Regions and Countries

	Table of Contents
p. 18 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 - Tajikistan

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VII. ADB’s Operational Program

A. The Proposed Program

71. The Government agreed to shift to normal processing procedures in 2000. The two loans programmed for 2000 totaling $53 million in the road and power sectors are being processed. These projects will be processed, taking into account the progress of the ongoing Program Loan, which addresses the key structural reform issues in road and power sectors. Due to ADB's young portfolio in Tajikistan, the 2000 pipeline has no standby projects in case of slippage of the road and power loans.

72. The proposed lending program for 2001-2003 is for $140 million, which corresponds to the assessment of the absorptive capacity of the Government and the current indicative planning figure (IPF) for Tajikistan of $40 million. The focus of ADB's operations in Tajikistan will be maintained with the six proposed firm loan projects providing support in the agriculture, infrastructure, and social sectors.

73. Due to ADF resource constraints since 1998, the annual IPFs for ADF DMCs have been compressed. However, in the medium term, Tajikistan is expected to have the demand for, and the capacity to absorb, a higher level of ADB concessional assistance to meet its development needs. Thus, although the programmed levels of assistance reflect current resource constraints, IPFs could be increased should circumstances permit.

74. TAs are scheduled within the ceiling of $4 million for 2001-2003. ADTAs constitute 64 percent of the total in 2001 and 52 percent for 2002-2003. Such high levels of advisory technical assistance are necessary during the initial years of ADB operations to support capacity building and institutional strengthening in Tajikistan. A majority of the ADTAs were strategically programmed to address cross-cutting economy-wide issues. To meet with the required level of institutional change and capacity building, the Government in cooperation with external agencies will need to devote substantial effort and resources to this task. Project preparatory work that includes a strong participatory approach will continue to play a key role by appropriately analyzing up-to-date information to ensure the quality of projects and effective use of limited ADF resources.

75. The proposed loan and technical assistance pipeline for 2001-2003 is summarized in Table 1. Details of the pipeline and its strategic development objective orientation are provided in Appendixes 4 and 5. Project profiles for firm 2001 loans are attached as Appendix 6.

B. Strengthening ADB's Liaison Office Facilities

76. ADB missions to Tajikistan will continue policy dialogue with the Government to accelerate reforms and ensure successful ADB operations. This responsibility will fall on visiting missions since ADB does not yet have a resident mission in the country. Important areas of policy dialogue will be poverty reduction, improving governance, and other policy issues related to project operations.

77. A Liaison Office to provide logistical support to ADB operations was established within the Ministry of Finance in 1998, and is staffed by a local consultant. Considering the increasing work load of the Liaison Office, strengthening office facilities and increasing staff (local consultants) are being considered. Establishing a Resident Mission in Tajikistan is to be considered for 2001 or 2002.

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