Kyrgyz Republic: Skilling and Entrepreneurship for Inclusive Growth Sector Development Program

Sovereign Project | 50024-002 Status: Proposed

The proposed Skilling and Entrepreneurship for Inclusive Growth Sector Development Program (the Program) will improve effectiveness and efficiency of technical and vocational education and training (TVET) at college level. The program is part of Asian Development Bank's (ADB) country partnership strategy 2013_2017 and will support the Kyrgyz Republic's economic development to achieve inclusive growth, aligned with the country's national sustainable development strategy (NSDS) 2013_2017.

Project Details

Project Officer
Sarvi, Jouko Central and West Asia Department Request for information
Country
  • Kyrgyz Republic
Modality
  • Grant
Sector
  • Education
 
Project Name Skilling and Entrepreneurship for Inclusive Growth Sector Development Program
Project Number 50024-002
Country Kyrgyz Republic
Project Status Proposed
Project Type / Modality of Assistance Grant
Source of Funding / Amount
Grant: Skilling and Entrepreneurship for Inclusive Growth Sector Development Program
concessional ordinary capital resources lending / Asian Development Fund US$ 18.00 million
concessional ordinary capital resources lending / Asian Development Fund US$ 12.00 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Governance and capacity development
Knowledge solutions
Partnerships
Sector / Subsector

Education - Education sector development - Technical and vocational education and training

Gender Equity and Mainstreaming Effective gender mainstreaming
Description The proposed Skilling and Entrepreneurship for Inclusive Growth Sector Development Program (the Program) will improve effectiveness and efficiency of technical and vocational education and training (TVET) at college level. The program is part of Asian Development Bank's (ADB) country partnership strategy 2013_2017 and will support the Kyrgyz Republic's economic development to achieve inclusive growth, aligned with the country's national sustainable development strategy (NSDS) 2013_2017.
Project Rationale and Linkage to Country/Regional Strategy

Labor market needs. Analysis shows that the shortage of skilled workforce is a major constraint to inclusive growth. A better skilled workforce is needed to increase productivity and accelerate private sector development. Improved skills also help people access better paid jobs and earn higher income. Therefore, the vocationally skilled workforce needs to increase from the current rate of about 20% in order to reflect the needs of key economic sectors. In addition, 33% of firms in the Kyrgyz Republic identified an inadequately educated workforce as a major constraint to business development _ well above the regional average of 22%. These are indications that workers do not meet the labor market needs. Moreover, the low women's labor force participation rate of 53% has to be addressed to increase inclusiveness of economic growth.

Systemic imbalance. The education system as the supply side to the labor market has been increasingly characterized by a systemic imbalance in its upper- and post-secondary education levels in the last two decades. The TVET system enrolls twice as many college students studying a technician profile as students in TVET schools (95,000 TVET college students and 38,000 TVET school students respectively). These enrollment rates are not conducive to the country's needs. While there has been a significant increase in TVET college enrollment, the instruction in colleges has remained highly theoretical and is not contributing to adequately skilling the workforce. Micro, small, and medium-sized enterprises, which are providing the majority of private sector jobs, nowadays seek employees who can combine solid practical skills with an entrepreneurial mindset.

Governance and policy. In response to the labor market needs, the government has been aligning since 2015 the mandate of the Ministry of Education and Science (MOES) by integrating the Agency of Vocational Education (AVE) into the ministry structure. In this setup, AVE now governs both levels of TVET to increase the internal (access, cost, relevance, and quality) and external efficiency (meeting the current and future needs of the labor market better) of TVET. However, the synergies of this merger need to be strengthened and AVE will need help in redefining its role and engagement with the economy and in building its capacity as the TVET policy making agency of the MOES.

Lessons learned from previous projects. ADB successfully completed one TVET project in 2012, and a second TVET project is ongoing until 2017. ADB's assistance in skills development has mostly supported building capacities, improving the quality of TVET at school level, and focusing on skills which lead to immediate employment. In addition to rehabilitating and equipping schools, important labor market oriented methods and mechanisms have been introduced such as: (i) occupational standards formulation through sector skills councils, (ii) competency based training, and (iii) teachers' in-service training. However, in order for the instructors to adopt modern teaching techniques that integrate practical skills training with theoretical content, longer-term support is needed. A logical progression besides shifting the TVET focus from schools to colleges will be the additional components of employers' cooperation as well as entrepreneurship education and practice. Consequently, the program aims at decreasing the gap between economic strategy and labor market needs vis-_-vis the structure and content of TVET.

Program Design. The program combines policy and investment support as the government is firmly committed to TVET reform. The policy component will support the government in developing and implementing an inclusive skills strategy to systemically anchor TVET in key economic sectors. An initial ratio of 60% policy component and 40% project component is suggested.

Impact Inclusive growth through improved workforce skills and productivity in the country's key economic sectors.
Outcome A market-responsive entrepreneurial, and inclusive TVET system
Outputs Strengthened TVET management, governance, and finance in support of key economic sectors
Geographical Location

Safeguard Categories

Environment C
Involuntary Resettlement C
Indigenous Peoples C

Summary of Environmental and Social Aspects

Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation

Responsible Staff

Responsible ADB Officer Sarvi, Jouko
Responsible ADB Department Central and West Asia Department
Responsible ADB Division CWSS
Executing Agencies
Ministry of Education and Science
257 Tynystanov str., 720040, Bishkek, Kyrgyz Republic

Timetable

Concept Clearance 22 Oct 2016
Fact Finding 10 Jul 2017 to 21 Jul 2017
MRM 28 Aug 2017
Approval -
Last Review Mission -
Last PDS Update 24 Oct 2016

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 Public Communications Policy (PCP) 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.

None currently available.

Evaluation Documents See also: Independent Evaluation

None currently available.

Related Publications

None currently available.


The Public Communications Policy (PCP) 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.