The World Bank Implementation Status & Results Report Innovative Startups Fund Project (P161905) Innovative Startups Fund Project (P161905) MIDDLE EAST AND NORTH AFRICA | Jordan | Finance, Competitiveness and Innovation Global Practice | IBRD/IDA | Investment Project Financing | FY 2017 | Seq No: 5 | ARCHIVED on 15-Jan-2020 | ISR40150 | Implementing Agencies: Jordan Loan Guarantee Corporation, Government of Jordan, Innovative Startups and SMEs Fund Key Dates Key Project Dates Bank Approval Date: 23-Jun-2017 Effectiveness Date: 19-Dec-2017 Planned Mid Term Review Date: 07-Dec-2020 Actual Mid-Term Review Date: Original Closing Date: 30-Nov-2023 Revised Closing Date: 30-Nov-2023 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The project’s development objective is to increase private early stage equity finance for innovative small and medium enterprises ("SMEs"). Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Equity/Quasi Equity Financing Program:(Cost $44.75 M) Deal-Flow Creation Support:(Cost $3.13 M) Project Management, Coordination, and Monitoring and Evaluation:(Cost $2.00 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Substantial Substantial Implementation Status and Key Decisions This project of US $50 million to support the establishment of the Innovative Startups and SMEs Fund (ISSF) was approved by the World Bank's Board of Executive Directors on June 23, 2017. The ISSF was launched in Jordan on September 23, 2018. The ISSF is actively receiving applications from the private sector for investment and support. To date, ISSF has co-financed 4 investments for total amount of $5.85M, i.e. 1 indirect investment in Oasis500 Venture II Fund and 3 indirect investments in Little Thinking Minds (edutech), Mecal (creative industries) and Solfeh (fintech). ISSF $5.85M in equity contributed to mobilize $16.72M of private capital from local and international investors. The expected leverage of 2.9 times demonstrates the project’s ability to crowd in private financing in line with the Maximizing Finance for Development (MFD) principles. More information can be found online at: https://issfjo.com/home/ 1/15/2020 Page 1 of 7 The World Bank Implementation Status & Results Report Innovative Startups Fund Project (P161905) Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Moderate Moderate Moderate Macroeconomic Substantial Substantial Moderate Sector Strategies and Policies Substantial Substantial Moderate Technical Design of Project or Program Substantial Substantial Moderate Institutional Capacity for Implementation and Sustainability Substantial Substantial Moderate Fiduciary High High High Environment and Social Moderate Low Low Stakeholders Low Moderate Moderate Other -- -- -- Overall Substantial Substantial Substantial Results PDO Indicators by Objectives / Outcomes Private Capital Mobilized IN00789947 ►Private Capital Mobilized (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1,265,000.00 8,715,000.00 71,500,000.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 IN00789950 Private Early/Seed Stage Capital Mobilized Through the Project (Amount(USD), Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 8,715,000.00 14,500,000.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 IN00789952 Private Venture Capital Mobilized Through the Project (Amount(USD), Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target 1/15/2020 Page 2 of 7 The World Bank Implementation Status & Results Report Innovative Startups Fund Project (P161905) Value 0.00 1,265,000.00 0.00 57,000,000.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 Beneficiary Companies Receiving Financing Through the Project IN00789948 ►Beneficiary Companies Receiving Financing Through the Project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 12.00 150.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 IN00789951 Beneficiary Companies Receiving Private Early/Seed Stage Financing Through the Project (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 12.00 80.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 IN00789953 Beneficiary Companies Receiving Private VC Financing Through the Project (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1.00 0.00 70.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 IN00789954 Beneficiary Companies Led by Women Receiving Financing Through the Project (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 100.00 50.00 25.00 IN00789955 Beneficiary Companies Led by Youth Receiving Financing Through the Project (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 30.00 30.00 IN00789956 Beneficiary Companies Graduating From the Deal Flow Component Receiving Financing Through the Project (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 100.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 Beneficiary Companies That Introduced a New Product or Process IN00789949 ►Beneficiary Companies That Introduced a New Product or Process (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target 1/15/2020 Page 3 of 7 The World Bank Implementation Status & Results Report Innovative Startups Fund Project (P161905) Value 0.00 0.00 0.00 100.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 Overall Comments PDO The project has 12 beneficiary companies receiving financing (8 percent of end target), up from 1 six months ago. This translates in an increase of 617 percent in private capital mobilized at $8,715,000 (12 percent of the end target) over the last six months. The measurement of one PDO indicator is being contextualized/ refined before the launch of the Entrepreneurship Enablement & Development Program (EEDP) in order to have a consistent monitoring across project's components, i.e. "Beneficiary Companies That Introduced a New Product or Process". This will be updated in the next ISR. Intermediate Results Indicators by Components Equity/Quasi Equity Financing Program IN00789957 ►Total Financial Intermediaries Receiving Financing Through the Project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 1.00 10.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 IN00789960 Venture Capital Financial Intermediaries Receiving Financing Through the Project (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 6.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 IN00789962 Early/Seed Stage Financial Intermediaries Receiving Financing Through the Project (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 1.00 4.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 IN00789964 ►Shareholder or Partnership Agreements Signed With Equity Finance Providers/Financial Intermediaries (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 3.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 Deal-Flow Creation Support IN00789958 ►Beneficiary Companies Receiving IR Support and BDS Services Through the Project (Number, Custom) 1/15/2020 Page 4 of 7 The World Bank Implementation Status & Results Report Innovative Startups Fund Project (P161905) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 675.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 IN00789961 Beneficiary Companies Led by Women Receiving IR Support and BDS Services Through the Project (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 30.00 IN00789963 Beneficiary Companies Led by Youth Receiving IR Support and BDS Services Through the Project (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 30.00 IN00789965 Beneficiary Companies Receiving IR Support Through the Project (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 600.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 IN00789966 Beneficiary Companies Receiving BDS Services Through the Project (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 75.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 IN00789967 ►Prospective Angel Investors Receiving Training Through the Project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 11.00 30.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 IN00789968 ►Beneficiaries Receiving Acceleration Services Through the Project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 150.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 IN00789969 Female Beneficiaries Receiving Acceleration Services Through the Project (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 30.00 IN00789970 1/15/2020 Page 5 of 7 The World Bank Implementation Status & Results Report Innovative Startups Fund Project (P161905) Young Beneficiaries Receiving Acceleration Services Through the Project (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 40.00 Project Management, Coordination, and Monitoring and Evaluation IN00789959 ►Beneficiaries Satisfied With Services Received and Performance of Funds (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 75.00 Date 23-Jun-2017 31-May-2019 10-Dec-2019 30-Nov-2023 Overall Comments IR Equity/Quasi Equity Financing Program (component 1): 1 financial intermediary has received financing through the project to date, up from 0 six months ago. Deal-Flow Creation Support (component 2): 11 prospective angel investors have received training through the project (37 percent of the end target), and it is expected that more be trained in 2020 with the launch of Jordan's firs Angel Investor Network (AIN) in partnership with Beyond Capital last December 2019. Project Management, Coordination, and Monitoring and Evaluation (component 3): A survey will be conducted before the mid term review, and then updated on a semi-annual basis. Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P161905 IBRD-87670 Effective USD 50.00 50.00 0.00 20.13 29.88 40% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P161905 IBRD-87670 Effective 23-Jun-2017 21-Aug-2017 19-Dec-2017 30-Nov-2023 30-Nov-2023 Cumulative Disbursements 1/15/2020 Page 6 of 7 The World Bank Implementation Status & Results Report Innovative Startups Fund Project (P161905) Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 1/15/2020 Page 7 of 7