Nepal: Assessment of the Project Implementation Environment

Abstract

This paper is an attempt to present the result of the questionnaire survey undertaken toassess the project implementation environment before and after the ceasefire. The findings suggestthat program implementation and monitoring and reporting activities of the district project officeswere most affected during insurgency. Likewise, program implementation, monitoring and reporting,and financial management activities of nongovernment organizations were also most affected.Influence of a number of issues—insurgents' interference, lack of access to communities,inaccessible communication, and security and life threat—affected these activities. After theceasefire, the overall implementation environment has improved, with security risks abating andsignificant improvement in the mobility of people and goods across the country. The positive impactof the ceasefire was also reaffirmed from the perception-based rapid test of the survey wherein therespondents endorsed favorable working environment. Despite the varied degree of influence onorganizational activities due to the influence of conflict, organizations continued operations albeit ata slower pace. This can be attributed to the fact that all Asian Development Bank projects, guidedby the results-based strategy, emphasize a conflict-sensitive approach to project design with flexibleand transparent implementation modalities. The cessation of hostilities as a result of the ceasefireis expected to expand "development space" and contribute to improving portfolio performance.