Ensuring projects deliver long- and short-term viability

The objective of this module is to examine the economic and financial sustainability of projects. This module addresses the question of whether projects generate lasting value by balancing short-term costs with long-term benefits. It also considers the short- and long-term fiscal and budgetary viability of projects. The success of this venture depends on financial health metrics and economic indicators that assess the efficiency of funding structures, operational profitability, and the sustainability of asset revenue streams throughout the project lifecycle.

Key Metrics:

• Life-cycle cost analysis: Monitoring operational, maintenance, and capital expenditure throughout the asset life cycle.
• Cost benefit analysis: Assessing net benefits and costs associated with projects.
• Multiyear budget: Assessing budget projections for the entirety of the implementation period.
• Asset lifetime: Assessing the impact of an asset over its expected lifespan.
• Maintenance plan or programme: Evaluating anticipated maintenance procedures to prevent asset breakdown or malfunctioning.

This module guarantees that projects are not only “shovel-ready” but also financially responsible, thereby delivering long-term benefits for both investors and citizens.

Technical guidance on how to implement the data points can be found here.