The main conclusions of the Mid-Term Review of the LGCDP were that the LGCDP was a timely response to the post-conflict scene in Nepal, and must be lauded for the way it brought Development Partners together in a programmatic effort in a field that was very fragmented. Evidently the program was very ambitious, and it has not been possible to implement it as designed. It seemed politically important at the time to proceed while the program was still being developed. However, channelling more funds to Local Bodies s without the checks and balances of the anticipated demand side and sufficient supply side capacity development has left the program in a highly vulnerable position. Project quality is threatened and fiduciary risk is high. The LGCDP needs to refocus, shedding some activities while giving more attention to the demand side and reducing fiduciary risk. The full impact of the demand side will not be felt until past the current end of program date. Ideally, the program will be extended, but it must show fairly soon that it can realize the promise of its bold and unique design.