Regional: Operations, Knowledge, and Analytics Support in Fragile and Conflict-Affected Situations and Small Island Developing States

Information and communication technology / ICT industries and ICT-enabled services

Public sector management / Public administration

The TA will provide strategic support to enhance DMC and ADB capacity to implement differentiated approaches in fragile and conflict situations (FCAS) and in small island developing states (SIDS). Based on assessment of the causes and drivers of fragility and the multidimensional nature of risks and resilience factors, it will develop and apply new knowledge products, analytical tools, and business processes and procedures, adopt innovative technologies, and recruit experts experienced in these technologies.

The TA is aligned with ADB's FCAS and SIDS Approach (FSA), approved in May 2021, which outlines an action plan (2021-2025) for ADB to achieve its Strategy 2030 objectives by adopting differentiated approaches to build resilience and improve development outcomes in FCAS, SIDS, and subnational pockets of fragility. The TA will support FSA implementation and strengthen links between the FSA and the plans for the seven operational priorities (OPs) of Strategy 2030 and ADB's Operational Plan for Private Sector Operations. The TA will also support FCAS and SIDS in achieving the Sustainable Development Goals.

The FSA is based on understanding the causes and drivers of fragility (institutional, economic, structural, social, and environmental/climate change) and conflict, and using that understanding to tailor development approaches to the contexts of FCAS and SIDS. While progress has been achieved under the FSA, there are continuing challenges with improving development outcomes and ADB's portfolio performance in these contexts due to: inadequate identification of DMC contexts and fragility drivers; DMC capacity constraints; inadequate use of knowledge and analytical tools; limited FSA delivery capacity; and insufficient flexibility with ADB procedures.

Many DMCs face increasing fragility because of the COVID-19 pandemic, climate change, and the Russian invasion of Ukraine. These converging crises have fueled rising energy prices, inflation, and food insecurity, with severe economic, health, and social impacts on DMCs across all three tiers of ADB's Asian Development Fund (ADF) classification (Groups A, B and C). ADB must consider these impacts and related risks during country and project planning, with appropriate indicators that encourage take-up of differentiated approaches and adaptive responses, leading to improved development outcomes in FCAS and SIDS contexts. Adoption of new technologies, improved knowledge products, and capacity development will help DMCs and project teams working in contexts of fragility better understand what drives fragility, how to build resilience in such contexts, and how to improve project results through application of the differentiated approaches described in the FSA.

ADB's Independent Evaluation Department (IED) Annual Evaluation Review on FCAS and SIDS (April 2022) highlighted that ADB can do better in analyzing and addressing context-specific drivers of fragility and conflict. Country and project-level monitoring frameworks and indicators are not tailored to FCAS and SIDS contexts. Partnerships with development and humanitarian agencies must be leveraged to improve coordination. These lessons align with the FSA.

Implementation of the FSA has been supported by TA-9986, with TA resources committed to mid-2023. The TA has been invaluable in supporting consultation with DMCs for the FSA preparation, fragility and resilience assessments (FRAs), and in incorporating differentiated approaches in country planning and project design, implementation, monitoring, and reporting.

The proposed TA will build on TA-9986 and will further institutionalize context-sensitive differentiated approaches, capacity enhancement, FSA knowledge and analytical tools, innovative technologies, flexible business processes and procedures, and development of monitoring indicators and results frameworks that adequately reflect FCAS and SIDS risks and contexts.

The effectiveness of ADB assistance and DMCs' development outcomes in FCAS- and SIDS-specific contexts, and fragility and poverty at the subnational level, improved.

Implementation of FSA and action plan in ADB operations in FCAS and DMCs facing fragility increased.

FSA applied in programs, projects, and policies

Knowledge and analytical tools supporting the FSA expanded

Knowledge and experience exchange platform established