The Muyinga Agricultural Development Project, supported by Credit 1857-BU for US$10 million, was approved in FY87 and closed on March 31, 1996, one year and nine months later than planned. An undisbursed balance of US$4.5 million was canceled on October 1, 1996. The Implementation Completion Report (ICR) was prepared by the Africa Regional Office. The borrower’s comments are included as an annex.
The broad objectives of the project were to increase the quantity and improve the quality of food crop, coffee and livestock production, and to increase farm income. The specific objectives of the project were to assist in the development of cooperatives; improve the Government’s agricultural services at provincial level; support the development of agro-forestry; and help control soil erosion. These objectives were supported by five components: strengthening of research and extension services; strengthening agricultural cooperatives to undertake marketing of inputs and produce; promotion of agro-forestry; strengthening of animal health services; enhanced utilization of swamp areas for food production.
The project partially achieved its objectives. Prior to the outbreak of civil unrest in October 1993, the project had made significant progress. The project had successfully pioneered a participatory approach to extension, resulting in high rates of adoption of improved seed and significant yield increases; and reforestation and agroforestry targets were being exceeded. However, some components were not achieving their objectives. The cooperatives component completely failed, although the private sector took on much of the anticipated role of cooperatives; results of the animal health component were modest; and the improvement of swamp areas was only partially implemented. After October 1993, project activities were severely limited by the worsening security situation, and much of the gains made previously were lost. Nonetheless farmers groups (created by the project in place of cooperatives) remain active, and financial and administrative systems developed under the project have been subsequently taken over by local staff, and remain in place.
The ICR rates project outcome as unsatisfactory, institutional development as modest, sustainability as unlikely, and Bank performance as satisfactory. OED agrees with these ratings, but notes that the unsatisfactory outcome is the result of disruption caused by the ethnic strife following the events of October 1994.
Key lessons of the project (relating to the period prior to October 1994) are that institutional analysis is a critical part of project preparation, and the participating institutions must be involved in project preparation. The project clearly underscored the importance of involving beneficiaries in project implementation, and the importance of a well managed process of skills transfer by technical assistance.
The ICR is satisfactory.
No audit is planned.