Tonga : Building Macroeconomic Resilience Program (Subprogram 2)
The program aims to strengthen Tonga's long-term growth prospects and capacity to respond to external shocks. The programmatic approach, with three subprograms during 2016-2018, builds on previous policy-based operations of the Asian Development Bank (ADB) and other development partners that sustain government efforts to improve (i) its fiscal position by adopting prudent policies and better public financial management (PFM), and (ii) the business climate by continuing policy, regulatory environment, and public enterprise reforms.
Project Details
-
Project Officer
Basu, Ananya
Pacific Department
Request for information -
Country/Economy
Tonga -
Modality
-
Sector
- Public sector management
Project Name | Building Macroeconomic Resilience Program (Subprogram 2) | ||||||||||||||||||||||
Project Number | 48361-002 | ||||||||||||||||||||||
Country / Economy | Tonga |
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Project Status | Closed | ||||||||||||||||||||||
Project Type / Modality of Assistance | Grant |
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Source of Funding / Amount |
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Strategic Agendas | Inclusive economic growth |
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Drivers of Change | Governance and capacity development Partnerships Private sector development |
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Sector / Subsector | Public sector management / Economic affairs management - Public administration - Public expenditure and fiscal management - Reforms of state owned enterprises |
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Gender | No gender elements | ||||||||||||||||||||||
Description | The program aims to strengthen Tonga's long-term growth prospects and capacity to respond to external shocks. The programmatic approach, with three subprograms during 2016-2018, builds on previous policy-based operations of the Asian Development Bank (ADB) and other development partners that sustain government efforts to improve (i) its fiscal position by adopting prudent policies and better public financial management (PFM), and (ii) the business climate by continuing policy, regulatory environment, and public enterprise reforms. | ||||||||||||||||||||||
Project Rationale and Linkage to Country/Regional Strategy | The program is consistent with ADB's Pacific Approach 2016-2020 which supports greater resilience to external shocks and risks and a better business environment as key outcomes. | ||||||||||||||||||||||
Impact | More inclusive and sustainable growth and development (Tonga Strategic Development Framework, 2015-2025) A more inclusive, sustainable, and dynamic knowledge-based economy (Tonga Strategic Development Framework, 2015-2025) More responsive good governance (Tonga Strategic Development Framework, 2015-2025) |
Project Outcome | |
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Description of Outcome | Fiscal position and business environment in Tonga is improved |
Progress Toward Outcome | Outcome indicators will be measured following completion of the programmatic approach with three subprograms. |
Implementation Progress | |
Description of Project Outputs | Fiscal resilience supported An inclusive, modern, and accountable state supported A more dynamic and inclusive economy supported |
Status of Implementation Progress (Outputs, Activities, and Issues) | Fiscal anchor system introduced. New procurement tracking database established. Receivership Bill approved. |
Geographical Location | Nation-wide |
Safeguard Categories | |
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Environment | C |
Involuntary Resettlement | C |
Indigenous Peoples | C |
Summary of Environmental and Social Aspects | |
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Environmental Aspects | As the program is aimed at macroeconomic and fiscal management and reforms it does not entail any physical works. It therefore will not result in any environmental impact. |
Involuntary Resettlement | The program is aimed at economic and fiscal management and reform. It does not entail any physical works. The program loan does not have any involuntary resettlement impact. |
Indigenous Peoples | The program is aimed at economic and fiscal management and reforms. It does not entail any physical works. The program is not expected to impact any distinct and vulnerable group of indigenous peoples. |
Stakeholder Communication, Participation, and Consultation | |
During Project Design | The program is country-wide and will affect, through macroeconomic and sector policy changes, all citizens of Tonga. Specific beneficiary groups and potentially negatively affected groups include the private sector, workers' associations, public enterprise employees, women's groups, and the vulnerable. The program is aligned with the Tonga strategic development frameworks I and II, which are both based on countrywide community consultations. Individual reform actions are based on or will incorporate feedback from consultations of identified stakeholder groups, led by the responsible implementing agencies. |
During Project Implementation | The program will selectively engage stakeholders based on potential effects of individual policy actions. Issues specifically relevant for the poor include negative employment effects from the foundational employment legislation, public enterprise reform, and utility regulation. The program aims to promote pro-poor, socially acceptable, and economically feasible policy decisions. |
Business Opportunities | |
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Consulting Services | Not required. |
Procurement | Not required. |
Responsible ADB Officer | Basu, Ananya |
Responsible ADB Department | Pacific Department |
Responsible ADB Division | Urban, Social Development & Public Management Division, PARD |
Executing Agencies |
Ministry of Finance |
Timetable | |
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Concept Clearance | - |
Fact Finding | 20 Feb 2017 to 24 Feb 2017 |
MRM | 30 Mar 2017 |
Approval | 29 May 2017 |
Last Review Mission | - |
Last PDS Update | 12 Sep 2017 |
Grant 0532-TON
Milestones | |||||
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Approval | Signing Date | Effectivity Date | Closing | ||
Original | Revised | Actual | |||
29 May 2017 | 31 May 2017 | 01 Jun 2017 | 30 Sep 2017 | - | 11 Sep 2017 |
Financing Plan | Grant Utilization | ||||
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Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
Project Cost | 2.25 | Cumulative Contract Awards | |||
ADB | 2.25 | 17 Jun 2022 | 2.25 | 0.00 | 100% |
Counterpart | 0.00 | Cumulative Disbursements | |||
Cofinancing | 0.00 | 17 Jun 2022 | 2.25 | 0.00 | 100% |
Loan 3531-TON
Milestones | |||||
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Approval | Signing Date | Effectivity Date | Closing | ||
Original | Revised | Actual | |||
29 May 2017 | 31 May 2017 | 01 Jun 2017 | 30 Sep 2017 | - | 11 Sep 2017 |
Financing Plan | Loan Utilization | ||||
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Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
Project Cost | 2.75 | Cumulative Contract Awards | |||
ADB | 2.75 | 17 Jun 2022 | 2.81 | 0.00 | 100% |
Counterpart | 0.00 | Cumulative Disbursements | |||
Cofinancing | 0.00 | 17 Jun 2022 | 2.81 | 0.00 | 100% |
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 |
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Building Macroeconomic Resilience Program: Program Completion Report | Project/Program Completion Reports | Sep 2020 |
Loan Agreement (Concessional) for Loan 3531-TON: Building Macroeconomic Resilience Program - Subprogram 2 | Loan Agreement (Ordinary Resources) | May 2017 |
Grant Agreement for Grant 0532-TON: Building Macroeconomic Resilience Program - Subprogram 2 | Grant Agreement | May 2017 |
Building Macroeconomic Resilience - Subprogram 2: Report and Recommendation of the President | Reports and Recommendations of the President | Apr 2017 |
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 |
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Tonga: Building Macroeconomic Resilience Program | Validations of Project Completion Reports | Sep 2022 |
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.
ADB Funds Program to Boost Fiscal Resilience, Business Climate in Tonga
ADB has approved a $2.75 million loan and a $2.25 million grant to help Tonga strengthen its long-term economic growth prospects as well as support and develop the country’s capacity to respond to external economic shocks.
Tenders
Contracts Awarded
Procurement Plan
None currently available.