ADB needs to invest in a good PPMS. The evaluation mission’s difficulty in measuring the efficiency of water supply and road subprojects financed under MSDP and MSDP Phase 2 was the result of an inadequate PPMS that focused mainly on monitoring disbursements and outputs. Baseline data were not collected on the market served by water supply subprojects, such as the number of households, persons per household, water sources, amounts of water produced and consumed, and water loss rates. Nor were baseline data collected that would have enabled the efficiency of road subprojects to be calculated. These data were not collected when the subprojects were completed or for several years after completion for evaluation purposes. Water supply and road projects are similar in nature and ADB should develop a computerized template PPMS that records baseline data on implementation. This would provide the information needed to measure impacts and the efficiency of projects after project implementation. The template PPMS should be part of the project RRP and the loan agreement, modified as needed in consultation with the Independent Evaluation Department and the Economic Research and Regional Cooperation Department.
Municipal Services Development Project and Municipal Services Development Project Phase 2