The World Bank Smart Africa Alliance/Korea Partnership (P162044) REPORT NO.: RES39812 RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF SMART AFRICA ALLIANCE/KOREA PARTNERSHIP APPROVED ON FEBRUARY 8, 2018 TO SMART AFRICA ALLIANCE DIGITAL DEVELOPMENT AFRICA Regional Vice President: Hafez M. H. Ghanem Country Director: Deborah Wetzel Global Director: Boutheina Guermazi Practice Manager/Manager: Michel Rogy Task Team Leader(s): Seda Pahlavooni The World Bank Smart Africa Alliance/Korea Partnership (P162044) ABBREVIATIONS AND ACRONYMS CD Country Director CEO Chief Executive Officer ETC Extended Term Contract FM Financial Management FY Fiscal Year IBRD International Bank for Reconstruction and Development ICT Information and Communication Technologies KWPF The Korea-World Bank Group Partnership Facility PDO Project Development Objective TA Technical Assistance TF Trust Fund TTL Task Team Leader USD United States Dollars WA Withdrawal Application WB World Bank WBG World Bank Group The World Bank Smart Africa Alliance/Korea Partnership (P162044) BASIC DATA Product Information Project ID Financing Instrument P162044 Investment Project Financing Original EA Category Current EA Category Approval Date Current Closing Date 08-Feb-2018 31-Dec-2019 Organizations Borrower Responsible Agency Smart Africa Alliance Smart Africa Alliance Financing (in USD Million) FIN_SUMM_PUB_TBL SUMMARY Total Project Cost 0 Total Financing 0 Financing Gap 0 DETAILS -NewFin3 Project Development Objective (PDO) Original PDO The project development objective is to build capacity of the Smart Africa Secretariat to implement priority programs and capacity of member states to develop Smart Africa Action plans. OPS_TABLE_PDO_CURRENTPDO The World Bank Smart Africa Alliance/Korea Partnership (P162044) Summary Status of Financing Net TF Approval Signing Effectiveness Closing Commitment Disbursed Undisbursed TF-A4343 08-Feb-2018 18-Jul-2018 18-Jul-2018 31-Dec-2019 .60 .60 0 Policy Waiver(s) Does this restructuring trigger the need for any policy waiver(s)? No I. PROJECT STATUS AND RATIONALE FOR RESTRUCTURING 1. Subsequent to the signing of the grant agreement which was long delayed, the 1implementation of the grant has been progressing in a satisfactory manner towards the achievement of the PDO. This includes both capacity building of the Smart Africa Secretariat to implement priority programs and of Member States to develop Smart Africa action plans. A study-visit to Korea of high-level Government officials of the Smart Africa Alliance member countries involved in strategic, policy and implementation aspects of digital government and digital economy was completed in October 2018. The study visit provided an opportunity for participants to gain an understanding of Korea’s digital development journey from both the government and the private sector perspectives; understand some of the latest innovations in digital connectivity and platforms; and, to interact amongst themselves to identify potential areas of collaboration and south-south learning. The exchanges in the forum provided the impetus for initiating lending activities for digital economy/digital development in several member states. 2. A first extension of the project closing date requested by the Smart Africa Secretariat was approved on December 13, 2018 from December 18, 2018 to December 31, 2019, to allow the Smart Africa Secretariat and the Member States to complete the remaining activities (Recruitment of Project Managers for priority programs, Support for Development of Smart Africa country plans, Support for youth entrepreneurship and innovation) and achieve the intended outcomes/results given the long delays in reaching grant signing and project effectiveness. 3. Since then, the Smart Africa Secretariat has recruited the following managers to build the Secretariat’s capacity to implement priority programs: (i) a project manager in charge of Education for All through ICT, the Smart Africa scholarship fund and the Smart Africa Women & Girls initiatives; (ii) a project manager in charge of the Transform 1In terms of background, the grant agreement for this trust fund had to go through various iterative processes, clearances and approvals as the initially Bank Executed grant had to be converted retroactively into a hybrid Bank and Client executed program at the request of the client and WB senior management. This proved to be a more difficult and protracted process than initially anticipated as the Bank systems are not well equipped for this type of change. The World Bank Smart Africa Alliance/Korea Partnership () Africa Summit; and (iii) a project manager in charge of broadband and Internet infrastructure development initiatives. 4. This second extension is requested by the Smart Africa Secretariat to extend the project closing date from December 31, 2019, to June 30, 2020. The additional time is to allow the Smart Africa Secretariat and the Member States to complete the remaining activities, which are: Recruitment of a consulting firm to formulate national strategies for the development of Smart Cities in Africa, and Recruitment of a consulting firm to develop the Africa’s Blueprint for ICT Start-ups and Innovation ecosystem. The remaining funds/balance is disbursed and will be sufficient to cover the remaining activities as per the agreed scope. No additional financing is needed. II. DESCRIPTION OF PROPOSED CHANGES 5. The only proposed change is the second extension of the closing date to allow for successful implementation of all remaining planned activities; there are no other proposed changes. 6. The Smart Africa Secretariat Office of Executive Director, has requested in a letter dated November 15, 2019, an extension of the closing date from December 31st, 2019, to June 30, 2020. The team believes extending the date to June 30, 2020 will allow for a successful completion and evaluation of all the activities of the project, with additional support of the new ETC based in the Kigali Country Office starting December 16, 2019. III. SUMMARY OF CHANGES Changed Not Changed Loan Closing Date(s) ✔ Implementation Schedule ✔ Implementing Agency ✔ Project's Development Objectives ✔ Results Framework ✔ Components and Cost ✔ Cancellations Proposed ✔ Additional Financing Proposed ✔ Reallocation between Disbursement Categories ✔ Disbursements Arrangements ✔ Disbursement Estimates ✔ The World Bank Smart Africa Alliance/Korea Partnership () Change in Overall Risk Rating ✔ Safeguard Policies Triggered ✔ EA category ✔ Legal Covenants ✔ Institutional Arrangements ✔ Financial Management ✔ Procurement ✔ Other Change(s) ✔ IV. DETAILED CHANGE(S) OPS_DETAILEDCHANGES_LOANCLOSING_TABLE LOAN CLOSING DATE(S) Original Revised Proposed Proposed Deadline TF Status Closing Closing(s) Closing for Withdrawal Applications TF-A4343 Effective 18-Dec-2018 31-Dec-2019 30-Jun-2020 30-Oct-2020