Trino, R. D. S. (2015). Evaluation mechanism for DBP's official development assistance portfolio (Unpublished master's thesis). Public Management Development Program, Development Academy of the Philippines.

Public Management Development Program Middle Managers Class Batch 6 Thesis (MMC)--Development Academy of the Philippines.

The Re-Entry Project (ReP) addresses the problem of unrelent funds within the institutions which persist despite the reduced balance of said funds from 2014 until April of 2015. The problem remains a pressing matter as it means funds remain unutilized for projects of local government units, small and medium enterprises, water districts, electric cooperatives, among others. Further, it also poses a threat to financial viability as it opens the possibility of negative carry for the Bank. In addressing the problem, an evaluation process was established within the Fund Sourcing Department. It aimed to augment the existing fund monitoring and administration activities by incorporating the financial evaluation or assessment of ODA and Non-ODA funds which included (1) financial analysis which covers the projected cash flow, income and expense of each ODA or Non-ODA fund, (2) analysis of contributing factors of utilization of each fund, (3) analysis of options or recommendations to in managing the fund, (4) feedback or reporting to the Management, and (5) implementation of the recommended action. After the three-month implementation period, the scholar was able to deliver the following outputs vis-a-vis the required deliverable of "draft section of the Desk Manual endorsed by the Fund Sourcing Head to the Sector Head": 1. Updated Fund Sourcing Desk Manual. The schoalr was able to secure the necessary approval on the incorporation of the financial evaluation process in the Desk Manual which contains the official tasks, duties and responsibilities of the Department. The Desk Manual was subsequently revised, updated and uploaded by the Process Management Department. 2. ODA Financial Evaluation Manual. Sai Manual contains the objectives, people involved, detailed process and tools in conducting the evaluation such as the templates and spreadsheets which were developed by the scholar and her team. It is currently available for reference of existing and future Fund Sourcing Account Officers through the Departments computer network. 3. Tools in conducting the evaluation. The scholar and her team were able to develop various tools particularly spreadsheets which aided in the actual testing of the evaluation process. Said spreadsheets are the following: a. Projected Cash Flow, Income and Expense. This aids the Department in effectively monitoring the movement of funds of a certain ODA facility. It allows identification of the current and future levels of funds available for relending thereby ensuring its sufficiency to meet the funding requirements of borrowers. It also allows identification of facilities which are ripe for pre-termination and the need to source new funds. b. Consolidated Projected ODA Profit and Loss. This consolidates the projected cash flow, income and expense of all spreadsheets and is patterned after the Actual ODA Profit and Loss Report of the Department. c. Loan Amortization Calculator. This aids in estimating the projected principal and interest collections given a future loan release of a certain account. This serves as an input of the projected cash flow analysis which plots movement of the Loans Receivable and Unrelent Funds. d. Status of Second Generation Funds. This serves as a monitoring tool for the projects lined up for financing under a Second Generation Fund or ODA/Non-ODAs that are beyond the availment period from the Funders. 4. Draft Financial Assessment of ODAs and Non-ODAs for CY 2015. The scholar and her team conducted testing of the evaluation process on the twenty-seven (27) ODAs and Non-ODAs in the Bank's portfolio. The team produced 27 separate Project Cash Flow, Income and Expense Analysis and a consolidated projected ODA and non-ODA profit and loss which resulted to a draft Financial Assessment of ODAs and Non-ODAs for CY 2015. Some of the recommendations include pre-termination of World Bank- Regional Infrastructure for Growth Project and the JICA Domestic Shipping Modernization Program II. Proposed pre-termination is expected to generate savings of up to P000.00 Million in interest expense. Further, as a result of the conducted evaluation, it was determined that a number of new and renewable energy projects are pipelined in the Marketing Units which require long-term funding. The project was able to identify which ODAs can cater to said projects and determine fund availability and sufficiency in time for the projected release dates. Said identified ODAs are JICA-funded loans namely, Environmental Development Program and Environmental Infrastructure Support Credit Program which are expected to be fully utilized in the near future. Further, the projected also resulted to discussions on possibility of sourcing new loans to cater to the bulk of the funding requirements of the Marketing Units.