51350-001: Economic Management Improvement Program (Subprogram 1) | Asian Development Bank

Uzbekistan: Economic Management Improvement Program (Subprogram 1)

Sovereign (Public) Project | 51350-001 Status: Approved

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
Mukhopadhyay, Hiranya Central and West Asia Department Request for information
Country
  • Uzbekistan
Sector
  • Public sector management
 
Project Name Economic Management Improvement Program (Subprogram 1)
Project Number 51350-001
Country Uzbekistan
Project Status Approved
Project Type / Modality of Assistance Loan
Technical Assistance
Source of Funding / Amount
Loan 3675-UZB: Economic Management Improvement Program (Subprogram 1)
Ordinary capital resources US$ 300.00 million
Loan: Economic Management Improvement Program (Subprogram 1)
World Bank US$ 500.00 million
TA 9538-UZB: Economic Management Improvement Program (Subprogram 1)
Technical Assistance Special Fund US$ 1.00 million
Strategic Agendas Inclusive economic growth
Drivers of Change Governance and capacity development
Partnerships
Private sector development
Sector / Subsector

Public sector management / Public expenditure and fiscal management

Gender Equity and Mainstreaming 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).
Project Outcome
Description of Outcome Environment conducive to private investment improved
Progress Toward Outcome
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)
Geographical Location Nation-wide
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
Business Opportunities
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 quality cost 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 Mukhopadhyay, Hiranya
Responsible ADB Department Central and West Asia Department
Responsible ADB Division Public Management, Financial Sector and Trade Division, CWRD
Executing Agencies
Ministry of Finance
5 Mustaqiliik Square
Tashkent 100008
Republic of Uzbekistan
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 26 Jun 2018

Loan 3675-UZB

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
26 Jun 2018 - - 31 Dec 2018 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 800.00 Cumulative Contract Awards
ADB 300.00 26 Jun 2018 0.00 0.00 0%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 500.00 26 Jun 2018 0.00 0.00 0%

TA 9538-UZB

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
26 Jun 2018 - - 30 Jun 2020 - -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
1,000,000.00 0.00 0.00 0.00 0.00 0.00 1,000,000.00 26 Jun 2018 0.00

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.

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Related Publications

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