The Energy Sector Reform and Financial Governance Support Programme - Phase II (PAGFSE II) is part of a programme-based general budget support operation covering the period 2024-2025. It is the second in a series of two sequential operations, designed to support the structural reforms undertaken by the Government of the Union of the Comoros. This is a Transition Support Facility (TSF) grant of UA 4 548 700 and African Development Fund (ADF) grant of UA 551 500. PAGFSE’s support is strategic for the consolidation of financial governance and energy sector reforms in the Comoros. It aims to strengthen macroeconomic sustainability, promote inclusive and sustainable growth, improve access to quality energy services, and build economic resilience to external and climate shocks. PAGFSE II is based on the two complementary components of the first phase, in line with the Comoros government's strategic priorities as defined in the Emerging Comoros Plan (PCE) 2020-2030. These components involved the strengthening of financial governance and restructuring of the energy sector, recognized as essential levers to support inclusive and sustainable growth. The first component aims to consolidate macro-fiscal discipline by broadening the fiscal space, improving fiscal transparency, controlling public debt and strengthening public corporate governance. The second component aims to improve the institutional and operational performance of the electricity sector, in order to ensure a reliable, financially sustainable energy supply capable of attracting private investments, while laying the foundations for energy transition. The linkage between the two components creates positive synergies. Indeed, improving public finances strengthens Government's ability to support energy infrastructural investments, while energy sector reform reduces the fiscal risks associated with implicit subsidies and crossed debts between the State and strategic public enterprises.

Comoros

African Development Bank Group

Africa Southern Africa Sub-Saharan Africa

Energy Construction Energy-Power and Electrical Computer Hardwares and Consumables

17.07.2025

Original Url