SEYCHELLES - Governance and Economic Reforms Support Program (GERSP) - Phase II


Project Summary

Approval Date 01 Dec 2022
Planned Completion Date 31 Dec 2025
Last Disbursement Planned Date 31 Dec 2025
Sovereign / Non-Sovereign Sovereign
Sector Multi-Sector
DAC Sector Code 11330
Commitment U.A 18,785,128.19
Status Approved

Project General Description

The proposed operation is an ADB loan of US$25 million to the Republic of Seychelles to finance the Second Phase of the Governance and Economic Reforms Support Program (GERSP-II). The GERSP was designed to support Seychelles’ post-COVID19 economic recovery in a 3-year programmatic series, for the years 2021, 2022 and 2023. Phase I of the GERSP was approved by the Bank Group’s Board of Directors on 7 July 2021 and the resources (UA 15.04 million, equivalent to USD 20 million) supported the Government to bridge the financing gap in 2021 and implement the programme. GERSP-II aims to consolidate and expand these efforts to further strengthen economic resilience and inclusive post-COVID-19 pandemic economic recovery across several areas of the Seychelles economy. These include supporting continued effort to advance fiscal sustainability by improving tax revenue performance; enhancing governance in the public sector, including state-owned enterprises (SOEs); and strengthening AML/CFT financing framework.

Project Objectives

The goal of GERSP II is to continue strengthening economic governance reforms that will sustain inclusive green growth and support post-COVID-19 recovery while reinforcing environmental and climate resilience. Consistent with this goal, GERSP II aims to create more and better opportunities for all Seychellois by: (i) conserving the fiscal space and reducing debt vulnerabilities, thus allowing the Government to allocate its scarce resources to priority projects and protecting the vulnerable population; (ii) removing the constraints for doing business, thus enabling local MSMEs to better engage in international trade; and (iii) improving access to renewable energy and better solid waste management practices, thus enhancing inclusive growth and environmental sustainability.

Beneficiaries

The beneficiaries will remain the entire population of Seychelles, due to the broadness of the reform agenda and its impact on the entire public administration, economic growth, and environmental and climate resilience. Beneficiaries include the private sector in general and the MSMEs, in particular, through improved business environment, access to finance, and climate resilience. Targeted interventions will be undertaken to ensure that women and youth are among the key beneficiaries of the programme’s activities. Direct beneficiaries are the Ministry of Finance, National Planning and Trade (MoFNP&T), Ministry for Investment, Entrepreneurship and Industry, Ministry of Agriculture, Climate Change and Environment, Ministry of Employment and Social Affairs, Public Utilities Corporation, Seychelles Energy Commission, and Seychelles Revenue Commission.

Participating Organization

Funding
African Development Bank
Implementing
MINISTRY OF FINANCE

Information

IATI identifier 46002-P-SC-K00-023
Last Update 28 Jan 2023

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Contact Details

Name ALAMIR AHMED Mosllem Ahmed
Email m.ahmed@afdb.org

Geographic Location

Country Seychelles