The World Bank Report No: ISR8850 Implementation Status & Results Malawi Malawi Third Social Action Fund (MASAF 3) APL II (LDF Mechanism) (P110446) Public Disclosure Copy Operation Name: Malawi Third Social Action Fund (MASAF 3) APL II (LDF Project Stage: Implementation Seq.No: 7 Status: ARCHIVED Archive Date: 06-Mar-2013 Mechanism) (P110446) Country: Malawi Approval FY: 2008 Product Line: IBRD/IDA Region: AFRICA Lending Instrument: Adaptable Program Loan Implementing Agency(ies): Key Dates Board Approval Date 20-Jun-2008 Original Closing Date 30-Sep-2013 Planned Mid Term Review Date 12-Sep-2011 Last Archived ISR Date 27-Jun-2012 Effectiveness Date 24-Mar-2009 Revised Closing Date 30-Jun-2014 Actual Mid Term Review Date 09-Jan-2012 Project Development Objectives Project Development Objective (from Project Appraisal Document) The Development Objective is to improve the livelihoods of poor households within the framework of improved Local Governance at community, Local Authority, and National levels. Has the Project Development Objective been changed since Board Approval of the Project? Yes No Component(s) Component Name Component Cost Community Livelihoods Support (CLS)Fund 40.00 Local Authority Capacity Enhancement (LACE) Fund 5.00 National Institutional Strengthening Fund 5.00 Overall Ratings Public Disclosure Copy Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Moderate Implementation Status Overview The project has recorded visible progress towards the project objectives. Against a set target of 1,490,125 households under the Public Works Subproject Program (PWSP), a total of 1,016,887 beneficiaries of whom 47.5 percent are female have received wages after participating in the works. The total number of beneficiaries represents 113 per cent percent of the target. About 28.7 percent of beneficiary primary school teachers live in modern houses. The PWSP has led to improved savings and investments: 13,748 beneficiaries representing 40.7 percent of the total beneficiaries (of which 62 percent are female), have saved at least 50 percent (MK1,200.00) of wages earned through the PWSP. Moreover, Page 1 of 9 The World Bank Report No: ISR8850 18.3 percent of PWSP beneficiaries have invested their earnings in small scale businesses, ranging from food processing, retailing of farm produce to groceries. A total of 9,562,644 person days of public works jobs have been created. The above data confirm that beneficiaries used their wages to overcome food insecurity by spending a greater proportion of their wages on food, which was followed by purchase of Public Disclosure Copy agricultural inputs and setting up businesses. With the wages earned 34.6% of the beneficiaries used some of the money to buy farm inputs, while 62% bought food (beneficiary Assessment January 2012). Community Savings and investment having 23,545 participants; construction of 985 teachers houses, leading to improved environment for 4,925 family member of teachers occupying the houses, and 68 percent of local councils are able to set objectives to implement community service packages, this is against a target of 70% by end of Project. More time and information is needed in order to be able to ascertain the achievements at the DO level. Assessments are underway that will inform the performance on two other important development objective indicators for the Local Authority Capacity Enhancement Fund component. In addition, both the Public Works Subproject Program Beneficiary Tracer Study and the Impact Evaluation that are on-going, will capture information that will further inform the assessment towards the development objectives. Nevertheless, the general performance under the components in terms of outputs has been encouraging, with targets surpassed in some cases. Locations No Location data has been entered Results Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Person days provided in labor intensive public Number Value 0.00 9562644.00 10800000.00 works Date 30-Jun-2008 30-Sep-2012 30-Sep-2013 Comments During the preparation of the Initially 40% are taken up by AF II, the Board suggested women that the team should increase female participation to 50%. PWSPBeneficiaries (number % female) Number Value 815557.00 1016887.00 900000.00 Date 30-Jun-2008 30-Sep-2012 30-Sep-2013 Comments Baseline is from APL 1 48.5%. The number is At least 40% female Public Disclosure Copy inclusive of the 2011/2012 PWSP cycle results. % Female Percentage Value 46.00 48.50 50.00 Sub Type Supplemental PWSP beneficiaries with savings of at least Number Value 0.00 13748.00 33750.00 50% of PWSP wage one year after Date 30-Jun-2008 30-Sep-2012 30-Sep-2013 participation (of which women) Comments This is a new indicator added The information on values is 50% female during preparation of after consolidating the Page 2 of 9 The World Bank Report No: ISR8850 Additional Financing in June 2011/2012 PWSP cycle 2010 results. 62% of beneficiaries are female % Female Percentage Value 0.00 40.70 40.00 Public Disclosure Copy Sub Type Supplemental Direct project beneficiaries Number Value 5706249.00 5487879.00 4730729.00 Date 31-Mar-2009 30-Sep-2012 30-Sep-2013 Comments At least 70% of local authorities able to set Text Value 37.5% 89% 70% annual targets and achieve 70% of their annual Date 31-Mar-2009 30-Sep-2012 31-Dec-2014 targets. Comments Criteria to be developed by This is an APL III Trigger and 70% of local authorities December 31, 2009. Data needs to be monitored even if achieving 70% of annual collection instrument will be there is no APL III targets Public Expenditure Tracking Surveys conducted annually at the end of budget year. Direct project beneficiaries Number Value 5706249.00 5487879.00 7630.00 Date 31-Dec-2008 30-Sep-2012 31-Dec-2014 Comments Female beneficiaries Percentage Value 46.00 48.50 50.00 Sub Type Supplemental PWSP Beneficiaries that were able to buy Percentage Value 68.00 34.60 48.00 agricuktural inputs following participation in the Date 31-Dec-2008 30-Sep-2012 31-Dec-2014 PWSP (of which female) Comments The 2011 Beneficiary Tracking Studies indicated that 34.6% were able to buy agricultural inputs Public Disclosure Copy % Female Percentage Value 75.00 34.60 50.00 Sub Type Supplemental Number of local coulcils with unqualified audit Percentage Value 12.50 0.00 60.00 reports Date 30-Jun-2009 30-Sep-2012 31-Dec-2014 Page 3 of 9 The World Bank Report No: ISR8850 Comments The baseline was derived The annual Performance is 60% of the Councils having from the Annual Performance underway and the results will no qualified audit reports Assessment carried out in be known in December 2012. 2009 Public Disclosure Copy Intermediate Results Indicators Indicator Name Core Unit of Measure Baseline Current End Target Active Micro savings accounts Number Value 83920.00 73655.00 970000.00 Date 30-Jun-2008 30-Sep-2012 30-Sep-2013 Comments 61% are held by women % Female Percentage Value 0.00 61.00 40.00 Sub Type Supplemental Beneficiaries paid in a timely manner: Wages Percentage Value 50.00 43.00 90.00 paid within two weeks of works Date 30-Jun-2008 30-Sep-2012 30-Sep-2013 Comments Framework defined for Intergovernmental Text Value 0 System operational System operational Fiscal Transfer System to support service Date 30-Mar-2009 30-Sep-2012 30-Sep-2013 delivery of LA defined and ready for testing by Comments The IGFTS review process MTR still on going Compliance with targeting methods: share of Percentage Value 0.00 90.00 90.00 beneficiaries of PWSP complying with eligibility Date 30-Jun-2008 30-Sep-2012 30-Sep-2013 criteria (identified through verification Comments The information will be excercises available by December 2011 after the ongoing tracer study is complented Local Authority Capital Grants System defined Text Value not applicable System revised and System defined and ready and ready for implementation by MTR. operational Public Disclosure Copy Date 30-Mar-2009 30-Sep-2012 24-Sep-2011 Comments Process to develop a grant system is in progress (request for EOI advertised in papers) Local Authorities meeting specified criteria in Percentage Value 72.50 79.40 80.00 Procurement (functional Internal procuremnt Date 30-Sep-2008 30-Sep-2012 30-Sep-2013 Committee) Comments Page 4 of 9 The World Bank Report No: ISR8850 Functional Internal procurement Committee Percentage Value 0.00 44.10 80.00 and availability of Procurement Plan Sub Type Supplemental Public Disclosure Copy Local Authorities meeting specified criteria in Percentage Value 12.50 62.00 60.00 Financial Mangement: Non qualified audits Date 30-Jun-2008 30-Sep-2012 30-Sep-2013 Comments At least 70% of appraised Community Action Text Value 75 32 100% Plans reflected in District Annual Investment Date 30-Mar-2009 30-Sep-2012 30-Sep-2013 Plans. Comments Community Savings and Investment Groups Number Value 8392.00 3298.00 1500.00 created that are reach stage 3 (after 6-9 Date 30-Jun-2008 30-Sep-2012 30-Sep-2013 months) Comments Each group has 30 - 40 members per group. These figure is net of baseline PWSP subprojects implemented Number Value 0.00 3045.00 0.00 Date 30-Jun-2008 30-Sep-2012 30-Sep-2013 Comments Due to the demand driven nature of the subproject, it is not possible to determine before hand the number of projects that will come up Irrigation Improvement Number Value 0.00 396.00 0.00 Sub Type Date 30-Sep-2012 30-Sep-2013 Breakdown Comments target not set Reforestation Number Value 0.00 729.00 Sub Type Date 30-Sep-2012 30-Sep-2013 Breakdown Comments Target not set Road maintenance Number Value 0.00 1920.00 0.00 Public Disclosure Copy Sub Type Date 30-Sep-2012 30-Sep-2013 Breakdown Comments Target not set Safety Net Programs (Public works Number Value 1849.00 9023.00 10000.00 subprojects) implemented Date 30-Jun-2008 30-Sep-2012 30-Sep-2013 Comments Area provided with irrigation and drainage Number Value 0.00 13396.00 250.00 services, new/rehabilitated Date 30-Jun-2008 30-Sep-2012 30-Sep-2013 Page 5 of 9 The World Bank Report No: ISR8850 Comments These are hectares of land. There have been no sub- projects in the last cycle Public Disclosure Copy People with access to improved learning Number Value 0.00 13220.00 50000.00 environment Date 30-Jun-2009 30-Sep-2012 30-Sep-2013 Comments Number of additional classrooms built or Number Value 942.00 1220.00 244.00 rehabilitated at the primary level resulting from Date 30-Jun-2010 30-Sep-2012 30-Sep-2013 project interventions. Comments This is APL I achievements This indicator was added in 2010 the time of processing the Additional Financing Primary School staff houses constructed Number Value 118.00 1380.00 1300.00 Date 30-Jun-2009 30-Sep-2012 30-Sep-2013 Comments 1000 staff houses were expected to be constructed every year but due to limited funds this has not been possible Communities satisfied with support provided by Percentage Value 49.00 70.00 70.00 the Local Assemblies, Area Development Date 31-Dec-2008 30-Sep-2012 30-Sep-2013 Committees, and Village Development Comments Low achievement under the Committees PWSP due to LAs not providing other working tools such as hoes and lack of structures e.g curvets Communities with operational community level Percentage Value 0.00 12.00 50.00 tracking System tracking system Date 30-Sep-2012 30-Sep-2013 Comments LAs with reporting mechanism for MDG Percentage Value 0.00 18.00 70.00 Public Disclosure Copy indicator targets (number) (Trigger for APL III) Date 30-Jun-2008 30-Sep-2012 30-Sep-2011 Funds lost to errors, fraud, and corruption: Comments Current achievement based Identified through audit exercise (%) on preliminary assessment undertaken by TST Community level tracking system delivering Text Value not applicable Tracking studies undertaken, Annual studies completed and information on baselines, targeting, utilization and report available in results available for improved of PWSP wage earnings on an annual basis. January 2012 targeting for next P WP cycle. Date 30-Mar-2009 30-Sep-2012 30-Sep-2013 Comments Page 6 of 9 The World Bank Report No: ISR8850 70% of LAs publicly disclose expenditures. Text Value 12.5 30% 70% Date 30-Jun-2008 30-Sep-2012 30-Sep-2013 Comments 70% of LAs publicly disclose Public Disclosure Copy expenditures by End of Project; 30% by MTR Community level tracking system that delivers Text Value N/A Tracking Studies to determine information on baselines, targeting, utilization use of income implemented of PWSP wage earnings on an annual basis Date 31-Mar-2012 30-Sep-2013 defined and implemented Comments Based on communities that participate in the tracking studies Number of primary school classrooms built/ Number Value 0.00 172.00 244.00 renovated Date 30-Jun-2009 31-Mar-2012 30-Sep-2013 Comments at beginning of Project 1,000 primary school staff houses Rural roads rehabilitated Kilometers Value 3392.00 28023.00 18000.00 Date 09-Jun-2009 30-Sep-2012 30-Sep-2013 Comments Currently, over 50% of public Due to demand-driven nature works sub-projects are rural of the Project, target values roads. could not be pre-determined. Annual targets are set by Local Assemblies. Health facilities constructed, renovated and/or Number Value 0.00 0.00 0.00 equipped Date 30-Jun-2009 30-Sep-2012 30-Sep-2013 Comments at beginning of Project Nothing has been demanded Due to the demand-driven by the communities nature of sub-projects, target values could not be pre- determined. At least 70% of the annual PWSP cycles are Text Value 0 80 70% completed according to plan. Public Disclosure Copy Date 05-Dec-2008 30-Sep-2012 30-Sep-2013 Comments not applicable The cycle was successfully 70% of PWSP cycles completed although there was completed according to plan delay in starting. This is a Trigger for APL 3 At least 70% of VDCs/ ADCs are functional Text Value 39% 50 70% institutions which address service gaps at Date 30-Mar-2009 30-Sep-2012 30-Sep-2013 community level. Comments 1134 VDCs were reorganized 70% of ADCs/VDCs are and trained functional institutions Page 7 of 9 The World Bank Report No: ISR8850 Data on Financial Performance (as of 19-Feb-2013) 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 P110446 IDA-44830 Effective 20-Jun-2008 25-Nov-2008 24-Mar-2009 30-Sep-2013 30-Sep-2013 P110446 IDA-47880 Effective 30-Jun-2010 26-Nov-2010 29-Dec-2010 30-Sep-2013 30-Sep-2013 P110446 IDA-51420 Effective 17-Jul-2012 22-Aug-2012 07-Sep-2012 30-Jun-2014 30-Jun-2014 P110446 IDA-H7940 Effective 17-Jul-2012 22-Aug-2012 07-Sep-2012 30-Jun-2014 30-Jun-2014 Disbursements (in Millions) Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P110446 IDA-44830 Effective XDR 30.70 30.70 0.00 30.70 0.00 100.00 P110446 IDA-47880 Effective XDR 9.50 9.50 0.00 5.64 3.86 59.00 P110446 IDA-51420 Effective XDR 16.60 16.60 0.00 6.79 9.81 41.00 P110446 IDA-H7940 Effective XDR 16.60 16.60 0.00 4.91 11.69 30.00 Disbursement Graph Public Disclosure Copy Key Decisions Regarding Implementation 1.There is still need for joint missions by the development partners supporting the Local Development Fund as requested by the Government during the second Joint Annual Review which was conducted on January 27, 2011, to reduce transaction costs in terms of time the Technical Support Team (TST) spends supporting separate missions. Page 8 of 9 The World Bank Report No: ISR8850 2. The project is progressing towards achieving the development objective in line with the 100% disbursement under MASAF 3 APL II original project and 58% under the first additional financing, with the second Additional Financing registering 23% of the Credit and 16% of the Grant. It is anticipated that the balance of resources under the two additional Financings will be fully utilized by June 30, 2014, the Closing Date of the Project. Public Disclosure Copy Restructuring History There has been no restructuring to date. Related Projects P121065-Malawi additional financing for Social Action Fund 3 APLII, P131648-Second Additional Financing for the Third Social Action Fund Project Public Disclosure Copy Page 9 of 9