1,683 Total projects 496.7 5.23 100% /activities * Assumed 1 USD = NPR 95 in average The Project targeted disadvantaged Economic benefits to poor and disadvantaged groups. groups (women, children and disadvantaged community) to improve their socio-economic conditions through preparing annual investment plans of the block grant. About 35% to 45% of the grant amounts were allocated to these groups and contributed to the social and economic development of about 62,000 persons in these groups. Benefits of these investments include reduced transport costs, increase awareness and social harmony, reduced flood damage, reduced incidence of disease, and increased job creation. Participatory planning processes adopted to identify sub-projects Cost effectiveness. contributed to cost-effective investments and more efficient use of public funds. The planning and reporting format developed by the Project for block grants reflected details, including the number of beneficiaries. Efficiency, ownership and sustainability of investments were enhanced by mobilizing user committees to implement project activities. The adoption of direct fund transfers reduced transaction costs associated with centralized financing of municipal infrastructure. Mobilization of users contributed to additional Leveraging community fund mobilization. investment in development activities. It is estimated that additional funds (as a percentage of block grants) mobilized by the community were as follows: (i) Itahari - 50%; (ii) Mechinagar - 30 %; (iii) Dhankuta, Tansen and Baglung - 20%; and (iv) Lekhnath - 15%. Establishing O&M planning and funding mechanisms enhanced Economic sustainability. municipal O&M capabilities for the sustainable operation of municipal assets. The availability of additional untied block grants enabled Improved scale economy. participating municipalities to consolidate funds from different sources to undertake small scale community level infrastructure development sub-projects and socio-economic development activities. More efficient use of government funds also contributed to possible access to better sources of funding for investment in the longer-term. Component 2: Municipal Capacity for Implementing Infrastructure Investments A total of 15 sub-projects were implemented under Component 2. TDF had carried out cost effectiveness analysis at sub-project appraisal. The table below presents a summary of investments under Component 2. Summary of Component 2 Investments Percentage of Investment Investment total amount Output S.N Projects (NPR (USD under Quantity Million) Million)* component 2(%) Roads improvements (Black 30.4 KM (5 1 416.2 4.38 64% Top) Sub-projects)
Total 1,683 /activities 496.7 5.23 100% * Assumed 1 USD = NPR 95 in average Economic benefits to poor and disadvantaged groups. The Project targeted disadvantaged groups (women, children and disadvantaged community) to improve their socio-economic conditions through preparing annual investment plans of the block grant. About 35% to 45% of the grant amounts were allocated to these groups and contributed to the social and economic development of about 62,000 persons in these groups. Benefits of these investments include reduced transport costs, increase awareness and social harmony, reduced flood damage, reduced incidence of disease, and increased job creation. Cost effectiveness. Participatory planning processes adopted to identify sub-projects contributed to cost-effective investments and more efficient use of public funds. The planning and reporting format developed by the Project for block grants reflected details, including the number of beneficiaries. Efficiency, ownership and sustainability of investments were enhanced by mobilizing user committees to implement project activities. The adoption of direct fund transfers reduced transaction costs associated with centralized financing of municipal infrastructure. Leveraging community fund mobilization. Mobilization of users contributed to additional investment in development activities. It is estimated that additional funds (as a percentage of block grants) mobilized by the community were as follows: (i) Itahari - 50%; (ii) Mechinagar - 30 %; (iii) Dhankuta, Tansen and Baglung - 20%; and (iv) Lekhnath - 15%. Economic sustainability. Establishing O&M planning and funding mechanisms enhanced municipal O&M capabilities for the sustainable operation of municipal assets. Improved scale economy. The availability of additional untied block grants enabled participating municipalities to consolidate funds from different sources to undertake small scale community level infrastructure development sub-projects and socio-economic development activities. More efficient use of government funds also contributed to possible access to better sources of funding for investment in the longer-term. Component 2: Municipal Capacity for Implementing Infrastructure Investments A total of 15 sub-projects were implemented under Component 2. TDF had carried out cost effectiveness analysis at sub-project appraisal. The table below presents a summary of investments under Component 2. Summary of Component 2 Investments S.N Projects Output Quantity Investment (NPR Million) Investment (USD Million)* Percentage of total amount under component 2(%) 1 Roads improvements (Black Top) 30.4 KM (5 Sub-projects) 416.2 4.38 64% projects