Evaluation of rural development program

Evaluation covers the period 1975-79 and is based on document review and interviews with host agency personnel and beneficiaries. The Agricultural Services Project, implemented by the Ministry of Agriculture and Natural Resources (MAG) and the National Agricultural Council (CAN), had major difficulties due to programming deficiencies and invalid project assumptions. Improvements occurred in regard to staff and farmer training, vehicle maintenance, and in dealing with market data; but did not occur in regard to livestock and crop production, disseminating information to farmers, or improving ratio's between fixed and operating costs. MAG programming and budgeting probably worsened. Under the Cooperative Development Project, first degree cooperatives increased membership, social assets, and volume of operations; those of second degree lost ground. The National Institute of Cooperative Development (INFOCOOP) grew stronger and more efficient. The Rural Municipal Development Project, designed to strengthen the Municipal Development and Training Institute's (IFAM) capacity to help local governments assist farmers, has left IFAM financially strong. IFAM has performed well on tax matters and financial analysis, adequately in technical assistance (TA) and credit operations, but poorly in planning and budgeting. AID-funded IFAM credit activities have been satisfactory, but AID-funded TA and training have not. Three lessons were learned: negotiate with borrower and implementing agencies at the project design stage on exact methods of disbursing funds; define aims precisely and program sufficient resources; and ensure the existence of host country political and technocratic will prior to institutional development projects. Recommendations are to: specify targets and inputs in support of MAG; provide CAN, an increasingly major development entity, with follow-on assistance, including short-term, specialized TA; ensure INFOCOOP directs new A.I.D. inputs toward policy resolution and toward strengthening cooperatives; consider technical and financial support to IFAM for a combined cadaster/land register/land tax improvement activity; and support IFAM's experimentation with grants and loans to municipalities.