CASE STUDY

What Armenia Did to Improve Its Road and Water Systems


Better coordination and accountability needed to improve road and water systems in Armenia.

Overview

The Government of Armenia requested assistance from its development partners in improving its extensive yet underfunded road and water networks. Glaring at the time was the mismatch between financial resources and public sector management of infrastructure, posing negative effects to the economy, and the people’s quality of life.

The Asian Development Bank (ADB) heeded the call, and rolled out a program that aimed to improve coordination and accountability mechanisms, focused on financial and physical sustainability of Armenia’s road and water sectors. Such improvements led to better delivery of services in road and water sectors.

ADB adopted the "One ADB Approach," applying a multidisciplinary and multisector analysis of the problem at hand. The approach resulted in multiagency solutions and clear division of responsibilities, fostering joint reinforcement of common development targets and accountability for delivering shared goals.

The program introduced reforms in the road and water sectors, particularly by imposing a more integrated approach that promotes efficiency and accountability in the management system.


Project snapshot

  • August 2014: Approval
  • December 2014: Start Date
  • December 2015: Closing Date
  • $900,000: Technical Assistance Grant
  • $49 million: Loan
  • Executing agency
    • Ministry of Finance
  • Implementing agency
    • Foreign Financing Project Management Center
  • Others
    • European Union, GIZ, KfW, International Monetary Fund, and the World Bank

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Meet the experts

  • Yesim Elhan-Kayalar   
    Country Director, Georgia Resident Mission, Central and West Asia Department, Asian Development Bank

    Yesim Elhan-Kayalar has over 25 years of work experience in development agencies, private sector, and academia in 27 countries. She has worked at regional, national and local levels to create long-term development solutions in energy, public management, transport, and water sectors. Prior to her current post as the ADB Country Director in Georgia, Elhan-Kayalar led ADB’s public management and governance portfolio in 10 central and west Asia countries. Elhan-Kayalar was the Program Team Leader for Armenia Infrastructure Sustainability Support Program. The innovative program model has since been replicated in other sectors and countries.

  • Matthew Hodge   
    Economist, Central and West Asia Regional Department, Asian Development Bank

    Matthew Hodge is an economist at ADB's Central and West Asia Regional Department.  He has over 15 years experience in public financial management, financial sector, and regulatory reforms, including 10 years working in developing countries. Hodge supported the development of the infrastructure sustainability support program and, given its success, is now leading a second phase of the program in Armenia.

   Armenia, Transport, Water
   Last updated: June 2016

 




Disclaimer

The views expressed in these articles are those of the authors and do not necessarily reflect the views of the Asian Development Bank, its management, its Board of Directors, or its members.




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