Pakistan: Punjab Irrigated Agriculture Investment Program (Tranche 3 and Multitranche Financing Facility)
In December 2006, the Asian Development Bank (ADB) approved a $900 million equivalent multitranche financing facility (MFF) for the Punjab Irrigated Agriculture Investment Program (PIAIP) to finance improvements to Punjab’s irrigation sector, with institutional reforms focused on increased farmer management of downstream parts of the irrigation network to improve irrigation water delivery. The MFF was implemented in four tranches until the end of the MFF validity period on 30 September 2017. The MFF was deemed an appropriate modality for the PIAIP because it provided certainty of funding for a range of PIAIP projects, prior to undertaking the necessary due diligence and detailed design. It also enabled the borrower to respond to changes in funding requirement priorities during the MFF’s implementation as a result of climatic events and changes in other development partner priorities. ADB completed three project completion reports (PCRs) two tranche PCRs and one facility completion report that included the PCR for tranche 3. Accordingly, these PCRs were validated including this validation report for the completion of tranche 3 and the facility completion report. IED overall assessment: Successful.