The European Investment Bank (EIB) and the Asian Development Bank (ADB) signed a Procurement Procedural Framework to improve implementation and monitoring of public sector projects in Asia jointly financed by the two financial institutions.
The new Framework, signed by the EIB Vice-President Christian Kettel Thomsen and his ADB colleague Vice-President Ingrid Van Wess increases effectiveness of aid and development projects by introducing a framework based on trust and mutual reliance on the application of agreed procurement procedures on jointly financed projects”.
Similar Procedural Frameworks signed with European Bank for Reconstruction and Development (EBRD), African Development Bank (African DB) and Caribbean Development Bank (CDB) have allowed the EIB and its partners to successfully implement and monitor some 24 projects with investment cost of around EUR 4.5 billion.
The EIB and ADB will also reduce time required to implement jointly financed projects, as the framework improves the task management between EIB and ADB, eliminates parallel application of individual rules, improves division of labor and increases coherence and development impact.
The streamlined procurement introduced by the Framework will benefit promoters and aid recipients through more efficient procurement monitoring and in turn allow citizens throughout Asia to benefit sooner form the joint EIB-ADB projects. At the same time, it allows a more transparent and efficient use of public funds.
Improving efficiency of aid and development projects around the globe
This is the fourth Procurement Procedural Agreement the EIB has signed with multilateral development banks to co-finance projects around the world. Improving procurement on joint co-financing agreements is developed under the umbrella of the Multilateral Development Banks' Heads of Procurement Group.