Improving Transport Project Appraisals
In the Islamic Countries
120
Figure 7.2: Forecasted growth of traffic demand in Maputo, Mozambique
Source: Transport Master Plan for the Greater Maputo
7.7 Result of project appraisal
Use of results
Project appraisal is used to provide a justification for individual project selection/decision in the
feasibility phase. In this case, where CBA is usually the appliedmethodology, a positive economic
NPV, an ERR higher than the adopted discount rate, and a benefit/cost ratio higher than 1
reflects a positive welfare change for the whole society brought about by the project, which
supports a justification for funding.
However, prioritization of projects within a specific programme is also done. This is for example
the case in the Transport Master Plan for Greater Maputo, where a number of priority projects
are proposed.
7.8 Follow-up and learning
Monitoring and evaluation is undertaken by the Executing Agency. In case of road projects,
monitoring is done by the ANE. Monthly reports are prepared that include physical, financial,
social and environmental indicators. Furthermore, the reports highlight key issues and problem
areas and recommend action plans to resolve the identified bottlenecks.
7.9 Conclusions and recommendations
Conclusions
There is a lack of well-defined legal requirement to prepare project appraisals for transport
projects in Mozambique. The AfDB found that significant deviations exist in Mozambique’s
legislative and regulatory systems when comparing it to international best practices.