The objectives of the project - a credit of US$ 28.5 million equivalent over the period 2001-05 - were to: (i) improve decentralized local government and capacity; (ii) establish participatory and decentralized mechanisms for selecting, funding and implementing rural community investment programs; (iii) strengthen national institutions supporting decentralization; and (iv) implement basic infrastructure in a selected number of rural communities. The project was designed as an Adaptable Program of Lending (APL) to support a three-phase program over a 12-year period. The first 4-year period would be used to test and establish mechanisms for sustainable decentralized infrastructure planning and implementation, strengthen the capacity of rural communities to operate and maintain investments and reinforce national institutions responsible for decentralization. The first phase was also to include a program to improve intra-rural community roads and to test maintenance strategies.