The World Bank Report No: ISR11371 Implementation Status & Results Pakistan KP/FATA Governance Reforms (P126425) Public Disclosure Copy Operation Name: KP/FATA Governance Reforms (P126425) Project Stage: Implementation Seq.No: 4 Status: ARCHIVED Archive Date: 29-Mar-2014 Country: Pakistan Approval FY: 2012 Product Line: Recipient Executed Activities Region: SOUTH ASIA Lending Instrument: Specific Investment Loan Implementing Agency(ies): Key Dates Board Approval Date 01-Nov-2011 Original Closing Date 30-Jun-2014 Planned Mid Term Review Date 04-Nov-2013 Last Archived ISR Date 14-Feb-2013 Effectiveness Date 11-Oct-2011 Revised Closing Date 30-Jun-2015 Actual Mid Term Review Date 28-Oct-2013 Project Development Objectives Project Development Objective (from Project Appraisal Document) To strengthen the capacity of government departments in Khyber Pakhtunkhwa (KP), FATA and Balochistan to help support efficient delivery of the PCNA program in KP and FATA and related development programs in Balochistan. Has the Project Development Objective been changed since Board Approval of the Project? ● Yes No Component(s) Component Name Component Cost Strengthening of the PCNA Implementation Support Units, Provision of Technical Assistance and 3.25 Institutional Building to Line Departm ents of Khyber Pakhtunkhwa, Balochista and Line Directorates of FAT Rapid Response Facility (RRF) 5.75 Overall Ratings Public Disclosure Copy Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Satisfactory Overall Implementation Progress (IP) Satisfactory Satisfactory Overall Risk Rating High High Implementation Status Overview Context This project is designed to support the recovery and rehabilitation needs resulting from the militancy crisis under the Post Crisis Needs Assessment (PCNA) in Khyber Pakhtunkhwa (KP) and Federally Administered Tribal Areas (FATA) and Balochistan Development Needs Assessment (BDNA) in Balochistan with a strategic focus on peace building. The Page 1 of 10 The World Bank Report No: ISR11371 Governments own PCNA and BDNA and have demonstrated commitment through initiating tangible reform measures, regardless of the low capacity to manage and coordinate resources to implement the programs being a binding constraint. The project progress warrants review from the stand point of an operation in fragile and conflict settings as follows; 1. The Governance Support Project (GSP) results demonstrate tangible progress towards realizing its Project Development Objective (PDO) to improve the efficiency of Public Disclosure Copy delivery of the PCNA program through institutional strengthening in KP and FATA, while supporting priority needs of the PCNA governance program and related development program in Balochistan. Achievement of PDO and the progress of its implementation have been rated as satisfactory in the last three Implementation Status Reports, as key performance indicators are on track, while some of these have been overachieved. In this regard, since 2010, about 49 percent of investments (total US$ 1.396bn disbursed of US$ 2.8bn) have been made in the 10-year PCNA program, which demonstrates the growing capacity of line departments to support efficient delivery of the PCNA -- as targeted by GSP PDO. 2. Successful implementation has resulted in demand from government for scaling up of GSP support. In this regard, the GSP’s Rapid Response Facility (RRF) and Implementation Support Units (ISU) are instrumental in successful implementation of the project. The design feature of RRF has provided sufficient flexibility, facilitating timely response to clients’ priority needs. The ISUs approach has proven as an effective mechanism for the delivery of PCNA. Under this approach the ISUs are providing cross-cutting support in financial management, procurement, communication, and monitoring & evaluation to facilitate implementation by the line departments. 3. Having said that, to sustain progress towards achievement of the PDO, the project needs more focus firstly, on ensuring that outstanding legal covenant (submission of approved annual work plans) is met soon. Secondly, on actual expenditure rather than only project disbursement and thirdly, on timely filling of vacant ISU positions. 4. On the former, responding to the demands for scaling up, second Additional Financing (AF) for KP and FATA will be prepared after fulfillment of the legal covenant. The preparation requires timely submission of the annual work plans approved by the Project Steering Committee to the World Bank that is a legal covenant. On demand of KP and FATA Secretariats, the Multi-Donor Trust Fund (MDTF) Steering Committee has approved AF of US$800,000 (eight hundred thousand) and US$ 3.2 million respectively. All three Secretariats are required to submit the approved annual work plan to ensure timely preparation of the AF. 5. In regard to expenditure, while the disbursement ratio is reasonable (at 50% of the grant), the actual expenditure (31%) of the funds disbursed needs more focus. Significant amount (38%) of the disbursed funds are lying in the project designated account yet to be spent. To further enhance project implementation, the three Project Coordinators need to accord priority to actual expenditure. Balochistan in particular needs more focused attention to this issue having only 12% expenditure against the grant. 6. On filling of ISU positions, KP ISU vacant positions need to be filled urgently (this was also recommended by the April 2013 mission). To avoid similar time loss in the future, the ISU should maintain a roster of qualified candidates from which it could select for fast track deployment. Furthermore, to meet the transparency standards set by the KP Right to Information Law (2013), theshort listed candidates should be pro-actively disclosed on the PCNA website. The same good practice is also recommended for Balochistan and FATA ISUs. Locations Country First Administrative Division Location Planned Actual Public Disclosure Copy Pakistan North-West Frontier Province Peshawar ✔ Pakistan Federally Administered Tribal Areas Federally Administered Tribal Areas ✔ Pakistan Balochistan Balochistan ✔ Results Project Development Objective Indicators Page 2 of 10 The World Bank Report No: ISR11371 Indicator Name Core Unit of Measure Baseline Current End Target Rapid Response Facility Text Value Nil (i) On track and likely to (i) At least one (1) pilot be overachieved. Two project intervention for each Public Disclosure Copy completed (ii) Overachieved. Khyber Pakhtunkhwa, FATA 23 being funded by the and Balochistan has been project (iii) Finance completed under the RRF; (ii) department funded (iv) At least an aggregate of five Overachieved. Total (5) governance enhancing five reform actions interventions have been implemented in KP funded in Khyber (three) and FATA (two) Pakhtunkhwa and/or FATA; (iii) At least one (1) governance enhancing intervention has been funded in Balochistan; and (iv) Two (2) reform actions implemented inKhyber Pakhtunkhwa and FATA, and two (2) reform actions identified for diagnostic study in Balochistan. Date 11-Oct-2011 18-Feb-2014 30-Jun-2015 Comments Grant agreement signing date (i) KP Judicial Academy and i) At least one (1) pilot project FATA Tribunal Phase I intervention for each Khyber completed (ii) 23 funded (iii) 1 Pakhtunkhwa, FATA and funded in Balochistan (iv) 5 Balochistan has been implemented in KP and FATA completed under the RRF;(ii) At least an aggregate of five (5) governance enhancing interventions have been funded in Khyber Pakhtunkhwa and/or FATA; (iii) At least one (1) governance enhancing Public Disclosure Copy intervention has been funded in Balochistan; and (iv) Two (2) reform actions implemented in Khyber Pakhtunkhwa and FATA, and two (2) reform actions identified for diagnostic study in Balochistan. Page 3 of 10 The World Bank Report No: ISR11371 No of completed KP and FATA pilot projects Text Value Nil (i) Two completed (i) At least one (1) pilot Sub Type project intervention for each Khyber Pakhtunkhwa, FATA Breakdown and Balochistan has been Public Disclosure Copy completed under the RRF Date 28-Oct-2013 30-Jun-2015 Comments (i) KP Judicial Academy and FATA Tribunal Phase I completed No of implemented reform actions in KP and Text Value Five implemented including; Two (2) reform actions FATA Sub Type KP Judicial Academy, KP implemented in Khyber Ombudsman, KP Anti- Pakhtunkhwa and FATA Breakdown Corruption Establishment, FATA Tribunal and Anti- CorruptionHotline Date 18-Feb-2014 30-Jun-2015 Comments No of interventions funded in KP and FATA Text Value 23 funded. At least an aggregate of five Sub Type (5) governance enhancing interventions have been Breakdown funded in Khyber Pakhtunkhwa and/or FATA Date 18-Feb-2014 30-Jun-2015 Comments For details see MTR AM and annexes attached. No of funded governance interventions in Text Value Nil One funded At least one (1) governance Balochistan Sub Type enhancing intervention has been funded in Balochistan Breakdown Date 12-Sep-2012 18-Feb-2014 30-Jun-2015 Comments Grant signing date Institutional Strengthening Finance Department Public Disclosure Copy Balochistan (Phase-I) No of completed Balochistan pilot project Text Value Nil None yet At least one (1) pilot project Sub Type intervention for Balochistan has been completed under Breakdown the RRF Date 12-Sep-2012 18-Feb-2014 30-Jun-2015 Comments Grant signing date Page 4 of 10 The World Bank Report No: ISR11371 No of Balochistan reform actions identified for Text Value Nil One identified and diagnostic Two (2) reform actions diagnostic study Sub Type study completed - Institutional identified for diagnostic study Needs Assessment of the in Balochistan. Breakdown Balochistan M&E Directorate Public Disclosure Copy Date 12-Sep-2012 18-Feb-2014 30-Jun-2015 Comments AF grant signing date Capacity Enhancement Text Value Nil (i) KP FATA and (i) Operation and Balochistan ISU are management of the PCNA fully operational; (ii) ISUs, in FATA and Khyber The ISU are building Pakhtunkhwa, and the GSP the capacity of the line ISU in Balochistan: (ii) departments / Strengthening the institutional directorates in KP, FATA and capacity of Line Departments Balochistan in Khyber Pakhtunkhwa, Balochistan and Line Directorates in FATA Date 11-Oct-2011 18-Feb-2014 30-Jun-2015 Comments Grant signing date For details see MTR AM and annexes attached. PCNA Implementation Support Unit (ISU) in KP Text Value 0 (1) KP and FATA ISUs are (1) Staffed (2). Equipped (3) and FATA set up and operationalized Sub Type staff with turn over issues. (2) Provided O&M budget (4). ISUs equipped. (3) ISUs have Interact with development Supplemental budget (4) ISUs interacting partners and (5) Interact with with development partners the relevant Government (5) ISUs interacting with Departments and MDTF relevant Government Projects departments. For details see MTR AM with annexes attached. Systems established to monitor progress of Text Value 0 1) M & E specialists on board (1) M&E Unit with adequate Public Disclosure Copy PCNA program Sub Type (2) Quarterly progress reports staffing and resources and (2) are produced. KP and FATA Production of semi-annual Supplemental ISUs have also produced progress reports to MDTF PCNA monitoring reports. For details see MTR AM with annexes attached. Page 5 of 10 The World Bank Report No: ISR11371 Balochistan ISU established Text Value Nil (1) Balochistan ISU is staffed (1) Staffed (2). Equipped (3) Sub Type with some turn over issues. Provided O&M budget (4). (2) ISU equipped. (3) ISU has Interact with development Breakdown budget (4) ISU interacting partners and (5) Interact with Public Disclosure Copy with development partners the relevant Government (5) ISU interacting with Departments and MDTF relevant line departments and Projects MDTF projects. Date 12-Sep-2012 18-Feb-2014 30-Jun-2015 Comments Grant signing date Intermediate Results Indicators Indicator Name Core Unit of Measure Baseline Current End Target Designed Balochistan 10 Yr Governance Yes/No Value No Program Date 12-Sep-2012 18-Feb-2014 30-Jun-2015 Comments AF grant signing date ISU is in the process of A ten (10) year Governance designing 10 years Program for Balochistan has Governance Program been designed through a consultative process and submitted for stakeholders’consideration Project prepared for financing and Number Value 0.00 2.00 4.00 implementation Date 12-Sep-2012 18-Feb-2014 30-Jun-2015 Comments AF grant signing date Two projects prepared. At least four (4) projects have Khyber Pakhtunkhwa been prepared for financing provided Project and implementation by the Preparation Facility Project Implementing Entities (PPF) to MDTF's (jointly considered) Southern Area Development Project. FATA provided PPF to Public Disclosure Copy MDTF's FATA Roads project Developed Balochistan project concept notes Number Value 0.00 2.00 2.00 Date 12-Sep-2012 18-Feb-2014 30-Jun-2015 Comments AF grant signing date (i) Finance Department: This activity includes Strengthening Finance establishment of a pipeline of Department Balochistan projects for financing. The (Phase-I). (ii) Balochistan sub-indicators are (1) Ombudsman Strengthening Concept Note developed and (2) Concept note approved by Page 6 of 10 The World Bank Report No: ISR11371 the Government and ready for financing/further intervention. Reform Implementation Number Value 0.00 5.00 5.00 Public Disclosure Copy Date 11-Oct-2011 18-Feb-2014 30-Jun-2015 Comments (1) Sixteen (16) Sub-indicators are: governance enhancing (1) Number of governance interventions are approved for reforms approved by the implementation. ( 2) 5 Government for governance reforms are implementation (2) Actual under implementation . For implementation of the reforms details see MTR AM with by the Government. annexes attached. Funding Interventions Number Value 0.00 24.00 5.00 Date 11-Oct-2011 18-Feb-2014 30-Jun-2014 Comments For funded interventions Sub-indicators are: (1) details see MTR AM with Number of governance annexes attached. interventions funded and (2) Timeliness - a. Topics selected, b. Date and time of receipt of project proposals by ISU, (c) Date and time of project approval, (d) Information on funds allocation to the Line department, (e) Planned vs. Actual disbursement of funds. Workshops Number Value 0.00 24.00 12.00 Date 11-Oct-2011 18-Feb-2014 30-Jun-2014 Comments Total participants:- The data will include: (1) (1) 36 training workshops Number of workshops and conducted / attended (2) (2) Number of participants in Incountry 1317 male and 130 the workshops with gender Public Disclosure Copy females participated. Out of disaggregation country 26 male and 4 female participated. For details see MTR AM with annexes attached.. Studies Number Value 0.00 3.00 5.00 Date 11-Oct-2011 18-Feb-2014 30-Jun-2015 Comments GSP designed provision for (i) 3 studies completed. Special Studies as BE AAA on Government determined by the priority Page 7 of 10 The World Bank Report No: ISR11371 demand to feed into the For details see MTR AM with needs and topics of interest development of 10 years annexes attached and relevance. Sub- governance program. indicators: (1) Completion of the study and (2) Public Disclosure Copy Dissemination of the completed studies Monitoring Systems Yes/No Value No Yes Yes Date 11-Oct-2011 18-Feb-2014 30-Jun-2015 Comments (1) M&E Sub-indicators: (1) M&E Unit Specialist on board. (2) with adequate staffing and Quarterly progress reports resources and (2) Production produced. KP and FATA ISUs of semi-annual progress have also published 1st reports to MDTF PCNA Monitoring Report. For details see MTR AM with annexes attached Donor Coordination Yes/No Value No Yes Yes Date 11-Oct-2011 18-Feb-2014 30-Jun-2014 Comments (i) KP and FATA (1) Development Partners Forum Consultative Forum will established. include (a) Government, (b) (ii) Donors, CSOs Donors (c) Civil Society included. 5 Forums held by Organizations (CSOs) etc. KP and 4 by FATA. For (2). Meeting at least twice a details see MTR AM and year. annexes attached. Concept Notes Number Value 0.00 24.00 8.00 Date 11-Oct-2011 18-Feb-2014 30-Jun-2015 Comments (i) Total forty This activity includes seven (47) concept notes establishment of a pipeline of developed by Government. projects for financing. The Coordination(2) Total twenty sub-indicators are (1) Public Disclosure Copy four (24) concept notes Concept Note developed and approved forfinancing. For (2) Concept note approved by details see MTR AM with the Government and ready for annexes attached. financing/further intervention. Governance Program Date Value Empty Empty 30-Jun-2015 Date 18-Feb-2014 Comments To be started early 2013 (1) KP and FATA are working 10 year Governance Plan – on the sub-project design (2) Sub-indicators: Stakeholder consultation Page 8 of 10 The World Bank Report No: ISR11371 started. For details see MTR (1) Design of the sub-projects. AM with annexes attached (2). Stakeholder Consultation ISUs operationalized Percentage Value 0.00 100.00 100.00 Public Disclosure Copy Date 11-Oct-2011 18-Feb-2014 31-Dec-2012 Comments Setting-up: (i) Setting-up: Date of setting- KP & FATA ISU set up up (ii) Operationalization: on 11th October, 2011 ; PCNA units are Balochistan ISU set up (1) Staffed (2). Equipped (3) on 12th September, Provided O&M budget (4). 2012. Operationalization: (1) Interact with development KPFATA and Balochistan partners and (5) Interact with ISUs staffed with some the relevant Government turnover issues (2) Equipped Departments and MDTF (3) Provided budget (4) Projects Interacting with DPs (5) Interacting with department and MDTF Projects. For details see MTR AM with annexes attached. Data on Financial Performance (as of 27-Dec-2013) Financial Agreement(s) Key Dates Project Ln/Cr/Tf Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date P126425 TF-10510 Effective 11-Oct-2011 11-Oct-2011 11-Oct-2011 30-Jun-2014 30-Jun-2015 Disbursements (in Millions) Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P126425 TF-10510 Effective USD 8.75 8.75 0.00 4.39 4.36 50.00 Disbursement Graph Public Disclosure Copy Page 9 of 10 The World Bank Report No: ISR11371 Public Disclosure Copy Key Decisions Regarding Implementation The project 2nd additional financing preparation will be started once the legal covenant (annual work plan submission) is met. Restructuring History There has been no restructuring to date. Related Projects P130941-AF GSP for KP/FATA/BALOCHISTAN Public Disclosure Copy Page 10 of 10