📋 Tender Overview
Status: Proposed
Loan
technical assistance
The proposed second improving governance and public sector efficiency program (igpsep ii) aims to support azerbaijans transition to a more stable, inclusive, environmentally sustainable, and diversified market economy by (i) strengthening fiscal management, (ii) improving the governance and operations of state-owned enterprises (soes), and (iii) deepening private sector participation and green economy initiatives. the program is aligned with the country partnership strategy for azerbaijan, 2019-2023 of the asian development bank (adb) and the operational priorities of adbs strategy 2030: (i) addressing remaining poverty and reducing inequalities; (ii) accelerating progress in gender equality; (iii) tackling climate change, building climate and disaster resilience, and enhancing environmental sustainability; and (iv) strengthening governance and institutional capacity.
the program is designed under a policy-based lending modality, with two subprograms. the programmatic approach has been chosen as the appropriate modality for logically sequencing structural reforms under a multiyear framework, involving several agencies, as it provides flexibility for dynamic changes in the policy and macroeconomic environment. while subprogram 1 focuses on improving the legal, regulatory, and institutional framework, subprogram 2 supports measures for (i) effective and transparent fiscal and debt management, (ii) professional management and improved performance of soes, (iii) promotion of private sector development and access to finance, and (iv) climate-sensitive policy-making and green economic activities. the subprograms will improve the allocative efficiency of public and private resources.
The proposed igpsep ii deepens the reforms under the igpsep related to rules-based fiscal planning, strengthening of soe restructuring and private sector participation, and improving access to finance and the business environment. its design incorporates lessons from adbs soe reforms under the earlier program and other policy-based lending, which emphasize (i) improving the effectiveness of antimonopoly mechanisms and creating an enabling business environment, (ii) strengthening professional management and oversight of soe performance, and (iii) enhancing the transparency of soes finances. key value additions are strengthened rules-based fiscal and debt management policy, gender-responsive budgeting, climate budgeting, it-based applications in pfm and improved domestic resource mobilization and tax compliance in line with international standards. the program introduces innovative reforms such as e-mobility plan, green financing, and national adaptation plans for a green economy. the program strengthens the competition framework and soe governance under aih through kpis, the transparency of soe finances and their fiscal impact, professional management, and control systems. under the one adb approach, the program will collaborat
