ANSWER:
The terms are not clearly defined in ADB's guidelines and project administration instructions. For project loans, the implementation period refers to the time period when physical activity (including the recruitment of consultants and contract tendering) takes place. The implementation period extends from the date project work starts, which could be before loan approval, to the date the project is physically completed, which nearly always comes before the loan closing date. For program loans, the implementation period generally covers the period from the loan effective date to approximately one year after the disbursement of the final tranche. The end of the implementation period for each project/program is provided in Schedule 1 of its loan agreement. The utilization period and disbursement period refer to time periods when financial activity takes place. Normally, the utilization and disbursement period are the same and extend from the loan effective date to the loan closing date. By the loan closing date, all expenditures should be incurred (including all contracts completed and delivered). In special circumstances, ADB may keep the loan account open up to three months beyond the loan closing date to allow final withdrawal applications to reach ADB and be processed.
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