Asian Development Bank (ADB)

MANILA

The Asian Development Bank (ADB) is a Multilateral Development Bank dedicated to reducing poverty in Asia and the Pacific. Established in 1966, the Bank is now owned by 61 member countries, mostly from the region. The ADB provides loans to borrowing member countries to achieve specific development objectives.

Procurement Procedures:
Procurement using funds from ADB loans to borrowing countries must follow the Bank's rules for procurement of goods and civil works and for the use of consultants. Executing agencies in the borrowing country are responsible for all aspects of the procurement process, including the pre-qualification of firms, the preparation of bid documents, public advertisement, short listing, bid evaluation, contract negotiation and award, contract supervision and payment. For technical assistance projects funded directly by the Bank, the procurement process is the responsibility of the ADB. Under private sector operations, procurement is the responsibility of the borrowing firm and will be undertaken on a commercial basis.

Procurement of Equipment, Goods, and Works by Borrowers
All Procurement Notices are published on the ADB website. Invitations to bid are also advertised in UN Development Business. Pre-qualification of bidders is the preferred method for most civil works contracts, turnkey contracts, and contracts for the supply of expensive and technically complex equipment to ensure that only capable firms can submit eligible bids. Bid evaluation is done by the borrowing country through the executing agency. All bids are subject to a preliminary examination to determine if bidders are substantially responsive. A detailed bid evaluation follows during which the bid price is subject to a series of adjustments (based on the standard evaluation methodology as outlined in the Bank document Standard Bid Evaluation Form: Procurement of Goods and Works). Finally, the contract is awarded to the bidder whose bid has been determined to be the "lowest evaluated responsive bid" subject to the Bank's confirmation. For more information, review the ADB Guidelines for Procurement under Asian Development Bank Loans.

Procurement of Consulting Services by Borrowers and for Technical Assistance Projects
The engagement of consultants for TA contracts is the responsibility of the ADB Consultant Selection Committee of which the Project Officer is a principal member. These contracts can be funded by Bank resources or from untied funds contributed by member countries, notably Japan. Individuals and consultancy firms interested in competing for these ADB funded contracts should submit an Expression of Interest (EOI) for the particular TA project. The EOI must be sent to the Manager of Consulting Services Division at the ADB with a copy sent to the Project Officer and the executing agency. Alternatively, it can also be submitted electronically via the Bank's website through its Business Opportunities page. Consultancy firms must be registered in the ADB's consultant database: DACON. Individual consultants should be registered in the ADB's individual database: DICON, although this is not a requirement. Registration helps the ADB Project Officer find missing tombstone data and backup material for an EOI and to identify a Canadian firm for inclusion in a short listing for a TA project. ADB and its borrowing countries have three methods to select consultants, namely, (1) Quality and Cost Based Selection (QCBS); (2) Quality Based Selection (QBS) and (3) Direct Selection. The most appropriate method depends on the nature and complexity of the assignment. However, QCBS, which calls for an evaluation based on both technical and financial merit, will be used whenever possible and is the de-facto preferred method. Once the evaluation process is completed, the first-ranked firm is then invited to finalize contract negotiations. Whenever possible, ADB encourages consulting firms from developed countries to use qualified domestic consultants and/or consultants from other developing member countries
For more information, review the ADB's Guidelines on the Use of Consultants by ADB and Its Borrowers and the common evaluation methods for consultants.

Finding Opportunities:

Pipeline and Strategies

Country Strategy and Program (CSPs)
CSPs are written by the Bank in cooperation with borrowing countries. They provide a description of the economic, social and industrial state of the borrowing country along with the Bank's 2-3 year development strategy for the country. CSPs provide the first indication of the Bank's future activities. A detailed assistance pipeline is available in Appendix 5 of the CSPs.

Report and Recommendation to the President (RRP)
Prepared by the ADB staff involved in a project, the RRP is a comprehensive document, which contains information on all aspects of a loan project. A similar ADB document is also available for Technical Assistance projects. It includes information on consultancy work and a provisional list of goods and works to be procured. All RRPs are posted on the ADB website within three days following approval by the Board of Directors.

Proposed Projects:
The ADB publishes a summary for each proposed loan and technical assistance project on its website. The summary includes a basic description of the project and contacts at the Bank and executing agency.

Procurement Notices:

ADB Business Opportunities
The Business Opportunities page of the ADB website provides essential information on ongoing ADB projects, including New Projects (with links to EOI), Advanced Action, and Procurement Notices.

Subscription Services
A variety of companies and organizations offer online access to ADB procurement notices and pipeline information. For more information on the services offered and institutions covered by these organizations, and how they compare with what is freely available on the websites of the multilateral development banks, see:
http://www.infoexport.gc.ca/ifinet/resources-e.htm.

Pursuing Opportunities:

Visiting the Bank and Borrower
Visiting the Asian Development Bank
Planning a visit to the ADB headquarters in Manila is essential if you are interested in consulting business opportunities funded directly by the Bank. Visits are also very valuable if you are pursuing business contracts in borrowing countries, although Bank officers have little influence in the selection process for projects executed by the borrower. Please inform OLIFI Manila of your upcoming visit and consider meeting them first for up-to-date information on the ADB and/or projects of interest.
Project Officers are assigned to each ADB project, and assume a managerial/supervisory role in developing and implementing projects on behalf of the Bank. Project Officers will be more motivated to meet with you if you can offer new expertise and technologies, enhance the effectiveness of their projects or address problems with specific project elements. In general, Project Officers are identified on project pipeline lists, with their telephone and fax numbers.
Country Officers are responsible for liaising with borrowers and for strategically overseeing the Bank's lending portfolio in a specific country. These officers can provide firms with an overview of the Bank's country assistance strategy and its development objectives in a specific country.
Sectoral Specialist Support Project Officers through regional technical departments. These specialists provide advice to Project Officers on technical elements of their projects, and often help Project Officers interpret Bank guidelines.

Visiting the Borrowing Country
Planning a visit to the borrowing country is essential for consulting and engineering firms and should also be considered by exporters of goods and equipment. As soon as you have identified a project of interest, you should contact the executing agency and register the interest of your company. Information on the key decision makers within the executing agency can be obtained from the project listings on the ADB Business Opportunities web page, UN Development Business, or from ADB Project Officers. Also be sure to contact the OLIFI Manila to inform them of your visit.

Preparing for Meetings
Whether meeting with Bank staff or with the executing agency, suppliers are encouraged to be well prepared for their meeting with specific topics to discuss. General inquiries about business opportunities or information available elsewhere are not well received. Clearly demonstrate what your company can do or provide to facilitate the work of the project officer or the achievement of the project. You must clearly demonstrate your experience and capabilities, and any solutions you intend to propose.

Finding a Local Partner
Working with a local partner is highly advisable in most cases to ensure a local presence and to facilitate any necessary follow-up. Partnering with a local firm can help reduce costs while bringing in local expertise. Some of the Subscription Services that provide procurement notices also provide databases of firms interested in ADB projects. The ADB lists of Prequalified Contractors, Shortlisted Firms, and Contracts Awarded are good places to find potential partners.

Subcontracting
There are opportunities to participate in ADB funded projects through subcontracting with firms awarded prime contracts. Subcontracts are not governed by ADB procurement regulations. Interested firms should contact prime contractors directly. The ADB website provides information on Prequalified Contractors, Shortlisted Firms, and Contracts Awarded.