ADB approves third tranche of road project
Azerbaijan, Baku, November 10 / Trend, N. Ismailova /
The management of the Asian Development Bank (ADB) will approve the third tranche under the Multitranche Financing Facility (MFF) for Azerbaijan's Road Network Development Programme before the end of this year, ADB Envoy to Azerbaijan Olli Noroyono told Trend on Thursday.
"The $200 million worth third tranche is likely to be approved before the end of this year. The money will be designed for the on-going construction of the four-strip highway, Masalli-Astara," he said.
The ADB management is expected to approve the third tranche on November 15, 2011. Previously the bank had planned to examine this matter on October 31.
Approval of the fourth, $44 million-worth tranche will be examined in 2012, Mr Noroyono said. The price of the road section of this tranche is yet to be determined.
Of the ADB $500 million-worth of the first multitranche package for road construction in Azerbaijan, a programme was approved in August 2007 and $255.4 million has already been assigned.
The first tranche worth $200 million was allocated for the construction of the Masalli-Astara roa d whilst the second tranche ($55.4 million) was allocated for the reconstruction of Ganja ring road. The bank intends to allocate an additional $160-$170 million (third tranche) for Masalli-Astara.
Azerbaijan has been a member of the ADB since 1999. In early 2010, the credit portfolio across the country on 14 projects amounted to $660.4 million. During the agreement period, the ADB has also provided grants worth $13.122 million to the Azerbaijani government and local companies.
The 67-member ADB was established in 1966. Its headquarters are in Manila and Azerbaijan joined it in December 1999. Its share in the bank's capital is 0.5 per cent.
The ADB's leading shareholders are Japan and the United States (31.2 per cent), India and China (12.8 per cent), Australia, and South Korea and Canada (16 per cent).