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ADB’s Role in Bridging Asia and Europe
Olly NorojonoCountry Director, Azerbaijan Resident Mission
Asian Development Bank
7th Euro-Asian Road Transport Conference and Ministerial Meeting
Amman, Jordan12-13 June 2013
Regional Multilateral Development Bank
• Established in 1966
• A partnership of 67 countries
• 48 regional members
• 30 offices worldwide
Asian Development Bank
Strategic Directions
Goal• Poverty reduction in Asia and the
Pacific
Strategy 2020• Inclusive growth• Environmentally sustainable
growth• Regional integration
Partnership• AFG, AZE, PAK, PRC, KAZ, KGZ, MON, TAJ, TKM,
UZB – 10 member countries• ADB, EBRD, IMF, IsDB, UNDP, WB– 6 multilateral
institutions (MI) as partners• ADB serves as the CAREC secretariat• Development through cooperation• Strong MI collaboration, but ownership by countries
Action-oriented• Based on clear strategies and action plans• Covers both hard and soft aspects of cooperation• Key sectors: transport, trade facilitation, energy and
trade policy4
CAREC
Upgrade the 6 transport corridors
1. Europe – East Asia Corridor 2. Mediterranean – East Asia3. Russian Federation – Middle
East and South Asia
4. Russian Federation – East Asia5. East Asia – Middle East and South
Asia6. Europe – Middle East and South
Asia
Transport and Trade Facilitation: Strategic Priorities
Ensure efficient movement of goods and people: simplify and harmonize regulations that govern cross-border trade
Develop sustainable, safe, people-friendly transport and trade network
Develop competitive corridors across the CAREC region
Transport and Trade Facilitation: Strategic Priorities
Achievement
As of September 2012
Roads: 3,970 km (51%)
Railways: 3,190 km (44%)
Road: Corridor 2, 3, 5: >80% completedRail: Corridor 4 and 6: >70% completed;
Corridor 3 far behind
Investment and Source of Financing (2001-2012)
ADB
Transport: $6,1 billion (35%)
Trade facilitation: $48 million (19%)
Transport
Other MIs: $7,2 billion (42%)
Government: $3,4 billion million (20%)
Others: $539 million (3%)
Non physical investments
Country-Specific TA Completed: 17
Regional TA Completed: 3
Cross border transport agreement (KGZ-TAJ)
Key IssuesIssues Measures
Inadequate border facilities and infrastructure
ADB’s TA project “Regional Improvement of Border Services (RIBS)”
Agreed approach to mitigate non-physical barriers to cross-border transport of goods and people along CAREC corridors
ADB supported Regional Technical Assistance project was approved in in 2012.
Implications of the CBTA to the private sector
Include private sector in the implementation and capacity building activities of the CBTA
Key IssuesIssues Measures
Slow progress in proposed privately financed investments
Assist in training on institutional capacity and PPP
Inadequate road maintenance Assist in training on performance based management contract for road maintenance
Need to develop capacities Assist in training at national and regional levels through the CAREC Institute program
Key IssuesIssues Measures
Stepped road sector targets place excessive burden on latter years2010-2012: 880 km/year target2013-2017: 1200 km/year target
Use the Midterm Review Stock Take as input to re-evaluate progress and targets
Differences in CAREC planning and evaluation horizons between 2017 and 2020
Use the Midterm Review Strategy Update to harmonize the planning horizon to 2020