The value of capacity development. Although not easily measurable in terms of monetary impacts and outcomes, capacity development support made an important contribution to the project. The investment of $6 million through an Nordic Development Fund (NDF) loan to the DILG was an unprecedented engagement in favor of LGUs; this amount was augmented with a substantial in-kind operational counterpart contribution by the DILG. However, the true value of the NDF-funded capacity development program can only be assessed in terms of the sustainability of the urban services financed under the project. LGUs reported that without the capacity building they would not have been able to effectively implement the infrastructure investments. Several LGUs stated that cost-free capacity building for their staff was the most attractive aspect of the project even more attractive than the loans especially as it prepared their staff to possibly participate in future ODA projects.
Mindanao Basic Urban Services Sector Project