ADB announces $525m three-year 'pipeline' for Cambodia

19-Dec-2012

The Asian Development Bank (ADB) announced yesterday a three-year plan to promote urbanisation, urban-rural linkages, economic corridor development, climate change mitigation and private sector development in Cambodia.

Eric Sidgwick, ADB country director, said the plan aimed to reduce poverty, stimulate more efficient and inclusive growth and address environmental challenges.

The plan comprises ADB loans of US$491 million and technical assistance grants of US$34.78 million. It also aims to mobilise US$260.3 million in external cofinancing.

Fourteen national and five regional projects and programmes are supported. These cover rice production, roads, irrigation systems, urban development, climate change mitigation and public-private partnerships.

"ADB will work to manage the challenges of rapid urbanisation and provide basic services and infrastructure to meet the needs of the poor and stimulate growth in value chains," a statement said.

"Rural-urban linkages will be strengthened by addressing key infrastructure weaknesses, which should lead to increased job opportunities and incomes in secondary towns and rural areas, and provide alternatives to Phnom Penh as a destination for rural migrants."  

At the same time, the ADB's Greater Mekong Subregion programme will "continue to build the foundations of economic corridor development, through transport and trade facilitation initiatives, as well as support to national, regional and global value chains in agro-industry, light manufacturing, and tourism."

The statement added that the ADB would "continue resource conservation activities in the Tonle Sap basin and explicitly address climate change challenges."

In addition, the bank will "focus on increasing the country's competitiveness and developing public-private partnerships to improve access to services, increase employment opportunities, and alleviate urban poverty."