Marshall Islands: Public Sector Program - Subprogram 1

Sovereign Project | 43321-013

Summary

PROGRAM FOCUS

1. POLICY REFORM

The Public Sector Program supports the Marshall Islands broad-ranging expenditure and tax reforms, including state-owned enterprise reform and the adjustments required to achieve fiscal sustainability. The Program supports the implementation of the recommendations of the Tax and Revenue Reform and Modernization Commission and the Comprehensive Adjustment Program Advisory Group. Under subprogram 1, policy actions have been designed and the implementation of immediate reform priorities has commenced. Subprogram 2 will largely complete the implementation of the policy actions.

2. INVESTMENT PROGRAM

Not applicable - there is no investment component for the Program loan.

3. INSTITUTIONAL ENHANCEMENT

Latest Project Documents


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Project Name Public Sector Program - Subprogram 1
Project Number 43321-013
Country Marshall Islands
Project Status Closed
Project Type / Modality of Assistance Loan
Technical Assistance
Source of Funding / Amount
Loan 2659-RMI: Public Sector Program - Subprogram 1
Asian Development Fund US$ 9.50 million
TA 7578-RMI: Supporting the Public Sector Program
Technical Assistance Special Fund US$ 600,000.00
TA 7578-RMI: Supporting the Public Sector Program (supplementary)
Technical Assistance Special Fund US$ 300,000.00
Strategic Agendas Inclusive economic growth
Drivers of Change Governance and capacity development
Sector / Subsector

Public sector management - Public expenditure and fiscal management - Reforms of state owned enterprises

Gender Equity and Mainstreaming Some gender elements
Description

PROGRAM FOCUS

1. POLICY REFORM

The Public Sector Program supports the Marshall Islands broad-ranging expenditure and tax reforms, including state-owned enterprise reform and the adjustments required to achieve fiscal sustainability. The Program supports the implementation of the recommendations of the Tax and Revenue Reform and Modernization Commission and the Comprehensive Adjustment Program Advisory Group. Under subprogram 1, policy actions have been designed and the implementation of immediate reform priorities has commenced. Subprogram 2 will largely complete the implementation of the policy actions.

2. INVESTMENT PROGRAM

Not applicable - there is no investment component for the Program loan.

3. INSTITUTIONAL ENHANCEMENT

Associated with the Public Sector Program is technical assistance of $700,000 equivalent to support institutional enhancement to provide the necessary assistance to implement the Program and support the RMI Government in meeting the necessary conditions for release of funds for subprogram two. Support will be provided in budget and fiscal management, public service management and revenue collection and enforcement.

Project Rationale and Linkage to Country/Regional Strategy
Impact The public sector provides more efficient and effective services to the population.
Project Outcome
Description of Outcome The government achieves fiscal sustainability
Progress Toward Outcome
Implementation Progress
Description of Project Outputs

The government's fiscal discipline improves over the medium term.

The cabinet enforces restraint on recurrent expenditure.

MOF increases tax revenue.

Selected SOEs improve their performance.

Cabinet ensures effective stakeholder participation in public sector reform initiatives.

Status of Implementation Progress (Outputs, Activities, and Issues) Loan 2659-RMI: Public Sector Program - Subprogram 1 was approved by the ADB Board on 17 August 2010 and became effective on 28 September 2010 when all loan conditions were met. The loan of SDR 6,413,000 ($9,979,846) was fully disbursed on 5 October 2010.
Geographical Location Majuro, Marshall Islands
Safeguard Categories
Environment C
Involuntary Resettlement C
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation
Business Opportunities
Consulting Services The proceeds of the loan will be disbursed to RMI as the borrower according to ADB's Simplified Disbursement Procedures and Related Requirements for Program Loans. The proceeds will finance items produced and procured in ADB member countries, while items on the list of ineligible items and imports financed by other bilateral and multilateral sources are excluded.
Procurement The proceeds of the loan will be disbursed to RMI as the borrower according to ADB's Simplified Disbursement Procedures and Related Requirements for Program Loans. The proceeds will finance items produced and procured in ADB member countries, while items on the list of ineligible items and imports financed by other bilateral and multilateral sources are excluded.
Responsible ADB Officer Maria Melei
Responsible ADB Department Pacific Department
Responsible ADB Division Urban, Social Development & Public Management Division, PARD
Executing Agencies
Ministry of FinanceOIDAFIN@NTAMAR.COMP.O. Box D, Majuro
MH 96960
Republic of the Marshall Islands
Timetable
Concept Clearance 09 Apr 2010
Fact Finding 10 May 2010 to 14 May 2010
MRM 17 Jun 2010
Approval 17 Aug 2010
Last Review Mission -
PDS Creation Date 10 Sep 2010
Last PDS Update 27 Sep 2013

Loan 2659-RMI

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
17 Aug 2010 08 Sep 2010 28 Sep 2010 28 Feb 2011 - 28 Feb 2011
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 9.50 Cumulative Contract Awards
ADB 9.50 17 Aug 2010 9.98 0.00 100%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 0.00 17 Aug 2010 9.98 0.00 100%

TA 7578-RMI

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
17 Aug 2010 08 Sep 2010 08 Sep 2010 31 Aug 2013 31 Aug 2014 -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
900,000.00 0.00 100,000.00 0.00 0.00 0.00 1,000,000.00 17 Aug 2010 834,204.50

Safeguard Documents

See also: Safeguards

No documents found.

Evaluation Documents

See also: Independent Evaluation

No documents found.


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