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Lesson
Regular assignment of the PIU's (project implementation unit's) representatives at the project sites. For future projects, it is recommended that the PIU assign a representative to the project site to monitor the civil works progress closely with the construction supervision consultants, which will help the PIU identify issues at early stage and take prompt actions for resolution.

Project Number: 39669-013
Project Name: CAREC Regional Road Project
Report Date:
Lesson
Higher ADB financing for civil works components. The project completion review mission noted that ADB financing for these components was only 2.8% of the total civil works costs, against 14.9% at appraisal. This is rather marginal compared to the resources spent administering the project. For efficient use of ADB resources, ADB financing of civil works should be at least 50% of project costs for projects of this size. It is noted that for other components, ADB financing was 100%, which helped to resolve the disputes efficiently.

Project Number: 39669-013
Project Name: CAREC Regional Road Project
Report Date:
Lesson
Need for minimizing staff turnover in the executing agency during implementation. The PIU's (project implementation unit's) project director was changed frequently affecting the project management efficiency. Such frequent changes of the project director should be minimized.

Project Number: 39669-013
Project Name: CAREC Regional Road Project
Report Date:
Lesson
Need for careful assessment of project management and construction supervision consultant's qualification. The PMCS (project management and construction supervision) consultant's performance was found to be generally satisfactory. However, the team leader was replaced three times during implementation, which affected the progress of civil works. In future, CVs (curriculum vitae) of the candidates should be assessed carefully to ensure highly qualified and experienced experts are selected, with a preference for permanent staff of the consulting firm.

Project Number: 39669-013
Project Name: CAREC Regional Road Project
Report Date:
Lesson
Need for timely taking over of completed project sections by the government. At completion, the taking over of section 1 by Uzavtoyul was delayed due to administrative problems within the government. This contributed to poor maintenance after the defects liability period. This issue was resolved in 2014. Future taking over of completed road sections needs to be conducted in a timely manner by the government.

Project Number: 39669-013
Project Name: CAREC Regional Road Project
Report Date:
Lesson
Need for including all related works in the scope of work for civil works contractors. For the road development component, earthworks and the construction of the subbase were excluded from scope of work of the international contractors. This reduced the efficiency of the construction works, because the national contractors were unable to complete works of acceptable quality as designed and it took considerable time to rectify the defects. These works should have been integrated within the overall scope of the civil works.

Project Number: 39669-013
Project Name: CAREC Regional Road Project
Report Date:
Lesson
The project benefited from involving women in the planning process of infrastructure projects. There was strong community ownership; the structures targeted community needs; and in many cases women led the operation and maintenance of structures. This contributes strongly to the investment's long-term sustainability.

Project Number: 37530-013
Project Name: Rural Development Project
Report Date:
Lesson
Some payment delays occurred as a result of mistakes in withdrawal applications because of the complexities of cost sharing between the Global Environment Facility and Asian Development Fund grants. Simplified consistent arrangements should have been established.

Project Number: 37530-013
Project Name: Rural Development Project
Report Date:
Lesson
The project had too many DMF (design and monitoring framework) indicators, some of which were poorly defined and hence not properly measured, set too high for the activities to achieve, without clearly defined targets. Component 3 could only pilot technologies within the implementation period, hence the large-scale raion impacts could only be achieved many years after adoption. Project management did not have the capacity to prioritize the DMF indicators.

Project Number: 37530-013
Project Name: Rural Development Project
Report Date:
Lesson
The large number of civil works contracts was an administrative burden on both the Ministry of Agriculture (MOA) and ADB. Given the similarity of some rural infrastructure subprojects (e.g., the village potable water supply schemes), it should have been possible to group subprojects into fewer contracts to be more manageable, allowing MOA to focus more on implementing the other components more directly related to enhancing agricultural performance.

Project Number: 37530-013
Project Name: Rural Development Project
Report Date:
Lesson
At appraisal and during implementation, establishing demand-driven agricultural advisory centers and MIUs (market intelligence units) that were autonomous from government was seen as an essential project component. There was a desire for the organizations to be on a secure financial footing with farmers contracted to pay for advice they received. However, the transfer of project vehicles and equipment procured for them to government agencies, including MOA (Ministry of Agriculture), risks the centers' sustainability.

Project Number: 37530-013
Project Name: Rural Development Project
Report Date:
Lesson
The project showed commendable flexibility in implementing new activities (e.g., establishing veterinary centers) in response to beneficiary needs. As a result, the project has strong community support and ownership (e.g., infrastructure, veterinary centers, PUSs [pasture user societies]). This should ensure sustainability.

Project Number: 37530-013
Project Name: Rural Development Project
Report Date:
Lesson
Implementation of the credit line would have been more successful if (i) financial and integrity due diligence was conducted of financial intermediary and microfinance institutions at appraisal, and (ii) necessary project and subsidiary loan agreements were signed. Having signed agreements between MOF (Ministry of Finance), microfinance institutions, and ADB may have prevented MOF relinquishing its role as financial intermediary after project approval.

Project Number: 37530-013
Project Name: Rural Development Project
Report Date:
Lesson
Effective implementation is strongly linked to the quality of project management. Implementation suffered from poor leadership and a lack of focus on activities and outcomes by the first two project directors. This was reflected in the non-compliance with ADB's Guidelines on the use of Consultants and Procurement Guidelines, and the non-implementation of ADB- approved activity changes. These resulted in delays and reductions in project scope.

Project Number: 37530-013
Project Name: Rural Development Project
Report Date:
Lesson
Monitoring and analysis of the MSE (micro and small enterprise) sector would benefit from estimates of the credit gap to confirm additionality of ADB FILs (financial intermediation loans). This could also help ensure that private sector funds are not displaced given the features of sovereign loans. How FILs catalyze the entry of new funds into the market needs to be better documented, and FILs' ability to move participants to more market-based finance needs to be improved.

Project Number: 42007-013
Project Name: Second Small and Microfinance Development Project
Report Date: