ADB to provide $6.1b for road, rail network

The Asian Development Bank (ADB) is set to provide at least USD 6.1 billion to Bangladesh for regional connectivity, particularly for road transport and railway network, under the Country Operations Business Plan (COBP) for 2016-2018. Under the programme, the ADB will support the government’s current and emerging development priorities, including activities to sustain strong and inclusive economic growth and vigorous human development, according to the recently released COBP. Of the total amount earmarked for 2016-2018, the indicative resources available for sovereign operations amount to USD 2,778 million, comprising USD 1,502 million in market-based ordinary capital resources (OCR) and USD 1,276 million in Asian Development Fund (ADF) and concessional OCR resources. The rest of USD 3,350 million will be available as standby funds for the country. Earlier, Economic Relations Division (ERD) joint secretary (ADB wing) Saifuddin Ahmed told The Independent that the ADB was keen on enhancing support for regional connectivity in South Asia to boost trade and commerce. According to the COBP, the final allocation will depend on the availability of the ADF and concessional OCR resources as well as the outcome of the country’s performance assessments by the bank. The lending programme includes over-programming, which is listed as standby.
The ADB will hold consultations with the government to explore opportunities for co-financing to increase the scope of projects. Private sector operations will be catalysed using the ADB’s non-sovereign lending products.
The COBP would continue to focus on the generation, transmission, and distribution of electricity; improving energy efficiency; and developing regional cooperation in power trading.
The Natural Gas Development and Distribution Project MFF, with tranche-I in 2016 listed as standby, will support expanding delivery of domestic gas and imported liquefied natural gas. Project Preparatory Facility for Power Sector (TA loan) in 2016 will support early project preparation in the power sector. The Rural Hybrid Power Development Project in 2017 (standby) will support rural communities and renewable energy development.
The ADB will focus on improving road maintenance, increasing the capacity of regional road corridor from Dhaka to north-western Bangladesh, and building the Dhaka–Chittagong–Cox’s Bazar railway corridor. Additional financing for Sub-regional Transport Project Preparatory Facility (TA loan) in 2015 will support the preparation for the improvement of 600 km of roads in eight sub-regional corridors, and the conversion of the Dhaka–Chittagong–Cox’s Bazar rail corridor to dual-gauge from meter gauge. Tranche-I of the SASEC Roads Project II is scheduled for 2017. The Railway Rolling Stock Project, scheduled for 2015, will enhance railway services by providing more and better rolling stock. The first tranche for the SASEC Chittagong–Cox’s Bazar Railway Project Phase-1 in 2016 (standby) will finance a new 100-km railway line.
The COBP strengthens the ADB involvement in primary and secondary education, skills development and science, technology and innovation. Tranche-III of the Skills for Employment Investment Programme in 2017 will support policy and institutional reforms and improving job placements. The Information Technology Parks for Employment in 2017 (standby) will support skills development in technology and innovation. In the finance sector, the ADB’s focus will remain on the development of a capital market, small and medium-sized enterprises (SMEs), and infrastructure financing. The Small and Medium Enterprise–II Project in 2015 (standby) will support access to finance for the SMEs in non-metropolitan areas. The Third Public–Private Infrastructure Development Facility Project in 2016 (standby) will address infrastructure deficiencies by providing long-term debt financing for private sector-sponsored infrastructure projects.
The ADB will support the integrated planning process for climate change mitigation and adaptation, water supply and sanitation in large cities, urban primary health care, and governance. A PDA in 2016 will support preparation of the Tranche–I sub-project of the City Region Development Investment Program. Additional financing for the Coastal Towns Environmental Infrastructure Project is included in the pipeline for 2016. The Manila-based lender organisation will support food security and rural livelihoods by helping to boost productivity, climate-resilient connectivity, and integrated water resources management.

ADB to provide $6.1b for road, rail network

The Asian Development Bank (ADB) is set to provide at least USD 6.1 billion to Bangladesh for regional connectivity, particularly for road transport and railway network, under the Country Operations Business Plan (COBP) for 2016-2018. Under the programme, the ADB will support the governments current and emerging development priorities, including activities to sustain strong and inclusive economic growth and vigorous human development, according to the recently released COBP. Of the total amount earmarked for 2016-2018, the indicative resources available for sovereign operations amount to USD 2,778 million, comprising USD 1,502 million in market-based ordinary capital resources (OCR) and USD 1,276 million in Asian Development Fund (ADF) and concessional OCR resources. The rest of USD 3,350 million will be available as standby funds for the country. Earlier, Economic Relations Division (ERD) joint secretary (ADB wing) Saifuddin Ahmed told The Independent that the ADB was keen on enhancing support for regional connectivity in South Asia to boost trade and commerce. According to the COBP, the final allocation will depend on the availability of the ADF and concessional OCR resources as well as the outcome of the countrys performance assessments by the bank. The lending programme includes over-programming, which is listed as standby. The ADB will hold consultations with the government to explore opportunities for co-financing to increase the scope of projects. Private sector operations will be catalysed using the ADBs non-sovereign lending products. The COBP would continue to focus on the generation, transmission, and distribution of electricity; improving energy efficiency; and developing regional cooperation in power trading. The Natural Gas Development and Distribution Project MFF, with tranche-I in 2016 listed as standby, will support expanding delivery of domestic gas and imported liquefied natural gas. Project Preparatory Facility for Power Sector (TA loan) in 2016 will support early project preparation in the power sector. The Rural Hybrid Power Development Project in 2017 (standby) will support rural communities and renewable energy development. The ADB will focus on improving road maintenance, increasing the capacity of regional road corridor from Dhaka to north-western Bangladesh, and building the DhakaChittagongCoxs Bazar railway corridor. Additional financing for Sub-regional Transport Project Preparatory Facility (TA loan) in 2015 will support the preparation for the improvement of 600 km of roads in eight sub-regional corridors, and the conversion of the DhakaChittagongCoxs Bazar rail corridor to dual-gauge from meter gauge. Tranche-I of the SASEC Roads Project II is scheduled for 2017. The Railway Rolling Stock Project, scheduled for 2015, will enhance railway services by providing more and better rolling stock. The first tranche for the SASEC ChittagongCoxs Bazar Railway Project Phase-1 in 2016 (standby) will finance a new 100-km railway line. The COBP strengthens the ADB involvement in primary and secondary education, skills development and science, technology and innovation. Tranche-III of the Skills for Employment Investment Programme in 2017 will support policy and institutional reforms and improving job placements. The Information Technology Parks for Employment in 2017 (standby) will support skills development in technology and innovation. In the finance sector, the ADBs focus will remain on the development of a capital market, small and medium-sized enterprises (SMEs), and infrastructure financing. The Small and Medium EnterpriseII Project in 2015 (standby) will support access to finance for the SMEs in non-metropolitan areas. The Third PublicPrivate Infrastructure Development Facility Project in 2016 (standby) will address infrastructure deficiencies by providing long-term debt financing for private sector-sponsored infrastructure projects. The ADB will support the integrated planning process for climate change mitigation and adaptation, water supply and sanitation in large cities, urban primary health care, and governance. A PDA in 2016 will support preparation of the TrancheI sub-project of the City Region Development Investment Program. Additional financing for the Coastal Towns Environmental Infrastructure Project is included in the pipeline for 2016. The Manila-based lender organisation will support food security and rural livelihoods by helping to boost productivity, climate-resilient connectivity, and integrated water resources management.