Project Name National Tourism Sector Development Framework and State Government Tourism Investment Plans
Project Number 47236-001
Country Micronesia, Federated States of
Project Status Closed
Project Type / Modality of Assistance Technical Assistance
Source of Funding / Amount
TA 8494-FSM: National Tourism Sector Development Framework and State Government Tourism Investment Plans
Technical Assistance Special Fund US$ 225,000.00
Strategic Agendas Inclusive economic growth
Drivers of Change Governance and capacity development
Private sector development
Sector / Subsector

Industry and trade - Trade and services

Gender Equity and Mainstreaming
Description The Federated States of Micronesia (FSM) outlines in its development framework its intention to pursue an economic growth strategy that is based on the sustainable management of FSM's own natural and human resource assets, including through leveraging the economic growth potential of sustainable tourism. In line with this, FSM has sought the assistance of the Asian Development Bank (ADB), to prepare a National Tourism Sector Development Framework and State Government Tourism Action Plans.
Project Rationale and Linkage to Country/Regional Strategy The proposed assistance involves the following components: (i) preparation of a comprehensive tourism sector assessment and analysis of strategic issues, key constraints and development needs in accordance with the directives of FSM's Development Framework and regional commitments under the Secretariat of the Pacific Community; (ii) facilitation of agreement among key stakeholders on a National Tourism Framework that harmonizes Federal and State efforts to develop and promote sustainable tourism; (iii) preparation of Tourism Action Plans that set out the objectives, priority projects and actions, indicative resource requirements, and implementation arrangements for sustainable tourism development in each of FSM's four states; and (iv) preparation of knowledge dissemination plan to raise awareness about the National Tourism Sector Development Framework and mobilize support for the implementation of State Tourism Action Plans. The comprehensive tourism sector assessment and State Tourism Action Plans will help guide Government, private sector and ADB's future investment priorities. The impact, outcome, outputs, and key activities are in the design and monitoring framework presented in Appendix 1.

Project Outcome

Description of Outcome
Progress Toward Outcome The Government decided on the vision to progressively develop the tourism sector to become a leading sustainable tourism destination by 2020. A National Tourism Policy will be prepared instead of a National Tourism Sector Development Framework. The National Tourism Policy will build on six strategic goals (i) promotion of sustainable tourism; (ii) promotion and diversification of high quality tourism products; (iii) creation of enabling environment to support tourism infrastructure investment; (iv) strengthening tourism human resource capacity; (v) development and implementation of a national tourism marketing plan; and (vi) establishment and implementation of tourism industry quality standards. An action plan will be prepared to support the implementation of the policy along with proposed institutional arrangements.
Implementation Progress
Description of Project Outputs
Status of Implementation Progress (Outputs, Activities, and Issues) The TA's current progress include (i) completion of validation and wrap-up workshops in all FSM states to help finalize the policy documents; (ii) confirmation and agreement among all the states on key policy focus and objectives; and (iii) creation of the Project Steering Committee (PSC) to support the progress of the TA. Ensuring states' reviews and inputs to the draft policy documents required a revision of the TA timelines. The TA focal point in the Department of Resource and Development (DoRD) will continue to advocate for the national tourism policy and state level investment plans to ensure buy-in and continuous support of the new government.
Geographical Location

Summary of Environmental and Social Aspects

Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design Consultations were held with the national and state governments and non-state actors on the key features and implementation design of the TA. Each FSM state was visited to meet with key stakeholders and engage with meaningful discussions on key issues surrounding the current state of tourism in the country.
During Project Implementation Implementation of the TA has been extended over a period of 12 months to allow adequate time for broad stakeholder consultations. Several workshops were held inviting key stakeholders to ensure stakeholder participation and communication. Project Steering Committee has also been established to represent key stakeholders in each FSM state during meetings.

Business Opportunities

Consulting Services International and national consultants will be recruited by ADB through a firm, in accordance with ADB's Guidelines on the Use of Consultants (2010, as amended from time to time). The Consultant's Qualification Selection (CQS) method, using biodata technical proposals, will be followed. CQS method for an assignment of this size is appropriate because of the need for highly specialized expertise and timely mobilization of the consultants. Disbursements under the TA will be made in accordance with the ADB's Technical Assistance Disbursement Handbook (2010, as amended from time to time).

Responsible Staff

Responsible ADB Officer Carandang, Ninebeth S.
Responsible ADB Department Pacific Department
Responsible ADB Division Urban, Social Development & Public Management Division, PARD
Executing Agencies
Asian Development Bank
6 ADB Avenue,
Mandaluyong City 1550, Philippines


Concept Clearance -
Fact Finding -
Approval 25 Oct 2013
Last Review Mission -
Last PDS Update 30 Mar 2015

TA 8494-FSM

Approval Signing Date Effectivity Date Closing
Original Revised Actual
25 Oct 2013 - 25 Oct 2013 31 Oct 2015 - -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
225,000.00 0.00 0.00 0.00 0.00 0.00 225,000.00 25 Oct 2013 225,000.00

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