Islamabad, December 18, 2017 (PPI-OT):The Asian Development Bank’s (ADB) Board of Directors approved a loan agreement for $100 million that will improve and strengthen the development and delivery of public-private partnership (PPP) projects in the Punjab province.
The loan from ADB will be used to finance a viability gap fund window which will enhance the commercial viability of projects and help attract private sector participation in PPPs. The project will support institutional capacity building by engaging procurement and safeguards specialists and project finance experts in the province that will further improve the government’s ability to review, develop, and implement sustainable PPP projects.
“The Government of Punjab, with a growing pipeline of projects, is well placed to use PPPs to deliver better public infrastructure and services,” said Adrian Torres, Principal Financial Sector Specialist in ADB’s Central and West Asia Department. “ADB’s support will help the government identify and implement PPPs that deliver better value-for-money to the province.”
The Government of the United Kingdom, through the Department for International Development (DFID), is cofinancing the project through a $19.6 million grant and $4 million technical assistance, both of which will be administered by ADB. DFID’s grant will also be used to finance a dedicated project development facility which will support the engagement of transaction advisors. The total cost of the project is $219.6 million, with the Punjab government contributing $100 million.
ADB, based in Manila, is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, ADB is celebrating 50 years of development partnership in the region. It is owned by 67 members – 48 from the region. In 2016, ADB assistance totaled $31.7 billion, including $14 billion in cofinancing.
For more information, contact:
Asian Development Bank (ADB)
Level 8, North Wing, Serena Office Complex
GPO Box 1863, Islamabad, Pakistan
Tel: +92-51-2600351-69, +92-51-2087300
Fax: +92-51-2600365-66, +92-51-2087397-98