EXECUTION OF IFAD PROJECTS:

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EXECUTION OF IFAD PROJECTS:. Constraints and proposed solutions. Introduction. Non-exhaustive survey of constraints linked with the implementation of projects cofinanced by IFAD. These are particular points about which the cooperating institution is concerned - PowerPoint PPT Presentation

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Diapositive 1EXECUTION OF IFAD PROJECTS:
Constraints and proposed solutions
Introduction
Non-exhaustive survey of constraints linked with the implementation of projects cofinanced by IFAD
These are particular points about which the cooperating institution is concerned
Attention: these constraints do not apply to all IFAD projects.
UNOPS-DAKAR Regional Office for West and Central Africa
1) The Problem :
Consequences :
- increase in project cost directly linked to inflation
- reduced motivation of the target group involved in formulating the project
- project design that over time tends to become distanced from the reference situation analysed and taken into account during its formulation
- extra costs for the Government, which is responsible for the salaries of project coordination unit (PCU) staff between their appointment and the time the loan comes into force
UNOPS-DAKAR Regional Office for West and Central Africa
Proposed solutions :
sensitization of the Government on the need for rapid disbursement of counterpart funds (HIPC or other)
Greater involvement of the supervisory ministry in the conditions to be fulfilled, especially through designation of a focal point prior to negotiations
Funding a facilitator to support the condition-linked process (apart from start-up activities)
Covering of the coordinator’s salary from the Special Operations Facility grant from the time of his/her selection/nomination, and the signing of other staff’s contracts after entry into force
Greater synergy with other IFAD projects under way in the same country or other subregional projects (thanks to FIDAFRIQUE)
Harmonisation of the loan agreement conditions
UNOPS-DAKAR Regional Office for West and Central Africa
2) The problem :
Failure to fulfil the donor’s mandate during project implementation
UNOPS-DAKAR Regional Office for West and Central Africa
Consequences :
Dispersal of funds to an expanded target group not corresponding to that of the donor
Goal of poverty reduction barely achieved
insufficient resources for the poorest population groups in comparison with other project activities
UNOPS-DAKAR Regional Office for West and Central Africa
Proposed solutions :
greater PCU responsibility for the goals to be achieved (accountability)
better training for project partners
strengthening of the supervisory role of the supervisory ministry and the steering committee
PCUs: guarantors of IFAD’s mandate
development of an “IFAD ethos”
UNOPS-DAKAR Regional Office for West and Central Africa
3) The problem :
The consequences :
divergence from the strategy agreed by the Government and IFAD
best use not made of funds borrowed by the Government for poverty reduction
UNOPS-DAKAR Regional Office for West and Central Africa
Proposed solutions :
strengthening of cooperating institutions’ supervisory mechanisms
UNOPS-DAKAR Regional Office for West and Central Africa
4) The problem:
Withdrawal applications sent to the cooperating institution are not presented correctly
UNOPS-DAKAR Regional Office for West and Central Africa
Consequences : many delays in the disbursement of funds
Analysis of withdrawal applications reveals the following main problems: :
errors in the numbering of withdrawal applications
miscalculations of category totals
errors in the percentages applied to the sum spent – frequent
specific conditions not complied with for certain categories (Annex 2, loan agreement)
use of wrong SS1 or SS2 forms
miscalculations in the handling of civil engineering contracts (invoice, recovery of start-up advance, collateral/guarantees, etc.)
documents missing (supporting documents for SS1 , delivery slip, proof of payment)  – frequent
Lack of description of expenses for ss2 -frequent
failure to take account of amendments to loan agreement (if any )
errors in the allocation of expenditure to different categories
UNOPS-DAKAR Regional Office for West and Central Africa
Proposed solutions :
control of withdrawal applications by the PCU coordinator
increased training of national control structures through which withdrawal applications are passed (Autonomous Sinking-Fund Office, Ministry of Finance)
UNOPS-DAKAR Regional Office for West and Central Africa
5) The problem:
Annual audit reports not submitted on time (6 months after the end of the financial year)
UNOPS-Dakar: 2 projects out of 17 in 2004
UNOPS-DAKAR Regional Office for West and Central Africa
6) The problem:
Monitoring and evaluation (M&E) do not provide enough knowledge of the project’s socio-economic impact
UNOPS-DAKAR Regional Office for West and Central Africa
Proposed solutions :
involvement of all actors in the monitoring and evaluation task
application of monitoring and evaluation tools developed by IFAD (RIMS, etc.)
UNOPS-DAKAR Regional Office for West and Central Africa
THANK YOU FOR YOUR ATTENTION