Regions and Countries

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p. 9 of 20 BACK | NEXT I. Country Performance Assessment II. Country Operational Strategy III. Sector Strategies A. Agriculture and Rural Development B. Infrastructure C. Social Infrastructure and Environment D. Governance Dimensions of ADB Operations E. Gender Dimensions of ADB Operations F. Private Sector Operations 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 - Kyrgyz Republic : III. Sector Strategies

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A. Agriculture and Rural Development

28. In the agricultural sector, the key development issues challenging the Government are (i) the policy and institutional inefficiencies remaining from the inherited structure of agricultural production and organization; (ii) the extent of poverty, particularly in the rural areas; and (iii) the unsustainable use of natural resources. The Government has carried out a comprehensive program of reforms under ADB’s Agriculture Sector Program Loan of 1995 which focused on policy and institutional efforts in land reform and natural resources management, restructuring and further improvement of the agricultural input supply system, maintenance of social protection, and capacity building of the sector’s key institutions in managing the transitional process. Significant elements of capacity building and institutional strengthening have been and will continue to be a major feature of ADB's operations in the agriculture sector in the Kyrgyz Republic. The Government’s efforts have yielded results with impressive growth in the agriculture sector since 1996 and even in the difficult period since the advent of the Russian crisis. In addressing the above issues the Government is continuing its overall reform agenda to (i) create basic market institutions through establishment of clearly defined and enforceable property rights; (ii) promote development of competitive markets through privatization and restructuring of agricultural entities; and (iii) ensure the reform program proceeds with minimum social and environmental costs. These and assistance for capacity building, rural finance, and increasing agriculture productivity are identified in the COS as priority areas in ADB operations. ADB will consider further support to the Government’s sector objectives and reform program through the Rural Development/Poverty Reduction and the Second Agriculture Area Development Projects.

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