Reviewing 119 projects under implementation, the 1998 PPR points to institutional capacity, government commitment, and monitoring as critical factors for sustaining results.

The 1998 Project Performance Report presents findings from the Project Implementation Review, which examined 119 projects active for at least one year as of June 1998, and incorporated lessons from evaluations and studies across the GEF portfolio.

Agencies rated 28 percent of projects highly satisfactory and 59 percent satisfactory, while 13 percent faced shortcomings linked to limited institutional capacity, weak government commitment, procurement delays, and changing market conditions.

Although ratings improved for more projects than declined compared to 1997, sustaining results after GEF funding ended proved more difficult than expected. The review highlights that many monitoring systems lacked clear indicators linking goals, objectives, and outputs, focusing instead on processes and outputs rather than results. Sustained global benefits often depended on policy incentives, reliable funding, strong stakeholder participation, and institutional capacity to carry forward activities.

The report recommends adopting longer-term, more flexible project approaches, broadening definitions of leveraging to reflect financial and catalytic effects, and tailoring project design to identified capacity-building needs. It also calls for stronger indicators to measure knowledge application, thematic reviews in key focal areas, and greater dissemination of evaluation findings to inform project design.