Public Disclosure Copy The World Bank Implementation Status & Results Report Tanzania - Housing Finance Project (P117242) Tanzania - Housing Finance Project (P117242) AFRICA | Tanzania | Financial and Private Sector Development Global Practice | IBRD/IDA | Financial Intermediary Loan | FY 2010 | Seq No: 10 | ARCHIVED on 23-Jun-2015 | ISR18073 | Implementing Agencies: BANK OF TANZANIA Key Dates Key Project Dates Board Approval date:09-Mar-2010 Effectiveness Date:21-Jan-2011 Planned Mid Term Review Date:18-Mar-2013 Actual Mid-Term Review Date:18-Mar-2014 Original Closing Date:31-Dec-2015 Revised Closing Date:31-Mar-2018 Project Development Objectives Project Development Objective (from Project Appraisal Document) The Project Development Objective (PDO) is to develop the housing mortgage finance market through the provision of medium and long-term liquidity to mortgage lenders. 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)PHRPDODEL The revised PDO is as follows: To facilitate the development of the housing finance market through the provision of medium and long-term liquidity to lenders. Components Name Development of the Mortgage Market:(Cost $73.80 M) Development of Housing Microfinance:(Cost $20.50 M) Expansion of Affordable Housing Supply:(Cost $4.30 M) Project Management:(Cost $1.40 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 6/23/2015 Page 1 of 6 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Tanzania - Housing Finance Project (P117242) Overall Risk Rating  Substantial  Substantial Implementation Status and Key Decisions Additional Financing in the amount of US$60 million equivalent for the Tanzania Housing Finance Project was approved by the World Bank Board on February 24, 2015, and signed on March 12, 2015. The additional credit would fill a financing gap for the first component of the project (mortgage market development) and scale up components two (housing microfinance) and three (affordable housing supply). The additional IDA funds would help achieve sustainability of the key institutions created under the project. The Board also approved a restructuring of the project to revise the Project Development Objective, and performance indicators, for improved clarity. The revised PDO is to facilitate the development of the housing finance market through the provision of medium and long-term liquidity to lenders. During the next phase of the project, TMRC will continue to support the rapidly growing mortgage market, while also moving towards financial sustainability by raising its own funding through other means, such as local bond issuance. In addition, the Housing Microfinance Fund will begin lending operations in 2015 and provide long-term loans for lower income earners who currently lack access to housing finance either for the purchase of a home or for home improvements. The project continues to be rated Moderately Satisfactory for both Progress towards Achievement of the Development Objectives and Implementation Progress. The project has disbursed US$ 10.9 million (82%) in FY 2015, bringing cumulative disbursements to 93.65%. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance  --  Substantial  Substantial Macroeconomic  --  Substantial  Substantial Sector Strategies and Policies  --  Moderate  Moderate Technical Design of Project or Program  --  Moderate  Moderate Institutional Capacity for Implementation and Sustainability  --  Moderate  Moderate Fiduciary  --  Low  Low Environment and Social  --  Low  Low Stakeholders  --  Moderate  Moderate 6/23/2015 Page 2 of 6 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Tanzania - Housing Finance Project (P117242) Other  --  --  -- Overall  --  Substantial  Substantial Results Project Development Objective Indicators PHINDPDOTBL  Outstanding volume of eligible housing loans financed by TMRC (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 9.40 16.30 95.90 Date 31-Mar-2010 30-Sep-2014 31-Mar-2015 31-Mar-2018 Comments unit of measure is TZS billion PHINDPDOTBL  Number of financial institutions offering mortgage product (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 1.00 19.00 19.00 31.00 Date 31-Mar-2010 30-Sep-2014 31-Mar-2015 31-Mar-2018 PHINDPDOTBL  Outstanding volume of TMRC bond issuance (TZS billion) (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0 -- 0 69.7 Date 31-Mar-2010 30-Sep-2014 30-Sep-2014 31-Mar-2018 Comments Measured in TZS billions (target revised to correct for error in project paper) 6/23/2015 Page 3 of 6 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Tanzania - Housing Finance Project (P117242) PHINDPDOTBL  Outstanding volume of microfinance loans financed by project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 30.00 Date 31-Mar-2010 30-Sep-2014 31-Mar-2015 31-Mar-2018 Overall Comments Intermediate Results Indicators PHINDIRITBL  1a - Number of financial institutions refinanced by TMRC (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 2.00 2.00 14.00 Date 31-Mar-2010 30-Sep-2014 30-Sep-2014 31-Mar-2018 PHINDIRITBL  1b # Outstanding volume of loans refinanced by the TMRC (TZS) (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0 5.6 billion 9.3 billion 49 billion Date 31-Mar-2010 30-Sep-2014 31-Mar-2015 31-Mar-2018 PHINDIRITBL  Outstanding volume of Eligible housing loans pre-financed by TMRC (TZS billion) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 3.83 7.00 46.90 Date 31-Mar-2010 30-Sep-2014 31-Mar-2015 31-Mar-2018 6/23/2015 Page 4 of 6 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Tanzania - Housing Finance Project (P117242) PHINDIRITBL  Outstanding volume of loans pre-financed by the TMRC (TZS billion) (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0 28.5 billion 28.5 billion 73.2 billion Date 31-Mar-2010 30-Sep-2014 31-Mar-2015 31-Mar-2018 PHINDIRITBL  2a - Number of credit institutions supported by the project providing housing microfinance loans (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 8.00 Date 30-Sep-2014 30-Sep-2014 31-Mar-2015 31-Mar-2015 PHINDIRITBL  Outstanding volume of funds provided to financial institutions for the purpose of originating housing microfinance loans (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0 0 0 30.1 Date 09-Mar-2010 30-Sep-2014 31-Mar-2015 31-Mar-2018 Overall Comments Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P117242 IDA-47120 Effective XDR 25.60 25.60 0.00 23.97 1.63 94% Not P117242 IDA-55900 XDR 41.50 41.50 0.00 0.00 41.50 0% Effective Key Dates (by loan) 6/23/2015 Page 5 of 6 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Tanzania - Housing Finance Project (P117242) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P117242 IDA-47120 Effective 09-Mar-2010 31-Mar-2010 21-Jan-2011 31-Dec-2015 31-Mar-2017 Not P117242 IDA-55900 24-Feb-2015 12-Mar-2015 -- 31-Mar-2018 31-Mar-2018 Effective Cumulative Disbursements Restructuring History Level Approved on 10-Feb-2013 Related Project(s) P151220-Housing Finance Project 6/23/2015 Page 6 of 6 Public Disclosure Copy