This paper develops the NICE (National Impacts of Circular Economy) tool, which is based on the Eora input-output data to analyse how technical cooperation projects, which are aimed at more sustainable use of materials, affect economic and social indicators. Whereas the long-term transition towards a circular economy and a more efficient economic system is less controversial, the results of this study help deepen the understanding of the possible short-term impacts, especially for countries struggling to climb the ladder of development.