Nacala Road Corridor - TradeMark Southern Africa

within six months after the end of each fiscal year. Further details on financial management anddisbursement details are provided in Annex B.5. The Financial Audit Arrangements are describedin Annex B.6.Disbursements4.2.3. The Direct Payment Disbursement Method will be used for all Project components.Disbursement requests will be managed by NRFA. All disbursements from ADF will follow theprocedures and standard supporting documents outlined in AfDB’s Disbursement Handbook.4.3 Monitoring4.3.1 The Executing Agency will, with the support of the Technical Auditor, monitor technicalcompliance of the works performed by the contractor and the construction supervision consultant.The Executing Agency shall also regularly provide ADF with quarterly progress reports for theProject, including the implementation of the Environmental and Social Management Action Plan,in the format established under the PPMS covering all Project activities. Funding for thedevelopment of the PPMS is included as sub-component two under the ISCB component. Asummary of the Project monitoring timeframe and process is included in Table B.3.1 in Annex B.3.4.3.2 AfDB’s Field Offices will assist in the monitoring and evaluation of the Phases of theNRCP which falls within their respective country. Both MZFO and MWFO are playing importantroles in the implementation of NRCP, Phase I. ZMFO has been actively involved in the preparationof NRCP, Phase II and it’s contribution will continue during implementation. All three field officeswill be involved in the preparation of NRCP, Phase III and thus ensure that lessons learned fromimplementation of earlier Phases are adequately addressed.4.4 Governance4.4.1 The Project is being processed in a period where governance is at the forefront of sectorissues in Zambia. In line with the recommendations of AfDB’s Guidance Note “Addressing SectorGovernance and Corruption Risk in Infrastructure Projects” (March 2010), project preparatorywork has been undertaken within the context of an intense dialogue with Zambia and DPs active inthe sector. The governance situation has provided an opportunity for Zambia to demonstrate itsstrong commitment to overcome governance challenges in the road sector and has created awindow of opportunity for institutionalizing new standards of transparency and governance in thesector. The Project will contribute to these efforts through the ISCB component, which is structuredto (i) offer institutional support to RDA for the implementation and monitoring of the Project(subcomponents one and two); and (ii) directly address some of RDA’s capacity needs as identifiedin the Auditor General’s reports (subcomponent three), i.e. general capacity building in the area ofprocurement and contract management. To ensure that the lessons to be learned from the AuditorGeneral’s technical audit – particularly as they relate to the quality of the works – are fullyaddressed, the Project also provides for regular technical audits (further details are in Annex A.12)throughout Project implementation. The work and time schedule for the technical audit is to bealigned with AfDB’s schedule for supervision of Project implementation. The ISCB TOR has beendesigned to enable complementary capacity building support from co-financing DPs, for instance inthe area of planning and quality control. ISCB, sub-component one, B includes contractmanagement assistance for the entire NRCP, Phase II and is a direct expression of the “one-project”approach applied by the co-financing DPs in Project preparation. The support provided under the16