ADB sets date to approve two tranches to improve water supply in Azerbaijan
Azerbaijan, Baku, Sept. 6 / Trend N.Ismayilova /
The Asian Development Bank (ADB) has set date for the consideration by the Board of Directors the allocation of the second and third tranches of multitranche financing (MFF) to improve water and sanitation services in Azerbaijan, the bank reported.
"The ADB Board of Directors plans to consider approval of the second tranche worth $ 300 million under the MFF on Dec.2 2011, and the third tranche worth $ 175 million on Dec. 31, 2012," the bank said.
To date, ADB has financed two projects to improve water and sewerage systems. The first loan worth $ 30 million was allocated in 2004 to restore the water supply system in Goychay and Nakhchivan with its total cost worth $39.9 million. The office said that the term of the project will expire on June 30, 2011.
Under the loan agreement, the ADB's first tranche loan of $75 million was allocated. The Azerbaijani government is providing $25 million.
A list of regions in the project is expected to be expanded within the second tranche. Agdash, Agjabadi, Beylagan and Balaken are planned to be added.
The ADB Board of Directors approved MFF in the amount of $ 600 million in September 2009. MFF become the basis for an 8-year collaboration between ADB and the Azerbaijani government, given the phased investment, support by a clear strategy and reform program for water supply and sanitation.
The AICO Consulting Ltd / European Consultans Organization is the consultant of Azersu on water project.