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Lesson
The skills in project management of the executing and implementing agencies’ staff, including the management of consultants, needs to be upgraded. Considering that this was the first ADB loan for the transport sector in Armenia, the agencies were not familiar with ADB policies, systems, and requirements and would need to have sufficient capacity development in these particular skills.

Project Number: 40610-013
Project Name: Rural Road Sector Project
Report Date:
Lesson
The Ministry of Transport and Communications and Armenian Roads Directorate should give importance in operationalizing the PPMS, which seems to have been overlooked. The measurement of impacts and outcomes was not given due importance and the quality of the PCR report suffered. For example, the conduct of the traffic surveys was insufficient and the results were conflicting. No explanation was given as to why the post-construction traffic deviated from the forecast.

Project Number: 40610-013
Project Name: Rural Road Sector Project
Report Date:
Lesson
The roles and responsibilities of road network development and management are unclear. Stronger government commitment is needed to develop the road sector.

Project Number: 40610-013
Project Name: Rural Road Sector Project
Report Date:
Lesson
An ADB review identified shortcomings on some road construction works and poor quality in engineer's cost estimates. These were caused mainly by inadequate designs or poor contractual works and materials. ADB needs to ensure strict compliance with contractors' contractual specifications. Contractors should be held accountable for poor contract performance or substandard materials before the defect liability period following the contract agreements.

Project Number: 40610-013
Project Name: Rural Road Sector Project
Report Date:
Lesson
Sufficient contingency is needed to cover cost increases. For future projects, design-build contracting can ensure better engineering and mitigate the risk of price escalation.

Project Number: 40610-013
Project Name: Rural Road Sector Project
Report Date:
Lesson
At appraisal, ADB overestimated Armenian Roads Directorate (ARD's) capability to procure consultant services for subproject preparation and construction supervision. For future projects, a more detailed capacity assessment of the executing and implementing agencies is needed during project processing.

Project Number: 40610-013
Project Name: Rural Road Sector Project
Report Date:
Lesson
During the surveys and preparation of road works design, more attention should be paid to the current and expected needs of pedestrians in road sections passing through villages.

Project Number: 40610-013
Project Name: Rural Road Sector Project
Report Date: