2. The first CCF was conceptualized and developed concurrently with the formulation of the National Development Strategy (NDS) - the countrys long-term strategic plan, and the Economic and Social Reform Agenda (ESRA I)  short-term reform measures. ESRA I was launched in February 1997. The final draft NDS was completed in September 1997. Together they provided a solid base for the content of the first CCF. ESRA I was concluded in December 1998 with a subsequent phase, ESRA II, which was officially announced in August 1999. The draft NDS was officially launched in August 1999 along with ESRA II, paving the way for its operationalization. The one-year extension of the CCF is to allow a more effective convergence of the programming process into the NDS and ESRA implementation. The existing thrusts of the first CCF remain relevant.

3. Moreover, the extension will enable the harmonization of programming cycles among UNDP, UNICEF and possibly UNFPA, commencing in January 2001. UNFPAs current cycle runs into 2002; however, at the mid-term review planned for 2000, phasing into the 2001-2005 programme cycle will be considered.

4. The overall development goal is to alleviate poverty. Two areas of focus have been selected, i.e., strengthening capacity to promote good governance and promoting sustainable livelihoods. The good governance programme aims at building national capacity for sound management of the political transition process and for strategic management of socio-economic development, while bringing about effective and transparent interaction between traditional and modern systems of governance. Particular emphasis is placed on the empowerment of civil society. The sustainable livelihoods programme is designed based on the countrys strategy to fight poverty by creating an enabling environment in which disadvantaged groups of the society, particularly women, the rural poor, people with disabilities and with HIV/AIDS, can take advantages of an increased number of opportunities for sustainable livelihoods. Small and micro enterprise development, more effective natural resources management and disaster management and preparedness are addressed under the programme.