Course Contents

Course Outline 1. Introduction  Definition of a project- relationship between plans and projects, Project cycles and its stages, Project appraisal: financial, economic and social appraisal of projects, Methods and techniques of appraisal. (Gittenger) 2. Undiscounted methods  Ranking by inspection, Payback period, Proceeds per unit of outlay, Average annual proceeds per unit of outlay. (Gittenger) 3. Discounted methods  Net present value  Internal rate of return  Benefit cost ratio 4. Ranking Problem 5. Sensitivity Analysis 6. Economic Appraisal  Need and rationale 7. Evaluation of Secondary costs and benefits. Concept and need of Shadow Prices, The Little-Mirlees Approach, The economic valuation of commodities. 8. The valuation of factors of production. 9. Social Appraisal; other objectives in project appraisal, income weighing, distributional effects with respect to region and the nation, Project evaluation. 10. Project Implementation Techniques, PERT and CPM. 11. Planning machinery in Pakistan, Introduction to PC-I, II, III, IV, V performance, Feasibility study and preparation of PC- II. 12. Reasons for Project failure in Pakistan.

Course Synopsis

A Project Appraisal involves detailed pre-investment analysis of market & technical feasibility, financial soundness, economic desirability and, finally, measuring its investment worth. The task aims mainly at ensuring that scarce resources are put to most effective use. This course also aims at explaining planning machinery in Pakistan and planning commission performas.

Course Learning Outcomes

 After the completion of this course students will be clear that how projects are selected and evaluated.  Students will be able to see that why projects fail in Pakistan.