– The government`s approval of the EDCF loan in July 1994 Among these projects, the Road Rehabilitation Project in Madagascar Toliara Province of Road Rehabilitation, supported by the AfDB, was useful, as the EDCF granted an unbound loan in 2007 for the first time in its history. Parallel co-financing allows the co-financing to finance separate elements of the project, so that the EDCF, as co-funder, can apply its own allocation procedure for the component it funds. Since the approval in 2007 of uninsured loans from EDCF for co-financing, joint co-financing is expected to increase and open up new opportunities in partnership with MDBs. The loan amount is paid at the borrower`s request during the project. The commitment procedure, the repayment procedure and the direct payments scheme can be defined as payment methods in accordance with the EFF loan payment procedures. The GOK approved EDCF loans for 9 CO-financing projects worth US$184.9 million (in 2007). Although the volume of co-financing has been low, it is increasing sharply these days. In 2007, three commitments were made, representing 33% of the EFF`s total co-financing commitments. (i) to provide increasingly unrelated loans, given that EDCF`s commitment status has been a factor limiting co-financing with MDBs, the increase in co-financing is the result of various efforts to expand the channel of cooperation with MDBs. For example, the ECF conducts annual consultations with MDBs to explore co-financing opportunities. It has also introduced unrelated loans to meet the preferences of other donors, including the MDB. MDBs expressed reluctance to provide loans, as related loans impede coordination between co-financing and continuity of contracting procedures. 2.
Project identification and preparation Cycle Most developing countries are developing multi-year development plans to clarify their development goals and strategies. These plans include planned development projects, assessed on their importance to the nation and investment priorities. The government of a developing country must identify and prepare projects that are not only feasible, but are consistent with the country`s development plan and strategy.