Results: Projects in Action

Agriculture  | Infrastructure | Social Development

Agriculture

The Sierra Natural Resources Management and Poverty Alleviation Project(PRONAMACHCS)    benefited 125 watershed basins, which are home to 75,000 families living in the Peruvian highlands. Combining modern farming and conservation with ancient tools and practices, this project helped restore traditional ecosystems and started new businesses in regions formerly torn by guerrilla warfare. Active participation by villagers not only made possible the rebuilding of pre-Hispanic terraces and irrigation systems, but also strengthened community organizations and promoted self-sufficiency. The project helped farmers to establish resource management committees and integrate environmentally sound practices into their farming and forestry activities. By donating their labor, community members played a crucial role in the choice, design, and execution of these projects and contributed about 30 percent of the cost. Investments in micro-projects increased rural productivity and provided these communities with sustainable sources of income. Because these are profit-making businesses, they have acquired a momentum of their own and have been copied by others without project support. The successful group of women who transformed their cactus sugar production into a commercial venture is an inspiring example. With initial help from PRONAMACHCS staff, they were trained in management, marketing, and quality control which enabled them to standardize their product and achieve larger volumes. They now operate a small warehouse and sell to traders who haul their sugar to town markets.

Infrastructure

For people living in isolated villages in Peru's mountain areas, traveling has long been a challenge: treacherous terrain has impeded access to bigger towns and needed services. A visit to the doctor or a trip to the local market was often impossible. The Rural Roads Rehabilitation and Maintenance Project, approved in 1995, has connected remote towns to market centers and thus helped reduce poverty by creating jobs and encouraging community-based initiatives. Upon completion of the first project in 2000, over 7,000 miles of rural highways and 1,900 miles of paths for non-motorized transportation had been rehabilitated in the departments of Ancash, Apurimac, Ayacucho, Cajamarca, Cusco, Huancavelica, Huanuco, Junín, Madre de Dios, Pasco, Puno and San Martín. About three million people in the Andean region are now reaping the benefits of this expansion and rehabilitation.

Expanding water service is a challenge in Peru's urban and rural areas. The Lima Water Rehabilitation and Management Project supported with two loans of $150 million and $60 million respectively, is expanding water and sanitation services to 600,000 urban poor, rehabilitating water supply and sanitation networks and wells, promoting water conservation, and improving efficiency and service provided by the water utility, Servicio de Agua Potable y Alcantarillado de Lima.

Social Development

The Second Social Development and Compensation Fund Project had a significant impact on education, health, and household welfare in Peru. Its objective was to support the government's poverty reduction strategy through FONCODES (National Fund for Compensation and Development) and to target its investments to the poorest areas and population groups in the country. Between 1997 and June 2000, FONCODES financed a total of 14,398 projects.

Specific accomplishments include:

· Education: Primary schools enrolled an average of 34 additional children per institution, offered 1.6 new grades at each school and more than doubled the number of teachers. On average, one new classroom became available per school and the total number of school years achieved per child increased 0.2 years.

· Water and sanitation: The incidence of diarrhea dropped by 3% and mortality rates in children younger than 5 years old dropped by 2.4%. In addition, water projects had a significant impact on the time spent fetching water.

Learn more about  How the World Bank Measures Results.

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