The proposed knowledge and support technical assistance (KSTA) will help implement and sustain the government's medium term public sector management reform agenda by supporting efforts to build on sound public financial management practices and improve public service delivery. The proposed KSTA is included in the country operations business plan 2018 2020 for Tuvalu approved in September 2017 and is aligned with the Asian Development Bank's (ADB) Pacific Approach, 2016 2020. Also linked to strategic areas in Tuvalu's National Strategy for Sustainable Development, 2016 2020 (Te Kakeega III), notably good governance; the economy, growth and stability; infrastructure and support services.
The reform measures directly supported by the proposed KSTA are articulated in the government's fourth Policy Reform Matrix (PRM IV) covering the period 2016 2020. Since 2012, the PRMs have been an implementation and monitoring tool for the government's reform priorities that also provide the basis for the provision of general budget support. The implementation of the PRM has led to substantial improvements in macroeconomic and fiscal management, including greater fiscal discipline asserted on the budget process and consideration given to fiscal sustainability. ADB's ongoing capacity development TA has played a critical role in supporting the implementation of selected reforms under the first three phases of the PRM and tagged to ADB policy-based operations in 2012 and 2015 delivering $4.35 million in policy-based grants. The proposed KSTA will build on previous ADB interventions to support public financial management, which will be anchored to ADB's policy-based operations planned for 2018 and 2019, both valued at $2 million each.
Ministry of Finance and Economic Development
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