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Management Action Record Reform: IEG’s Validation Report

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Management Action Record Reform: IEG’s Validation Report
The Management Action Record (MAR) is a key element of the World Bank Group’s accountability framework. This document summarizes recent MAR reforms and validates management’s self-assessment.The Management Action Record (MAR) is a key element of the World Bank Group’s accountability framework. This document summarizes recent MAR reforms and validates management’s self-assessment.

Evaluation of the World Bank Group’s support for electricity supply from renewable energy resources, 2000–2017

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Pictured above: Ain Beni Mathar Integrated Combined Cycle Thermo-Solar Power Plant. Photo credit: Dana Smillie / World Bank
This evaluation assesses the performance of the World Bank Group (WBG) in its support to electricity production from renewable energy resources in client countries over the period 2000 to 2017.This evaluation assesses the performance of the World Bank Group (WBG) in its support to electricity production from renewable energy resources in client countries over the period 2000 to 2017.

Ukraine Country Program Evaluation (Approach Paper)

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Ukraine has significant economic potential, but over the past decade economic growth has been slow and highly volatile. A lower-middle-income country with a population of 44 million and a per-capita gross national income of $2,660 in 2018, Ukraine is endowed with a well-educated and entrepreneurial population, vast areas of fertile land, other natural resources, and a geographic location at the Show MoreUkraine has significant economic potential, but over the past decade economic growth has been slow and highly volatile. A lower-middle-income country with a population of 44 million and a per-capita gross national income of $2,660 in 2018, Ukraine is endowed with a well-educated and entrepreneurial population, vast areas of fertile land, other natural resources, and a geographic location at the crossroads of Europe and Asia.2 Ukraine aspires to join the European Union (EU), but after decades of stagnation, income per capita remains far below that of its neighbors and comparators. The primary goal of this Country Program Evaluation (CPE) is to assess the development effectiveness of World Bank Group support to Ukraine between fiscal years (FY)12 and FY20. A key focus of the CPE will be to examine how well the Bank Group adapted its support to Ukraine’s changing circumstances over the evaluation period and helped build resilience in the face of major crises. The CPE is also expected to provide strategic insights for the preparation of the next Ukraine Country Partnership Framework (CPF), scheduled for FY22.

Ethiopia: Sustainable Land Management Project I and II (PPAR)

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Serious long-term degradation of communal areas and farmlands results in substantial losses to the economy. The combination of fragile soils, steep slopes, agroclimatic conditions, environmentally unsustainable intensification of agriculture, and traditional cultivation techniques practiced by smallholder farmers in Ethiopia over many decades has led to excessive soil erosion and land degradation Show MoreSerious long-term degradation of communal areas and farmlands results in substantial losses to the economy. The combination of fragile soils, steep slopes, agroclimatic conditions, environmentally unsustainable intensification of agriculture, and traditional cultivation techniques practiced by smallholder farmers in Ethiopia over many decades has led to excessive soil erosion and land degradation. Two sequential projects were designed and implemented to achieve the SLMP’s objectives. Sustainable Land Management Project Phase I (SLMP I) introduced SLM practices in selected areas of the country to rehabilitate previously uneconomical and unproductive degraded areas within 45 critical watersheds situated in six regional states. SLMP II sought to scale up this support by expanding the geographical coverage to 135 watersheds and continued addressing poor farmland management practices, rapid depletion of vegetation cover, unsustainable livestock grazing practices, and land tenure insecurity. SLMP II also sought to integrate new activities targeting land productivity, deforestation, and reduction of greenhouse gas emissions. Ratings for the Sustainable Land Management Project I are as follows: Overall outcome is satisfactory, Risk to development outcomes is moderate, Bank performance is moderately satisfactory, Borrower performance is moderately satisfactory, and Quality of M&E is negligible. For Sustainable Land Management Project II, they are as follows: Overall outcome is satisfactory, Overall efficacy is substantial, Bank performance is moderately satisfactory, and Quality of M&E is modest. Lessons from these projects include: (i) Watershed management programs can lead to significant land restoration outcomes when appropriate structural and biological measures are introduced to treat the affected landscape with active participation of the local community. (ii) Area closures are relevant for the restoration of degraded lands but require increased investments for alternative supply of forages to convince the local communities to forgo livestock grazing and other benefits during the process of natural regeneration. (iii) Farm productivity growth requires arresting both the on-site and off-site soil erosion to prevent the degradation of farmlands and enable investments in modern farm inputs. (iv) Effective demonstration of upfront economic and livelihood benefits is fundamental for smallholder farmers to protect and maintain the SLM practices introduced on their lands through project support. (v) In drought-prone areas, small-scale irrigation is the key enabler for translating the benefits of land restoration into reduction in household vulnerability to climate shocks through income diversification and protection against droughts. (vi) Market-oriented agroforestry interventions (for example, Acacia decurrens) that provide sustainable income for smallholders can be vital ingredients in creating incentives for the adoption of biological measures for land restoration and improving household resilience to climate shocks.

Nicaragua: Fourth Roads Rehabilitation and Maintenance Project and Rural Roads Infrastructure Improvement Project (PPAR)

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The World Bank has supported the road sector in Nicaragua since early 1990. It has helped remove road infrastructure bottlenecks, introduced innovations in road work delivery and maintenance, and strengthened capacity and institutions in the sector. In the course of this three-decade collaboration, cooperative-based road maintenance enterprises, concrete block roads, and concrete block surfacing Show MoreThe World Bank has supported the road sector in Nicaragua since early 1990. It has helped remove road infrastructure bottlenecks, introduced innovations in road work delivery and maintenance, and strengthened capacity and institutions in the sector. In the course of this three-decade collaboration, cooperative-based road maintenance enterprises, concrete block roads, and concrete block surfacing through communitybased surfacing units have become salient features of the World Bank’s engagement in the sector. Both projects in this assessment, the Fourth Roads Rehabilitation and Maintenance Project and the Rural Roads Infrastructure Improvement Project, approved in 2006 and 2011, respectively, were preceded by the original Rehabilitation and Maintenance Project and the Second and Third Road Rehabilitation and Maintenance Projects. These projects were approved by the World Bank between 1996 and 2001. They were followed by the ongoing Urban Access Improvement Project, which was approved in 2017. Ratings for the Fourth Roads Rehabilitation and Maintenance Project are as follows: Outcome was satisfactory, Risk to development outcome was moderate, Bank performance was satisfactory, and Borrower performance was satisfactory. Ratings for the Rural Roads Infrastructure Improvement Project are as follows: Outcome was satisfactory, Risk to development outcome was substantial, Bank performance was satisfactory, and Borrower performance was substantial. This assessment offers the following lessons: (i) Rigor in the selection of roads to be financed and continued support for road planning can help countries use resources effectively and create a planning culture. (ii) Contract features and strict enforcement appear critical to taking full advantage of performance-based routine maintenance contracts. (iii) Upgrading rural roads to all-weather access needs to be comprehensive. (iv) Providing limited technical assistance support in many areas with little upfront preparation might restrict project results. (v) Close stakeholder involvement and post-completion outreach strategies might increase the usefulness of project-financed studies. (vi) A strong results framework is likely to facilitate results measurement.

Tajikistan: Energy Loss Reduction Project (PPAR)

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This project was approved on June 30, 2005, for a cost of $30.0 million, including an International Development Association credit of $17.9 million. The project cost increased to $48 million after restructuring and additional finance of $18.0 million. The project closed on December 31, 2014, two and a half years later than the originally scheduled date of June 30, 2012. The original objective was Show MoreThis project was approved on June 30, 2005, for a cost of $30.0 million, including an International Development Association credit of $17.9 million. The project cost increased to $48 million after restructuring and additional finance of $18.0 million. The project closed on December 31, 2014, two and a half years later than the originally scheduled date of June 30, 2012. The original objective was, to assist [Tajikistan] in reducing commercial losses in the electricity and gas systems, and to lay the foundation for the improvement of the financial viability of the electricity and gas utilities in a socially responsible manner. In 2012, the project objective was expanded to include, to assist in the viability assessment of the proposed Rogun HEP [hydroelectric project] in Tajikistan. Ratings for the Energy Loss Reduction Project are as follows: Outcome was moderately unsatisfactory, Risk to development outcome was high, Bank performance was unsatisfactory, and Borrower performance was moderately unsatisfactory. Lessons from this project include: (i) The development effectiveness of the World Bank’s continuous sectorwide engagement in a country can be diminished significantly if the risk analysis at project appraisal is not comprehensive and candid and if prompt course corrections are not made during implementation when a major risk is realized. (ii) The World Bank should proactively ensure that a project component that is crucial to achieving the project development objective and is funded through parallel financing arrangements is designed and implemented in an effective and complementary manner. (iii) The World Bank’s convening capacity can contribute to resolving politically complex and technically demanding development issues that cut across national boundaries, by creating a transparent and inclusive consultative process, and marshaling globally recognized expertise.

Lessons from Evaluation: Support and Financing to the Formal Private Sector in Response to COVID-19

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This note identifies core lessons for the Bank Group on addressing the impact of the crisis on business and enterprises, based on evaluative evidence from the Independent Evaluation Group (IEG). It particularly draws on Bank Group experiences in addressing earlier crises, including the global economic crisis of 2008–10, the food crisis of 2007–8, and the East Asian crisis of 1998. It also reviews Show MoreThis note identifies core lessons for the Bank Group on addressing the impact of the crisis on business and enterprises, based on evaluative evidence from the Independent Evaluation Group (IEG). It particularly draws on Bank Group experiences in addressing earlier crises, including the global economic crisis of 2008–10, the food crisis of 2007–8, and the East Asian crisis of 1998. It also reviews evidence from responses to other systemic shocks, such as natural disasters and crises arising from conflict. However, it does not reinterpret past findings in light of subsequent developments. Lastly, it incorporates IEG’s broader evaluative findings on instruments that support business and market development. It complements other IEG notes on crisis response topics under preparation, including those on distressed assets and trade finance.

Comoros CLR Review FY14-19

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This review of the Comoros Completion and Learning Review (CLR) of the World Bank Group (WBG) Country Partnership Strategy (CPS) covers the CPS period, FY14-FY19, and the Performance and Learning Review (PLR) of December 2018. This is the first CPS for Comoros following a series of Interim Strategy Notes (ISNs), the latest of which was prepared in 2010. The WBG programs under the ISNs were Show MoreThis review of the Comoros Completion and Learning Review (CLR) of the World Bank Group (WBG) Country Partnership Strategy (CPS) covers the CPS period, FY14-FY19, and the Performance and Learning Review (PLR) of December 2018. This is the first CPS for Comoros following a series of Interim Strategy Notes (ISNs), the latest of which was prepared in 2010. The WBG programs under the ISNs were limited in scope reflecting the high level of political instability, serious governance issues and related low IDA allocations. The CLR highlighted several lessons about a need to ensure a streamlined project design and flexibility in implementation; value of increased WBG presence on the ground; importance of donor coordination; and a need for greater realism and selectivity in the program. IEG particularly agrees that there is need for greater realism and selectivity in the program, throughout the program, beyond the governance area on which the lesson in the CLR focuses. Being excessively ambitious with respect to institutional targets in a fragile environment increases the risk of program underperformance. IEG adds the following lesson: The decision on a large program expansion at the PLR stage requires a detailed discussion and careful justification in the PLR document because it poses a longer-term implementation risk.

Comoros - Completion and Learning Review : IEG Review

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Croatia: Revenue Administration Modernization Project (PPAR)

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The development objective of the Croatia Revenue Administration Modernization Project was to achieve further improvements in tax efficiency, taxpayer services, and tax compliance through capacity building and systems improvement in the Croatia Tax Administration (CTA). For purposes of this review, three sub-objectives are assessed: (i) improvements in efficiency; (ii) improvements in taxpayer Show MoreThe development objective of the Croatia Revenue Administration Modernization Project was to achieve further improvements in tax efficiency, taxpayer services, and tax compliance through capacity building and systems improvement in the Croatia Tax Administration (CTA). For purposes of this review, three sub-objectives are assessed: (i) improvements in efficiency; (ii) improvements in taxpayer services; and (iii) improvements in tax compliance. Ratings for the Revenue Administration Modernization Project are as follows: Outcome was moderately unsatisfactory, Risk to development outcome was negligible, Bank performance was moderately unsatisfactory, and Borrower performance was moderately unsatisfactory. This assessment offers the following lessons: (i) Poor quality at entry and lack of readiness for implementation contributed to significant implementation delays and limited results. (ii) Given that the main driver of the tax administration reforms was Croatia’s bid for membership of the EU, the project could have better secured the government’s commitment to reforms up front. (iii) In projects aiming to improve tax revenue administration, the right balance must be struck between institutional reform and hardware needs (buildings and information and communications technologies). (iv) High TTL turnover could be mitigated by ensuring adequate capacity in the field with the presence of competent local staff.