Determinants of project sustainability: The case of NGO projects in West Arsi Zone

Abstract

This thesis analyses sustainability of NGOs implemented projects phased out since 2015. In order to achieve this objective, descriptive analysis and econometric model were carried out. The study were employed both primary and secondary data sources where primary data was collected from sampled target beneficiaries using structured questionnaire whereas the secondary data was collected from published and unpolished sources. The target population was 11,626 beneficiaries addressed by NGO implemented that get phase out in the past five years (2014-2019) out of which 240 sample respondents were drawn based on probability proportion to sample. Descriptive analysis was used to describe the socio-economic and demographic characteristics of sample project beneficiaries. Key informant interview was done using two person per each project sampled for the study with a composition of officer and focal person from line project signatory offices. To draw conclusion about population under the study, different tests were undertaken for critical assumption of statistical analysis. The result of tests for assumptions between variables shows that the data is adequate to run regressions. From the result of the study, educational level of NGOs implemented project beneficiaries, community contribution (money, labor, and local materials, price/cost of project inputs, government involvement and follow up in project after phase out of donors, complementing effort from government and execution of planned exit strategies throughout the whole project life are variables that influence sustainability of projects implemented by NGOs. It can be recommended that more effective project sustainability results can be achieved through execution of planned project exit strategies throughout the whole project life. Moreover, the finding of the study encourage government to endeavor design and in place of exit strategies, follow up its execution and ensure accountability system if any failure could happen