West Bengal State Finance Sector Development Program (ADB-49209-001)

Countries
  • India
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • Asian Development Bank (ADB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
C
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Sectors
  • Finance
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 300.00 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.
Bank Documents
Primary Source

Original disclosure @ ADB website

Updated in EWS Jun 26, 2020

Disclosed by Bank Sep 19, 2016

Contribute Information
Can you contribute information about this project?
Contact the EWS Team

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.

DESCRIPTION

ADB and the Government of West Bengal have been working together since 2011 to improve the finances of the Government of West Bengal. The West Bengal State Finance Sector Development Program will help the state government to consolidate the public financial management reforms initiated under the first program (West Bengal Development Finance Program). The proposed program will also help the state to facilitate an enabling environment for private investment.

PROJECT RATIONALE AND LINKAGE TO COUNTRY/REGIONAL STRATEGY

The densely populated Indian state of West Bengal has high government expenditures, mostly concentrated in education and health, as well as salaries, pensions, and interest payments, but it generates little revenue. To fill this gap, the government must borrow and use other inefficient methods to pay for expenses. This has trapped the state in a vicious cycle of debt, which as in turn put pressure on public resources and constrained the delivery of public goods and services.

IMPACT

The program is aligned with the state Government's effort to improve accessibility, quality, and affordability of public services (Source: Annual Plan Statements for 2013- 14, Department of Planning, Government of West Bengal. Priorities under the Plan remain the same).

OUTCOME

Investment in the state, both private and public, improved and sustained

CONSULTING SERVICES

A piggyback TA for $400,000 will be approved along with the Second West Bengal Development Finance Program.

PROCUREMENT

not applicable

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

Loan: Second West Bengal Development Finance Program
Ordinary capital resources US$ 300.00 million

TA: Second West Bengal Development Finance Program
Technical Assistance Special Fund US$ 500,000.00


Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

ACCOUNTABILITY MECHANISM OF ADB

The Accountability Mechanism is an independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an Asian Development Bank-financed project. If you submit a complaint to the Accountability Mechanism, they may investigate to assess whether the Asian Development Bank is following its own policies and procedures for preventing harm to people or the environment. You can learn more about the Accountability Mechanism and how to file a complaint at: http://www.adb.org/site/accountability-mechanism/main

CONTACTS

Responsible ADB Officer Karan, Navendu
Responsible ADB Department South Asia Department
Responsible ADB Division Public Management, Financial Sector and Trade Division, SARD
Executing Agencies
Finance Department - Government of West Bengal
Finance Department , Government of West
Bengal Writers' Building,
Kolkata 7000001, India

How it works

How it works