| Project Detail |
Management hereby submits the following report and recommendation on the proposal to grant an ADB loan of EUR 30,500,000 to the Republic of Côte dIvoire to finance the Inclusive Governance and Economic Transformation Support Programme Phase I (PATEGI-I). This programme is designed as a UA 75 million (equivalent to EUR 91.5 million) multisector programme support operation, covering the years 2024, 2025 and 2026. It is in response to a request made to the Bank by the Government of Côte dIvoire in April 2024. In line with the National Development Plan (NDP) 2021-2025, and in order to support and finance economic transformation, one of the governments priorities is to mobilise more resources and attract private sector investment in essential infrastructure. PATEGI will support the Government in these efforts, with particular focus on the transport and energy sectors, which are critical to the countrys development, as well as being two priority sectors in the Banks Country Strategy Paper 2023-2028 and key to the countrys green transition. The programme is co-financed by the OPEC fund. The loan will be used to bridge part of the financing gap in the 2024 budget, estimated at XOF 1,775 billion, or around UA 2.2 billion (IMF, July 2024). Climate finance is not allocated to this project. Project Objectives The programmes development objective is to contribute to accelerating economic growth by strengthening financial governance and economic competitiveness in Côte dIvoire. The programme will help to improve fiscal space, fight corruption and support the sustainable development of the transport and energy sectors. PATEGI is a three-phased programme-based general budget support operation. The proposed reforms are divided into two complementary and mutually reinforcing components: (i) expanding fiscal space and improving inclusive governance, with the first sub-component focusing on expanding fiscal space and public finance management, while the second addresses the fight against corruption, money laundering and the financing of terrorism; and (ii) improving competitiveness by strengthening governance in the transport and electricity sectors. This component has a sub-component on improving governance and accelerating the green transition in the transport sector and another on improving governance and accelerating the energy transition in the electricity sector. Beneficiaries PATEGI will benefit the entire population of Côte dIvoire. The programme will benefit both economic and financial services and users, in particular taxpayers and economic operators, by strengthening the legal and institutional framework for the inclusive management of public finances and the transport and energy sectors. It will not only enable the Government to significantly increase domestic revenue to create fiscal space to meet ever-increasing social expenditures, but will also provide innovative mechanisms to manage public spending that take into account green projects, gender and resilience. By progressively establishing the legal framework for anti-corruption, anti-money laundering and anti-terrorist financing instruments, the programme will enable the Government to improve its governance system to enable private sector development and peace-building. |
