The World Bank Implementation Status & Results Report Ghana Financial Sector Development Project (P161787) Ghana Financial Sector Development Project (P161787) AFRICA | Ghana | Finance, Competitiveness and Innovation Global Practice | IBRD/IDA | Investment Project Financing | FY 2019 | Seq No: 1 | ARCHIVED on 27-Dec-2018 | ISR35566 | Implementing Agencies: Republic of Ghana, Ministry of Finance Key Dates Key Project Dates Bank Approval Date: 20-Sep-2018 Effectiveness Date: -- Planned Mid Term Review Date: -- Actual Mid-Term Review Date: -- Original Closing Date: 30-Sep-2023 Revised Closing Date: 30-Sep-2023 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The objective of the project is to promote financial sector soundness and access to financial services by individuals. Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Improving Financial Sector Regulatory Oversight and Market Transparency and Discipline:(Cost $8.00 M) Increasing the Outreach of RCBs and MFIs and Linking VSLAs to the Formal Financial Sector:(Cost $13.00 M) Bolstering Financial Capability and Consumer Protection:(Cost $3.60 M) Enhancing the Capacity for the Implementation and Monitoring of Financial Sector Policies and Supporting Project Implementation:(Cost $3.40 M) Unallocated amount:(Cost $2.00 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO -- Satisfactory Overall Implementation Progress (IP) -- Satisfactory Overall Risk Rating -- Substantial Implementation Status and Key Decisions The project was approved three months ago, and the Financing Agreement was countersigned by the Minister of Finance on December 12, 2018. Efforts are ongoing to meet the three effectiveness conditions. 12/27/2018 Page 1 of 7 The World Bank Implementation Status & Results Report Ghana Financial Sector Development Project (P161787) Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Low -- Low Macroeconomic Substantial -- Substantial Sector Strategies and Policies Substantial -- Substantial Technical Design of Project or Program Moderate -- Moderate Institutional Capacity for Implementation and Sustainability Moderate -- Moderate Fiduciary Substantial -- Substantial Environment and Social Low -- Low Stakeholders Low -- Low Other -- -- -- Overall Substantial -- Substantial Results PDO Indicators by Objectives / Outcomes Improved financial sector soundness IN00657430 ►Percentage of reporting SDIs and credit unions in compliance with their respective minimum capital adequacy ratio or gearing ratio (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 75.00 -- 75.00 85.00 Date 30-Mar-2018 -- 18-Dec-2018 31-Dec-2023 Minimum capital adequacy and gearing ratios as prescribed by BoG. SDIs include MFCs, MCCs, FNGOs, Comments: RCBs, S&Ls, and FHs. Increased access to financial services IN00657431 ►Number of deposit accounts within the RCB network (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 7,200,000.00 -- 7,200,000.00 8,500,000.00 Date 31-May-2018 -- 18-Dec-2018 31-Dec-2023 Comments: This indicator will monitor all types of deposit accounts (demand, savings, term, etc.) in member RCBs. 12/27/2018 Page 2 of 7 The World Bank Implementation Status & Results Report Ghana Financial Sector Development Project (P161787) IN00657432 of which women: (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 3,000,000.00 -- 3,000,000.00 3,750,000.00 Date 31-May-2018 -- 18-Dec-2018 31-Dec-2023 IN00657433 ►Number of customers enrolled in the ARB’s e-banking platform (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 5,000.00 -- 5,000,000.00 250,000.00 Date 31-Dec-2017 -- 18-Dec-2018 31-Dec-2023 This indicator will monitor the number of customers enrolled in the ARB Apex Bank’s e-banking platform, Comments: including cardholders and users of the mobile banking application. Overall Comments PDO The project is not yet effective and implementation has not started. Therefore, baseline indicators are current for this first ISR. Intermediate Results Indicators by Components Improving financial sector regulatory oversight and market transparency and discipline IN00657434 ►New regulatory and supervisory framework for SDIs and credit unions developed and implemented (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Fragmented New framework Value Fragmented framework -- framework implemented Date 31-May-2018 -- 18-Dec-2018 31-Dec-2023 This indicator will monitor progress on the development and implementation of a new and enhanced Comments: regulatory and supervisory framework for SDIs and credit unions. IN00657438 ►Number of credit unions reporting to CUA using the new supervision application (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 240.00 Date 31-May-2018 -- 18-Dec-2018 31-Dec-2023 This indicator will monitor the number of credit unions reporting prudential and non-prudential information Comments: to CUA using the new supervision application to be developed/acquired. IN00657443 ►Average number of days for CUA to complete the onsite examination of a credit union (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target 12/27/2018 Page 3 of 7 The World Bank Implementation Status & Results Report Ghana Financial Sector Development Project (P161787) Value 10.50 -- 10.50 5.00 Date 31-Dec-2017 -- 18-Dec-2018 31-Dec-2023 The indicator will monitor the simple average number of days that CUA staff take to complete the annual Comments: audit/onsite examination of a credit union. IN00657444 ►Credit rating agency (CRA) licensed and operational (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No CRA -- No CRA CRA operational Date 31-May-2018 -- 18-Dec-2018 31-Dec-2023 Comments: Licensed by the SEC and operational (management, staff, and systems in place). Increasing the outreach of RCBs and MFIs and linking VSLAs to the formal financial sector IN00657436 ►Number of banking agents established (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 5,000.00 Date 31-May-2018 -- 18-Dec-2018 31-Dec-2023 This indicator will monitor the numbers of agents established (with a signed agreement with ARB Apex Comments: Bank). IN00657439 ►Number of ARB Apex Bank IT staff trained on upgraded core banking system (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 30.00 Date 31-May-2018 -- 18-Dec-2018 30-Dec-2022 This indicator will monitor the number of all ARB Apex Bank headquarter and regional staff trained as Comments: trainers of trainers on the upgraded core banking system. IN00657441 ►Number of RCB’s IT staff trained by ARB Apex Bank IT staff on upgraded core banking system (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 500.00 Date 31-May-2018 -- 18-Dec-2018 31-Dec-2023 This indicator will monitor the number of RCB’s staff trained by ARB Apex Bank’s staff (trainers of trainers) Comments: on the upgraded core banking system. IN00657445 ►Number of VSLA members linked to formal financial service providers (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 60,000.00 12/27/2018 Page 4 of 7 The World Bank Implementation Status & Results Report Ghana Financial Sector Development Project (P161787) Date 31-May-2018 -- 18-Dec-2018 31-Dec-2023 This indicator will monitor the total number of members of new VSLAs to be created as well as members Comments: of existing VSLAs to be linked to formal financial services providers. Bolstering financial capability and consumer protection IN00657440 ►Percentage of target population reached by the financial education campaigns (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 30.00 Date 31-May-2018 -- 18-Dec-2018 31-Dec-2023 The percentage will be calculated as the total number of financial consumers reached by the various financial education campaigns divided by the total number of the target population of the various Comments: campaigns. The size of the target population for each campaign will be determined through a market assessment. IN00657442 ►Complaints handling technology applications for BoG, NIC, and SEC acquired/developed and operational (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Applications Value No applications -- No applications acquired/developed and operational Date 31-May-2018 -- 18-Dec-2018 31-Dec-2023 This indicator will monitor progress on the acquisition/development and operationalization of technology Comments: applications to handle complaints from financial consumers. The applications will be considered operational if used by BoG, NIC, and SEC to handle complaints. IN00657446 ►Average number of days for BoG to resolve a complaint from universal banks' customers (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 10.00 -- 10.00 5.00 Date 30-Aug-2018 -- 18-Dec-2018 31-Dec-2023 The indicator will monitor the simple average number of days for BoG to resolve a complaint, counted Comments: from the day the complaint is submitted to BoG and captured in the complaints handling technology application until the day the complaint is resolved/closed. Enhancing the capacity for the implementation and monitoring of financial sector policies and suppor IN00657435 ►Total number of annual financial inclusion reports produced and published by FSD staff (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 4.00 Date 31-May-2018 -- 18-Dec-2018 30-Dec-2022 Comments: This indicator will monitor the cumulative number of reports produced and published by FSD staff. IN00657437 ►Financial inclusion database developed and available online (Text, Custom) 12/27/2018 Page 5 of 7 The World Bank Implementation Status & Results Report Ghana Financial Sector Development Project (P161787) Baseline Actual (Previous) Actual (Current) End Target Database available Value No database -- No database online Date 30-Jun-2018 -- 18-Dec-2018 31-Dec-2023 Database to include financial inclusion statistics, including indicators for the monitoring of the National Comments: Financial Inclusion and Development Strategy, results of the financial inclusion survey and the geospatial mapping of access points, etc. Overall Comments IR The project is not yet effective and implementation has not started. Therefore, baseline indicators are current for this first ISR. Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed Not P161787 IDA-63100 USD 30.00 30.00 0.00 0.00 30.05 0% Effective Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date Not P161787 IDA-63100 20-Sep-2018 -- -- 30-Sep-2023 30-Sep-2023 Effective Cumulative Disbursements 12/27/2018 Page 6 of 7 The World Bank Implementation Status & Results Report Ghana Financial Sector Development Project (P161787) Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 12/27/2018 Page 7 of 7