KATHMANDU, Oct 21: Only three out of 32 Asian Development Bank (ADB) funded projects was found satisfactory in 2016.
According to ADB, tunnel work of Melamchi Water Supply Project, procurement process of Marshyangdi and Kaligandaki Corridor transmission lines projects, and pipeline laying work of Kathmandu Valley Water Supply Improvement Projects delivered satisfactory results in the review year.
These projects uplifted the annual performance of total portfolio of Asian Development Bank, according to the officials of the Manila-based multilateral donor.
ADB portfolio in Nepal consists of 32 projects worth US $1.7 billion.
Speaking at a tripartite portfolio review meeting on Thursday, ADB Country Director Kenichi Yokoyama commended staffers of those projects for delivering high contract awards and disbursements this year. “These are already higher than the historically highest ever achieved in Nepal in ADB-assisted projects," added Yokoyama.
By the end of September 2016, projects have achieved $231 million worth of contract awards in different procurements and disbursement amounts are worth US $131 million, according to ADB. Project executing agencies, however, need to have contract award worth US $169 million (40 percent of target) and US $109 million disbursement (44 percent of target) in remaining two months by the end of December.
Most of the ADB projects have suffered from several recurring problems. Significant change of key project staffers has affected Community-Managed Irrigated Agriculture Sector Project while continued poor performance of contractor has marred the Air Transport Capacity Enhancement Project. Similarly, work of the Gautam Buddha International Airport has been affected due to delay in issuing permit for extraction of aggregates by the concerned District Development Committee.
ADB has said that high staff turnover, low implementation capacity and control systems, long time taken and high risks associated with procurement, weak contract management, and performance of contractors and consultants should be corrected for expediting expenditure in the projects.
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