Pakistan: Building Resilience with Active Countercyclical Expenditures Program

Sovereign Project | 56148-001

The principal objective of the Program is to mitigate the adverse socio-economic effects of the economic crises and enhance the resilience of poor and vulnerable groups to socio-economic shocks. The scope of the proposed program includes implementation of (a) increased social protection measures; (b) increased food security measures; and (c) enhanced support for business.

Project Details

  • Project Officer
    Tora, Laisiasa Natakubu
    Central and West Asia Department
    Request for information
  • Country/Economy
    Pakistan
  • Sector
    • Public sector management
Project Name Building Resilience with Active Countercyclical Expenditures Program
Project Number 56148-001
Country / Economy Pakistan
Project Status Active
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 4234-PAK: Building Resilience with Active Countercyclical Expenditures (BRACE)
Ordinary capital resources US$ 1,250.00 million
Loan 4235-PAK: Building Resilience with Active Countercyclical Expenditures Program
Concessional ordinary capital resources lending US$ 250.00 million
Loan: Building Resilience with Active Countercyclical Expenditures Program
Asian Infrastructure Investment Bank US$ 500.00 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Gender Equity and Mainstreaming
Governance and capacity development
Knowledge solutions
Private sector development
Sector / Subsector

Public sector management / Public expenditure and fiscal management - Social protection initiatives

Gender Equity and Mainstreaming Effective gender mainstreaming
Description The principal objective of the Program is to mitigate the adverse socio-economic effects of the economic crises and enhance the resilience of poor and vulnerable groups to socio-economic shocks. The scope of the proposed program includes implementation of (a) increased social protection measures; (b) increased food security measures; and (c) enhanced support for business.
Project Rationale and Linkage to Country/Regional Strategy The proposed program will support the government's efforts to provide relief while, in conjunction with other development partners aligned to the government's reform program with the International Monetary Fund (IMF), accelerate the ongoing implementation of structural reforms to improve Pakistan's medium-to long-term macroeconomic resilience and prospects. The program is aligned with the government's strategic priorities and the objective to promote social inclusion by strengthening the support provided to poor and vulnerable groups, improving economic resilience, and supporting the trade related sectors. The program is also aligned with Strategy 2030 of the Asian Development Bank (ADB), particularly (i) operational priority (OP) 1: addressing remaining poverty and reducing inequalities; (ii) OP2: accelerating progress in gender equality; (iii) OP5: promoting rural development and food security; (iv) OP6: strengthening governance and institutional capacity; and (v) OP7: fostering regional cooperation and integration. The program is also aligned with ADB's country partnership strategy for Pakistan, 2021-2025, especially on reducing economic and social disparities, strengthening economic governance, and supporting private sector development. Pakistan meets all the criteria required to access ADB's countercyclical support facility, which include adverse impact of exogenous shocks, pro-poor countercyclical development expenditure program, public debt levels maintained at sustainable levels, and ongoing implementation of structural reforms.
Impact

Macroeconomic management strengthened, and more sustained, and inclusive growth supported.

Project Outcome
Description of Outcome

Adverse socioeconomic effects of the crisis mitigated, and resilience of poor, and vulnerable groups enhanced.

Progress Toward Outcome
Implementation Progress
Description of Project Outputs

Increased social protection measures implemented.

Increased food security measures implemented.

Enhanced support for business implemented.

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 No action required.
Involuntary Resettlement No action required.
Indigenous Peoples No action required.
Stakeholder Communication, Participation, and Consultation
During Project Design A range of stakeholders were consulted to identify the impacts of the exogenous shocks and align ADB's assistance with the government's needs, including (i) the Ministry of Finance, (ii) the Ministry of Economic Affairs, (iii) Ministry of Industries and Production, (iv) Ministry of National Food Security and Research, (v) Benazir Income Support Program, and (vi) International Monetary Fund.
During Project Implementation An independent third-party survey of beneficiaries will be conducted to assess the effectiveness, efficiency, and credibility of the of the government's countercyclical expenditure measures as part of the agreed monitoring and evaluation framework between ADB and the government.
Business Opportunities
Consulting Services Not applicable.
Procurement Not applicable.
Responsible ADB Officer Tora, Laisiasa Natakubu
Responsible ADB Department Central and West Asia Department
Responsible ADB Division Public Management, Financial Sector and Trade Division, CWRD
Executing Agencies
Ministry of Finance
Timetable
Concept Clearance -
Fact Finding 18 Aug 2022 to 25 Aug 2022
MRM 14 Sep 2022
Approval 21 Oct 2022
Last Review Mission -
Last PDS Update 21 Oct 2022

Loan 4234-PAK

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
21 Oct 2022 24 Oct 2022 24 Oct 2022 31 Dec 2023 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 1,250.00 Cumulative Contract Awards
ADB 1,250.00 17 Nov 2022 0.00 0.00 0%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 0.00 17 Nov 2022 1,250.00 0.00 100%

Loan 4235-PAK

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
21 Oct 2022 24 Oct 2022 24 Oct 2022 31 Dec 2023 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 250.00 Cumulative Contract Awards
ADB 250.00 17 Nov 2022 0.00 0.00 0%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 0.00 17 Nov 2022 250.00 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.


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 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.

Tenders

No tenders for this project were found.


Contracts Awarded

No contracts awarded for this project were found


Procurement Plan

None currently available.