The Asian Development Bank is working with Afghanistan develop training programs in these areas to help sustain private sector and financial market development over the long term. The project is strengthening the legal framework, removing market distortions, disengaging the government from commercial activities, strengthening financial intermediation, and implementing accounting and auditing standards.
| Project Name | Supporting Private Sector and Financial Market Reforms | ||||
| Project Number | 37393-042 | ||||
| Country | Afghanistan |
||||
| Project Status | Closed | ||||
| Project Type / Modality of Assistance | Grant |
||||
| Source of Funding / Amount |
|
||||
| Strategic Agendas | Inclusive economic growth |
||||
| Drivers of Change | Governance and capacity development Private sector development |
||||
| Sector / Subsector | Finance / Finance sector development |
||||
| Gender Equity and Mainstreaming | No gender elements | ||||
| Description | The grant will assist the Government implement the Program. Specifically, it will help the Government (i) strengthen the legal framework, (ii) remove market distortions, (iii) disengage the Government from commercial activities, (iv) strengthen financial intermediation, and (v) implement accounting and auditing standards. The grant will also develop and establish training programs in these areas to help sustain private sector and financial market development over the long term. | ||||
| Project Rationale and Linkage to Country/Regional Strategy | The initial country strategy and program (CSP, 2002) emphasizes that Afghanistan_s long-term economic development hinges on the growth of a dynamic private sector. The initial CSP identifies the weaknesses in the policy and regulatory framework and underdevelopment of the financial sector as key constraints on private sector development. The Program is included in ADB_s Country Strategy and Program Update (2006_2008): Afghanistan. | ||||
| Impact | Sustainable economic growth and employment generation | ||||
| Project Outcome | |
|---|---|
| Description of Outcome | Dynamic private sector and Improved financial intermediation |
| Progress Toward Outcome | |
| Implementation Progress | |
| Description of Project Outputs | 1. Legal framework for private sector development established 2. Key market distortions addressed 3. State-owned enterprises (SOEs) liquidated 4. Improved financial supervision 5. Accounting and auditing standards adopted and the profession's capacity strengthened |
| Status of Implementation Progress (Outputs, Activities, and Issues) | |
| Geographical Location | |
| 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 grant will support the engagement of consultants including legal experts, business economists, SOE liquidation experts, bank regulatory and policy experts, commercial banking experts, and accounting and auditing specialists. This represents 64 person-months of international and 132 person-months of national consulting services. All international and national consultants will be selected and engaged by ADB in consultation with the grant coordination committee. The team of consultants will be recruited by ADB through a firm by quality-based selection (QBS) since capacity constraints pose significant risks to program implementation. All international and national consultants will be engaged in accordance with ADB's Guidelines on the Use of Consultants. |
| Procurement | Procurement of goods and services under the grant will be in accordance with ADB's Guidelines for Procurement. |
| Responsible ADB Officer | Farinha Fernandes, Joao Pedro |
| Responsible ADB Department | Central and West Asia Department |
| Responsible ADB Division | Afghanistan Resident Mission |
| Executing Agencies |
Ministry of Finance Dr. Mohammad Mustafa Mastoor, Deputy Finance Minister [email protected] Pashtunistan Watt, Kabul, Islamic Republic of Afghanistan Ministry of Finance Mr. Wahidullah Shahrani Pashtunistan Watt, Kabul, Islamic Republic of Afghanistan |
| Timetable | |
|---|---|
| Concept Clearance | 17 Jun 2005 |
| Fact Finding | 09 Aug 2006 to 29 Aug 2006 |
| MRM | 02 Oct 2006 |
| Approval | 14 Dec 2006 |
| Last Review Mission | - |
| PDS Creation Date | 26 Jul 2007 |
| Last PDS Update | 29 Oct 2010 |
Grant 0068-AFG
| Milestones | |||||
|---|---|---|---|---|---|
| Approval | Signing Date | Effectivity Date | Closing | ||
| Original | Revised | Actual | |||
| 14 Dec 2006 | 14 Mar 2007 | 18 Jun 2007 | 30 Jun 2010 | - | 28 Jan 2011 |
| Financing Plan | Grant Utilization | ||||
|---|---|---|---|---|---|
| Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
| Project Cost | 4.00 | Cumulative Contract Awards | |||
| ADB | 4.00 | 14 Dec 2006 | 2.31 | 0.00 | 58% |
| Counterpart | 0.00 | Cumulative Disbursements | |||
| Cofinancing | 0.00 | 14 Dec 2006 | 2.31 | 0.00 | 58% |
| Status of Covenants | ||||||
|---|---|---|---|---|---|---|
| Category | Sector | Safeguards | Social | Financial | Economic | Others |
| Rating | Satisfactory | - | - | - | - | Satisfactory |
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.
The Access to Information Policy (AIP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.
The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.
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.
Title |
Document Type | Document Date |
|---|---|---|
| Grant Agreement for Capacity Building for Supporting Private Sector and Financial Market Reforms Project between Islamic Republic of Afghanistan and Asian Development Bank dated 14 March 2007 | Grant Agreement | Mar 2007 |
| Private Sector and Financial Market Development Program | Project/Program Completion Reports | Dec 2011 |
| Supporting Private Sector and Financial Market Reforms | Project/Program Administration Manual | Mar 2007 |
Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.
None currently available.
Evaluation Documents See also: Independent Evaluation
|
Title |
Document Type | Document Date |
|---|---|---|
| Afghanistan: Private Sector and Financial Market Development Program | Validations of Project Completion Reports | May 2014 |
Related Publications
None currently available.
The Access to Information Policy (AIP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.
Requests for information may also be directed to the InfoUnit.
Tenders
No tenders for this project were found.
Contracts Awarded
No contracts awarded for this project were found
Procurement Plan
None currently available.