PROJECT PAPER : DEVELOPMENT DECENTRALIZATION I : EGYPT.

INCOME FROM THESE PROJECTS, IN WHICH VILLAGERS WILL ALSO INVEST, WILL IN TURN PROVIDE THE BASIS FOR A SELF-SUSTAINING VILLAGE LOAN CAPABILITY. VILLAGE COUNCIL PERSONNEL WILL BE TRAINED IN PLANNING, SUBMITTING AND IMPLEMENTING LOAN PROJECTS. A LONG-TERM TECHNICAL ASSISTANCE TEAM, COMPOSED OF A DEVELOPMENT ECONOMIST AND SPECIALISTS IN LOCAL GOVERNMENT FINANCE AND MANAGEMENT AND IN PRODUCTION AND MARKETING ANALYSIS, WILL HELP DEVELOP TRAINING COURSES FOR ORDEV"S LDF-PERSONNEL AT ORDEV"S NEW TRAINING ACADEMY AND WILL ENGAGE IN ON-THE-JOB TRAINING OF DISTRICT AND VILLAGE LDF-PERSONNEL. BY 3RD PROJECT YEAR, 500 TRAINEES PER YEAR ARE EXPECTED FROM THESE 2 PROGRAMS COMBINED. TEAM WILL ALSO GIVE POLICY ADVICE AND TECHNICAL ASSISTANCE TO ORDEV DURING ITS INITIAL YEARS; WILL DECIDE ON THE NATURE AND EXTENT OF SHORT-TERM TECHNICAL ASSISTANCE; AND WILL ARRANGE FOR PARTICIPANT TRAINING. LATTER WILL BE GIVEN THROUGH US TRAINING AND 3RD COUNTRY OBSERVATION TOURS TO BOTH ORDEV AND VILLAGE LDF-PERSONNEL IN TRAINING METHODS AND EVALUATION, PROJECT IDENTIFICATION AND ANALYSIS, LOCAL GOVERNMENT FINANCE AND FINANCIAL MANAGEMENT, PUBLIC FINANCE AND BANKING, APPLIED BUSINESS SKILLS FOR SMALL BUSINESSES, DATA MANAGEMENT, LOCAL PARTICIPATION MOBILIZATION, PRODUCTION AND MARKETING. AN EVALUATION AND MONITORING MECHANISM WILL BE ESTABLISHED WITHIN ORDEV TO ENSURE SELF-SUSTAINING EVALUATION CAPABILITY. IT SHOULD BE NOTED THAT TECHNICAL ASSISTANCE AND TRAINING WILL EXCEED STRICT NEEDS OF LDF PROGRAM IN ORDER TO ASSIST ORDEV IN DEVELOPING RURAL DEVELOPMENT STRATEGY THAT IS A SUBORDINATE BUT IMPORTANT PROJECT PURPOSE. SECOND PROJECT PAPER AMENDMENT, DATED 2/4/80, PROVIDES ADDITIONAL FUNDING OF $2.04 MILLION, FOR (1) LOCAL CURRENCY COSTS ORIGINALLY TO BE COVERED BY US-OWNED LOCAL CURRENCY; (2) ADDITIONAL FUNDS FOR THE LOCAL DEVELOPMENT FUND; (3) INCREASED TECHNICAL ASSISTANCE (THE STRUCTURE OF WHICH WILL BE REVISED), TRAINING EQUIPMENT, AND CONTINGENCIES; AND (4) INCREASED PROJECT DOLLAR COSTS. PROJECT IMPLEMENTATION SCHEDULE WILL ALSO BE REVISED.