fbpx 42414-044: Sustainable Urban Transport Investment Program - Tranche 4 | Asian Development Bank

Georgia: Sustainable Urban Transport Investment Program - Tranche 4

Sovereign (Public) Project | 42414-044 Status: Active

The Asian Development Bank is working with Georgia to develop sustainable urban infrastructure that improves the environment and quality of life. The program is investing in sustainable transport systems and other urban infrastructure. Project 4 is financing protection works to halt erosion along a 5 km stretch of coastline in Batumi, a key tourist center for both domestic and overseas visitors.

Project Name Sustainable Urban Transport Investment Program - Tranche 4
Project Number 42414-044
Country Georgia
Project Status Active
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 3273-GEO: Sustainable Urban Transport Investment Program - Tranche 4
Ordinary capital resources US$ 20.00 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Gender Equity and Mainstreaming
Governance and capacity development
Knowledge solutions
Sector / Subsector

Transport / Urban public transport - Urban roads and traffic management

Water and other urban infrastructure and services / Other urban services

Gender Equity and Mainstreaming Some gender elements

ADB approved a multitranche financing facility (MFF) for the Sustainable Urban Transport Investment Program for an aggregate amount not exceeding $300 million in July 2010.

Project 4 consists of one subproject and non-physical components: (i) Batumi coastal protection (5 km) to defend urban infrastructure and roads against severe erosion; (ii) setup of a management information system for the executing agency; and (iii) consulting services for feasibility studies and detailed engineering design for sustainable urban transport projects. The subcomponents are in line with the selection criteria of the Investment Program.

Project Rationale and Linkage to Country/Regional Strategy

The government envisions the cities as engine of economic growth and job creation. The government emphasizes city cluster development and the delivery of quality infrastructure and urban services. These are considered essential to increase quality of life, attract investment, and increase productivity and competitiveness. The strategic vision is shared by all

municipalities. In this regard, the government has been working out an urban and regional renewal strategy and has been supporting the business plan to attract private investments.

In line with the sector roadmap prepared for the MFF, these operational plans are now detailed in all regions and cities with the support of the international community. Urban transport, with the other urban services, constitutes the core of this strategy. The policy reform framework outlined in 2010 is still valid and is being implemented and rolled out. It promotes competition, private sector involvement, efficiency, fairness, transparency, environmental sustainability, value for money with regard to capital investment, maintenance, and sound service provision. With regard to urban infrastructure, the sector roadmap priorities approved on 21 June 2010 are to: (i) complete and upgrade the road network; (ii) develop public transport and non-motorized transport to reduce pollution, noise, and traffic crashes; and (iii) improve living conditions in urban areas. These strategic objectives are fully consistent with the country partnership strategy approved in 2014 and with ADB's sustainable transport objectives.

As part of the MFF, the government is requesting ADB for a fourth tranche to help it address the urban infrastructure problem within the framework of the urban renewal strategy.

The policy reform framework has been actively implemented in Tbilisi under Tranche 1.

Impact Improved urban environment, local economy and living conditions within urban areas.
Project Outcome
Description of Outcome Efficient, reliable and affordable urban transport services provided in relevant cities.
Progress Toward Outcome To be assessed.
Implementation Progress
Description of Project Outputs

Urban transport infrastructure extended, rehabilitated, and improved by the Municipal Development Fund of Georgia (MDF) and relevant municipalities.

Institutional and management capacity of MDF strengthened.

Skilled and experienced units to oversee the management and implementation of the program in MDF established.

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


Integrated management information

system is set up in MDF.

Staff trained.

MDF prepared the Tranche 5 to improve the safety of the Tbilisi Metro.

Work is ongoing.

Geographical Location Batumi
Safeguard Categories
Environment B
Involuntary Resettlement C
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects


Disclosed in the ADB website on 24 April 2015.

Involuntary Resettlement The project is categorized as C for land acquisition and resettlement. The project is not expected to include land acquisition and resettlement as defined under the ADB's SPS 2009. In case some unforeseen impacts occur during the project implementation, the land acquisition and resettlement framework would apply.
Indigenous Peoples The project is categorized as C and is not expected to affect indigenous peoples as defined under the ADB's SPS 2009.
Stakeholder Communication, Participation, and Consultation
During Project Design Consultations were carried out with all the stakeholders during Tranche preparation, with local residents and civil society. Stakeholders were informed about the subprojects, and information will continue to be provided during implementation of the project. Consultations were also held at various levels of government, including Ministry of Regional Development and Infrastructure, Batumi Municipality, local governments at the rayon (district municipality) level.
During Project Implementation Ongoing.
Business Opportunities
Consulting Services (i) Financial Audit with estimated value of $200,000 exclusive of taxes through LCS; (ii) Safeguards Monitoring and Individual Consultants with estimated value of $300,000 exclusive of taxes through ICS; (iii) Project Preparation and Engineering design for Kobuleti coastal protection, recreational area and bicycle lanes with estimated value of $950,000 exclusive of taxes through QCBS (90:10); and (iv) Project Preparation and Engineering design for urban transport projects with estimated value of 1,170,000 through QCBS (90:10).
Procurement (i) Batumi Coastal Protection with estimated value of $11,757,000 exclusive of taxes through ICB (works); and (ii) Integrated Management Information System with estimated value of $250,000 exclusive of taxes through ICB (goods).
Responsible ADB Officer Tskhvitava, Avtandil
Responsible ADB Department Central and West Asia Department
Responsible ADB Division Georgia Resident Mission
Executing Agencies
Municipal Development Fund of Georgia
[email protected]
150, D. Agmashenebeli Ave., 0112 Tbilisi, Georgia
Concept Clearance -
Fact Finding -
MRM 20 May 2015
Approval 25 Aug 2015
Last Review Mission -
Last PDS Update 27 Sep 2018

Loan 3273-GEO

Approval Signing Date Effectivity Date Closing
Original Revised Actual
25 Aug 2015 26 Oct 2015 08 Jan 2016 30 Jun 2020 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 24.00 Cumulative Contract Awards
ADB 20.00 25 Aug 2015 19.75 0.00 99%
Counterpart 4.00 Cumulative Disbursements
Cofinancing 0.00 25 Aug 2015 18.71 0.00 94%
Status of Covenants
Category Sector Safeguards Social Financial Economic Others
Rating - - - 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.

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.

Evaluation Documents See also: Independent Evaluation

None currently available.

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.


No tenders for this project were found.

Contracts Awarded

No contracts awarded for this project were found