Public Disclosure Copy The World Bank Implementation Status & Results Report Special Financing Facility for Local Development (P156257) Special Financing Facility for Local Development (P156257) AFRICA | Somalia | Social, Urban, Rural and Resilience Global Practice Global Practice | Recipient Executed Activities | Investment Project Financing | FY 2016 | Seq No: 5 | ARCHIVED on 13-Jun-2018 | ISR32752 | Implementing Agencies: Ministry of Finance, Ministry of Finance Key Dates Key Project Dates Bank Approval Date:11-Jan-2016 Effectiveness Date:25-Jan-2016 Planned Mid Term Review Date:04-Sep-2017 Actual Mid-Term Review Date:17-Sep-2017 Original Closing Date:31-Dec-2017 Revised Closing Date:31-Aug-2018 Project Development Objectives Project Development Objective (from Project Appraisal Document)

To support the construction and reconstruction of infrastructure and the development of public service delivery capacity in targeted areas of Somalia and support the Federal Government and Interim Administration capacity to respond to an eligible crisis or emergency.

Has the Project Development Objective been changed since Board Approval of the Project Objective? No PHRPDODEL Components Name Small-Scale Infrastructure:(Cost $3.90 M) Program Operations, Capacity Building, and Contingencies:(Cost $2.10 M) Emergency Contingency Component:(Cost $2.80 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO  Moderately Satisfactory  Moderately Satisfactory Overall Implementation Progress (IP)  Moderately Satisfactory  Moderately Satisfactory Overall Risk Rating  High  High 6/13/2018 Page 1 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Special Financing Facility for Local Development (P156257) Implementation Status and Key Decisions An overview of achievements and key issues and actions for management attention are provided below. These are based on the project's Implementation Support Mission (ISM) carried out from April 9-13, 2018. 1 . The ISM was held 26 months after project effectiveness (January 25, 2016). The project has disbursed US$ 3.04 million out of a total allocation of US$ 6 million from the Somali Multi Partner Fund (MPF) (representing a 50.6% disbursement rate as of April 19, 2018). The project also disbursed US$ 1 million out of the total allocation of US$ 2.8 million from the State and Peacebuilding (SPF) Trust Fund for emergency drought response activities (representing 35.7% disbursement rate as of April 19, 2018). Overall, the project is now managing US$ 8.8 million of Bank financing and some US$ 6 million of UN financing. 2 . There has been progress in overall implementation across all activities since the last mission in September 2017. Phase I civil works in four urban areas (Baidoa, Jowhar, Kismayo, Mogadishu) with a total contract value of US$ 3 million have been completed and handed over to local governments with payments to contractors fully paid. In Phase 2, civil works in six urban areas (Garbaharey, Burtinle, Kismayo, Bandiradley Galkayo, Xudur) with a total contract value of approximately US$ 6 million are underway and one subproject in Burtinle is at the procurement stage. The NGO consortium contracted for implementation of the US$ 2.8 million drought component has carried out initial assessments in 5 districts jointly with the PIU team and the civil works are now underway. The overall rating for the project continues to be Moderately Satisfactory. Key Issues 1 . Project extension. Given implementation of two subprojects are delayed due to complaints received during the procurement stage, there is a high likelihood that project activities will not be fully completed by the current project closing date of August 31, 2018. Moreover, a budget of US$ 328,000 allocated for capacity building activities has not been utilized. The project closing date will therefore need to be extended. Based on the amount of undisbursed financing available, the estimated time period required to complete the civil works for subprojects in Burtinle and Xudur and the time period required to complete the planned UN project activities, it was agreed that the project would be extended to December 31, 2018. 2 . SFF-LD Drought response. Five districts have been selected for implementation of the drought response and an NGO consortium – Building Resilient Communities in Somalia (BRCiS) has been directly contracted to deliver these activities. This is the first time in Somalia that NGOs have been contracted to the Federal Government of Somalia (FGS) for a government-led emergency response and is a model that can be replicated in the event of future emergencies. The BRCiS and the PIU have jointly carried out assessments of the five districts and activities are underway. Given the Trust Fund that is financing the drought response activities closes by August 31, 2018, all activities are expected to be fully completed by that date. 3 . SFF-LD Flood response. Given the cost savings in the project, including the balance available in the capacity building component, it was agreed that an amount of US$ 200,000 would be allocated for flood response activities in two areas most impacted by the recent floods (Balatweyne and Baardhere districts). The floods have affected approximately 23 districts across 10 regions but given the limitations of funding, it was agreed to focus the activities in these two areas. Flood response activities would include the provision of clean and safe water through water trucking and the provision of emergency non-food items. These activities will be undertaken through the existing contract with the BRCiS. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance  High  High  High Macroeconomic  Substantial  Substantial  Substantial Sector Strategies and Policies  Substantial  Substantial  Substantial Technical Design of Project or Program  Moderate  Moderate  Moderate Institutional Capacity for Implementation and Sustainability  Substantial  Substantial  Substantial Fiduciary  High  High  High Environment and Social  Moderate  Moderate  Moderate 6/13/2018 Page 2 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Special Financing Facility for Local Development (P156257) Stakeholders  Substantial  Substantial  Substantial Other  High  High  High Overall  High  High  High Results Project Development Objective Indicators PHINDPDOTBL  Direct project beneficiaries (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 36,099.00 552,000.00 400,000.00 Date 09-Nov-2015 16-Feb-2018 24-May-2018 31-Aug-2018 PHINDPDOTBL  Female beneficiaries (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 51.00 50.00 50.00 51.00 PHINDPDOTBL  Financed sub-projects that are functioning/ delivering services to communities three months after completion (#) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1.00 3.00 3.00 Date 09-Nov-2015 16-Feb-2018 24-May-2018 31-Aug-2018 PHINDPDOTBL  Perceptions of Regional Administrations or federal government performance on sub-project activity (%) (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 60.00 6/13/2018 Page 3 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Special Financing Facility for Local Development (P156257) Date 09-Nov-2015 16-Feb-2018 24-May-2018 31-Aug-2018 Comments Perception surveys will be carried out once the WB financed projects are near completion or completed. PHINDPDOTBL  Sub-projects for which community/ or local authority engagement in post-project sustainability and/ or O&M plan is established (#) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 2.00 5.00 Date 09-Nov-2015 16-Feb-2018 24-May-2018 31-Aug-2018 PHINDPDOTBL  Beneficiaries under the activated crisis response component (#) (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 18,236 860,000 Date 09-Nov-2015 30-Oct-2017 24-May-2018 31-Aug-2018 Overall Comments Intermediate Results Indicators PHINDIRITBL  Local Project Oversight Committees established (#) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 2.00 11.00 5.00 Date 09-Nov-2015 16-Feb-2018 24-May-2018 31-Aug-2018 Comments 5 Local Project Oversight Committees were established under the main project and an additional 6 were established under the drought 6/13/2018 Page 4 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Special Financing Facility for Local Development (P156257) component. PHINDIRITBL  Grievances registered related to project are addressed (%) (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 90.00 100.00 100.00 Date 09-Nov-2015 16-Feb-2018 24-May-2018 31-Aug-2018 PHINDIRITBL  Interim Regional Administrations accompanying project design and implementation (consultation, identification, procurement and implementation processes) (#) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 5.00 11.00 5.00 Date 09-Nov-2015 16-Feb-2018 24-May-2018 31-Aug-2018 Comments This includes local administrations engaged in both the main SFF project and in the drought component. PHINDIRITBL  Roads rehabilitated, Non-rural (Kilometers, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 14.00 8.50 30.00 Date 09-Nov-2015 16-Feb-2018 24-May-2018 31-Aug-2018 Comments This indicator was reported incorrectly in the previous ISR. The total amount of km rehabilitated to date is 8.5km (5km in Jowhar and 3.5km in Baidoa). 6/13/2018 Page 5 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Special Financing Facility for Local Development (P156257) PHINDIRITBL  Sub-projects completed as planned and within budget (#) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 2.00 3.00 5.00 Date 09-Nov-2015 16-Feb-2018 24-May-2018 31-Aug-2018 PHINDIRITBL  Government officials participating in capacity building measures under the project (#) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 40.00 18.00 100.00 Date 09-Nov-2015 16-Feb-2018 24-May-2018 31-Aug-2018 Comments This indicator was reported on incorrectly in the previous ISR. PHINDIRITBL  Work days created for short term employment in the sub-projects (of which female) (#) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 76.00 211.00 150.00 Date 09-Nov-2015 16-Feb-2018 24-May-2018 31-Aug-2018 Comments A total of 211 work days were created of which 146 were for women. 6/13/2018 Page 6 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Special Financing Facility for Local Development (P156257) PHINDIRITBL  Work days created for short term employment in the sub-projects for women (%) (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 69.00 20.00 Date 09-Nov-2015 16-Feb-2018 24-May-2018 31-Aug-2018 PHINDIRITBL  Specific Project Operation Manual for the contingency component (Component 3) has been adopted (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N Y Y Y Date 09-Nov-2015 16-Feb-2018 24-May-2018 31-Aug-2018 Overall Comments Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P156257 TF-A1715 Effective USD 6.00 6.00 0.00 3.04 2.96 51% P156257 TF-A4904 Effective USD 2.80 2.80 0.00 0.10 2.70 4% 6/13/2018 Page 7 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Special Financing Facility for Local Development (P156257) Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P156257 TF-A1715 Effective 11-Jan-2016 25-Jan-2016 25-Jan-2016 31-Dec-2017 31-Aug-2018 P156257 TF-A4904 Effective 12-Apr-2017 25-Jul-2017 25-Jul-2017 31-Dec-2017 31-Aug-2018 Cumulative Disbursements Restructuring History Level 2 Approved on 09-Sep-2016 ,Level 2 Approved on 10-Jul-2017 ,Level 2 Approved on 07-Nov-2017 ,Level 2 Approved on 21-Feb-2018 Related Project(s) There are no related projects. 6/13/2018 Page 8 of 8 Public Disclosure Copy