Provincial Strategy for Inclusive and Sustainable Urban Growth (ADB-49050-001)

  • Pakistan
Geographic location where the impacts of the investment may be experienced.
Specific Location
Khyber Pakhtunkhwa
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Financial Institutions
  • Asian Development Bank (ADB)
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Project Status
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Bank Risk Rating
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Voting Date
Nov 7, 2016
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
  • Infrastructure
  • Water and Sanitation
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Investment Type(s)
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 2.40 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Primary Source

Original disclosure @ ADB website

Updated in EWS Jun 26, 2020

Disclosed by Bank Sep 23, 2016

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.


The PATA's impact is aligned with renewed focus on inclusive and sustainable urban development in provincial policies and allocations. The outcome will be improved urban inclusivity, sustainability, and resilience in investment programming in Khyber Pakhtunkhwa. The TA outputs include: (i) sector road map for inclusive and sustainable urban growth endorsed; (ii) Regional Development Plans prepared by provincial and local governments; (iii) institutional capacity for implementation agencies built; and (iv) lessons from pilots on accredited trainings and municipal business planning mainstreamed within the urban sector. The outputs will be implemented through a participatory process to ensure stakeholder consultations across the political spectrum and all income levels. Four themes run across all TA outputs: poverty alleviation, gender inclusivity, enabling small and medium-sized enterprises, and building resilience to disasters and climate change.


Major cities in Pakistan have experienced rapid urbanization, with an average urban population growth of 4% per year since 1951. By 2030, about 60% of the country's population will be living in urban areas, of which 12 large cities will have a population of more than 1 million inhabitants. While economic activities in urban areas produce more than 75% of national income (gross domestic product), about 15% of the urban population lives in poverty. The urban infrastructure is aging and has not expanded at the pace necessary to provide basic services or stimulate economic growth and create jobs.

A lack of strategic planning, combined with inappropriate regulation, weak planning standards, and inefficient resource allocation, has resulted in major urban problems across Pakistan. People in urban Khyber Pakhtunkhwa face many challenges, such as limited access to land and housing, limited access to basic social services, and a lack of employment opportunities. Many urban citizens live in areas that are susceptible to natural disasters and pollution, thus creating pressures that can degrade the environment and further increase vulnerabilities. As the government's ability to address these challenges is limited, these conditions have contributed to high levels of socioeconomic deprivation and constrained productivity and economic growth in urban areas.

Against this backdrop, ADB's country partnership strategy, 2015 -2019 for Pakistan has stated that ADB will support the government's priorities for urban renewal with improved infrastructure and institutions for water supply, sanitation, and other critical areas at national, provincial, and city-level. The country partnership strategy and country operations business plan, 2016 -2018 have also underscored the importance of greater equity, facilitation of inclusive jobs, and increased economic opportunities by supporting reforms that improve urban services and support the achievement of the Sustainable Development Goals. The proposed TA was included in the country operations business plan to support the development of a national urban renewal policy and investment road map.

The TA will seek to seize opportunities to address selected challenges by: (i) identifying cities potential to contribute to the national economy; (ii) developing a road map for the urban development in Khyber Pakhtunkhwa; (iii) preparing regional development plans; (iv) capacity development of implementing agencies; and (v) mainstreaming lessons in the urban sector.


Renewed focus on inclusive and resilient urban development in provincial policies and allocations


Improved urban inclusivity, sustainability, and resilience in investment programming in Khyber Pakhtunkhwa


1. Package A/Output 1, 2 and part of Output 4 (Quality- and Cost-Based Selection, output-based, Full Technical Proposal):

(i) Sector Road Map Output. Recommendations will be made for improving the performance of the urban sector. Six background papers will be prepared on:

a. Population and Demographic Analysis.

b. Public Expenditure Review (PER) and Infrastructure Deficit.

c. Economic Case for the Urban Sector.

d. Institutional and Organizational Challenges for the Urban Sector.

e. Skills and Competency Assessment and Strategy. Climate Change and Disaster Risk Mitigation and Adaptation for the Urban Sector

(ii) Knowledge Products. Three knowledge products that document the innovative aspects of this technical assistance, particularly gender mainstreaming and urban climate change resilience, will be presented at the yearly national conference on the urban sector. The tasks under this package include: (i) collation of secondary data; (ii) survey and data analysis including income and gender disaggregation; (iii) discussions and presentations on the six background papers; (iv) recommendations for the provincial government on increasing allocation efficiency; and (v) recommendations for reforms including urban climate change resilience and gender mainstreaming in the sector under the ensuing loan. Consultation and participation of stakeholders will be an integral part of the process enabling the building of ownership on the findings and capacity to understand their implications for the urban sector.

(iii) Two Regional Integrated Urban Plans (RIUPs) for Greater Peshawar and Greater Abbottabad. The purpose of the RIUPs is to provide a strategic multi-sectoral plan that identifies the comparative advantages of a particular region and a 10-15 year investment plan for the cities. The key subsectors that the RIUPs will prioritize include tourism and cultural heritage, shelter and internally displaced persons, commodity markets and logistics, climate change and disaster risk management, municipal services, and regional connectivity. The tasks for the RIUP include spatial and demographic land use assessment, and identification of investments for the urban areas within the region. The 10-15 year investment plans at the regional level will help to identify the appropriate loan modality and the nature of the investments under the loan.

(iv) Accreditation Training Pilot. This will help with the identification of the capacity building program for the proposed Khyber Pakhtunkhwa Intermediate Cities Investment Program, improve project preparedness and test the scope for reforms. The accreditation training pilot will identify: (i) key gaps in trainings based on the skills and competency assessments undertaken as part of the sector road map; (ii) enter into a memorandum of understanding with an established institution/recognized university; (iii) run the training; and (iv) have an exam from the accredited institution.

(v) The Team Leader of this package will be an Economist/Urban Planner. The team will comprise of planners/land use specialists, demographers, economists, sociologists, public management/finance specialists, gender specialists, public and infrastructure finance, legal and human resource experts, training specialist, climate change specialist, environmental specialists, resettlement specialists, communication specialists, ICT/GIS/MIS specialists, and a survey and data entry team. Additional inputs from subsector specialists will also be required including: urban transport, municipal services, tourism, commerce and commodity markets, and shelter. The team will comprise of 11 international consultants with 19 person-months of input and 19 national consultants with 45 person-months of input.

2. Package B/Output 4 (municipal business plan sub-output): Single Sourcing of UN-Habitat under an output-based contract.

(i) This package includes the municipal business plan (based on a financial management and life cycle cost) pilot from Output 4. The output is a financial model for the municipality based on a Business Plan. The key components are: (i) a financial management assessment; (ii) an analysis of revenues and expenditures; (iii) a pilot to improve the revenue base including own source revenues; and (iv) a business plan. The team will include GIS/MIS specialists, chartered accountants, municipal finance and taxation specialists, and change management specialists. The team will comprise of one international consultant with 2 person-months and nine national consultants with 27 person-months.

3. Package C/Output 3: Four Individual Consultants: Capacity Building (National):

(i) Key tasks of the individual consultants will be to build capacity of the Urban Unit, district Governments, Tehsil governments, and subsector implementation agencies (e.g. the water and sanitation companies).

a. Support the urban unit, district governments and tehsil governments in reviewing the outputs produced by the TA consultants;

b. Support the water and sanitation company (and other potential implementing agencies for the proposed MFF) to identify key capacity gaps and to set performance targets;

c. Support the Pakistan Resident Mission in maintaining a dialogue with the provincial government on key policy and sector issues;

d. Raise policy level decisions including on gender mainstreaming as they emerge from TA findings and discuss the pros and cons;

e. Enrich the dialogue around the findings of the TA;

f. Ensure that coordination between the four packages (three under the TA and one under CDIA) is efficient and seamless;

g. Support the TA teams in coordinating with government departments in order to minimize overlap and facilitate coordination between ADB, the executing agency and implementing agencies under the TA, and the CDIA teams; and

h. Follow-up on key questions that are required to be addressed prior to project preparation.

(ii) For the duration of the TA, the consultants, input will be 80 days each. The consultants shall have a Master's degree in development or a related field and have 15 years of experience with working in Pakistan on the urban sector.

4. Four Resource Persons Centre for Spatial Information Science (CSIS)/Japanese Institute linked to Package A.

(i) Twenty day trainings will be held by Japanese experts (current understanding is with CSIS). The training:

a. will be held for 15-20 days for government officials (provincial and local) from Khyber Pakhtunkhwa;

b. will be accredited training and will include an assessment and evaluation of trainees; and

c. will include an evaluation to be held six months and one year after the training.


All consultants will be selected in accordance with ADBs Guidelines on the Use of Consultants by ADB and Its Borrowers (2013, as amended from time to time). The PATA will use (i) Package A: national and international firms under the quality-and-cost-based selection (QCBS 90:10) (ii) Package B: single source selection (iii) experts input and (iv) individual consultants.

For the firms payments will be output based. Except for mandatory key experts, proposing firms will determine the number, nature (national or international) and specialty(ies) of any additional team members required to deliver TA outputs. Proposing firms will be responsible for budgeting and assigning team members to each task to produce TA outputs efficiently, in accordance with the proposed approach and methodology. For Package A, a Full Technical Proposal (FTP) will be submitted. During the preparation of proposals, consulting firms shall produce a Personnel Work Plan and Schedule indicating the total time of each team member and their contribution (by month), and the activity, and location (home, Islamabad, or field). The overall team composition ( core members will be evaluated but ADB will individually approve or reject each proposed resume ), person-months, allocation, and work program will be soundly reviewed by ADB's evaluation team and will be scored under Approach and Methodology.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

TA 9223-PAK: Provincial Strategy for Inclusive and Sustainable Urban Growth
Technical Assistance Special Fund US$ 400,000.00
Japan Fund for Poverty Reduction US$ 2.00 million

Contact Information
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Responsible ADB Officer Nakamitsu, Kiyoshi
Responsible ADB Department Central and West Asia Department
Responsible ADB Division Urban Development and Water Division, CWRD
Executing Agencies
Planning & Dev.Dept.,Gov't of Khyber Pakhtunkhwa
Peshawar, Pakistan

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