2. UNOPS-DAKAR Regional Office for West and Central Africa EXECUTION OF IFAD PROJECTS: Constraints and proposed solutions

3. UNOPS-DAKAR Regional Office for West and Central Africa Introduction Non-exhaustive survey of constraints linked with the implementation of projects cofinanced by IFAD These are particular points about which the cooperating institution is concerned These are particular points about which the cooperating institution is concerned Attention: these constraints do not apply to all IFAD projects. Attention: these constraints do not apply to all IFAD projects.

4. UNOPS-DAKAR Regional Office for West and Central Africa 1) The Problem : Projet start-up is still a difficult phase

5. UNOPS-DAKAR Regional Office for West and Central Africa Consequences : - increase in project cost directly linked to inflation - reduced motivation of the target group involved in formulating the project - project design that over time tends to become distanced from the reference situation analysed and taken into account during its formulation - extra costs for the Government, which is responsible for the salaries of project coordination unit (PCU) staff between their appointment and the time the loan comes into force

6. UNOPS-DAKAR Regional Office for West and Central Africa Proposed solutions : sensitization of the Government on the need for rapid disbursement of counterpart funds (HIPC or other) Greater involvement of the supervisory ministry in the conditions to be fulfilled, especially through designation of a focal point prior to negotiations F unding a facilitator to support the condition-linked process (apart from start-up activities) Covering of the coordinators salary from the Special Operations Facility grant from the time of his/her selection/nomination, and the signing of other staffs contracts after entry into force Greater synergy with other IFAD projects under way in the same country or other subregional projects (thanks to FIDAFRIQUE) Harmonisation of the loan agreement conditions

7. UNOPS-DAKAR Regional Office for West and Central Africa 2) The problem : Failure to fulfil the donors mandate during project implementation

8. UNOPS-DAKAR Regional Office for West and Central Africa Consequences : Dispersal of funds to an expanded target group not corresponding to that of the donor Goal of poverty reduction barely achieved insufficient resources for the poorest population groups in comparison with other project activities

9. UNOPS-DAKAR Regional Office for West and Central Africa Proposed solutions : greater PCU responsibility for the goals to be achieved (accountability) better training for project partners strengthening of the supervisory role of the supervisory ministry and the steering committee PCUs: guarantors of IFADs mandate development of an IFAD ethos

10. UNOPS-DAKAR Regional Office for West and Central Africa 3) The problem : Some supervisory ministries and/or steering committees are insufficiently involved in project monitoring and supervision

11. UNOPS-DAKAR Regional Office for West and Central Africa The consequences : divergence from the strategy agreed by the Government and IFAD best use not made of funds borrowed by the Government for poverty reduction

12. UNOPS-DAKAR Regional Office for West and Central Africa Proposed solutions : greater assumption of responsibility by external national- level supervisory structures strengthening of cooperating institutions supervisory mechanisms

13. UNOPS-DAKAR Regional Office for West and Central Africa 4) The problem: Withdrawal applications sent to the cooperating institution are not presented correctly

14. UNOPS-DAKAR Regional Office for West and Central Africa Consequences : many delays in the disbursement of funds Analysis of withdrawal applications reveals the following main problems: : errors in the numbering of withdrawal applications miscalculations of category totals errors in the percentages applied to the sum spent – frequent specific conditions not complied with for certain categories (Annex 2, loan agreement) use of wrong SS1 or SS2 forms miscalculations in the handling of civil engineering contracts (invoice, recovery of start-up advance, collateral/guarantees, etc.) documents missing (supporting documents for SS1, delivery slip, proof of payment) – frequent Lack of description of expenses for ss2 -frequent failure to take account of amendments to loan agreement (if any ) errors in the allocation of expenditure to different categories

15. UNOPS-DAKAR Regional Office for West and Central Africa Proposed solutions : better training of administration and finance officers control of withdrawal applications by the PCU coordinator increased training of national control structures through which withdrawal applications are passed (Autonomous Sinking-Fund Office, Ministry of Finance)

16. UNOPS-DAKAR Regional Office for West and Central Africa 5) The problem: Annual audit reports not submitted on time (6 months after the end of the financial year) UNOPS-Dakar: 2 projects out of 17 in 2004

17. UNOPS-DAKAR Regional Office for West and Central Africa 6) The problem: Monitoring and evaluation (M&E) do not provide enough knowledge of the projects socio-economic impact

18. UNOPS-DAKAR Regional Office for West and Central Africa Proposed solutions : strengthening of the analytical skills of all PCU staff involvement of all actors in the monitoring and evaluation task application of monitoring and evaluation tools developed by IFAD (RIMS, etc.)

19. UNOPS-DAKAR Regional Office for West and Central Africa THANK YOU FOR YOUR ATTENTION