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Capacity development (CD) interventions are becoming a vital component of development projects. However, there is a lack of information about the relationships between capacity and project delivery. This paper presents the results of a study of how CD was applied to one of India’s largest urban infrastructure programs. While the Indian government considered a lack of capacity to be the main problem in project delivery, there is little evidence that explains the relationships between capacity and project delivery. This study analyzes the content of 58 interviews with project engineers, managers, and administrators about the hurdles they experienced at each stage of project delivery and seeks to understand these hurdles through the lens of CD. The study identifies the influence of capacity factors on project delivery and the converse influence of project performance and outcomes on CD. Ultimately, this study reveals the complex two-way interactions between capacity and project delivery.

The Complex Relationship between Capacity and Infrastructure Project Delivery: The Case of the Indian National Urban Renewal Mission