Document of The World Bank FOR OFFICIAL USE ONLY Report No. 59772-LR INTERNATIONAL DEVELOPMENT ASSOCIATION INTERNATIONAL FINANCE CORPORATION AND MULTILATERAL INVESTMENT GUARANTEE AGENCY COUNTRY ASSISTANCE STRATEGY PROGRESS REPORT FOR THE REPUBLIC OF LIBERIA FOR THE PERIOD FY09-FY12 June 2, 2011 World Bank West Africa Country Department 1 This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without the World Bank’s authorization. REPUBLIC OF LIBERIA – FISCAL YEAR July 1 - June 30 CURRENCY EQUIVALENTS (as of May 31, 2011) Currency Unit = Liberian Dollar (LR$) US$1.00 = 73.00 LR$ WEIGHTS AND MEASURES Metric System ACRONYMS AND ABBREVIATIONS AfDB African Development Bank ACE Africa Coast to Europe ADF African Development Fund AFREA African Renewable Energy Access Grant Program CAS Country Assistance Strategy CSA Civil Service Agency DFID Department for International Development EFCRP Emergency Food Crisis Response Program EGIRP Economic Governance and Institutional Reform Project EITI Extractive Industries Transparency Initiative EI-TAF Extractive Industries Technical Advisory Facility EMUS Emergency Monrovia Urban Sanitation Project EPA Environment Protection Agency EPAG Economic Empowerment of Adolescent Girls EU European Union FDA Forest Development Authority FDI Foreign Direct Investment FIAS Foreign Investment Advisory Service FY Fiscal Year GAC General Auditing Commission GBOBA Global Partnership on Output-Based Aid GEF Global Environment Fund GOL Government of Liberia GDP Gross Domestic Product HIPC Highly Indebted Poor Countries HRMIS Human Resources Management Information System IFC International Finance Corporation IFMIS Integrated Financial Management Information System IMF International Monetary Fund ITAS Integrated Tax Administration System LACE Liberia Agency for Community Empowerment LEC Liberia Electricity Corporation LESEP Liberia Electricity Sector Enhancement Project LIBRAMP Liberia Road Asset Management Project LIPA Liberia Institute of Public Administration LRDC Liberia Reconstruction and Development Committee LRTF Liberia Reconstruction and Development Trust Fund MDG Millennium Development Goals MDTF Multi-donor Trust Fund MHI Manitoba Hydro International Ltd MOE Ministry of Education MOF Ministry of Finance MOP Ministry of Planning and Economic Affairs NGO Non-governmental Organization NPA National Port Authority OPRC Output and Performance Based Road Contracting PEFA Public Expenditure Financial Accountability PFM Public Financial Management PPIAF Public-Private Infrastructure Advisory Facility PRS Poverty Reduction Strategy SES Senior Executive Service RREA Rural and Renewable Energy Agency SME Small and Medium Enterprises TFLIB Trust Fund for Liberia UNMIL United Nations Mission in Liberia URIRP Urban and Rural Infrastructure Rehabilitation Project UNDP United Nations Development Program WAPP West Africa Power Pool WB World Bank WORLD BANK Vice President: Obiageli K. Ezekwesili Country Director: Ishac Diwan Country Manager: Ohene Owusu Nyanin Task Team Leader (s): Renée Desclaux and Coleen R. Littlejohn Task Team Members Sergiy Kulyk, Errol Graham, Jariya Hoffman, Raymond Muhula, Anders Jensen, Serena Cavicchi INTERNATIONAL FINANCE CORPORATION Vice President: Thierry Tanoh Country Director: Yolande Duhem Resident Representative : Jumoke Jagun-Dokunmu Strategy Unit: Frank Douamba Core CAS Team: Maria Miller, Kobina Daniel MULTILATERAL INVESTMENT GUARANTEE AGENCY Vice President and Corporate Secretary: Jorge Familiar Calderón Executive Vice President: Izumi Kobayashi Chief Operations Officer: James Bond Finance and Risk Management: Thomas Hum, Conor Healy ACKNOWLEDGEMENTS The World Bank Group greatly appreciates the close and fruitful collaboration with the Government of Liberia in the preparation of the Country Assistance Strategy (CAS) and of this Progress Report (CASPR). This CASPR was prepared by members of the World Bank Group’s Liberia Country Team, including Ohene Owusu Nyanin, Sergiy Kulyk, Errol George Graham, Jariya Hoffman, Gylfi Pallson, Giulio de Thomaso, Smile Kwawukume, Raymond Muhula, Giuseppe Zampaglione, Emmanuel A. James, Ventura Bengoechea, Oliver Braedt, Roberto Panzardi, Waafas Ofosu-Amaah, Waqar Haider, Boutheina Guermazi, Keiko Inoue, Ekaterina Mikhaylova, Ismaila Ceesay, Deo Ndikumana, Yi-Kyoung Lee, Nyaneba Nkrumah, Christopher Jackson, Frank Armand Douamba, Jumoke Jagun-Dokunmu, Maria Miller, Kobina Daniel, Anders Jensen, Serena Cavicchi, Conor Healy and Deryck Brown, under the overall leadership of Ishac Diwan. COUNTRY ASSISTANCE STRATEGY PROGRESS REPORT TABLE OF CONTENTS I.  INTRODUCTION ..................................................................................................................... 1  II.  COUNTRY CONTEXT AND RECENT DEVELOPMENTS ....................................................... 2  III.  PROGRESS TOWARDS CAS OUTCOMES AND PORTFOLIO PERFORMANCE .................... 4  A.  Progress on CAS Strategic Theme 1: Rebuilding of Core State Functions and Institutions.. ........ 4  B.  Progress on CAS Strategic Theme 2: Rehabilitating Infrastructure to jump-start growth.............. 5  C.  Progress on CAS Strategic Theme 3: Facilitating Pro-poor Growth .............................................. 6  D.  Portfolio Performance ...................................................................................................................... 7  E.  Cross Cutting Issues......................................................................................................................... 8  IV.  ADJUSTMENTS TO THE CAS AND MOVING FORWARD ..................................................... 9  V.  KEY CONSTRAINTS AND RISKS ......................................................................................... 11  Annex 1a: CAS Results Matrix – Progress to date .................................................................................... 14  Annex 1b: CAS Results Matrix – FY-11-12 .............................................................................................. 25  Annex 2: Progress on the Millennium Development Goals........................................................................ 33  Annex 3: Main Funding Sources (FY09 – FY11)....................................................................................... 34  Annex 4: Changes in the Indicative Lending Program for the FY09-11 CAS (US$ million) .................... 35  Annex 5: Status of Non-Lending Activities ............................................................................................... 36  Annex 6: Selected Indicators* of Bank Portfolio Performance and Management .................................... 37  Annex 7- IDA Program Summary .............................................................................................................. 38  Annex 8: Key Economic & Program Indicators - Changes from Last CAS .............................................. 39  Annex 9: IFC Investment Operations for Liberia ....................................................................................... 40  Annex 10: Liberia Committed and Disbursed Outstanding Investment Portfolio ...................................... 41  Annex 11: Operations Portfolio - IBRD/IDA and Grants as of 3/28/2011 ................................................ 42  Annex 12: Donor Partnership .................................................................................................................... 43  Annex 13: Liberia at a glance .................................................................................................................... 44  MAP of Liberia No. 33435R   I. INTRODUCTION 1. This Progress Report assesses the implementation to date of the Joint Country Assistance Strategy (CAS) of the World Bank Group (WBG) and the African Development Bank (AfDB) Group for FY 2009-2011. 1 The CAS, presented to the Bank’s Board on March 30th, 2009, was based on the priorities identified in Liberia’s first Poverty Reduction Strategy (PRS I) and addressed the following three themes: (i) rebuilding core state functions and institutions; (ii) rehabilitating infrastructure to jump-start economic growth; and (iii) facilitating pro-poor growth. At the time of this report, the objectives of the CAS remain relevant and significant progress has been achieved towards original CAS outcomes and milestones. 2. Two PRS Annual Progress Reports (2009 and 2010) were prepared by the Government of Liberia (GOL) and satisfactory progress was noted in a Joint Staff Advisory Note. Given that the country basically began to “rebuild from ashes” in 2006, it is notable that in the last few years, the GOL has been able to stabilize the economy, grow, advance on policy reforms and rebuilding of state institutions, complete several emergency infrastructure projects, improve two basic social indicators and attract important foreign investors. Notwithstanding those advances, the country remains fragile and there is a perceived failure in the speed in which the government is delivering tangible improvements in living standards for the population, still devastated by 14 years of civil war. Although Bank operation portfolio ratings are generally satisfactory, given that most have partially internationally staffed Project Implementation Units and are subject to intense supervision, this is not the norm in government. The very weak implementation of the central government project budget to date in FY 11 demonstrates that there are major capacity issues at the line ministry level and, at current speed and financing levels, it will be many years before there are significant improvements in people’s lives. Given the high unemployment rate, especially among young people and ex-combatants, continued frustration could mean continued fragility for many years to come. 3. The GOL is now constructing an ambitious national visioning planning, LIBERIA RISING, with the help of the World Bank and other development partners. The dream of this vision is to transform Liberia into a middle income country, capable of meeting and sustaining its own development aspirations by 2030. At the same time, the GOL is also elaborating, again with Bank support, a second Poverty Reduction Strategy (PRS II), the first of a series of 5 year operational plans based on LIBERIA RISING. No one doubts the potential of the country in terms of growth opportunities, but it is evident that in this next poverty reduction and growth strategy, the state must take on new and more ambitious initiatives in order to accelerate progress exponentially. 4. The implementation of a National Vision represents an enormous challenge for Liberia, a country that is still a fragile state and vulnerable to external and internal shocks. Key constraints are access to sufficient financing and capacity to implement. To finance reconstruction costs in infrastructure, service delivery and employment creation, significant support from current development partners, private sector, foreign direct investment, international financial markets and investments from nontraditional bilateral partners will be needed. Capacity will continue to be a binding constraint given that Liberia still does not have a critical mass of local technical expertise to translate commitment to reform into policy and technical capacity to deliver results. A dual track approach to capacity building will still be needed. Short term measures to address bottlenecks must coexist with longer term investments in human capital, especially in health, nutrition and education and longer term programs to promote stronger state capacity. 1  AfDB presented a separate progress report to their Committee on Development Effectiveness on May 5th ,2011  1 II. COUNTRY CONTEXT AND RECENT DEVELOPMENTS 5. To better position the Bank to more effectively support the preparation of LIBERIA RISING and the PRS II, this report presents a proposed partnership, knowledge and financing plan for a one year extension of the current CAS in consonance with the Bank’s new Africa Strategy.2 Extending the CAS to the end of FY 12 will allow the Bank group to prepare a new five year CAS (FY 13-18), which will be aligned with PRS II. 6. Strong post-conflict economic recovery continued into 2008 but the global crisis towards the end of 2008 through most of 2009 created substantial challenges for Liberia’s fledgling economy. The PRS growth forecast was 9.6 percent in 2008, increasing to 10.3 percent in 2009 and further to 14.8 percent in 2010 before slowing down to 12.3 percent in 2011. The lower level of investments as well as lower demand in the domestic economy from reduced remittances and credit resulted in growth slowing down to 7.1 percent in 2008 and decelerating to 4.6 percent in 2009. The weaker growth resulted in substantial job losses including approximately 1,000 jobs in the rubber sector. Although exports fell, the larger decline in imports as well as the marginal improvements on the services and income accounts resulted in an improvement in the balance of payments from a deficit of 57.4 percent of GDP in 2008 to a smaller deficit of 36.8 percent of GDP in 2009. The fiscal impact of the crisis has been largely due to the slowdown in revenue. 7. Liberia has made substantial progress in reconciling, reducing and strengthening the management of its debt. The government reached a “Cologne terms” agreement with Paris Club creditors on April 17, 2008, which resulted in the immediate debt cancellation of US$254 million. In April 2009 and November 2010, the government concluded a first and second commercial debt buy-back of US$1.2 billion, respectively. This effort was supported by a technical assistance grant under the Bank’s Debt Reduction Facility (DRF) and US$15.2 million from the IBRD contribution to the DRF as well as support from Germany, Norway, the United Kingdom and the United States. Following the achievement of HIPC completion point in June 2010, Liberia received additional debt relief from IDA, the African Development Fund and the IMF; at present, external debt now stands at about US$ 90 million or about 9 percent of GDP. 8. The economy has broadly stabilized through prudent macro-economic policies. The pace of economic growth has picked up after the 2009 slowdown. The growth estimate for 2010 was 6.3 percent as FDI expanded and agriculture and forestry recovered. Inflation also decreased from nearly 10 percent in 2009 to about 5 percent in 2010. The overall fiscal balance shifted to a surplus of about 0.6 percent of GDP from a deficit of about 1.6 percent of GDP in 2009. In addition, public investment improved from just 2.5 percent of GDP in FY2006/07 to 5.5 percent of GDP in FY2009/10. The current account deficit is sustainable at around 40 percent and the higher inflows of foreign direct investment have stabilized the exchange rate and led to a modest build-up of reserves equivalent to about US$300 million or equivalent to two-and-a-half months of imports. 9. Liberia’s medium-to-long term prospects are good but given that the Liberian economy remains undiversified and largely dependent on primary commodity exports, it remains highly vulnerable to fluctuation in commodity prices. Moreover, the high price correlation between the commodities which Liberia exports exacerbates the impact of commodity price shocks. The Government is committed to a macroeconomic framework anchored in sound fiscal, monetary, trade and exchange policies to foster competition, maintain price stability and encourages private sector investment to provide a foundation for rapid and sustained growth to increase employment and reduce poverty. Since the Peace Accords of 2003, 2  Africa’s Future and the World Bank’s Support to It., March, 2011  2 30 concession contracts have been signed for the exploitation of iron ore, petroleum, palm oil and forestry, and a significant number of further potential contracts have already been identified. Once all these contracts are awarded, the concessions will constitute a major “footprint” covering almost 40 percent of the national territory, and encompassing some 30 percent of the rural population. To date, concrete benefits from those concessions, with respect to tax revenues or employment have not been very impressive. Expectations about tax revenue from the export of logs under concessioned producers, for example, was once estimated to have the potential to contribute as much as US$ 12 million to the national budget by FY 11. But barely US$ 2 million have been received due to a variety of factors that have made government officials think more realistically about the potential revenues to be obtained from concessions. Nevertheless, a recent Bank study3, which was prepared to inform the PRS II, estimates that the potential production value of the concession areas could be estimated at US$2.5 billion annually. Revenues that may accrue to Government accounts from such production in the form of taxes and duties paid by producers could be used to leverage significant market financing of infrastructure investments. It is not out of the question that such revenues would be able to cover the totality of Liberia’s infrastructure needs over the next ten years.4 Public Private Partnerships could also play a significant role. 10. The success of a LIBERIA RISING means that the issues of nation building, national consensus and reconciliation must be addressed in PRS II. Recent analytical work carried out by the Bank’s Social Development Department on “Societal Dynamics and Fragility” indicates that a large number of social issues remain unsolved and that this results in a lack of social cohesion, poor links between citizens and their state, and the lack of a common project uniting citizens throughout the country. A lack of understanding of the average Liberian of how to interact with the state and a lack of trust of state institutions are present throughout the country. Land issues continue to be one of the most volatile issues in Liberia, especially between the different ethnic groups that comprise Liberia’s population. 11. There is also widespread disappointment over jobs not materializing for local populations during the current administration. According to a Bank study5 published in December, 2009, overall under and unemployment in Liberia is about 20%. The study also asserts that foreign investments in the traditional export sectors (rubber, oil palm, forestry and mining) are unlikely to create significant employment opportunities. Private sector growth, if equitable, is poised to be the main engine of Liberia’s post-war recovery and a dynamic small and medium enterprise sector will be essential to achieve growth and create jobs on the broad scale that is needed. A revitalized agricultural sector is also key to employment creation as is a national skills training program. 12.   As mentioned earlier, there is a perceived failure to deliver tangible improvements in living standards and Liberia’s social indicators remain among the poorest of the world, with a per capita GNI of US$190 in 2010. It is estimated that the majority of MDGs will not be achieved by 2015, which is not surprising considering that serious efforts to achieve these goals only began in 2006. There have been two notable exceptions-infant and under-five mortality rates have been almost halved in that period and it is possible that two other goals related to HIV/AIDs and global partnerships may also be attained by 2015. Other key indicators, however, such as child malnutrition and maternal mortality remain some of the highest in the world. Details of Liberia’s MDGs are presented in Annex 2. 13. Presidential and legislative elections are planned for October 2011 and the current President will seek reelection. The violent aftermath of the recently contested elections in neighboring Ivory Coast is a reminder of substantial risk that contested elections results could provoke a similar renewal of unrest in Liberia. Security and humanitarian issues still currently pressure Liberia and there are 3  Liberia: Infrastructure and Concessions Paper (draft), Vivien Foster, May, 2011 4 A recent Africa Infrastructure Country Diagnostic for Liberia estimated that a total of US$ 3.7 billion would be needed. 5 Liberia: Employment and Pro-Poor Growth, Report No. 51924-LR, December 9, 2009.  3 over 185,000 Ivorian refugees who remain in the country and it is expected that they will be slow to return to their country. Armed Liberian combatants, however, are returning home; this situation is being closely monitored by UNMIL (United Nations Mission in Liberia) and Liberian security forces. III. PROGRESS TOWARDS CAS OUTCOMES AND PORTFOLIO PERFORMANCE   A. Progress on CAS Strategic Theme 1: Rebuilding of Core State Functions and Institutions 14. Approximately 50% of CAS milestones associated with this theme have been achieved to date. A new Public Financial Management (PFM) law was approved in August 2009, budget preparation and execution have improved under the new budget framework, and a new budget classification and chart of accounts were introduced in line with international public sector accounting standards. PFM transparency is improving: quarterly expenditure reports are posted and there has been a decrease in direct contracting in public procurement. The Integrated Financial Management Information System (IFMIS) has been designed, equipment procured and the system is scheduled to be launched in July 2011. An internal audit strategy, also adopted, is now being implemented. The Integrated Tax Administration System (ITAS) has been operational since April, 2011. 15. Two-thirds of the milestones associated with Civil Service Reform have been achieved. The Senior Executive program (SES) is fully operational (97 staff currently in post) and overall program performance has been rated satisfactory. Restructuring plans have been prepared for five ministries, but implementation started only in the Civil Service Commission. Human Resource management of civil servants has improved; for example, the number of civil servants has been reduced by 15 percent since 2006, mainly through the removal of a number of “ghost” workers from the payroll. The recently installed Human Resources Management Information System (HRMIS) is expected to be fully functioning by mid 2011. Little progress has been made however, in the implementation of the pay reform and in linking compensation and promotion to a performance based system. 16. Bank and other donors have also supported increased capacity and transparency in other branches of the government and with civil society. IFC collaborated with the World Bank to co-finance and provide technical expertise for the design and implementation of an integrated project to develop a modern commercial code, refit premises for a commercial court and develop alternative dispute resolution mechanisms. The legislature has enacted the Commercial Code (comprising 8 laws) and a Law to create a Commercial Court. This project is expected to significantly improve the investment climate, ensure greater security for commercial transactions, substantially improve access to finance and inspire greater confidence in Liberia as an investment destination. A website for the Judiciary was also developed as well training courses for judges, magistrates and public defenders. The World Bank Institute, together with the Carter Center and the International School of Transparency at the University of Cape Town, are facilitating knowledge exchanges and showcasing international good practices on “Right to Information” implementation issues with the Liberia Parliament. 4 B. Progress on CAS Strategic Theme 2: Rehabilitating Infrastructure to jump-start growth 17. Despite a series of implementation delays and cost overruns at the beginning of the CAS period, the Bank has played a major role in supporting the rehabilitation of basic transport infrastructure. The majority of CAS outcome indicators and milestones in transport has been achieved or will be achieved by the end of the present CAS. In addition to the rehabilitation of 15 km section of the Buchanan road (Cotton Tree – Bokay Town) in September 2010, another 10 km section has been completed. The contract for the 56.5 km remainder of the road to Buchanan port has been awarded and is expected to be completed by mid 2013. The resurfacing of 24 kilometers of city streets in Monrovia has also been completed. A Landlord Port Authority was established in 2010 and GOL signed a Public and Private Partnership concession contract with one of the world’s largest port terminal operators.  18. Bank support has helped the Monrovia City Corporation collect and dispose of 35% solid waste in the city. Additional support from the Liberian Reconstruction Trust Fund (LRTF) will raise that percentage to 45%, as planned, before the end of the CAS period. Other CAS outcomes and milestones for water supply and distribution in Monrovia were delayed by design issues. At the request of the GOL, the AfDB took the lead with the GOL on redesigning the water component. 19. The CAS urban and rural electrification outcomes and milestones are on track but the vast majority of the urban and rural populations do not have access to energy. A study on Liberia’s electricity supply options and a demand analysis for the period 2010-2040 was prepared with technical assistance by the Bank. IFC advised the GOL for the design of a five-year contract and management of an international competitive bidding process to select a qualified international utility operator to rebuild, operate and manage the Liberia Electricity Corporation (LEC); the Manitoba Hydro International (MHI) was selected. This US$50 million public-private partnership 6 is now responsible for providing electricity services to more than 30,000 new customers, including poor households. This supports the Government’s goal of providing 30 percent of Monrovia’s population with electricity by 2015. Another major achievement in the sector was the launching of the Catalyzing New Renewable Energy in Rural Liberia program funded by an AFREA grant that is supporting a two-year effort to establish and Liberia’s Rural and Renewable Energy Agency (RREA) and build its functionality. Sufficient energy generation, however, is likely to become a major issue in 2012 and there has been a lack of coordination within the GOL with respect to securing financing to date for the country’s energy needs. 20. The Policy Framework for Land Tenure Reform has not yet been adopted by the GOL and discussions are continuing both at a national and community level. Popular demands for land redistribution continue to play a role in the political arena, such that the emergence of a stable regime for land tenure continues to be elusive. The urgency once attached by the authorities to adopting a clear policy framework for registration of transactions in land and providing for greater security of tenure has lost momentum, which has had a negative effect on the environment for private sector development, particularly in areas where investment would be predicated on the award of concessions. Land issues are particularly volatile in the interior, given the constitutional recognition of customary law as a parallel system to private ownership based on statutory law, and because of sharp divisions that exist between Liberia’s different ethnic groups in terms of their understandings of land and property rights. 6  Donors providing US$50 million in funding for the LEC Management Contract include the Government of Norway, the US Agency for International Development, and the World Bank.  5 C. Progress on CAS Strategic Theme 3: Facilitating Pro-poor Growth 21. Satisfactory progress has been made in all CAS outcomes related to this theme, with the exception of results in agriculture. Unforeseen processing delays, capacity issues and unrealistic project indicators in the implementation of the agricultural component of the Agriculture and Infrastructure Development Project (AIDP) hampered progress in this sector. 22. All CAS milestones related to the forestry sector have been achieved and the Bank continues to support the government’s “three C’s” approach to the forestry sector (commercial, conservation, and community forestry) with a goal to achieving accountability, transparency, security and social responsibility. Progress has also been made in forestry governance and institutional capacity building. The Chain of Custody, currently supported by the Bank through the PROFOR Trust Fund, ensures that only legally harvested logs from the forestry concessions are exported and that all taxes and fees are collected. Seven forestry concessions have been approved to date and ten community economic development sites established. Concessionaires, however, have been frustrated by current road conditions which limit their ability to get their shipments to port. 23. Liberia was the first African country to be EITI (Extractive Industries Transparency Initiative) compliant. This is a major advance with respect to governance and resource management. Over the past two years, the government has used standard mineral development agreements (MDAs) and bidding documents in-line with international good practices. The Extractive Industries Technical Advisory has provided advice on several iron ore and related infrastructure negotiations as well as proposed changes to the mining concessions agreement structure and negotiation procedures. The Bank is reviewing the forest, mining, petroleum and fishery sectors to identify gaps as per the EITI++ value chain approach and the World Bank Institute (WBI) has also carried out consultations on social accountability issues and opportunity mechanisms for Liberia. However, mining legal and regulatory frameworks still need to be updated and a recent assessment by the UN Panel of Experts on Liberia suggested that although progress has been made in improving the regulatory environment governing natural resources, implementation constraints still hinder its operation. 24. All CAS milestones relating to improving Liberia’s business and investment climate have been achieved as well as one outcome. In 20107, Liberia was recognized as a Top Ten Global Reformer. On the ease of doing business, Liberia was ranked 155 out of 183 economies in 2010, up from 170 out of 178 in 2007.8 IFC is supporting improvements in the regulatory environment and supports investment generation through direct support to sector ministries and a public-private dialogue through the Liberian Better Business Forum. A state-of-the-art Business Registry was recently launched and allows a business to complete registration 48 hours from submission of complete documentation. IFC also supported the establishment of a commercial microfinance bank—Access Bank Liberia (ABL), which opened its first branch in January 2009. ABL went on to established five additional branches and now manages 28,000 accounts, exceeding CAS expectations. In addition and in recognition of the capital constraints of Liberian SMEs, IFC worked to set up the West Africa Venture Fund (“WAVF”) to provide risk capital and advisory services to SMEs. WAVF Liberia launched on April 19, 2011 and the average investment size is expected to be between US$100,000 - US$500,000. IFC has also expanded its Global Trade Finance Program and accelerated technical assistance for Liberia’s banks, to improve the take-up and use of the Global Trade Finance program. Access to finance remains however, a major constraint for the growth of the SME sector. 7  Doing Business Report 2011 8 Doing Business Report 2008-2011 6 25. Most CAS social protection milestones have been achieved through successful government implementation of quick-impact social protection measures to mitigate the negative effects of the food crisis. For example, a school-feeding program operation in five counties in southeast Liberia in 2008/09 benefitted over 62,000 students from both pre-school and primary levels. A cash-for-work program implemented by the Liberia Agency for Community Empowerment (LACE) benefitted 17,000 people, including in marginalized urban areas, where unrest is a significant threat. In addition, the Community Empowerment Project in Liberia has successfully enhanced community cohesion, social capital and community infrastructure. To date, LACE has completed 155 infrastructures, including schools, health clinics, markets, bridges and culverts, and improved water and sanitation sites, throughout Liberia’s 15 counties. Approximately 2,750 community members and local government authorities also have received training from LACE on project management, as well as conflict resolution and reconciliation. D. Portfolio Performance 26. The quality of the IDA portfolio overall is satisfactory. The active IDA portfolio currently consists of 11 projects with net commitments of US$270 million. The undisbursed balance as of March 22, 2010 was US$142.87 million. The portfolio has no net commitments at risk or over-age projects. Implementation performance for the country shows 46 percent of projects rated satisfactory and the remainder as marginally satisfactory, mainly because of capacity constraints and implementation delays. As of April of 2011, the disbursement rate for the IDA portfolio was 25.5%. Annex 6 presents more detail on selected indicators of Bank portfolio and management. 27. Regional projects now represent a substantial part of the Bank’s portfolio. With the approval of two regional projects namely the West Africa Power Pool (Phase1) and the Africa Mineral Governance Project APL 1, the Bank will be supporting a total of four regional initiatives in FY 12 for a total commitment of US $158.6 million. 28. The last Country Portfolio Performance Review (CPPR) was held with the GOL in February of 2010 and highlighted capacity issues in overall implementation, procurement and contract management. Both the GOL and the Bank shared a common assessment that the country is gradually moving out of an emergency recovery situation to a normal development path, albeit with various challenges. It was also noted that, once out of emergency status, higher standards would be required for implementation of development policy and projects. The GOL needs to have greater country ownership in planning, managing and supervising its investment, and to develop and sustain its institutional capacity, building upon the experience and lessons learned during this transition period. This is especially important given that operations for Liberia are no longer being processed under emergency procedures and in addition, Bank IDA support is now delivered as concessional credits not grants, given that Liberia’s debt stress has been reduced to tolerable levels. 29. The next CPPR will be held in late June, 2011. Members of the country team and the GOL will not only review progress made since the last CPPR, but also discuss how to more effectively mainstream the guidance of the Bank’s new Africa Strategy in dealing with issues such as capacity building and improving development partnerships. It is also important to note that, in FY 2011, the Liberia Country office added three new staff to the team: procurement and a financial specialist as well as a Senior Operations Officer in order to strengthen portfolio management. This operations’ team will assist the Ministry of Finance in setting up a framework for systematic joint reviews of Bank operations in the country. 30. Trust Funds have been and will continue to be a very important source of program financing for the rest of the CAS period and beyond. At present, the Liberia Country Program has a portfolio of approximately 56 trust funds, including the Liberia Reconstruction Trust Fund (LRTF), a 7 Bank-administered multi-donor trust fund which has signed pledges to date for about US$171 million and has thus far in the CAS period committed US$145 million. The Liberia country office local operations’ team will be analyzing the trust fund portfolio in coming months to ensure a more strategic use of funds, avoid fragmentation and its associated costs, and promote greater alignment with the extended CAS. 31. Another challenge facing the portfolio is the need to improve the monitoring and evaluation and statistical capacity of the GOL. The current PRS was based on the achievement of deliverables and outputs, not development outcomes. One major underlying issue is the lack of adequate and reliable statistics at the country level. A proposal has been submitted to the Bank’s Statistical Trust Fund in order to support the GOL, together with other donors such as the AfDB and the UNDP, in their efforts to improve their measurement of basic development indicators and the results indicators that will be developed for the PRS II with the assistance of the WBI. E. Cross Cutting Issues 32. Low levels of implementation and sector capacity have been the most serious binding constraint in the delivery of Bank financed programming in Liberia since the reengagement of the Bank in 2005. Liberia is still a country with only 100 trained medical doctors and 31 certified public accountants. In the Civil Service, reform needs have been addressed through shorter-term solutions, such as Bank support to the Senior Executive Service, a program which finances highly qualified Liberians in key public positions; this program has been a key driver for capacity building in the public sector and the GOL has expressed its intention to absorb SES staff into its payroll beginning January 2013. Additionally, the Bank and other donors continue to support the Liberia Institute of Public Administration to train core civil servants in various areas. There has been notable progress in several institutions, such as the Ministry of Public Works and the Monrovia Municipal Corporation in building stronger technical units to implement Bank projects, with the idea that these units will gradually transfer to line ministries and government agencies. Nevertheless, many project coordinators and key fiduciary staff continue to be non-Liberians; the sustainability of their salary rates remains an issue. Low public sector wages, especially in health and education, also constrain government capacity to improve overall professional levels in these ministries. 33. Reforms in core state institutions have been underpinned by broad-based capacity building efforts. The Financial Management Training School, for example, is building Public Financial Management (PFM) human resources capacity in government agencies by training a cadre of qualified practitioners. The establishment of an independent General Auditing Commission (GAC) and programs to strengthen audit capacity has enabled the audit of government accounts for the first time in twenty years. World Bank Institute (WBI) capacity development activities have drawn on South-South platforms for regional knowledge exchanges and access to technical know-how on four governance-related themes: access to information, procurement and contract monitoring, particularly in the area of extractive industries, parliamentary strengthening and social accountability. 34. Capacity building is also important for Liberia’s private sector. Entrepreneurship is weak in Liberia, and excepting a few major companies such as Arcelor Mittal and Firestone, most businesses are small, informal, with low production capacity and with very limited access to reliable business support services. IFC is addressing this challenge through the roll out of its trademark SME capacity development solutions tools such as an SME Toolkit and Business Edge programs. IFC is also working to strengthen Small and Medium Scale Enterprises (SMEs) through the SME Toolkit and Business Edge programs. Through its Africa Schools Program, the IFC supports the GOL’s Education Sector Plan by providing opportunities for the development of private vocational and technical schools through business development services and access to finance. 8 35. In 2010, Liberia was the winner of the 2010 MDG 3 award for outstanding leadership, commitment and progress towards the achievement of MDG 3, which purpose is to eliminate gender disparity in education and empower women. Women comprise 56 percent of the informal non- agriculture sector and are still significantly underrepresented in key emerging areas of the Liberian economy such as mining, construction and services. They also have consistently less access than men to key productive inputs, including land with 16 percent of women owning land compared to 33 percent of men. During the CAS period, the Bank, with various partners9, has supported two pilot programs focusing on the economic empowerment of 2,500 adolescent girls and young women, aged 16 to 27 in Monrovia and Kakata and of 1,000 women in 10 communities in Ganta, Nimba County who are involved in the production, processing and marketing of cassava products. Lessons learned from these programs will be vitally important for the national visioning document: “Liberia Rising 2030” especially with respect to inclusive development. The GOL and the Bank also prepared a Policy Memorandum on Gender and Agricultural Value Chains with a goal to support programs on gender issues in agricultural and rural development. IV. ADJUSTMENTS TO THE CAS AND MOVING FORWARD 36. During the CAS period (FY09-11), the Bank was able to mobilize significantly higher levels of financing, both from IDA and Trust Funds, than anticipated in the original lending strategy. 10 The total original Bank financing package for the CAS was estimated to be approximately US$ 284.8 million but to date, has reached a total of approximately US$528.7 million. Specifically, IDA lending increased from the US$138 million to US$ 248 million during FY09-11. The majority of the funding was to support investment lending but to date, the Bank has also delivered a total of US$15 million in budget support as planned. This has sent a strong signal to other development cooperation partners, several of whom are now working with the GOL and the Bank in discussing the content of a common results framework for a future coordinated budget support operation. Budget support operations have been focusing on: (i) improving the capacity for and transparency of public procurement; (ii) improving internal control measures and the capacity for internal audit; (iii) improving revenue administration; and (iv) improving land administration to reduce conflicts and enhance the investment climate. These operations have complemented the Economic Governance and Institutional Reform Project, which received additional financing to increase support for rehabilitation of core state functions, especially with respect to capacity building in public financial management and procurement. In line with the Africa Strategy, efforts will continue to scale up partner collaboration and leverage resources to supplement still modest domestic revenues. 37. Increased resources meant that the Bank was able to respond positively to the GOL’s request to increase funding for key infrastructure program, including roads, which was the number one priority, identified in PRS I. This made possible not only the financing of new investments but also the mitigation of cost overruns in individual IDA operations affected by the inflationary impact of the global crises. Planned investments for the transport sector had originally totaled US$96 million but a total of US$274 million in operations will have been delivered by June 7th, the Board date of the Liberia Road Asset Management Project (LIBRAMP). US$25.5 million of was assigned for the West Africa Regional Connectivity Program which will significantly improve Liberia’s access to internet. The West Africa 9 Partners have included the Nike Foundation, the UNIFEM, and the International Center for Research on Women as well as Denmark. 10   Annex 3 describes CAS funding sources per project during FY09-11; Annex No. 4 documents changes in the Indicative Lending Program for FY09-11 CAS     9 Regional Fisheries Program (WARFP) also received additional financing and will be investing US$12 million in the sector over the next 5 years to help generate more revenue from fisheries. 38. Additional resources also allowed the Bank the flexibility to respond to the GOL’s growing concern about responding more adequately to investments in human capital and employment creation, activities not programmed in the CAS. US$40 million were approved by the Education for All-Fast Track Initiative Grant for Basic Education which will support targeted interventions for expanding access to education in rural areas and improving the classroom learning environment. Previously, the Bank had helped the Ministry of Education draft and disseminate the Education Sector Plan (2010-2020) which was a prerequisite to obtaining the grant. Support was provided for the YES (Youth, Employment and Skills Project), which is expected to promote employment through skills training in both the formal and informal sectors and also to scale up a successful cash-for-work program which will provide 45,000 Liberians with temporary employment between 2010 and 2013. These efforts are fully aligned with the pillar of the Africa Strategy addressing competitiveness and employment and they will be enhanced moving forward. 39. Responding to specific needs of GOL, the Bank group also increased the amount of non- lending activities originally planned in the CAS, as can be seen in Annex 5. Bank Policy Notes and World Bank Institute technical assistance have evolved into important vehicles for informing the government’s longer term visioning document, Liberia Rising 2030 as well as the PRS II. WBI is currently providing technical assistance to the Ministry of Planning and Economic Affairs to develop a results framework for PRS II that clarifies medium-term goals and objectives in terms of observable development outcomes and priorities. A unified set of indicators will also be developed; this will facilitate PRS II coordination, planning, and implementation monitoring by country stakeholders and donor partners. 40. PREM, HD, SD and IFC staff are working on a series of analytical studies, including a Growth Diagnostic and Scenario Planning for the PRS II, which will be used to simulate impacts of various policy alternatives given a fiscal envelope on key macro variables as well as MDGs. They are also preparing specific studies on Infrastructure and Private sector development, including Private Public Partnerships to improve service delivery and leverage concessionaire activity to drive economic diversification. Two other studies, Political Economy and Exclusion in Liberia and a Social Protection Policy Note will look both to deepen understanding of the political and economic dimensions of exclusion and also provide the basis for the formulation of an effective social protection policy and strategy for Liberia. These studies will explore options in which Foreign Direct Investment could be more pro- national development, for example by developing linkages to public infrastructure and linking concessionaire activities to the local private sector. As discussed in the Africa Strategy, these knowledge products might be turned into the instruments to identify the constraints for improvement and help government to boost its performance. 41. The original CAS results framework (Annex 1a) is revised into a leaner and more realistic forward-looking matrix (Annex 1b) which reflects the extension of the CAS until the end of FY12. Changes in the composition of projects and AAAs in the Bank’s portfolio are reflected in the indicators and milestones. Primary education is added as a component. Generally, targets for indicators and milestones are revised upwards except in the agricultural sector due to late start of activities in this sector. 42. FY12, the final year of the extended CAS, will be a strategic year for Bank programming in Liberia. Important analytical work will continue to be undertaken to support the elaboration of PRS II, final elaboration and consultation of which will be done after the upcoming elections in October. The Bank will also prepare a CAS completion report and afterwards, begin preparation of a new five year Country Assistance Strategy based on priorities of the PRS II that the GOL will want the Bank to focus on and taking into account the strategic framework of the Bank’s new Africa Strategy. 10 43. Donor coordination will continue to be a vital component of Bank work. Partnerships will be strengthened with donors not only to promote harmonization in programming and alignment with government priorities but also to promote new funding sources for those priorities. Reconstruction financing needs to establish a solid base in infrastructure and human capital remain enormous. Non- traditional partners and bilateral donors are channeling significant levels of aid to Liberia, especially the European Union, the African Development Bank and the governments of the United States, China, Japan, France, Sweden and Ireland, and the UN family. At the sector level, it is expected that donor coordination will improve with the consolidation of the sector working groups that have been established to elaborate the PRS; each group is co-led by a development partner and a GOL ministry. At the beginning of the CAS period, the Liberian Reconstruction Development Committee was the setting for high level strategic coordination and policy dialogue between GOL and the donor community. Over the past year, many donor partners have felt the urgent need to revitalize the current level of policy dialogue and the Bank will be working to facilitate that process; a recent meeting with the President to discuss the issue of energy policy was a step in the right direction. 44. Partnership will also be strengthened with Civil Society, especially in the area of governance and transparency. WBI and several NGOs are working together to improve social accountability and increase demand for good governance through access to information work, contract and procurement monitoring, budget transparency, and monitoring of performance of Bank projects through External Implementation Status Reports. 45. In addition to the ongoing AAA work described in paragraphs 30-31, the Bank team will also prepare several pieces of core analytical work to inform the new CAS. These will include a Public Expenditure Review, a Poverty and Gender Assessment, in addition to a series of policy notes on Road’s Sector Reform and Rebuilding State Capacity. 46. Finally, in FY12, IDA proposes to deliver three country level operations and two regional initiatives. A new Transport operation for US$35 million will focus on rural roads and maintenance and a Development Policy Operation (RRSP4) for US$5 million will continue to promote reforms in governance and land tenure reform. The third FY 12 IDA deliverable will be the US15 million Small Holder Tree Crop Revitalization Support operation, that will target small farmers and reintroduce rural credit to the country’s economy. IFC is also considering several investment opportunities in the tree crop sector and will begin to do follow-up work to the new World Bank Framework and IFC Strategy for the Palm Oil Sector. V. KEY CONSTRAINTS AND RISKS 47. The risks identified in the CAS stand relevant at the time of this progress report. Liberia remains a fragile state and a divided country, politically and culturally, because of lingering historical and post-conflict tensions which could be exacerbated by the political tensions immanent in the period of national elections. The WDR 201111 concludes that the risk of relapse into conflict could be derived from an unfinished or haphazard truth and reconciliation process. In addition, any problems in government transition, resulting from the elections results, could spark a relapse, which then would pose a substantial risk for the rest of the CAS implementation period. UNMIL continues to maintain a peacekeeping force, and to help the national police develop an integrated security and contingency plan, including the establishment of security hubs in selected parts of Liberia, in preparation for its anticipated draw down. Accelerated support for the security sector will be an essential aspect of 11  WORLD DEVELOPMENT REPORT 2011, Conflict, Security, and Development. The World Bank, Washington D.C., January 2011.  11 consolidating the fragile peace in Liberia; considerable work remains to be done before the eventual handover of UNMIL security responsibilities to national authorities. 48. Over the past several years, the government’s strong economic and political reform efforts have been recognized by the local and international community, but the population’s expectations for concrete peace dividends still remain high. Managing short term expectations of the population is complicated given that there are no quick fixes for structural issues such as land tenure, underemployment and issues of exclusion which continue to be factors of instability in the country. The 14 year conflict that devastated the country is largely blamed on the exclusion and marginalization of a large part of the Liberia population from political power and the economic wealth from the country’s natural resources. It is important therefore that the new visioning exercise, Liberia Rising, be accompanied by a communication strategy that discusses these issues and the search for strategies and implementation plans which respect a multi-cultural nation. Bank analytical work in support of PRS II could play an important role in supporting GOL’s efforts to promote a more equitable and inclusive national growth and poverty reduction strategy. Bank programming for employment creation, increased access to infrastructure and educational and health service delivery for both urban and rural populations will also be key. 49. Capacity building, in order to implement a national development plan that is more pro- poor and equitable is one of the major challenges facing Liberia. Shortage of capacity within Government to implement reforms or programs poses a significant risk. Building capacity to implement will be one of the major components of a results based PRS II. To date, there has been notable progress in building strong technical units and functions in various sectors and the Bank funded SES program has been a key driver for capacity building in the public sector. Some of these are short to medium term measures but it is important that the Bank, together with other donors, work closely with the GOL to evaluate what has been done, what has worked and what elements are important to take into consideration for the medium and long term. As suggested by the WDR 2011, a dual track approach to capacity building will be pursued: the short term measures to address bottlenecks will coexist with longer term investments in human capital, especially in health, nutrition and education and longer term programs to promote stronger state capacity. The Africa Strategy also offers a useful framework for this discussion. 50. Weak governance and high levels of perceived corruption remain a key constraint to development. Diversion of public resources and poor value for money remain significant concerns. Improving the quality of legislation and the system of law codification will help build the rule-of-law foundation and minimize the potential for direct conflicts. Each Bank investment operation contains mitigation measures and broader governance policy reforms will be supported by budget support operations. Strengthening procurement capacity, not only in Bank supported operations, but also for the execution of the entire national budget will continue to be a priority of Bank programming in governance and transparency in FY 12 and beyond. 51. FY12 presents an opportunity to strengthen the solid partnership that the World Bank Group has developed with Liberia since reengagement. The development of a National Vision and a more ambitious second generation PRS is an opportunity for the GOL to consolidate gains and accelerate development and at the same time confront key development challenges and obstacles. For the WBG, it is an opportunity to deepen understanding of Liberian reality and the underlying political economic and technical constraints to development through key analytical work to support the PRS II process as well as to inform the new CAS, whose implementation will coincide with the time frame of the PRS II. The Bank will also continue to do what it has done successfully over the current CAS period to date, strategically use IDA financial and knowledge resources to leverage more development resources from public, private and public/private sources for Liberian reconstruction and development. 12 CAS Progress Report ANNEXES 13 Annex 1a: CAS Results Matrix – Progress to date Selected Progress to Date World Bank Liberia PRSP Key Issues CAS Outcome CAS (March 31, 2011) Group/ADB objectives & from PRSP & Indicators Milestones Instruments indicators12 CAS Strategic Theme 1 – Rebuilding of Core State Functions and Institutions (aligned with PRSP Pillar III) Create a new  Fragmented and 1. Improved efficiency of Budget Preparation and Execution On-going Projects: framework for PFM incomplete legislation, budget preparation and unclear rules and lack execution and enhanced 80 % of vouchers can be approved Achieved.100% of vouchers are Support for MOF of coordination create and paid by MOF by 2009 approved and paid by MOF Resource Management revenue administration opportunities for abuse (compared to 60% in 2006) (WB) Controller in 2010. Unit (FY07) Improve PFM using and corruption  The accounting system Quarterly expenditure reports Achieved. The quarterly report ADB Institutional Support an integrated posted within 6 weeks after end of ended 2010 is published after 45 Project (FY07) financial is handicapped by a Budget Execution single-entry system, quarter by 2009 (compared to 3 days management system months after in 2007) (WB) EGIRP (FY08) weak purchase order 1.1 Reduction in number of days and accounts payable to process payment vouchers Three modules of the IFMIS IFMIS (FY08) systems and weak by at least 50% (from 14 Not achieved. Now scheduled for coordination between system (General Ledger, Budget July 2011. days) by 2010 (WB) Improve revenue HR and Payroll and Achieved. 7 days Preparation and HR and Pay Roll) Public Procurement collection by operational by 2011 (WB & ADB). Reform (FY04) between MOF, BoB implementing tax and CBL <20% of public procurement that Not achieved. 68.3% in 2010 Pipeline Projects: administration  Outdated laws, used direct contracting and/or less reforms and overlapping ADB budget support competitive methods without automation procedures, weak proper justification by 2010 operation (FY09) organizational (compared to estimated more than (No indicators presented structures and limited WB Development Policy 80% in 2008) (WB) in the PRSP) automation have Operation (FY09) resulted in inefficient General auditor produces audits for revenue administration five Ministries that are submitted Achieved. 22 audits submitted in AAA  Weak procurement to Parliament by 2009 (ADB) 2009. legal framework and DTIS (FY09) practices lead to Internal audits produced for 3 key Not achieved. inefficiencies in the ministries by 2009 (ADB) use of public funds Macro-fiscal unit performs Partners: DfID functions linking budget to Not achieved. Rescheduled to Medium Term Fiscal Framework 2011. by 2010 (ADB) 12  This is a subset of the Liberia PRSP Objectives taken directly from the final PRSP document.  14 Selected Progress to Date World Bank Liberia PRSP Key Issues CAS Outcome CAS (March 31, 2011) Group/ADB objectives & from PRSP & Indicators Milestones Instruments indicators12 Revenue Administration Revenue Administration Achieved. ITAS implementation started in Oct 2010 1.2 50% of collected revenue New computerized Integrated Tax captured in the Integrated Administration System (ITAS) Tax Administration System operational by 2010 (WB) Not achieved.Scheduled for 2011 by 2010 (WB) No data Tax administration risk management systems implemented and post audit systems enhanced by 2010 (ADB) Strengthen and  Public institutions, for 2. Increased professionalization Civil Service Ongoing Projects: enhance the the most part, have and improved HR management effectiveness and been bloated, of the civil service ProfessionalizationSenior Achieved. 97 staff currently at Senior Executive Service efficiency of public disorganized, weak Executive Service (SES) Scheme is post. (TFLIB- FY08) institutions and and supportive of Civil Service Professionalization fully operational - at least 70 staff functions corrupt practices. recruited by 2009 (WB) Civil Service Reform  Experienced and 2.1 35% of SES staff who are Project (LICUS - FY08) qualified professional rated satisfactory in terms Ministries implement restructuring Not achieved. Restructuring plans staff left the civil of performance against plans based on redefined mandates, prepared for 5 ministries. However, EGIRP (FY08) % of population that service because of low targets in performance new organizational structures and implementation has begun for one perceives the contracts are retained in matching staffing plans (WB) (the civil service agency). Capacity building for salaries Government of Liberia to the civil service at the end Judicial Services (LICUS be performing better than  Staff motivation is low of their contract (WB) No Civil Service Reform Strategy in Achieved. Civil Service Reform - FY08 in the previous year  Payroll controls are data 13 place by 2009 (WB) Strategy approved by Cabinet weak and there is a high number of ghost Development of a plan for LIPA’s Not achieved. Training plan not workers training delivery by early 2009 and developed, no training conducted. Partners: UNDP, 2.2 50% of SES staff builds Number of Ministries, sustainable capacity for 25 MDA staff trained by 2010 USAID, Carter Institute, Agencies and improved management of (WB & ADB). DfID SOEs/parastatals government functions by restructured based on effectively training and Ssystem of performance evaluation Not achieved.No significant revised, published and nurturing and least one based on merit is designed and progress. adopted mandates staff during the time of linked to compensation and their contract. (WB) promotion systems by 2011 (WB) Partially achieved. 13  Update: At the end of December 2010, the performance of 92% of SES staff was rated satisfactory. The absorption of SES staff into the civil service would only be considered at the end of their existing contracts that would be expiring at various times between January to June 2011.]    15 Selected Progress to Date World Bank Liberia PRSP Key Issues CAS Outcome CAS (March 31, 2011) Group/ADB objectives & from PRSP & Indicators Milestones Instruments indicators12 Capacity-building is on- going. HR Management of Civil Service HR Management of Civil Service 2.3 Discrepancy between Personnel records maintained with Achieved. Personnel records nominal and actual payroll one file for each employee with created and matching with payrolls less than 2% in 2010 matching payroll records. (WB) on-going. (compared to 25% in 2007) (WB) Not Personnel file includes biometric Achieved.Biometric information achieved.8 % information for 100 percent of available for 45% of personnel employee. (WB) files. Rationalisation of civil service Achieved. Grading rationalized grades and development of a well (from 16 to 10) and salary strategy defined salary structure. (WB) approved by Parliament. Retirement age and rules are Achieved. Employees exceeding enforced 100% of the time. (WB) retirement age removed from payroll. CAS Strategic Theme 2 – Rehabilitating Infrastructure to jump-start growth (aligned with PRSP Pillar IV) Transportation - to Transport 3. Improved access to key Transport On-going Projects improve the Liberian infrastructure services transport sector  Liberia’s roads Cotton Tree – Buchanan road Partially Achieved. Cotton-Tree- Agriculture and network is in complete Transport corridor under Output Based Road Bokay Town complete. Bokay- Infrastructure Dev. Project through policy, deterioration. Performance Contract (OPRC) by Town to Buchanan (57km) (FY08) systems and infrastructure  Liberia has limited 3.1 20% reduction in travel time 2010; Monrovia Ganta corridor procured under Limited road maintenance between Monrovia – Ganta under OPRC by end 2011. (WB) International Bidding (LIB). Emergency Infrastructure development that Not achieved. Yet to start Works to start by May 2011 to be Project (FY06) workforce. create access to completed in 25-months: Monrovia  Poor port facilities, and Cotton Tree – Buchanan ADB Labor-based Public reliable, affordable inefficient institutional by 2011 (WB) Achieved. 30 % - Ganta corridor bids under 10-yr and efficient services OPRC invited in December 2010. Works Program framework and Bid submission in May 2011, inadequate port 3.2 Primary and feeder roads expected evaluation and award by Pipeline Projects: maintenances. rehabilitated and subject to October 2011. Indicators: roads sustainable maintenance Monrovia/Urban rehabilitated or increase from 25% to 45% Partially achieved. Draft Infrastructure Emergency reconstructed by 2011 by 2010 (ADB) legislation on establishment of a Project (FY09) Achieved.45 % Road Authority and Road Vessels clearing Freeport Maintenance Fund in preparation Urban and Rural of Monrovia increased 3.3 Productivity of the for enactment by Legislature. Infrastructure Monrovia port increased Rehabilitation Project 16 Selected Progress to Date World Bank Liberia PRSP Key Issues CAS Outcome CAS (March 31, 2011) Group/ADB objectives & from PRSP & Indicators Milestones Instruments indicators12 from 28 to 32 per month from 3 moves/hr per crane Achieved. 24 km resurfaced. (FY09) in 2008 to 8 moves/hr per crane in 2011 (WB) ADB Agriculture Sector Partially achieved Partially achieved.Vai Town Rehabilitation Projct Bridge 75% completed. Caldwell (FY09) consultancy in award process. Draft legislation on establishment Partners: Norway, EC, ADB: Four bridges under of Road Authority and Road US construction at Fishtown-Harper Maintenance Fund by 2011 (WB) Road Achieved. Maintenance of these 24 kms of Monrovia roads roads is ongoing. resurfaced (WB) Partially achieved. Rehabilitation New Vai Town, Caldwell (WB) of 200 km of feeder roads started and four other bridges (ADB) and in 2011 under WB/ILO. ADB 35 minor river crossings built or works contracted to ILO also improved by June 2011 currently in progress. Partially achieved.Rehabilitation of Fish Town – Harper Road 125 600 kms of roads under km primary roads in construction. maintenance 2009-2011 (WB) Achieved. 229 drainage points 400 kms (WB) + 600 kms (ADB) constructed at Fishtown- Harper of rural feeder roads rehabilitated Road. by 2011 Achieved. Private concession effective in 2010 and handles near 100% of general cargo. 125 km of primary roads rehabilitated by end 2010 using LB Achieved. Concession agreement methods (ADB) became effective in October, 2010 229 drainage points constructed by Achieved. 229 drainage points 2010 (ADB) constructed on Fishtown-Harper Road. 70% of the general cargo Achieved. Private concession operations by professional terminal effective in 2010 and handles near operator by 2010 (WB) 100 % of general cargo. Landlord Port Authority Achieved. Concession agreement established by 2010 (WB) became effective in October 2010. 17 Selected Progress to Date World Bank Liberia PRSP Key Issues CAS Outcome CAS (March 31, 2011) Group/ADB objectives & from PRSP & Indicators Milestones Instruments indicators12 Water and Sanitation Water and Sanitation Water and Sanitation (Monrovia) Water and Sanitation (Monrovia) On-going Projects - Reduce the water and sanitation-related  Only about 42% of the 3.4 Number of people served Number of household water Not achieved.Deliverable Emergency Infrastructure Liberian population with safe drinking water connections in Monrovia increased rescheduled from 2010 to 2011-15 Project (FY06) disease burden in has access to increased to 700,000 by from 17,900 in 2007 to 50,000 by due to the redesign of the project – Liberia 2010 (ADB) Not 2010 (ADB) approved in May 2010. Labor-based Public Works improved drinking water. achieved.Redesign of Project (FY08)  Only about 39% of the project 75 km of Transmission Mains and Not achieved Deliverable population has over 200 km of Distribution lines rescheduled from 2010 to 2011-15 ADB Monrovia Water adequate means of rehabilitated in Monrovia by 2010 due to the redesign of the project – Supply and Sanitation human waste (ADB) approved in May 2010. Rehabilitation Program collection. 3.5 Number of people with access to sanitation facilities Treated water volume at Monrovia Not achieved. 4.2 MGD in Oct Pipeline Projects:  Liberia’s urban increased to 300,000 by 2010 plant increased from 2 million 2010 infrastructure is ADB Monrovia Extension (ADB) Not gallons per day (MGD) to 6 MGD destroyed and in and 3 County Capitals achieved.Redesign of project by 2010 (WB) disarray and city Project (FY09) planning is poor.  Operation of water Monrovia/Urban and sanitation 1 sewage stabilisation pond, and 31 Not achieved. Deliverable Infrastructure Emergency facilities currently public toilets, rehabilitated/ rescheduled from 2010 to 2011-15 unsustainable. constructed by 2010 (ADB) due to the redesign of the project – Project (FY09) approved in May 2010. Community Empowerment Project II 40% of solid waste disposed of in a (FY07 + FY08) Partially achieved.35 % of solid sanitary manner annually waste collected and disposed. (compared to 25%) (WB) AAA: Water/sanitation Expansion and Rehabilitation – study (ADB) Partners: Norway, EC, US Energy – Provide Energy Energy (Monrovia) Energy On-going Projects reliable, sustainable and affordable energy  Grid electricity is non- Emergency Infrastructure existent outside Project (FY06) services to all Monrovia 3.6 Number of connections to Selection of a Management Achieved. Management Contractor Liberians in an environmentally sound  Presently only the electricity grid increased Contractor for an integrated selected. Improved Electricity from 350 in 2006 to 3,600 Electricity Concession for Access for Liberia 18 Selected Progress to Date World Bank Liberia PRSP Key Issues CAS Outcome CAS (March 31, 2011) Group/ADB objectives & from PRSP & Indicators Milestones Instruments indicators12 manner 2.65MW of power is in 2010 (WB) Partially Monrovia by 2009 (IFC/WB) (GPOBA) available in Monrovia achieved. 3,090 while the demand is Special Purpose Company for Not achieved.Special Service Pipeline Projects: between 30 to 50MW regional transmission operation Company not set up yet. Indicators: % of formed by 2010 (WB) Monrovia/Urban households with access Infrastructure Emergency to electricity increased Feasibility Study for the Achieved.Feasibility study Project (FY09) from 0.6% to 10% by interconnections between Liberia, completed. 2011 Cote D’Ivoire, Guinea and Sierra IFC Program to Leone completed by June 2010 Implement Public Private Installed capacity (WB) Partnership in the increased from 2.6 MW Monrovia Power Sector to 29.6 MW by 2011 WB Power Sector PRG (FY10) Regional West Africa Power Pool Project (FY10) AAA: Infrastructure Strategies: (Energy FY09/10) (ADB) Partners: Norway, EC, US CAS Strategic Theme 3 – Facilitating Pro-poor Growth (aligned with PRSP Pillar II) Agriculture and  Agricultural supply Improved agriculture and Agriculture On-going Projects Food Security - chains have collapsed natural resources management Revitalize the food and due to fragmented in a way that generates pro- Number of markets where seed rice Not achieved. Activities not Agriculture and markets, weak rural poor growth is available has increased from 3 in started yet. Infrastructure agricultural sector to demand, no value 2007 to 7 (WB) Development Project contribute to shared, (FY08) addition, and few inclusive and Agriculture Local seed multiplication facility incentives for cash Not achieved. Activities not sustainable economic crop production. established and produces 1000 mt Emergency Infrastructure started yet. growth and  Agricultural 4.1 Yields of rice increased of certified seed (WB) Project (FY06) development; provide institutions remain from 700 kg/ha to 1200 food security and largely ineffective at kg/ha among beneficiary Two new agricultural sector Pipeline Projects: farmers by 2010 (WB) No policies completed with results Not achieved. No activities yet. nutrition; increase delivering services data framework (WB) Agriculture Sector employment and such as regulation, Rehabilitation Project income; and policy and planning, At least 3 markets and research and 19 Selected Progress to Date World Bank Liberia PRSP Key Issues CAS Outcome CAS (March 31, 2011) Group/ADB objectives & from PRSP & Indicators Milestones Instruments indicators12 measurably reduce extension. 4.2 Yields increased (ADB): constructed/rehabilitated (WB) Not achieved. No activities yet. (FY09) (ADB) poverty. - irrigated rice from 1 Reduced import tax on rice and Achieved. Met AFCR component of ton/ha in 2009 to 1.5 ton/ha tariffs for agricultural inputs Budget Support Operation in 2011 (ADB) (FY09) (ADB) Indicator: Growth of agricultural production % - upland rice from 0.7 Regional Fisheries (FY09) ton/ha in 2009 to 1.2 ton/ha in 2011 Smallholder Tree Crop Revitalization Support - maize from 1 ton/ha in Project (FY10) 2009 to 1.5 ton/ha in 2011 West Africa Agricultural - cassava from 5 ton/ha in Productivity Program-1C 2009 to 6.5 ton/ha in 2011 (FY11) No data AAA: 4.3 Metric tons of cocoa sites increased from 3,000 in IFC sector study on palm 2007 to 4,000 tons by 2010 oil (FY09) (WB) No data Policy Note on Pro-Poor Growth (FY09) DTIS (FY09) Partners: WFP, EC, US, FAO Forestry – The Forest Forest Forest Ongoing Projects: forestry sector should become a source of  Lack of awareness and 4.4 All illegal concessions 2 community forestry concessions Achieved. 10 economic Forestry Sector information and cancelled and no by 2010 (WB) development sites established Management Project higher incomes for the compliance with the commercial logging outside rural population, of concession framework (TFLIB – FY07) law in relation to ensuring that the commercial and other (WB) Achieved. All illegal benefits are shared forestry. concessions cancelled and Community Rights Law approved Achieved. Law approved. EGIRP (FY08) equitably, and that  Small area allocated no commercial logging for by 2009 (WB) adequate for protected area export outside of GEF-Sapo (FY05) environmental and network and a non- concession framework other regulatory GEF-COPAN comprehensive legal Partially achieved. One Protected Declaration of 3 new Protected (Consolidation of safeguards are in framework to govern Area declared. Areas by 2010 (WB) Protected Areas Network) place to ensure wildlife management (FY10) sustainability.  Rights and responsibilities of 20 Selected Progress to Date World Bank Liberia PRSP Key Issues CAS Outcome CAS (March 31, 2011) Group/ADB objectives & from PRSP & Indicators Milestones Instruments indicators12 communities with Achieved. Done in 2009 by AAA: respect to forests are Conservation International Indicator: Volume of lacking. Calculation of the carbon storage Policy Note on Pro-Poor timber products produced for Liberia by 2009 (WB) Growth (FY09) increase from 0 to 1327 000 cubic meters by DTIS (FY09) FY10/11 Pipeline Projects: GEF-EXPAN (Expansion of the Protected Areas Network) (FY10) Mining - To rapidly Mining Mining Mining Ongoing Projects: expand mining as an engine of economic  Lack of consistent, fair 4.5 Achieve EITI compliant Large-scale exploration and mining Achieved.All new licenses (all EGIRP (FY08) and enforceable status by 2011 (WB and licenses issued through/ recorded types) are issued through MCMS. growth and social mineral agreements, ADB) Achieved. Liberia in mining cadastre system (WB) development, to ensure EITI compliant in 2009 and high transaction that the benefits from costs. EITI Secretariat Support mining activities are Achieved.Standard mining (WB TF and ADB TF)  Low efficiency in widely shared, to recovery of minerals, Transparent and internationally development agreements and diversify the mining and poor competitive mineral asset tendering bidding documents mining tenders sector into new and environmental and procedures are consistently applied and new mining agreements. downstream activities, social practices. to all tendered out mineral Pipeline Projects: concessions (WB) and to improve  Lack of adequate Regional Mining support to local logistics and human miners. resources in the COCPO TA Ministry of Lands, Achieved.Two reports published At least 2 reports of payments to on revenues of the mining sector Mines and Energy and revenues received by the Potential ADB iron (as well as forestry, oil and Government for mining and mining private sector Indicator: Volume of agriculture sectors) minerals are published (WB) window project iron ore produced increase from 0 to 3 AAA: million tons by 2011 Not achieved.Update of Adopt environmental and social environmental/ social frameworks Mining Sector Review management framework for for mining delayed. (FY09) minerals sector compliant with international good practices (WB) Policy Note on Pro-Poor Growth (FY09) DTIS (FY09) 21 Selected Progress to Date World Bank Liberia PRSP Key Issues CAS Outcome CAS (March 31, 2011) Group/ADB objectives & from PRSP & Indicators Milestones Instruments indicators12 Land and Land Land Ongoing Projects: Environmental Policy - To develop a  Inequities in access Policy framework for land tenure Not achieved. (WB, ADB) Land ADB Land Reform and utilization of land. reform adopted (WB, ADB) framework not yet adopted by Commission (TF FY07) comprehensive national land tenure  Polices to promote GOL investment and Pipeline projects: and land use system development are that will provide Land tenure support nonexistent or equitable access to inadequate. project (SPF) land and security of  Taxation and zoning tenure …. Land Tenure Study rules are inadequate (FY09) and/or outdated Policy Note on Pro-Poor Growth (FY09) DTIS (FY09) Private Sector  Administrative and 5. Improved business and Creation of Liberian Better Achieved. LBBF officially Ongoing Projects: Investment - Create a regulatory barriers investment climate Business Forum (LBBF) with launched in 2007 strong enabling severely limit the functioning and operational IFC – Business Registry ability of businesses, Secretariat to facilitate Public with support from the environment for especially SMEs, to Private Dialogue (IFC) Investment Climate Facility private sector for Africa operate effectively and 5.1 3-4 reforms related to Doing investment and exports Creation of at least one commercial Achieved.Access Bank, Liberia efficiently. Business indicators per in non-traditional opened first branch in Jan 2009 and  Outdated provisions of 14 year (IFC) Not achieved. 2 microfinance bank (IFC) has five branches now. activities. the investment code reforms per year IFC Global Trade Finance create obstacles to Achieved. Barriers identified and Program domestic and foreign Identification of barriers to led to business registry. investment. 5.2 Increased access to micro- business formalization (IFC) Indicator: Number of new registered  Majority of payments credit for micro-enterprises Achieved. Investment code passed are made in cash, (IFC,ADB) Achieved. 5,090 Redrafting Investment Code (IFC) by Legislature in Apr 2010 businesses increase from IFC CASA Advisory 1047 in 2007 to 1622 in which undermines micro loans provided by Program security and flexibility Access Bank Liberia as of Modern business registry Achieved. Launch of business 2011 of finances and credit 09/2010 developed (IFC) registry in Jan 2011  Financing for productive 2 Business Reform Committee Achieved.46 investment climate WBG Doing Business investments for the (BRC) and Liberian Better improvements and 8 Doing 14   Will not necessarily translate into an increase in ranking as countries are ranked relative to other country’s performance.  22 Selected Progress to Date World Bank Liberia PRSP Key Issues CAS Outcome CAS (March 31, 2011) Group/ADB objectives & from PRSP & Indicators Milestones Instruments indicators12 Financial Sector - poor and for MSMEs Business Forum (LBBF) reforms Business reforms implemented by Reform Program is limited enacted (IFC) BRC and LBBF To promote a stable,  High volume of non- sound and market- performing loans Access Bank Liberia manages Achieved. > 28,000 accounts in  Poor integrity, weak 20,000 accounts by 2011 (IFC, Nov 2010 ADB Access Bank Liberia based financial system internal controls and ADB) Project (FY08) that supports efficient mobilization and long delays in customs clearance result in Functioning one-stop shop service IFC Access Bank Liberia allocation of resources Achieved. One-stop shop service poor investment for customs facility (ADB) Project (FY09) for customs functioning since to foster sustainable climate, revenue early 2010 economic growth and Pipeline projects: leakage poverty reduction Pro-Poor Growth (FY10) IFC SME Ventures Indicator: Banking Budget support operation system deposits/GDP (FY09) (ADB) increase from 21.4% to Potential ADB private 30% in 2011 sector window LBDI Project (FY10) Non-performing loans WB DPO (FY09-11 decrease from 31% to 15% (by 2011) of total assets of the banking system Labor and Employment 6. Increased access to social Employment generation Ongoing Projects: Employment - protection and social Promote productive  Current labor services in the face of shocks Cash for work program operational Achieved. Cash-for-work program Community employment that will administration with >17,000 vulnerable operational and > 17,000 Empowerment Project II reduce poverty, ensure programs have limited Employment generation households benefiting by 2010 vulnerable households benefitting. (FY07 + FY08)) peace and stability, and impact and lack (WB) enhance the overall well- coordination. 6.1 680,000 person days (WB) being of the Liberian  Unequal and limited and 453,800 person days population opportunities for (ADB) generated through Achieved. 1,250 adolescent girls in Health System 1000 adolescent girls in the women, youth and labor intensive works. the Monrovia area have received Reconstruction (FY07) Monrovia area have received persons with Partially achieved. 125,00 training relevant for business training relevant for business disabilities person-days created employment employment by 2010 (WB). Indicators:  Inadequate and Fishtown-Harper Road AfDB Labor-based Public inappropriate skills Works Program Employment rate (TBD) and knowledge in the 6.2 More than 2,500 direct and Not achieved. 30 % achieved. labor force 50% of road maintenance contracts indirect permanent jobs use LB methods supervised by the 23 Selected Progress to Date World Bank Liberia PRSP Key Issues CAS Outcome CAS (March 31, 2011) Group/ADB objectives & from PRSP & Indicators Milestones Instruments indicators12 created by 2010 (ADB) No MPW (ADB) data. Wage employment in the Food Security Food security EIPSC/TSF non-agricultural sector (TBD)  High levels of food Food security School-feeding program Achieved. School-feeding program insecurity and child operational in five counties in operation in five counties in SE malnutrition impede 6.3. 62,000 pre-school and South East Liberia for the school Liberia 2008/09 Agriculture and socioeconomic primary school children from year 2008/09 (WB) Infrastructure Agriculture and development and vulnerable households in 3 Development Project Food Security - poverty reduction. targeted districts receiving meals Social Services (FY08) Revitalize the food and on a daily basis at school in agricultural sector to 2008/9 (WB) Achieved 25 targeted clinics with a minimum contribute to shared, set of equipment by 2011 (WB) Achieved. Equipment procured Food Support for inclusive and sustainable 20 schools and health facilities and distributed. Vulnerable Women and economic growth and development; provide rehabilitated by 2010 (ADB) Children (FY08) Not achieved.10 schools and 5 food security and 90% of the at least 80 sub-projects health facilities rehabilitated. nutrition; increase employment and income undertaken under CEP II reflect beneficiary priorities (WB) Achieved. 70 % (56 sub-projects) Pipeline Projects: and measurably reduce completed poverty. Economic empowerment of adolescent girls (FY09) ADB Agriculture Sector Rehabilitation (FY09) 24 Annex 1b: CAS Results Matrix – FY-11-12 Selected Key Issues CAS Outcome CAS World Bank Group/ADB Liberia PRSP objectives from PRSP & Indicators Milestones Instruments & indicators15 CAS Strategic Theme 1 – Rebuilding of Core State Functions and Institutions (aligned with PRSP Pillar III) Create a new framework  Fragmented and incomplete 1. Improved efficiency of budget Public Financial Management On-going Projects: for PFM legislation, unclear rules and preparation and execution and lack of coordination create enhanced revenue IFMIS core budget and treasury system Economic Governance and & opportunities for abuse and modules implemented at the MoF for Institutional Reform Project (EGIRP) administration corruption budgeting, budget execution, and financial (FY08) Improve PFM using an  The accounting system is Legal Framework reporting by 2011/12 (WB). handicapped by a single- Institutional & Financial Management integrated financial Monthly Budget Execution reports on the Information System (IFMIS (FY08) management system entry system, weak purchase 1.1 A legal framework for PFM exists order and accounts payable Consolidated Fund published on the website that forms the foundation for systems and weak Payroll of the MoF within 4 weeks of end of each Senior Executive Services Project budget management and control month with effect from July 2011 (WB). (FY08) accountability for public finances. Improve revenue  Outdated laws, overlapping Complete IPSAS compliant financial Re-engagement and Reform Support III collection by implementing procedures, weak statements on the Consolidated Fund for (FY11) organizational structures and Budget Credibility tax administration FY10/11 submitted for audit within 3 months limited automation have of end of FY. (WB) Pipeline Projects: reforms and automation resulted in inefficient 1.2 Aggregate expenditure out-turns revenue administration compared to the original approved 16 Procurement monitoring system developed in AAA  Weak procurement legal budget for five ministries PPCC (WB) framework and practices decrease from -25 % in 20109/10 Partners: EC, AFDB, IMF, SIDA lead to inefficiencies in the to -12 % in 2011/12 (WB) TIN re-registration for Large taxpayer unit use of public funds completed. (No indicators presented in the PRSP) Revenue Administration 1.3 50% of collected revenue captured in the Integrated Tax Administration System (WB) Strengthen and enhance  Public institutions, for the 2. Increased professionalization Civil Service Professionalization Ongoing Projects: the effectiveness and most part, have been bloated, and improved HR management efficiency of public disorganized, weak and A system of performance evaluation based on 15  This is a subset of the Liberia PRSP Objectives taken directly from the final PRSP document.    25 Selected Key Issues CAS Outcome CAS World Bank Group/ADB Liberia PRSP objectives from PRSP & Indicators Milestones Instruments & indicators15 institutions and functions supportive of corrupt of the civil service merit is designed and linked to compensation Senior Executive Service (FY08) practices. and promotion systems by 2012(WB)  Experienced and qualified professional staff left the Aggregation of allowances to basic pay % of population that perceives civil service because of low Civil Service Professionalization implemented (WB) Civil Service Reform Project (LICUS - the Government of Liberia to salaries FY08) be performing better than in the  Staff motivation is low 2.1 All core positions filled by previous year  Payroll controls are weak competitive selection HR Management of Civil Service and there is a high number of EGIRP (FY08) ghost workers All employees, both current and retired are HR Management of Civil Service registered in the EBIRS, and interface between Number of Ministries, EBIRS and HRMIS is developed. (WB) Agencies and SOEs/parastatals   restructured based on revised, 2.2 Full account of Civil Service Partners: UNDP, EC, USAID, SIDA 29 Ministries, Departments and Agencies published and adopted Pensioners (WB) (MDAs) registered in HRMIS (WB) mandates Personnel Action Notice process is   streamlined from the average of 5 months, to 21 days by 2012.(WB) CAS Strategic Theme 2 – Rehabilitating Infrastructure (aligned with PRSP Pillar IV) Transportation - to Transport 3. Improved access to key Transport On-going Projects improve the Liberian infrastructure services transport sector through  Liberia’s roads network is in Cotton Tree – Buchanan road corridor under Emergency Infrastructure Project complete deterioration. Output Based Road Performance Contract (FY06) policy, systems and Transport infrastructure development  Liberia has limited road (OPRC) by 2010; Monrovia Ganta corridor maintenance workforce. Agriculture and Infrastructure that create access to 3.1 20% reduction in travel time under OPRC by end 2011. (WB) Development Project (FY08) reliable, affordable and  Poor port facilities, between Monrovia – Ganta and efficient services inefficient institutional Cotton Tree – Buchanan by Draft legislation on establishment of Road Urban and Rural Infrastructure framework and inadequate 2011(WB) Authority and Road Maintenance Fund by Rehabilitation Project (FY09) port maintenances. 2012 (WB) 3.2 3.2 Productivity of the Monrovia Emergency Monrovia Urban Sanitation Indicators: port increased from 3 moves/hr Project (FY09) 24 kms of Monrovia roads resurfaced (WB) per crane in 2008 to 8 moves/hr roads rehabilitated or per crane in 2011 (WB)   Pipeline Projects: New Vai Town, and four other bridges reconstructed by 2011 (ADB) and 35 minor river crossings built or Liberia Road Asset Management Project improved by June,. 2012 (FY11) Vessels clearing in Freeport of 600 kms of roads under maintenance 2009- Agriculture Sector Rehabilitation Monrovia increased from 28 to 26 Selected Key Issues CAS Outcome CAS World Bank Group/ADB Liberia PRSP objectives from PRSP & Indicators Milestones Instruments & indicators15 32 per month 2011 (WB) Project (FY09) 400 kms (WB) of rural feeder roads Partners: LRTF (Norway, EC, Sweden, rehabilitated by June, 2012 DFID, Ireland, Germany), ADB 70% of the general cargo operations by professional terminal operator by 2010 (WB) Landlord Port Authority established by 2010 (WB) Water and Sanitation - Water and Sanitation Water and Sanitation (Monrovia) Water and Sanitation (Monrovia) On-going Projects Reduce the water and sanitation-related disease  Only about 39% of the 3.3 Number of people with access to 40% of solid waste disposed of in a sanitary Emergency Monrovia Urban Sanitation population has adequate municipal solid waste services manner annually (compared to 25%) (WB) Project (FY09) burden in Liberia means of human waste increases from 0 (2009) to collection. 334,000 (WB) Increase in landfill disposal cell volume by Pipeline Projects:  Liberia’s urban 300,000 m3 (WB) infrastructure is destroyed AAA: and in disarray and city planning is poor. Partners: Norway, EC, USAID, JICA  Operation of water and sanitation facilities currently unsustainable. 27 Selected Key Issues CAS Outcome CAS World Bank Group/ADB Liberia PRSP objectives from PRSP & Indicators Milestones Instruments & indicators15 Energy – Improve access to Energy Energy (Monrovia) Energy On-going Projects reliable, sustainable and affordable energy services  Liberia’s electricity network 3.4 Number of connections to the Distribution network reinforced and extended Liberia Electricity System Enhancement and institutions had been electricity grid increased from (300 transformers supplied) by 2012 (WB) Project (LESEP) (WB FY11) to Liberians. fully destroyed and since 350 in 2006 to 4000 by 2012 2006 are only slowly being (WB) Enhancing options for power generation (First Catalyzing New Renewable Energy in Indicators: number of rebuilt. Phase of main generating units overhaul Rural Liberia (AFREA Phase 1 FY10, households with access to  Most Liberians are forced to 3.5 Number of household connection completed) by 2012 (WB) and AFREA Phase 2 FY11) electricity increased. rely on traditional sources of energy services. These to the electricity grid increased to 1000 by 2012 (WB).  Enhancing the institutional framework for the IFC Program to Implement Public include firewood for cooking provision of rural energy services through Private Partnership in the Monrovia and candles and kerosene lamps for lighting. fully operationalizing Liberia’s new Rural and Power Sector  Access to grid-based Renewable Energy Agency (RREA) by 2012 electricity is limited to (WB) Pipeline Projects: Monrovia only. In November 2010 only 0.11% National Assessment of Household Energy Côte d'Ivoire, Sierra Leone, Liberia, and of households had access. Needs/Willingness to Pay Analysis completed Guinea Power System Re-development While overall electricity by 2011 (WB) Project (West African Power Pool demand for Monrovia is APL4 (Phase 1) - (WB FY12) estimated at 30-50 MW, in Special Purpose Company for regional early 2011 only 22.6 MW of Lighting Lives in Liberia: Towards transmission operation formed by 2012 (WB) power capacity is installed. Eliminating Fuel-based Lighting (GEF Due to the lacking distribution network not all FY12) capacity installed can be dispatched. AAA: National Assessment of Household Energy Needs/Willingness to Pay Analysis (FY11) Liberia Support to Electricity Sector Reform (PPIAF FY11) Partners: Norway, EC, US, JICA 28 Selected Key Issues CAS Outcome CAS World Bank Group/ADB Liberia PRSP objectives from PRSP & Indicators Milestones Instruments & indicators15 Education  Increasing demand for Basic Education Basic Education On-going Projects quality and relevant improve access to and the education Textbook procurement for Grades 5-9 in at Education For All Fast Track Initiative quality of relevant  Weak capacity for least four core subjects: Contract awarded to Catalytic Fund (FY11) education at all levels, management and publisher and 20 draft manuscripts reviewed governance Pipeline Projects: emphasizing the availability  An outdated curriculum Construction initiated for 164 classrooms in of Universal Primary early childhood development and basic AAA: Post-Basic Education Study and inadequate textbooks, Education and recognizing chairs, desks, and school education the needs of the supplies Partners: UNICEF, EU, USAID disadvantaged, especially  Insufficient school access girls that limits the ability of every child, including girls and persons with disabilities education CAS Strategic Theme 3 – Facilitating Pro-poor Growth (aligned with PRSP Pillar II) Agriculture and Food Security - Agricultural supply chains have Improved agriculture and natural Agriculture On-going Projects Revitalize the food and collapsed due to fragmented resources management in a way that agricultural sector to contribute markets, weak rural demand, generates pro-poor growth Number of markets in targeted areas where Agriculture and Infrastructure to shared, inclusive and no value addition, and few seed rice and cassava cuttings are available Development Project (FY08) sustainable economic growth incentives for cash crop has increased from 3 in 2007 to 7 in 2013 and development; provide food production. (WB) Community Empowerment II (FY07 + security and nutrition; increase Agriculture AF FY08) employment and income; and Agricultural institutions remain Local seed multiplication facility established measurably reduce poverty. largely ineffective at delivering 4.1 Yields of rice increased from and produces 1000 mt of certified seed (WB) WA Agriculture Productivity Program services such as regulation, 700 kg/ha to at least 1,000 (FY11) policy and planning, and kg/ha/year among beneficiary Program Management Unit within the research and extension. farmers by 2016 (WB) Ministry of Agriculture established” Agriculture Sector Rehabilitation Indicator: Growth of Project (FY09) (ADB) agricultural production % Fish resources are essentially 4.2 Number of industrial vessels At least 3 markets constructed/rehabilitated by open access, in a management observed fishing without a 2013 (WB) Regional Fisheries (FY10) vacuum, whose use is license reduced by 25% uncontrolled and often illegal A new Fisheries Monitoring Center is Pipeline Projects: Growth of net economic established to coordinate fisheries surveillance benefits from the fisheries % The Governance regime and activities, in 2012 (WB) AFCR component of Budget Support the infrastructure do not exist Operation (FY09) (ADB) to support local processing of Total days of sea patrols per year to monitor fish caught in Liberia’s waters. coastal fisheries is increased from 0 to 50 by Regional Fisheries (FY10) 2012 Smallholder Tree Crop Revitalization Support Project AAA: 29 Selected Key Issues CAS Outcome CAS World Bank Group/ADB Liberia PRSP objectives from PRSP & Indicators Milestones Instruments & indicators15 IFC sector study on palm oil (FY09) Policy Note on Pro-Poor Growth (FY09) DTIS (FY09) Partners: WFP, EC, US, FAO, IFAD, AfDB, SIDA Mining - To rapidly expand Mining Mining Mining Ongoing Projects: mining as an engine of economic growth and social  Lack of consistent, fair and 4.1 All industrial scale mining Update Model Mineral Development EGIRP (FY08) development, to ensure that the enforceable mineral operations inspected twice a year Agreement and consistently apply it to all benefits from mining activities agreements, and high by Ministry of Lands, Mines and large-scale mining projects by 2011 EI-TAF Grant (FY10) are widely shared, to diversify transaction costs. Energy (WB) the mining sector into new and  Low efficiency in recovery EITI compliant status maintained since 2009 Additional financing for EGIRP (FY11) downstream activities, and to of minerals, and poor 4.2 All industrial scale mine and reconciliation reports prepared and improve support to local environmental and social production subjected to technical disclosed annually (WB) Pipeline Projects: miners. practices. audit at least once a year by MLME and BOC (WB) Mining Cadastre System developed and fully AAA:  Lack of adequate logistics in use for issuance of all new licenses (WB) Indicator: Volume of iron ore and human resources in the produced increase from 0 to 3 Ministry of Lands, Mines million tons by 2011 and Energy Land and Environmental Land Land Ongoing Projects: Policy - To develop a comprehensive national land  Inequities in access and Staff trained in the relevant skills in Re-engagement and Reform Support tenure and land use system that utilization of land. departments that are responsible for these Program III will provide equitable access to  Polices to promote tasks (WB) land and security of tenure. investment and development Land Reform Project are nonexistent or Land policy reform proposal finalized and inadequate. presented to cabinet. (WB) Pipeline projects:  Taxation and zoning rules AAA: are inadequate and/or outdated Partners: MCC, UN Habitat, USAID, UNMIL Private Sector Investment  Administrative and 5. Improved business and Creation of Liberian Better Business Forum Ongoing Projects: - Create a strong enabling regulatory barriers severely (LBBF) with functioning and operational environment for private sector limit the ability of Secretariat to facilitate Public Private 30 Selected Key Issues CAS Outcome CAS World Bank Group/ADB Liberia PRSP objectives from PRSP & Indicators Milestones Instruments & indicators15 investment and exports in non- businesses, especially SMEs, investment climate Dialogue (IFC) Pipeline projects: traditional activities. to operate effectively and efficiently. 5.1 3-4 reforms related to Doing Creation of at least one commercial AAA:  Outdated provisions of the Business indicators per year17 microfinance bank (IFC) investment code create (IFC) Partners: Indicator: Number of new obstacles to domestic and Identification of barriers to business registered businesses increase foreign investment. 5.2 Increased access to micro-credit from 1047 in 2007 to 1622 in formalization (IFC)  Majority of payments are for micro-enterprises (IFC,ADB) 2011 made in cash, which Redrafting Investment Code (IFC) undermines security and flexibility of finances and Modern business registry developed (IFC) credit Financial Sector -  Financing for productive 2 Business Reform Committee (BRC) and investments for the poor and To promote a stable, sound and Liberian Better Business Forum for MSMEs is limited market-based financial system that supports efficient  High volume of non- (LBBF) reforms enacted (IFC) mobilization and allocation of performing loans resources to foster sustainable  Poor integrity, weak internal Access Bank Liberia manages 20,000 economic growth and poverty controls and long delays in customs clearance result in accounts by 2011 (IFC, ADB) reduction poor investment climate, Indicator: Banking system revenue leakage Functioning one-stop shop service for customs deposits/GDP increase from facility (ADB) 21.4% to 30% in 2011 Labor and Employment - Employment 6. Increased access to social Employment generation Ongoing Projects: Promote productive protection and social services in employment that will reduce  Current labor administration the face of shocks Cash for work program operational with Community Empowerment Project II poverty, ensure peace and programs have limited >17,000 vulnerable households benefiting by (FY07 + FY08)) stability, and enhance the impact and lack Employment generation 2010 (WB) overall well-being of the coordination. Health System Reconstruction (FY07) Liberian population  Unequal and limited 6.1 1,800,000 person days from YES 2,500 adolescent girls in the Greater Monrovia opportunities for women, and 680,000 Fishtown-Harper and Kakata areas have received job skills and Agriculture and Infrastructure Agriculture and Food youth and persons with Road (WB) generated through business development training relevant for Development Project (FY08) Security - Revitalize the food disabilities labor intensive works gainful employment by 2012 (WB) Economic Empowerment of Adolescent and agricultural sector to  Inadequate and inappropriate Social Services Girls and Young Women (EPAG) contribute to shared, inclusive skills and knowledge in the 6.2 45,000 beneficiaries of and sustainable economic Project Youth, Employment, Skills labor force Community Works Program growth and development; 90% of the at least 80 sub-projects undertaken Project (FY10) (WB) provide food security and under CEP II reflect beneficiary priorities Global Food Price Crisis Response 17  Will not necessarily translate into an increase in ranking as countries are ranked relative to other country’s performance.  31 Selected Key Issues CAS Outcome CAS World Bank Group/ADB Liberia PRSP objectives from PRSP & Indicators Milestones Instruments & indicators15 nutrition; increase employment 6.3 4,500 persons participating and (WB) (FY10) and income and measurably completing skills development  reduce poverty. programs and receiving 75 % of public works schemes completed with Pipeline Projects: certification (WB)   satisfactory quality (WB) AAA 32 Annex 2: Progress on the Millennium Development Goals Millennium Development Goals Base 2007 2008 2009 Target(2015) Goal 1: halve the rates for extreme poverty and malnutrition Poverty (% below poverty line) 55.1 63.8 27.5 (% in extreme poverty) N/A 47.9 Prevalence of malnutrition (% of children under 5) 14.8 18.8 20.4 7.4 Goal 2: ensure that children are able to complete primary schooling Female literacy rate (%) N/A 61.0 Net primary enrollment N/A 37.0 31.0 58.0 100.0 Goal 3: eliminate gender disparity in education and empower women Ratio of girls to boys in primary education (%) N/A 89.5 100.0 Goal 4: reduce under-5 mortality by two-thirds Under-five mortality (per 1,000) 194.0 133.0 112.0 64.0 Goal 5: reduce maternal mortality by three- fourths Maternal Mortality ratio (per 100,000 live births 578.0 994.0 990.0 990.0 145.0 Goal 6: halt and begin to reverse the spread of HIV/AIDS and other major diseases Prevalence of HIV (% of population 15-49) 1.5 1.5 1.5 0.75 Goal 7: halve the proportion of people without sustainable access to basic needs Access to safe water (% of population) 57.0 50.0 64.0 68.0 78.0 Access to improved sanitation (% of population) 40.0 40.0 32.0 70.0 Goal 8: develop a global partnership for development Mobile phone subscribers (per 100) 0.0 19.3 34.0 Internet users (per 100 people) 15.0 21.0 Sources: Development Economics, Development Data Group (DECDG). Government of Liberia. 33 Annex 3: Main Funding Sources (FY09 – FY11) Reg. IDA Additional Main Them e PRS Project IDA ($m ) ($m ) Allocation LRTF TFs Rehabilitation of Core State Functions and Institutions II & III Reengagement and Reform Support II (FY09) 4 Reengagement and Reform Support III (FY11) 5 6 Econ Governance and Institutional Reform Project (EGIRP) AF(FY11) 7 IFMIS (FY09) 3.7 COMMERCIAL DEBT REDUCTION PROGRAM FOR LIBERIA(FY09) 32.5 COMMERCIAL DEBT REDUCTION PROGRAM FOR LIBERIA(FY09) 6.5 Land Sector Reforms: Rehabilitation and Reform of Land Rights Registration Project 2.9 Liberia Extractive Industries Technical Advisory Facility Project 1 Subtotal 16 0 6 46.6 Rebuilding Infrastructure to Jum p Start Grow th IV Emergency Infrastructure Rehabilitation Project (EIRP) AF (FY09) 8.2 Urban and Rural Infrastructure Rehabilitation Program (URIRP) (FY09) (FY10) 44 20 9.2 Agriculture and Infrastructure Development Project (AIDP) AF (FY09) (Note 5) 16 13.1 Liberia Road Asset Management Program (LIBRAMP) (FY11) 67.7 141.1 Liberia Electricity System Enhanced Project (LESEP) (FY11) 10 West Africa Regional Connectivity Program (IT-ACE) 8.5 17 Emergency Monrovia Urban Sanitation (EMUS) (FY09) + AF(FY11) 4 18.4 AFREA - Liberia Rural Energy (Phase 1) 1.4 Subtotal 158.4 17 168.7 14.5 Facilitating Pro Poor Grow th II&IV West Africa Regional Fisheries Program (FY10) 2.9 5.8 Youth Employment and Skills Project (YES) (FY10) 16 West Africa Agriculture Productivity Program (WAAPP) (FY11) 2 4 CO-FINANCING OF THE LIBERIA COMMUNITY EMPOWERMENT PROJECT II 10.8 Liberia - Basic Education Project 40 Subtotal 4.9 50.8 Grand Total 179.3 26.8 42 168.7 111.9 528.7 Note (1) Note (2) Note (3) Note (4) 34 Annex 4: Changes in the Indicative Lending Program for the FY09-11 CAS (US$ million) Original Planned IDA Deliverables in CAS (US$139 million) Status Revised IDA Deliverables - CAS Progress Report (US$312.7 million) FY09 (US$48 m) FY09 (US$72.2 m) Reengagement and Reform Support II US$4 m Delivered Reengagement and Reform Support II US$4 m LR-Urban and Rural Infrastructure Rehabilitation Program (URIRP) Delivered LR-Urban and Rural Infrastructure Rehabilitation Program (URIRP) S$44m US$44 m Additional lending not in CAS Emergency Infrastructure Rehabilitation Project (EIRP) Additional Financing US$8.2 m Agriculture and Infrastructure Development Project (AIDP) Additional Financing US$16 m FY10 (US$2.9 m) FY10 (US$44.7 m) West Africa Regional Fisheries Program US$2.9 m Delivered West Africa Regional Fisheries Program US$8.7 m Additional lending not in CAS LR-Urban and Rural Infrastructure Rehabilitation Program (URIRP) - Bockay Town – Buchannan Additional Financing (CRW) US$20 m Youth, Employment and Skills Project (YES) (CRW and African Growth Catalytic Fund*) US$16 m FY11 (US$89.8 m) FY11 (US$ 131.2m) Re-Engagement and Reform Support Program III US$11 m Delivered Re-Engagement and Reform Support Program III US$11 m West Africa Agriculture Productivity Project (phase 1c) US$ 2 Delivered West Africa Agriculture Productivity Project (phase 1c) US$ 6m Liberia Road Asset Management Program (LIBRAMP) US$58.3 Delivery Liberia Road Asset Management Program (LIBRAMP) US$67.7m FYQ3 LIBERIA Electricity System Enhancement Project (LESEP)US$10m Delivered LIBERIA Electricity System Enhancement Project (LESEP) US$ 10 m West Africa Regional Connectivity Program (IT –ACE) US$8.5 m Delivered West Africa Regional Connectivity Program (IT –ACE) US$25.5m Additional lending not in CAS Emergency Monrovia Urban Sanitation (EMUS) Additional Financing US$4m Economic Governance and Institutional Reform Project (EGIRP) Additional Financing US$7m Small Holder Tree Crop Revitalization US$ 10 m Slip to FY12 West Africa Power Pool – CSLG (APL4, Phase 1) US$ 8.6m Slip to FY12 35 Annex 5: Status of Non-Lending Activities Table 3. CAS Non-Lending Status Status at Progress Report Activities FY09 Diagnostic Trade Integration Study Delivered Diagnostic Trade Integration Study Gender Profile (ADB) Not Delivered Water Sector Reform Study (ADB) Delivered Water Sector Reform Study (ADB) Oil Palm Sector Study Not Delivered Policy Note on Pro-poor Growth Slipped to FY10 FY10 Policy notes (e.g. macro, fiscal Delivered Policy Note on Pro-poor Growth decentralization, agriculture, and social protection) Women’s Economic Empowerment Delivered (WB) Women’s Economic Empowerment (WB) Education Sector Plan Delivered Poverty Assessment (WB) Partially Poverty Assessment (WB): Background paper and Delivered workshop delivered Energy and Electricity Strategy Delivered (WB) FY10 EITI ++ Scoping Study Slipped to FY11 FY11 PEFA (WB/ADB) Slipped to Additional FY12 PRS Technical Assistance (Macroeconomic Framework EITI ++ Scoping Study Not Yet for National Vision, Private Sector development, and Delivered Infrastructure Prioritization) Policy Notes: Growth Diagnostic, Political Economy and Exclusion in Liberia, Social Protection in Liberia Agro-Industrial Development Policy FY12 Public Expenditure Review (including PEFA (WB/ADB) Policy Notes PRS Technical Assistance: Water point mapping, Decentralization Second Poverty Reduction Strategy (PRSII) Roads Sector Reform (Maintenance, Roads Fund) 36 Annex 6: Selected Indicators* of Bank Portfolio Performance and Management As of 3/30/2011 Indicator 2008 2009 2010 2011 Portfolio Assessment Number of Projects Under Implementation a 10 12 11 10 Average Implementation Period (years) b 1.3 1.9 2.9 3.2 Percent of Problem Projects by Number a, c 0.0 8.3 0.0 0.0 Percent of Problem Projects by Amount a, c 0.0 4.2 0.0 0.0 Percent of Projects at Risk by Number a, d 10.0 16.7 9.1 0.0 Percent of Projects at Risk by Amount a, d 35.6 6.7 2.3 0.0 Disbursement Ratio (%) e 54.7 47.3 25.4 25.5 Portfolio Management CPPR during the year (yes/no) yes yes Supervision Resources (total US$) Average Supervision (US$/project) Memorandum Item Since FY 80 Last Five FYs Proj Eval by OED by Number 26 1 Proj Eval by OED by Amt (US$ millions) 600.4 405.2 % of OED Projects Rated U or HU by Number 50.0 0.0 % of OED Projects Rated U or HU by Amt 15.4 0.0 a.As shown in the Annual Report on Portfolio Performance (except for current FY). b.Average age of projects in the Bank's country portfolio. d.As defined under the Portfolio Improvement Program. e.Ratio of disbursements during the year to the undisbursed balance of the Bank's portfolio at the beginning of the year: Investment projects only. * All indicators are for projects active in the Portfolio, with the exception of Disbursement Ratio, which includes all active projects as well as projects which exited during the fiscal year. 37 Annex 7: IDA Program Summary As of 5/31/2011 Proposed IBRD/IDA Base-Case Lending Program a Fiscal Proj ID US$(M) Strategic Rewards b (H/M/L) Implementation b Risks (H/M/L) year Electricity System Enhancement 2011 10.0 H (LESEP) M DPO 11.0 M M LIBRAMP 67.7 H M Solid Waste - Additional Financing 4.0 H M EGIRP – Additional Financing 7.0 M M ACE 8.5 H M Regional Agriculture Project 2.0 M M Total FY11 110.2 2012 LR-RRSP4 Budget Support 5.0 M M Small Holder Tree Crop Project 15.0 H M Africa Mineral Governance Project – 1.0 M APL1 M WAPP APL4 (Phase 1) CSLG 8.6 H M Transport 35.0 H M Total FY12 64.6 a. This table presents the proposed program for FY 12 and the actual program for FY 11 b. For each project, indicate whether the strategic rewards and implementation risks are expected to be high (H), moderate (M), or low (L) 38 Annex 8: Key Economic & Program Indicators - Changes from Last CAS Forecast in Last CAS Actual Current CAS Forecast Economy (CY) 2008a 2009b 2010b 2011b 2008c 2009c 2010a 2011b 2012b 2013b Growth rates (%) GDP 7.1 4.9 7.5 10.3 7.1 4.6 6.3 8.8 11.7 8.4 Exports 25.0 -57.3 55.9 104.6 22.2 -39.7 34.8 52.5 30.9 49.1 Imports 33.7 -2.2 27.1 13.1 42.2 -20.6 16.8 60.9 11.2 13.8 Inflation (end of period) (%) 9.4 4.0 5.0 5.0 9.4 9.7 4.7 4.6 5.0 5.0 National accounts (% GDP) Current account balance -40.7 -39.4 -59.9 -49.6 -57.3 -36.8 -40.4 -59.2 -64.9 -74.9 Public finance (% GDP) Fiscal balance 1.2 -2.3 0.3 -0.9 1.2 -1.6 0.6 -0.5 -3.4 -4.5 Foreign financing 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 3.0 4.0 International reserves (as months of imports) 0.6 2.3 1.9 1.7 1.7 1.7 a b b b Program (Bank’s FY) FY08 FY09 FY10 FY11 FY09c FY10c FY__d FY__b FY__b FY__b Lending ($ million) n/a 71.3 25.5 41.2 491.1 111.2 n/a n/a n/a n/a Gross disbursements ($ million) 35.9 30.9 n/a n/a n/a n/a a. Estimated year b. Projected year c. Actual outcome 39 Annex 9: IFC Investment Operations for Liberia 2008 2009 2010 2011* Commitments (US$m) Gross 1.01 12.61 3.75 Net** 1.01 12.61 3.75 Net Commitments by Sector (%) EQUITY 8.56 12 GUARANTEE 100 12.14 8 LOAN 79.3 QUASI LOAN 80 Total 100 100 100 0 Net Commitments by Investment Instrument (%) Equity 8.56 12 Guarantee 100 12.14 8 Loan 79.3 Quasi loan 80 Total 100 100 100 0 * As of March 31, 2011 ** IFC's Own Account only 40 - Annex 10: Liberia Committed and Disbursed Outstanding Investment Portfolio As of 2/28/2011 (In USD Millions) Committed Disbursed Outstanding FY Approval Company Loan Equity **Quasi *GT/RM Partici pant Loan Equity **Quasi *GT/RM Partici Equity Equity pant 10/11/2008 Access liberia 0 2 0 0 0 0 2 0 0 0 2010 Ecobank liberia 0 0 3 0 0 0 0 0 0 0 2009 Salala rubber 10 0 0 0 0 6 0 0 0 0 Total Portfolio: 10 2 3 0 0 6 2 0 0 0 * Denotes Guarantee and Risk Management Products. ** Quasi Equity includes both loan and equity types. 41 Annex 11: Operations Portfolio - IBRD/IDA and Grants as of 3/28/2011 IBRD/IDA * Total Disbursed 116.52 (Active) of which has 0.00 been repaid Total Disbursed 426.16 (Closed) of which has 207.07 been repaid Total Disbursed 542.68 (Active + Closed) of which has 207.07 been repaid Total Undisbursed 94.12 (Active) Total Undisbursed 0.00 (Closed) Total Undisbursed 94.12 (Active + Closed) Active Projects Difference Between Last PSR Expected and Actual Supervision Rating Original Amount in US$ Disbursements a/ Millions Project ID Project Name Development Implementation Fiscal IBRD IDA GRANT Cancel. Undisb. Orig. Frm Objectives Progress Year Rev'd P120660 LIBERIA Electricity S S 2011 10 9.951955 System Enhancement P104716 LR-Agric. & Infra. Dev. S S 2008 53 18.57026 0.0882817 6.492247 Proj. ERL (FY08) P098266 LR-Com Empowerment S S 2005 6 ERL (FY05) P104287 LR-Development Forestry MS MS 2007 2.8 0.00015114 0.129782 -0.670067 Sector (FY07) P107248 LR-Econ. Gov. & Institut. S S 2008 11 3.016795 3.0611869 Ref. TAL (FY08 P100160 LR-Emergency S MS 2006 54.7 0.872127 -26.60394 -5.13583 Infrastructure ERL (FY06) P109195 LR-Emergency Senior S S 2008 2.3 0.153188 0.153188 Executive Svce (FY08 P105282 LR-Health Systems MS S 2007 8.5 1.668678 1.3381038 0.445813 Reconstr. P113099 LR-Urban and Rural Infra. S S 2009 64 54.48115 19.565719 Rehab. Project P121686 LR: Youth, Employment, S MS 2010 6 5.559453 0.9608682 Skills Project Overall Result 207.2 11.1 0.00015114 94.40338 -2.106662 1.802231 42 Annex 12: Donor Partnership Sector/Thematic Areas Gov. & Peace & Financial Food & Labor & Rule of Educati Multi Transpo Road & WATSA Partner Security sector Agriculture Forestry Employ. Law on Energy Health Sector rt Bridges N AfDB X X X EU X X X X X X X X X Denmark X DFID/UK X X Foundations X Germany X X X X Ireland X Norway X X X X X SIDA/Swed en X X United States X X X X X X X X World Bank X X X X X X X X X X X UN System: X X X X X X UNICEF X X X X UNPFA X X WHO X WFP X X X X 43 Annex 13: Liberia At A Glance Liberia at a glance 2/25/11 Sub- Ke y D e v e lo pm e nt Indic a t o rs Saharan Lo w Liberia A frica inco me Age distribution, 2009 (2009) Male Female P o pulatio n, mid-year (millio ns) 4.0 81 9 828 75-79 Surface area (tho usand sq. km) 111 24,242 17,838 60-64 P o pulatio n gro wth (%) 4.3 2.5 2.2 Urban po pulatio n (% o f to tal po pulatio n) 61 36 28 45-49 30-34 GNI (A tlas metho d, US$ billio ns) 0.7 897 389 15-19 GNI per capita (A tlas metho d, US$ ) 160 1,095 470 GNI per capita (P P P , internatio nal $ ) 290 1 ,981 1,131 0-4 10 5 0 5 10 GDP gro wth (%) 4.6 5.2 6.2 percent of total population GDP per capita gro wth (%) 0.3 2.7 3.9 ( m o s t re c e nt e s t im a t e , 2 0 0 3 – 2 0 0 8 ) P o verty headco unt ratio at $ 1 .25 a day (P P P , %) 84 51 .. Under-5 mortality rate (per 1,000) P o verty headco unt ratio at $ 2.00 a day (P P P , %) 95 73 .. Life expectancy at birth (years) 58 52 57 300 Infant mo rtality (per 1,000 live births) 80 83 77 Child malnutritio n (% o f children under 5) 20 25 28 250 200 A dult literacy, male (% o f ages 15 and o lder) 63 72 73 150 A dult literacy, female (% o f ages 15 and o lder) 53 54 59 Gro ss primary enro llment, male (% o f age gro up) 96 105 107 100 Gro ss primary enro llment, female (% o f age gro up) 86 95 100 50 0 A ccess to an impro ved water so urce (% o f po pulatio n) 68 60 64 A ccess to impro ved sanitatio n facilities (% o f po pulatio n) 17 31 35 1990 1995 2000 2008 Liberia Sub-Saharan Africa N e t A id F lo ws 19 8 0 19 9 0 2000 2009 a (US$ millio ns) Net ODA and o fficial aid 97 114 67 1,250 Growth of GDP and GDP per capita (%) To p 3 do no rs (in 2007): Germany 11 7 -1 317 150 United States 32 19 16 276 100 Euro pean Co mmissio n 4 8 13 50 50 A id (% o f GNI) 10.4 10.2 17.4 185.8 0 A id per capita (US$ ) 51 52 24 330 -50 Lo ng- T e rm E c o no m ic T re nds -100 95 05 Co nsumer prices (annual % change) 14.7 9.1 12.1 11.7 GDP implicit deflato r (annual % change) 9.1 -0.2 -1.3 7.4 GDP GDP per capita Exchange rate (annual average, lo cal per US$ ) 1.0 1.0 41.0 68.3 Terms o f trade index (2000 = 100) .. .. .. .. 19 8 0 – 9 0 19 9 0 – 2 0 0 0 2 0 0 0 – 0 9 (average annual gro wth %) P o pulatio n, mid-year (millio ns) 1.9 2.2 2.8 4.0 1.3 2.7 3.7 GDP (US$ millio ns) 954 384 561 876 -7.0 4.1 0.0 (% o f GDP ) A griculture 35.9 54.4 72.0 61.3 .. .. .. Industry 28.1 16.8 11.6 16.8 .. .. .. M anufacturing 7.7 .. 9.5 12.7 .. .. .. Services 36.0 28.8 16.4 21.9 .. .. .. Ho useho ld final co nsumptio n expenditure 66.1 .. 89.1 202.3 .. .. .. General go v't final co nsumptio n expenditure 19.1 .. 14.4 19.3 .. .. .. Gro ss capital fo rmatio n .. .. 4.9 20.0 .. .. .. Expo rts o f go o ds and services 64.3 .. 21.5 31.1 .. .. .. Impo rts o f go o ds and services 64.4 .. 26.0 172.6 .. .. .. Gro ss savings .. .. .. -126.8 No te: Figures in italics are fo r years o ther than tho se specified. 2009 data are preliminary. .. indicates data are no t available. a. A id data are fo r 2008. Develo pment Eco no mics, Develo pment Data Gro up (DECDG). 44 Liberia B a la nc e o f P a ym e nt s a nd T ra de 2000 2009 Governance indicators, 2000 and 2009 (US$ millio ns) To tal merchandise expo rts (fo b) 120 260 To tal merchandise impo rts (cif) 182 667 Voice and accountability Net trade in go o ds and services -25 -1,183 Political stability Current acco unt balance -131 -220 as a % o f GDP -23.3 -26.1 Regulatory quality Rule of law Wo rkers' remittances and co mpensatio n o f emplo yees (receipts) .. 54 Control of corruption Reserves, including go ld 2 85 0 25 50 75 100 2009 Country's percentile rank (0-100) C e nt ra l G o v e rnm e nt F ina nc e higher values imply better ratings 2000 (% o f GDP ) Current revenue (including grants) 12.8 27.5 Source: Kaufmann-Kraay-Mastruzzi, World Bank Tax revenue .. 20.8 Current expenditure 7.5 30.2 T e c hno lo gy a nd Inf ra s t ruc t ure 2000 2008 Overall surplus/deficit -0.7 -6.4 P aved ro ads (% o f to tal) 6.2 .. Highest marginal tax rate (%) Fixed line and mo bile pho ne Individual .. .. subscribers (per 1 00 peo ple) 0 19 Co rpo rate .. .. High techno lo gy expo rts (% o f manufactured expo rts) .. .. E xt e rna l D e bt a nd R e s o urc e F lo ws E nv iro nm e nt (US$ millio ns) To tal debt o utstanding and disbursed 2,809 1,660 A gricultural land (% o f land area) 27 27 To tal debt service 1 64 Fo rest area (% o f land area) 35.9 31.5 Debt relief (HIP C, M DRI) 2,988 .. Terrestrial pro tected areas (% o f surface area) .. 15.0 To tal debt (% o f GDP ) 500.8 189.4 Freshwater reso urces per capita (cu. meters) 65,427 52,723 To tal debt service (% o f expo rts) 0.5 5,370.2 Freshwater withdrawal (billio n cubic meters) 0.1 .. Fo reign direct investment (net inflo ws) 21 378 CO2 emissio ns per capita (mt) 0.15 0.19 P o rtfo lio equity (net inflo ws) 0 0 GDP per unit o f energy use (2005 P P P $ per kg o f o il equivalent) .. .. Composition of total external debt, 2009 Energy use per capita (kg o f o il equivalent) .. .. IBRD, 0 Short-term, 92 IDA, 69 Private, 21 Wo rld B a nk G ro up po rt f o lio 2000 2009 (US$ millio ns) Bilateral, 502 IB RD To tal debt o utstanding and disbursed 130 0 IMF, 891 Disbursements 0 0 P rincipal repayments 0 0 Other multi- Interest payments 0 0 lateral, 85 US$ millions IDA To tal debt o utstanding and disbursed 100 69 Disbursements 0 0 P riv a t e S e c t o r D e v e lo pm e nt 2000 2009 To tal debt service 0 4 Time required to start a business (days) – 20 IFC (fiscal year) Co st to start a business (% o f GNI per capita) – 52.9 To tal disbursed and o utstanding po rtfo lio 4 4 Time required to register pro perty (days) – 50 o f which IFC o wn acco unt 4 4 Disbursements fo r IFC o wn acco unt 4 4 Ranked as a majo r co nstraint to business 2000 2009 P o rtfo lio sales, prepayments and (% o f managers surveyed who agreed) repayments fo r IFC o wn acco unt 0 0 n.a. .. .. n.a. .. .. M IGA Gro ss expo sure – – Sto ck market capitalizatio n (% o f GDP ) .. .. New guarantees – – B ank capital to asset ratio (%) .. .. No te: Figures in italics are fo r years o ther than tho se specified. 2009 data are preliminary. 2/25/11 .. indicates data are no t available. – indicates o bservatio n is no t applicable. Develo pment Eco no mics, Develo pment Data Gro up (DECDG). 45 Millennium Development Goals Liberia With selected targets to achieve b etween 1990 and 2015 (estimate clo sest to date sho wn, +/- 2 years) Libe ria G o a l 1: ha lv e t he ra t e s f o r e xt re m e po v e rt y a nd m a lnut rit io n 19 9 0 19 9 5 2000 2008 P o verty headco unt ratio at $ 1 .25 a day (P P P , % o f po pulatio n) .. .. .. 83.7 P o verty headco unt ratio at natio nal po verty line (% o f po pulatio n) .. .. .. .. Share o f inco me o r co nsumptio n to the po o rest qunitile (%) .. .. .. 6.4 P revalence o f malnutritio n (% o f children under 5) .. .. 22.8 20.4 G o a l 2 : e ns ure t ha t c hildre n a re a ble t o c o m ple t e prim a ry s c ho o ling P rimary scho o l enro llment (net, %) .. .. 75 .. P rimary co mpletio n rate (% o f relevant age gro up) .. .. .. 58 Seco ndary scho o l enro llment (gro ss, %) .. .. 37 32 Yo uth literacy rate (% o f peo ple ages 15-24) .. .. .. 75 G o a l 3 : e lim ina t e ge nde r dis pa rit y in e duc a t io n a nd e m po we r wo m e n Ratio o f girls to bo ys in primary and seco ndary educatio n (%) .. .. 72 86 Wo men emplo yed in the no nagricultural secto r (% o f no nagricultural emplo yment) .. .. 11 .. P ro po rtio n o f seats held by wo men in natio nal parliament (%) .. 6 8 13 G o a l 4 : re duc e unde r- 5 m o rt a lit y by t wo - t hirds Under-5 mo rtality rate (per 1 ,000) 247 253 198 119 Infant mo rtality rate (per 1,000 live births) 165 169 134 85 M easles immunizatio n (pro po rtio n o f o ne-year o lds immunized, %) .. .. 63 64 G o a l 5 : re duc e m a t e rna l m o rt a lit y by t hre e - f o urt hs M aternal mo rtality ratio (mo deled estimate, per 1 00,000 live births) 1,100 1,400 1,100 990 B irths attended by skilled health staff (% o f to tal) .. .. 51 46 Co ntraceptive prevalence (% o f wo men ages 1 5-49) .. .. 10 11 G o a l 6 : ha lt a nd be gin t o re v e rs e t he s pre a d o f H IV / A ID S a nd o t he r m a jo r dis e a s e s P revalence o f HIV (% o f po pulatio n ages 1 5-49) 0.4 1.2 1.4 1.7 Incidence o f tuberculo sis (per 100,000 peo ple) 200 220 240 280 Tuberculo sis case detectio n rate (%, all fo rms) 47 33 22 46 G o a l 7 : ha lv e t he pro po rt io n o f pe o ple wit ho ut s us t a ina ble a c c e s s t o ba s ic ne e ds A ccess to an impro ved water so urce (% o f po pulatio n) 58 61 65 68 A ccess to impro ved sanitatio n facilities (% o f po pulatio n) 11 13 14 17 Fo rest area (% o f to tal land area) 42.1 39.0 35.9 31.5 Terrestrial pro tected areas (% o f surface area) .. .. .. 15.0 CO2 emissio ns (metric to ns per capita) 0.2 0.2 0.2 0.2 GDP per unit o f energy use (co nstant 2005 P P P $ per kg o f o il equivalent) .. .. .. .. G o a l 8 : de v e lo p a glo ba l pa rt ne rs hip f o r de v e lo pm e nt Telepho ne mainlines (per 1 00 peo ple) 0.4 0.2 0.2 0.1 M o bile pho ne subscribers (per 1 00 peo ple) 0.0 0.0 0.1 19.3 Internet users (per 1 00 peo ple) 0.0 0.0 0.0 0.5 P erso nal co mputers (per 1 00 peo ple) .. .. .. .. Education indicators (%) Measles immunization (% of 1-year ICT indicators (per 100 people) olds) 100 100 30 75 75 20 50 50 25 10 25 0 2000 2002 2004 2006 2008 0 0 1990 1995 2000 2008 2000 2002 2004 2006 2008 Primary net enrollment ratio Fixed + mobile subscribers Ratio of girls to boys in primary & secondary Liberia Sub-Saharan Africa education Internet users No te: Figures in italics are fo r years o ther than tho se specified. .. indicates data are no t available. 2/25/11 Develo pment Eco no mics, Develo pment Data Gro up (DECDG). 46 IBRD 33435R2 11°W 10°W 9°W 8°W 9°N 9°N LIBERIA GUINEA SIERRA To Irié LEONE To Voinjama Buedu Kolahun To Mt. Wuteve L O FA . Pendembu (1,380 m) ts M 8°N Vahun 8°N i e iz ng g To Ra i o no Kenema Gelahun g iz W Zorzor To o lo Lola . ya W ts be Yekepa Yekepa M nda G fa Via ba Nia of To im Nzérékoré N L Kongo GBARPOLU Gbalatuah Senniquellie To Danané To Ganta Karnplay Zimmi GRAND Bopolu Bo CAPE Gbarnga 7°N l Palala 7°N P au MOUNT St. Zeansue Zienzu BONG Yopie Sagleipie Tubmanburg Totota Bong Town Robertsport NIMBA CÔTE BOMI n Klay MARGIBI Botata Gloie Nu o D’IVOIRE Careysburg To hn Tapeta Tappita Toulépleu Kakata Jo St. Bensonville Tobli MONROVIA Harbel GRAND BASSA Guata Poabli Kola Town MONTSERRADO Hartford Gaamodebi Zwedru 6°N Babu 6°N RIVER CESS Buchanan Trade GRAND GEDEH Town Gonglee Dube Pyne tos Ce s Bokoa Cestos City SINOE Pelokehn Kopo Juazohn RIVER GEE AT L A N T I C OC EAN Sehnkwehn Kahnwia Kanweaken Fish Town Tawake Tawlokehn 5°N Greenville 5°N M GRAND A Nyaake Nana Kru RY K R U Barclayville LA Sasstown N LIBE R I A Grand Cess Plibo D To Tabou SELECTED CITIES AND TOWNS Harper COUNTY CAPITALS NATIONAL CAPITAL 4°N RIVERS MAIN ROADS This map was produced by the Map Design Unit of The World Bank. 0 20 40 60 80 100 Kilometers The boundaries, colors, denominations and any other information RAILROADS shown on this map do not imply, on the part of The World Bank Group, any judgment on the legal status of any territory, or any COUNTY BOUNDARIES endorsement or acceptance of such boundaries. 0 20 40 60 Miles INTERNATIONAL BOUNDARIES 10°W 9°W 8°W JULY 2007