The World Bank Report No: ISR10256 Implementation Status & Results Afghanistan Second Customs Reform and Trade Facilitation Project (P112872) Public Disclosure Copy Operation Name: Second Customs Reform and Trade Facilitation Project Project Stage: Implementation Seq.No: 6 Status: ARCHIVED Archive Date: 16-May-2013 (P112872) Country: Afghanistan Approval FY: 2010 Product Line: IBRD/IDA Region: SOUTH ASIA Lending Instrument: Emergency Recovery Loan Implementing Agency(ies): Afghan Customs Department Key Dates Board Approval Date 25-May-2010 Original Closing Date 30-Jun-2014 Planned Mid Term Review Date 17-Mar-2013 Last Archived ISR Date 29-Dec-2012 Effectiveness Date 28-Dec-2010 Revised Closing Date 30-Jun-2014 Actual Mid Term Review Date 28-Mar-2013 Project Development Objectives Project Development Objective (from Project Appraisal Document) To improve the release of legitimate goods in a fair and efficient manner. Has the Project Development Objective been changed since Board Approval of the Project? Yes No Component(s) Component Name Component Cost Countrywide computerization of Customs Clearance operation 16.39 Installation of executive information systems for Customs allowing real time monitoring of operations 2.19 Development of possible options for cross border Customs-to-Customs (C2C) Cooperation 0.55 Provision of selected Customs infrastructure to enable modernized operations 25.19 Technical assistance to support the development of an adequate regulatory, administrative and 6.18 institutional framework for Customs Public Disclosure Copy Overall Ratings Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Satisfactory Overall Implementation Progress (IP) Satisfactory Satisfactory Overall Risk Rating Substantial Implementation Status Overview The rate of progress of the project has improved considerably during the past few months. Approximately eight six percent of project funds stand committed. Implementation of all five Page 1 of 8 The World Bank Report No: ISR10256 project components (Automation through ASYCUDA, improvement to ACD infrastructure, setting up of the Executive Information System, Customs To Customs (C2C) cooperation, and Technical Assistance) is progressing well. The automation of ACD continues to be the main thrust of the project, and is progressing satisfactorily. Recently ASYCUDA's full declaration and transit modules were implemented Public Disclosure Copy on the Aqina-Andkhoi-Mazar-Kabul axis and at the Torkhum Border station. Work is underway to implement the declaration processing system at Torghundi and Islamqala Border stations, and at Farah Customs House. The migration from ASYCUDA++ to the newer web based version ASYCUDA World is also underway. Complementary modules like Entry and Exist gate module, warehousing module, and Risk Management modules are also under implementation. The infrastructure development activities are also progressing well with over fourteen major contract awarded for improvements to the existing ACD infrastructure at Jalalabad, Khost, Kandahar, Andkhoi, Nimroz, Kabul and Farah. Out of these five contracts are complete, which progress of five is in advance stages of construction. The project is also assisting ACD in development of adequate regulatory, administrative and institutional framework for Customs. Two international Customs expert are currently assisting ACD in review of procedures, development of new five year plan, setting up and strengthening Post Clearance Audit unit, setting up risk management regime etc. Locations Country First Administrative Division Location Planned Actual Afghanistan Wilayat-e Nimroz Zaranj Afghanistan Wilayat-e Nangarhar Towr Kham Afghanistan Herat Toraghundi Afghanistan Wilayat-e Takhar Wilayat-e Takhar Afghanistan Wilayat-e Kandahar Spin Boldak Afghanistan Wilayat-e Nimroz Wilayat-e Nimroz Afghanistan Wilayat-e Balkh Mazar-e Sharif Afghanistan Velayat-e Khowst Khost Afghanistan Kabul Kabul Afghanistan Wilayat-e Nangarhar Jalalabad Public Disclosure Copy Afghanistan Herat Herat Afghanistan Wilayat-e Kandahar Ghulam Hasan Khan Afghanistan Herat Kafir Qala Afghanistan Badakhshan Ishkashem Afghanistan Faryab Aqineh Afghanistan Faryab Andkhoy Page 2 of 8 The World Bank Report No: ISR10256 Country First Administrative Division Location Planned Actual Afghanistan Kabul Kabul International Airport Public Disclosure Copy Afghanistan Wilayat-e Balkh Shahrak-e Hairatan Results Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Number of detections Number Value 0.00 Date 31-Mar-2010 31-Mar-2013 30-Jun-2014 Comments NA Data not available TBD Effective rate (fiscal productivity of Customs) Percentage Value 8.76 12.04 9.34 Date 31-Mar-2010 31-Mar-2013 30-Jun-2014 Comments Economic cost per declaration Amount(USD) Value 8.20 18.22 15.00 Date 31-Mar-2010 31-Mar-2013 30-Jun-2014 Comments EOP target is to stay at or below US$ 15 per declaration Customs Component Indicators from the Text Value Customs LPI is 2.22 (Rank in Customs LPI 2.33 (Rank 99) Target is 2.40 for LPI; (Rank Logistics Performance Index (LPI) 2009 of 104) between 85 and 95) Date 31-Mar-2010 31-Mar-2013 30-Jun-2014 Comments Source LPI 2012 Subjective user satisfaction surveys Text Value Average rating of 6.5 out of 10 Average user satisfaction Average user satisfaction rating of 6.5 out of 10 rating of 7.5 out of 10 Date 31-Mar-2010 31-Mar-2013 30-Jun-2014 Comments Survey delayed. Expected to Second round of user be completed by early 2012 satisfaction survey expected Public Disclosure Copy to start by May 2013. Time for clearance Text Value Inland Clearance (avg) 148 NA Inland Clearance (avg) 90 minutes minutes Border Clearance (avg) 36 Border Clearance (avg) 40 minutes minutes Date 31-May-2005 31-Mar-2013 30-Jun-2014 Comments The last performance Survey not yet completed due measurement was carried out to security reasons. Revised in May 2005 under the Page 3 of 8 The World Bank Report No: ISR10256 ECMTFP. The results have date of completion June 30, been used as the baseline 2013 Intermediate Results Indicators Public Disclosure Copy Indicator Name Core Unit of Measure Baseline Current End Target Countrywide computerization of Customs Text Value Declaration Processing Declaration Processing Declaration and wider Clearance operations System (DPS) operational at System (DPS) is functional at modules deployed at eleven five locations (i) Kabul ICD, 10 locations, including regional offices and border (ii) Kabul Airport, (iii) Herat, Jalalabad, Herat, Kabul, posts. (iv) Mazar, (v) Kunduz Kabul Airport, Hairataan (Mazar), Nimroz, Sherkhan Bandar (Kunduz), and Kandahar. DPS became operational at Andkhoi and Torkhum in December 2012 and January 2013respectively. Selectivity module and Entry, exit gate Module deployed. Manifest module deployed at Kabul Airport. Date 31-Mar-2010 31-Mar-2013 30-Jun-2014 Comments ASYCUDA Inland and international transit Text Value Inland transit operational at 5 Inland Transit is functional on Inland and international transit operational Sub Type axis (i) Torkhum-Jalalabad- the following axes: Torkhum- operational at Kabul, (ii) Islamqala-Herat- Jalalabad-Kabul, Islamqala- (i) Spinboldak/Vesh- Supplemental Kabul, (iii) Hairatan-Mazar- Herat-Kabul, Hairataan- Kandahar-Kabul (Pakistan), Kabul, (iv) Sherkhan Bander- Mazar-Kabul, (ii) Zaranj/Nimroz-Kandahar- Kunduz-Kabul, and (v) SherkhanBandar-Kunduz- Kabul (Iran), (iii) Aqina- Torghundi-Mazar-Kabul. Kabul, Wesh-Kandahar- Andkhoi-Mazar-Kabul Kabul, Aqina-Andkhoi-Kabul, (Turkmenistan), (iv) Takhar- Zaranj-Nimroz-Kabul and Kunduz-Kabul (Tajikistan), (v) Torghundi-Mazar-Kabul. Ghulam Khan/Babraktown- Public Disclosure Copy Preparatory works Khost-Kabul(Pakistan), (vi) forimplementing the Millak-Herat/Kandahar-Kabul International Transit under (Iran), (vii) Eshkashim-Mazar- ASYCUDA World (AW) Kabul (Tajikistan), (viii) Kabul platform at Sherkhan Bandar Airport-Kabul Inland Customs. is complete after remote testing. The system is expected to be operational by May 2013. Page 4 of 8 The World Bank Report No: ISR10256 Installation of executive information systems for Text Value Executive Information System Executive information system Executive information system Public Disclosure Copy Customs allowing real time monitoring of not available in ACD developed, and tested. installed inMOF, ACD HQ and operations five regional offices Date 31-Mar-2010 31-Mar-2013 30-Jun-2014 Comments Executive information system developed by UNCTAD as part of ASYCUDA World platform. Live demonstration given to ACD and World Bank.The system fulfills the prescribed requirements. Data migration underway. The system will become fully operational by end June 2013. Development of possible options for cross Text Value No formal C2C cooperation (i) Exchange of data C2C Cooperation agreement border Customs-to-Customs (C2C) between Afghanistan and its through secure emails signed between Afghanistan- Cooperation neighboring counties. between Afghanistan and Pakistan, and implemented at Pakistan at Torkhum in final Torkham and Chaman stages of implementation. Test email exchanged. (ii) Draft MOU for Customs to Customs cooperation exchanged between Afghanistan and Tajikistan. ACD endeavoring to formalize the agreement by July 2013. Date 31-Mar-2010 01-Dec-2012 30-Jun-2014 Comments C2C cooperation between Afghanistan and its neighboring counties. Public Disclosure Copy Provision of selected Customs infrastructure to Text Value Fourteen major contract Improvement of Jalalabad, enable modernized operations awarded to date. Kabul ICDs. Construction of Khost, Nimroz and Andkhoi 1. Jalalabad ICD - The ICDs. Improvement/ work on last phase of truck construction of Torkham and parking and two warehouses AqinaBorder Posts. completed. Work on link road 70% completed. 2. Khost ICD - Boundary wall and truck parking completed. Page 5 of 8 The World Bank Report No: ISR10256 80% work completed on the new Administration building and two warehouses. Contract awarded for Public Disclosure Copy construction of Link Road. 3. Kandahar ICD - Work on construction of Truck Parking and Administration building underway and more than 60% progress achieved. 4. Kabul ICD – 50% works completed. Some delays encountered due to extreme weather conditions over winters, however Contractor is expected to complete the contract by Dec 2013. 5. Nimroz ICD - Work underway on construction of truck parking and access roads. Progress is slow, but contractor is being pushed to expedite. 6. Andkhoi ICD – Approximately 10% progress achieved on construction of truck parking and internal roads. Expected date of completion is Dec 2013. Nineteen smaller contracts Public Disclosure Copy completed. These include refurbishment of existing offices, electricity and communication cabling, provision of containerized offices etc. Date 31-Mar-2010 01-Dec-2012 30-Jun-2014 Comments Other alternate improvements as agreed between the World Bank and ACD in keeping Page 6 of 8 The World Bank Report No: ISR10256 with the overall results framework. Technical assistance to support the Text Value 1. The Customs Technical assistance for the development of an adequate regulatory, Modernization Workshop following areas provided Public Disclosure Copy administrative and institutional framework for Action Plan drafted and a) Laws and Customs approved by the Minister of procedures Finance. The project is now i. Legislative Review working to finalize the ii. Customs value implementation plan. added activities 2. ACD's new Five Year iii. Review of Customs Strategic Plan drafted and Clearance Procedures submitted to ACD/MoF b) Customs Control management for final c) Organization and approval. capacity development 3. The implementation plan i. Reorganization plan for Post Clearance Audit for ACD (PCA) drafted and discussed ii. Integration and with ACD management. PCA Sustainability Strategy for the expected to be rolled outwith ASYCUDA Unit effect from end May 2013. iii. Pay and pension reform package for ACD d) Coordination and partnerships with other government agencies e) Customs Reform and Modernization Unit i. International Customs Unit ii. Monitoring GAAP activities, milestones and benchmarks supported by ICN f) Post Clearance Audit Unit g) Tariff and Statistics Public Disclosure Copy Unit (TRSU) Date 31-Mar-2010 01-Dec-2012 30-Jun-2014 Comments Recruitment and retention of International Advisers continue to be a challenge. Two advisers are currently available to the project, recruitment process to fill the vacancies is ongoing. Page 7 of 8 The World Bank Report No: ISR10256 Data on Financial Performance (as of 10-Dec-2012) Financial Agreement(s) Key Dates Project Ln/Cr/Tf Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date Public Disclosure Copy P112872 IDA-H5680 Effective 25-May-2010 28-Jun-2010 28-Dec-2010 30-Jun-2014 30-Jun-2014 Disbursements (in Millions) Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P112872 IDA-H5680 Effective XDR 33.30 33.30 0.00 20.51 12.79 62.00 Disbursement Graph Key Decisions Regarding Implementation Public Disclosure Copy 1. ACD and UNOPS to commence the remaining activities under the project at the earliest. 2. ACD and UNOPS to expedite ongoing procurements. Restructuring History There has been no restructuring to date. Related Projects There are no related projects. Page 8 of 8