Regions and Countries

	Table of Contents
p. 15 of 20 BACK | NEXT I. Country Performance 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 - Kyrgyz Republic

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IV. Regional Cooperation

41. ADB will actively support subregional cooperation in Central Asia. The four ADB members in the region (the Kyrgyz Republic, Kazakhstan, Tajikistan, and Uzbekistan) share a common institutional history and face similar policy and reform challenges. Moreover, the infrastructure inherited upon independence was designed to meet the needs of the former Soviet Union, not the requirements of the present independent countries.

42. In response to strong requests from the governments, ADB assistance has been provided to help resolve cross-border and subregional issues. Under a regional technical assistance (RETA) approved in 1997, ADB has supported subregional cooperation among the Kyrgyz Republic, Kazakhstan, Uzbekistan, and the Xinjiang Uygur Autonomous Region of the PRC in the areas of energy, transport, and trade and payments systems. During a series of workshops, high-priority policy reforms and investments were identified. Under the second phase of the initiative, for which additional RETA support was approved by ADB in December 1998: (i) the dialogue will be intensified to support policy reform and sector analysis; (ii) active private sector involvement will be sought; (iii) steps will be taken to improve the institutional capacity of public agencies involved and to enhance the legal and regulatory framework; (iv) assistance will be provided to implement priority regional infrastructure investments; and (v) the inclusion of Tajikistan in these activities will be examined. ADB's support for regional economic cooperation has resulted in support in 2000 for the rehabilitation of the strategic road link between Bishkek and Almaty. Other loan projects that could result from the second-phase RETA study are further support of (i) selected road and other transport links between the cited countries; and (ii) subsectors such as intraregional energy trade. Under the ADB-financed RETA: Rural Financial Systems Workshops in Central Asia, a workshop was held which aimed at contributing to capacity building for developing a sustainable rural financial system by gaining better insights on the role of rural finance, by exposing policy makers to best international practices, and by learning from rural finance experiences in the region. A planned RETA on subregional cooperation in managing education reforms will cover the Kyrgyz Republic, Kazakhstan, Uzbekistan, and Tajikistan, as well as Mongolia and Azerbaijan. It will provide the governments and their external partners an opportunity to take stock of reform experiences and promote educational policy dialogue.

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