Sustainable Fiscal Management and Governance Improvement Program (Subprogram 1)

Active

The proposed Sustainable Fiscal Management and Governance Improvement Program supports the Kyrgyz Republic to improve governance and climate and gender-responsive public financial management (PFM), strengthen governance of state-owned enterprises (SOEs), strengthen tax policy and administration, and adopt anticorruption measures. The program is aligned with the National Development Strategy of the Kyrgyz Republic for 2018-2040 (NDS 2040), which aims to ensure economic well-being, social welfare, and sound governance; and with ADB's Country Partnership Strategy for the Kyrgyz Republic, 2023-2027 through its support for PFM reforms, improved infrastructure and service delivery, and strengthened capacity and standards. The program aligns with the following operational priorities (OPs) of ADB's Strategy 2030: OP2 (accelerating progress in gender equality); OP3 (tackling climate change, building climate and disaster resilience, and enhancing environmental sustainability); OP6 (strengthening governance and institutional capacity); and OP7 (fostering regional cooperation and integration). Based on the Joint MDB Methodological Approach for Assessment of Paris Agreement Alignment, the Program is aligned with the goals of the Paris Agreement.The expected outcome is climate responsive, transparent, and fiscally sound governance and public investment management. To support this outcome, the government will strengthen PFM; improve corporate governance of SOEs; enhance the transparency and accountability of tax policy and administration; and implement anticorruption measures.