Under this project, following components are expected to be implemented, (a) improvement of local government infrastructure and service delivery in effective and efficient manner, (b) Local government policy reform and capacity building support for institutionalization of new systems in simplified taxation, licensing, and transparent approval systems while updating the capacities of Local Governments to manage these systems and (c) Project management and administration support.

Accordingly, at the end of the programme, the Local Authorities will be more accountable and financially and technically strengthened to deliver their services efficiently and effectively.

The subproject coordinating units proposed to be established in each Local Government Commissioner’s office in each Province under the supervision of the Ministry of Local Government & Provincial Councils and these units will perform as the project implementing agencies.

The total investment cost of this project is US$ 68.77 million (Rs. 7564 million). It includes a loan of US$ 59 million (Rs. 6490 million) from the Asian Development Fund (ADF) while US$ 9.77 million (Rs. 1074 million) will be provided by the Government.
The Project is scheduled to be completed by 30th June 2015.