The World Bank Implementation Status & Results Report MSME Growth Innovation and Inclusive Finance Project (P151544) MSME Growth Innovation and Inclusive Finance Project (P151544) SOUTH ASIA | India | Finance, Competitiveness and Innovation Global Practice | IBRD/IDA | Investment Project Financing | FY 2015 | Seq No: 12 | ARCHIVED on 01-Aug-2019 | ISR38027 | Implementing Agencies: Small Industries Development Bank of India, Department of Economic Affairs, Ministry of Finance Key Dates Key Project Dates Bank Approval Date: 24-Feb-2015 Effectiveness Date: 26-Jun-2015 Planned Mid Term Review Date: 28-Jun-2018 Actual Mid-Term Review Date: 09-Apr-2018 Original Closing Date: 31-Mar-2020 Revised Closing Date: 31-Mar-2020 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The project development objective is to improve access to finance of MSMEs in manufacturing and service sectors from early to growth stage, including through innovative financial products. Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Spurring Early Stage and Risk Capital Finance:(Cost $165.00 M) Supporting Service Sector Financing Models:(Cost $220.00 M) Supporting Finance to Manufacturing Sector:(Cost $165.00 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 Moderate Moderate Implementation Status and Key Decisions The MSME Growth, Innovation and Inclusive Finance Project, effective since June 2015, is funded through an IBRD loan of USD500 million and USD50million of counterpart funding. A request from the government to cancel the remaining undisbursed balance of the World Bank Line of Credit in the amount of US$234.62M was received by the World Bank on March 11, 2019. A restructuring of the project was processed in response to this request and the project closing is being processed. The parallel Technical Assistance program will continue supporting the MSME sector and the development of new financial products by SIDBI. 8/1/2019 Page 1 of 6 The World Bank Implementation Status & Results Report MSME Growth Innovation and Inclusive Finance Project (P151544) Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Low Low Low Macroeconomic Low Moderate Moderate Sector Strategies and Policies Low High High Technical Design of Project or Program Moderate Moderate Moderate Institutional Capacity for Implementation and Sustainability Low Low Low Fiduciary Low Low Low Environment and Social Moderate Substantial Substantial Stakeholders Low Low Low Other Low Low Low Overall Moderate Moderate Moderate Results PDO Indicators by Objectives / Outcomes Improving access to finance of MSMEs in manufacturing and service sectors from early to growth stage IN00728060 ►Turnover of startups supported through the project in million USD (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 34.43 34.43 100.00 Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 IN00728081 ►Outstanding MSME loan portfolio in risk capital financing including startups in million USD (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 136.00 55.48 61.53 300.00 Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 IN00728082 ►Outstanding MSME loan portfolio in the manufacturing sector in million USD (Amount(USD), Custom) 8/1/2019 Page 2 of 6 The World Bank Implementation Status & Results Report MSME Growth Innovation and Inclusive Finance Project (P151544) Baseline Actual (Previous) Actual (Current) End Target Value 497.00 809.30 946.15 1,283.00 Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 IN00728083 ►Outstanding MSME loan portfolio in the service sector in million USD (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 346.00 167.19 173.59 945.00 Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 IN00728084 ►Total number of MSMEs beneficiaries under the credit line (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1,061.00 1,061.00 1,650.00 Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 Intermediate Results Indicators by Components Spurring Early Stage and Risk Capital Finance IN00728085 ►Number of total MSMEs extended risk capital under the credit line (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 82.00 82.00 330.00 Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 IN00728089 ►Average time for processing credit for startups (Months, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 6.00 2.89 2.89 1.00 Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 Supporting Service Sector Financing Models IN00728086 ►Number of total service sector MSMEs reached under the credit line (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 175.00 175.00 480.00 Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 IN00728090 8/1/2019 Page 3 of 6 The World Bank Implementation Status & Results Report MSME Growth Innovation and Inclusive Finance Project (P151544) ►Strengthened credit appraisal methods for service sector loans (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value Sufficient Enhanced Further Strong Strong Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 Supporting Finance to Manufacturing Sector IN00728087 ►Number of new schemes/products introduced and piloted for the manufacturing sector (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1.00 3.00 4.00 Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 IN00728091 ►Number of MSMEs benefitting from loan extension services under the credit line (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 150.00 Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 Cross Component IN00728088 ►Total number PFIs supported under the credit line (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 8.00 Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 IN00728092 ►Volume of loans extended to MSMEs using innovative methods including franchising finance under the credit line (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 60.00 Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 IN00728093 ►Number of new schemes introduced and dedicated for women-owned / managed MSMEs (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 2.00 Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 IN00728094 8/1/2019 Page 4 of 6 The World Bank Implementation Status & Results Report MSME Growth Innovation and Inclusive Finance Project (P151544) ►Non-performing loans (NPLs) of PFIs’ MSME portfolio (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value TBD Not applicabl Not applicabl Less than 8% Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 IN00728095 ►Number of women-owned / managed MSME beneficiaries under the credit line (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 205.00 205.00 400.00 Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 IN00728096 ►Number of MSMEs (other than early stage) in Low Income States benefitting from the line of credit (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 201.00 201.00 400.00 Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 IN00728097 ►Number of SIDBI and PFI officials trained (cumulative and by gender) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 342.00 342.00 250.00 Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 IN00728098 ►Improved collaboration for information sharing with external partners (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value Sufficient Enhanced Further Strong Strong Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 IN00728099 ►Volume of Bank Support: Lines of Credit - SME in million USD (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 265.37 265.37 500.00 Date 31-Mar-2014 30-Sep-2018 31-Mar-2019 31-Mar-2020 Data on Financial Performance Disbursements (by loan) 8/1/2019 Page 5 of 6 The World Bank Implementation Status & Results Report MSME Growth Innovation and Inclusive Finance Project (P151544) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P151544 IBRD-84710 Effective USD 500.00 265.38 234.62 265.38 0.00 100% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P151544 IBRD-84710 Effective 24-Feb-2015 31-Mar-2015 26-Jun-2015 31-Mar-2020 31-Mar-2020 Cumulative Disbursements Restructuring History Level 2 Approved on 21-Mar-2019 Related Project(s) There are no related projects. 8/1/2019 Page 6 of 6