The World Bank Implementation Status & Results Report Second Science & Technology Project (P127308) Second Science & Technology Project (P127308) EUROPE AND CENTRAL ASIA | Croatia | Finance, Competitiveness and Innovation Global Practice | IBRD/IDA | Investment Project Financing | FY 2013 | Seq No: 13 | ARCHIVED on 14-May-2019 | ISR35647 | Implementing Agencies: Ministry of Science, Education and Sports, Ministry of Finance, Croatia Key Dates Key Project Dates Bank Approval Date: 26-Apr-2013 Effectiveness Date: 31-Jul-2013 Planned Mid Term Review Date: 15-Sep-2015 Actual Mid-Term Review Date: 06-Nov-2015 Original Closing Date: 30-Jun-2017 Revised Closing Date: 31-Jan-2020 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The development objective of the proposed Project is to support Croatia to absorb EU Funds in the research and innovation sector bycapacitating selected public sector organizations and stimulating the demand for those funds from the business and scientific communities. Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Component A: Capacity Building for absorption of the EU Funds:(Cost $8.13 M) Component B: Research and innovation programs:(Cost $17.67 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Satisfactory Overall Implementation Progress (IP) Satisfactory Satisfactory Overall Risk Rating Moderate Moderate Implementation Status and Key Decisions The progress towards Project Development Objective (PDO) is satisfactory, on target to be achieved. As evidenced by the results framework indicators there is progress both in terms of outcome and output indicators. Thus, the capacity of the research and innovation public sector to absorb the EU funds has improved. Specifically, the government developed and adopted key strategic documents constituting ex-ante conditionality to use EU funds in R&D area. EUR 12.8 million have been absorbed from EU funds through a R&D grant scheme developed by the Ministry of Science and Education (MoSE), whereas the grant beneficiaries under the UKF have developed a R&D project pipeline worth EUR 24 million for the EU’s Horizon 2020 program, some of which have already been awarded. The MoSE is well advanced in the preparation of the technical documentation for four large R&D infrastructure projects that will apply for European Regional Development Fund (ERDF), for a value estimated at EUR 159 million (out of which 85% or 135 million is a grant from ERDF; and the remaining 15% will be funded from national component). The project has provided training in EU Funds management to technical staff in the MoSE, and R&D practitioners in Unity for Knowledge Fund (UKF), 5/14/2019 Page 1 of 8 The World Bank Implementation Status & Results Report Second Science & Technology Project (P127308) Croatian Science Foundation (CSF) and HAMAG-BICRO. About 200 knowledge-based companies and public research entities benefited from R&D programs of UKF/CSF and HAMAG-BICRO, which increases the pool of innovative firms and researchers’ groups able to apply for R&D allocations available under EU Funds. The implementation progress from client’s side is satisfactory, with 97.9 of the loan funds contracted and 87.1% of the loan funds disbursed. The remaining activities under Component A are mostly concentrated on the finalization of the technical documentation for the research infrastructure projects selected to be implemented with European Funds with a total value of about EUR 150 million. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance -- Moderate Moderate Macroeconomic -- Moderate Moderate Sector Strategies and Policies -- Moderate Moderate Technical Design of Project or Program -- Moderate Moderate Institutional Capacity for Implementation and Sustainability -- Moderate Moderate Fiduciary -- Moderate Moderate Environment and Social -- Moderate Moderate Stakeholders -- Moderate Moderate Other -- Moderate Moderate Overall -- Moderate Moderate Results PDO Indicators by Objectives / Outcomes Increased absorption of EU funds in the research and innovation sector IN00658650 ►Prepared set of innovation and R&D policy documents required for absorption of the EU Funds (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target The Strategy on Education, Science and Technology was adopted by the Ex ante Parliament in October conditionalities for the No documentation is Value -- 2014. The Smart use of EU funds for available Specialization Strategy R&D are met ( 3 has been approved by strategies). the European Commission in March 2016. The National 5/14/2019 Page 2 of 8 The World Bank Implementation Status & Results Report Second Science & Technology Project (P127308) Research Infrastructure Roadmap has been updated following the approval of the Smart Specialization Strategy and was adopted. Date 11-Feb-2013 01-Nov-2017 21-Dec-2018 31-Jan-2020 Indicator met: three strategies (National Science and Technology; R&D Infrastructure Roadmap and Comments: Smart Specialization Strategy) were adopted. IN00658686 ►Six project proposals prepared for submission to EU Funds (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 5.00 5.00 6.00 Date 14-Nov-2012 01-Nov-2017 21-Dec-2018 31-Jan-2020 1. R&D Grant Scheme for Strengthening the Capacities for Research, Development and Innovation ( EUR 12.8 million) was implemented under the EU 2007-2013 financial perspective; 2. Four Research Infrastructure Projects are to be implemented with ERDF ( 2014-2020 financial perspective), with an estimated total amount of EUR 159 million, of which 135 million from ERDF: the “Open scientific infrastructural platforms for innovative applications in economy and society (O-ZIP) and the “Centre of Competence for Translational Medicine at the Children’s Hospital Srebrnjak” (CCTM) are included in the Operational Program for Cohesion and Competitiveness (OPCC) as “major projects”, while the other two projects, namely the “Croatian scientific and educational cloud (HRZOO)“, and the “Centre for Advanced Laser Techniques (CALT), as strategic projects. The implementation of these projects is thus planned to be financed from the by the European Regional Development Fund Comments: (ERDF). Four research infrastructure project to be implemented from ERDF, as follows: three under implementation ( CALT). With the exception of O-ZIP ( for which the finalization of the technical documentation is expected by end 2019), the other three projects have been submitted for EU funding for implementation. 3. The " Scientific Cooperation "program was approved to be funded from the European Social Fund and implemented by CSF. The total value is of EUR 5.6 million, of which EUR 5 million from ESF. The call for subprojects was launched in November 2018. IN00658687 ►Total value of projects in the pipeline for funding through the grant scheme managed by HAMAG-BICRO (in million Euro) (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 3.60 42.50 45.60 46.00 Date 14-Nov-2012 01-Nov-2017 21-Dec-2018 31-Jan-2020 Since the last reporting period an additional EUR 3.1 million was evaluated positively under the PoC7 (of Comments: which EUR 2 million from the loan funds). IN00658688 ►Total value of projects in the pipeline for funding by EU Funds originated from UKF funded projects (in million Euro) (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 25.30 32.60 24.00 Date 14-Nov-2012 01-Nov-2017 02-May-2019 31-Jan-2020 5/14/2019 Page 3 of 8 The World Bank Implementation Status & Results Report Second Science & Technology Project (P127308) Building the future demand for projects that will be used to absorb EU funds. (This indicator corresponds Comments: to the total value of project applications to EU Funds originated from UKF financed projects). IN00658689 ►Total value of projects funded by UKF and HAMAG-BICRO under the Project sub-financing (in million Euro) (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 2.50 17.50 19.86 19.50 Date 14-Nov-2012 01-Nov-2017 21-Dec-2018 31-Jan-2020 Total value includes all HAMAG-BICRO and UKF programs supported under the Project. since the last Comments: reporting an additional EUR 2 million was contracted from the loan funds ( PoC7). IN00658690 Total value of projects funded by CSF/UKF under the project subfinancing (EUR million) (Amount(USD), Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 4.36 4.70 5.36 Date 21-Dec-2018 01-Nov-2017 21-Dec-2018 31-Jan-2020 IN00658691 Total value of projects funded by Hamag-Bicro under the Project sub-financing (million EUR) (Amount(USD), Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 2.50 13.14 15.16 14.14 Date 14-Nov-2012 01-Nov-2017 21-Dec-2018 31-Jan-2020 Intermediate Results Indicators by Components Component A IN00658692 ►Number of trained staff in the MSES and its organizations and R&D institutions (e.g. HAMAG-BICRO, UKF, TTOs, CSF) on EU procedures for project preparation and implementation (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 8.00 135.00 175.00 30.00 Date 14-Nov-2012 01-Nov-2017 21-Dec-2018 31-Jan-2020 Comments: Capacity building in the institutions that will receive the EU funds IN00658694 ►Number of workshops and conferences delivered to R&D institutions and beneficiaries (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 3.00 5.00 4.00 Date 14-Nov-2012 01-Nov-2017 21-Dec-2018 31-Jan-2020 5/14/2019 Page 4 of 8 The World Bank Implementation Status & Results Report Second Science & Technology Project (P127308) Component B IN00658693 ►Total number of projects financed by HAMAG-BICRO (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 44.00 196.00 250.00 188.00 Date 14-Nov-2012 01-Nov-2017 21-Dec-2018 31-Jan-2020 Total number of projects financed by Hamag-Bicro: 251, of which: PoC: 206 (of which:PoC4: 40; PoC5: 49; PoC6: 62; PoC7:55) RAZUM: 9 Comments: IRCRO: 21; TTO: 15 IN00658695 ►Total value of projects financed by HAMAG-BICRO (in million Euro) (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 2.50 20.30 23.39 17.80 Date 14-Nov-2012 01-Nov-2017 21-Dec-2018 31-Jan-2020 An additional 55 projects have been contracted under the PoC7 in total value of EUR 3.1 million. Comments: IN00658697 ►Number of products/processes/designs developed in projects within HAMAG-BICRO for which IPR will be sought (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 92.00 92.00 72.00 Date 14-Nov-2012 01-Nov-2017 21-Dec-2018 31-Jan-2020 IN00658698 ►Number of researchers from the public sector included in Program II and III projects within HAMAG-BICRO (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 4.00 88.00 88.00 80.00 Date 14-Nov-2012 01-Nov-2017 21-Dec-2018 31-Jan-2020 IN00658699 ►Number of foreign research institutions collaborated with by UKF projects (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 53.00 55.00 49.00 Date 14-Nov-2012 01-Nov-2017 21-Dec-2018 31-Jan-2020 IN00658700 ►Total value of projects committed and financed by UKF (in million Euros) (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 4.75 4.72 4.60 5/14/2019 Page 5 of 8 The World Bank Implementation Status & Results Report Second Science & Technology Project (P127308) Date 14-Nov-2012 01-Nov-2017 21-Dec-2018 31-Jan-2020 IN00658701 ►Number of collaboration projects between Diaspora and homeland researchers by UKF (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 36.00 38.00 32.00 Date 14-Nov-2012 01-Nov-2017 21-Dec-2018 31-Jan-2020 IN00658702 ►Number of commercialization and collaboration agreements signed with industry (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 3.00 4.00 Date 14-Nov-2012 01-Nov-2017 21-Dec-2018 31-Jan-2020 IN00658703 ►Value of collaboration and commercialization agreements signed with industry (in thousands Euro) (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 200.00 Date 14-Nov-2012 01-Nov-2017 21-Dec-2018 31-Jan-2020 Compared to initially anticipated (mostly driven by the experience of the previous Science and Technology project), throughout project implementation, much more focus was placed on the earlier stages of the innovation chain (such as Proof of Concept), where the risk is high and the market failure more evident. Comments: Nonetheless, even though the funding for TTO was reduced, progress is made following the contracting of 15 projects under the TTO program. The projects just ended and value of collaboration will be updated based on the results achieved. IN00658704 ►The share of UKF grants submitted by female applicants (and the share of HAMAG- BICRO's projects submitted) by female applicants) (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 20.00 42.25 42.25 42.25 Date 13-Feb-2013 01-Nov-2017 21-Dec-2018 31-Jan-2020 Comments: For monitoring purposes only, gender oriented monitoring indicators in all supported programs IN00658705 The share of Hamag-Bicro's projects submitted by female applicants (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 26.60 26.60 26.60 IN00658706 ►The share of UKF grants assigned to female researchers (and the share of HAMAG-BICRO's projects assigned to female applicants) (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 10.00 43.74 43.74 31.43 Date 13-Feb-2013 01-Nov-2017 21-Dec-2018 31-Jan-2020 5/14/2019 Page 6 of 8 The World Bank Implementation Status & Results Report Second Science & Technology Project (P127308) Comments: For monitoring purposes only, gender oriented monitoring indicators in all supported programs IN00658707 The share of Hamag-Bicro's projects assigned to female applicants (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 20.10 20.10 20.10 Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P127308 IBRD-82580 Effective USD 26.24 26.24 0.00 22.70 1.12 95% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P127308 IBRD-82580 Effective 26-Apr-2013 22-May-2013 31-Jul-2013 30-Jun-2017 31-Jan-2020 Cumulative Disbursements 5/14/2019 Page 7 of 8 The World Bank Implementation Status & Results Report Second Science & Technology Project (P127308) Restructuring History Level 2 Approved on 11-Feb-2015 ,Level 2 Approved on 04-Apr-2017 ,Level 2 Approved on 01-Oct-2018 Related Project(s) There are no related projects. 5/14/2019 Page 8 of 8