Tag Archives: ADB

Asian Development Bank Affirms Support for Pakistan’s Development Agenda

Islamabad, October 06, 2018 (PPI-OT): Asian Development Bank (ADB) Vice-President Mr. Wencai Zhang affirmed ADB’s support for the Government of Pakistan’s new development and reform agenda during his 2-day visit to the country from 4 to 5 October. Mr. Zhang met with Finance Minister Mr. Asad Umar, Planning and Development Minister Mr. Khusro Bakhtiar, Education Minister Mr. Shafqat Mehmood, Adviser to Prime Minister on Institutional Reforms Dr. Ishrat Hussain, as well as other government officials and development partners.

In his meetings, Mr. Zhang congratulated the new administration on assuming office and noted the government’s “100-day agenda” that prioritizes revitalizing economic growth, transforming governance, and revolutionizing social services. “ADB and Pakistan have a more than 50-year history of strong partnership,” said Mr. Zhang. “We are committed to deepening our cooperation with the new government and supporting its development agenda to bring prosperity to the people of Pakistan.”

Under the current country partnership strategy (CPS), 2015–2019, and the country operations business plan, 2018–2020, ADB is focused on ensuring high, sustained, and inclusive growth for Pakistan. ADB plans to significantly increase the country’s sovereign operations to $7.1 billion over 3 years. Along with its continued focus on energy, infrastructure development, and institutional reforms, ADB is also reengaging in education and health, and further strengthening social safety net through income support program.

Mr. Zhang noted the country’s economic growth momentum in recent years, driven by domestic demand and improvements in security, energy supply, and public infrastructure projects. However, the widening current account and fiscal deficits are key challenges to the economy. He stressed the importance of economic stability and structural reforms, and offered ADB’s support in job creation and exports, private sector development, and institution reforms.

Pakistan is an important member of the Central Asia Regional Economic Cooperation (CAREC) to which ADB is extending programmatic support to deepen regional economic integration. Ahead of the CAREC Ministerial Conference in Ashgabat, Turkmenistan in November, Mr. Zhang said ADB is willing to support Pakistan in developing economic corridors within the framework of CAREC and ADB’s Strategy 2030.

“ADB will help Pakistan upgrade its transport networks and trade facilitation with neighbouring countries and transform the physical connectivity gains into economic gains through the promotion and development of economic corridors and special economic zones,” he said. ADB has committed over $32 billion in project and technical assistance to Pakistan as of 30 September 2018.

ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 67 members – 48 from the region. In 2017, ADB operations totaled $32.2 billion, including $11.9 billion in cofinancing.

For more information, contact:
Asian Development Bank (ADB)
Level 8, North Wing, Serena Office Complex
Khayaban-e-Suhrawardy, G-5
GPO Box 1863, Islamabad, Pakistan
Tel: +92-51-2600351-69, +92-51-2087300
Fax: +92-51-2600365-66, +92-51-2087397-98

Pakistan Launches Expressway as Part of ADB, DFID-Supported Economic Corridors Program

Islamabad, December 27, 2017 (PPI-OT):The Prime Minister of Pakistan Shahid Khaqan Abbassi today inaugurated the Hasan Abdal-Havelian Expressway (E-35), which was constructed with the support of the Asian Development Bank (ADB) and the United Kingdom Department for International Development (DFID). The E-35, also known as the Hazara Expressway, is part of the ADB/DFID’s Pakistan Economic Corridors Program to promote regional trade and economic growth in the country. The two institutions cofinanced the construction of the expressway for a total amount of $327 million. ADB provided a $205 million loan as part of its flagship National Trade Corridor Highway Investment Program, while DFID provided a $121.6 million grant for the project.

“The expressway will bring cost-effective transportation to millions of people in busy towns and deep valleys along the route,” said Xiaohong Yang, ADB Country Director for Pakistan. “It is an important step towards positioning Pakistan as a trading hub between Western and Central Asia by transforming adjoining towns and industrial zones into economic corridors.” The new expressway is considered as the missing link in Pakistan’s transit route. It will link the northern mountainous region with existing north-south motorways to boost the connectivity within Pakistan and increase trade and commerce with the People’s Republic of China and other Central Asian countries.

“The expressway will connect Pakistan to its neighbours and important cities like Abbottabad, Haripur, and Northern region with the motorway network,” said Joanna Reid, Head of DFID Pakistan. “UKAid is pleased to have helped the Government of Pakistan provide better, safer, and faster transport connectivity so women, men, and children can access opportunities, markets, and basic services and develop their local economies.”

E-35, which is 59 kilometers (km) long with the inaugurated portion covering 45.5 km of the total, connects the existing M1 at Burhan to Havelian. The new road runs almost parallel with the existing N35 highway, which has encountered roadblocks and safety hazards due to high traffic volume and poor road conditions. The expressway will substantially reduce the travel time and cost from Islamabad to Havelian and beyond.

Other projects covered by the ADB/DFID partnership include the M4 – Motorway from Gojra to Khanewal; N50 – National Highway from Zhob to Mughal Kot; and N70 – National Highway of Qila Saifullah-Loralai-Wagham. The partnership also provides technical assistance for the development of a national transport policy, road safety, road asset management, and economic corridor planning to ensure that future infrastructure investments bring maximum economic impact. The two institutions also support the development of public-private partnerships to help Pakistan meet its infrastructure gap through sustainable private financing. ADB, based in Manila, is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, it is owned by 67 members—48 from the region.

For more information, contact:
Asian Development Bank (ADB)
Level 8, North Wing, Serena Office Complex
Khayaban-e-Suharwardy, G-5
GPO Box 1863, Islamabad, Pakistan
Tel: +92-51-2600351-69, +92-51-2087300
Fax: +92-51-2600365-66, +92-51-2087397-98

Asian Development Bank provides $100 million for PPP Development in Punjab Province

Islamabad, December 18, 2017 (PPI-OT):The Asian Development Bank’s (ADB) Board of Directors approved a loan agreement for $100 million that will improve and strengthen the development and delivery of public-private partnership (PPP) projects in the Punjab province. The loan from…

Asian Development Bank signs two loans with Pakistan to improve urban, transport sectors

Islamabad, December 18, 2017 (PPI-OT):The Asian Development Bank (ADB) and the Government of Pakistan today signed two loans totalling $380 million for projects to help improve the country’s urban and transport sectors. The agreements were signed by Xiaohong Yang, ADB…

Asian Development Bank supports public-private partnership development to improve infrastructure in Sindh

Islamabad, November 28, 2016 (PPI-OT): The Asian Development Bank (ADB) has approved a $100 million loan to strengthen the standards in the development and delivery of public-private partnership (PPP) projects and help bridge the infrastructure investment gap in Sindh province, South of Pakistan.

The Government of the United Kingdom, through the Department for International Development, is also co financing the project, contributing $19.23 million in grant and $4.75 million in technical assistance, both of which will be managed by ADB. The total cost of the project is $188.98 million in which the Sindh government is contributing $65 million.

“Sindh province continues to have large infrastructure and social service needs which PPPs can assist in addressing,” said Werner Liepach, ADB’s Country Director for Pakistan. “The project will strengthen the provincial government’s capacity to identify, develop, and implement PPPs as well as boost private sector participation.”

Sindh is crucial to Pakistan’s economic future, representing 23% of the country’s population and 32% of GDP. Annual infrastructure investments in the province have been minimal over the last few years, representing only 4% of the total investment requirements in transport, electricity, water supply and sanitation, solid waste, telecommunication, and irrigation.

Limited resources coupled with the local government’s lack of expertise in effectively utilizing its budget for meeting infrastructure needs through public procurement have contributed to the investment gap. Sindh has been developing PPP projects since 2010, however, there is still a strong need to address inefficiencies in the way PPP projects are identified, developed, and fiscally supported which can expose the provincial government to unforeseen fiscal risks.

Some of the institutional adjustments needed include the development of robust frameworks and policies in the selection of eligible and commercially viable PPP projects, structuring efficient risk participation between the Sindh government and the private sector, and rigorous risk assessments that will deliver sustainable and fiscally responsible PPP projects.

The assistance will help in leveraging private capital to augment infrastructure investments in Sindh. In addition, projects will help create jobs and generate income which will further improve the overall economic growth in Sindh.

ADB, based in Manila, is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, ADB in December 2016 will mark 50 years of development partnership in the region. It is owned by 67 members—48 from the region. In 2015, ADB assistance totalled $27.2 billion, including co financing of $10.7 billion.

For more information, contact:
Asian Development Bank (ADB)
Level 8, North Wing, Serena Office Complex
Khayaban-e-Suharwardy, G-5
GPO Box 1863, Islamabad, Pakistan
Tel: +92-51-2600351-69, +92-51-2087300
Fax: +92-51-2600365-66, +92-51-2087397-98

Asian Development Bank to help strengthen Pakistan’s National Disaster Risk Management

Islamabad, November 24, 2016 (PPI-OT): The Asian Development Bank (ADB) today has approved a $200 million loan to strengthen Pakistan’s disaster risk management including support to the National Disaster Risk Management Fund (NDRMF) to reduce the country’s vulnerability to disasters from natural hazards, and climate variability and change. As part of the support, a $1 million technical assistance grant has been approved for Capacity Building of Disaster Risk Management Institutions. ADB will also administer a $3.3 million grant provided by the Government of Australia.

“Pakistan is increasingly exposed and vulnerable to various natural hazards and climate change which pose a significant risk to the fiscal stability of the federal and provincial governments,” said Werner Liepach, ADB Country Director for Pakistan. “The establishment and operationalization of NDRMF will help reduce vulnerabilities to natural hazards and improve the fiscal management of disaster risks.”

According to the Global Climate Risk Index, Pakistan is one of the most affected countries by extreme weather events from 1995 to 2014. Increasing natural hazards have resulted in significant loss of life, economic damage, and the reversal of development gains. These events severely impact the livelihoods of the poor and vulnerable, resulting in mass migration, trade and commerce disruption, and market destabilization. The annual economic impact of flooding alone is estimated at $1.2 billion-$1.8 billion, equivalent to 0.5%-0.8% of GDP.

The government’s disaster risk management policy and strategy have transitioned from a largely response-oriented approach to a broader focus on disaster risk reduction and preparedness. However, progress is limited by financing and capacity constraints.

The assistance will provide financial, technical, and capacity development support to NDRMF and is expected to contribute to the country’s increased and sustainable institutional and physical capacity to reduce the socioeconomic and fiscal impacts of natural hazards and climate change. Investments to reduce vulnerabilities to natural hazards will be increased through matching grant-funding provided by NDRMF to partners and stakeholders for various structural and non-structural interventions.

NDRMF will also carry out quantitative risk modelling analysis for leading natural hazards faced by Pakistan to develop a comprehensive national disaster risk framework strategy. The risk modelling work will be used to create disaster risk maps and quantitative national and sub national information on the expected levels of loss for hazard events of varying types, intensities, and return periods.

ADB has been a major partner of Pakistan in its efforts to integrate disaster risk management in its development agenda, and has supported the country’s reconstruction efforts after major disasters. It has approved nearly $2 billion in loans and grants from 2005 to 2015 for the reconstruction of transport, irrigation and flood protection, housing, education, health, and disaster-resilient livelihood infrastructure, together with DRM capacity building.

ADB, based in Manila, is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, ADB in December 2016 will mark 50 years of development partnership in the region. It is owned by 67 members—48 from the region. In 2015, ADB assistance totalled $27.2 billion, including co financing of $10.7 billion.

For more information, contact:
Asian Development Bank (ADB)
Level 8, North Wing, Serena Office Complex
Khayaban-e-Suhrawardy, G-5
GPO Box 1863, Islamabad, Pakistan
Tel: +92-51-2600351-69, +92-51-2087300
Fax: +92-51-2600365-66, +92-51-2087397-98