The World Bank Implementation Status & Results Report Serbia Competitiveness and Jobs (P152104) Serbia Competitiveness and Jobs (P152104) EUROPE AND CENTRAL ASIA | Serbia | Finance, Competitiveness and Innovation Global Practice | IBRD/IDA | Investment Project Financing | FY 2016 | Seq No: 7 | ARCHIVED on 27-Nov-2018 | ISR35031 | Implementing Agencies: Public Policy Secretariat, Ministry of Finance, Ministry of Economy, Ministry of Education Science and Technological Development, Ministry of Labor, Employment, Veteran and Social Affairs Key Dates Key Project Dates Bank Approval Date: 16-Sep-2015 Effectiveness Date: 31-Mar-2016 Planned Mid Term Review Date: 11-Dec-2017 Actual Mid-Term Review Date: 11-Dec-2017 Original Closing Date: 30-Jun-2019 Revised Closing Date: 30-Jun-2021 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The PDO is to improve the effectiveness and coordination of selected public programs to alleviate constraints to competitivenessand job creation, including investment and export promotion, innovation, active labor market programs, labor intermediation, and activation of social assistance beneficiaries. Has the Project Development Objective been changed since Board Approval of the Project Objective? Yes Board Approved Revised Project Development Objective (If project is formally restructured) The PDO is to improve the effectiveness and coordination of selected public programs to alleviate constraints to competitiveness and job creation, including investment and export promotion, innovation, active labor market programs and labor intermediation. Components Table Name Policy planning, monitoring, and coordination:(Cost $3.00 M) Investment and export promotion:(Cost $22.00 M) Innovation:(Cost $39.55 M) Labor:(Cost $30.00 M) Project management and technical assistance:(Cost $5.20 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Substantial Substantial Implementation Status and Key Decisions 11/27/2018 Page 1 of 8 The World Bank Implementation Status & Results Report Serbia Competitiveness and Jobs (P152104) NOTE: This is a "catch-up" ISR, re-submitted to update the status of Citizen Engagement (CE) elements of the project, and provide an update on planned disbursements. Full update of the ISR will be done in the next regular reporting period. Following the Mid-Term Review in December 2017, restructuring of the Project was successfully completed in May 2018 (countersigning of the Amendments to the Loan Agreement was completed only in August 2018, due to change of Minister of Finance). With the restructuring project implementation arrangements were streamlined (by winding down a separate PIU in Ministry of Labor, Employment, Veteran and Social Affairs (MoLEVSA) and consolidating project implementation with the main PIU), implementation schedule of a number of the DLIs was revised, some of the DLIs were adjusted to better reflect Government priorities, and the project closing date was extended. Following the restructuring, a revised Procurement Plan has been adopted by the Inter-Ministerial Working Group (IMWG) and submitted to the Bank for no objection. No objection was issued on September 21. Revised Project Operation Manual was also adopted by the IMWG and submitted to the Bank in the last week of September. The revised POM has been reviewed and no objection was issued in October. After delays prior to the restructuring, procurement of TA to support the project should accelerate over the next couple of months. There were no disbursements during the reporting period. However, a disbursement request for EUR 22.3 million was submitted in mid-November, based on meeting various DLIs during the reporting period. The team reviewed the disbursement request and the accompanying verification documentation and found it satisfactory. The disbursement package was cleared by the Country Lawyer, and it is anticipated that the letter to authorities to initiate the disbursement will be issued in the last week of November. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Substantial Substantial Substantial Macroeconomic Substantial Moderate Moderate Sector Strategies and Policies Moderate Substantial Substantial Technical Design of Project or Program Substantial Substantial Substantial Institutional Capacity for Implementation and Sustainability Substantial Substantial Substantial Fiduciary Substantial Substantial Substantial Environment and Social Moderate Moderate Moderate Stakeholders Substantial Substantial Substantial Other Moderate Moderate Moderate Overall Substantial Substantial Substantial Results PDO Indicators by Objectives / Outcomes Improve the effectiveness of selected public programs on investment and export promotion IN00649918 ►New investor leads generated by the reformed investment promotion agency (annual) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target 11/27/2018 Page 2 of 8 The World Bank Implementation Status & Results Report Serbia Competitiveness and Jobs (P152104) Value 20.00 -- 38.00 33.00 Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2020 IN00649921 ►Participants in export promotion programs that engage in new export activities (annual) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 85.00 -- 350.00 200.00 Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2020 Improve the effectiveness of selected public programs on Innovation IN00649919 ►New collaborations facilitated between research organizations and the private sector (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 3.00 -- 14.00 25.00 Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2020 Improve the effectiveness of selected public programs on ALMPs and labor intermediation IN00649920 ►NES registered unemployment cases transitioning into formal job (annual) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 232,280.00 -- 268,497.00 280,000.00 Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2020 Overall Comments PDO Actual indicator values are as per the latest Progress Report submitted by the PIU in August 2018. This Progress Report covers the July-December 2017 period. Indicator values will be further updated once the new Progress Report is submitted. Intermediate Results Indicators by Components Policy planning, monitoring, and coordination IN00649922 ►Annual performance reviews of pilot policy planning, monitoring, and coordination system (to support competitveness and jobs reforms) (see DL1) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 2.00 3.00 11/27/2018 Page 3 of 8 The World Bank Implementation Status & Results Report Serbia Competitiveness and Jobs (P152104) Date 01-Jan-2015 -- 29-Dec-2017 31-Dec-2018 Investment and export promotion IN00649923 ►MoE investment and export promotion programs restructured [DLI 2] (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value DLI Table -- partial DLI achieved DLI Table Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2020 IN00649926 ►Number of documented interests by investors (annual) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 61.00 -- 89.00 90.00 Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2020 IN00649929 ►Number of firms participating in the new Supplier Development Program (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 20.00 Date 29-Dec-2017 02-Mar-2018 02-Mar-2018 31-Dec-2020 Innovation IN00649924 ►Private financing catalyzed through IF support programs (Ammount USD) (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.3m -- 1.46 m 3.6m Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2020 IN00649928 ►Enterprises and startups financed through Innovation Fund programs (including MMG) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 11.00 -- 40.00 75.00 Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2020 IN00649930 Enterprises and startups financed with female owner (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 1.00 -- 5.00 10.00 Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2020 IN00649932 11/27/2018 Page 4 of 8 The World Bank Implementation Status & Results Report Serbia Competitiveness and Jobs (P152104) ►Innovative products or services developed by MG beneficiary firms (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 16.00 -- 0.00 25.00 Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2020 IN00649934 ►Innovative products or services launched by MG beneficiary firms (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 3.00 -- 0.00 10.00 Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2020 IN00649937 ►Technology transfer: IF TTF service lines deployed [see DLI 4] (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 3.00 8.00 Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2020 IN00649938 ►Technology transfer: transactions initiated [see DLI 4] (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 26.00 15.00 Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2020 IN00649941 ►R&I strategy, action plan, RI Roadmap and public research sector reforms including establishment of Science Fund designed and adopted (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value See DLI Table -- DLI partially achieved See DLI Table Date 31-Dec-2014 -- 31-Aug-2018 31-Dec-2020 IN00649943 ►Science Fund programs initiated (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 1.00 Date 29-Dec-2017 01-Mar-2018 01-Mar-2018 31-Dec-2020 IN00649944 ►Science Fund programs competitive grants awarded (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 20.00 Date 29-Dec-2017 01-Mar-2018 01-Mar-2018 31-Dec-2020 11/27/2018 Page 5 of 8 The World Bank Implementation Status & Results Report Serbia Competitiveness and Jobs (P152104) IN00649945 ►Citizen Engagement: Innovation matching grant beneficiary annual survey (number of surveys) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 3.00 Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2020 The Innovation Fund has been conducting other Citizen Engagement activities throughout the first cycle. Following the announcements of calls for their grant programs, the IF organized Open Door Days each week, where all interested parties could come and get advice and guidance from the IF about the programs. (The announcement for Open Door Days program related to Mini and Matching Grants is available here: http://www.innovationfund.rs/open-door-days-mini-matching-grants-programs-4/ and for Comments: the Collaborative Grant Scheme is available here: http://www.innovationfund.rs/open-door-days- collaborative-grant-scheme-program/). Also, the IF organized several workshops, both for potential applicants and for awardees (for example, https://ntpark.rs/en/2018/10/01/the-belgrade-spark-week- opened/ and http://www.innovationfund.rs/workshop-prepare-business-plan/).The indicator will be updated as soon as the survey of the first round is complete. Labor IN00649925 ►NES registered female unemployment cases transitioning into formal job (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 122,491.00 -- 138,152.00 145,000.00 Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2020 IN00649927 ►Number of field visits to employers per year by the NES (Number) (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 15,927 (field visits) -- 17,908 18,000 Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2020 IN00649931 ►% of total NES staff that is operating as certified case worker [DLI 6] (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 85.00 85.00 Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2020 IN00649933 ►Standard Deviation of mean case load per branch office over all branch offices [DLI 7] (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 381.00 -- 287.00 260.00 Date 01-Jan-2015 -- 29-Dec-2017 31-Dec-2020 IN00649935 ►Gross placement rate of NES start-up support program for self-employment 6 months from completion (Percentage, Custom) 11/27/2018 Page 6 of 8 The World Bank Implementation Status & Results Report Serbia Competitiveness and Jobs (P152104) Baseline Actual (Previous) Actual (Current) End Target Value 37.00 -- 90.00 42.00 Date 31-Dec-2013 -- 29-Dec-2017 31-Dec-2020 Reported rate is for gross placement, while baseline and target values are for net placement. Baseline Comments: and target values will be updated to also refer to gross placement rate. IN00649936 ►Gross placement rate of NES hiring subsidy program for new employment 6 months from completion (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 41.00 -- 80.00 46.00 Date 31-Dec-2013 -- 29-Dec-2017 31-Dec-2020 Reported rate is for gross placement, while baseline and target values are for net placement. Baseline Comments: and target values will be updated to also refer to gross placement rate. IN00649939 ►Number of new or re-designed ALMPs in the NES [DLI 8] (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 1.00 Date 31-Jan-2014 -- 29-Dec-2017 31-Dec-2020 IN00649942 ►Citizen engagement: Number of employers reached by client satisfaction and needs survey (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 973.00 3,000.00 Date 31-Dec-2014 -- 29-Dec-2017 31-Dec-2018 Target for Citizen engagement indicator was not reached in 2017 due to limitations in available capacity. As part of its regular activities, NES conducts face-to-face employer surveys to measure client satisfaction and needs, however this is done on smaller samples than initially planned due to capacity limitations. NES Comments: will make an effort to increase the number of surveys, aiming to achieve the target number of surveys for 2018. Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P152104 IBRD-85280 Effective USD 100.00 100.00 0.00 21.96 78.07 22% Key Dates (by loan) 11/27/2018 Page 7 of 8 The World Bank Implementation Status & Results Report Serbia Competitiveness and Jobs (P152104) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P152104 IBRD-85280 Effective 16-Sep-2015 07-Oct-2015 31-Mar-2016 30-Jun-2019 30-Jun-2021 Cumulative Disbursements Restructuring History Level 2 Approved on 10-May-2018 Related Project(s) There are no related projects. 11/27/2018 Page 8 of 8