Search

Displaying 1 - 15 of 20

Lesson
Customizing the terms of reference of auditors to project requirements and ensuring that they are properly oriented on these requirements are critical to promoting project compliance with ADB financial management procedures. There were gaps in complying with the financial management conditions of the loan agreement, including the need to timely submit audit reports and auditor’s management letters and opinions.

Project Number: 49419-002
Project Name: Solar Rooftop Investment Program - Tranche 1
Report Date:
Lesson
Timely and appropriate changes in scope and reallocation of loan and grant proceeds responding to actual project needs emerging from implementation can help utilize available loan and grant resources in a more targeted and efficient manner to facilitate more activities and deliver more outputs. For example, responding to the government’s request relating to E35 contributed directly to developing an efficient and safer transport corridor between Islamabad, Faisalabad, and Multan for more connectivity between the various parts of the country.

Project Number: 48402-001, 48402-002
Project Name: National Motorway M–4 Gojra–Shorkot Section Project and National Motorway M–4 Gojra–Shorkot–Khanewal Section Project - Additional Financing
Report Date:
Lesson
Providing EAs proactive guidance and close support in financial management from project start to finish will ensure timely and quality compliance. HPPTCL, executing its first ADB loan, faced initial challenges in meeting financial management-related requirements. However, these challenges were overcome as the project progressed, resulting in improved compliance.

Project Number: 43464-023
Project Name: Himachal Pradesh Clean Energy Transmission Investment Program (Tranche 1)
Report Date:
Lesson
A consolidated annual project financial statement ((APFS) needs to be required from projects with more than one component, and this should be included in the project administration manual and monitored closely for compliance. Submission of the consolidated APFSs for the first 2 fiscal years was delayed because of time lag in consolidating the reports on the two components.

Project Number: 49094-001
Project Name: Railway Rolling Stock Project
Report Date:
Lesson
Timely and appropriate disclosure of ADB’s audited project financial statements enhances stakeholders' ability to meaningfully engage with ADB and promotes good governance. Timely disclosure of project financial performance needs to be ensured in future projects.

Project Number: 47182-001
Project Name: Southern Road Connectivity Project
Report Date:
Lesson
ADB needs to emphasize the recruitment of staff with adequate financial qualifications for the project management unit's (PMU) finance function. Under this program, annual project financial statements (APFSs) and audited entity financial statements were submitted late to ADB for various reasons, including project staff lacking financial management skills and expertise. In several instances, disclaimers of opinion on APFSs and audit qualification reports were issued.

Project Number: 41504-013, 41504-023, 41504-025
Project Name: Town Electrification Investment Program (Multitranche Financing Facility and Tranche 2)
Report Date:
Lesson
Early and regular involvement of the financial management staff and collaboration with other development partners in the PMGSY program is necessary to better design the management arrangements early in the project cycle. Significant financial management issues throughout the life of the projects would have been prevented by such a measure.

Project Number: 48266-002, 48226-004
Project Name: Second Rural Connectivity Investment Program (Tranche 2 and Multitranche Financing Facility)
Report Date:
Lesson
It may be necessary for the Government of India to consider directly releasing project funds to executing agencies to avoid delayed reimbursement of project expenses that leads to late payment for example of contractors, which affected the Implementation of all projects under this program.

Project Number: 35290–013, 35290–043
Project Name: North Eastern Region Capital Cities Development Investment Program (Tranche 3 and Multitranche Financing Facility)
Report Date:
Lesson
Better coordination and the Preparation of a consolidated project financial statement for projects being implemented by multiple agencies will facilitate the timely submission of annual project financial statements (APFSs) which in turn will help avoid delays in loan disbursements. In this program, the Preparation by the two EAs of separate annual project financial statements, both audited by an external auditor, created an unnecessary administrative overload for ADB.

Project Number: 35290–013, 35290–043
Project Name: North Eastern Region Capital Cities Development Investment Program (Tranche 3 and Multitranche Financing Facility)
Report Date:
Lesson
The cost categories required to be reported in the audited program financial statements (APFS) need to align with the categorization at appraisal so as not to cause problems in reporting. PLN faced difficulty in estimating the financing charges during implementation at appraisal stage. In addition, PLN raised a concern on the disclosure provision regarding APFS due to confidentiality requirements. The cost categories reported in the APFS were not aligned with the categorization used at appraisal, due to which changes to reporting formats were needed.

Project Number: 50016-001
Project Name: Sustainable Energy Access in Eastern Indonesia—Electricity Grid Development Program
Report Date:
Lesson
Handholding of the executing agency on financial management facilitates consistent compliance and timely submission of project financial reports.Multiple issues observed in project audit reports in early to mid-project implementation were eventually successfully addressed through close collaboration between JMRC and an ADB consultant. Having a financial management specialist during review missions and a dedicated financial management staff would further enhance financial management capacities in future projects.

Project Number: 46417-001
Project Name: Jaipur Metro Rail Line 1-Phase B Project
Report Date:
Lesson
Insufficient financial staffing and difficulties in information collection could hinder compliance to ADB financial requirements. During implementation, the IA faced challenges in complying with ADB’s financial management requirements. Submissions of audited project and entity financial statements were delayed because of (i) difficult information collection process, (ii) reports not complying with ADB guidelines, and (iii) insufficient accounting staff because of Uzbekenergo’s unbundling and restructuring.

Project Number: 41340-013
Project Name: Advanced Electricity Metering Project
Report Date:
Lesson
Including ADB financial management staff in project implementation teams will facilitate compliance to ADB financial reporting requirements. the first two annual audited project financial statements was delayed in the absence of complete information. ADB’s financial management staff should have been part of the project implementation team from the inception stage to review and monitor project financial performance and provide timely advice.

Project Number: 45084-002
Project Name: Coastal Climate-Resilient Infrastructure Project
Report Date:
Lesson
Closer communication and coordination between ADB and the implementing agencies (IAs) are necessary to ensure timely loan closing. The loan closing took about 21 months. One of the major reasons was that some of the withdrawal application papers submitted by the IAs were incomplete or inconsistent and clarifications or corrections of these took a long time. ADB’s review and clearance on these clarifications was also slow in several cases.

Project Number: 43023-013
Project Name: Guangxi Beibu Gulf Cities Development Project
Report Date:
Lesson
Trainings and in-person support are needed to strengthen financial management performance and full compliance, especially in cases where the government agencies are handling ADB projects for the first-time. As the first ADB project the Secretariat of State for Vocational Training and Employment (SEFOPE) oversaw, more thorough trainings and in-person support could have strengthened financial management performance and full compliance with the grant covenants.

Project Number: 45139-001
Project Name: Mid-Level Skills Training Project
Report Date: