This paper begins by examining the context within which the NIE is likely to be evaluated, such as what it will be expected to achieve, who will assess its achievements, and why and when assessments will be made. The second part of the paper deals with suggested evaluation dimensions of (1) the technical quality of the R&D supported by NIE, (2) the choice of questions or problems being addressed, (3) the effectiveness of program output, and (4) distribution of funds and other benefits. For each of these dimensions, some criteria and evaluation methods are given. The last section discusses briefly how evaluation results could be used to improve the performance of NIE by application to resource allocation, management procedures, and organization. (Author)