Overview of Project Planning Process in Bangladesh
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Dr Md Mahamud Ul Hoque Additional Secretary
On Lien
Senior Education Adviser
World Bank Group
Outline of the Presentation
Structure of Ministry of Planning
Planning Commission: Evolution, Roles and Functions
National Economic Council and it’s executive committee, functions and ToR
Sectors / Divisions of the PC and their functions
Steps to Perfect Project Planning
Approval process of plans and projects
Role of IMED
What is Development?
A specified state of growth or progress or advancement
Changes in attitude, culture and living standard
Adoption of new technologies, general improvement in living conditions
What is Growth?
An increase in the capacity of an economy to produce goods and services, compared from one period of time to another
Accumulation of resources and increase in resources
Why Development is Needed?
Social improvement and better living conditions
Growth with equity and social justice remains the overarching goal of our development strategy
Pursue inclusive growth strategy: specifically, the aim is to reduce poverty and income inequality by ensuring access of the poor to economic resources and employment;
Reducing regional imbalance in development;
Raising economic participation of Women and
Development Philosophy of Bangladesh
Ministry of Planning
Planning Division works as the secretariat of the Planning Commission NEC/ECNEC
Structure of Planning Commission
Evolution of Planning Commission
Bangladesh Planning Commission in 1972
Project Implementation Bureau (PIB) in 1975 ( IMED in 1984 placed under M/O Planning)
External Resource mobilization was entrusted to ERD in 1975 and was placed under M/O Planning
Later it was placed under M/O Finance
Planning cells in different Ministries/ Divisions in 1977
Role of Planning Commission
PC is entrusted with the task of planning for socio-economic development of the country
It has a three-fold role in development
Advisory role: Advising the government in matters of development goals and objectives, priorities, strategies and policy measures.
Executive role: Preparation of plan, processing of development projects for approval, preparation of Annual Development Programme (ADP).
Coordination role: Co-ordination of whole range of planning activities.
Functions of Planning Commission
The Bangladesh Planning Commission is the central planning organization of the country
• Policy Planning: determination of goals, objectives, strategies and policy measures for development plans;
• Sectoral Planning: identification of the role that the various sectors of the economy
• Programme Planning: formulation of detailed resource allocation to realize the Plan objectives and goals;
• Project Planning: appraisal of projects embodying
investment decisions for the implementation of the sectoral plans; and
• Evaluation: impact analysis of projects, programmes and Plans on the people’s living standard.
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• Formulation of country’s medium-term (5 years) macro plan
within the framework of long-term (15-20 years) perspective.
• Formulation of the Three Year Rolling Investment
Programme (TYRIP) in consistence with the Five Year Plan.
• Formulation of Poverty Reduction Strategy Paper (PRSP) .
• Preparation of Annual Development Programme (ADP) within the framework of TYRIP and Five Year Plan.
• Appraisal of project proposals for the ECNEC and the Minister
for Planning.
• Evaluation of Plans and impact on the economic
Cont’d…
Planning Commission mainly works through:
National Economic Council (NEC)
Executive committee of National
Economic Council (ECNEC)
National Economic Council (NEC)
The National Economic Council (NEC) is the
highest economic policy-making body of the nation.
Composition
Chairperson: Hon’ble Prime Minister
Member: All Members of the Council of Ministers
Officers to assist NEC
Cabinet Secretary, Principal Secretary
Governor, Bangladesh Bank
All Members of Planning Commission
Secretaries of Ministries/Divisions
Functions of NEC
Provides overall guidance for perspective plan, Five Year Plans, ADP & Economic Policies
Finalizes & approves plans, programmes & policies
Reviews implementation progress of development programmes/projects
Takes any decision as and when necessary for socio- economic development
Appoint committees as required to assist NEC
Meeting of NEC will be held every month and can be held earlier if required.
Planning Division will provide secretarial service to the NEC.
ECNEC
Chairperson
Hon’ble Prime Minister
Member
Minister of Finance
Minister of Planning
Minister of Agriculture
Minister of Labour and Employment
Minister of Water Resource
Minister of Commerce
Minister of Communications
Minister of Shipping
Ministers / State Ministers of relevant Ministries
Officers assist ECNEC
• Cabinet Secretary
• Principal Secretary / Secretary, PMO
• Secretaries, Planning, Finance, ERD & IMED
• Relevant Secretaries
• Members (All), Planning Commission
ToR of ECNEC
Approves all investment projects (costing over Tk. 50 crore)
Reviews projects’ implementation progress
Considers Public Private Partnership (PPP) proposals
Monitors economic situation & economic activities
Policy review
Consider measures & impact relating to aid of the development partners
Sectors/Divisions of the PC
Planning Division consists of six divisions
1. Programming Division
2. General Economics Division
3. Socio-Economic Infrastructure Division
4. Agriculture, Water Resource and Rural Institution Division
5. Industries and Energy Division
6. Physical Infrastructure Division
Functions of the “Programming Division”
Resource Allocation for preparation of Annual Development Programme (ADP)
Co-ordination and guidance of preparation and finalization of Annual Development Programme
Co-ordination of multi-sectoral Projects
Release / Reallocation of Funds where necessary
ADP Formulation process
Functions of the “General Economics Division”
Evaluation of Plans and Policies
Review of macro-economic situation
Assist to determine macro-economic Policies.
Co-ordination of finalization of plan, perspective plan, Five-year plan etc.
Poverty Reduction Strategy Paper, MDGs, SDGs,
Vision Paper etc.
Development Strategy
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Functions of other Divisions
• Formulation of sectoral plans relating to the
24ministry/divisions of concern sectors.
• Process and apprise of development projects for
approval
• Preparation of sectoral ADPs in consultation with
line ministries
• Formulation of sectoral development and
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Project Planning Process
Planning Process
Steps in the Formulation of Five-Year Plan
Evaluation of Past Plan Performance
Preparation of Technical/ Policy Framework Indicating Desirable and Realistic Growth Rate
Reconciliation of Sectoral Plans with the Macro Framework of FYP Resource Forecast in
Reconciliation Resources/Demands
Sector Divisions Prepare Sectoral Plans/Programmes Demand of Resource by
Ministries/Agencies
Project and Programme
Project
A project is a temporary entity established to deliver specific (often tangible) outputs in line with
predefined time, cost and quality constraints. A
project should always be defined and executed and evaluated relative to an (Executive) approved
business case which balances the costs, benefits and risks of the project.
Programme
A group of related projects managed in a coordinated way to obtain benefits and control not available from managing them individually. Programs may include
Investment Projects involve large amount of capital investment from either local or both local and foreign resources for development of physical or socio-economic infrastructures (e.g. construction of roads, embankments, bridges and power plants).
Technical Assistance (TA) Projects, generally having no component of capital investment, are usually foreign aided project where donor's assistance constitutes the cost of project, wholly or partly (e.g.
Project in providing Support to Monitoring MDGs in Bangladesh).
Type of Projects
Project proforma
is the basic document for placing required information of a certain project in a prescribed format in order to get approval from the appropriate government authority.All Investment projects are to be formulated in DPP, and all Technical projects are to be formulated in TPP
Project Proforma
Steps to Perfect Project Planning
Steps to Perfect Project Planning
Project Cycle
• Every project passes through different stages. The project passes through these stages from project initiation to completion. These stages are generally expressed in terms of cycles which is known as project cycle.
Hence,
• Project Cycle is the process of completing one stage after another Or
• Project Cycle is a process of carrying out series of project activities at different stages
• Whatever the project is, there tends to be a natural sequence in the way the projects are planned and carried out and this sequence is often called the 'Project
Programming
Financing
Identification
Formulation Evaluation
Implementation
Programming
Financing
Identification
Formulation Evaluation
Implementation
Project Cycle
Political
acceptability
Project Cycle
Project Cycle
Project development
The proponent starts for preparation of the Project.
There may be need of detail feasibility study with detail analysis on technical, financial, managerial, economic, social, market, environment, or even legal/political aspects.
The output of this stage is the Full Proposal or the Feasibility Study Report. This task is carried out by the proponent.
Project Cycle
Project Appraisal:
• This stage is for the careful re-examination of the Project Proposal or Feasibility Study Report, carried out by the Government.
• The Design Document or Appraisal Document is the final output of this stage.
Project Cycle
Operation Stage:
• Operation & Maintenance
• Monitoring
•Supervision
Project Cycle
•Evaluation
• Close-up Stages of Project Cycle …
This is the last stage of the project cycle. Evaluation of one project and learning during implementation give rise to another project concept/idea.
Project Planning
Development Projects
Investment Projects Investment
Projects Technical
Assistance Projects Technical
Assistance Projects
Minister in charge of Planning is the Approval
Authority of Projects Costing up
to Tk. 50 Crore
ECNEC is the Approval Authority of
Projects Costing over Tk.
50 Crore
Minister in charge of sponsoring
Ministry is the Approval
Authority of Projects Costing up to
Tk. 10 Crore
Minister in charge of Planning is the Approval
Authority of Projects Costing over
Tk. 10 Crore
Self Financed Projects are approved by the
Minister in change of the
Sponsoring Ministries.
Project Planning
(Cont…)Generation of Project idea from sectoral Plans/Five Year Plan
Formulation of DPP by Executing Agencies
Ministries Scrutinize the DPPs
Sector Divisions of the Planning Commission Appraise the DPPs
Project Evaluation Committee (PEC) Recommends for Approval
Minister for Planning Approves Project Costing up to Tk. 50 crore
ECNEC approves Projects costing over Tk. 50 crore
Institutional Linkages of Planning Commission with other Ministries/Divisions/Organizations
Planning Commission
Planning Commission
NEC/ECNEC NEC/ECNEC
ERDERD FDFD Ministries/
Divisions Ministries/
Divisions IMEDIMED
NAPDNAPD
IRDIRD BIDSBIDS
Statistics Division Statistics
Division
ROLE OF IMED
Implementation &
Monitoring
Main responsibility : ministries / divisions, executing agencies
IMED Monitors selected cases
IMED officials of concern sectors monitors selected projects
Evaluation
Midterm evaluation – Ongoing Projects
(selective cases)
Post facto evaluation - General evaluation, Impact evaluation
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CPTU
All matters relating to Procurement
Proper implementation of PPR & PPA
CPTU
All matters relating to Procurement
Proper implementation of PPR & PPA
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Thank You
