Nepal: Institutional Strengthening of the National Planning Commission

Sovereign Project | 42157-012

Summary

The current national development plan (Three-Year Interim Plan, FY2008-FY2010) lays a strong emphasis on decentralization?increased devolution to the local bodies by clearly demarcating the responsibility between the central and the local-level institutions, adopting an appropriate fiscal system, and strengthening human resource management. Further, the Government's development policies and priorities (e.g., the Government's policies and programs for FY2009 and the budget statement) following the declaration of the federal system, clearly emphasizes the need to reform the planning system and restructuring NPC accordingly.

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Project Name Institutional Strengthening of the National Planning Commission
Project Number 42157-012
Country Nepal
Project Status Closed
Project Type / Modality of Assistance Technical Assistance
Source of Funding / Amount
TA 7384-NEP: Institutional Strengthening of the National Planning Commission
Technical Assistance Special Fund US$ 625,000.00
Strategic Agendas Inclusive economic growth
Drivers of Change Governance and capacity development
Sector / Subsector

Public sector management - Decentralization

Gender Equity and Mainstreaming No gender elements
Description
Project Rationale and Linkage to Country/Regional Strategy

The current national development plan (Three-Year Interim Plan, FY2008-FY2010) lays a strong emphasis on decentralization?increased devolution to the local bodies by clearly demarcating the responsibility between the central and the local-level institutions, adopting an appropriate fiscal system, and strengthening human resource management. Further, the Government's development policies and priorities (e.g., the Government's policies and programs for FY2009 and the budget statement) following the declaration of the federal system, clearly emphasizes the need to reform the planning system and restructuring NPC accordingly.

In line with the Government's policies and priorities, promoting good governance is central in ADB's CSP for Nepal for 2005-2009, which recognizes that more effective local level service delivery is a key to poverty reduction and addressing the root causes of the conflict. As part of its strategy to help strengthen governance in Nepal, the CSP seeks to support the Government's decentralization initiatives, including fiscal decentralization, by strengthening the planning and implementation capacity of central and local institutions, improving devolved service delivery at grassroots level and pursuing institutional strengthening and capacity building. The proposed TA is also very relevant and in alignment with the emerging Nepal CPS, a strategic pillar of which is capacity building and state strengthening.

Impact More balanced and inclusive development.
Project Outcome
Description of Outcome Strengthened institutional capacity for establishing a federal system of development planning and restructuring the NPC.
Progress Toward Outcome Engagement of key Government officials in the TA activities, particularly the analysis of the shortcomings in Nepal's planning system and international best practice, has been an effective capacity building exercise. Upon full delivery of the TA outputs, NPC and other key government agencies should be better equipped to make the important decisions on reforming the country's planning system.
Implementation Progress
Description of Project Outputs

A development planning framework for the federal system of governance

A new organizational structure for the central planning agency so it can play its role in the proposed planning framework

A broad organizational structure for planning institutions, if any, at the state and local levels

A strategy and a road map for making a transition to the new planning process

Inputs to formulate key components of the new periodic plan and orient it toward more decentralized approaches as part of the transition to the federal system of planning

Status of Implementation Progress (Outputs, Activities, and Issues)

- Draft second progress report submitted on 8 February 2011, which proposes a framework for a new planning system in a federal system of governance, along with necessary restructuring of key government agencies including NPC and transitional arrangements.

- Consultations and workshops held at different levels to obtain ideas and feedback from the stakeholders.

- Consultations and workshops held at different levels to obtain ideas and feedback from the stakeholders.

- Not yet due.

- An Approach paper to the new interim plan finalized in September 2010.

Geographical Location Nepal
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design Consultations held with the government agencies during the preparation of the training.
During Project Implementation Consultations being held at different levels.
Business Opportunities
Consulting Services

TA consists of two components.

Component A: Recruitment of a Consulting Firm

Federal Development Planning Specialist (international, 6 person-months)

Fiscal Decentralization Specialist (international for 3 person-months)

Institutional and Organizational Development Specialist (international for 3 person-months)

Decentralization Specialist (national for 3 person-months)

Constitutional/Legal Specialist (national for 1 person-month)

Institutional and Organizational Development Specialist (national for 3 person-months)

Component B: Recruitment of Individual Consultants

Infrastructure Development Expert (national, 3 person-months)

Social Sector Expert (national, 3 person-months)

Local Development and Inclusion Expert (national, 3 person-months)

Responsible ADB Officer Raju Tuladhar
Responsible ADB Department South Asia Department
Responsible ADB Division Nepal Resident Mission
Executing Agencies
National Planning CommissionMr. Pushpa L. Shakyaplshakya@npcnepal.gov.npNational Planning Commission, Singha Durbar
Timetable
Concept Clearance 17 Sep 2009
Fact Finding 21 Sep 2009 to 23 Sep 2009
MRM -
Approval 23 Nov 2009
Last Review Mission -
PDS Creation Date 21 Sep 2009
Last PDS Update 28 Feb 2011

TA 7384-NEP

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
23 Nov 2009 16 Dec 2009 16 Dec 2009 31 Jan 2011 31 Aug 2011 -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
625,000.00 0.00 115,000.00 0.00 0.00 0.00 740,000.00 23 Nov 2009 412,396.96

Safeguard Documents

See also: Safeguards

No documents found.

Evaluation Documents

See also: Independent Evaluation

No documents found.


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