π Tender Overview
Scope :
The proposed sustainable fiscal management and governance improvement program supports the kyrgyz republic to improve governance and climate and gender-responsive public financial management (pfm), strengthen governance of state-owned enterprises (soes), strengthen tax policy and administration, and adopt anticorruption measures. the program is aligned with the national development strategy of the kyrgyz republic for 2018-2040 (nds 2040), which aims to ensure economic well-being, social welfare, and sound governance; and with adbs country partnership strategy for the kyrgyz republic, 2023-2027 through its support for pfm reforms, improved infrastructure and service delivery, and strengthened capacity and standards. the program aligns with the following operational priorities (ops) of adbs strategy 2030: op2 (accelerating progress in gender equality); op3 (tackling climate change, building climate and disaster resilience, and enhancing environmental sustainability); op6 (strengthening governance and institutional capacity); and op7 (fostering regional cooperation and integration). based on the joint mdb methodological approach for assessment of paris agreement alignment, the program is aligned with the goals of the paris agreement.
the expected outcome is climate responsive, transparent, and fiscally sound governance and public investment management. to support this outcome, the government will strengthen pfm; improve corporate governance of soes; enhance the transparency and accountability of tax policy and administration; and implement anticorruption measures.
The government has limited capacity to respond to macroeconomic shocks, finance climate mitigation and resilient investments, and weak governance and transparency undermine investor confidence. achieving sustainable economic growth necessitates reinforcing institutions, ensuring sound governance, and establishing climate-sensitive, effective, and transparent pfm systems. since 1991, the country has encountered political instability accompanied by economic and social fragility. the extreme poverty rate was about 1% during 2014-2019, while the overall national poverty rate decreased by 10 percentage points to 20%. the pandemic caused a sharp reversal, pushing the poverty rate up to 25% in 2020 and a significant increase to 33% (2.2 million people) in 2021. this surge was primarily due to an unprecedented rise in extreme poverty, equivalent to 5% of the population, which was seven times higher than in 2020. tackling this escalating
poverty by enhancing economic prospects stands as a paramount objective for the kyrgyz republic. the government is committed to reduce greenhouse gas emissions and adapt to climate change aligned with national priorities and the sustainable development goals (sdgs).
Public sector management / public administration - public expenditure and fiscal management - reforms of state owned enterprises
Concept Clearance: 22 Nov 2023
Fact Finding: 01 Mar 2024