The Asian Development Bank (ADB) is likely to provide $0.8 million technical assistance for policy reforms in support of private participation in infrastructure (PPI). Well-placed sources told Business Recorder the assistance would support capacity building initiatives for the finance ministry and the task force to support effective implementation of the PPI programme.
The government has started to address policy constraints to PPI in key sectors of the economy with the ADB support. The government has established a PPI policy task force to ensure co-ordination during implementation of the programme.
The task force comprises top officials of the finance ministry, planning commission, ministry of justice and other state bodies relevant for the PPI policy reforms. The task force has the mandate to establish working groups to advance specific areas of the PPI policy reforms.
KEY ACTIVITIES OF THE TECHNICAL ASSISTANCE ARE: logistical support for implementation of the work programme of the task force, review of the government's concession policies for PPI and assess whether there is a need for legislation on concession, draft explanatory guidelines for judges and practitioners on implementing alternative dispute resolution and assess the implementation and impact of the government's PPI policy.
In the area of supporting PPI reforms in key sub-sectors of the economy.
THE ACTIVITIES OF THE ASSISTANCE WOULD BE: undertaking an independent strategic review of PPIB's performance, providing training to development and regulatory authorities of the four provinces on procedures and institutional arrangements for the promotion of PPI in the road sector, undertaking an independent performance assessment of the concession agreements negotiated by the National Highway Authority (NHA), including its implementation.
According to the ADB, low investment in new infrastructure and poor maintenance of existing infrastructure due to less development expenditure in 80s and 90s created bottlenecks in infrastructure and utilities, which is undermining the country's economic growth.
Since the long-term economic growth requires development of infrastructure and utilities, the government faces a growing need to find alternative ways of financing, including private participation in infrastructure and investment in utilities and their maintenance.
Comments
Comments are closed.