This supplementary grant was needed to address the funding gap for the Community-Based Infrastructure Services Sector Project, which had stemmed from significant issues, such as price increases in critical project inputs, climate changes, and droughts, as explained in the report and recommendation of the President (RRP). The increase in the prices of steel, cement, pipes, and petroleum products increased the overall construction cost of the water supply infrastructure. Whereas, climate-related occurrences limited the use of water sources located near the villages, resulting in the need to connect to distant water sources. Consequently, this increased the scale and cost of the subprojects, and ultimately made the total available funding insufficient to meet the original targets of the loan-funded project.
This report validates the completion report’s assessment of the project. IED overall assessment: Unsuccessful.