Uzbekistan : Economic Management Improvement Facility
The proposed economic management improvement program aims to strengthen economic management in Uzbekistan and thus support macroeconomic stability and sustained high growth. Macroeconomic stability, in turn, implies stronger resilience to adverse economic shocks. This is of critical importance in Uzbekistan as the country is pursuing regional integration and economic diversification. The program will introduce important fiscal reforms to ensure fiscal sustainability; improve governance in state-owned enterprises (SOEs) to make their operations financially viable; improve access to bank finance by strengthening bank supervision so as to facilitate competitive financing of private sector operations (especially small and medium enterprises); and strengthen economic data collection, analysis, management, and dissemination systems to bolster economic decision making. The programmatic approach and policy-based loan will finance two subprograms to be implemented during 2018-2019.
Project Details
-
Project Officer
Akin, Cigdem
Sectors Group
Request for information -
Country/Economy
Uzbekistan -
Sector
- Public sector management
| Project Name | Economic Management Improvement Facility | ||||||||||||||||||||||||||||||||||||||||||
| Project Number | 51350-001 | ||||||||||||||||||||||||||||||||||||||||||
| Country / Economy | Uzbekistan |
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| Project Status | Active | ||||||||||||||||||||||||||||||||||||||||||
| Project Type / Modality of Assistance | Loan Technical Assistance |
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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 / Public expenditure and fiscal management - Reforms of state owned enterprises |
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| Gender | No gender elements | ||||||||||||||||||||||||||||||||||||||||||
| Description | The proposed economic management improvement program aims to strengthen economic management in Uzbekistan and thus support macroeconomic stability and sustained high growth. Macroeconomic stability, in turn, implies stronger resilience to adverse economic shocks. This is of critical importance in Uzbekistan as the country is pursuing regional integration and economic diversification. The program will introduce important fiscal reforms to ensure fiscal sustainability; improve governance in state-owned enterprises (SOEs) to make their operations financially viable; improve access to bank finance by strengthening bank supervision so as to facilitate competitive financing of private sector operations (especially small and medium enterprises); and strengthen economic data collection, analysis, management, and dissemination systems to bolster economic decision making. The programmatic approach and policy-based loan will finance two subprograms to be implemented during 2018-2019. Attached transaction technical assistance will assist in implementing the program. | ||||||||||||||||||||||||||||||||||||||||||
| Project Rationale and Linkage to Country/Regional Strategy | In September 2017, the government initiated a comprehensive exchange rate reform to solve long-standing difficulties associated with limited access to foreign exchange and requirements to surrender foreign exchange, which brought parallel exchange markets and economic distortions. The reform aimed to promote foreign investment, private sector development, and exports. It allowed free access to foreign currency for private firms. However, liberalizing the foreign exchange market created many macroeconomic challenges because of weak governance structure in some areas. The proposed program addresses those issues and challenges by facilitating critical reforms in three areas: SOE governance, fiscal and financial sectors management, and data collection and dissemination. | ||||||||||||||||||||||||||||||||||||||||||
| Impact | Macroeconomic stability and sustainable high growth facilitated (Strategy of Actions on Further Development of Uzbekistan). |
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| Project Outcome | |
|---|---|
| Description of Outcome | Environment conducive to private investment improved |
| Progress Toward Outcome | Critical reforms in the following areas are ongoing: SOE governance, fiscal and financial sectors management, and data collection and dissemination. |
| Implementation Progress | |
| Description of Project Outputs | Macroeconomic Data Collection, Analysis, and Dissemination Systems Fiscal and financial management SOE governance and private sector operations |
| Status of Implementation Progress (Outputs, Activities, and Issues) | Implementation of policy actions are ongoing. The consulting firm has been selected and will commence services in October 2018. The policy-based loan subprogram 1 of $300 million was fully disbursed in September 2018. |
| Geographical Location | Nation-wide |
| Safeguard Categories | |
|---|---|
| Environment | C |
| Involuntary Resettlement | C |
| Indigenous Peoples | C |
| Summary of Environmental and Social Aspects | |
|---|---|
| Environmental Aspects | Given the nature of the program, all safeguard categories are categorized as "C" under the PBL. |
| Involuntary Resettlement | Given the nature of the program, all safeguard categories are categorized as "C" under the PBL. |
| Indigenous Peoples | Given the nature of the program, all safeguard categories are categorized as "C" under the PBL. |
| Stakeholder Communication, Participation, and Consultation | |
| During Project Design | |
| During Project Implementation | |
| Business Opportunities | |
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| Consulting Services | A total of 65 person-months of consultancy services (23 international and 42 national) will be required intermittently. Individual consultants and a consulting firm will be engaged. The firm will be selected using the quality- and cost-based selection method with a standard qualitycost ratio of 90:10, to be selected and engaged by ADB in accordance with the ADB Procurement Policy (2017, as amended from time to time) and the associated project administration instructions and/or TA staff instructions. Output-based, lump-sum consulting contracts will be preferred. All disbursements under the TA will be made in accordance with ADB's Technical Assistance Disbursement Handbook (2010, as amended from time to time). |
| Responsible ADB Officer | Akin, Cigdem |
| Responsible ADB Department | Sectors Group |
| Responsible ADB Division | Public Sector Management and Governance Sector Office (SG-PSMG) |
| Executing Agencies |
Ministry of Economy and Finance |
| Timetable | |
|---|---|
| Concept Clearance | 03 Jan 2018 |
| Fact Finding | 20 Feb 2018 to 28 Feb 2018 |
| MRM | 19 Apr 2018 |
| Approval | 26 Jun 2018 |
| Last Review Mission | - |
| Last PDS Update | 27 Sep 2018 |
Loan 3675-UZB
| Milestones | |||||
|---|---|---|---|---|---|
| Approval | Signing Date | Effectivity Date | Closing | ||
| Original | Revised | Actual | |||
| 26 Jun 2018 | 27 Jul 2018 | 16 Aug 2018 | 31 Dec 2018 | - | 31 Dec 2018 |
| Financing Plan | Loan Utilization | ||||
|---|---|---|---|---|---|
| Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
| Project Cost | 300.00 | Cumulative Contract Awards | |||
| ADB | 300.00 | 09 Sep 2023 | 300.00 | 0.00 | 100% |
| Counterpart | 0.00 | Cumulative Disbursements | |||
| Cofinancing | 0.00 | 09 Sep 2023 | 300.00 | 0.00 | 100% |
TA 9538-UZB
| Milestones | |||||
|---|---|---|---|---|---|
| Approval | Signing Date | Effectivity Date | Closing | ||
| Original | Revised | Actual | |||
| 26 Jun 2018 | 17 Jul 2018 | 17 Jul 2018 | 30 Jun 2020 | 31 Dec 2024 | - |
| Financing Plan/TA Utilization | Cumulative Disbursements | |||||||
|---|---|---|---|---|---|---|---|---|
| ADB | Cofinancing | Counterpart | Total | Date | Amount | |||
| Gov | Beneficiaries | Project Sponsor | Others | |||||
| 3,075,000.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 3,075,000.00 | 09 Sep 2023 | 2,159,050.57 |
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 |
|---|---|---|
| Economic Management Improvement Program: Subprograms 1 and 2 Completion Report | Project/Program Completion Reports | Jun 2021 |
| Loan Agreement (Ordinary Operations) for Loan 3675-UZB: Economic Management Improvement Program (Subprogram 1) | Loan Agreement (Ordinary Resources) | Jul 2018 |
| Economic Management Improvement Program (Subprogram 1): Report and Recommendation of the President | Reports and Recommendations of the President | May 2018 |
| Economic Management Improvement Program (Subprogram 1): Technical Assistance Report | Technical Assistance Reports | May 2018 |
| Economic Management Improvement Program (Subprogram 1): Concept Paper | Concept Papers | Jan 2018 |
| Economic Management Improvement Program: Initial Poverty and Social Analysis | Initial Poverty and Social Analysis | Jan 2018 |
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 |
|---|---|---|
| Uzbekistan: Economic Management Improvement Program, Subprograms 1 and 2 | Validations of Project Completion Reports | Nov 2021 |
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 Approves $300 Million Loan to Support Economic Reform Program in Uzbekistan
ADB's Board of Directors has approved a $300 million policy-based loan to help improve economic management in Uzbekistan, which will support macroeconomic stability and sustain high growth in the country.
Tenders
Contracts Awarded
| Contract Title | Approval Number | Contract Date | Contractor | Address | Executing Agency | Total Contract Amount (US$) | Contract Amount Financed by ADB (US$) |
|---|---|---|---|---|---|---|
| Capacity Development | Technical Assistance 9538 | 15 Jul 2020 | AARC Ltd.(Irish Republic) | 41 Hughes Road East, Walkinstown Walkins Leinster Dublin 12 / 31 Mespil Road, Bal Dublin 4, Ireland | Ministry of Finance | 352,320.00 | — |
| Capacity Development | Technical Assistance 9538 | 07 Sep 2018 | AARC Ltd.(Irish Republic) in association with Grant Thornton LLC(UZBEKISTAN) | 41 Hughes Road East, Walkinstown Walkins Leinster Dublin 12 Ireland | Ministry of Finance | 554,007.00 | — |
| Capacity Development | Technical Assistance 9538 | 07 Sep 2018 | AARC Ltd.(Irish Republic) in association with Grant Thornton LLC(UZBEKISTAN) | 41 Hughes Road East, Walkinstown Walkins Leinster Dublin 12 Ireland | Ministry of Finance | 554,007.00 | — |
Procurement Plan
None currently available.