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Project
Application

The Consortium
of Donors

For

Training
Journalists and Civil Society Institutions on the PRSP and how to enhance
the Effectiveness of Civil Society Institutions in the Preparation and
Monitoring of the full Poverty Reduction Strategy Paper for Ethiopia^*

Ethiopian
Economic Association/Ethiopian Economic Policy Research Institute

Addis
Ababa, December 8, 2000.
Table of
Content

1. Contextual
Background

2. Project
Justification

2.1
Project Objective

2.1.1.
Long-term objectives:

2.1.2.
Short-term objective

2.2.
The promoter of the project

2.3.
Organizational structure and governance

2.4.
Project Location

3. Outputs and Programming

3.1
Activities to be undertaken by the project

4.
Project Duration and training design

5. Project Budget

1. Contextual Background

It is not a
very contentious issue anymore that the various policy reform measures
that have been undertaken over the past two decades in various African
countries have produced at best a mixed result and in many cases have
simply failed to achieve the intended objectives. At the core of these
objectives are the reduction and eventually the elimination of the crippling
poverty that torments a very sizable portion of the population in many
poor countries. The underlying assumption that informed the earlier
reform process largely blamed lack of a stable macroeconomic environment
and ill informed sectoral policies pursued by African governments that
led to inefficient resource allocation and prohibited rapid economic
growth, which are considered central to the fight against poverty.

While the requirements
of a stable macroeconomic environment and efficient resource allocation
through the market system are still acknowledged, it was also realized
that making these policy reforms work requires substantial internal
and external resources. In particular, the requirements of a stable
macro economy and the fiscal prudence that this requires meant elimination
of a number of expenditure programs that cater for the poor (such as
subsidies for staple food products) potentially aggravating the incidence
of poverty unless otherwise supplemented by other poverty reduction
measures. Furthermore, the sizable resources transferred to developed
countries from developing countries by way of debt service payments
have to be substantially reduced if resources are to be available for
poverty reduction programs on the one hand and to reduce the already
accumulated debt to a level that enables macroeconomic stability. Particularly
for Africa, the debt problem has reached an unsustainable level. The
nominal value of Africa’s total debt stock has currently reached $219.3
billion, which is 110% of its GNP and twenty five times its value in
1971. Africa’s debt service ratio is 25% of its total exports up from
9% in 1971. In other words, the debt overhang has to be reduced to free
resources for poverty reduction and also engender debt sustainability.

In 1996, to
address the issue of the debt burden, the World Bank and the International
Monetary Fund (IMF) launched a program called the Heavily Indebted Poor
Countries (HIPC) initiative to provide debt relief to the poorest and
most indebted countries in the world. Under this initiative, some $12.5
billion worth of debt relief was to be provided to 29 poor countries
including Ethiopia. However, it was soon realized that the relief offered
under this initiative was too little and the process too slow to engender
meaningful debt relief that will contribute towards sustainable development
for the affected countries. Accordingly, in September 1999, these same
institutions enhanced the earlier initiative to provide deeper, faster
and broader debt relief. The enhanced HIPC initiative will more than
double the amount of assistance to over $28.6 billion and increase the
beneficiaries to 32.¹

However, the
mandate of the initiative was broadened quite substantially by requiring
potential beneficiaries not only to pursue sound policies and be committed
to reforms as in the earlier initiative, but to show this commitment
by producing and implementing a thorough program known as Poverty Reduction
Strategy Paper (PRSP). The value of the PRSP goes much beyond the enhanced
HIPC and the resources affected by a successful graduation from this
process (from designing the strategy to achieving the targets established
in the strategy and the monitoring and implementation process in between)
is substantial. It more or less involves the complete aid package that
comes from multilateral and bilateral donors to poor countries.

Clearly, in
this process, success very much depends on the preparation and implementation
of the PRSP. According to the Bank and the Fund, the PRSP is “a country-owned
action plan, developed through a participatory process, in which poverty-reducing
measures are integrated into a coherent, growth-oriented macroeconomic
framework… Debt relief under the HIPC initiative and access to concessional
lending by the Bank and the Fund is linked to the preparation and implementation
of such poverty reduction strategies.”² The recipient country prepares
this strategy in a participatory process involving as many of
the stakeholders as possible, including civil society and donors every
step of the way. The strategy is to be developed in an iterative
process and updated about every 3 years to reflect experience gained
in implementing the strategy. At least in principle, as the IDS Policy
Briefing succinctly summarized, the PRSPs are expected to be:³

· Country
driven. That is, recipient governments will lead the process and there
would be a broad- based participation in the adoption and monitoring
of the strategy;

· It
must be result oriented or out come based. This requires identifying
the desired outcomes and instituting a mechanism that lead towards their
achievement;

· It
should be comprehensive in the sense that it takes into account the
various dimensions of poverty;

· It
should be long-term in approach: recognizing the depth and complexity
of some of the changes needed and

· It
should be based on partnership between governments and other actors
in civil society, the private sector and the donor community.

Although, as
stated in the above principle, the strategy was to be country owned
and driven, since it has to be finally approved by the Bank and the
Fund, it is at least expected to describe and incorporate, in as much
detail as possible, the following key elements:

· The extent, nature, and causes of poverty;

· Key obstacles to reducing poverty;

· Long-term poverty reduction goals and
outcomes;

· Policies and reforms for achieving
these goals and their expected costs;

· The way the strategy is integrated
into the country’s macroeconomic framework;

· Identify intermediate indicators that
will measure progress toward achieving long-term goals;

· Indicate the process for involving
civil society and others; and

· Describe the participatory process
for assessing progress.

If we combine
the underlying principles and the specific requirements of the PRSP
process, we can see that there are opportunities as well as challenges
and a number of things can go wrong in the process of formulation and
implementation of the whole initiative. To succeed in this process,
it obviously requires a conscious, active, substantive and constructive
engagement between government and civil society.

The important
principle of country ownership of the PRSP process is a significant
development in its own right. The value in the concept of ownership
is not just symbolic. It has a significant bearing on the likelihood
of success of the program. Genuine ownership of programs provides a
strong incentive for those involved in implementing it. After all, that
is the underlying reason that recommends capitalism as a better form
of economic organization for the creation of wealth. Country ownership
of the process itself, also adds value by building the capacity of government
institutions. If successful, it could build the data collecting and
organizing capacity of national statistical offices; it could build
monitoring capacity as well as reporting and implementation capacity.

Probably the
most valuable opportunity that comes with the PRSP process is its requirement
for a genuine participatory process from the design to the implementation
and follow-up phases. This is a long overdue recognition among development
practitioners and a triumph to civil society institutions (both in the
donor and recipient countries) that fought for comprehensive debt relief.
It offers an unprecedented opportunity for civil society institutions,
particularly those that work very closely in the field of poverty alleviation,
to influence anti-poverty policies. Not only that, given the comprehensive
nature of the PRSPs, involving not only specific anti-poverty measures
but also macroeconomic and expenditure policies of governments, it offers
various stakeholders in society to have a say on the country’s overall
development policy. This includes academicians, business people, labor
unions…etc. who can positively contribute to the policy making process
given the chance. Such a broad participatory process has a number of
advantages. First, the chances of making egregious mistakes in policy
formulation are diminished with wider participation. Secondly, the consensus
that such a participatory process engenders is crucial for the success
of the policy during implementation as it broadens the ownership base
beyond government and its functionaries and reduces policy bickering
and reversal mid way through the implementation process thus contributing
to policy effectiveness. Finally, such a practice contributes to the
overall democratization process in a country. True democratization brings
accountability in government and makes the bureaucracy responsive to
the concerns of society. In short, building a successful participatory
process would improve the overall governance structure of a country
with benefits far beyond the resources that come by way of HIPC.

However, there
are tremendous challenges faced both by recipient countries and donors
to make this process work in line with the intention of the initiative.
On the part of the recipients, the challenge is to successfully meet
the detailed requirements of the initiative particularly as it relates
to the preparation and implementation of the process. On the part of
donors, the major challenge is to be able to provide the necessary finances,
streamline the disbursement process and make the necessary attitudinal
change required to make the initiative successful.

Probably the
biggest challenge for developing countries is to manage the potential
conflict between establishing a genuine participatory process on the
one hand and the time constraint on the other. To make the participatory
process effective, sufficient time must be allowed for participation
or consultation. Information has to flow to potential participants quickly
and in a manner that is accessible both in style and language.
Participants must be chosen in a manner that is truly representative
of all the stakeholders and there must be a transparent mechanism to
follow the process through to its conclusion. Equally important, potential
participants must believe the process to be fair and transparent to
avoid frustration and cynicism among participants. Furthermore, all
this has to be achieved in a time frame that will not cause delay in
the preparation and monitoring of the PRSP and this is not going to
be easy to achieve.

As mentioned
earlier, Ethiopia is one of the presumed beneficiaries from this process.
If Ethiopia goes through this process successfully, in addition to the
overall benefit to the economy and society that comes from a successful
implementation of a good policy, the country could substantially benefit
materially by way of debt relief and additional bilateral and multilateral
aid over the next few years. Given the substantial resources involved
in the initiative and the construction of the program in such a way
that it allows, even requires, active participation of civil society
in the process, it is important for civil society institutions in the
country to prepare for the coming PRSP debates and discussions to make
their participation meaningful. Meaningful participation, on the other
hand, requires knowledge and information on the issues and processes
involved.

In the Ethiopian
context, meaningful public participation can only be ensured if civil
society members and institutions have a clear idea about the principles
behind this initiative, its objectives, the process involved, and the
potential problems to be encountered. Since the PRSP, as can be seen
in the discussion below, is more or less a broad growth strategy, society
must be familiarized with basic principles of economics and determinants
of growth. Civil society institutions including institutions working
with the poor also need to come up with specific issues and activities
that are of concern to their constituencies particularly in relation
to policy measures that could be undertaken to reduce poverty.

All this can
only be achieved if there is a coherent training program for various
civil society institutions including journalists, local NGOs, the business
community, labor unions, women’s groups…etc. and the larger public,
using various mediums (Radio, Television, News Papers, or organizing
public discussion forums.) It is also important to prepare manuals and
issue papers on the PRSP in general and on specific policy issues dealing
with the process and its implementation in Amharic to help the discussion
process. These are activities that the Ethiopian Economic Association,
through its recently established research, training and publication
wing—the Ethiopian Economic Policy Research Institute—is well suited
to undertake.

This proposal
is therefore, prepared for funding a number of research, training, publication
and eventually advocacy activities over the next few years (January
to December 2001 for the preparation of the strategy and the following
years for implementation) designed to help make the PRSP process transparent,
and encourage and help towards meaningful and effective public participation
in the design and implementation of Ethiopia’s full Poverty Reduction
Strategy Paper that is due for submission to donors in December 2001.

2.
Project Justification

2.1.
Project Objective

Given the above
background, the objective of the project is to contribute towards the
formulation of good economic policies, good governance and democratization
in the country by assisting in the formulation and monitoring of the
Poverty Reduction Strategy Paper for Ethiopia through training civil
society institutions and preparing manuals and issue papers on various
topics related to the PRSP in local languages for the general public.

2.1.1.
Long-term objectives:

Poverty reduction
is a very important long-term objective in itself. The project contributes
to this long-term objective through its direct contribution to the formulation
and implementation of the PRSP. By helping in the active participation
of civil society in the process, the project (and of course, the PRSP
itself) is also expected to contribute towards good governance and the
democratization process in Ethiopia (both important long term objectives
for sustainable development) by making policy making transparent and
policy implementation subject to informed public scrutiny.

2.1.2.
Short-term objective

Over the next
two to three years, to help make the PRSP process in Ethiopia true to
the original design of the process by making PRSP truly country owned,
truly participatory, and the final outcome, a true representation of
the interest of a broad section of Ethiopian society, particularly the
poor. In the implementation phase, to help the public participate in
monitoring implementation and ensuring that the priorities agreed in
the PRSP are reflected in the government’s annual budget allocations
and expenditures.

2.2. The
promoter of the project:

As suggested
in the introduction, the PRSP is essentially an economic strategy with
a poverty focus. In terms of profession, while input from various disciplines
is important, a bulk of the work lies in the economic profession. The
Ethiopian Economic Association is a professional association of economists
established in 1991. The main objective of the association is to contribute
towards the development of the country’s economy by encouraging research,
disseminating the findings of economic research through its various
publications, and organizing conferences and round tables to discuss
key economic policy issues.

In these activities,
the association not only has accumulated experiences over the past eight
years, but even more, it has proven to be the center of economic policy
discussions in the country. Furthermore, the association has recently
taken a major step in increasing its capacity to do research, publication
and training by establishing a research and advocacy think-tank, the
Ethiopian Economic Policy Research Institute (EEA/EEPRI) in order
to enable it to do such activities on a continuous and professional
basis.

Currently,
the institute has a fully equipped office space with seven full time
research staff (two Ph.D. levels and five M.Sc. levels) with wide experience
in their respective fields. (CVs of the full time professional staff
is attached as Annex 2 below) It also has a full time data base expert
and five full time support staff. Furthermore, the institute can deploy
the services of over 700 of the association’s members as the need
arises (almost all of them economists with a significant number of experts
in a wide range of specialized fields in economics). All this, we believe,
qualifies the EEA/EEPRI to undertake this important project successfully.

2.3. Organizational
structure and governance

As currently
envisioned, the project will be managed by a committee within the EEA/EEPRI
under the leadership of the director of the institute. A full time project
coordinator will be hired to follow the day-to-day activities of the
project for at least the first phase of the project and other required
personnel out side the institute will be employed on a short-term consultancy
basis for specific activities. Financial matters will be handled by
the finance department of the institute through a separate account opened
for this specific purpose and a separate audited account will be presented
to donors on an annual basis until the completion of the project.

2.4. Project
Location

As can be seen
from the list of activities above, the project will be implemented at
various locations. However, the center of operation of the project as
a whole will be here in Addis at the office of the EEA/EEPRI. Trainings,
workshops and public meetings will be held by renting appropriate facilities
according to the specific needs of the activity.

3. Outputs
and Programming

To meet the
objectives of the project, at least five interrelated activities will
be undertaken. These are: training, workshops, public meetings, media
teach-ins and preparation of a set of manuals and issue papers that
could be used for training and general public consumption. Specifically,
the following activities are envisaged:

3.1.
Kinds of activities to be undertaken by the project

a. Training

1. Training
of about 30-50 local journalists (government and private media) on the
PRSP and related issues (one week intensive training)

2. Training
of trainers of representatives from a number of local NGOs and associations
whose work is related to the PRSP (up to 50 people for at least a week)

3. Training
of a selected number of key parliamentarians from the ruling party and
the opposition on economic fundamentals and the PRSP process (about
30 members for at least three days)

b.1.
Workshops (In the PRSP formulation process)

1. Workshop
for labor union leaders on the PRSP and identifying labor issues in
the PRSP process ( 1-2 days in Addis and in at least two regions)

2. Workshop
for business leaders and chambers of commerce on the PRSP and identifying
the concerns of the business community in the PRSP process (1-2 days
in Addis and in at least two other regions)

3. A
one-day workshop for a larger group of parliamentarians (50-100) to
discuss the PRSP process and the role of parliament in the formulation
of PRSP

4. A
workshop for leaders of local NGOs on the PRSP and how to enhance their
participation in the preparation of PRSP and incorporate the concerns
of their constituency in the PRSP

b.
2. Workshops: (Repeat 1-4 above after adoption of PRSP for
monitoring implementation.

c.
Public meetings and discussions

1.Organize
a series of half a day teach-ins in public meetings in all the regions
to inform the public about the PRSP process and how to make its voice
heard in the process.

2.
Organize a series of discussions/debates between civil society institutions
and federal and regional government representatives on the PRSP including
visions about the strategy, cooperation in the formulation of the strategy
and its implementations.

d. Press
briefings and media use

Using
existing media (print and electronic) either free (if available) or
through buying advertising space or renting air time, conduct a series
of discussions on the media targeted to civil society, on the PRSP,
its meaning and potential value including the value of public participation
in the process to reach the wider public.

e. Preparing
issue papers in Amharic

These are important papers that could be used both as teaching materials
for the training and eventually for public consumption. In addition
to being written in Amharic, these materials shall be written in such
a way as to be accessible to a wide audience. They shall also be short
and attractive to the reader. We envision at least the following such
papers produced:

1. Explaining
the PRSP both as a strategy and its application to Ethiopia. It shall
contain a brief history of the initiative, its major objectives, the
process involved, the amount of money involved in the global package,
what Ethiopia expects to gain from the process in terms of designing
a good strategy and the material benefit that comes from a successful
completion of the package and the value of country ownership and public
participation.

2. A
short paper on poverty: its causes, its effects, poverty indicators,
how to fight poverty including the role of the individual, the state,
and society in general in this fight against poverty and the process
involved in monitoring the effects of a poverty reduction strategy on
the poor.

3. A
similar short paper on principles of macroeconomics and how an economy
works both from broad theoretical perspectives and in the Ethiopian
context

4. A
short paper about the budget: how it is prepared, what the various components
are, how these components are allocated, the parliamentary process involved
in making budget decisions, the sources of finance for the budget, what
the budget shows and does not show in relation to total government expenditure,
the expenditure process and monitoring budgetary expenditures.

5. A
short paper on the relationships between good governance, democratization
and economic development.

6. Other
papers depending upon need…

4. Project
Duration and training design

The totality
of the project is expected to take at least three years depending on
the time of completion of the full PRSP. The first year will be devoted
for activities related to the formulation of the strategy paper. The
second and third year activity will be devoted to the process of monitoring
the implementation of the completed PRSP. The design of the training
and a preliminary outline of the substance of the training are attached
as Annex 3 below.

5. Project
Budget

The total project
is estimated to cost 300,808.00 Pound out of this total budget about
10.14% or 30,498.00 Pound will be covered from the institute’s
own budget while the remaining 89.86% or 270,310 Pound is expected to
be raised from various donors interested in the PRSP process in Ethiopia.
The budget for the second and third years (phase 2) is very tentative
because it is too early to envision the full details of the activities
to be undertaken before fully evaluating the activities of the first
phase. It is expected that a discussion and budget proposal for the
second phase will be presented to donors after a complete evaluation
of the project at the end of the first phase. The detailed budget is
presented as Annex 1 below.

ANNEX
I: ESTIMATED BUDGET FOR THE PRSP PROJECT^*^*

Summary cost estimate in
Pound (first phase of the project; First year)

No.

Activities

Labor
requirement

Cost
breakdown detailes
Total Cost

EEPRI
Share
expected
from donors

Amount
In %
Amount
In %
1
Develop a project
proposal
Research Director(RD)
& Senior Researchers(SR),EEPRI
Cost of 2-weeks
part time labor spent on developing the research proposal

1,019.00

1019.00

100

——–

—-
2
Establish a project
coordination capacity

– Form
a project implementation committee…………………

– Place a full-time project
coordinator……………………….

– Laptop computer for the
coordinator……………………….

– Printer and photocopy service………………………………

– Place a full-time project
secretary…………………………..

– Project office supplies
(paper & stationary)…………………

– Prepare and disseminate
project brochure………………….

– Temporary office rent……………………………………….

– Regional facilitators of
project implementation…………….

– Transport and per-diem allowance
for regional facilitators…

– Transport
allowance for project administration…………….

RD
and SRs, EEPRI…………

One senior professional……..

———–

One professional secretary….

———–

Part
time labor cost spent by EEPRI staff……

Full-time one-year salary of
the coordinator….

Laptop computer for the coordinator…………

Use of EEPRI’s printer &
photocopy facilities.

Full-time one-year salary of
the secretary……

Auxiliary office equipment
and supplies…….

Printing cost of a brochure
about the project..

Two room office rent for one
year……………

0ne-month salary for 11 coordinators………..

500 USD per regional activities………………

Fuel cost and car rental……………………….

6,793.00

8,151.00

2,377.00

2,038.00

1,189.00

5,434.00

1,359.00

3,396.00

3,736.00

6,793.00

——–

100

———

8,151.00

2,377.00

2,038.00

1,189.00

5,434.00

1,359.00

3,396.00

3,736.00

6,793.00

—

100

3
Commission the
preparation of manuals on PRSP and related matters

–
Five Manuals described in the project doc……………… ..

– Translation into Amharic(national
lang.)……………………

– Publish manuals (2000 copies
each) in hard cover…….……

Five
experts & RD, SR,EEPRI..

Five professional translators…..

————

2038
pound/manual and part-time labor…

679 pound/manual……………………….

4075 pound/manual for five
manuals……

12,227.00

3,396.00

20,378.00

2,038.00

————

17

10,189.00

3,396.00

20,378.00

100

4
Provide training
on PRSP

I. Training programs

a) Training of about 30-50 journalists………………………..

b) Training
of about 30-50 key parliamentarians…………….

c) Training
of up to 50 trainers from NGO representatives….

d) Training
program(2) for about 30 regional representatives..

II. Training
support facilities

a) Training
hall facilities rental (6 days * 5)………………….

b)Duplicating
& binding training materials(issue papers,etc).

c) Meal &
refreshment during training ………………………

d) Transport,
hotel & per-diem for participants from regions..

Eight
resource persons & RD.

Eight resource persons &
RD.

Nine resource persons &
RD..

————-

679
pound/issue paper and first lecture………

136 pound/additional lecture………………….

136 pound /additional lecture…………………

679 pound/training program….………………

6.79 pound/ paper (6.79*40*5*8
papers)……

6.79 pound/day/participant
(6.79*200*6)……

169.8 pound/participant (60*169.8)…….……

5,774.00

1,426.00

1,562.00

3,125.00

3,396.00

10,868.00

8,151.00

10,189.00

1,019.00

340.00

475.00

951.00

———

4,755.00

1,086.00

1,087.00

2,174.00

3,396.00

10,868.00

8,151.00

10,189.00

100

5
Undertake workshops
and public meetings

– Organize a workshop for
labor union leaders……

– Organize a workshop for
parliamentarians………

– Organize a workshop for
NGOs and associations.

– Organize a workshop for
business representatives

– Undertake a public meeting(debate)
between represent. of civil societies
& federal government…

– Undertake public meetings(debates)in
each region

– Hall rental and refreshments…………………….

RD,
SR & three experts….

RD, SR & three experts….

4 C.S. & 2 gov. represen…

————

271.7
pound/expert & EEPRI staff contri. .

271.7 pound /expert & EEPRI
staff contri.

271.7 pound /expert & EEPRI
staff contr..

271.7 pound /expert & EEPRI
staff contri..

271.7 pound/representative
& EEPRI staff..

136 pound/representative &
EEPRI staff..

1019 pound/meeting for a total
of 16……

1,223.00

2,038.00

13,449.00

16,302.00

408.00

4,483.00

——-

815.00

1,630.00

8,966.00

16,302.00

100

6
Conduct discussions
and teach-ins in the media

i)Broadcast key PRSP
issues in FM radio

– Prepare 12 ten-minute messages………….

– Negotiate suitable air-time………………..

ii) Discuss key PRSP elements
on TV

– Undertake 12 ten-minute discussions……

– Negotiate suitable air-time………………..

iii)
Publish key articles on PRSP in news papers

– Prepare 12 articles on PRSP………………

– Negotiate column space
in news papers

Six
program writers……….

———–

Six program presenters……

———–

12 articles writers…………

————-

204 pound/ 20 min. program each …

10min./week for a total of
12 weeks………

408.00 pound/ 20 min. program
each ……

10min./week for a total of
12 weeks………

135.85 pound/article …….……………….

Full page/article on 12 news
papers……….

1,223.00

4,755.00

2,445.00

3,396.00

1,630.00

2,038.00

——–

1,223.00

4,755.00

2,445.00

3,396.00

1,630.00

2,038.00

100

Total cost

178,678.00
19,154.00
11
159,524.00
89

Summary cost estimate in
Pound (second phase of the project: 2^nd and
3^rd year)

No.

Activities

Labor
requirement

Cost
breakdown detailes
Total Cost

EEPRI
Share
expected
from donors

Amount
In %
Amount
In %
1
Translate, duplicate
& disseminate PRSP document

– Translate PRSP into national
language………….

– Produce
5000 copies of PRSP…………………………….

– Distribute copies at federal
and regional levels…………….

Two
professional translators…

———–

13.59/page
(10*100)……………………….

6.793/document…………………………….

0.679/document………………………………

1,359.00

33,963.00

3,396.00

——–

1,359.00

33,963.00

3,396.00

100

2
Produce expert
opinions on the PRSP’s sectoral, inter sectoral and overall development
implications

– Organize round-table discussions
on the PRSP implement..

– Publish discussion papers
in FOCUS……………………

15
experts & RD, SR,EEPRI..

EEA editor

340
pound/expert and EEPRI staff……..…..

EEA editor contribution…..……………….

6,792.00

1,019.00

1,698.00

1,019.00

100

5,094.00

——-

3
Provide training
on monitoring and evaluation of the PRSP implementation

I. Training programs

a) Training of about 30-50 journalists………………………..

b) Training
of about 30-50 key parliamentarians…………….

c) Training
of up to 50 trainers from NGO representatives….

d) Training
program(2) for about 30 regional representatives..

II. Training
support facilities

a) Training
hall facilities rental (6 days * 5)………………….

b) Duplicating
and binding background (issue) papers………

c) Meal &
refreshment during training ………………………

d) Transport
& per-diem for participants from regions………

Eight
resource persons & RD.

Eight resource persons &
RD.

Nine resource persons &
RD..

————-

679/issue
paper and first lecture………

136/additional lecture…………………..

136/training program……………………

3.4/ paper (5*40*8 papers)………………..

3.4/day/participant (3.4*200*6)…………….

101.9/participant (60*101.9)……………….

5,774.00

1,426.00

1,562.00

1,124.00

679.00

4,075.00

6,113.00

340.00

475.00

950.00

———

5,434.00

1,086.00

1,087.00

2,174.00

679.00

4,075.00

6,113.00

100

4
Undertake workshops
and public meetings on progress made in the PRSP implementation

– Organize a workshop with
labor union leaders…

– Organize a workshop with
parliamentarians……

– Organize a workshop with
NGOs and associations

– Organize a workshop with
business representative

– Undertake a public meeting
between represent. of civil societies
& federal government…

– Undertake public meetings
in each region

– Hall rental and refreshments…………………….

RD,
SR & three experts….

RD, SR & three experts….

4 C.S. & 2 gov. represen…

————

271.7/expert
& EEPRI staff contri. ……

271.7/expert & EEPRI staff
contri. ……

271.7/expert & EEPRI staff
contri……

271.7/expert & EEPRI staff
contri. ……

271.7/representative &
EEPRI staff……

136/representative & EEPRI
staff……

1015.6/meeting for a total
of 16……….

1,223.00

2,038.00

13,449.00

16,302.00

408.00

4,483.00

——-

815.00

1,630.00

8,966.00

16,302.00

100

5
Conduct PRSP implementation
assessment in the media

i)Broadcast key PRSP
issues in FM radio

– Prepare 12 ten-minute messages………….

– Negotiate suitable air-time………………..

ii) Discuss key PRSP elements
on TV

– Undertake 12 ten-minute discussions……

– Negotiate suitable air-time………………..

iii)
Publish key articles on PRSP in news papers

– Prepare 12 articles on PRSP………………

– Negotiate column space
in news papers

Six
program writers……….

———–

Six program presenters……

———–

12 articles writers…………

————-

211/
20 min. program each …………

10min./week for a total of
12 weeks………

422/ 20 min. program each …………

10min./week for a total of
12 weeks………

136/article …………………………..

Full page/article on 12 news
papers……….

1,223.00

4,755.00

2,445.00

3,396.00

1,630.00

2,038.00

——–

1,223.00

4,755.00

2,445.00

3,396.00

1,630.00

2,038.00

100

Total cost

122,130.00
11,344.00
9
110,786.0
91

Overall project
cost

300,808.00
30,498.00
10
270,310.0
90

Annex II. Summery
of EEA/EEPRI Research and Support staff

No.
Name
Institutional
Title
Education
and Field
Experience

I. Full time Research
Staff
1.
Berhanu
Nega
Director
Ph.D.
, Economics, the New School for Social Research U.S.A
11
years Teaching and Research
2.
Getachew
Asgedom
Senior
Researcher (Agriculture and Related areas)
Ph.D.,
in Econometrics University of New England Armidale, Australia
12
years

Teaching and Research

3.
Getahun
Tafesse
Senior
Researcher (Poverty and Human Resource)
M.Sc.
Degree in Social Policy and Planning in Developing Countries

London School of Economics,
London University, U.K

14
years as an Expert and Senior Expert in Policy planning and implementation
4.
Daniel
Assefa
Assistant
Researcher (Poverty and Human Resource

M.Sc.,
Human Resource Economics

Addis Ababa University

5
years as an expert, Training Secretary and Project coordinator
5.
Elias
Kedir
Assistant
Researcher (Trade and Industry)

M.Sc.
in Economic Policy Analysis

Addis Ababa University

5
years as an analyst and Lecturer
6.
Paulos
Gutema
Assistant
Researcher (Agriculture and Related Areas)
M.Sc.
in Economic Policy , Addis Ababa University
15
years
7.
Daniel
Aklilu
Database
System Expert
B.Sc.
in Statistics, Addis Ababa University
4
years as Computer Trainer and Programmer
Under
Recruitment
8.
–
Senior
Researcher (Trade and Industry)
–
–
No.
Name
Institutional
Title
Education
and Field
Experience

II. Full time Administrative
Professional Staff
1.
Abera Bejiga
Head,
Administration and Finance
B.Sc.
in Accounting from Addis Ababa University
20
years as Administration and Finance Head
2.
Rahel Yilma
Publication
Assistant
M.
Sc. in Petroleum Economics
13
years in Different positions
3.
Bruktawit Mengesha
Executive
Secretary/Administrator
Diploma
in Secretarial Science and Office management
5
years as a Secretary
III.
Full time Administrative Non-professional staff
1.
Metasebia Zelalem
Membership
Administrator
12
complete and Computer Diploma
1
year and 9 months
2.
Hiwot Kassa
Affairs
Executioner
12
complete and Computer Diploma
5
years in the field
IV.
Full time Administrative Professional Supporting Staff Under Recruitment

1.
–
Librarian
–
–
2.
–
Assistant
Secretary
–
–

* Curriculum Vitae are available
upon request.

ANNEX III:
MANUALS, TRAINING DESIGN AND COURSE OUTLINE

I. Manuals
and Issue Papers

The following
manuals will be prepared for wide distribution in English and Amharic.

Manual
on the Concepts and Measurement of Poverty, Inequality, Risk and Vulnerability

The concept
of poverty in the context of the trend in development thinking

The definitions
of poverty, inequality, risk and vulnerability

The methodologies
of poverty measurement and assessment of risk & vulnerability

Characteristics
of poverty and its causes

The social
and economic effects of poverty, inequality, risk and vulnerability

Indicators
of poverty, inequality, risk and vulnerability

Manual
on the Concepts of Democracy and Development

Is democratization
necessary for economic development?

The process
of democratization

Good governance

Peoples’
participation

Indicators
of democracy and good governance

Development
as freedom

Manual
on the Poverty Reduction Strategy Paper (PRSP)

Background on the history and concept
of PRSP

A note on International Development
Targets

How
to undertake a diagnostic review of the poverty situation

The relationship
between public policy and poverty reduction (the transmission mechanism:
Macro ®
Meso ®Micro)

Elements
of a strategy

PRSP as
a growth strategy (PRSP, Macroeconomic fundamentals and economic growth)

Monitoring
and evaluating the strategy

Manual
on the public budget, expenditure and monitoring processes

Budgets,
Budget deficits, and their relationship with macroeconomic stability

How public
revenue is generated

The budget
preparation process and its components

The process
of identifying priority sectors and expenditure items

Public
expenditure monitoring and evaluation system

Manual
on the Ethiopian economy

The
structure of the Ethiopian economy

Economic
agents and their role in the economy

Planning
and policy formulation processes

The
state of socio-economic development and its indicators

Inter
linkages and relationships among various economic variables

The
root causes of underdevelopment

The
development resource potential of the country

Elements
of a stable macroeconomic environment

II. Training
Design

Training format

Two types of
training will be conducted. One targeting beneficiaries directly and
the other indirectly through training of trainers. In direct training
of beneficiaries, the focus will be on specific contents and issues
while in training of trainers a general approach to processes of understanding
contents and identifying issues will be the main focus of the training.
The trainers will also be trained in the design, objectives and implementation
processes of this project and encouraged to adopt the overall approach
to their respective constituencies.

Training will
be provided in the form of tutorial lecture supported by a variety of
training instruments rather than one-way teaching. Extreme care
will be taken in identifying resource persons that have not only thorough
knowledge of concepts and issues but also a good understanding of the
Ethiopian economy and ability to use and apply the Ethiopian context.
Trainees will be provided with necessary materials (issue papers and
manuals) in advance of the training and encouraged to make the necessary
preparation for active participation during the training. Participants
will be encouraged to ask questions and debate on issues, while guided
by the resource person to reach on consensuses that accommodate and
respect different opinions. Trainers will be experienced teachers at
a university level.

In the preparation
of the training materials, maximum effort will be made to explain subjects
in the context of Ethiopia. The materials will be prepared in easily
understandable phrases and short statements that avoid abstract and
jargon words. Similarly, the resource persons are encouraged to
use local examples in making and illustrating points. Lectures, in as
much as possible, will be accompanied by visual displays of charts and
diagrams including video shows. Whenever convenient, group discussions
and exercises will be used to complement lectures.

Preliminary
Course Design

Each training
program will have the following core subjects of study for which a short
issue paper will be prepared: –

Day
1: Basic Macroeconomics and the Ethiopian Economy

a) How does
an economy work? What are the key assumptions about the behavior of
economic agents?

b) Basic
Principles of macroeconomics

c) The role
of government in the economy

d) Determinants
of economic growth in developing countries

Day
2: The Ethiopian Economy

a) The structure
of the Ethiopian Economy

b) Economic
performance over the past four decades

c) Organization
of the economy under the Imperial, Derge and current regimes and their
underlying philosophies

d) Globalization
and its effect on the Ethiopian economy

Day
3: Poverty in Ethiopia

a) Concepts
of poverty and its measurements

b) The dynamics
and characteristics of poverty in Ethiopia

c) Inequality,
risk and vulnerability in Ethiopia

d) Policy
instruments for poverty reduction

e) Poverty
reduction measures and the requirements of macroeconomic stability (conflicts
and complementarities)

Day
4: The Poverty Reduction Strategy Paper

a) International
Development Targets

b) PRSP
and the enhanced HIPC; History, underlying philosophy and basic concepts

c) Ethiopia’s
potential benefit from the initiative

d) The PRSP
process and the value of public participation

Day
5: Formulating a Strategy and including the concerns of specific constituencies
in the strategy

a) What
the final PRSP would look like

b) Approaches
to formulating the strategy

c) Identifying
areas in the strategy for inclusion to reflect interests of specific
constituencies

Day
6: Strategies for effective public participation

a) Public
participation, Democracy and economic development

b) Good
governance and economic development

c) Strategies
for effective public participation

Issue Papers
to be Prepared

1.
PRSP background, objectives, content and processes

2.
Concepts of poverty and its measurement methodologies

3.
Inequalities, Risk and Vulnerability

4.
Good governance, democracy and development

5.
The principles of basic economics

6.
Basic structures of the Ethiopian economy

7.
The dynamics and characteristics of poverty in Ethiopia

8.
Steps and approaches in formulating a strategy

Implementation
procedures

The implementation
committee of the project needs to be established up on the approval
of the project by donors. The committee is expected to hold regular
meetings, at least once a week following the commencement of the project
implementation. The committee will decide on all major aspects
of the project implementation including the selection and hiring of
a project coordinator and training resource persons, work plan and budget
revisions and update.

Placement of
additional project staff will follow the institute’s regular procedure
of hiring temporary staff. Job positions will be advertised in
advance and applications reviewed and short-listed before interview
and selection. The institute’s interview rating format will
be used to rank short-listed applicants.

In as much
as possible training materials need to be prepared by the resource persons
who will be providing the training. The training materials need to be
reviewed and approved by the project implementation committee.
The committee will identify relevant beneficiaries and also decide on
the size and composition of trainees for a given training. The
committee may also decide to provide training on demand, subject to
considerations of relevance and appropriateness.

Potential beneficiaries
and participants of project activities will be approached directly and
through formal letters. This should be followed by detailed discussions
with the representatives of the beneficiaries to accommodate their needs
in the training design and finalize the details of the training including
duration, place, format and so on.

Mid-project
implementation, a workshop will be organized to discuss progress in
implementation, achievement and constraints with concerned individuals,
representatives of project beneficiaries and donors. Monitoring
and evaluation instruments incorporated in the project design will be
used to prepare progress reports and evaluate the status of the project.
Quarterly progress reports will also be submitted to donors with whom
the committee will undertake bi-annual meetings.

ANNEX III:
PROJECT IMPLEMENTATION MONITORING SYSTEM

No.
ACTIVITIES
MONITORING SYSTEM
INDICATORS
1
Overall project administration
& supervision
A committee comprising the
Director, Senior Researcher and Administrative Officer of the Institute
will be established
Minutes of monthly meetings
of the committee
2
Establishing a project coordination
capacity
A project coordination office
will be established
Recruitment of a project coordinator
and renting of an office
3
Preparation of manuals
Contract evaluation and review
of draft manuals by senior staff of the Institute and conducting workshops
on final draft manuals

4
Training on the PRSP
Identification of appropriate
trainers who have the requisite experience and qualification

Training evaluation
questionnaire will be developed and implemented

The mixture of trainees

Feed back questionnaires
filled by trainees

5
Monitoring project implementation
progress
Regular(quarterly) reports
prepared for the project financer by the project coordinating committee

Organization
of a mid-term project evaluation workshop

^*
A preliminary draft.

¹
In 1996, the Bank and the Fund classified 41countries as heavily indebted
poor countries. This included, for analytical purposes 32 countries
with a 1993 GNP per capita of $695 or less and 1993 present value of
debt to exports higher than 220 per cent or present value of debt to
GNP higher than 80 percent. Also included were nine countries that received,
or were eligible for, concessional debt rescheduling from bilateral
creditors. In 1998, Nigeria no longer met the criteria, and Malawi was
added. In 1999 the number of countries was reduced to 40 because Equatorial
Guinea no longer met the criteria for “low income” or “heavily
indebted.” By September 2000, the number has gone back to forty-one.
Thirty-three of the forty-one countries are in Africa while thirty-two
are in sub-Saharan Africa. See IMF “ Debt Initiative for the Heavily
Indebted Poor Countries (HIPCs): A fact sheet, September, 2000. See
also United States General Accounting Office, “Developing Countries:
Debt Relief Initiative for Poor Countries Faces Challenges.” GAO/NSIAD-00-161,
June 2000, p.8 and note 6, p. 11.

²
The World Bank Group and The International Monetary Fund, Memorandum
to Members of the International Monetary and Financial Committee and
Members of the Development Committee on “Progress Reports on Heavily
Indebted Poor Countries (HIPC) and Poverty Reduction Strategy Papers
(PRSPs)”, April 15, 2000, p.1.

³
Institute of Development Studies, Policy Briefing, Issue 13, April 2000,
p.1.

^** The second phase budget is highly
tentative and should be taken as a rough indicator. The activities to
be undertaken in the implementation phase shall be informed by the experiences
of the first phase of the project. It is for example assumed that the
project will not need a full time staff and an office after the first
year. But, this could change after evaluation of the first year experience.
A more precise budget will be prepared and negotiated with donors once
the first phase is completed and evaluated.

Ethiopian Economic Association/Ethiopian Economic Policy Research Institute

ANNEX III: MANUALS, TRAINING DESIGN AND COURSE OUTLINE

Day 1: Basic Macroeconomics and the Ethiopian Economy

Day 2: The Ethiopian Economy

Day 3: Poverty in Ethiopia

Day 4: The Poverty Reduction Strategy Paper

Day 6: Strategies for effective public participation

Issue Papers to be Prepared

ANNEX III: PROJECT IMPLEMENTATION MONITORING SYSTEM

Ethiopian
Economic Association/Ethiopian Economic Policy Research Institute

ANNEX III:
MANUALS, TRAINING DESIGN AND COURSE OUTLINE

Day
1: Basic Macroeconomics and the Ethiopian Economy

Day
2: The Ethiopian Economy

Day
3: Poverty in Ethiopia

Day
4: The Poverty Reduction Strategy Paper

Day
6: Strategies for effective public participation

Issue Papers
to be Prepared

ANNEX III:
PROJECT IMPLEMENTATION MONITORING SYSTEM