Asian Bank working on new strategy with Azerbaijan
Baku, December 11(AZERTAC). The Asian Development Bank (ADB) plans to allocate loans of $1bn US dollars to Azerbaijan in 2011-2013, part of a new strategy still in preparation.
"These funds will be spent on projects in energy, transport and water supply," the bank`s resident representative in Azerbaijan, Olly Norojono, told a press conference on Friday.
He said that the ADB is in talks with the government to draw up a new, five-year partnership strategy, to begin in 2012.
“At present this is the main work of ADB in Azerbaijan,” he said, adding that the strategy should be finalized by the end of next year.
Earlier this year, the bank approved a 2011-2013 Country Operations Business Plan for Azerbaijan as an interim step ahead of the preparation of the new country partnership strategy. The plan envisages lending of almost $1bn in 2011-2013.
Looking back at the past year, Norojono said: "In 2011, we continued our close cooperation with the government of Azerbaijan in the transport, water supply and sanitation, and energy sector. Our main goal is to assist the government of Azerbaijan achieve inclusive sustainable social-economic development of the country and improve the lives of ordinary people."
In 2011, the ADB disbursed around $23 million for projects in the transport sector. The funds were spent mainly on the construction of the Ganja bypass, the Masalli-Astara highway and feeder roads. At the end of December, ADB management is expected to approve the third tranche of $200 million to continue construction of the Masalli-Astara road, Norojono said.
The Masalli-Astara highway is expected to be completed in 2013 and the Ganja bypass by the middle of 2012.
In the water supply and sanitation sector, the ADB disbursed about $11 million in 2011, the resident representative continued. The funds were allocated to a water supply and sanitation project in Nakchivan and Goychay as a part of a $600 million financing facility for the Water Supply and Sanitation Investment Program. The second tranche of $300 million is expected to be approved by ADB management at the end of December and will allow for the construction of the entire system in Nakchivan, Goychay, Agdash, and Beylagan.
The bank has allocated $35m to the power sector this year, in particular to the laying of a 280-km power line from Mingechevir to Absheron and to a 97-km line from the Shimal power station to Hovsan, including the construction of five substations.
Azerbaijan has been a member of the ADB member since 22 December 1999. The bank issued $687.4m in loans and $27m in technical assistance grants to Azerbaijan between 1999 and 2010.
Other news in this section
