Lanzhou–Chongqing
Railway Development Project

The use of accurate and robust data, especially for traffic analysis, is
crucial in assessing the economic viability and financial sustainability of the project. Together with
plausible assumptions and parameters based on recent economic data, credibility of the
economic and financial analysis can be strengthened. This is one area where ADB can provide
technical and knowledge support by carefully reviewing the forecasts prepared and ensuring that
they are based on the latest economic data. Economic benefits associated with incremental demand
can contribute to a robust EIRR calculation. This methodology was used at appraisal but not in
the PCR.