Project Data Sheet

Project Data Sheets (PDS) contain summary information on the project or program: Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

PDS Creation Date
PDS Updated as of 28 Mar 2014

Project Name Innovative Small and Medium-Sized Enterprise Bond Financing and Investor Protection Mechanism
Country China, People's Republic of
Project/Program Number 46023-001
Status Approved
Geographical Location
In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.
Sector and/or Subsector Classification Multisector
/ Multisector
Strategic Agendas
Drivers of Change
Gender Mainstreaming Categories

Financing

Type/Modality of Assistance Approval Number Source of Funding Approved Amount (thousand)
Technical Assistance8461Technical Assistance Special Fund400
Counterpart 40
TOTAL US$ 440

Summary of Environmental and Social Issues

Environmental Aspects
Involuntary Resettlement
Indigenous Peoples

Stakeholder Communication, Participation and Consultation

During Project Design
Ministry of Finance was consulted during the project design.
During Project Implementation
Regular meetings and consultations with EA and IAs are undertaken.

Description

The TA will help the government formulate strategies and implement concrete programs to promote SMEs access to finance by developing high yield bond market and appropriate investor protection mechanism. The TA will conduct a study on overall SME bond financing in PRC and international best practices to identify preconditions for successful development of high yield bond market. Based on this study, a roadmap for establishing effective policy measures will be prepared for high yield bond market development. Measures for diversifying and expanding investor base, building a proper legal framework, and designing a harmonized regulatory enforcement system will be explored and recommended. The TA will also explore possible investor protection mechanism through the comprehensive study on advanced economies with different legal system. Finally, the TA will also provide capacity building activities for relevant authorities and promote knowledge sharing through an international conference.

Project Rationale and Linkage to Country/Regional Strategy

Development Impact

Increased access to finance for SMEs

Project Outcome

Description of Outcome
Development of a high-yield bond market and an enhanced investor protection mechanism in the PRC
Progress Towards Outcome
The TA is at the early stage of implementation.

Outputs and Implementation Progress

Description of Project Outputs
Comprehensive report on innovative SME bond financing Road map with specific policy measures for development of high-yield bond markets, market infrastructure, and an appropriate legal and appropriate regulatory framework A research report on appropriate investor protection mechanisms for a high-yield bond market and policy recommendations Improved capacity of regulatory authorities to develop high-yield bond markets and investor protection mechanisms
Status of Implementation Progress (Outputs, Activities, and Issues)
Recruitment of consultants is underway.
Status of Development Objectives
Material Changes

Business Opportunities

Date of First Listing 2013 Sep 10
Consulting Services
The individual consultants two international (8 person-months in total, SME Bond Market Specialist and Capital Market Legal and Regulatory Specialist) and three national consultants (10 person-months in total, Bond Market Specialist, SME Finance Specialist, Financial Data and Information Analyst) will be individually selected and engaged by the Asian Development Bank (ADB) in accordance with the Guidelines on the Use of Consultants (2013, as amended from time to time) and arrangements satisfactory to ADB for the engagement of national consultants.
Procurement
Procurement and Consulting Notices
http://www.adb.org/projects/46023-001/business-opportunities

Timetable

Concept Clearance 05 Sep 2013
Fact-finding 13 Aug 2013 to 13 Aug 2013
Management Review Meeting
Approval 25 Sep 2013
Last Review Mission

Milestones

Approval No. Approval Signing Effectivity Closing
Original Revised Actual
Technical Assistance 8461 25 Sep 2013 16 Jan 2014 16 Jan 2014 30 Jun 2015

Utilization

Date Approval Number ADB (US$ thousand) Others (US$ thousand) Net Percentage
Cumulative Contract Awards
Cumulative Disbursements

TA Amount (US$ thousand)

Approval Number Approved Amount Revised Amount Total Commitment Uncommitted Balance Total Disbursement Undisbursed Balance
Technical Assistance 8461 400 400 0 400 0 400

Contacts and Update Details

Responsible ADB Officer Seung Min Lee ( @adb.org)
Responsible ADB Department East Asia Department
Responsible ADB Divisions Public Mgt, Financial Sector and Regional Coop Division, EARD
Executing Agencies

Links

Project Website http://www.adb.org/projects/46023-001/main
List of Project Documents http://www.adb.org/projects/46023-001/documents