Promoting Economic Diversification Program (Subprograms 1, 2 and 3)

Deep diagnostic work, extensive technical assistance (TA), and evidence-based policy dialogue benefit the design and implementation of public sector management reform program. ADB has ensured continuity in policy reform efforts through programmatic policy-based lending (PBL) modality. Through this and other PBL programs, it has been very effective in engaging in high-level dialogue for upstream and mid-term support. PBLs are even more important now at other partners (such as the World Bank) are no longer providing general budget support. With this in mind, the government and ADB should in thr fuiture pursue a small number of critical and realistic policy actions to help ensure that (i) the reform program can be carried out effectively; (ii) strong government commitment to reform and the continuous leadership role is progressively built and nurtured, as these have been critical to successful implementation of agreed policy actions and reforms; and (iii) implementing agencies’ technical staff remain fully connected to the process.