The World Bank Agriculture and Rural Development (P112526) REPORT NO.: RES36183 DOCUMENT OF THE WORLD BANK RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF AGRICULTURE AND RURAL DEVELOPMENT APPROVED ON JUNE 14, 2011 TO MINISTRY OF AGRICULTURE, FORESTRY AND RURAL DEVELOPMENT AGRICULTURE EUROPE AND CENTRAL ASIA Regional Vice President: Cyril E Muller Country Director: Linda Van Gelder Senior Global Practice Director: Juergen Voegele Practice Manager/Manager: Julian A. Lampietti Task Team Leader: Silvia Mauri The World Bank Agriculture and Rural Development (P112526) I. BASIC DATA Product Information Project ID Financing Instrument P112526 Investment Project Financing Original EA Category Current EA Category Partial Assessment (B) Partial Assessment (B) Approval Date Current Closing Date 14-Jun-2011 30-Jun-2021 Organizations Borrower Responsible Agency Ministry of Agriculture, Forestry and Rural Development Ministry of Agriculture, Forestry and Rural Development Project Development Objective (PDO) Original PDO The development objective of the project is to assist the Recipient to promote competitiveness and growth in the livestock and horticulture sub-sectors over the next decade through implementation of selected measures of its agricultural strategy and institutionaldevelopment. Current PDO The development objective of the project is to improve productivity of and access to markets by project beneficiaries in the horticulture and livestock subsectors of Kosovo and strengthen the institutional capacity of the Ministry of Agriculture, Forestry and Rural Development. Summary Status of Financing Net Ln/Cr/Tf Approval Signing Effectiveness Closing Commitment Disbursed Undisbursed IDA-60170 28-Apr-2017 02-Aug-2017 28-Feb-2018 30-Jun-2021 22.00 2.01 21.37 IDA-50050 14-Jun-2011 26-Jul-2011 03-May-2012 31-Mar-2019 20.15 17.19 1.31 TF-A4664 28-Mar-2017 26-Apr-2017 26-Apr-2017 30-Jun-2017 .46 .46 0 The World Bank Agriculture and Rural Development (P112526) TF-16235 06-Feb-2014 18-Mar-2014 18-Mar-2014 30-Dec-2016 6.75 7.42 0 Policy Waiver(s) Does this restructuring trigger the need for any policy waiver(s)? No I. SUMMARY OF PROJECT STATUS AND PROPOSED CHANGES The Kosovo Agriculture and Rural Development Project (P112526) is financed by the original Credit (No. 5005-XK) in the amount of US$20.15 million equivalent with the closing date of March 31, 2019, and an Additional Finance Credit (No. 6017 XK) in the amount of US$22 million equivalent with the closing date of June 30, 2021. The proposed restructuring is requesting the extension of the closing date of the original Credit from March 31, 2019 to September 30, 2020. Overall progress toward achieving the Project Development Objective is satisfactory. Implementation progress is currently rated moderately satisfactory. Under component 1 – Transferring Knowledge to the Rural Sector, training of potential Rural Development Grant Program applicants is carried out regularly, increasing capacity of potential applicants. The training program to certify candidates for advisory services in agriculture and rural development and to improve effectiveness of Government extension staff has been completed. Under component 2 – Enhancing Investments to Promote Sustainable Rural Development, the 2018 call for Rural Development Grants supporting investments in farms and in agro-processing and trade and was completed. A total of 1,642 applications were received of which 438 were approved and grants contracted. Under component 3 – Support for Irrigation, irrigation support activities are picking up after some lengthy procurement procedures and implementation delays under ongoing civil works contracts. The proposed Closing Date extension would allow for the utilization of US$1.0 million of unspent funds under the original Credit for the purpose of the preparation of a National Irrigation Strategy and Investment Framework. The preparation of this framework has been part of the original project design but has been behind schedule because of delays in reaching project effectiveness, administrative changes, and capacity constraints with regard to irrigation expertise in the Project Implementation Unit (PIU), which have now been resolved. The National Irrigation Strategy and Investment Framework is critically important for the Government as it will guide future investments and water management measures in the irrigation sector, including by the World Bank and other development partners. The strategy will also be instrumental to determining the investment pipeline under the proposed European Union Instrument for Pre-Accession Assistance funded Irrigation Revitalization Grant under the Blue Economy for Sustainable Transformation Program. The consultancy for the development of the National Irrigation Strategy and Investment Framework has already been completed and implementation of the assignment would begin shortly. The extension has been requested by the Ministry of Finance in the letter dated February 25, 2018. There are no overdue audits and Interim Financial Report under the Project. The PIU has prepared a project action plan, confirming that the strategy can be completed within the remaining implementation period, which has been reviewed by the Bank team. The World Bank Agriculture and Rural Development (P112526) II. DETAILED CHANGES LOAN CLOSING DATE(S) Original Revised Proposed Proposed Deadline Ln/Cr/Tf Status Closing Closing(s) Closing for Withdrawal Applications IDA-50050 Effective 31-Jul-2017 31-Mar-2019 30-Sep-2020 30-Jan-2021 IDA-60170 Effective 30-Jun-2021 TF-16235 Closed 30-Dec-2016 26-May-2017 TF-A4664 Closed 30-Jun-2017 28-Dec-2017