Regions and Countries

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p. 6 of 14 BACK | NEXT I. Country Performance Assessment A. Recent Political Developments B. Economic Performance Assessment C. Assessment of Socio-Environmental Performance D. Governance: Sound Development Management E. Implementation Assessment II. Country Operational Strategy III. Sector Strategies IV. Regional Cooperation V. Donor Activities and Aid Coordination VI. Cofinancing and Catalyzing External Resources VII. ADB’s Operational Program VIII. Economic and Sector Work Program IX. Local Cost Financing

Country Assistance Plans - Republic of the Fiji Islands : I. Country Performance Assessment

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E. Asian Development Bank Assistance: Implementation Assessment

1. The Portfolio

18. Since 1970, thirteen loans have been approved by the ADB amounting to $161.1 million. They include four road upgrading loans, three power sector loans, three agricultural and natural resources loans, two development bank loans, and one low-income housing development loan. The ongoing loan program consists of the Fiji Islands Road Upgrading Project (FRUP) II and FRUP III road upgrading projects. Completion of FRUP II and commencement of FRUP III were delayed by one year awaiting the completion of one road section.

19. Since 1970, 59 TAs have been approved totaling $16.5 million. Many of the TAs assisted the lending program financing sector studies and development plans, and institutional development. The ADB continues to be involved in helping to improve the policy framework in key sectors such as agriculture¹⁴ and transport.¹⁵ More recent TAs focus on other aspects of the policy reform agenda including public enterprise reform¹⁶ and capital market reform.¹⁷ Other advisory TAs support the implementation of public financial management reforms, preparation of an economic report, strengthening the economic policy 'think tank,' corporatization of water and sewerage services, targeting public investment in support of major tourism developments, environmental management, vocational training and assistance with the development of an improved investment regulatory environment. The urban sector strategy study commenced in 1999.

2. Issues in Project Implementation

20. Project performance audit reports and project completion reports highlight the need to (i) take adequate account of socio-cultural issues, (ii) ensure adequate capacity building, and (iii) provide flexibility in project design to allow for necessary adjustments. Counterpart funds are generally well budgeted for but their release has sometimes been late. Performance monitoring at the level of the line Ministries should be strengthened. Project related financial audits have largely been kept up-to-date although a few audits have been delayed. 21. Most TAs have generally been well implemented. FRUP III-associated TAs, which support important improved sector policies of sector reorganization and road safety have been delayed in implementation. Sector funding has not been satisfactory and the Government’s intention to establish a cost recovery policy has not yet been implemented. An ADB Transport Sector Review Mission will examine these issues with Government in October 1999.

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