ANNUAL STATUS REVIEW OF CAPITAL LOAN : HIGHER AGRICULTURAL EDUCATION

LOAN SUPPORTS ESTABLISHMENT OF CENTRAL ADMIN & PLANNING UNIT (CAPU) WITHIN THE DEPT OF UNIV AFFAIRS (DAU) OF BRAZILIAN MINISTRY OF EDUCATION & CULTURE, AND PROVIDES TECH ASSISTANCE, IN-COUNTRY AND PARTICIPANT TRAINING, AND EQUIPMENT FOR SELECTED GRADUATE CENTERS AND UNDERGRAD INSTITUTIONS. DAU HAS CONTRACTED WITH MICHIGAN STATE UNIV (MSU) FOR TECH ASSISTANCE, TRAINING PLACEMENT, AND PROCUREMENT OF LIBRARY MATERIALS. MISSION REVIEW BASED ON CORRESPONDENCE,BORROWER AND CONTRACTOR REPORTS,USAID VISITATIONS & FREQUENT DISCUSSIONS WITH CAPU. AS OF 6/30/75,14% OF LOAN FUNDS HAD BEEN COMMITTED WITH 2% DISBURSED. MSU HAS SUPPLIED SHORT-TERM CONSULTANT ASSISTANCE,AND LONG-TERM TECHNICIANS HAVE BEEN APPROVED. CONDITIONS PRECEDENT HAVE BEEN MET WITH ESTABLISHMENT & OPERATION OF CAPU; DVLP OF AN OVERALL PLAN FOR GRADUATE AGRIC EDUC; AN OPERATIONAL PLAN; AND A PLANNING MANUAL FOR USE BY THE 12 UNIVERSITIES INVOLVED FOR DEVELOPING INDIVIDUAL PLANS. UNIVERSITY PLANS HAVE BEEN SUBMITTED,AND FOLLOWING CAPU REVIEW,FUNDING ALLOCATIONS HAVE BEEN MADE. THE TRAINING PROGRAM AND AN INTER-UNIVERSITY ASSISTANCE PROGRAM HAVE BEEN DEVELOPED AND ARE IN OPERATION. A DETAILED LIBRARY DVLP PLAN IS BEING DEVELOPED,AND LIBRARY MATERIALS WILL THEN BE PROCURED. THE BORROWER IS REPORTED TO BE IN COMPLIANCE WITH ALL COVENANTS. PREVIOUS AUDIT RECOMMENDATIONS HAVE ALL BEEN RESOLVED. BASED ON EXPERIENCE THROUGH 1/30/76,USAID ANTICIPATES A REVISION OF UNIVERSITY IMPLEMENTATION PLANS AND THE OVER ALL FINANCIAL PLAN. IT EXPECTS AN INCREASE IN THE NUMBER OFPARTICIPANT TRAINEES AND THE NUMBER OF US TECHNICIANS AS LONG-RANGE CONSULTANTS.