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Brief review of UN, UNIDO, OECD and world bank project evaluation techniques



The UNO was formally established aiming at achieving to establish corporation and peace and to develop international cooperation between various nations of the world effectively in Oct. 24, 1945. The UNO was established as a powerful international organization for the development of different nations after the world war 1st and 2nd. This organization is doing its important works by spreading its helping hands even today in the field like education, health, social activities, culture, and science, etc. It has some agency: 

World Bank 
UNIDO (United Nations Industrial Development Organization) 
OECD (Organization for Economic Co-operation and Development) 

World Bank is a project evaluation technique of the world bank. It was established in Dec 27, 1945, Prime financial of organization of UNO. It was established to eliminate poverty and economic problems. The world bank applies the following techniques while monitoring and evaluating its loans provided to the poor and developing countries of the world.


BTS Approach (World bank approach) 

A loan document is prepared to monitor evaluate the economic and technical investment provided to the developing countries. It also mentions the evaluation technique of the project. This technique is called BTS approach.


The world bank agencies prepare their cost and benefit analysis on this very ground. And it is prepared at an international price. If the bank accepts the proposal, it provides loans or grants. The banks ask for a periodic report of expenses to the owner of the project. This report is evaluated by the branch or agency of the bank working in a developing country and is sent or informed to the bank.


New monitoring and evaluation technique ( M &E)

LACI (Loan Administration Change Initiative) July 1, 1998: “The sound economic management as the sensitive factor of success of the project” has been considered its main base. The LACI includes a quarterly report of true accounting figures, achievement, distribution, bid or contract, physical progress, etc. and programs for a new project. 

Monitoring and evaluation under LACI: 

The report of project management serves as the key document for monitoring purpose: to review the periodic progress report by the work team of the project, to take responsibilities of monitoring by the leader of the work team. 

UNIDO approach and project evaluation technique: It was established on Jan 1, 1967, in Vienna, Capital of Australia. The main objectives of the organization are to industrialize the developing countries and it provides loans to such sectors. The model used by this organization to evaluation project is known as UNIDO approach. 


It includes: 

To measure the project profitability

To measure the shadow price

To measure the national income

To measure the social and economic impact of goods and services.

To measure the ratio of saving and investment

OECD approach and project evaluation technique: The name OECD itself makes it clear that it provides loans to help economic sectors and to develop the poorest and developing country of the world. It was established in Sept. 30, 1969 as agency of UNO. It provides concessional loans at reasonable rates to developing countries. It has some assumptions: 

To analyze shadow price and input-output ratio

To analyze on the basis of traded goods and services

To analyze social cost and benefit

It was a discounted cash flow analysis to calculate net profit. 


Project monitoring and Evaluation approach of ADB:

ADB established in April 1965 and started its operation in 1966. It has residential office even in Nepal. This bank started to provide funds to help the economic development of developing countries. ADB provides Rs. 10.50 billion to Melamchi drinking water project; Rs. 3.52 billion to rural electrification and distribution and extension of electric lines.


Monitoring system: 

BTS approach 
Based on project MIS 
Bank prepares periodic report a/c report analysis of data by system 
It also monitors by email, fax- telephone, correspondence, etc. 

Evaluation system: Select the special representatives from its office and they evaluate the project stage of evaluation.

Appraisal: appraised on the basis of fixed guidelines

Ongoing evaluation: when project is running

Evaluation at the terminal stage

Benefit M& E: mention in the time of loan agreement of ADB

Project M & E approach of INGO’s: An organized institution which is established and run actively with mutual cooperation by a person of different occupations and social classes aiming at achieving a collective and common goal is known as NGO. INGO is for the developing organization, people participation, empowering them. Generally, the origin of INGO’s may be analyzed in five-way as:

INGO related to National disasters 
INGO related to Social services 
INGO related to races, language, religion, etc. 
INGO related to participative in development 
INGO related to awareness programs. 

It compares the cost & benefit

Evaluation style: 
Field visit evaluation 
Evaluation of the result 










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