The World Bank Implementation Status & Results Report Private Sector Rehabilitation & Agribusiness Development (P127209) Private Sector Rehabilitation & Agribusiness Development (P127209) AFRICA | Guinea-Bissau | Finance, Competitiveness and Innovation Global Practice | IBRD/IDA | Investment Project Financing | FY 2014 | Seq No: 9 | ARCHIVED on 09-Apr-2019 | ISR36349 | Implementing Agencies: Republic of Guinea-Bissau, Ministry of Economy and Finance Key Dates Key Project Dates Bank Approval Date: 22-May-2014 Effectiveness Date: 08-Sep-2014 Planned Mid Term Review Date: 29-Sep-2017 Actual Mid-Term Review Date: 29-Sep-2017 Original Closing Date: 31-Dec-2019 Revised Closing Date: 31-Dec-2019 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The project development objective (PDO) is to support inclusive development of the cashew agribusiness sector and to promote entrepreneurship in other sectors of the economy. Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Promoting the Development of Agribusiness:(Cost $5.40 M) Developing Entrepreneurship:(Cost $1.80 M) Project Coordination:(Cost $1.00 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 The Private Sector Rehabilitation & Agribusiness Development was approved on May 22, 2014. The Financing Agreement was signed on June 12, 2014. The project is effective since September 8, 2014. Disbursements are at 80%, an increase of 13 percentage points since last Implementation Status and Results Report. Outcomes: The PRSPDA is providing through a linkages program between cashew producers and processors higher and more stable returns to cashew production. This is helping achieve one of the major objectives of the project of improving the bargaining power of producers. In 2018, the agreement between producers and processing plants allowed for receiving FCFA 650/Kg when the average price outside the program in the targeted regions was FCFA 474/Kg. This represents an impact of 37% without considering the indirect effects through improved skills, seeds and 4/9/2019 Page 1 of 6 The World Bank Implementation Status & Results Report Private Sector Rehabilitation & Agribusiness Development (P127209) materials. The gain of being part of the program follows similar high effects in previous years for producers, and secured cashew that have allowed the main processing plant in the region to double its cashew processing in 2018. The business plan competition has been a major success, with grants disbursed and continuous mentoring to support business development. Up to now, 80% of the firms supported with capital infusion under the business plan competition are operating well, which compares with just 40% in a comparable control group.The comparison of performance will continue to be monitored until the end of the project. The project is achieving results in supporting business environment reforms. The project-supported reform of customs procedures was approved by the Minister of Finance. The project has also contributed to reforms in the business registration procedures and in introducing a simplified system of registration for small scale entrepreneurship. The project helped create the Inter-ministerial Commission for the Improvement of the Business Environment (CIMAN), which has been meeting regularly. This impetus has contributed to improving the coordination and monitoring of the implementation of various reforms. The continuity of this institutional mechanism within the new government will be important to move forward with the improvement of the business environment. Outputs: The project has exceeded the number of producers targeted to be supported. It has rehabilitated warehouses in rural areas as planned, and has on top of that rehabilitated four drying areas to guarantee quality of cashew before delivery to off-takers. The project has surpassed the targets to support the diversification into rice for cashew producers. The 25 female and 25 male entrepreneurs that won the Business Plan Competition have received the in-kind grants to implement their business plans. This program that included 4,000 applicants, over 500 of people trained on business plans, and 50 winners of grants included a readily available Grievance Redressal Mechanism. In addition to what is stated in the M&E indicators, one of the project’s main successes has been the audit of FUNPI, which led to closing of this fund. Independent research with complementary Bank resources, showed FUNPI was having large impacts on poverty. In addition, the project avoided policy actions in the cashew campaigns. The project also led the first ever large-scale household survey of cashew producers and secured the Africa Cashew Alliance conference in Bissau. The project has also supported the dialogue between public and private sector embedded in a Commission of Business Environment reforms. The project has leveraged funding from a complementary US$1.2 million IFC Advisory Services project (Cashew Sector Development Project - #601016), which is being implemented, raising awareness on environmental, social and quality standards (EST), and supporting reforms in property and business registration. On EST, the IFC AS project has (i) developed traceability tools to track cashew production, a visual identity for an origin label, and a good practice manual; (ii) organized workshops with over 150 actors and a study tour to Burkina Faso to raise awareness on EST standards; (iii) built local capacity by training 8 local quality professionals on EST standards; (iv) supported an audit of HACCP food safety standards in cashew processing facilities; (v) developed a newsletter to sensitize stakeholders on efforts to improve EST standards; and (vi) launched awareness raising activities with cashew producers (450 producers participated so far). Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance -- High High Macroeconomic -- High High Sector Strategies and Policies -- Substantial Substantial Technical Design of Project or Program -- Substantial Substantial Institutional Capacity for Implementation and Sustainability -- Substantial Substantial Fiduciary -- Substantial Substantial Environment and Social -- Moderate Moderate Stakeholders -- Substantial Substantial Other -- -- -- Overall -- Substantial Substantial 4/9/2019 Page 2 of 6 The World Bank Implementation Status & Results Report Private Sector Rehabilitation & Agribusiness Development (P127209) Results PDO Indicators by Objectives / Outcomes Support inclusive development of the cashew agribusiness sector and to promote entrepreneurship IN00681572 ►Farm-gate price of cashew farmers supported by project relative to price of similar farmers identified at the beginning of project (control group) (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 32.00 37.00 10.00 Date 22-May-2014 20-Sep-2018 21-Mar-2019 31-Dec-2019 Rate in the 2018 campaign was 37% higher for those in the linkages program than the average for those Comments: selling to be exported (FCFA 650/Kg versus FCFA 474/Kg). IN00681573 ►Number of jobs created by the cashew agro-processing units directly supported by the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 173.00 173.00 250.00 Date 22-May-2014 20-Sep-2018 21-Mar-2019 31-Dec-2019 Comments: Number of jobs are measured as an average of full-time equivalent number of workers in a given year IN00681574 Number of female jobs created by the cashew agro-processing units directly supported by the project (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 110.00 110.00 165.00 Date 22-May-2014 20-Sep-2018 21-Mar-2019 31-Dec-2019 IN00681575 ►Percentage of firms (supported by BPC) in operation relative to control group (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 40.00 30.00 Date 22-May-2014 20-Sep-2018 21-Mar-2019 31-Dec-2019 Data is being collected and indicator will be updated during the year. Comments: Data is measured in percentage points. Intermediate Results Indicators by Components Promoting the Development of Agribusiness IN00681591 4/9/2019 Page 3 of 6 The World Bank Implementation Status & Results Report Private Sector Rehabilitation & Agribusiness Development (P127209) ►Number of smalholder cashew farmers receiving extension services and price information system (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1,500.00 1,500.00 400.00 Date 22-May-2014 20-Sep-2018 21-Mar-2019 31-Dec-2019 Comments: Smallholder cashew farmers are those with less than 3 hectares IN00681593 ►Area of rice production (ha) cultivated with improved seed and adequate dosage of fertilizer (Hectare(Ha), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1,650.00 1,650.00 1,500.00 Date 22-May-2014 20-Sep-2018 21-Mar-2019 31-Dec-2019 Comments: By adequate dosage fertilizer, it is meant 40kg of nitrogen and 60kg of N-P-K per hectare IN00681595 ►Number of cashew communal storage facilities installed (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 3.00 4.00 4.00 Date 22-May-2014 20-Sep-2018 21-Mar-2019 31-Dec-2019 IN00681597 ►Number of cashew nuts community processing plants installed with direct project support (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 3.00 3.00 4.00 Date 22-May-2014 20-Sep-2018 21-Mar-2019 31-Dec-2019 Developing Entrepreneurship IN00681592 ►Number of entrepreneurs receiving in-kind grants following business plan competition (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 50.00 50.00 50.00 Date 22-May-2014 20-Sep-2018 21-Mar-2019 31-Dec-2019 IN00681594 Number of female entrepreneurs receiving in-kind grants following business plan competition (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 25.00 25.00 25.00 Date 22-May-2014 20-Sep-2018 21-Mar-2019 31-Dec-2019 IN00681596 4/9/2019 Page 4 of 6 The World Bank Implementation Status & Results Report Private Sector Rehabilitation & Agribusiness Development (P127209) ►Number of customs-related procedures it takes to clear goods (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 35.00 32.00 32.00 28.00 Date 22-May-2014 20-Sep-2018 21-Mar-2019 31-Dec-2019 IN00681598 ►OHADA entreprenant status for MSMEs created (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 22-May-2014 20-Sep-2018 21-Mar-2019 31-Dec-2019 Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P127209 IDA-54640 Effective USD 8.20 8.20 0.00 6.06 1.35 82% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P127209 IDA-54640 Effective 22-May-2014 12-Jun-2014 08-Sep-2014 31-Dec-2019 31-Dec-2019 Cumulative Disbursements 4/9/2019 Page 5 of 6 The World Bank Implementation Status & Results Report Private Sector Rehabilitation & Agribusiness Development (P127209) Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 4/9/2019 Page 6 of 6