2.2. Budget allocation

Risks

• The cost estimations are not appropriate, and budget allocated for the project is either too high or too low. As a result of underbudgeted project, extra costs appear during project implementation.
• The partner does not live up to its part of the deal (for example co-financing is not ensured).

Good practice

• Include in the project budget all the necessary items based on acceptable standards and market prices.
• Regularly monitor implementation of the financial commitments of the partner.