Kyrgyz Republic: CAREC Regional Road Corridor Improvement Project (Supplementary)

Sovereign Project | 39676-033 Status: Closed


ADB is helping improve a key road network in Central Asia to foster trade in the region. The project will  rehabilitate 263 kilometers of the 550-kilometer road corridor linking the People's Republic of China, Kyrgyz Republic, and Tajikistan. The supplementary financing will complete the paving of the Sary Tash-Karamik section of the road in the Kyrgyz Republic with two layers of asphalt concrete.

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Project Name CAREC Regional Road Corridor Improvement Project (Supplementary)
Project Number 39676-033
Country Kyrgyz Republic
Project Status Closed
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 2667-KGZ: CAREC Regional Road Corridor Improvement Project (Supplementary)
Asian Development Fund US$ 23.00 million
Strategic Agendas Inclusive economic growth
Regional integration
Drivers of Change Private sector development
Sector / Subsector

Transport - Road transport (non-urban)

Gender Equity and Mainstreaming Some gender elements
Description The principal objectives of the project are to reduce transport costs and foster regional cooperation among PRC, Tajikistan and other Central Asian countries. The road will increase regional traffice and trade, improve access to regional markets and social services for people living along the Corridor.
Project Rationale and Linkage to Country/Regional Strategy The Project involves paving the 136 km road from Sary Tash to Karamik (currently being improved under Grant 0084-KGZ: CAREC Regional Road Corridor Improvement Project in the Alay valley area of southwest Kyrgyz Republic) with two layers (10 cm) of asphalt concrete. Since starting the civil works financed under Grant 0084-KGZ , the Government has found that the original scope for placing only a single-layer of asphalt (5 cm) in only 56 km of the road is inadequate to sustain the investment in earthwork. The original scope was decided during preparation of Grant 0084-KGZ because of inadequate financing, although the technical recommendation was for 11 cm of asphalt concrete. The Government has requested supplementary financing for completing the paving work, which would include only additional materials and equipment, and supervision consulting services. The total additional time required will be 18 months.
Impact Contribution to reducing transport costs and fostering regional trade and cooperation among the Kyrgyz Republic, People's Republic of China (PRC), Tajikistan, and other Central Asian countries
Project Outcome
Description of Outcome Improved access to markets and social services
Progress Toward Outcome

At completion on 30 September 2013, project outcomes are substantially achieved, as envisaged. Before the project, the road was in poor condition and became a bottleneck to the international and domestic traffic. It was almost unpaved, and the international roughness index (IRI) was about 12- 15. Upon completion, the entire section of 136 kilometer was rehabilitated with full asphalt surfacing, new and replaced bridges, improved drainage system, and significant road safety facilities. The improvement completely changed the transport condition of the road and well facilitated the local and international traffic. The project has led to more efficient movement of freight and passenger traffic along the road at a time of increasing demand. It created more frequent use of transport services by residents of the project area and enhanced their access to social services and employment opportunities. The project has also generated significant economic benefits, stimulated the local socioeconomic development, including remarkable trade and local market development and fast booming in local transport service.

Along with the rapid socioeconomic and trade development after the road improvement, the traffic on the project road represents a fast growing trend and is higher than appraised over the period. It increased from average 89 vehicles in 2007 to 390 vehicles in 2013, with an average increase rate of 28% per annum. In the traffic composition of 2013, about 67.5% was passenger vehicles and 32.5% was freight vehicles. Passenger vehicles are mainly local for the people to commute between villages to market and social centers. Most of the freight vehicles are large or medium trucks for the goods transported between Sary-Tash to the Kyrgyz Tajik border as well as carrying goods from the PRC to Tajikistan. A large proportion of the heavy trucks belong to the international traffic. The vehicles may run at average speed of 60- 80 kilometers per hour and more than half traveling time is saved as to comparing with that before the project. Travel time of the residents to the nearest major city Osh reduced from 10-15 to 3-4 hours which entailed a consequent reduction of the transport costs and a convenience of travel.

ADB conducted a PCR mission jointly with the government in December 2013. The project accounts were closed on 28 February 2014.

Implementation Progress
Description of Project Outputs

1. Nimich (Tajikistan) to Sary Tash (Kyrgyz Republic) road corridor improved

2. Nimich to Sary Tash road corridor properly maintained and receives adequate financing

3. Border infrastructure at Kyrgyz-Tajik and Kyrgyz-PRC borders improved

4. Cross-border agreement among Kyrgyz Republic, PRC, and Tajikistan

Status of Implementation Progress (Outputs, Activities, and Issues)

1. The civil work component was fully completed by the project closing date on 30 September 2013. The one year defects notification period (DFP) started on 18 October 2012. The contractor finished all remedial works by 18 October 2013, the end of DFP.

2. The government has been providing adequate financing for maintaining the project road and complies with the respective loan covenant. MOTC planned to implement the PBM component in 2012-2013 focusing on the Osh-Gulcha road but this delayed due to protracted internal restructuring in MOTC and severe budget constraints. In February 2013 MOTC re-recruited an international PBM consultant to develop bidding and contract documents for the PBM pilot contract to be implemented in the framework of the next ADB-financed project, the Bishkek-Osh Road Phase IV. The consultant helped MOTC prepare draft bidding and contract documents for the Kara-Balta-161km section which were submitted on 13 September 2013.

3. Reconstruction of the Irkeshtam BCP was completed. The government arranged financing this component through the PRC's technical assistance in amount of CNY21 million (about $3.4 million equivalent). The component commenced in August 2009 and was completed in August 2010, and the border infrastructure and facilities were substantially upgraded. It included constructing a new customs hall and office and a large paved parking lot for cross-border vehicles, and equipping the customs with a set of equipment for inspection, quarantine, and processing.

4. The Cross Border Agreement (CBA) were signed by Kyrgyzstan and Tajikistan in December 2010 and became effective on 28 June 2011. On 31 May 2013 the government approved Afghanistan's joining to the CBTA pending a parliamentarian approval.

Geographical Location Osh oblast
Safeguard Categories
Environment B
Involuntary Resettlement C
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects No major issues. The MOTC and project management consultants well monitored the implementation of the environmental management plan. Results were reported in environment monitoring reports starting 2009. The final report was submitted in March 2014.
Involuntary Resettlement No issues.
Indigenous Peoples No issues. This a category C project.
Stakeholder Communication, Participation, and Consultation
During Project Design During preparation of Stakeholders Participation Analysis, representatives of the ministries of transport and communications and project preparatory technical assistance teams undertook socioeconomic surveys and public meetings at villages and settlements, and rayon (district) levels. These surveys and meetings raised awareness and gained local support. Consultations will continue throughout the project implementation to address implementation-related concerns and issues.
During Project Implementation

There were no issues related to project implementation throughout the project period.

In 2012, the MOTC conducted a public information campaign in schools of the Chon Alay rayon to increase road safety awareness among pupils.

Business Opportunities
Consulting Services Additional services, amounting to approximately 21 person-months of international consultants' input and 63 person-months of national consultants' input will be procured through a contract variation.
Procurement MOTC will procure additional works through a variation to the existing civil works contract. All works shall be procured following ADB's International Competitive Bidding procedures.
Responsible ADB Officer Mirdin Eshenaliev
Responsible ADB Department Central and West Asia Department
Responsible ADB Division Kyrgyz Resident Mission
Executing Agencies
Ministry of Transport and Communications
Mr. Kalykbek Sultanov
42, N. Isanov St.
Bishkek City 720017
Kyrgyz Republic
Concept Clearance 04 Feb 2010
Fact Finding 27 Jan 2010 to 10 Feb 2010
MRM 19 Aug 2010
Approval 21 Sep 2010
Last Review Mission -
Last PDS Update 31 Mar 2014

Loan 2667-KGZ

Approval Signing Date Effectivity Date Closing
Original Revised Actual
21 Sep 2010 05 Nov 2010 19 Apr 2011 30 Sep 2013 - 28 Feb 2014
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 32.00 Cumulative Contract Awards
ADB 23.00 21 Sep 2010 22.64 0.00 99%
Counterpart 9.00 Cumulative Disbursements
Cofinancing 0.00 21 Sep 2010 22.95 0.00 100%
Status of Covenants
Category Sector Safeguards Social Financial Economic Others
Rating - Satisfactory Satisfactory Satisfactory - Satisfactory

Evaluation Documents

See also: Independent Evaluation

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Related Publications

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