Participation and sustainability in social projects: the experience of theLocal Development Programme (PRODEL) in Nicaragua

This paper describes the work of the Local Development Programme (PRODEL) i ll eight cities in Nicaragua where it provided small grants for infrastruct ure and community works projects, and loans for housing improvement and mic ro-enterprises, targeted at low-income groups. The external funds provided by the Swedish International Development Cooperation Agency (Sida) were mat ched by municipal, community and household contributions. Between 1994 and 1998, more than 38,000 households benefited, and both loan programmes achie ved good levels of cost recovery. The paper describes the micro-planning wo rkshops and other methodologies through which households and communities we re given move scope for participation. It explains how local governments an d the bank responsible for managing the loans learned to work in a more par ticipatory way and it outlines the measures taken to ensure that the needs and priorities of women and children were addressed. The rarer ends by cons idering some of the lessons learned in terms of sustaining the initiatives after projects are completed, and institutionalizing citizen participation in social programmes. It also describes how PRODEL's methods have come to b e used by central and local governments ill other programmes.