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p. 3 of 14 BACK | NEXT Introduction Part I: Scope of Project Economic Analysis Part II: The 10 Areas of Analysis 1. Assess Macroeconomic Context 2. Assess Sector Context 3. Assess Demand 4. Identify Economic Rationale 5. Identify Project Alternatives 6. Identify and Compare Benefits and Costs 7. Assess Financial and Institutional Sustainability 8. Undertake Distribution Analysis 9. Undertake Sensitivity and Risk Analysis 10. Establish a Project Performance Monitoring System (PPMS) Part III: Areas of Analysis in ADB's Project Processing Cycle

Key Areas of Economic Analysis of Projects

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Part II: The 10 Areas of Analysis

Covering the 10 AAs requires many specific tasks. The following list identifies the most important tasks for each AA. The list is not comprehensive, and other tasks may be required, depending on the circumstances of the project. The AAs are numbered in the order in which they generally would be addressed, but the tasks for each AA can be overlapping, and are not strictly sequential. A task listed under one AA, for example, may be required before previous AAs are completed.

1. Assess Macroeconomic Context
2. Assess Sector Context
3. Assess Demand
4. Identify Economic Rationale
5. Identify Project Alternatives
6. Identify and Compare Benefits and Costs
7. Assess Financial and Institutional Sustainability
8. Undertake Distribution Analysis
9. Undertake Sensitivity and Risk Analysis
10. Establish a Project Performance Monitoring System (PPMS)

Back Part I: Scope of Project Economic Analysis	Next 1. Assess Macroeconomic Context