2025 will serve as a platform for all stakeholders to conduct strategic dialogues on emerging and priority areas on DRM and ITC and the latest updates from international tax fora, learn good practices in tax administration and effective strategies for tax reforms, and share country-specific experiences in strengthening the capacity of tax administration.
- The HLRTC will be held from 4 to 6 November 2025 in Manila for two and a half days following Philippines Standard Time (PST) on a hybrid basis.
- The conference will be conducted in English. Simultaneous translation between Russian and English will be available.
- tax policy, equity and informality issues, health and environmental taxes, Value Added Tax (VAT) reform in the digital era;
- international tax initiatives such as the two-pillar solution and post Pillar 2 tax incentives, BEPS and Exchange of Information (EOI); and,
- tax administration issues such as tax debt management, digital transformation, and improving compliance risk management with digital technologies.
Each session will start with a keynote by an eminent expert summarizing the latest developments, followed by one or two country case study presentations, after which the floor will be open to Q&A. Each technical session is expected to be one hour long.
The target audience for this event are senior officials from tax policy and administration agencies from ADB members. Senior representatives from development partners such as the International Monetary Fund, the Organisation for Economic Co-operation and Development, and the World Bank, ADB staff, and other stakeholders will be invited to contribute to selected sessions.