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Lesson
Multisector community development projects are generally complicated in nature and adding a labor rights protection agenda to these projects would complicate implementation.

Project Number: 32024-013
Project Name: Sindh Rural Development Project
Report Date:
Lesson
Projects that are innovative in nature or complicated in design inherently involve delays and require intensive ADB supervision. The potential delays should be factored into the design. Community development projects require additional time and proper arrangements for community mobilization and social preparation processes. ADB experience with such projects, including the Sindh Rural Development Project, shows they generally experience delays of 2 years. The project period should not be less than 7 years.

Project Number: 32024-013
Project Name: Sindh Rural Development Project
Report Date:
Lesson
Sector loans lack the scope to address crosscutting themes and have mostly been successful due to established institutional linkages within given sectors. In contrast, the issue of labor rights is not confined to a sector, but is a crosscutting macro-level structural issue involving nationwide economic, sociopolitical, and legal reforms.

Project Number: 32024-013
Project Name: Sindh Rural Development Project
Report Date:
Lesson
To avoid startup delays and politicization of the recruitment process, the most feasible mode of procurement of community mobilization services is single-source selection of one qualified NGO at the appraisal stage.

Project Number: 32024-013
Project Name: Sindh Rural Development Project
Report Date:
Lesson
The agenda of labor rights is also incompatible with these loans because rather than entailing restructuring of commodity, capital and fiscal markets through rapidly-disbursed loans, it involves political processes labor representation in legislative bodies, constitutional and legal provisions, an effective judicial system, and above all the abolition of a feudal structure, which is a root cause of bonded labor.

Project Number: 32024-013
Project Name: Sindh Rural Development Project
Report Date:
Lesson
Given the sector mandate of line agencies in Pakistan, provincial planning and development departments are the best institutional homes for multisector projects, as these are the only departments with a multisector mandate. In addition, they have established reporting lines and institutional relationships with line departments and district governments.

Project Number: 32024-013
Project Name: Sindh Rural Development Project
Report Date:
Lesson
The other lesson learned was that this sort of vital reform measure, i.e., reorganizing the BPKP, should not have been pushed back as a condition for release of the second tranche. This appears to be a flaw in the program design. ADB should have insisted on reforming the BPKP step by step, making the government's agreement to reorganize the BPKP a condition for submitting the program for Board approval. Then government agreement to come up with a firm plan to reorganize the BPKP should have been made a condition for the release of the first tranche.

Project Number: 35144-013
Project Name: State Audit Reform Sector Development Program
Report Date:
Lesson
Labor- related regulatory and administrative reforms were included in the design but given the program loan focus on fiscal matters and reduction of recurrent costs, these measures were not achieved because these measures required increase in public expenditure and legislation.

Project Number: 32024-013
Project Name: Sindh Rural Development Project
Report Date:
Lesson
A multisector community development project must be organic in nature (i.e., self- operating, which reduces the coordination demands on the executing agency, and the need for monitoring by ADB). This can only happen if (i) the design includes comparatively more tested and proven interventions and fewer new initiatives; and (ii) the interventions are limited in number and strategic in nature; and (iii) if an appropriate executing agency and nongovernment organizations (NGOs) are selected at the appraisal stage.

Project Number: 32024-013
Project Name: Sindh Rural Development Project
Report Date:
Lesson
Implementing a reform program that involved cross-agency coordination and cooperation needed the country's highest political support, while this program was supported mainly by the Ministry of Finance (MOF) as part of its public financial management reform program. The MOF by itself appeared to lack support to push for downsizing the BPKP as contemplated under the program. In the end, the government appeared willing to sacrifice the second tranche in the interests of political expediency.

Project Number: 35144-013
Project Name: State Audit Reform Sector Development Program
Report Date:
Lesson
Links between labor rights and welfare, good governance practices, poverty reduction and the improvement of labor rights through loans by multilateral financing institutions is relatively under-researched, at least with respect to Pakistan. Yet, given the overarching focus of ADB on good governance and poverty reduction, it is critical that this be explored. Poverty reduction not only requires that income opportunities be created, but also that these opportunities constitute a means by which individuals and households can exit the absolute poverty cycle.

Project Number: 32024-013
Project Name: Sindh Rural Development Project
Report Date: