Document of The World Bank FOR OFFICIAL USE ONLY Report No: PAD3149 PROGRAM APPRAISAL DOCUMENT ON A PROPOSED CREDIT IN THE AMOUNT OF EUR 87.1 MILLION (US$100 MILLION EQUIVALENT) TO THE REPUBLIC OF CÔTE D'IVOIRE FOR AN ENHANCING GOVERNMENT EFFECTIVENESS FOR IMPROVED PUBLIC SERVICES PROGRAM‐FOR‐RESULTS March 14, 2019 Governance Global Practice Africa Region Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized
105
Embed
Document of The World Bankdocuments.worldbank.org/curated/en/... · CP1 First year of primary school (Cours préparatoire première année) CP2 Second year of primary school (Cours
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
Document of
The World Bank
FOR OFFICIAL USE ONLY Report No: PAD3149
PROGRAM APPRAISAL DOCUMENT
ON A
PROPOSED CREDIT
IN THE AMOUNT OF EUR 87.1 MILLION
(US$100 MILLION EQUIVALENT)
TO THE
REPUBLIC OF CÔTE D'IVOIRE
FOR AN
ENHANCING GOVERNMENT EFFECTIVENESS FOR IMPROVED PUBLIC SERVICES
PROGRAM‐FOR‐RESULTS
March 14, 2019
Governance Global Practice
Africa Region
Pub
lic D
iscl
osur
e A
utho
rized
Pub
lic D
iscl
osur
e A
utho
rized
Pub
lic D
iscl
osur
e A
utho
rized
Pub
lic D
iscl
osur
e A
utho
rized
CURRENCY EQUIVALENTS
Exchange Rate Effective January 31, 2019
Currency Unit = EUR
EUR 0.871 = US$1
US$1.15 = EUR 1
FISCAL YEAR
January 1 ‐ December 31
ABBREVIATIONS AND ACRONYMS
AfDB African Development Bank
AGEROUTE Road Management Agency (Agence de Gestion des Routes)
ANRMP National Public Procurement Regulatory Agency (Agence Nationale pour la Régulation des Passations de Marché)
APIF Agency for the Promotion of Financial Inclusion (Agence de promotion de l’inclusion financière)
ASTER Accounting Information System
B2G Business to Government
BCEAO West Africa Central Bank (Banque Centrale des Etats de l’Afrique de l’Ouest)
CPF Country Partnership Framework
CP1 First year of primary school (Cours préparatoire première année)
CP2 Second year of primary school (Cours préparatoire deuxième année)
CPS Strategic Steering Committee (Comité de pilotage strategique)
CQS Selection Based on the Consultant’s Qualification
CT Technical Working Group (Comité Technique)
DA Designated Account
DAF Directorate of Administration and Finance (Direction d’Administration et des Finances)
DCF Directorate of Financial Control (Direction du Contrôle Financier)
DGBF General Directorate of Budget and Finance (Direction Générale du Budget et des Finances)
DGDI Governance and Institutional Development Grant Project (Don de Gouvernance de Développement des Institutions)
DGI Tax Department (Direction Générale des Impôts)
DGTCP Directorate General of the Treasury and Public Accounting (Direction Générale du Trésor et de la Comptabilité Publique)
DLI Disbursement‐linked Indicators
DMP Directorate of Public Procurement (Direction des Marchés Publics)
DPO Development Policy Operation
DPPD Multi‐year Programming Expenditure Documents (Documents de Programmation Pluriannuelle des Dépenses)
EGSDP Economic Governance for Service Delivery Program (
ESIA Environmental and Social Impact Assessment
ESIS Environmental and Social Impact Statement
ESMS Environmental and Social Management System
ESSA Environmental and Social Systems Assessment
FER Road Fund (Fonds d’Entretien Routier)
FIRST Financial Sector Reform and Strengthening Initiative
FISF Financial Inclusion Support Framework
FM Financial Management
G2P Government to Person
GAC Governance and Anticorruption
GDP Gross Domestic Product
GoCI Government of Côte d’Ivoire
HABG Good Governance Authority (Haute Autorité pour la Bonne Gouvernance)
ICB International Competitive Bidding
ICT Information and Communication Technology
IFR Interim Financial Report
IFSA Integrated Fiduciary System Assessment
IGE General Inspectorate of Finance (Inspection Generale d’état)
IGF General Inspectorate of Finance (Inspection Generale des Finances)
IGM Inspectorate General of the Ministries
IMF International Monetary Fund
IPF Investment Project Financing
IT Information Technology
IVA Independent Verification Agent
LCS Least Cost Selection
LOLF Organic Finance Law (Loi Organique de finances)
M&E Monitoring and Evaluation
MEER Ministry of Infrastructure and Road Maintenance (Ministère de l’Equipement et de l’Entretien Routier)
MEF Ministry of Economy and Finance
MENET‐FP Ministry of National Education, Technical Education, and Vocational Training (Ministère de l’Éducation Nationale, de L’Enseignement Technique et de la Formation Professionnelle)
MOJ Ministry of Justice and Human Rights (Ministère de la Justice et des Droits de l’Homme)
MSMEs Micro, Small, and Medium Enterprises
NCB National Competitive Bidding
OHADA Organization for the Harmonization of Corporate Law in Africa (Organisation pour l'Harmonisation en Afrique du Droit des Affaires)
P2G Person to Government
PAP Program Action Plan
PCU Project Coordination Unit
PDEFSI Financial Sector Development Program (Programme de Développement du Secteur Financier)
PEFA Public Expenditure and Financial Accountability
PFM Public Financial Management
PforR Program for Results
PGT Treasury (Paierie Generale du Tresor)
PIP Public Investment Program
POM Program Operation Manual
PPRC National Program for Capacity Building (Programme Pays de Renforcement des Capacités)
PPSD Project Procurement Strategy for Development
PRSSE Strengthening Epidemic Emergency Health and Response System Project (Projet de Renforcement du Système de Santé et de Réponse aux Urgences Epidémiques)
QCBS Quality‐ and Cost‐Based Selection
RAF FM Manager (Directeur d’Administration et des Finances)
RAP Resettlement Action Plan
RCCM National Credit Collateral Registry (Registre du Commerce et du Crédit Immobilier)
RFP Request for Proposal
SAI Court of Accounts (Cours des comptes)
SBD Standard Bidding Document
SEB State Budget Secretariat (Secretariat d’État auprès du Primier Ministre chargé du Budget et du Portefeuille d’État)
SIB Budgetary Information System (Système d’Information Budgétaire)
SMEs Small and Medium Enterprises
SPARK Strategic Purchasing in Health Project (Projet D’achat Strategique Et D’harmonisation Des Financements Et Des Competences De Sante)
ST Technical Secretariat (Secretariat Technique)
TA Technical Assistance
TF Trust Fund
TCA Commercial Court of Abidjan (Tribunal de Commerce d’ Abidjan)
WAEMU West Africa Economic and Monetary Union (Union économique et monétaire de l’Afrique de l’Ouest)
Regional Vice President: Hafez M. H. Ghanem
Practice Group Vice President: Deborah L. Wetzel
Country Director: Pierre Frank Laporte
Practice Manager: Alexandre Arrobbio
Task Team Leader(s):Keith W. McLean, Maimouna Mbow Fam, Maria Eileen Pagura
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 1 of 101
BASIC INFORMATION
Is this a regionally tagged project? Financing Instrument
No Program‐for‐Results Financing
Bank/IFC Collaboration Does this operation have an IPF component?
No Yes
Environmental Assessment Category (IPF Component)
C‐Not Required
Proposed Program Development Objective(s) The PforR development objective is to strengthen government capacity in program‐based budgeting and procurement, delivery of selected education services, management of roads contracts, and facilitating access to financial services. Organizations Borrower :
Republic of Côte D'Ivoire
Implementing Agency : Ministry of Economy and Finance
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 2 of 101
Financing (USD Millions)
International Development Association (IDA) 100.00
IDA Credit 100.00 Expected Disbursements (USD Millions)
Fiscal Year 2019 2020 2021 2022 2023 2024
Absolute 25.00 14.06 16.29 16.17 17.04 11.45
Cumulative 25.00 39.06 55.34 71.51 88.55 100.00 INSTITUTIONAL DATA
Practice Area (Lead)
Governance
Contributing Practice Areas
Education Finance, Competitiveness and Innovation Transport Climate Change and Disaster Screening
Yes
PRI PUB DATA TBL Private Capital Mobilized No Gender Tag Does the program plan to undertake any of the following? a. Analysis to identify Project‐relevant gaps between males and females, especially in light of country gaps identified through SCD and CPF No
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 3 of 101
b. Specific action(s) to address the gender gaps identified in (a) and/or to improve women or men's empowerment No c. Include Indicators in results framework to monitor outcomes from actions identified in (b) No
SYSTEMATIC OPERATIONS RISK‐RATING TOOL (SORT)
Risk Category Rating
1. Political and Governance Substantial
2. Macroeconomic Substantial
3. Sector Strategies and Policies Substantial
4. Technical Design of Project or Program Substantial
5. Institutional Capacity for Implementation and Sustainability Moderate
6. Fiduciary Substantial
7. Environment and Social Low
8. Stakeholders Moderate
9. Other Moderate
10. Overall Substantial
COMPLIANCE
Policy
Does the program depart from the CPF in content or in other significant respects?
[ ] Yes [✔] No
Does the program require any waivers of Bank policies?
[ ] Yes [✔] No
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 4 of 101
Safeguard Policies Triggered
Safeguard Policies Yes No
Projects on International Waterways OP/BP 7.50 ✔
Projects in Disputed Areas OP/BP 7.60 ✔
Safeguard Policies Triggered (IPF Component)
Safeguard Policies Yes No
Environmental Assessment OP/BP 4.01 ✔
Performance Standards for Private Sector Activities OP/BP 4.03 ✔
Natural Habitats OP/BP 4.04 ✔
Forests OP/BP 4.36 ✔
Pest Management OP 4.09 ✔
Physical Cultural Resources OP/BP 4.11 ✔
Indigenous Peoples OP/BP 4.10 ✔
Involuntary Resettlement OP/BP 4.12 ✔
Safety of Dams OP/BP 4.37 ✔
Legal Covenants
Sections and Description The Recipient shall carry out the Program Action Plan or cause the Program Action Plan to be carried out, in
accordance with the schedule set out in the said Program Action Plan in a manner satisfactory to the Association
(see FA Schedule 2 Section 1 B.1)
Sections and Description 1. No later than three (3) months after the Effective Date, the Recipient shall prepare an implementation
manual, in form and substance acceptable to the Association, containing detailed: (a) administrative,
procurement, financial management and monitoring and evaluation procedures; (b) environmental and social
management systems and complaints and grievance redress mechanism; (c) the Program Action Plan; (d) detailed
arrangements for verification of achievement of the DLRs (including the Verification Protocol); (e) the institutions
and entities involved in the implementation of the Program; and (f) coordination and oversight arrangements for
the Operation (“Operations Manual”). (See FA Schedule 2, Section 1 C1)
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 5 of 101
Sections and Description 2. The Recipient shall: (a) furnish the Operations Manual to the Association for its review; (b) afford the
Association a reasonable opportunity to exchange views with the Recipient on said Manual; and (c) thereafter
adopt the Operations Manual as shall have been approved by the Association.(See FA Schedule 2, Section 1 C2)
Sections and Description 3. The Recipient: (a) shall ensure that the Program is carried out in accordance with the Operations Manual;
and (b) shall not assign, amend, abrogate, or waive, or permit to be assigned, amended, abrogated, or waived, any
of its provisions without the prior written agreement of the Association.(See FA Schedule 2, Section 1 C3)
Sections and Description The Recipient shall, no later than three (3) months after the Effective Date:
1. appoint and thereafter maintain, at all times during the implementation of the Program, an independent
Verification Agent under terms of reference acceptable to the Association and ensure that the Verification Agent
prepares and provides verification reports certifying the achievement of the DLRs set out in Schedule 4 to this
Agreement; and
2. ensure that the Verification Agent carries out verification and process(es) in accordance with the Verification
Protocol; and (b) submit to the Association the corresponding verification reports in a timely manner and in form
and substance satisfactory to the Association.
(See FA Schedule 2, Section 3 B 1& 2)
Conditions
Type Description Disbursement B. Withdrawal Conditions for the Program
1. Notwithstanding the provisions of Part A of this Section, with respect to Categories (1) through (7), no withdrawal shall be made: (a) for purposes of Section 2.03 of the Program General Conditions, for DLRs achieved prior to the Signature Date, except that withdrawals up to an aggregate amount not to exceed € 8,700,000 may be made for DLRs achieved prior to this date but on or after June 25, 2018; or/and (b) for any DLR until and unless the Recipient has furnished evidence satisfactory to the Association that said DLR has been achieved, including verification reports from the Verification Agent, based on reports prepared by
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 6 of 101
the Recipient certifying the achievement of the DLRs in accordance with the Verification Protocol. 2. Notwithstanding the provisions of Part B.1(b) of this Section, with respect to the Program, if any or various DLR(s) set forth in Schedule 4 of this Agreement has/have not been achieved by the date by which the said DLR is set to be achieved, the Association may, by notice to the Recipient: (a) authorize the withdrawal of such lesser amount of the unwithdrawn proceeds of the Financing then allocated to said Category which, in the opinion of the Association, corresponds to the extent of achievement of said DLR, said lesser amount to be calculated in accordance with the formula set out in Schedule 4; (b) authorize the unwithdrawn amount by which such disbursement has been reduced due to partial achievement of a DLI, be carried forward to subsequent withdrawals; (c) reallocate all or a portion of the proceeds of the Financing then allocated to said DLR to any other DLR; and/or (d) cancel all or a portion of the proceeds of the Financing then allocated to said DLR. C. Withdrawal Conditions for the Project Notwithstanding the provisions of Section IV.A of this Schedule, with respect to Category (7), no withdrawal shall be made for payments made in respect of the Project prior to the Signature Date.
TASK TEAM
Bank Staff
Name Role Specialization Unit
Keith W. McLean Team Leader(ADM Responsible)
Governance GGOAW
Maimouna Mbow Fam Team Leader Financial Management GGOAW
Maria Eileen Pagura Team Leader Financial Sector GFCAW
Maurice Adoni Procurement Specialist(ADM Responsible)
Procurement GGOPF
Jean Charles Amon Kra Financial Management Specialist(ADM Responsible)
Financial Management GGOAW
Abdoul Wahabi Seini Social Specialist(ADM Responsible)
ANNEX 9: PROGRAM THEORY OF CHANGE OF THE OPERATION ............................................. 98
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 10 of 101
I. STRATEGIC CONTEXT
A. Country Context 1. Over the past seven years Côte d’Ivoire has sustained a trajectory of improved economic recovery. The real gross domestic product (GDP) growth rate averaged 8.7 percent from 2012–2017. The growth rates declined in 2016 and 2017 and reached 8 percent and 7.7 percent, respectively. While these rates are slightly lower than the average of those between 2012 and 2017, they remain historically high and among the highest in the continent. The main drivers of economic expansion remain modern service sectors (communication, banking, and transport) and the construction sector fueled by a public investment program (PIP) and rapid urbanization. The contribution of the agricultural sector has varied, due to its sensitivity to climatic conditions and international prices.
2. However, the benefits of this growth have not been shared equally by all Ivorians. Although poverty declined from 51 percent in 2011 to 46.3 percent in 2015, it remains significant and continues to be concentrated in rural areas, which are home to 70 percent of poor households. Employment creation in formal sectors has been weaker than anticipated. Regional disparities persist, with a clear divide between the north and the south, creating frustrations, especially among the youth.
3. Côte d’Ivoire could prioritize to simultaneously remain on a fast‐economic growth trajectory and further share its dividends among the population. Given that Government aims to cut its fiscal deficit in the short to medium term, efficiency gains will be required in collecting more domestic revenue and in spending fewer resources. Simultaneously, governance challenges in public financial management that affect efficiency would need to be addressed.
B. Sectoral and Institutional Context
4. There are significant opportunities to improve service delivery in Côte d’Ivoire, in education, the roads sector, and financial services. In 2017–2018, education completion rates were at 77.7 percent and 54.6 percent for primary and secondary education, respectively, because of inadequate access to education and inefficiencies in the management of general education resources. Access to financial services is also low. In 2017, only 15 percent of adults had an account in the formal financial sector, excluding mobile accounts. Government use of transaction accounts, which improves transparency and efficiency in managing public finances while having a significant impact on financial inclusion, is limited. The lack of a robust credit infrastructure (for example, collateral and credit registries and insolvency reforms) and consumer protection contributes to low financial access. In the roads sector, baseline data from the Ministry of Infrastructure and Road Maintenance (MEER) show that while efforts have been made to improve the national road network after 2011, only 30 percent of the road network is considered to be in good condition. Efforts to improve the road network also extend to the rural areas.
5. Service delivery to citizens in these sectors is affected by governance challenges. Public services (access, quality, and cost‐effectiveness) are affected by governance bottlenecks affecting service delivery chains. In education, the distribution of textbooks and financing of private school places for children is not adequately monitored to provide assurance on outcomes. In transport, the road network quality is affected by limited planning and excessive costs that are attributable to limitations in how new and existing assets are managed and works contracts implemented. In the financial sector, access to finance is hampered by limited use of e‐payment systems and limited credit infrastructure.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 11 of 101
6. The strengthening of horizontal public financial management (PFM) and public procurement systems remains a high‐priority objective for the Government. The PFM system could be strengthened through the adopted organic law No. 2014‐336 and ensuring effective result‐based budgeting. This would, inter alia strengthen the sectoral planning and connection with results. However, on the positive side, the government has now formally adopted the PFM Master Plan (2018‐2020) which includes several key actions that strengthen results‐based budgeting.
Governance Challenges in Service Delivery
General Education
7. The quality of primary and secondary education delivery is affected by planning, budgeting, and procurement bottlenecks. Sectoral governance challenges range from budgeting and planning to allocation of resources and effectiveness of school subsidies and textbook supply chains, all contributing to this underperformance.
8. The supply and distribution of textbooks to primary schools face limitations, and this affects learning. While each student is supposed to receive the required mathematics and reading textbooks in September at the start of the school year, there are major bottlenecks in the distribution chain such that some students never receive textbooks, or they arrive late in the school year. Only 61 percent of students in the first two years of primary school receive the required textbooks. The evidence suggests that distribution and supply are also highly uneven, as in some regions and provinces there are surpluses of textbooks and major shortages in others. Moreover, a significant number of textbooks can be found on the black market, suggesting leakages in the supply chain.
9. The allocation of subsidies used by the Government to secure places for students in private schools is not optimal. Due to shortages in the number of places available at public schools, Ministry of National Education, Technical Education, and Vocational Training (MENET‐FP) provides subsidies to private schools to enroll some students. This arrangement could potentially reduce the unit cost of basic education compared to construction, equipping and staffing of new public schools. However, a lack of transparency, accountability, and robust controls in the implementation of these subsidies reduces the cost‐effectiveness. Evidence suggests that some schools receive more funds than should be allocated considering the number of students they enroll. There are also few mechanisms to properly track student placement in private schools throughout the school year. Instituting an effective system to rationalize the provision of public subsidies to private schools and monitor implementation would improve the effectiveness of publicly subsidized private school placements and improve service delivery.
Road Infrastructure
10. The overall management of the road network faces limitations. The quality of investment planning and implementation is poor, resulting in a low‐quality, expensive road network. As a result, citizens face high transportation costs and extended travel times.
11. Governance challenges in contract management affect sector outcomes. Road infrastructure costs are high due to delays in payments from the Government to contractors/providers and nonenforcement of contract provisions (sanctions and penalties) for nonperformance. In addition, the sustainability of work undertaken is also limited due to poor quality of civil works and insufficient planning and budgeting for maintenance (lack of annual maintenance plans).
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 12 of 101
12. Government lacks the systems, tools, and information needed to verify the qualifications and objectively assess the performance of contractors. There is no common platform of information that can be used as a basis to classify contractors. Such information would be a helpful input into the work of the Contract Awards Evaluation Committee that is made up of a combination of technical and nontechnical members, drawn from across the relevant structures of Government, such as Ministry of Economy and Finance (MEF) and National Directorate of Public Procurement (DMP). 1
Financial Sector
13. There are significant challenges to accessing financial services, many of which can be addressed by strengthening governance and streamlining payment systems. Most government payments remain cash based, which affects salaries and payments of benefits and creates delays and access challenges for citizens. While the number of e‐money accounts has increased from 1.5 million in 2010 to 9.8 million in 2015, Côte d’Ivoire still lags comparator countries, and only one‐third of these accounts are estimated to be active. Digitization of the main payment streams, government to person (G2P) and person to government (P2G), is needed to strengthen financial inclusion in the sector as it will streamline and expedite payments and access to finances. Only 12 percent of eligible pensioners in the country receive their pensions by transfers. Other payment streams such as scholarships and travel allowances for state employees need to be digitized. Payments to households eligible for social benefits are done through government schemes that need streamlining and an integrated payment mechanism. Tax payment procedures are complex, and most tax payments are made by check or cash.
14. Digitization of government payments makes service delivery more efficient, improves government spending, and improves universal financial access. All individuals and micro and some small‐size businesses should be able to have access to and use at least one transaction account, operated by a regulated payment service provider to (a) perform most, if not all, of their payment needs; (b) safely store some monetary assets; and (c) serve as a gateway to other financial services.
15. Government payment programs have the potential to directly advance financial inclusion given that public administration constitutes the single largest user of payment services. A switch from cash and paper‐based payments to electronic payments mechanisms for government transactions offers the potential to support the access and use of transaction accounts and to deepen the national retail payment systems. While the Government has already undertaken some digitization efforts, some payments streams (P2G, G2P, and business to government [B2G]) are still heavily cash based (for example, payments in the public hospitals or payment of salaries by MENET‐FP to employees who are not civil servants).
16. Persistent weaknesses in the credit infrastructure continue to limit micro, small, and medium enterprises (MSMEs) lending and create delays in the implementation of the insolvency framework. Côte d’Ivoire has around 60,000 small and medium enterprises (SMEs) contributing 12 percent to GDP,2 and access to finance is critical for MSME growth.3 While credit infrastructures have been improved during the decade, opportunities for improvement are still significant, particularly regarding information asymmetries between lenders and borrowers and restructuring in the case of insolvency.
1 The Procurement code stipulates the composition of the Contract Awards Evaluation Committee. 2 Côte d’Ivoire fiscal authorities. 3 Global Competitiveness Index of 2015–2016.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 13 of 101
Challenges in Horizontal PFM and Procurement
17. Shortcomings in budget‐preparation and execution processes negatively affect development outcomes. A significant part of the investment budget is neither spent as intended nor actually translated into tangible results for communities due to limitations in budget preparation and execution processes.4 Some of the key financial management (FM) bottlenecks include:
A disconnect between the annual budget cycle and the multiyear nature of some capital budget commitments leading to unfunded commitments;
Lack of monitoring of sectoral programs and delays in budget execution;
Numerous procurement steps and often redundant procurement procedures in combination with excessive controls and clearances;
Cash flow constraints coupled with complex and often redundant control and payment process;
Inconsistencies in governance arrangements; and
A lack of modern tools, which constrains the efficiency of civil servants working on financial planning, procurement, and budget execution.
18. The performance of procurement regulatory systems and control entities could also be strengthened. The existing system creates implementation bottlenecks and slows down budget execution and service delivery. There is continued over reliance on manual procedures in many agencies, which contributes to delays. The average procurement period for the country is 198 days, a difference of 138 days or 4.6 months in relation to the regulations, which envisages 60 days for most public procurement. There are also significant coordination challenges linked to the number of authorities involved and limited planning. Moreover, there is a dearth of interconnected IT systems that could help rationalize and streamline processing and improve efficiency. In 2017, over 50 percent of awarded public contracts were not compliant with existing regulations.5
Government and Bank Response
19. The Government plans to address simultaneously governance challenges in service delivery and horizontal public resources management through the Economic Governance for Service Delivery Program (EGSDP) 2018‐20236 and requested World Bank support for EGSDP implementation. The EGSDP has five strategic axes to address governance challenges in service delivery and strengthen horizontal public resources management.
20. The World Bank is responding to the Government request through a Program for Results (PforR) operation addressing horizontal PFM and procurement challenges as well as governance bottlenecks in key services. The World Bank program is focused on selected areas of the EGSDP. On the one hand, it supports horizontal reforms addressing budgeting and public procurement challenges across the government and impacting on service delivery performance. On the other hand, it contributes to the EGSDP priority on service delivery with a focus on education, road infrastructure, and financial sector.
C. Relationship to the CPF and Rationale for Use of Instrument
21. The proposed operation is well aligned with Focus Areas One, Two, and Three of the FY16–FY21 Côte d’Ivoire Country Partnership Framework (CPF) as confirmed and extended with the Performance
4 2014 World Bank study on boosting capital expenditure in West Africa Economic and Monetary Union (WAEMU) countries. 5 2017 audit of procurement regulatory agency. 6 The EGSDP covers the period and expenditures 2018‐2023 and was formally adopted by Inter‐ministerial Order No. 050/MEF/SEPMBPE dated February 18, 2019.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 14 of 101
and Learning Review (PLR, 2018). The CPF places a strong emphasis on governance and PFM through Focus Area Three: Strengthening PFM and Accountability, particularly with Objective 8 (Improve Allocative Efficiency and Quality of Expenditures) and Objective 10 (Increase Accountability and Transparency in Public Expenditures), which is one of the outcomes of the operation. The operation will also support CPF Focus Area One (Accelerating Sustainable Private sector‐led growth)7 and Focus Area Two (Building Human Capital for Economic Development and Social Cohesion).8
22. The operation is also strategically aligned with ongoing World Bank activities in education, road infrastructure, and financial sectors. This operation is particularly complementary to the 2017 Education Public Expenditure Review, the Transport Sector Reform Project (P156900) approved in FY2017, the Infrastructure for Urban Development and Competitiveness of Second Cities Project (151324) approved in FY2017, and the Abidjan‐Lagos Trade and Transport Facilitation Project (P116323) approved in FY2012; and the ongoing Financial Inclusion Support Framework (FISF) and the Financial Sector Reform and Strengthening Initiative (FIRST) financial sector trust funds (TFs).
23. The transport projects show poor performance in implementing works contracts which the PforR is addressing. This includes the Abidjan‐Lagos Trade and Transportation Facility Project which experienced a seven‐month suspension tied to performance on the implementation of roads contracts.
24. The 2017 Education Public Expenditure Review noted the need for improvements in governance at all levels of the education system and improvements in planning and resource allocation to improve equity and efficiency. The operation also complements the Education Service Delivery Enhancement Project (P163218) approved in FY2018, which aims to improve both access and learning outcomes in beneficiary primary schools and the DPF series (2016‐2018) “pillar 2: strengthening the efficiency and equity in the education sector” which aimed to improve effectiveness in the deployment of teachers and secondary education subsidies.
25. In the financial sector, the FISF and FIRST TFs supported the underlying technical work on digitization of government payments, the expansion of which is being implemented through the PforR, as well as the development of a financial education strategy, and the training of staff of the newly created Agency for the Promotion of Financial Inclusion (APIF).
26. The choice of a PforR instrument is well suited to support the Government EGSDP. Though the Government of Côte d’Ivoire (GoCI) does not have experience with the PforR instrument, the selection of the financing modality has been welcomed by the authorities. First, the PforR will serve as a platform for deepening result orientation across sectoral ministries by incentivizing tangible service delivery improvements. Second, the instrument is appropriate for placing incentives at multiple critical points along the service delivery chain to resolve governance bottlenecks. Third, developing a government program allows the Government to strategically integrate other World Bank and development partner investments into a broader program of service delivery improvements than can be supported by the PforR. Finally, this instrument enables the use of government systems, minimizes the proliferation of parallel financing and fiduciary arrangements, and supports the consolidation and strengthening of existing PFM systems and institutional capacity.
27. The proposed PforR will have an IPF component to support priority Technical Assistance (TA). Drawing upon lessons learned from the World Bank’s approach to support economic governance and
7 Through Objective 2 ‐ Strengthening Economic Infrastructure and Objective 3 ‐ Improve Business Regulatory Framework and Access to Finance. 8 Through Objective 5 ‐ Improve Education Service Delivery and Youth Employability.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 15 of 101
other PforR operations and the fiduciary assessment, the inclusion of an investment project financing (IPF)
component is considered necessary. Given the shortcomings in national budgeting and cash flow management, there is a need to secure adequate and timely resources and expertise for TA critical to prevent delays in program implementation. Activities of the IPF component support the PforR Results Areas and are described in the Program Description section.
II. PROGRAM DESCRIPTION
A. Government Program Economic Governance for Service Delivery Program (EGSDP)
28. The Government’s commitment to improve delivery of public services and strengthen public resources management functions is reflected in the five axes of the EGSDP, with an envelope of approximately US$194 million. The EGSDP focuses on creating an effective enabling environment to improve core government functions of sectoral planning, performance‐based budgeting, and execution through modernized procurement and cash management at the central level, while simultaneously introducing results‐based focus at the sectoral level to improve their performance in service delivery. It consists of five axes: (a) improving domestic revenue mobilization; (b) strengthening performance‐based budgeting and procurement; (c) facilitating service delivery and improving the quality of services provided to citizens; (d) reinforcing the production and quality of economic and social statistics; and (e) enhancing access to financial services.
29. Strategic Axis 1 (S1): Improving domestic revenue mobilization (US$17 million). This axis incorporates a series of integrated measures to increase fiscal space and domestic revenue collection and improve tax administration with the objective of increasing the ratio of tax to GDP from 15.1 percent in 2015 to 19 percent by 2023. The subprogram seeks to strengthen the capacity of the tax and customs administrations supporting compliance management, revenue risk analysis, and data management to improve taxpayer compliance and widen the tax base. It also supports enhancement of revenue collection through better distributing tax effort among taxpayers and introducing a customer‐care approach.
30. Strategic Axis 2 (S2): Strengthening performance‐based budgeting and procurement (US$42 million). This subprogram aims at improving public spending efficiency through effective PFM. The objective is to operationalize results‐based management for the effective implementation of the WAEMU PFM regulations. The subprogram focuses on (a) improving strategic allocation of resource and budget execution by establishing program and multi‐annual budgeting, setting performance indicators, and devolving commitment authority to line ministries; (b) establishing an integrated financial management information system for program budgeting and connecting core treasury operations with other systems; (c) implementing modern procurement tools focused on performance and leveraging e‐procurement and contract management for value for money.
31. Strategic Axis 3 (S3): Facilitating service delivery and improving the quality of services provided to citizens (US$71 million). This axis targets primary and secondary education, health care, and maintenance of road infrastructure. The education sub‐axis focuses on (a) planning and budgeting of education expenditures; (b) transparency and timeliness of transfers to schools; (c) criteria, mechanisms, and a monitoring system for the financing of private education places for students; and (d) availability of textbooks and basic school supplies at individual school level. The health care sub‐axis focuses on (a) the quality and transparency of transfers to hospitals and health centers, (b) drug distribution mechanisms in
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 16 of 101
enhanced health districts and quality of health services, and (c) the criteria and implementation mechanisms for reimbursements for the package of free services provided by hospitals and health centers. The infrastructure sub‐axis focuses on reducing transportation time and costs for citizens by improving the management of roads assets. Specifically, it aims to strengthen (a) planning for annual road infrastructure including development of maintenance plans, (b) management of contracts including the monitoring and enforcement of contract provisions, (c) the nationwide classification of roads infrastructure and harmonization of this classification, and (d) development of cost benchmarks for enhanced asset management.
32. Strategic Axis 4 (S4): Reinforcing the production and quality of economic and social statistics (US$39 million). The statistics axis focuses on strengthening the production and quality of economic and social statistics. It aims at improving (a) core macroeconomic and national accounts statistics; (b) social welfare statistics; and (c) the availability, dissemination, and use of statistics. The government program also aims to strengthen the National Institute of Statistics (Institut National de la Statistique) and to support the implementation of the National Statistical Development Strategy 2017–2021.
33. Strategic Axis 5 (S5): Enhancing access to financial services (US$25 million). This axis focuses on enhancing citizen and borrower access to financial services by improving: (a) implementation of the OHADA insolvency law adopted in 2016, and the overall regulatory framework for the financial sector; (b) the quality of the collateral credit registry to facilitate critical information on creditworthiness and SME access to finance; (c) consumer access to basic information on the available types of financial products and services, including cost comparators through the operationalization of a Financial Services Observatory; and (d) expansion of the digitization of government payment systems to facilitate ease of payments to and from the Government, citizens, and taxpayers.
B. PforR Program Scope
Scope and Substance of the Proposed Operation
34. The PforR supports EGSDP Axes 2, 3, and 5 through (a) tackling horizontal budgeting and public procurement challenges across the Government and (b) addressing specific service delivery governance bottlenecks in education, road infrastructure, and financial sector. On the one hand, the PforR supports two horizontal reforms from EGSDP Axis 2: strengthening performance‐based budgeting and procurement. On the other hand, it contributes to EGSDP Axis 3 for the education and road infrastructure and to EGSDP Axis 5 for financial sector inclusion. Meanwhile, EGSDP Axis 3 also includes the health sector for an amount of US$16 million, which is not supported through the PforR. The results‐based disbursements under the PforR and targeted TA under the IPF component are expected to create the necessary institutional incentives and support to accelerate achievement of the respective objectives.
35. The expenditure framework for the EGSDP subcomponents supported by the PforR amounts to US$122 million. This includes US$85 million of IDA funding (or 70 percent of US$122 million) and US$37 million of government funding.
Table 1. Program Boundary
EGSDP Strategic Axis PforR Results Areas
S1: Revenue Mobilization —
S2: Result‐based Management Results Area 1: Strengthening Performance‐based Budgeting and Procurement
(Prior Result; DLI 1; DLI 2)
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 17 of 101
EGSDP Strategic Axis PforR Results Areas
S3: Service Delivery Results Area 2: Improved Management of General Education Resources and
Services (DLI 3; DLI 4)
Results Area 3: Improved Management of Road Network (DLI 5)
S4: Statistics —
S5: Financial Inclusion Results Area 4: Increased Access to Financial Services (DLI 6)
36. The proposed operation focuses on the EGSDP results that are addressing key services bottlenecks that are feasible and measurable in the medium term and not directly supported by other programs. Accordingly, EGSDP Strategic Axes 1 and 4 are not supported by the PforR. Strategic Axis 1 on domestic resources mobilization is indeed supported by the International Monetary Fund (IMF) Africa Regional Technical Assistance Center TA and European Union and World Bank DPF series (2016‐2018) on value added tax; African Development Bank’s TA on property tax; and the Organisation for Economic Co‐operation and Development TA on base erosion and profit sharing. Strategic Axis 4 on statistics is envisaged to be supported by a regional World Bank funded operation that is under preparation. Finally, the health subcomponent of EGSDP Axis 3 is expected to be supported by the new World Bank funded health operation Strategic Purchasing in Health Project (SPARK, P167959) from FY20 onwards. In turn, the PforR is complementary to and leveraging road infrastructure operations that would benefit from alleviating governance bottlenecks.
37. The PforR development objective is to strengthen government capacity in program‐based budgeting and procurement, delivery of selected education services, management of roads contracts, and facilitating access to financial services. The program will have the following four results areas:
Results Area 1: Strengthened Performance‐based Budgeting and Procurement.
Results Area 2: Improved Management of General Education Resources and Services.
Results Area 3: Improved Management of the Road Network.
Results Area 4: Increased Access to Financial Services.
The Program Theory of Change
38. The theory of change posits that by strengthening both cross‐cutting budgeting and procurement systems which affect services in all sectors, as well as tackling specific service delivery bottlenecks in priority sectors (access to finance, general education, and roads), the PforR can contribute significantly to improving overall governance for service delivery to citizens. Both cross‐cutting PFM systems (budgeting and procurement) and service delivery in priority sectors are affected by governance challenges which limit their quality and effectiveness. This operation addresses both the cross‐cutting challenges that affect efficient resource allocation and use, as well as governance challenges which affect delivery of specific services in targeted sectors (see detailed Theory of Change in annex 9).
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 18 of 101
Figure 1. Theory of Change
Results Area Activities/Inputs Outputs/Intermediate
Results Outcomes
Results Area 1: Strengthened Performance‐based Budgeting and Procurement
39. Results Area 1 will support horizontal reforms to strengthen performance‐based budgeting and public procurement. The major changes expected from these reforms are focused on (a) results‐oriented
Strengthened performance‐
based budgeting and
procurement
1. Develop guidelines and tools for program budgeting
2. Commission integrated budget and treasury information system
3. Update the procurement code
4. Beta test e‐procurement system
1. 2019 program budgets presented in all sectors (Prior Result)
2. 2020–23 finance laws executed through SIB (DLI 1)
3. Modernized procurement code
4. Deployment of e‐procurement system to whole of government(DLI 2)
Improved Management of
General Education
Resources and Services
1. Develop electronic tools to monitor students in private schools
2. Design system for online enrollment of students by parents
3. Conduct audit of textbook supply chain
4. Develop action plan for textbook supply
1. Students assigned to subsidized public school places effectively monitored (DLI 3)
2. Increased student enrollment online
2. Percentage of students with required textbooks increased (DLI 4)
Increase effectiveness of allocation of
private subsidies
Increase in primary students with text books
Improved Management of the Road Network
1. Develop online performance monitoring tool for works contracts
2. Design comprehensive system for classification of contractors based on performance
3. Design capacity building to strengthen contractor performance
1. Online performance monitoring tool implemented for works contracts (DLI 5)
2. Capacity‐building program implemented to improve contractor performance
Reduction in the number of roads contracts with implementation cost and time overruns
Increased Access to Financial Services
1. Digitization of collateral registry records
3. Digitization of priority G2P and P2G payment streams
4. Equipping of the Financial Services Observatory
1. Credit data available for decision making
2. Increase in share of priority G2P and P2G payment streams digitized (DLI 6)
3. Enhanced consumer education and financial services information
Increased citizen access to financial services
Effective performance‐
based budgeting Increased
efficiency of procurement reviews and approvals process
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 19 of 101
commitment through the Annual Performance Program and the Annual Performance Report; (b) a multi‐annual income and expenditure approach within a medium‐term income and expenditure framework (of 3–5 years); (c) more flexibility given to program managers, along with greater responsibility through the establishment of accountability mechanisms; (d) strengthening external oversight for Parliament whose powers have been broadened with ex post reviews of the quarterly Central Government Operations Summary Table (Tableau des Opérations Financières de l’Etat) and control of program performance reports; and finally (e) the Court of Auditors being vested with a new mandate for the certification of public accounts. It will focus on three specific domains.
Results Area 1.1: Strategic Resource Allocation, Investment Planning, and Performance‐based Budgeting
40. In line with the Government’s commitment to implement results‐based budgeting by 2020, the operation will support the application of robust and realistic planning. This will include particularly the forward‐looking phases of planning, programming, budgeting, and monitoring and evaluation (M&E) and the process of devolving expenditure commitment authority to service delivery agencies consistent with performance‐based budgeting.
41. The specific activities covered by Results Area 1.1 focus on the following: (a) developing a methodological framework to support key line ministries in shifting from inputs to outcomes and putting in place a new performance evaluation system, (b) implementing program budgets, (c) setting up a comprehensive performance monitoring framework to properly assess the results of the public policies and program budgets that will be financing (objectives, key performance indicators, annual projects of performances, and annual reports on performances), and (d) strengthening the implementation of a Result Monitoring Framework with available M&E information and results/causal chains underlying the Government’s program. The Program provides incentives for the Government to improve close coordination between the Ministries of Economy and Finance, Planning, State Secretariat of Budget (SEB) and ministries of Education and Infrastructure. It will include support to devolving expenditure commitment authority to service delivery agencies consistent with performance‐based budgeting.
Results Area 1.2: Budget Management Information Systems
42. Under Results Area 1.2, the Program will support the development of a suitable information system which is a prerequisite for migration to the results‐based management. The rationale is to provide this budget management information system as a technical and functional basis for deconcentrating and decentralizing commitment authority to service delivery agencies and away from the SEB, while ensuring that the determination and the release to ministries, departments, and agencies of legislature‐approved budget appropriations for expenditure commitments (based on availability of resources) fall on the MEF and SEB.
43. The following activities are budgeted in the Program for the establishment of consistency in the financial information systems: (a) develop the modules for the preparation and implementation of the Budgetary Information System (SIB) and undertake the necessary adaptations for the inclusion of the state properties accounting in the accounting information system (ASTER), including supporting services to set the SIB in production mode; (b) establish an interface between the SIB and the applications of the financial information system; (c) design and implement a strategy for managing change and training users on the different tools; and (d) set methods for digitization of procedures and supporting documentation.
Results Area 1.3: Procurement Function
44. Under Results Area 1.3, the Program will ensure that the procurement is fully integrated in the budget execution processes to facilitate results‐oriented service delivery and value for money. It will
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 20 of 101
support procurement planning, development of new procurement tools, and e‐procurement. The activities include (a) appropriate procurement planning linked with budget processes to design procurement packages based on real needs from these contracting authorities, (b) the development and dissemination of techniques and procedures for the use of new procurement tools under framework agreements and multiyear contracts, and (c) the setup of a system enabling electronic transactions between the contracting authorities and the procurement control body and regulatory body. The electronic system will be linked to monitoring and performance measurement systems, which will enable the regulatory bodies to manage both compliance and performance and enable them to identify and implement improvements to the overall procurement system. As a planning tool, information and communication technology (ICT) can assist contracting authorities (government ministries) in defining their needs and in establishing a comprehensive and consistent plan of action for the design, implementation, and management of procurement and contracts. As a tendering/purchasing tool, ICT can reduce the transaction costs and improve compliance by automating procurement processes from advertising to contract implementation. As a monitoring and performance measurement tool, the e‐procurement system will be used by both contracting authorities and the regulatory bodies to ensure that processes and methods are carried out efficiently to maximize value and to assess the results with a view to measuring performance and quantifying the value for money achieved.
Results Area 2: Improved Management of General Education Resources and Services
45. This results area addresses key bottlenecks in equitable and timely allocation and deployment of funds budgeted for primary and secondary schools. It will focus on (a) improving the availability of textbooks and (b) enhanced monitoring of use of private school finance.
Results Area 2.1: Availability of Required Textbooks for Primary School Students
46. This results area will support the increase of number of students receiving necessary textbooks at the beginning of school year. The current baseline estimates that nationally, this number averages about 61 percent of students in the first two years of primary school (Cours préparatoire première année (CP1)) and (Cours préparatoire deuxième année (CP2)), and there is uneven distribution across regions. The Program will support the implementation of remedial activities and systems with a view to ensuring that by the end of the program, at least 90 percent of students have necessary textbooks by the beginning of the school year. Given the underlying causes of these shortages are only partially understood, a technical audit of the entire textbook supply chain will be conducted through the IPF component.
Results Area 2.2: Monitoring of Public Financing of Private Secondary School Placements
47. This results area will institute a tracking mechanism to effectively monitor the number of students attending private schools, thereby aligning the subsidies the Government provides to meet the needs of the target population of students. Due to significant shortages in the number of places available for children at public schools, MENET‐FP provides subsidies to private schools to enroll students. Instituting an effective system to monitor the implementation of the public funding to private schools will help rationalize and optimize these subsidies and improve children’s access to education. The PforR will support the implementation of electronic monitoring of the system across the universe of target private schools and students though cards, biometric monitoring, or other electronic means. The Program will also support the pilot and scale‐up of the online platform for parents to select their preferred schools in which to enroll their children.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 21 of 101
Results Area 3: Improved Management and Maintenance of the Road Network
48. Results Area 3 will support the setting up of a transparent performance monitoring tool for the management of road infrastructure works and maintenance. The proposed performance management tool will be available online and will be monitorable and searchable. It will also include the classification of works contracts based on their past performance. This will help reduce transportation costs for citizens as a well‐maintained road network will facilitate access and reduce transport cost and time for citizens.
Results Area 4: Increased Access to Financial Services
49. This results area will support the digitization of selected payment streams in education, health, and infrastructure, as well as for taxpayers and SMEs. Specifically, it will support the authorities in switching from cash and paper‐based payments to electronic payment mechanisms for government transactions. The design of the digitization of government payments is informed by the government payments diagnostic supported under the FIRST TF. The program will support the digitization of selected payment streams that are currently mostly cash based including (a) payment of local taxes, (b) payment of student bursaries, and (c) payment of travel allowances for civil servants and other state employees. The expected result is digitalization of at least 30 percent of these payment streams by project end.
IPF Component
50. The IPF component will provide complementary TA support to the Program results areas. The support addresses key areas that need specialized support and high‐level technical expertise. Key areas of support are summarized in Table 2.
Table 2. Summary of the TA Component
Results Areas and
Complementary
Support
Complementary TA Provided through the IPF Component
Program Budgeting
and Procurement
Study on budgetary decision‐making system
Pilot, audit, and beta testing of phase one e‐procurement system
South‐south exchange on e‐procurement reforms and implementation
General Education Implementation of a technical audit of the textbook production and delivery chain
Citizen feedback surveys on textbook availability
Road Network
Management
Design of online performance monitoring tool to track implementation of roads works contracts and performance (quality, cost, and delay) with classification of contractors based on performance
Access to Financial
Services
Equipment and implementation of technical systems for the observatory.
Consumer education, information, and financial awareness
User feedback on the quality and accessibility of observatory services
Equipment, development, and technical testing of the new National Credit Collateral Registry (RCCM) information technology (IT) integrated platform
Digitization and integration of RCCM records for the Commercial Court of Abidjan (Tribunal de Commerce d’ Abidjan, TCA), Youpogon, and Plateau Tribunals
Complementary
Support: Change
Management,
Verification, and Audit
Capacity building for public policy reforms and citizen engagement in public policies
Recruitment of independent verification agents (IVAs)
Annual financial audit of the Program (including TA component).
Setup of the M&E system to track implementation progress
Change management initiatives for reform
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 22 of 101
51. The total financing for the operation amounts to US$100 million including the PforR result‐based financing of US$85 million and the IPF component financing of US$15 million. Key areas of support to EGSDP (result‐based financing) are summarized in Table 3.
Table 3. Program Financing ‐ EGSDP Expenditure Framework Strategic Axis/Results Area Instrument EGSDP related
to PforR IDA Funding
US$ m
EGSDP related to PforR
Govt. Funding US$ m
Total EGSDP related to PforR9 US$ m
Total Cost of EGSDP Axes US$ m
Strategic Axis 1 n.a. 0 0 0 17
Strategic Axis 2/Results Area 1 PforR/result‐based financing
32 10 42 42
Strategic Axis 3/Results Areas 2 and 3
PforR/result‐based financing
36 19 5510 71
Strategic Axis 4 n.a. 0 0 0 39
Strategic Axis 5/Results Area 4 PforR/result‐based financing
17 8 25 25
Total operation financing 85 37 122 194
52. The budget lines included in the Program Expenditure Framework will finance critical inputs required for Program implementation and thereby, DLI achievement. These expenses include salary cost and goods and services related to the achievement of DLIs.
C. Program Development Objective(s) (PDO) and PDO Level Results Indicators
53. The PforR development objective is to strengthen government capacity in program‐based budgeting and procurement, delivery of selected education services, management of roads contracts, and facilitating access to financial services.
54. The proposed PDO‐level indicators are
Production of annual performance reports for all ministries based on performance budgeting which are publicly accessible within 6 months after the end of the fiscal year.
Reduction of the average time to complete the procurement process through contract award stage.
Reduction of the time required to confirm student attendance in private schools.
Primary students in CP1 and CP2 that receive required reading and mathematics textbooks at the beginning of the school year.
Reduction in roads contracts that are implemented with time and/or cost overruns.
Increase in digitization of selected government to person (G2P) and person to government(P2G) payment streams.
D. Disbursement Linked Indicators and Verification Protocols
55. The resources of the result‐based component of the PforR will be disbursed based on the achievement of one prior result and six Disbursement‐linked Indicators (DLIs).
9 Government expenditures in the ESGDP linked specifically to the four PforR results areas amount to US$122 million compared to an overall ESGDP budget of US$194 million that includes axes and sub‐axes not supported by the Program. The IDA PforR result‐based financing of US$85 million represents 70% of these PforR‐related expenditures of US$122 million. 10 The difference of US$16 million between the total ESGDP amount for Axis 3 (US$71 million) and the PforR‐related ESGDP amount for Axis 3 (US$55 million) is due to the health sector, which is included in the ESGDP for an amount of US$16 million but not supported by the PforR.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 23 of 101
Table 4. Prior Result and DLIs Definition and Amount
DLI Definition Scalable/Formula US$
millions
Results Area 1: Strengthened Performance‐based Budgeting and Procurement 32
Prior Result. Production and adoption of multiyear programming documents of all line ministries for 2019–2021
Multiyear programming expenditure documents (Documents de Programmation Pluriannuelle des Dépenses, DPPD) of all line ministries are produced and annexed to the 2019 Finance Law.
10
DLI 1: Annual Finance Law executed through execution module of Budgetary Information System (SIB) and quarterly budget execution reports generated.
US$2.5 million per budget year 2020–23. 1011
DLI 2: Deployment of the Recipient’s e‐procurement system to all ministries for electronic review of bidding documents and award of public procurement contracts.
US$3 million per every 25% of ministries that fully deploy electronic review of bidding documents.
12
Results Area 2: Improved Management of General Education Resources and Services 18
DLI 3: Percentage of students assigned places in private schools who are effectively placed and electronically monitored.
US$3 million per attainment of annual quarterly monitoring of 40%, 70%, and 100% of students with subsidized private school placements whose presence is electronically monitored (at least every three months).
9
DLI 4: Percentage of primary students (CP1 and CP2) that receive the required reading and mathematics texts at the beginning of the school year
US$3 million per annual percentage of students in CP1 and CP2 that receive the required reading and mathematics textbooks within the first 30 days of the school year. (70%, 80%, and 90%, respectively).
9
Results Area 3: Improved Management and Maintenance of the Road Network 18
DLI 5: Operationalization of an on‐line performance monitoring tool to track implementation of roads works contracts (quality, cost and delays); with classification of contractors based on performance, and data publicly available.
US$6 million for 100% implementation of tool for all contracts above US$20 million.
US$6 million for 100% implementation for all contracts valued US$2–20 million.
US$6 million for 100% implementation for all contracts below US$2 million.
18
Results Area 4: Increased Access to Financial Services 17
DLI 6: Percentage increase of selected government to person (G2P) and person to government payment streams (P2G) digitized.
Increase in digitization of 3 payment streams (a) payment of local taxes, (b) payment of student bursaries, and (c) payment of mission fees of civil servants and other state employees. US$2 million each for attainment of 10% increase in digitization of each of these three payment streams; US$2 million each for attainment of 20% increase in the digitization of each of these payment streams; and US$1 million each for attainment of 30% increase in digitization each of mission fees for civil servants and other state employees and bursaries. US$3 million for attainment of 30% digitization of payment of local taxes.
17
Total 85
11 The amounts allocated to the Prior Result (US$10 million) and DLI1 (US$10 million) correspond to the combined amount of US$20 million, which is indicated in the Financing Agreement under DLI1.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 24 of 101
56. Verification protocols. The achievement of all DLIs will be monitored by relevant institutions, reviewed on an annual basis by the Program’s Technical Working Group and verified by an independent verification agent whose report will form part of the submission to the World Bank to confirm full or partial achievement of DLI targets. The institutions responsible for the achievement of DLIs are as follows:
DLI 1: MEF, SEB.
DLI 2: DMP, ANRMP.
DLI 3 and DLI 4: MENET‐FP.
DLI 5: Road Management Agency (Agence de Gestion des Routes, AGEROUTE) and MEER.
DLI 6: MEF and APIF
57. An IVA will be contracted to conduct yearly third‐party independent verification for all Program DLIs before their submission. In the context of its regular supervision, the World Bank will undertake regular quality assurance checks to support the client in effective implementation of DLIs. The verification protocols are explained in detail in annex 2.
III. PROGRAM IMPLEMENTATION
A. Institutional and Implementation Arrangements
58. The operation will be undertaken by existing government institutions. The Program will be included in the budget lines of the following implementing entities: MEF, SEB, MENET‐FP, AGEROUTE, DMP, APIF, and TCA. The MEF will play the coordinating role in close collaboration with the lead technical teams of each of the entities responsible for a specific axis or sub‐axis of the Program. For this purpose, a small and specialized Technical Secretariat (Secretariat Technique, ST) will be housed in the MEF to facilitate the coordination of the program.
59. A Strategic Steering Committee (CPS) will be established to oversee Program implementation and ensure proactive engagement and coordination across the multiple institutional actors involved in the operation. It will meet periodically to review progress and provide strategic guidance and support with respect to priorities and resources. The CPS will be chaired by the MEF, and membership will be drawn from the senior leadership of the implementing agencies and will provide important strategic complementarity to the day‐to‐day work of the technical teams and coordinating unit. Roles and responsibilities are outlined in the Technical Assessment.
60. A Technical Working Group (Comité Technique, CT) will also be created, with responsibility for regular coordination across institutional actors and will meet monthly to review progress and address cross‐cutting implementation challenges. It will comprise the focal points for the results areas nominated by the relevant institutional actors (that is, the MEF, SEB, MENET‐FP, AGEROUTE, MEER, DMP, ANRMP, APIF, TCA, and General Directorate of Budget and Finance [DGBF]).
61. The Technical Secretariat (ST) within the MEF will serve as the Secretariat of the CPS and the CT and will also directly implement the IPF component (see annex 8). Specifically, the ST will facilitate working closely with the CT to ensure that for each sector, the planned activities, outputs, and results are elaborated, and estimated costs elaborated in the Government program are reflected in the national budget on an annual basis. The ST will be responsible for monitoring the implementation status of DLIs and PDO and intermediate results indicators and reporting to the CPS and the World Bank. The ST will also lead change management activities needed for the reforms to be implemented under the program. It will also support the implementation of the Government’s Program Action Plan (PAP).
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 25 of 101
62. An IVA will be appointed by the Government to validate the achievement of DLIs. The Government will appoint the IVA within three months of the effectiveness date.
63. The ST consists mainly of former members of the Project Coordinating Unit of the Governance and Institutional Development Grant Project (Unité de Coordination du Don de Gouvernance de Developpement des Institutions, DGDI) who are familiar with the World Bank FM procedures and requirements. This ST will have overall fiduciary responsibility for the implementation of the IPF component. The FM arrangements will be based on the Decree No. 2015‐475 dated July 1, 2015, governing the modalities of donor‐financed projects in Côte d’Ivoire and the assignment of a financial controller from the SEB and a public accountant from the MEF.
B. Results Monitoring and Evaluation
64. The operation will strengthen the capacity of existing national bodies to ensure regular and in‐depth monitoring of implementation progress and outcomes. The Results Framework (annex 1) provides the basis on which the ST, in close coordination with the CT and supporting agencies, will measure and report on progress. The existing M&E unit within the MEF will be reinforced through the inclusion of an additional M&E expert to coordinate data collection and prepare midyear and annual operation progress reports. Performance focal points will be nominated within each of the national structures charged with the implementation of the operation. These focal points will meet regularly with the M&E unit within the ST to share feedback and data on implementation progress. A dedicated M&E electronic platform will be established to facilitate the collation of inputs and to provide a real‐time mechanism for stakeholders to review progress, address issues as they arise, and, where necessary, adjust the operations’ parameters to evolving conditions. As indicated in the PAP, the performance focal points will receive targeted training and capacity development support from the ST’s M&E unit through program financing.
65. Operation progress reports. The reports will include consolidated financial statements that will cover all Program activities, expenditures and sources of funds, implementation status, progress in achieving the DLIs, results indicators, and evidence of compliance with the requirements of the PAP. The midyear and annual operation progress reports prepared by the ST will be validated by the CT and CPS and shared with the World Bank. The format and content of these reports will be outlined in the Program Operation Manual (POM).
C. Disbursement Arrangements
66. For the Program, disbursement will be made against achievement of the DLIs. Annex 3 shows the proposed prior result and the DLIs with their respective financial allocations. The disbursement will be contingent upon the Borrower furnishing evidence satisfactory to IDA that it has achieved the respective DLI targets. The achievement of all DLI targets will be verified by the IVA according to the agreed verification protocols. The IVA will prepare a results verification report which will be shared with the Program ST and the World Bank. The MEF will communicate the achievement of DLIs to the World Bank, and based on the World Bank’s approval letter, disbursement requests will be processed. For the scalable DLIs, funds will be disbursed according to the proportion of achievement, subject to the achievement of a minimum threshold agreed with the World Bank. The withdrawal amount against the DLIs achieved will not exceed the amount of financing confirmed by the World Bank for each specific DLI. If the World Bank finds that the disbursement request meets the terms of the Financing Agreement, the World Bank will disburse the corresponding funds to the MEF.
67. The Government has informed the World Bank that advances will be needed to help address cash and treasury management challenges that could affect the timely allocation of funds to support
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 26 of 101
some key results‐linked activities. An initial advance of up 15 percent of the PforR amount would be made available by the World Bank to the Borrower. Thus, a rolling advance will be adjusted against the claim of disbursement against DLIs. The World Bank requires that the Borrower refund any advances (or portion of advances) if the DLIs have not been met (or have been only partially met) by the Closing Date of the Program, promptly upon notice thereof by the World Bank. The advance will be used flexibly by the client to advance implementation of DLIs.
68. The program also provides a disbursement of up to US$10 million for achievement of prior results linked to DLI 1. This will facilitate the implementation of important program budgeting actions for the SIB which are required for DLI 1, activities required to implement DLI 2 on the scale‐up of e‐procurement to the whole of the Government and support the implementation of other DLIs as needed.
69. Upon effectiveness of the operation, a Government‐managed DA (DA‐A) will be opened in the West Africa Central Bank (Banque Centrale des Etats de l’Afrique de l’Ouest, BCEAO) for implementation of the IPF component. Funds will flow from IDA into the DA‐A and from there into the Treasury Bank Account (Banque du Trésor) for the PforR components. This account will be opened to receive the amounts corresponding to the DLIs achieved. The account will be managed by a dedicated ‘Agent Comptable’ of the Directorate General of the Treasury and Public Accounting (Direction Générale du Trésor et de la Comptabilité Publique, DGTCP).
70. Under the PforR, the Government, through its budget execution procedures, will transfer its contribution to the Program through the Treasury Bank Account managed by the DGTCP. The Government will transfer its annual contribution to the Treasury Bank Account twice a year based on the approved annual plan and budget and the payment estimates for the next six months.
71. Disbursement arrangements for Program activities envisaged under the IPF component will follow IPF procedures. For IPF‐financed activities, the transaction‐based disbursement method will apply. A DA will be opened at BCEAO and a Transaction Account opened in a commercial bank managed by the Technical Secretariat, which will assume the project coordination responsibilities, through the public accountant “Agent comptable du projet”. The allocation of the DA will cover approximately six months of the cash flow forecast. The DA will be managed according to the disbursement procedures described in the Disbursement Letter. All supporting documentation must be easily accessible and kept at an appropriate place for control and audit purposes.
D. Capacity Building
72. The program will support institutional strengthening and capacity building of important service delivery ministries, linked to specific DLIs. This program will support the overall project coordination as well as implementation of the four results areas. This will include capacity‐building activities to strengthen the implementation of public policies, including monitoring, and activities strengthening the capacity of civil society to provide public accountability oversight and engage in the public policy dialogue. These activities will be supported through the National Program for Capacity Building (PPRC).
IV. ASSESSMENT SUMMARY
A. Technical (including Program Economic Evaluation)
73. Strategic Relevance. The proposed Program is assessed to be strategically relevant as it supports the EGSDP. It is also aligned with Government’s PFM Reform Strategy 2018–2020, as well as to the National Financial Inclusion Strategy 2019–2024. The operation will contribute to the National
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 27 of 101
Development Plan 2016–2020, which seeks to improve the development of human capital and living conditions of Ivorians while accelerating structural transformation of the economy. The four results areas of the program are also well integrated into the Government’s EGSDP, which this PforR supports: (a) Strengthening Performance‐based Budgeting and Procurement, (b) Improved Management of General Education Resources and Services, (c) Improved Management and Maintenance of the Road Network, and (d) Increased Access to Financial Services.
Technical Soundness
74. The Program is assessed as technically sound as it addresses governance dimensions of key cross‐cutting and sector‐specific service delivery constraints that affect the lives of Ivorian citizens. The priorities identified under the four results areas, which are not exhaustive, were jointly identified by the client based on their potential to create change management and forward momentum in service delivery.
75. The Performance‐based Budgeting and Procurement results area aims to remove major PFM and procurement bottlenecks along the delivery chain of basic services for the citizens. It includes the application of robust and realistic planning procedures, the establishment of effective systems for budget preparation and implementation and strengthening of the management systems within public entities to improve the efficiency and effectiveness in the use of available financial resources, as well as M&E systems to support the management and provide feedback information to improve service delivery to the citizens. There are two main sub‐axes: (a) Performance‐based Budgeting and (b) Modernization of Procurement.
76. The proposed strengthening of performance‐based budgeting will support the effective implementation of the results‐based budgetary reform from 2020 onward, particularly in the planning, programming, budgeting, and M&E phases. The legal and institutional framework is already in place with the adoption of the WAEMU guidelines into the national legislation. The major result expected is the budget preparation and implementation in program mode and deconcentration of the commitment authority in the sector ministries to operationalize the results‐based management. This result will be cemented through the presentation of the 2020 Draft Finance Law executable according to the format prescribed by the organic finance law passed by the National Assembly in December 2013.
77. The modernization of the public procurement sub‐axis will strengthen the orientation of contract awards toward performance and delivery of basic services to the citizens. Weak accountability and transparency in the application of procedures are cited as a primary cause of inefficiency in the system, including the unnecessary use of exceptions as a default in the implementation of procurement procedures. The program supports the regulatory authorities and contracting authorities to introduce modern procurement tools, to align procurement processes with new PFM regulations and enable inclusive multiyear planning and procurement to speed up budget execution and improve value for money. In line with lessons learned from international experience, and given considerable delays in the procurement processes, the program will support the development of an e‐procurement system to strengthen the transparency and efficiency of the system and minimize delays that ultimately affect service delivery and to update the procurement code accordingly.
78. The access to financial services results area aims to bring the unbanked into the formal financial sector by promoting the use of electronic payments, increasing consumer confidence in financial services, and strengthening credit information reporting and commercial justice services. There are three main sub‐axes: (a) Improving the Financial Infrastructure, (b) Digitization of Government Payments, and (c) Establishing a Financial Services Observatory.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 28 of 101
79. The financial infrastructure sub‐axis will (a) strengthen the RCCM to enhance the e‐TribCom platform which manages the collateral registry and other important services to SMEs and (b) improve the performance of the commercial court system in the provision of commercial justice services through the integrated RCCM system. Key expected results are the following: (a) the implementation of an integrated RCCM system which includes a link to the case management system, (b) the digitization of all the RCCM‐related archives, and (c) RCCM users being well informed about the RCCM and the services it offers.
80. Digitization of government payments will support the authorities in switching from cash and paper‐based payments to electronic payment mechanisms for government transactions. The design of the digitization of government payments is informed by the government payments diagnostic supported under the FIRST TF. The program will support the digitization of selected payments streams in general education and roads infrastructure, as well as for taxpayers and SMEs. The Tax Department (Direction Générale des Impots, DGI) has been identified as a potential partner to implement P2G electronic payments in the short term. The major result expected is that payments by and to the Government made by digital means will have increased by 30 percent by the end of the program.
81. The Financial Services Observatory will promote transparency of financial services and redress mechanisms, to enhance the confidence of these new consumers in the financial system and ensure that consumers understand products and services offered in the market.
82. General education. The PforR addresses two of the significant challenges in terms of equity and access to general education, which directly affects students: (a) the availability of textbooks for primary school students (classes CP1 to CP2) and (b) the effectiveness of the public subsidies provided to private schools to receive students in local secondary school. Availability of textbooks: For primary school students, in classes CP1–CP2, an average of 61 percent receives the required text books at the beginning of the school year. Distribution and availability are highly variable across regions, with some having excess supply, though overall average availability is low. In regions affected by serious shortages of text books, parents in high‐ to middle‐income households can purchase textbooks privately; however, this option is not usually available to students and parents from poorer households. Hence, the uneven distribution of textbooks and the resulting shortages create significant equity and access issues that affect learning outcomes. The PforR will proactively work to improve the availability of the basic reading and mathematics text books for primary school children, according to policy, building on a technical audit of the textbook production and supply chains conducted under the program.
83. The operation will also address the effectiveness of the subsidized secondary school placements of students. Due to serious capacity constraints in public schools, the GoCI, as a matter of public policy, assigns up to 43 percent of students that have successfully completed primary school to private schools. The GoCI subsidy covers the enrollment fees (tuition) of students assigned, and parents are expected to cover any additional costs. Priority placement in public schools is done based on the test scores that students receive on the primary school examinations. Once the available public places are filled, the remaining students (43 percent) are assigned to private schools. The PforR will help MENET‐FP to engage parents to select schools that fit their preference and affordability. It will also support the implementation of electronic monitoring systems to effectively control the use of subsidies and track participation rates, performance, and absenteeism for students and develop remedial actions.
84. Roads infrastructure. The quality of roads infrastructure remains low, tied to major insufficiencies in the management and strategic roads network. This increases the financial and time costs of transportation for citizens and business as it is a critical service whose quality and accessibility affects their daily personal and professional lives. Yet, the Government lacks the systems, tools, and information
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 29 of 101
needed to verify the qualifications and objectively assess the previous performance of contractors. There is no common platform of information that can be used as the basis to classify contractors. Such information would be a helpful input into the work of the Contract Awards Evaluation Committee that is made up of a combination of technical and nontechnical members, drawn from across the relevant structures of the Government such as the MEF and DMP (as stipulated by the procurement code).
85. The operation supports the Government to put in place a mechanism to evaluate performance to improve the planning and contract management of works and road infrastructure maintenance contracts at all stages (procurement and contract management during implementation). Specifically, the operation will support the design and implementation of a performance monitoring tool that will be used to monitor the timeliness and quality of works executed by companies that are awarded public road works contracts and the publication of the results.
86. Institutional arrangements. Institutional arrangements for the proposed operation are assessed as being appropriate and adequate. Responsibilities for implementation are divided across the national entities in ways that are fully consistent with the prevailing legal and regulatory framework. The National Government, through the MEF, will take a leading role for policy, regulation, finance, support, and oversight, drawing upon technical entities only where necessary. Operational coordination at the technical level will be undertaken by the CT that has both the experience and institutional mandate to provide such technical support. Meanwhile, overall operational oversight will involve a broad spectrum of stakeholders involved in implementation and will ensure that (a) Program results are reviewed and endorsed at a high level, (b) there are inter‐sectoral coordination mechanisms in place, and (c) key stakeholders are appropriately represented at the strategic level.
87. Expenditure framework. The Program’s expenditure framework consists of a total of US$122 million and covers the four results areas: Results Area 1 (Prior Result, DLIs 1 and 2) for a total US$42, Results Areas 2 and 3 (DLIs 3‐5) for US$55 million, and Results Area 4 (DLI 6) for a total US$25 million. These amounts represent a subset of the total EGSDP budget of US$ 194 million which covers all 5 strategic axes. The PforR‐financed results areas are embedded in the budget and expenditure management processes of the country system. IDA funds will be deposited in a DA in the PGT to mitigate risks associated with liquidity shortfalls or cash rationing. In addition, through the focal point at the PGT, the Government will commit to keeping payment delays within an agreed time frame to ensure the timely disbursement of funds from the Special Account. Program allocations will be incorporated into the budget of the MEF as appropriated by the National Assembly.
88. Economic evaluation. The PFM systems have been shown to be weak by a 2017 World Bank and IMF Public Investment Management Assessment (PIMA). The operation aligns well with this challenge as it will help the country strengthen its PFM, budgeting, and procurement, while improving service delivery for the population in priority sectors. As the country continues its fiscal consolidation in the next year, the Government is obliged to adjust its overall spending; meaning that to sustain growth, it will have to improve both the allocation of public expenditures and their financial efficiency. Improved efficiency of public spending should create the fiscal space needed to finance public investment and social expenditures. In addition, it is essential to promote financial inclusion to achieve strong and inclusive growth and at the same time strengthen the regulatory system to protect consumers. Both challenges are also addressed by the operation.
89. In addition to quantifiable profits, the benefits are also largely indirect, ultimately seen in improved public financial governance and service delivery and better performance of the economic governance institutions. Emerging evidence indicates that the reforms supported by the proposed
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 30 of 101
operation will likely result in a reduction of transaction costs associated with the delivery of basic services due to (a) more efficient, transparent, and accountable fiscal and budget management contributing to economic growth and poverty reduction; (b) better program implementation and service delivery and additional benefits, such as lower supplier prices and reduced corruption; and (c) direct pecuniary benefits resulting from improved probity and transparency in the use of public resources. Moreover, improvements of PFM IT systems will reduce transaction costs and increase administrative capacity in improved responsiveness to the needs of citizens.
B. Fiduciary
90. The Integrated Fiduciary Systems Assessment (IFSA) concluded that the Program’s fiduciary systems meet OP/BP 9.00 requirements and provide reasonable assurance that financing proceeds will be used for intended purposes with the objective of supporting achievement of Program objectives.
91. The fiduciary assessment entailed a review of the capacity of the participating entities on their ability to (a) record, control, and manage all Program resources and produce timely, relevant, and reliable information; (b) follow procurement rules and procedures; and (c) ensure adequate implementation arrangements and risk mitigation. IFSA covered the following implementing entities: MEF, MENET‐FP, MEER through AGEROUTE and DMP. IFSA focused on quality of legal and institutional framework for PFM, procurement, and Governance and Anticorruption (GAC) applicable to the Program, and the fiduciary capacity of implementing entities for budget, budget execution, internal controls, and external audit.
92. Côte d’Ivoire PFM and procurement country systems are acceptable to the Bank and meet the requirements for the implementation of a PforR. Côte d’Ivoire PFM counts in particular with a strong legal and institutional framework; effective PFM planning and budget system; and a strong internal control system with clear and relevant segregations of duties at each step of the budget execution. Budget execution and internal control systems are computerized and inter‐linked with procurement and treasury systems. There is an adequate legal and institutional framework for fraud and anti‐corruption in line with international standards. Côte d’Ivoire also adopted West Africa Economic and Monetary Union (WAEMU) PFM and procurement directives, whose implementation is on‐going.12
93. Meanwhile, there are opportunities to strengthen country systems for internal and external audit, procurement, and anti‐corruption. The internal audit function needs to adopt international standards and increase number of staff and capacity, with an on‐going related reform. External audit does not conduct performance audits and needs additional resources. Procurement timeliness could be improved by streamlining processes, and enforcement of sanctions could be enhanced, particularly for infrastructure sector. Finally, the level of enforcement of anticorruption mechanisms could be enhanced.
94. PforR Program implementing agencies have acceptable fiduciary capacity and FM & Procurement procedures and systems, and qualified staff. The fiduciary team of the ST as well as AGEROUTE are very familiar with the country and Bank FM and Procurement procedures. The fiduciary teams of the participating line ministries (e.g. MENET‐FP, MEF, MOJ and SE in charge of budget) execute their respective budgets through country systems with qualified and experienced staff. Annex 4 describes the Program Action Plan measures to address capacity challenges.
95. The Program fiduciary risk is assessed Substantial and fiduciary mitigation measures have been embedded to ensure adequate and timely budget planning and execution, effective accountability and transparency mechanisms, and achievement of expected results. The PAP detailed in annex 6, includes
12 2017 Public Expenditure and Financial Accountability (PEFA) Assessment for Côte d’Ivoire.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 31 of 101
specific, time‐bound actions to mitigate the main risks. In particular, commitments and liquidations of the Program expenditures (issuance of Payment Orders) will all be made by the DAF of the MEF supported by focal points and the ST Coordinator and FM Officer; a dedicated public accountant ‘agent comptable’ and a dedicated financial controller will be assigned to the ST of the Program to ensure timely payments. The Program will be implemented from planning to payment and internal control through country budget execution. The external audit will be conducted by a private firm acceptable to the Bank. The IPF component will support improvement of PFM and Procurement, and the Program will support strengthening of country internal and external audit institutions.
C. Environmental and Social
96. A comprehensive assessment of the Program’s Environmental and Social Management System (ESMS) was conducted, in accordance with the requirements of OP 9.00, Program‐for‐Results Financing. This comprehensive assessment identified the strengths, weaknesses, and shortcomings of the Program’s ESMS with a view to assessing the adequacy of the ESMS for PforR financing and identifying key actions to improve the environmental and social management performance of the Program. The Environment and Social System Assessment (ESSA) was conducted by the World Bank in cooperation with the Borrower and stakeholders with the following objectives: a) Verifying that the potential environmental and social risks and impacts of the Program are subject to
an adequate initial screening. b) Ensuring that environmental and social mitigation measures to avoid, minimize, offset, and/or
compensate any adverse impacts and promote environmental and social sustainability will be applied to activities that will have potential environmental and social negative impacts.
c) Identifying suitable measures to strengthen the ESMS.
97. The ESSA confirmed that this is a reform program and there are no physical works to be undertaken. As a result, the environmental and social risks and impacts were judged to be minimal to negligible and no measure has been proposed as part of the PAP.
D. Risk Assessment
98. The overall risk rating for the operation is Substantial. This is influenced by the persistent political and governance risks, in addition to the fact that this will be the first Program for Results operation in Côte d’Ivoire, and a significant learning curve is to be expected, due to institutional capacity and implementation challenges. However, the project builds on the successful implementation of the previous governance operation, Governance and Institutional Development Grant Project (DGDI, P107355) as well as the high levels of technical capacity within the government which, with ownership, can be effectively mobilized to reorient key stakeholders toward the results focused approach. To mitigate these risks, the task team and the CMU have engaged in active dialogue with the Government on the new instrument and organized a series of technical workshops during preparation to sensitize all stakeholders and to ensure that they fully understood the new instrument and were able to develop a robust program that can be supported through the operation.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 32 of 101
Risk Category Rating (H, S, M, L)
4. Technical Design of Project or Program S
5. Institutional Capacity for Implementation and Sustainability M
6. Fiduciary S
7. Environment and Social L
8. Stakeholders M
9. Other M
OVERALL S
Note: H = High; L = Low; M = Moderate; S = Substantial.
99. Political and Governance risk is Substantial. Côte d’Ivoire has enjoyed a sustained period of political stability and economic growth since the unrest of 2011. Nevertheless, outstanding grievances have endured, including among politicians. While the ongoing peace process has achieved a significant reduction in armed conflict, recent setbacks suggest caution must still be exercised as these have shown that there are still hidden caches of arms held by splinter groups. Disaffected elements within the armed forces continue to play a destabilizing role. This significant risk reflects the country’s legacy of a lack of transparency and corruption, which the Government has attempted to address. However, the press remains under close surveillance and private television channels are yet to be authorized. Government tolerance of public debate or criticism of its action is quite limited. Policy dialogue surrounding outstanding challenges that threaten entrenched vested interests, particularly in the areas of energy and commodity export sectors, will remain a point of contention between the Government and the World Bank, as there is limited debate with, or particularly by, stakeholders in decision making.
100. Macroeconomic risks are Substantial. Several macroeconomic risks could unfavorably affect the results expected under the proposed Program. Some tax reforms to increase revenue collection could be resisted by vested interest, which may be at a loss in the short term. Strengthening the consultation process ahead of tax reforms would help mitigate this risk. The Government may find it difficult to control current expenditures, especially the wage bill, when confronted with complaints from civil servants. The macroeconomic and fiscal framework can also be affected by external shocks that may increase fiscal pressures and affect the Government’s ability to reduce the fiscal deficit. The measures supported by the recently completed DPF series (2016‐2018) helped mitigate fiscal sustainability risks through improvements to tax policy and enhanced efficiency in public spending.
101. Technical Design of Program risk is Substantial. While the client has high capacity and extensive experience with implementation of IDA operations, technical design risk is substantial as this will be the first PforR in Côte d’Ivoire. The newness of the instrument presents a challenge as the capacity should be built across the range of stakeholders to reorient the World Bank’s support toward results and to develop a program which the project would support. A second related challenge was that this is a multisector cross‐cutting service delivery operation, which necessarily required significant coordination to develop a coherent results‐oriented program. The associated risks were managed through a very close, open, and intensive dialogue and collaboration between the World Bank team and client counterparts across ministries, led by the MEF, to familiarize all stakeholders with the new approach.
102. Fiduciary risk is Substantial. The key weaknesses that may negatively affect the implementation of the program are related to the procurement processes, the cash flow constraints, and lack of robust
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 33 of 101
implementation of some national anticorruption mechanisms. Results Area 1 will strengthen performance‐based budgeting and procurement to mitigate the fiduciary risk in addition to mitigation measures included in the PAP to strengthen the internal control environment and audit function. These proposed institutional arrangements with the MEF’s decision to delegate to DGDI the responsibility for the IPF component implementation and the coordination of the results delivery will also mitigate this risk.
103. Sector Strategies and Policies risk is Substantial. The key challenge was to anchor the program in the governance dimensions of multiple sector strategies that had already been adopted or were in advance stages, without creating duplication. The approach adopted by the government to manage this risk was to draw out cross‐cutting governance challenges from the relevant sector strategies and integrate them into the EGSDP while cross referencing the specific sector strategies. In the case of MEF and SEB, the task was more straightforward as the program links well with several axes of the 2018‐2020 PFM master plan adopted by the government.
E. Program Action Plan 104. The observed risks will be mitigated progressively through the implementation of the PAP as
summarized in table 6 (see annex 6 for the detailed PAP).
Table 6. Proposed Actions in the PAP for the Mitigation of Risks
Risk Proposed Action in the PAP While benefitting from effective internal control, the program could be affected by the capacity constraints of the internal audit function and implications on effectiveness of spending as well as timely detection of irregularities.
Biannual joint technical, procurement, and financial internal audit and inspection missions of the Program will be conducted to ensure efficient use of the Program funds (for example, the General Inspectorate of Finance (IGF)/DMP and Inspectorate General of the Ministries (IGM) of MEER and MENET‐FP). Furthermore, the program will support capacity building activities of IGF, IGE and DMP/ANRMP through TA or PforR components.
Timeliness and quality of external audit report may be affected by the SAI limited number of staff and capacity constraints.
Recruit an external auditing firm to audit the Program annual accounts under the responsibility of the SAI. The capacity of the SAI will be reassessed at midterm, and if satisfactory, the SAI will conduct the external audit of the Program financial statements.
Prepare and submit on a biannual basis a detailed report on the training and capacity‐building activities conducted by the auditing firm supporting the SAI in the audits of the annual financial statements of the Program.
Delays in procurement processes and cash flow management may lead to arrears that could affect the Program budget execution and the timely achievement of DLIs.
Create and/or strengthen the capacity of the procurement unit in all implementing entities of the Program.
Increase the prior review threshold of AGEROUTE for works from XOF 100 million to XOF 1 billion.
Initial advance up to 15% of the total amount of the PforR allocation as well as 10% representing the prior resultats achieved at effectiveness.
Application of sanctions including suspension of contractors and cancellation of contracts mainly in the
Publish in national gazettes/newspaper in addition to their respective websites, the decisions of ANRMP as well as the internal audit reports conducted by the IGF/IGE.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 34 of 101
Risk Proposed Action in the PAP infrastructures sector remains a challenge.
The program will build the capacity of ANRMP and supports the operationalization of the new procurement code with a focus on the effective application of sanctions.
Develop and implement grievance redress mechanisms for the main activities supported by the Program.
105. Based on the expenditure program, no contracts that exceed the PforR policy exclusion limits have been identified.
106. A detailed report on procurement and FM arrangements and GAC is given in annex 4 of the PAD.
F. Citizen Engagement
107. The proposed operation includes an intermediate results indicator which aims to capture citizen satisfaction with access to financial services in services supported through the operation. In financial services, an annual user survey is proposed to capture the level of satisfaction with the use of consumer financial tools and services. These tools include the financial services comparator and the hotline, which are supported under the IPF component, as well as the quality of the financial education provided. This information will serve as the basis of assessing progress toward the intermediate results indicator.
108. The operation will seek to close the feedback loop by taking action based on the survey results. The results of the annual user surveys will be published online, and the Observatory will hold focus group discussions with key user groups based on the results of the annual surveys. These discussions aim to improve overall customer satisfication, using the feedback received to strengthen the range of products and services provided. The survey will be conducted on a regular basis to allow for a continuous feedback loop.
G. World Bank Grievance Redress
109. Communities and individuals who believe that they are adversely affected by a World Bank (WB) supported project may submit complaints to existing project‐level grievance redress mechanisms or the WB’s Grievance Redress Service (GRS). The GRS ensures that complaints received are promptly reviewed in order to address project‐related concerns. Project affected communities and individuals may submit their complaint to the WB’s independent Inspection Panel which determines whether harm occurred, or could occur, as a result of WB non‐compliance with its policies and procedures. Complaints may be submitted at any time after concerns have been brought directly to the World Bank's attention, and Bank Management has been given an opportunity to respond. For information on how to submit complaints to the World Bank’s corporate Grievance Redress Service (GRS), please visit http://www.worldbank.org/en/projects‐operations/products‐and‐services/grievance‐redress‐service. For information on how to submit complaints to the World Bank Inspection Panel, please visit www.inspectionpanel.org.
.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 35 of 101
Results Framework COUNTRY: Cote d'Ivoire
Enhancing Government Effectiveness for Improved Public Services Program Development Objective(s)
The PforR development objective is to strengthen government capacity in program‐based budgeting and procurement, delivery of selected education services, management of roads contracts, and facilitating access to financial services.
Program Development Objective Indicators by Objectives/Outcomes
RESULT_FRAME_TBL_PDO
Indicator Name DLI Baseline Intermediate Targets End Target
1 2 3 4
Performance Based Budgeting
Production of annual performance reports for all ministries publicly accessible within 6 months after the end of the fiscal year (Number)
0.00 5.00 10.00 20.00 30.00 40.00
Modernization of public procurement systems
Reduction in the average time to complete the procurement process through contract award stage (Days)
198.00 169.00 150.00 140.00 120.00 100.00
Improved Management of General Education Resources and Services
ANNEX 1. RESULTS FRAMEWORK MATRIX
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 36 of 101
RESULT_FRAME_TBL_PDO
Indicator Name DLI Baseline Intermediate Targets End Target
1 2 3 4
Reduction in the time required to confirm student attendance in private schools (Days)
60.00 60.00 50.00 40.00 30.00 30.00
Primary students in CP1 and CP2 that receive the required reading and mathematics textbooks at the beginning of the school year (Percentage)
DLI 4 61.00 61.00 70.00 80.00 90.00 90.00
Improved management of the road network
Reduction in roads contracts that are implemented with time and/or cost overruns (Percentage)
100.00 100.00 80.00 60.00 40.00 20.00
Increased Access to Financial Services
Increase in digitization of selected government to person (G2P) and person to government (P2G) payment streams (Percentage)
DLI 6 0.00 0.00 10.00 20.00 30.00 30.00
.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 37 of 101
. Intermediate Results Indicator by Results Areas
RESULT_FRAME_TBL_IO
Indicator Name DLI Baseline Intermediate Targets End Target
1 2 3 4 Improved Management of the Road Network
Roads contracts monitored through on‐line performance monitoring tool for works contracts, and publication of data including classification of all service providers (Percentage)
DLI 5 0.00 25.00 50.00 75.00 100.00 100.00
Non‐performaning contractors provided capacity building to improve (Percentage)
0.00 0.00 25.00 50.00 70.00 70.00
Signature of Framework Contracts for Emergency Road Infrastructure (Yes/No)
No Yes Yes Yes Yes Yes
Improved Management of General Education Resources and Services
Students in secondary school in subsidized private placements who are registered online by their parents (Percentage)
0.00 40.00 50.00 60.00 70.00 70.00
Students assigned places in private secondary schools who are effectively placed and electronically monitored (Percentage)
DLI 3 0.00 0.00 40.00 50.00 70.00 100.00
Signature of Multi‐annual contracts validated for school kits and textbooks (Yes/No)
No Yes Yes Yes Yes Yes
Strengthened Performance‐based budgeting and procurement
Adoption of a new No No Yes Yes Yes Yes
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 38 of 101
RESULT_FRAME_TBL_IO
Indicator Name DLI Baseline Intermediate Targets End Target
1 2 3 4 procurement code incorporating provisions for the use of an electronic system of procurement and multi‐year and framework contracts (Yes/No)
Production of monthly performance report of the procurement system (Number)
0.00 0.00 12.00 12.00 12.00 48.00
Cummulative deployment of the recipient's e‐procurement system to all ministries for electronic review of bidding documents and award of public procurement contracts (Percentage)
DLI 2 0.00 0.00 25.00 50.00 75.00 100.00
Annual Finance Law executed through execution module of Budgetary Information System (SIB) and quarterly budget execution reports generated. (Yes/No)
DLI 1 No Yes Yes Yes Yes Yes
Increased Access to Financial Services
Digitization and integration of Records of RCCM with Commercial Court/Tribunals (Percentage)
0.00 25.00 50.00 75.00 100.00 100.00
Monthly users of the online comparator tool for consumers to evaluate financial services (Observatory) (Number)
0.00 0.00 1,000.00 5,000.00 8,000.00 10,000.00
Consumers provided access to 0.00 150.00 300.00 500.00 700.00 1,000.00
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 39 of 101
RESULT_FRAME_TBL_IO
Indicator Name DLI Baseline Intermediate Targets End Target
1 2 3 4 online financial education materials and training (Number)
Users of Financial Observatory services reporting satisfaction with the available financial tools, information, and services (Percentage)
0.00 0.00 20.00 40.00 60.00 70.00
.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 40 of 101
. Monitoring & Evaluation Plan: PDO Indicators
Indicator Name Definition/Description Frequency Datasource Methodology for Data Collection
Responsibility for Data Collection
Production of annual performance reports for all ministries publicly accessible within 6 months after the end of the fiscal year
Production of annual performance reports for target sectors publicly accessible within 6 months after the end of the fiscal year
Annual
Ministry of Budget and Ministry of Economy and Finance
Reports generated by the budgetary information system
Ministry of Budget and MEF
Reduction in the average time to complete the procurement process through contract award stage
Reduction of 20 percent of the average time to complete the procurement process and clearances compared to the baseline average of 198 days.
semi‐annually
ANRMP and DMP
SIGMAP
ANRMP and DMP
Reduction in the time required to confirm student attendance in private schools
Reduction in the time required to confirm student attendance in private schools and pay per student subsidies. This requires at minimum of quarterly monitoring through the electronic monitoring system which will serve as the basis for verification of student attendance.
Quarterly monitoring
MENET‐TP; independent verification agent
Electronic student monitoring system.
MENET‐FP
Primary students in CP1 and CP2 that receive the required reading and mathematics textbooks at the beginning of the school year
Percentage of primary students in classes CP1 and CP2 that receive the required reading and
Annual
MENET‐FP (Directorate of Planning and Strategy)
randomly conducted sample audits of textbook availability by IVA.
MENET‐FP and Independent Verification Agent
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 41 of 101
mathematics texts at the beginning of the school year (within the first 30 days).
Reduction in roads contracts that are implemented with time and/or cost overruns
Reduction in the percentage of roads contracts that are implemented over‐time and over‐budget. This will include the reduction of variation orders which will change the original budget and costs, that do not relate to cases of force majeure.
semi‐annually
AGEROUTE, Ministry of Economic Infrastructure, and IVA
Review of contract implementation using the on‐line performance monitoring too and other relevant management information systems of AGEROUTE.
AGEROUTE, MEER
Increase in digitization of selected government to person (G2P) and person to government (P2G) payment streams
Increased percentage digitization of 3 payment streams (i) payment of local taxes, (ii) payment of student bursaries, and (iii) payment of mission fees of civil servants and other state employees.
Annual
MEF/ APIF
Annual Surveys
MEF, Agency for the Promotion of Financial Inclusion (APIF)
.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Indicator Name Definition/Description Frequency Datasource Methodology for Data Collection
Responsibility for Data Collection
Roads contracts monitored through on‐line performance monitoring tool for works contracts, and publication of data including classification of all service providers
Implementation of on‐line performance monitoring tool for works contract, and publication of data including classification of all service providers (100%) based on performance
Semi‐annual
Performance Management tool (on‐line).
System generated reports from the performance management tool, as well as MIS reports
AGEROUTE, MEER
Non‐performaning contractors provided capacity building to improve
Percentage of contractors who score below the line based on the performance management tool and are classified as non‐performing who are provided with capacity building to raise awareness on performance standards and requirements.
Semi‐Annual
AGEROUTE
Semi‐annually
AGEROUTE
Signature of Framework Contracts for Emergency Road Infrastructure
Implementation of Framework Contracts for Emergency Road Infrastructure
Annual
AGEROUTE
Annual Reports
AGEROUTE, MEER
Students in secondary school in subsidized private placements who are registered online by their parents
Percentage of students assigned places in private schools whose parents register them in private schools using the online system.
Annually
Regular monitoring reports on electronic monitoring system for
MENET‐TP system data
MENET‐TP
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 43 of 101
secondary school students produced by MENET‐TP
Students assigned places in private secondary schools who are effectively placed and electronically monitored
Percentage of students assigned publicly subsidized places in private secondary schools who are effectively placed and electronically monitored at least once every 3 months.
Quarterly
MENET‐FP
System reports from the electronic monitoring system/database
MENET‐FP
Signature of Multi‐annual contracts validated for school kits and textbooks
Signature of Multi‐annual contracts for supply of school kits and textbooks
Annual
MENET‐FP
Annual implementation and implementation reports of MENET‐FP
MENET‐FP
Adoption of a new procurement code incorporating provisions for the use of an electronic system of procurement and multi‐year and framework contracts
Implement of new procurement code that modernizes available procurement tools, including incorporating provisions for the use of an electronic system of procurement and multi‐year contracts and framework agreements.
n/a
DMP and ANRMP
Production of monthly performance report of the procurement system
Production of performance monthly report of the procurement system; 12 reports per calendar year
Monthly
SIGMAP
SIGMAP
DMP and ANRMP
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 44 of 101
Cummulative deployment of the recipient's e‐procurement system to all ministries for electronic review of bidding documents and award of public procurement contracts
Cummulative deployment of the recipient's e‐procurement system to all ministries for electronic review of bidding documents and award of public procurement contracts. Currently 40 central government ministries.
Annual
DMP, ANRMP
Monthly and annual performance reports and audit of system by IVA
DMP, State Secretariat of Budget (SEB)
Annual Finance Law executed through execution module of Budgetary Information System (SIB) and quarterly budget execution reports generated.
Annual Finance Law is executed through the execution module of the Budgetary Information System (SIB) and quarterly budget reports generated for budget years 2020‐2023
Quarterly and annually
Budgetary Information System of the State Secretariat of Budget (SEB)
SIB, audit of SIB by IVA
SEB
Digitization and integration of Records of RCCM with Commercial Court/Tribunals
The RCCM archive/records and the court cases are digitized and integrated with the Tribunal of Commerce (Abidjan) including the records from the tribunaux d’instances de Youpougon and Plateau and available online. Percentage of 302,000 files to be digitized as of December 2018.
Annual
Semi‐Annual Reports from Semi‐Annual Reports from the Commercial Court of Abidjan (TCA) as well as the Tribunals of Youpougon and Plateau.
Semi‐Annual Reports from the Commercial Court of Abidjan (TCA) as well as the Tribunals of Youpougon and Plateau.
Ministry of Justice, TCA
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 45 of 101
Monthly users of the online comparator tool for consumers to evaluate financial services (Observatory)
Number of monthly users of the online comparator tool for consumers to evaluate financial services that is implemented as part of the Financial Services Observatory
Monthly
APIF, MEF, Observatory
Semi‐annual reports from Observatory and APIF
APIF and Financial Services Observatory
Consumers provided access to online financial education materials and training
Number of consumers provided access to online financial education materials and training annually
Annual
APIF and Financial Services Observatory
Provision of operational reports from the Financial Services Observatory and financial inclusion reports of APIF
APIF and Financial Services Observatory
Users of Financial Observatory services reporting satisfaction with the available financial tools, information, and services
Share of users of Financial Observatory services reporting satisfaction with the available financial tools, information, and services. This includes the satisfaction with the consumer service, financial comparators, and financial education services.
Annual
APIF and Financial Observatory
Annual survey of users
Financial Observatory and APIF
.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 46 of 101
.
. .
Disbursement Linked Indicators Matrix
DLI_TBL_MATRIX
DLI 1 Annual Finance Law executed through execution module of Budgetary Information System (SIB) and quarterly budget execution reports generated.
Type of DLI Scalability Unit of Measure Total Allocated Amount (USD) As % of Total Financing Amount
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 47 of 101
DLI_TBL_MATRIX
DLI 2 Cummulative deployment of the recipient's e‐procurement system to all ministries for electronic review of bidding documents and award of public procurement contracts
Type of DLI Scalability Unit of Measure Total Allocated Amount (USD) As % of Total Financing Amount
Intermediate Outcome Yes Percentage 12.00 0.00
Period Value Allocated Amount (USD) Formula
Baseline 0.00
Prior Results 0.00
CY2019 0.00 0.00
CY2020 25.00 3.00
CY2021 50.00 3.00
CY2022 75.00 3.00
CY2023 100.00 3.00
DLI_TBL_MATRIX
DLI 3 Students assigned places in private secondary schools who are effectively placed and electronically monitored
Type of DLI Scalability Unit of Measure Total Allocated Amount (USD) As % of Total Financing Amount
Intermediate Outcome Yes Percentage 9.00 0.00
Period Value Allocated Amount (USD) Formula
Baseline 0.00
Prior Results 0.00 0.00
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 48 of 101
CY2019 0.00 0.00
CY2020 40.00 3.00
CY2021 50.00 0.00
CY2022 70.00 3.00
CY2023 100.00 3.00
DLI_TBL_MATRIX
DLI 4 Primary students in CP1 and CP2 that receive the required reading and mathematics textbooks at the beginning of the school year
Type of DLI Scalability Unit of Measure Total Allocated Amount (USD) As % of Total Financing Amount
Outcome Yes Percentage 9.00 0.00
Period Value Allocated Amount (USD) Formula
Baseline 61.00
Prior Results 0.00 0.00
CY2019 61.00 0.00
CY2020 70.00 3.00
CY2021 80.00 3.00
CY2022 90.00 3.00
CY2023 90.00 0.00
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
DLI_TBL_MATRIX
DLI 5 Operationalization of an on‐line performance monitoring tool to track implementation of roadcost and delays); with classification of contractors based on performance
Type of DLI Scalability Unit of Measure Total Allocated Amount (USD) As % of T
Intermediate Outcome Yes Percentage 18.00 0.00
Period Value Allocated Amount (USD) Formula
Baseline 0.00
Prior Results 0.00 0.00
CY2019 0.00 0.00
CY2020 100.00 6.00
CY2021 100.00 6.00
CY2022 100.00 6.00
CY2023 100.00 0.00
DLI_TBL_MATRIX
DLI 6 Increase in digitization of selected government to person (G2P) and person to government (P2
Type of DLI Scalability Unit of Measure Total Allocated Amount (USD) As % of T
Outcome Yes Percentage 17.00 0.00
Period Value Allocated Amount (USD) Formula
Baseline 0.00
Prior Results 0.00 0.00
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 50 of 101
CY2019 0.00 0.00
CY2020 10.00 6.00
CY2021 20.00 6.00
CY2022 30.00 5.00
CY2023 30.00 0.00
.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
2020‐2023 Finance Law is executed through the execution module of the Budgetary Information System (SIB) and quarterly
budget reports generated. This DLI includes the following prior result (US$ 10 million): Production and adoption of multi‐
year programming documents of the ministries for the period 2019‐2021; specifically, "multi‐year programming
expenditure documents (DPPD) of all line ministries are produced and annexed to the 2019 Finance Law."
DLI_TBL_VERIFICATION
DLI 2 Cummulative deployment of the recipient's e‐procurement system to all ministries for electronic review of bidding documents and award of public procurement contracts
Description Cummulative deployment of the recipient's e‐procurement system to all ministries for electronic review of bidding
documents and award of public procurement contracts. Currently 40 central government ministries.
Procedure sample audits of school level textbook availability by IVA.
DLI_TBL_VERIFICATION
DLI 5 Operationalization of an on‐line performance monitoring tool to track implementation of roads works contracts (quality, cost and delays); with classification of contractors based on performance
Description
Implementation of an on‐line performance monitoring and contract management tool to track implementation of roads
works contracts (contracts awarded, awardees, progress on implementation of rehabilitation works, and performance
(quality, cost and delay); with classification of contractors based on their performance. Scale Formula: Percentage of roads
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 53 of 101
works contracts are monitored using the on‐line performance monitoring tool and published online: US$6 million for 100%
implementation of tool for all contracts above US$20 million. • US$6 million for 100% implementation for all contracts
valued US$2‐20 million. • US$6 million for 100% implementation for all contracts bel ow US$2 million. US$2 for each result
Procedure IVA will audit the digitization of these three payment streams to assess percentage increase over the baseline. Baseline for
student bursaries is 20% and 0 % for local taxes and mission fees of civil servants and state employees. .
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 54 of 101
ANNEX 3. (SUMMARY) TECHNICAL ASSESSMENT
COUNTRY : Côte d'Ivoire Enhancing Government Effectiveness for Improved Public Services
1. The quality and accessibility of core services in Côte d’Ivoire and corresponding outcomes are underperforming. Education completion rates are low, at 77.7 percent and 54.6 percent for primary and secondary education, respectively. This compares unfavorably to 72.6 percent and 48.6 percent, respectively, for Africa (2015). The low level of completion is a combined result of inadequate access to education and low retention. In 2017, only 15 percent of adults had an account in the formal financial sector excluding mobile accounts, with insufficiency in government usage of transactions accounts which improve transparency and efficiency in managing public finances, an underdeveloped credit infrastructure, and responsible finance practices and use of financial services. Finally, in transport, the road network quality is poor because of poor planning for maintenance and excessive costs that are attributed to systemic inefficiencies in how new and existing road assets are managed and works contracts implemented. Baseline data from MEER estimate that only 30 percent of the road network is covered by a regular maintenance plan, though the actual percentage is likely to be somewhat lower.
2. Governance challenges contribute to inadequacies in the delivery of services to citizens. Public service (access, quality, and cost‐effectiveness) is affected by bottlenecks in PFM, procurement, transparency, and accountability for results along service delivery chains, as well as the failure to update and modernize critical service delivery systems and channels such as public procurement and payment systems, among other things, leveraging ICT and other new technologies.
Strategic Relevance of the Program
3. The proposed Program is strategically linked to the Government’s PFM Reform Strategy 2018–2020, as well as to the National Financial Inclusion Strategy 2019–2024 and the National Development Plan 2016–2020, which seeks to improve the development of human capital and living conditions of Ivorians while accelerating structural transformation of the economy. The four results areas of the program are also well integrated into the Government’s EGSDP, which this PforR supports: (a) Strengthening Performance‐based Budgeting and Procurement, (b) Improved Management of General Education Resources and Services, (c) Improved Management and Maintenance of the Road Network, and (d) Increased Access to Financial Services.
4. The EGSDP draws from a range of strategies to develop a cross‐cutting program to address service delivery bottlenecks with the three sectors supported through this operation—financial, education, and roads infrastructure as well as health. The performance‐based budgeting and procurement axis will support the operationalization of four of the eight axes of the three‐year rolling PFM Reform Strategy (2018–2020). These four areas are PFM, financial information systems, treasury and internal controls, and public procurement. These cross‐cutting reform challenges are being addressed transversally in the program as well as for specific service delivery sectors, notably general education and roads infrastructure, with clear links to more inclusive financial services through streamlined and automated government payment systems. The financial inclusion axis supports the implementation of the recently validated National Financial Inclusion Strategy (2019–2024). The new strategy has five strategic axes: (a) Improvement of Access to Financial Services for Vulnerable and Excluded Groups, (b) Promotion
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 55 of 101
of Financial Digitization, (c) Consumer Protection and Financial Education, (d) Improving the Regulatory Framework for Financial Supervision, and (e) Strengthening the Fiscal and Policy Framework for Financial Sector Inclusion. The interventions in general education and roads were identified through intensive consultations with the respective counterparts bearing in mind the sector priorities and core service delivery challenges.
Technical Soundness of the Program
5. The Program is assessed as technically sound as it addresses governance dimensions of key cross‐cutting and sector‐specific service delivery constraints that affect the lives of Ivorian citizens. The priorities identified under the four results areas, which are not exhaustive, were jointly identified by the client based on their potential to create change management and forward momentum in service delivery.
Performance‐based Budgeting and Procurement
6. This results area aims to remove major PFM and procurement bottlenecks along the delivery chain of basic services for the citizens. It includes the application of robust and realistic planning procedures, the establishment of effective systems for budget preparation and implementation and strengthening of the management systems within public entities to improve the efficiency and effectiveness in the use of available financial resources, as well as M&E systems to support the management and provide feedback information to improve service delivery to the citizens. There are two main sub‐axes: (a) Performance‐based Budgeting and (b) Modernization of Procurement.
7. Performance‐based budgeting. The general objective of this sub‐axis is to ensure the effective implementation of the results‐based budgetary reform from 2020 onward, particularly in the planning, programming, budgeting, and M&E phases. The legal and institutional framework is already in place with the transposition of the WAEMU guidelines into the national legislation. Two organic laws, the Finance Law and the Transparency Code, and implementing decrees (four) have been passed. As of August 3, 2016, Decree No. 2016‐589 is also in force, providing the institutional monitoring framework for the implementation of the 2016–2020 National Development Plan. The Multiannual Budgetary and Economic Programming Document and the DPPD of the Annual Project Expenditure Performance are produced regularly for purposes of information. The deconcentration and digitization of the national planning, M&E system (SYNAPSE), and the investment project selection process to be included in the PIP have paved the way for capacity strengthening of stakeholders in the planning/programming/budgeting and M&E chains.
8. The major result expected is the production and adoption of multi‐year program budgets, executed through the budgetary information system with regular budget execution and performance reports. This will be concretized through the presentation of the 2020 Draft Finance Law executable according to the format prescribed by the organic law on the LOLF passed by the National Assembly in December 2013.
9. Modernization of public procurement. The objective is to redirect the role of contract awards to performance and delivery of basic services to the citizens. The program is intended to ensure that the function of contract awards is properly integrated into the budgetary implementation process with a greater focus on the attainment of results and the speedy handling of procurement files. The ineffectiveness of the regulatory texts and procurement control entities is often cited as a major source
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 56 of 101
of delays in awarding contracts and of bottlenecks in budgetary execution. Procedures have not yet been adapted to the new economic environment of the emerging Côte d’Ivoire.
10. Weak governance and transparency in the application of procedures is cited as a primary cause of inefficiency in the system, including the unnecessary use of exceptions as a default in the implementation of procurement procedures. Indeed, the 2015 audit of procurements by the ANRMP showed that 62 percent of a sample of 195 contracts awarded over the period were irregular. Then, out of the 62 percent, 45 percent should have resulted in the annulment of the contracts, if the case had been disputed and brought before the ANRMP. Only 30 percent of the sample reviewed were awarded according to the required standards. The audit further reveals that most of the state enterprises did not comply with the contract procedures with many of them attaining the 100 percent mark for irregularities. The program supports the regulatory authorities and contracting authorities to introduce modern procurement tools such as standardized contracts and e‐procurement, to strengthen the transparency and efficiency of the system and minimize delays that ultimately affect service delivery.
11. Expected results are the following: (a) appropriate procurement planning linked with budget processes to design procurement packages based on real needs from these contracting authorities, (b) the development and dissemination of techniques and procedures for the use of new procurement tools under framework agreements and multiyear contracts, and (c) the setup of a system enabling electronic transactions between the contracting authorities and the procurement control body and regulatory body. The electronic system will be linked to monitoring and performance measurement systems, which will enable the regulatory bodies to manage both compliance and performance and enable them to identify and implement improvements to the overall procurement system.
Financial Inclusion
12. This results area aims to bring the unbanked into the formal financial sector by promoting the use of electronic payments, increasing consumer confidence in financial services, and strengthening credit information reporting and commercial justice services. There are three main sub‐axes: (a) Improving the Financial Infrastructure, (b) Digitization of Government Payments, and (c) Establishing a Financial Services Observatory.
13. Financial infrastructure. The objectives of this sub‐axis are to (a) strengthen the RCCM to enhance the e‐TribCom platform which manages the collateral registry and other important services to SMEs and (b) improve the performance of the commercial court system in the provision of commercial justice services through the integrated RCCM system. The ongoing advisory services project on secured transactions and collateral registry will inform the financial infrastructure sub‐axis and provide supervisory capacity to help the relevant agencies deliver on the sub‐axis results. Specifically, the advisory service project will focus on developing the blueprint for the integrated RCCM system. Since the e‐TribCom platform covers other services, the design of a new system must be comprehensive and address the performance gaps across all applications (for example, case management and commercial registry). The program will then support the development and implementation of the solution based on the advisory services project recommendation (secured transactions) and in line with OHADA. In parallel, an advisory service project will focus on improving the legal and regulatory framework for contract enforcement in line with the OHADA and efficacy requirements and on building the capacity of the key stakeholders in providing commercial justice services.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 57 of 101
14. Expected results are the following: (a) the implementation of an integrated RCCM system which includes a link to the case management system, (b) the digitization of all the RCCM‐related archives, and (c) RCCM users being well informed about the RCCM and the services it offers.
15. Digitization of Government Payments. The objective of this sub‐axis is to support the authorities in switching from cash and paper‐based payments to electronic payment mechanisms for government transactions. At present, while the GoCI has already undertaken some digitization efforts, some payment streams (P2G, G2P, and B2G) are still heavily cash based (examples include payments in the public hospitals or payment of salaries by MENET‐FP for employees who are not official civil servants). Of the 240,00 essential public servants in Côte d’Ivoire, only those in major urban centers such as Abidjan and Yamoussoukro receive their salaries through direct deposit to banks. Most others, especially those based in rural areas, need to go to the regional treasury office to withdraw their salaries. Of more than 650,000 eligible pensioners in the country, only 12 percent receive their pensions by deposit/transfers, and for the rest, the procedures to access pensions including reidentification can be cumbersome. Of approximately 475,000 registered taxpayers, including 400,000 property tax payers, procedures for payment of taxes are complex and most tax payments are made by check or cash.
16. The design of the digitization of government payments is informed by the government payments diagnostic supported under the FIRST TF. The program will support the digitization of selected payment streams in general education and roads infrastructure, as well as for taxpayers and SMEs. The DGI has been identified as a potential partner to implement P2G electronic payments in the short term. With committed leadership, the DGI has prepared a strategy to digitalize the payment of taxes and is in the process of introducing a web‐based application for the large contributors to file their returns and pay their taxes.
17. The major result expected is that payments of three streams made by digital means will have increased by 30 percent by the end of the project: (a) payment of local taxes, (b) payment of student bursaries, and (c) payment of travel allowances of civil servants and other state employees.
18. Consumer Protection. The objective of this sub‐axis is to establish an observatory to make financial services transparent, safe, and efficient to use. Rapid innovation in financial services (for example, digital financial services) and delivery channels (for example, through agents) can bring risks to consumers, particularly those with low levels of financial capability who often do not fully understand the products they use or the rules of the relationship with a formal financial service provider. The observatory will promote transparency of financial services and redress mechanisms, to enhance the confidence of these new consumers in the financial system and ensure that consumers understand products and services offered in the market. Support provided through World Bank TFs on financial sector reform (FIRST TF) and financial inclusion support framework (FISF TF) informs the consumer protection sub‐axis and provides supervisory capacity to relevant counterparts to deliver on sub‐axis results.
19. Through World Bank project support, the authorities set up the legal framework for establishing the observatory, which was officially created by National Decree in December 2016. To render the observatory operational, the authorities will receive support through the IPF component and through the PforR component. The IPF component of the project will support investment in IT systems and software for the observatory’s website, call center, tracking of complaints, mediation, and comparator of products and services as well as costs associated for equipping the observatory and a capacity building and training
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 58 of 101
program. In contrast, the program component will support the authorities to (a) publish annual report on financial institutions’ quality of services, (b) form a multistakeholder consultation group to build trust between financial institutions and consumers, and (c) design and roll out national financial education campaigns about quality financial services. The GoCI’s general budget will cover the ongoing staff costs of the observatory. The major result expected is to have a fully operational observatory by the end of the project.
General Education
20. The PforR addresses two of the significant challenges in terms of equity and access to general education, which directly affect students: (a) the availability of textbooks for primary school students; and (b) the effectiveness of the public subsidies provided to private schools to receive students in local secondary schools.
21. Availability of textbooks. For primary school students in the first two years, in classes CP1–CP2, an average of 61 percent receives the required textbooks at the beginning of the school year. Distribution and availability are highly variable across regions, with some having excess supply, though overall average availability is low. In regions affected by serious shortages of textbooks, parents in high‐ to middle‐income households can purchase textbooks privately; however, this option is not usually available to students and parents from poorer households. Hence, the uneven distribution of textbooks and resulting shortages create significant equity and access issues that affect learning outcomes. The PforR will proactively work to improve the availability of the basic reading and mathematics textbooks for primary school children in CP1 and CP2 to about 90 percent.
22. The program will support the conduct of a technical audit through the IPF component as well as the development of a program of actions to implement the key findings and recommendations and achieve near universal coverage of primary school age students with required textbooks. The technical audit will supplement important knowledge gaps in the factors underpinning the uneven distribution and chronic shortages of texts, which range from procurement challenges, inadequacies in budgeting and planning, and other inefficiencies in the production, distribution, and supply chain. The technical audit will serve as the foundation for the reform of primary school textbook provision and is a priority for MENET‐FP.
23. Due to serious capacity constraints in public schools, the GoCI, as a matter of public policy, assigns up to 43 percent of students that have successfully completed primary school to private schools. The GoCI subsidy covers the enrollment fees (tuition) of students assigned, and parents are expected to cover any additional costs. Priority placement in public schools is done based on the test scores that students receive on the primary school examinations. Once the available public places are filled, the remaining students (43 percent) are assigned to private schools.
24. The PforR will help parents select schools that fit their preference and affordability. In addition, the Government has established a performance‐based classification of private schools, to eliminate nonperforming schools in the program, which creates some equity and transparency by allowing the parents to choose well‐performing schools irrespective of household income levels.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 59 of 101
25. Subsidies in private school placements are expensive, accounting for 43 percent of the secondary education budget. It is needed to control the issue of dropouts by being able to monitor actual participation rates and provide remedial actions.
Road Infrastructure
26. The quality of roads infrastructure remains low, tied to major insufficiencies in the management and strategic roads network. This increases the financial and time costs of transportation for citizens and businesses as it is a critical service whose quality and accessibility affect their daily personal and professional lives.
27. Estimates provided by MEER and AGEROUTE indicate that almost 100 percent of works contracts (new and rehabilitation) exceed both the originally contracted time and budget. This trend is observed in externally financed contracts as well as contracts executed entirely with the public budget that are executed by the Government. Analysis of the sector conducted in the context of developing the government program as well as the Program and Results Area 3 indicates that one of the underlying reasons for the low road quality is the weakness in enforcement of the provisions of works contracts and a failure, linked to lack of tools to hold service providers accountability for performance in the execution of works.
28. The Government lacks the systems, tools, and information needed to verify the qualifications and objectively assess the previous performance of contractors. There is no common platform of information that can be used as the basis to classify contractors. Such information would be a helpful input into the work of the Contract Awards Evaluation Committee which is made up of a combination of technical and non‐technical members, drawn from across the relevant structures of government such as MEF and DMP (as stipulated by the procurement code). Therefore, Results Area 3 will support the Government to put in place a mechanism to evaluate performance to improve the planning and contract management of works and maintenance contracts at all stages (procurement and contract management during implementation) for road infrastructure.
29. The operation will support the design and implementation of a performance monitoring tool that will be used to monitor the timeliness and quality of works executed by companies that are awarded public road works contracts and the publication of the results. This tool will also feed into decision making on the award of future works contracts. Aspects to be captured by the performance monitoring tool will include (a) the quality and implementation costs (by accounting for market riders), (b) timelines, and (c) environmental and social performance. This tool will thus make it possible to develop a classification of companies, a necessary element for better governance of the sector and in parallel by evaluating the performance of SMEs to build a program to support the upgrading of these SMEs.
Institutional Arrangements
30. The Program will be implemented by the following entities: the MEF, SEB, MENET‐FP, AGEROUTE, DMP, and TCA. The MEF will play the coordinating role in close collaboration with the lead technical teams of each of the entities responsible for a specific axis or sub‐axis of the Program. For this purpose, a small and specialized Program coordination team will be housed in the MEF to facilitate the implementation of the program. The MEF will also have a dedicated lead technical team responsible for
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 60 of 101
the implementation of the Enhancing Financial Sector Inclusion axis. This team will come from the Financial Sector Development Program (Programme de Développement du Secteur Financier, PDESFI) and TCA, and it will have a similar relationship to the PCU as other technical teams across the Government.
31. A CPS will be established to oversee implementation and ensure coordination across the multiple institutional actors involved in the operation. It will meet periodically to review progress and provide strategic guidance and support with respect to priorities and resources. The CPS will be chaired by the MEF, and membership will be drawn from the senior leadership of the implementing agencies. The STC will provide important strategic complementarity to the day‐to‐day work of the technical teams and coordinating unit. Roles and responsibilities are outlined in the Technical Assessment. The CPS will meet semiannually.
32. A CT will also be created, with responsibility for regular coordination across institutional actors, and will meet monthly to review progress and address cross‐cutting implementation challenges. It will comprise the focal points for the DLIs and results areas nominated by the relevant institutional actors (the MEF, SEB, MENET‐FP, AGEROUTE, DMP, ANRMP, and TCA). The CT will convene quarterly.
33. The ST within the MEF will serve as the Secretariat of the CPS and the CT and will also directly implement the IPF component (see annex 8). Specifically, the ST will facilitate work closely with the CT to ensure that for each sector, the planned activities, outputs, and results and estimated costs elaborated in the Government program are reflected in the national budget on an annual basis. The ST will also be responsible for monitoring the status of the implementation of DLIs and PDO and intermediate results indicators and reporting on these to the CPS and the World Bank. The ST will also mobilize just‐in‐time TA, including any capacity building and training and workshops as may be needed to facilitate implementation of activities that contribute to the achievement of the DLIs. The ST will also support and follow the implementation of the Government’s PAP.
34. Activities under the IPF component related to specific results areas will be implemented by the teams from the institutional actors that comprise the CT as summarized below, with support from the ST:
(a) MENET‐FP will lead the implementation of DLIs 3 and 4 in the general education sector (effectiveness of school subsidies and availability of textbooks) and will also be responsible for the implementation of the technical audit of the textbook implementation and supply chain under the IPF component. The two lead directorates will be the Directorate of Private Schools and the Directorate of Strategic Planning and Statistics.
(b) AGEROUTE will lead the implementation of DLI 5, the roads management tools, and the preparation of the road costs benchmarking study under the IPF component.
(c) The DMP will be responsible for DLI 2 on modernization of public procurement and introduction of e‐procurement to the whole of the Government.
(d) The TCA will be responsible for activities of the implementation of the RCCM.
(e) The Financial Services Observatory will implement operationalization of the required IT systems under the IPF component.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 61 of 101
(f) The APIF will provide overall coordination between PDEFSI of the MEF, the observatory, and the TCA for the financial sector inclusion results area.
(g) The SEB will lead the activities related to DLI 1 and implementation of a fully functional program budget and will be accountable for the implementation of the budget program from 2020 onward.
35. An IVA will be appointed by the Government to validate the achievement of the DLIs. The Government will appoint the IVA within three months of the effectiveness date.
Table 3.1. Budget for the Program of Expenditures by Results Areas
Program of Expenditures (2018–2023) Total (US$, millions)
2018/ 2019
2020 2021 2022 2023 Budget by Results Area
Program Budgeting and Procurement 42.0 — — — — —
Program Budgeting ‐ DGBF 27.0 — — — — —
o Introduction of Program Budgeting (Prior Result)
10.0 10.0 0.0 0.0 0.0 0.0
o Integrated Treasury and Budget Management Information System
Implementation of Contractor Performance Classification
5.0 0.0 2.0 1.0 1.0 1.0
Capacity Building for Works Contractors 10.0 0.0 4.0 2.0 2.0 2.0
Financial Inclusion ‐ MEF 25.0 — — — — —
Digitization of Government Payments 25.0 6.0 7.0 3.0 5.0 4.0
TOTAL 122.0 — — — — —
Assessment of the Program Expenditure Framework
36. Table 3.1 shows the indicative budget for the implementation of the Program over the five‐year period of US$ 122 million. While the overall estimated government program EGDSP is much larger, estimated at US$194 million, the expenditure framework only incorporates the strategic axes/sub‐axes and associated budget lines required to implement the Program.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 62 of 101
37. To ensure that the Program activities can be executed effectively, the annual budget appropriations approved by the National Assembly will need to incorporate the Program expenditures. All program resources need to be reflected in the budget ceiling and annual budget estimates of the MEF for 2019 onward. The MEF will work closely with the SEB to secure the required allocations.
Table 3.2. Budget Codes for Eligible Expenditure Programs
Eligible Expenditure
Programs (EEPs)
Budget Codes Corresponding DLI
Section Title Chapter Subchapter Location
02 02 121 5902 01
DLI 1
10 02 132 5915 01
06 02 312 5909 01
12 02 324 4609 01
12 02 324 5301 01
12 02 318 4502 01
12 03 324 9701 90
30 03 312 9201 01
30 03 312 9204 01
30 03 321 9902 01
30 03 321 9202 01
30 03 332 9203 01
30 03 332 9505 01
30 03 332 9506 01
30 03 336 9502 01
21 02 711 4505 01
30 02 335 2501 01
DLI 2
30 02 335 2602 01
30 02 335 2603 01
30 03 335 9202 01
30 03 335 9802 01
02 02 335 5901 01
22 02 413 4603
DLI 3 22 02 431 1401
22 02 421 4504 DLI 4
21 02 773 5304 01 DLI 5
12 02 329 5901 01 DLI 6
Economic Evaluation of the Program
38. The program is expected to have significant economic benefits for Côte d’Ivoire due to the important improvements in the effectiveness of budgeting and resources allocation, improvements in effectiveness of sector resource allocation, increased value for money, and minimization of the access cost for critical services including finance. However, direct attribution of economic and financial benefits
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 63 of 101
of the cross‐cutting PFM reforms and discrete sector interventions is difficult because outcomes are significantly affected by external factors.
39. The effective implementation of performance‐based budgeting will improve strategic resource allocation, including in priority sectors, and enhance allocative efficiency of the Government budgeting system. The combination of shifting the budgetary approach from inputs to outcomes and the establishment of a new performance evaluation system to properly assess results of public policies and outcomes, through key performance indicators and annual reports, will strengthen the results orientation of the budgetary process and this information will feed into the prioritization of future budgets. By supporting the link of the performance indicators and M&E framework to the PIP, the program will help maximize the alignment of budgeting to the achievement of priority national development objectives. This performance‐based approach to budgeting achieves added importance in the context of the ongoing fiscal consolidation, which is expected to continue to meet the WAEMU fiscal deficit norm of 3 percent of GDP in 2019. It will also be important if Côte d’Ivoire is to sustain this deficit norm beyond 2019 while at the same time continuing to enhance quality and accessibility of services for citizens.
40. The proposed procurement results supported under the program will contribute to enhancing the economy and efficiency with which public investments are executed. Modernization of procurement tools through the introduction of new standard contract types that can be deployed flexibly in priority sectors (framework agreements and multiyear contracts) will help the Government achieve both time and financial savings by streamlining more routine procurement of goods and services. Currently, the average procurement period is 198 days, a difference of 138 days compared to the 60 days envisioned for most public procurement and anticipated by the procurement code. Professionalization of the procurement units in sector ministries, which though operational are underperforming, and the introduction of e‐procurement for the submission and review of bids are expected to significantly speed up the procurement process, by reducing the error rate in procurement documentation and review delays and facilitate tracking of procurement dossiers throughout the review process and the production of a performance monthly report of the procurement system. This will help reduce the average time and improve cost‐effectiveness of procured items while also improving transparency and accountability of the procurement process.
41. The proposed sector‐specific interventions in the general education sector will significantly improve the effectiveness of resource allocation to critical interventions in the sector. In primary education, only 61 percent of students in classes CP1 and CP2 receive the required free textbooks for reading and mathematics at the beginning of the school year. Distribution across regions is highly unequal; while there is an overall shortage of supply, some regions receive a surplus. Understanding the source of scarcity and inefficiency will help the sector put in place the appropriate budgeting, procurement, and delivery systems and thereby achieve increased textbook availability, which is an important input for learning.
42. In the secondary school subsector, due to serious capacity constraints in public schools, the Government assigns 43 percent of students that have successfully completed primary school to private schools through subsidized placements. However, there are important questions around the effectiveness of these subsidies. The program will support the Government to put in the required monitoring systems to track students and thereby be better able to assess the quality of targeting, student participation rates, and the overall effectiveness of the allocation of subsidies. Given the share of the
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 64 of 101
budget that is allocated to subsidized private places, improving the effectiveness of the subsidies is expected to have high financial payoff for the sector.
43. This project will address performance issues that have led to major inefficiencies in the management of the strategic roads network. These inefficiencies increase the financial and time costs of transportation for citizens. Importantly, it significantly increases the unit costs of road provision to the budget, which are linked to poor performing contractors and major cost and time overruns in the execution of road works. Improving the transparency of contract management in the sector and strengthening the performance management will help reduce nonperformance and corruption in the sector and lead to enhanced value for money and savings in the sector, which accounts for about 10 percent of the budget and 6.6 percent of GDP.
44. The digitization of payments under the access to finance results area is expected to simplify and streamline payments including property taxes due to the use of electronic/online systems for the payment of property taxes and other taxes. For about 475,000 registered taxpayers, including 400,000 property tax payers, payment procedures are complex, and most tax payments are made by check or cash. This reform is expected to increase domestic revenue mobilization by facilitating ease of payments and thereby increasing tax compliance.
45. Digitization of salaries and pensions and other payments to citizens is also expected to enhance the efficiency of payment systems and ultimately reduce transactions costs for citizens and the Government. Of 240,000 public servants in Côte d’Ivoire, only those in major urban centers, such as Abidjan and Yamoussoukro, receive their salaries through direct deposit to banks. Also, of more than 650,000 eligible pensioners in the country, only 12 percent receive their pensions by deposit/transfers, and for the rest, the procedures are cumbersome. Digitization of the main payment streams, G2P and P2G, is needed to strengthen the sector. The PforR will support the digitization of three payment streams: (a) payment of local taxes, (b) payment of student bursaries, and (c) payment of travel allowances of civil servants and other state employees.
46. Persistent weaknesses in the credit infrastructure continue to limit MSME lending and create delays in the implementation of the insolvency framework. According to fiscal authorities, Côte D'Ivoire has around 60,000 SMEs (defined as having fewer than 200 employees and revenue under CFAF 1 billion), which does not include the informal sector where as many as 90 percent of Ivorians work. The SME contribution to GDP is estimated at 12 percent, and improved access to finance is a critical constraint to the growth of MSMEs in both urban and rural areas and can have immediate benefits for poverty reduction by helping absorb the growing unemployed and underemployed labor force. The Global Competitiveness Index of 2015–2016 highlights access to finance as the single most significant obstacle for doing business in Côte d’Ivoire.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 65 of 101
ANNEX 4. SUMMARY FIDUCIARY SYSTEMS ASSESSMENT
COUNTRY : Côte d’Ivoire Enhancing Government Effectiveness for Improved Public Services
Objective and Scope of the IFSA
1. As part of the Program preparation, the IFSA of the Program was carried out, consistent with World Bank Policy and Bank Directive: ‘Program‐for‐Results Financing’ and in accordance with the World Bank Guidance Notes for ‘Program‐for‐Results Financing’.
2. The objective of the assessment was to examine whether the Program systems provide
reasonable assurance that the financing proceeds will be used for their intended purposes, with due
attention to the principles of value for money, economy, integrity, fit for purpose, efficiency,
effectiveness, transparency, fairness, and accountability. The IFSA mainly covered the following ministries
and entities: (a) the MEF, MENET‐FP, MEER through the AGEROUTE, the DMP, and the Ministry of Justice
(MOJ) through the TCA.
3. The IFSA conducted a methodical review of systems and practices at the national and district
levels, involving the review of several analytical works mainly (a) the PEFA 2017 Assessment, (b) Public
Investment Management Assessment (2016), and (c) ANRMP, SAIIGE and annual reports. The team also
reviewed the lessons learned in implementation of World Bank‐financed operations in the concerned
sectors. Several consultations of the IFSA had been conducted. A dedicated IFSA mission was conducted
in September / October 2018 and February 2019 to conduct interviews with key stakeholders. The findings
of the mission were presented to stakeholders in December 2018 and February 2019.
Main conclusions of the IFSA
4. The Integrated Fiduciary Systems Assessment (IFSA) concluded that the Program’s fiduciary
systems meet OP/BP 9.00 requirements and provide reasonable assurance that financing proceeds will
be used for intended purposes with the objective of supporting the achievement of Program objectives.
5. Cote d’Ivoire PFM and procurement country systems are acceptable to the Bank and meets the
requirements for the implementation of a PforR. Cote d’Ivoire PFM counts in particular with strong legal
and institutional framework; effective PFM planning and budget system; and strong internal control
system with clear and relevant segregations of duties at each step of the budget execution. Budget
execution and internal control systems are computerized and inter‐linked with procurement and treasury
systems. There is an adequate legal and institutional framework for fraud and anti‐corruption in line with
international standards. Cote d’Ivoire also adopted West Africa Economic and Monetary Union (WAEMU)
PFM and procurement directives, whose implementation is on‐going.13
6. There are however opportunities to strengthen internal and external audit, procurement, and
anti‐corruption mechanisms. The internal audit functions need to adopt international standard, and
increase number of staff and capacity, and a reform is on‐going for this purpose. While the Court of
13 2017 Public Expenditure and Financial Accountability (PEFA) Assessment for Cote d’Ivoire.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 66 of 101
Accounts (SAI) created in 2014 is operational, it is affected by human and financial resources challenges
to comply with SAI international standards and the ability to conduct performance. Procurement
timeliness could be improved by streamlining processes, and enforcement of sanctions could be
enhanced, particularly in the infrastructures sector where it remains challenging. Finally, the level of
enforcement of anticorruption mechanisms could be enhanced.
7. PforR Program implementing PforR Program implementing agencies have acceptable fiduciary
capacity and FM & Procurement procedures and systems, and qualified staff. The fiduciary team of the
ST as well as AGEROUTE are very familiar with the country and Bank FM and Procurement procedures.
The fiduciary teams of the participating line ministries (e.g. MENET‐FP, MEF, MOJ and SE in charge of
budget) execute their respective budgets through country systems with qualified and experienced staff.
The PAP (table 4.2 of this annex) includes measures to address identified capacity gap.
8. Based on the fiduciary assessment, the overall fiduciary risk of the Program is Substantial but
several fiduciary mitigation measures have been embedded in the design of the Program to ensure its
adequate and timely execution and achieve expected results, improve transparency in the allocation
and predictability of resources, and strengthen accountability and external oversight.
9. The Program fiduciary risk is assessed Substantial and fiduciary mitigation measures have been
embedded to ensure adequate and timely budget planning and execution, effective accountability and
transparency mechanisms, and achievement of expected results. The PAP includes specific, time‐bound
actions to mitigate the main risks. In particular, commitments and liquidations of the Program
expenditures (issuance of Payment Orders) will all be made by the DAF of the MEF supported by focal
points and the ST Coordinator and FM Officer; a dedicated public accountant ‘agent comptable’ and a
dedicated financial controller will be assigned to the ST of the Program to ensure timely payments. The
Program will be implemented from planning to payment and internal control through country budget
execution and the external audit will be conducted by a private firm. The IPF component will support
improvement of PFM and Procurement, and the Program will support strengthening of country internal
and external audit institutions.
10. Bi‐annual joint internal audit missions will be conducted by IGF/IGE and DMP. They will be
supported by the the IGM of ministries covered by the program; capacity building activities for the
institutions of controls and DMP will be funded through the TA and PforR components.
11. An external audit firm will be contracted to conduct the audit of the Program annual financial
statements.
12. Upon effectiveness of the PforR operation, a Government‐managed DA (DA‐A) will be opened
in the West Africa Central Bank (Banque Centrale des Etats de l’Afrique de l’Ouest, BCEAO) for the PforR
components. Funds will flow from IDA into the DA‐A and from there into the Treasury Bank Account
(Banque du Trésor) for the PforR components. The account will be managed by a dedicated ‘Agent
Comptable’ of the Directorate General of the Treasury and Public Accounting (Direction Générale du
Trésor et de la Comptabilité Publique, DGTCP).
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 67 of 101
13. An initial advance of up 15 percent of the PforR amount will be made available by the World
Bank to the Borrower. The program also provides a disbursement of up to US$10 million for achievement
of prior results linked to DLI 1.
14. Under the PforR component, the Government, through its budget execution procedures, will
transfer its contribution to the Program through the Treasury Bank Account managed by the DGTCP.
The Government will transfer its annual contribution to the Treasury Bank Account twice a year based on
the approved annual plan and budget and the payment estimates for the next six months.
15. Disbursement arrangements for Program activities envisaged under the IPF component will
follow IPF procedures. For IPF‐financed activities, the transaction‐based disbursement method will apply.
A DA‐B will be opened at BCEAO and a Transaction Account opened in a commercial bank is managed by
the Project Coordination Unit (PCU) through the public accountant “Agent comptable du projet”. The
allocation of the DA‐B will cover approximately six months of the cash flow forecast.
Program Design: Institutional and Implementation Arrangements
16. The Program will finance approximately 70 percent of the GoCI’s supported program
expenditures (US$122 million) for the Economic Governance for Basic Service Delivery to Citizens 2018–
2023 (Programme de Gouvernance Economique pour la Délivrance des Services de Base aux Citoyens
2018–2023).14 The mobilization of government financing represents a major challenge for the
implementation of the Program. The total amount needed to finance the entire government program
(including areas not supported by the PforR) during 2018–2023 is estimated at US$194 million, while the
parts of the government program related to the PforR amount to US$122 million. The World Bank plans
to reimburse to the Government a total amount of US$85 million, approximately 70 percent of the US$122
million, once the DLIs are achieved. This amount represents the World Bank contribution to the overall
costs of the Government Economic Governance for Basic Service Delivery to Citizen 2018–2023 Program.
The gap of US$37 million (30 percent of total program costs supported by the PforR) will be financed by
the Government, and the additional resources (US$72 million) needed to finance the entire US$194
million will be supported by the government, other Bank operations, and other donors.
Table 4.1. Summary of the Program Expenditure Framework (US$ million)
Financing Source FY18/19 FY20 FY21 FY22 FY23 FY24 TOTAL
Government 5 8 7 5 7 5 37
IDA 10 14.06 16.29 16.17 17.04 11.45 85
Total 15 22.06 23.29 21.17 24.04 16.45 122
17. The Program will finance specific activities to strengthen systems to support delivery of the
program objectives and related results. An ST within the MEF will be responsible for the day‐to‐day
management of the program activities, facilitating coordination across implementing ministries and
agencies, monitoring results, and generating performance and financial reports on Program
implementation. The ST, as the designated coordinator for the PforR, will be the lead agency for the
14 The EGSDP covers the period and expenditures 2018‐2023 and was formally adopted by Inter‐ministerial Order No. 050/MEF/SEPMBPE dated February 18, 2019.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 68 of 101
Program and act as the interlocutor with the World Bank on behalf of the GoCI. It will ensure that the
Program is implemented according to the POM. The ST will be staffed by at least a coordinator, an M&E
specialist, a procurement specialist, an FM Manager, a public accountant (agent comptable), and a
financial controller. They will support the implementation of the PforR in relation to the implementing
agencies. The ST will be responsible for providing relevant information for the independent verification of
the results to the IVA. The ST will oversee the implementation of activities related to the IPF component
of the operation including FM and procurement aspects.
18. The implementation arrangements for the Program are embedded within the existing structure
of the MENET‐FP, MEF, MEER, MOJ, MB, and ANRMP. The Program will have the following implementing
agencies: within the MEF (DGTCP, SNDII, and IGF); IGE; SAI; MENET‐FP, MEER (AGEROUTE), MOJ (TCA),
SEB (DGBF, Directorate of financial control (DCF), and DMP), and ANRMP.
Review of the PFM Cycle including Procurement
Legal and Institutional PFM and Procurement Framework
19. PFM and Procurement legal and institutional framework is acceptable for the PforR. This
framework is in line with international standards, and Côte d’Ivoire has adopted WAEMU PFM and
Procurement directives, whose implementation is an on‐going challenge. A new procurement code is
about to be adopted by the government. Country PFM and Procurement legal framework will be applied
for the PforR Program budget planning, execution, reporting, and internal control. The legal framework
for external audit will also be complied with.
Planning and Budgeting
Adequacy and Credibility of Budgets
20. The Organic Budget Law introduced the performance‐based budget, which uses statements of
missions, goals, and objectives to explain how the money is spent. The Organic PFM law no 2014‐336
dated June 5, 2014, requires the preparation of DPPD. All the ministries are committed to comply with
this requirement. However, for the 2018 budget, only 5 ministries (for example, MENET‐FP and MEER)
out of 37 ministries, but representing about 54.8 percent of the 2018 budget, transmitted their DPPD to
the Parliament for information. It is expected by 2020 that all the ministries involved in the operation will
submit their DPPD with the draft finance law (Projet de Loi des Finances) for approval to the Parliament.
21. The overall costs of the supported Program including the portion financed by the World Bank
are expected to be integrated into the DPPD and the PIP. The annual budgets are prepared based on the
PIP. Planning and budgeting related to this Program will follow the national procedures. Based on budget
instructions/circulars, the teams of the various implementing entities under the responsibility of the DAF
of each participating ministry will prepare the budget of the Program considering the limits of allocations
set by the Government and the Program. The consolidated budget of the Program will be integrated in
the budget of the MEF. The total amount allocated to the Program during FY2019 according to the
operation document should be reflected in the revised 2019 Finances Law.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 69 of 101
Procurement Planning
22. Decree No. 325 / MPMP / DGBF / DMP / of May 23, 2014, on the composition and functioning
of public procurement units specifies that the latter are responsible for drawing up Public Procurement
Plans and communicate them to the Public Procurement Directorate. This is done annually in
cooperation with the Administrative and Financial Departments and Directorates for Studies, Planning
and Budget Management. It begins in November of the year N‐1, 15 days after budget approval. The
general Procurement Plan and the consolidated annual Procurement Plan for each ministerial department
are published in the public procurement portal no later than January of the budget year.
23. For 2017 and 2018, the MENET‐FP submitted Procurement Plans that included seven and four
new contracts, respectively, to be processed through regular procedures. Of the seven of 2017, only one
was related to the acquisition and delivery of school kits, and for 2018, of the four, two were related to
school kits and one to textbooks.
24. AGEROUTE prepares each year a road maintenance program that it submits to the FER.
AGEROUTE’s maintenance program covers almost the entire Ivorian territory. In addition to AGEROUTE,
regional councils, town halls, and some agricultural sectors also develop their own road maintenance
program, with limited coordination between them. Moreover, due to unavailability of resources,
AGEROUTE cannot not always carry out the agreed annual program, which affects the road network and
can lead to emergency approaches.
Budget Execution
Budget Execution Modalities
25. As per 2017 PEFA, Côte d’Ivoire’s overall performance for budget execution is satisfactory. The
country scored A for PI‐1 mainly due to the high execution rate of the national budget estimated,
respectively, at 96.84 percent, 96.14 percent, and 97.65 percent over years 2015, 2016, and 2017.
26. 2015‐17 budget execution has a strong performance for ministries involved in the PforR
Program have of ministries involved in the PforR, the good performance. Budget execution commitment
rates per ministry were: (a) MEF: 100.24 percent (2015); 94.72 percent (2016), and 104.73 percent (2017);
percent(2015); 42.63 percent (2016), and 67.67 percent (2017); and (d) MENET‐FP: 98.59 percent (2015);
98.45 percent (2016), and 99.08 percent (2017). Rates for payments are lower due to cash flow
management constraints. It should be noted that despite satisfactory budget execution rate, the
government is facing challenges in terms of service delivery efficiency and timeliness.
27. Delays in processing transactions. Prior approval by the financial controller is required for the
commitments for expenditures. Once the contract is executed, the financial controller issues a ‘Fiche de
contrôle du service fait’ in addition to the ‘Certificat de service fait’ prepared by the owner of the budget
line (for example, credit administrator). This allows the DAF team to prepare the payments order or the
‘Mandat’. Once the ‘Mandat’ is signed by the DAF, it is brought back to the financial controller again for
his visa called ‘Attestation de service fait’. The ‘Mandat’ is sent back to the DAF for final rechecks before
the entire package (electronic and paper versions) is sent to the PGT (Pairie Generale du Tresor) for
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 70 of 101
payment. Some additional reviews are also performed by the team of the PGT before the issuance of the
checks or the transfers to the beneficiaries’ bank accounts. At each phase of the process, the budget
execution software ‘SIGFIP’ and the accounting software are updated. This duplication of tasks and
controls causes delays between the commitment phase and the final phase of the payment of
expenditures.
28. Procurement delays. As per a 2012 study from ANRMP, there is on average around 200 days of
elapse between the start of the procurement procedure and contract approval. This period may be longer
depending on the nature and complexity of the contract.
29. Delays in payments. There are payment delays due to commitment process and cash rationing
for contracts financed by the PGT, which affect PGT procurement effectiveness and competition.
30. Non‐compliance with contract deadlines. Lessons learned from some ongoing World Bank‐
financed projects in Côte d’Ivoire in the concerned sectors mainly MEER confirmed the risk of
noncompliance with contract deadlines and the challenges faced to apply some of the contracts’ articles
such as the suspension and cancellation of contracts for weak performance of the contractors. The
application of penalties is also a challenge.
31. Limitation of expenditures commitments to the availability of cash estimated. This is due to
structural problems with cash flow management and affects the ability of budget owners to properly plan
the execution of the budget allocated to the unit mainly for capital budget.
32. To address these challenges, the Government, by order No. 068 / MPMB / CAB of 21/02/2014,
set up a committee to monitor the deadlines for awarding contracts and budget execution. While there
has been good progress in reducing delays, efforts are still required to meet the 88‐day regulatory
deadline by the DMP. In addition, to mitigate the fiduciary risk and avoid delays in the implementation of
the program, all the commitments and liquidations of expenditures (issuance of the Mandats) related to
the Program will be under the responsibility of the DAF of the MEF. Further, the appointment of a financial
controller and a public accountant fully dedicated to the proposed Program to mitigate risks of delays.
Funds Flow Arrangements for Program Implementation
33. The PforR‐financed results areas are embedded in the budget and expenditure management
processes of the country system. IDA funds will be deposited in a DA at the BCEAO and Treasury Bank
Account in the National Treasury to mitigate risks associated with liquidity shortfalls or cash rationing. In
addition, through the focal point at the PGT, the Government will commit to ensure the timely
disbursement of funds from the Special Account. The entire Program allocations will be incorporated into
the budget of the MEF as appropriated by the National Assembly.
34. A DA‐A in CFA franc will be opened at BCEAO to receive the amounts of the initial advance (of
up to 15 percent of IDA contribution) and the amounts corresponding to the DLIs achieved. The account
at BCEAO will be managed by DGTCP. The Treasury Bank Account (Banque du Tresor) will be managed by
the public accountant assigned to the ST of the supported Program. The DGTCP will transfer within five
business days to the account opened at the Banque du tresor the amounts received from IDA representing
the advance up to 15 percent as well as the amounts of DLIs achieved. The Government has agreed to use
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 71 of 101
a Treasury Bank Account ‘compte ouvert à la banque du trésor’ and put in place appropriate measures to
avoid cash rationing and streamline the payment process of the Program.
35. Government’s contribution to the Program. The Government, through its budget execution
procedures, will transfer its contribution to the Program through the Treasury Bank Account managed by
the public accountant assigned to the ST. This contribution could prefinance the expenditure. The
Government will transfer its annual contribution to the Treasury Bank Account twice a year and based on
the approved annual plan and budget as well as the payment estimates for the next 6 months.
36. Replenishment of Treasury Bank Account. The Government would claim disbursements15 from
the World Bank as the DLIs are achieved. All DLIs will be independently verified by an IVA. The IVA will
prepare a Results Verification Report, which will be shared with the ST of the Program and the World
Bank. A key use of the Results Verification Report will be to determine the amount of the eligible
disbursement to be made based on the results achieved. If the World Bank finds that the disbursement
request meets the terms of the Financing Agreement, the World Bank will disburse the corresponding
funds to the MEF through the DA opened at BCEAO to facilitate further accounts reconciliation.
37. Payments of invoices (for example, contractors and service providers) through the Treasury
Bank Account. For the activities linked to Components 1 and 2 to be implemented directly by the
participating ministries, the funds will flow directly from the Treasury Bank Account to service providers,
consultants, and constructors. The Government’s internal institutions of controls will reserve the right to
verify the expenditures ex post, and actions might be requested for any irregularities.
38. The GoCI, through its budget, would transfer the funds to the MEF and would prefinance the
expenditure. The GoCI would claim disbursements from the World Bank as the DLIs are achieved. The
funds for the Program will be spent by the MEF. IVAs will confirm the attainment of DLIs to release funds
in accordance with the agreed schedule. Any advance from the World Bank could be adjusted or rolled
over till the end of the Program for final adjustment. The disbursements under the DLIs would be
compared with Program expenditures in the last year of the Program.
Accounting and Financial Reporting
39. The budget execution and internal control is computerized. The expenditure chain, which covers
the budget execution and control cycles, is fully computerized and interfaces well with the procurement
and the treasury system. The information is extracted from the budgeting ‘SIGFIP’ and ‘ASTER’. The
quarterly budget execution reports are put on the website of the MEF (www.finances.gouv.ci;
www.dgbf.gouv.ci; www.budget.gouv.ci). All annual accounts are submitted by the Government within
four months from the receipt of the financial statements (on time) to the SAI. Still, there are some delays
in the approval of state accounts (Comptes de Gestion) by the Supreme Court.
40. Interim financial reports (IFRs) as well as annual financial statements for the supported
Program, will be prepared using the team of ST through SIGFIP and ASTER by the public accountant
supported by the RAF of the ST. The ST of the Program should ensure that SIGFIP and ASTER are
15 If there is any advance with the World Bank, it could either be adjusted or rolled over till the end of the Program for final adjustment.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 72 of 101
configurated and installed in their premises and operate effectively. All the expenditure supporting
documents will remain at ST for recording of transactions and evidence expenditures. The ST of the
Program will prepare and submit quarterly IFRs and annual financial statements, and the ST will also
ensure that SIGFIP and ASTER are installed and configurated in their premises and operate effectively.
Procurement Processes and Procedures
41. The procedures described in Decree No. 2009‐259 of August 6, 2009, on the Public Procurement
Code are those currently in force. The new code being finalized provides new tools, such as framework
agreements, which will be used as part of the program for road maintenance and textbook acquisition. It
is therefore recommended that this code be adopted before the Program implementation.
42. The 2009 code, as well as the one that is being finalized, in its Article 43 of the draft document
states that open tendering is the basic method and offers methods such as the call for tenders.
Restricted offers and the Direct Agreement are exceptional procedures requiring prior authorization of
the administrative structure responsible for public procurement. Following the study ‘Stimulating the
Implementation of Investment Budgets in WAEMU Countries’, the Government by Decree No. 2015‐525
of July 25, 2015, amending Decree No. 2009‐259, introduced simplified procedures for supply and works
contracts below certain thresholds.
43. At the MENET‐FP, school kits are procured through tenders, while textbooks are procured
through restricted tendering due to the limited number of suppliers. Manuals are supplied for a period
of three years corresponding to the estimated lifetime after study as well as the frequency of educational
reforms. One of the major issues raised is the availability of the budget to meet the needs expressed in
the Procurement Plan. It should be noted, however, that the MENET‐FP’s procurement unit is also taking
early steps to save time and make the process efficient. A study on the procurement and textbook
distribution chain will be conducted to identify obstacles and difficulties and to propose solutions that will
improve the manual distribution rate. This study will also analyze the method and standard bidding
documents (SBDs) used.
44. AGEROUTE, because the amount of road works contracts is well above the threshold for the use
of simplified procedures, is experiencing long procurement deadlines. For the 2018 budget exercise,
AGEROUTE launched a single open bidding document for road maintenance works of 138 lots in total. This
represents a very intense workload, extends the deadlines at all levels, and compromises the final results.
45. As part of this program, one of the solutions envisaged to improve procurement in both
structures is the use of new tools such as Framework Agreements. The Framework Agreement was
described in the new code in Article 57 as a particular type of contract. It can be concluded in the case of
frequent repeated orders, but its use requires the prior authorization of the DMP. The Framework
Agreement may be concluded with one or more economic operators for a period not exceeding two years.
The program should provide support to ANRMP, MENET‐FP, and AGEROUTE in the form of TA for the
preparation of standard documents for the Framework Agreement as well as the implementation of the
first Framework Agreements.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 73 of 101
Procurement Performance
46. The following progress has been recorded from 2016 to 2017 in the performance of
procurement management:
Budget lines subject to procurement increased from 49,268 lines in 2016 to 52,169 lines in 2017.
Open bidding process increased from 37.2 percent of the total amount of approved contracts to 51.9
percent in 2017.
Procedures using Direct Agreement in 2016 were 18.2 percent of the total amount in 2016 and 12.9
percent in 2017.
Average procurement time is an estimated 198 days (2013) and is estimated to have declined slightly
for some activities.
47. Nevertheless, actors will need to continue efforts to (a) improve the implementation rate of
Procurement Plans, which averaged less than 50 percent in 2017 and (b) establish a culture of anticipation
so that the maximum number of contracts are committed in the first half of the year. On the other hand,
the performance measure should include criteria on contract execution, such as compliance with
deadlines and average payment terms.
Publication
48. The public procurement of Côte d’Ivoire is very attractive for regional and international bidders.
Articles 59 and 71 of the new code stipulate that tender notices as well as results must be published in
the Official Bulletin and on the public procurement portal. They specify that in the case of an international
tender, the publication should also be done in an international newspaper or on the web. Meanwhile, the
document does not specify the conditions under which a call for tenders is launched at international level.
49. When the estimated amount reaches the community threshold, the contracting authority must
comply with the requirements of community advertising. It is also planned to apply a margin of
preference of 15 percent for companies in the WAEMU zone and another 15 percent national preference
margin that cannot be combined with the first.
50. Under this program, it is recommended that the first Framework Agreements of AGEROUTE and
MENET‐FP be advertised internationally. Also, preferences should not apply to supply contracts that are
not manufactured in the sub region.
Contract Management Administration
51. Like the other WAEMU countries, the execution of contracts is one of the most challenging
phases in the execution of the budget. Contract management is still not integrated with procurement
and the structures responsible for the different phases continue to work in silos. The main issues are (a)
failure to meet the deadlines, (b) poor quality or noncompliance with specifications, (c) the many
endorsements, (d) non‐application of late penalties, and (e) lack of follow‐up at the technical level.
52. For the MENET‐FP, the implementation of textbook contracts faces all these difficulties, which
results in the low rate of distribution of textbooks at the level of the pupils. The proposed studies will
help better understand the state of play and actions needed to improve the chain of distribution.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 74 of 101
53. AGEROUTE, for the 2018 financial year, will simultaneously commit more than a hundred road
maintenance contracts covering almost the entire Ivorian territory, which is a real challenge in the
monitoring of the execution. Given the limited resources of this agency and the fact that it is not present
in all regions, it will be almost impossible to monitor the execution of the contracts. AGEROUTE should
develop a strategy that involves the Regional Directorates of MEER and the local authorities in the
contract’s management. As for the implementation of Framework Agreements, it will be imperative to
train the various structures/entities on the management of these types of contracts.
Authority to Approve Contracts
54. According to the Public Procurement Code, the minister supervising the contracting authority
approves all contracts in his/her department that are less than CFAF 100 million. Beyond this amount,
only the Minister of Economy and Finances is the approving authority. The latter delegates this task to the
Chief of Staff for contracts between CFAF 300 million and CFAF 1 billion and to the Director of Public
Procurement for contracts from CFAF 100 million to CFAF 300 million. The procurement code authorizes
that AGEROUTE, being a state company, approves its contracts either by the Board of Directors or by the
General Manager if the amount is less than CFAF 100 million.
55. A study conducted by ANRMP in 2014 shows that the average approval time would be 17 days.
Since then, efforts have been made to reduce this figure to tend toward the 7‐day rule set by the DMP.
Internal Controls and Internal audit
Administrative Controls and Internal Audit
56. The institutional framework for control is adequate at the Central Government level, but the
overall performance of institutions of internal control requires additional improvements. There are
several administrative control bodies in Côte d’Ivoire, along with the (a) IGF, (b) IGM, (c) IGE, and (d) Good
Governance Authority (HABG). Further, the DCF is responsible for authorizing expenditure commitments
and certifying the execution of the contracts before payments are made by the PGT.
57. According to 2017 PEFA, there is an acceptable internal control system in Côte d’Ivoire. The
country scored B for the indicator PI‐25 with a strong segregation of duties between the various actors at
each phase of the public expenditure channel (for example, PI‐25.1 was rated A). Meanwhile, the controls
of commitments conducted by the financial controller before the issuance of the Purchasing Order at the
commitment phase do not include checking of availability of appropriate level of cash to ensure timely
payment of contractor invoices. This may generate arrears as noted by 2017 PEFA.
58. Procurement prior control is carried out by the Public Procurement Department and the
procurement units. AGEROUTE, although being a state company with a private management, is subject
to the same control thresholds before the DMP. Thus, AGEROUTE must validate the awards of contracts
estimated between CFAF 100 million and CFAF 300 million and in addition obtain the validation for
contracts awarded above CFAF 300 million. These constraints make AGEROUTE’s procurement activity
extremely slow. It is suggested that the agency discuss with DMP to gain more autonomy and efficiency.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 75 of 101
59. Procurement ex post control is performed by the ANRMP. In this context, Decree No. 2009‐260
of August 6, 2009, on the organization and functioning of the ANRMP as amended by Decree 2013‐308 of
May 8, 2013, sets one of these missions as follows: ‘carry out independent audits of the award and
execution of public contracts and public service delegations and monitor the implementation of the
recommendations. Thus, on an annual basis, the ANRMP uses independent audit firms to conduct audits
of the contracting authorities. The contract audit report concluded in 2017 is being finalized, but those
from previous years until 2016 are published on the website. The 2016 report shows that a total of 250
contracts with 25 structures were audited. A total of 51 percent was spent in a consistent manner, 31
percent were spent irregularly, and 16 percent were without documents. The MENET‐FP was part of the
2015 sample, and 12 contracts out of the 17 audited were found compliant and 5 were noncompliant. On
the other hand, in 2014, only 3 of AGEROUTE’s contracts were considered compliant. In 2014, a special
audit was carried out in the direct contracts between 2011 and 2013. It was noted that out of 60 contracts
chosen, only 5 percent justified the use of the single‐source method.
60. According to 2017 PEFA, internal audit bodies have limited scope of work and the internal audit
process is largely focused on assessment of internal controls. The internal control bodies do not have
enough human and financial resources, and their capacities require strengthening to meet internal audit
international standards. Also, only 56 percent of IGF recommendations were implemented.
61. Measures will be adopted to ensure effectiveness of the financial and procurement aspects of
the internal audit function for the Program. The IGE will lead the internal audit mission in collaboration
with the IGF and DMP/ANRMP. A Memorandum of Understanding will have to be signed between the
three bodies to conduct joint missions at least twice per calendar year. The IGF and DMP/ANRMP should
ensure that the IGE has put in place an appropriate coordination mechanism of this multidisciplinary team
and their contributions are well reflected in the reports of the joint‐missions. The IGM involved in the
PforR, in charge of the physical inspections and the quality of the services, furniture, and works (technical
aspects) provided, will continue to play its role.
Complaints Management
62. The Public Procurement Code provides a precise framework for the complaints management
system. Thus, Title VIII of the new code deals with the settlement of disputes and provides for two
remedies: a nonjudicial and a jurisdictional remedy. Thus, Articles 135 to 139 deal with amicable remedies,
all of which must be exhausted before the judicial remedies dealt with in Articles 141 and 142 of the new
Code des Marches Publics can be explored.
63. The first step in any appeal is therefore to challenge the decision before the relevant
administrative authority within 10 days of the decision. This decision can be further appealed to ANRMP,
which has 10 working days to render its decision; otherwise, the suspension of the prior decision is lifted.
64. In terms of judicial remedies, Articles 170 and 171 of the Public Procurement Code deal with
appeals to state courts and arbitration courts. This system, with prior recourse to the contracting
authority, has the advantage of giving the opportunity to respond directly to the complainants and to
reduce the number of complaints that arrive at the ANRMP level. From 2010 to 2015, only 197 complaints
were lodged with the ANRMP against 158 decisions and opinions, that is, 80.20 percent.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 76 of 101
External Audit
65. According to 2017 PEFA, progress in external audit reform was limited compared to previous
PEFA period. The Chamber of Accounts became an SAI in 2015 (Organic Law No. 2015‐494 dated July 7,
2015). The SAI draws up an annual report on the implementation of the finance law, which reports to the
National Assembly on budget implementation. The SAI has the judicial power (Article 144 of the 2016
Constitution) to monitor and sanction irregularities committed by users of the budget as well as the public
accountants. It also applies risk‐based audit approach. Meanwhile, the SAI experiences financial
constraints and has limited number of professional staffs (auditeurs and vérificateurs). While foreseen by
the law, performance audits are not yet largely conducted.
66. For fiscal years 2013, 2014, and 2015, the audit reports were submitted to the legislature
between three and six months after receipt of the report on Settlement Laws by the SAI. The executive
replied, albeit after delays, to the recommendations of the SAI. The SAI human and financial resources
limitations and its capacity may affect the timeliness of the Program audit. The capacity development of
the SAI is included in the PFM reform action plan 2017–2019 as well as the TA activities.
67. The World Bank will require annual audited financial statements of the supported PforR
operation implemented by the entities of the participating ministries, including transactions in the
Treasury Bank Account. An independent audit firm will be recruited to conduct the external audit of the
program for the first two years. The capacity of the SAI will be reassessed at midterm, and if satisfactory,
the SAI will conduct the external audit of the Program financial statements.
Program GAC Arrangements
68. Fraud and corruption risks associated with the proposed PforR are moderate, and some
mitigation measures are included in the PAP.
69. There is adequate legal, regulatory, and institutional framework in place in Côte d’Ivoire on
fraud and anticorruption. Multiple control mechanisms intended to provide checks and balances are
being introduced to ensure integrity in the management of public resources. These include regular
internal audits by the IGF and the General Inspection of the State, as well as the external audits by the
Supreme Audit Institution and the HABG. More efforts are still needed to ensure that audit reports are
broadly made available to the public and there is effective follow‐up of administrative and/or judicial
actions and that these are dutifully applied. Generally speaking, noncompetitive procurement contracts
are decreasing but remain high at 30 percent in 2017 compared to 40 percent in 2015.
70. Factors that affect governance in Côte d’Ivoire include (a) concentration of decision making and
fragmentation of sectoral responsibilities; and (b) the nature of the appointments of high officials which
reduces incentives for bureaucratic responsiveness and performance. This situation has affected the pace
of implementation of relevant legal framework including for asset declaration. Meanwhile, in recent
years, significant efforts have been made to improve the situation. In the 2018 Transparency International
Corruption Perception Index, Côte d’Ivoire improved to 103rd with a score of 36, compared to 108th with
a score of 34 in 2017.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 77 of 101
71. To address the governance and fraud and corruption risks, the Program will prioritize effective
oversight through increased public accountability, increased monitoring and auditing, and greater
disclosure and transparency. The IFSA recommends (a) increasing monitoring and auditing through
support to systematic tracking and reporting on sector spending by the sector, to foster efficiency and
accountability in the use of resources and prioritize auditing sector accounts; and (b) updating the MEER
and MENET‐FP websites to develop a coherent online presence with user‐friendly content and
functionalities to enhance greater public disclosure and transparency. Thus, under the PAP, tailored
grievance redressal mechanisms will be implemented to ensure that stakeholders’ concerns are
documented and resolved on time.
Procurement and FM Capacity of Implementing Agencies
Procurement
72. Each participating ministry has an operational procurement unit. However, the assessment
revealed that their capacities are varied. The Unit within the MENET‐FP is composed of two procurement
staff who are relatively new, and the unit will need capacity reinforcement.
73. AGEROUTE has extensive experience in procurement of roads infrastructure for both
Government‐ and donors‐funded projects. In fact, the assessment found that their performance could
be better if the relatively low prior‐review threshold is addressed.
Financial Management
74. The DAF of the MEF and MENET‐FP execute their budgets following the public expenditure
channel through the budget execution software SIGFIP. The strengths, weaknesses, and challenges facing
the DAF of the three ministries are similar to the overall ministries of Côte d’Ivoire.
75. The financial controller and the public accountant assigned to the ST of the Program will
perform their respective tasks following the public expenditure channel through SIGFIP and ASTER.
76. The FM departments of the implementing entity of MEER (for example, AGEROUTE) have
qualified staff and acceptable FM procedures manuals and accounting tools. Meanwhile, the execution
of the budget will be initiated by the DAF of the MEF (transfert en capital); hence, no accounting tasks
(such as record of transactions in the budget and accounting software) will be performed by the FM teams.
77. To address the risks of delays in processing transactions, preparation of interim and annual
financial statements, and payments of invoices, IFSA recommends specific actions for the FM
arrangements of the Program IPF component. These actions that are detailed in the PAP include:
Appoint focal points in each participating implementing entity to support the DAF of the MEF in the
commitments and liquidations of the expenditures leading to the issuance of the Payments Orders
‘Mandats’;
Install the Government budget execution software SIGFIP and the accounting software ASTER in the
premises of the ST of the Program;
Staff the ST of the Program with qualified RAF to support the dedicated public accountant and the
financial controller assigned to the Program;
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 78 of 101
Increase the staffing of the IGF with 5–10 additional persons; and
Conduct audit of the annual financial statements of the Program by the SAI supported by an
independent audit firm. The terms of reference of the audit firm will include capacity building of the
Cours de comptes staff.
World Bank Implementation Support
78. The World Bank will provide timely support to the implementation of the PforR as well as
guidance to the relevant agencies regarding fiduciary issues. The ST of the Program will be created and
will be responsible for the implementation of the operation. Supervision of FM and procurement
arrangements will be carried out as required as part of the Program supervision plan, and support will be
provided on time to respond to Program needs.
79. The World Bank implementation support team will include procurement and FM specialists who
would be tasked with the monitoring of the Program’s integrated fiduciary aspects. The reviews will be
conducted jointly as far as possible to monitor, in particular, the status of implementation of the PAP. The
fiduciary team will also review the Program’s financial and procurement reports and their conformance
with applicable standards, and at least two implementation support missions will be conducted during
the first year following the Program effectiveness. The team will also provide hands‐on support to other
organs such as the IGF and SAI supporting the mitigation of fraud and corruption.
Table 4.2. Detailed IFSA PAP
Action Description Due
Date/Schedule Responsible
Party DLI or Loan Covenant
Completion Measurement
Planning and Budgeting
Include in the Finance Law the annual plan and budget of the Program
Starting from the first year of the Program
Directorate of Budget/ST of the Program
N/A Unaudited financial report of the first quarter of each fiscal year of the Program implementation period
Budget Execution
Install SIGFIP and ASTER and SIGMAP in the premises of the ST of the Program
Effectiveness MEF/SNDI and ST of the Program
N/A Budget executed through SIGFIP, and IFR and annual statement prepared through information derived from SIGFIP and ASTER
Increase the prior‐review threshold of AGEROUTE for works from XOF 100 million to XOF 1 billion
— DMP/MB N/A No contract less than XOF 100 million is subjected to prior review during the implementation period of the Program
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 79 of 101
Action Description Due
Date/Schedule Responsible
Party DLI or Loan Covenant
Completion Measurement
Request an initial advance up to 15% of the total budget of the PforR component and submit the evidences of the achievement of prior results (enabling disbursement of US$ 10 million)
First months following effectiveness
St/ MEF N/A Bank accounts opened and requested submitted to the Bank as well as evidence of achievements of prior results
Internal Control and Internal Audit
Conduct biannual inspections and internal audit missions covering procurement, financial, and technical aspects of the Program
Two months following the end of each calendar semester starting from the first year of Program effectiveness
IGE in collaboration with IGF, IGM, DMP, and ARNMP
N/A Copy of the reports of inspections and reviews of the Program activities implemented by the implementing entities submitted within the specified period to the MEF, HABG, and the World Bank
Third‐party Verification
Recruitment of the IVA Three months following the Program effectiveness
ST of the Program at the MEF
Loan Covenant
IVA team contracted
External audit
Recruit an external auditing firm to audit the Program annual accounts under the responsibility of the SAI
Six months following the Program effectiveness
The SAI supported by the ST
N/A Copy of the audit report submitted to the World Bank six months after end of year
Prepare and submit on a biannual basis a detailed report on the training and capacity‐building activities conducted by the auditing firm supporting the SAI in the audits of the annual financial statements of the Program
Two months following the end of each semester
The SAI/ST accounts supported by a private audit firm
N/A Copy of the reports on capacity‐building activities conducted by the audit firm submitted within the agreed time frame to the World Bank
Procurement and FM Capacity
Staff the DAF of MEF with focal points and the Program ST in MEF with dedicated procurement, FM, and internal control staff
Effectiveness and throughout the entire Program implementation period
DAF/MEF and ST of the Program
N/A DAF of MEF and ST staffed accordingly
Strengthen the capacity of the IGE, IGF, DMP, and ANRMP to enable these institutions to conduct the biannual inspections and internal audit missions (for example, training and staffing)
Six months following the Program effectiveness
MEF/ST N/A Annual work plan and budget of the IPF component includes budget line for payment of the costs of internal audit activities
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 80 of 101
Action Description Due
Date/Schedule Responsible
Party DLI or Loan Covenant
Completion Measurement
Create or strengthen the capacity of the procurement unit in each implementing entity
Four months following the Program effectiveness
Directorate of Budget/ST of the Program at the MEF
N/A Staff from the implementing entities trained on procurement related to activities to be procured in the Program.
Note: a. The DAF of the MEF will be strengthened with additional focal points (at least two) to manage commitment and issuance of payment orders (Mandat). Each participating implementing entity should also have a focal point to handle commitment requests. The ST within the MEF should be staffed by at least a coordinator, an M&E specialist, a procurement specialist, an RAF, an environmental safeguard specialist, a financial controller, and a public accountant with functions and resources agreed with the World Bank, and with staff in adequate numbers with qualifications, experience, and terms of reference agreed with the World Bank.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 81 of 101
ANNEX 5. SUMMARY ENVIRONMENTAL AND SOCIAL SYSTEMS ASSESSMENT
COUNTRY : Côte d'Ivoire Enhancing Government Effectiveness for Improved Public Services
I. Objective and Background
1. This Environmental and Social Systems Assessment in Côte d'Ivoire was undertaken by the World Bank as part of the preparation of the PforR for the improvement of basic services for the benefit of Ivorian populations.
2. The PforR builds on the experience of DGDI that received US$13 million in IDA funding. This project has implemented significant institutional development and governance reforms that have enabled Côte d'Ivoire to reach the Heavily Indebted Poor Country Completion Point.
3. After these positive results and the many challenges that remain to be met in improving the management of public finances and to make the strong economic growth of recent years more inclusive, the GoCI has decided to set up an economic governance program focused essentially on improving the delivery of basic services to the population.
4. This Program proposes a comprehensive framework for PFM reforms for a significant improvement of basic services for the benefit of citizens. It will therefore support the priorities of the GoCI to improve the delivery of basic services in the field of education and economic infrastructure. It will support through IDA funding a subset of investments (activities) included in the National Development Plan(NDP) and the Master Plan for Financial Reform. The long‐term objective is to have an inclusive program linking both the effectiveness of public spending and the significant impact on populations, which would make it possible to contribute effectively to achieving the country’s emergence by 2020.
General Presentation of the Programme
5. The development objective of the Program is to improve significantly economic governance for better delivery of basic services in priority sectors. The PforR will focus on areas of intervention selected in the EGSDP, including three cross‐cutting reforms: (a) performance‐based budgeting, (b) procurement and execution of public contracts, and (c) information for decision making from area two of the government program. It will also be used in two of the three sectors of the basic services delivery areas, namely national education (primary and secondary) and economic infrastructure (road), as well as in five axes focusing on the inclusion of the financial sector. The program will have four results areas:
Results Area 1: Strengthening Performance‐based Budgeting and Procurement
6. This results area aims to support
Performance‐based budgeting. By improving the strategic allocation of resources and budget execution through the Program and multiyear budgeting, the establishment of
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 82 of 101
performance indicators, and the delegation of commitment authority to the relevant ministries and
Procurement. The development, introduction, and wider use of new procurement tools for improved service delivery; the extension of the electronic public procurement system to the whole Government; and the introduction of new types of public procurement for the provision of services in priority sectors.
Results Area 2: Improved Management of General Education Resources and Services
7. This outcome area addresses the main bottlenecks related to the equitable and timely allocation and deployment of budgeted funds for primary and secondary schools. It will focus on two important outcomes: (a) improved availability of textbooks and (b) enhanced monitoring of the use of funds allocated to private schools.
Results Area 3: Improved Management of Road Network
8. This PforR will support the sector in strengthening the planning and contractual management of works and maintenance contracts at all stages (procurement and contract management during execution) with a view to significantly improve the maintenance of the road network. The two main results will be (a) improving the quality of investment planning and implementation and (b) improving road asset management. This will help reduce transportation costs for citizens and maximize the system.
Results Area 4: Increased Access to Financial Services
9. This outcome area will focus on three key outcomes: (a) strengthening financial infrastructure to promote financial inclusion and SMEs, (b) extending the digitization of payments to service providers and taxpayers, and (c) facilitating knowledge of financial services and their access to the population.
Institutional Arrangements for Implementation
10. The MEF has reconfirmed the project’s anchoring within it. A Strategic Steering Committee will be established up to guide and supervise the activities. This steering committee will be chaired by the Director of Cabinet of the MEF and will be composed of the main stakeholders in this project. More specifically, this committee will validate the project's activity plans, budget, and audited annual accounts and review the activity reports prepared for the authorities and donors before their distribution.
11. A Technical Secretariat will be set up to coordinate implementation of activities under the IPF component. Focal points are led by officials of the Ivorian Administration appointed by their supervisory authority. They will coordinate the development, contracting, and implementation of activities in their departments. The focal points will participate in the drafting of the implementation reports.
12. IDA will fund the PforR over a five‐year period with a total of US$100 million.
II. Main Environmental and Social Impacts
13. The Program will potentially result in negligible or minimal adverse environmental and social impacts and risks. Above all, it will have positive impacts that will benefit the country.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 83 of 101
(a) Beneficial Environmental Impacts
Contribute to the reduction of paper use and storage in administrations and thus contribute to the preservation of forests.
Increase knowledge on environmental and social management of the structures involved in setting up an environmental and social unit.
(b) Negative Environmental Impacts
The proposed program, in terms of its components and the nature of the activities selected, based on reforms of PFM system, will not require any physical interventions affecting the environment. It will therefore not have direct negative environmental impacts.
(c) Beneficial Social Impacts
Contribution to the increase in the banking rate of populations
Contribution to the improvement of living and working conditions (quality of life, access to work, education, poverty reduction, equity, and well‐being) of populations
High citizen access to mobile and electronic government payments
Transparency and efficiency in the use of public subsidies for the placement of students in private schools
Contribution to increase transparency and fairness in procurement
Contribution to the increase in the national literacy rate
Contribution to the financial autonomy of populations, especially the most disadvantaged
Contribution to the competitiveness of SMEs through better access to finance
Contribution to improving the governance of public services
Contribution to private sector development
Increase in the enrolment rate of students enrolled in private schools by the state
(d) Negative Social Impacts
14. The operational phase of the program’s activities could potentially generate risks and negative social impacts. There could be mistrust and even nonacceptance of the project’s reforms by the population. The rejection could also be the consequence of the transaction costs of electronic payment services, which could appear high for a segment of the population. In addition, populations could be exposed to a security risk associated with electronic payments and therefore be exposed to cybercrime.
15. Mobile telephone and Internet networks do not fully cover the entire national territory. As the online registration process uses these means of communication, this lack of network coverage will then require the persons concerned to travel to an area served by the network to register their children. This
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 84 of 101
would generate costs that could become an obstacle to the registration process, especially for populations in remote rural areas.
16. The change in payment methods from cash to electronic payment systems could cause disruptions in people’s habits, especially among the uneducated and retired. In addition, inconveniences could be experienced when deploying new systems that could affect the time it takes to receive salaries and retirement benefits.
III. OVERVIEW
17. In light of the foregoing subsections, it can first be stated that Côte d'Ivoire's ESMS allows for the implementation of the PforR.
18. The Program will have negligible or minimal environmental and social impacts. This is mainly because the Program, designed as a PforR, does not include any investment associated with direct environmental and social impacts and/or risks.
19. The Program is therefore in compliance with this policy, in that it does not finance any activity that could have a potentially significant environmental and social impact and/or risk.
20. Consequently, any reform will be considered as ineligible if it
Would generate social impacts and/or risks, such as physical displacement of people or acquisition of private land or restrictions on access to economic or natural resources;
Could generate or aggravate latent and/or existing social conflicts over land;
Could have an irreversible impact on physical cultural resources of an archaeological or historical nature or places of worship; and
Generates a high and irreversible impact on any area classified as a site of biological or ecological interest.
21. Given the nature of the Program’s activities (reforms), direct environmental and social impacts that would require the establishment of an environmental and social management mechanism are not anticipated. However, the national procedure for environmental and social management makes it possible to deal satisfactorily with any negative environmental or social impact.
Environmental and Social Management Instruments
22. All subprojects submitted for the Program funding should be examined using appropriate screening instruments (see box 5.1). Environmental and social diagnoses will be conducted (if necessary) for each of the projects or subprojects to determine the type of planning tool required based on the scale and importance of the environmental and social impacts, in accordance with the Ivorian environmental code.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 85 of 101
Box 5.1. Screening Subprojects and Environmental and Social Management Instruments
In accordance with the environmental assessment procedures in Côte d'Ivoire and the requirements of the World Bank’s policy on the financing of a PforR, any activities submitted for funding under the Program if deemed appropriate will be subject to a screening process:
a) Above all, through a Screening Form, the submitted subprojects will be screened according to their levels of risk and environmental and social impacts, to determine the type of safeguard instrument required (based on both national procedures and the World Bank’s policy).
b) According to Ivorian procedures (Decree No. 96‐894 of November 8, 1996, determining the rules and procedures applicable to environmental impact assessments of development projects)
Category Exclusion Statement will be prepared for category ‘C’ subprojects with an insignificant impact;
Environmental and Social Impact Assessment (ESIA) will be prepared for category ‘’B’ subprojects with a moderate impact, to obtain an Environmental Compliance Notice from the minister in charge of the Environment;
The impact study must be completed by a public inquiry whose purpose is to gather the opinions and counterproposals of the parties concerned with regard to the ESIA presented; and
c) In accordance with the World Bank’s procedures for financing a PforR
Any subproject whose environmental and social risks are considered significant and whose negative impacts are considered diverse, varied, irreversible, and unprecedented will be excluded;
For a subproject with high or moderate environmental and social risks and/or impacts, ESIAs and ESIS with Environmental and Social Management Plans in accordance with Ivorian procedures must include a complaints management mechanism and a section on public stakeholder consultations in accordance with all the fundamental principles of the World Bank’s PforR policy; and
Finally, for a subproject with moderate risks and/or impacts on involuntary resettlement and requiring an RAP, Ivorian procedures will be complemented by the preparation of a section on public stakeholder consultations, citizen engagement, and a complaints management mechanism.
The proposed Program, in terms of its components and the nature of the activities selected, based on reforms of PFM and system, will not require any physical interventions affecting the environment. It will therefore not have direct negative environmental impacts. Consequently, the World Bank’s environmental safeguards are not triggered. No other safeguard policies are triggered for the program.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Bi‐annual joint technical, procurement and financial internal audit and inspection missions of the Program to ensure efficient use of the Program funds (e.g. IGF/DMP and IGM of MER and MENET‐FP).
IGF, DMP, IGM, MEER, MENET‐FP
Recurrent Semi‐Annually
Copy of the reports of inspections and review of the Program activities implemented by the implementing entities submitted within the specified time period to MEF, HABG, and the Bank
Create and or strengthen the capacity of the procurement units in all implementing entities of the Program
ARMP, DMP Due Date 31‐May‐2019
Staff for the implementing entities trained on procurement related to activities to be procured in the Program
Include the budget and annual plan of the Program in the annual Finance Law
Directorate of Budget, MEF
Recurrent Quarterly Unaudited financial report of the first quarter of each fiscal year of the Program implementation period
Annual external audit of annual financial statements of the program implemented by the participating ministries
Court of Accounts Recurrent Yearly Audit reports submitted to the Bank and published on the websites of MEF and Court of Accounts
Increase prior review threshold of AGEROUTE for works from XOF 100 million to XOF 1 billion.
DMP, Ministry of Budget
Recurrent Continuous No AGEROUTE managed contract less than XOF 1 billion is subjected to prior review during the implementation of the program
Staff the DAF and MEF with Focal Point and program ST in MEF with dedicated
DAF/MEF and TS of the Program
Due Date 31‐May‐2019
Core staff in place
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 87 of 101
procurement, FM and internal control staff
Strengthen the capacity of the IGF, IGE, DMP, and ANRMP to enable these institutions to conduct the bi‐annual inspections and internal audit missions (e.g. training and/or additional staff)
Fiduciary Systems
MEF/ST Due Date 31‐Dec‐2019
Annual plan of the IPF component includes budget line for payment of targeted non‐staff capacity strengthening costs of IGF, IGE, DMP and ANRMP.
Install SIGFIP, ASTER, and SIGMAP in the premises of the Technical Secretariat (ST) of the Program
MEF, SNDI and ST of the Program
Due Date 31‐May‐2019
Budget executed through SIGFIP and IFR and annual statement prepared through information derived from SIGFIP and ASTER
Recruitment of the Independent Verification Agent (IVA)
Fiduciary Systems
ST of the Program at the MEF
Due Date 30‐Sep‐2019 Contract signed with the IVA
Recruit an external firm to audit the Program annual accounts under the responsibility of the Court of Accounts.
Fiduciary Systems
Court of Accounts supported by TS
Recurrent Yearly Copy of audit reports submitted to the Bank six months after the end of the audited year.
Prepare and submit on a semi‐annual basis, a detailed report on the training and capacity building activities conducted by the auditing firm supporting the Court of Accounts to audit the annual financial statements of the Program.
Fiduciary Systems
Court of Accounts and TS
Recurrent Semi‐Annually
Copy of the training and capacity building reports submitted by the audit firm.
.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 88 of 101
. ANNEX 7. IMPLEMENTATION SUPPORT PLAN
COUNTRY : Côte d'Ivoire Enhancing Government Effectiveness for Improved Public Services
Main Focus of Implementation Support
Time Focus Skills Needed Resource Estimate Partner Role
First 12 months
Task Team Leadership Task Team Leader and Co‐Leaders
20 staff weeks n.a.
Technical Support PFM Specialists 4 staff weeks n.a.
Technical Support Sector Specialists (Education, Finance, and Infrastructure)
12 staff weeks n.a.
Technical Support e‐procurement 2 staff weeks n.a.
Operational ‐ procurement
Procurement Specialist 2 staff weeks n.a.
Operation ‐ FM FM Specialist 2 staff weeks n.a.
12–48 months
Task Team Leadership Task Team Leader and co‐Leaders
15 staff weeks n.a.
Technical Support PFM Specialist 4 staff weeks n.a.
Technical Support Sector Specialists (Education, Finance, and Infrastructure)
12 staff weeks n.a.
Technical Support e‐procurement 4 staff weeks n.a.
Operational ‐ Procurement
Procurement Specialist 2 staff weeks n.a.
Operational ‐ FM FM Specialist 2 staff weeks n.a.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 89 of 101
ANNEX 8: IPF COMPONENT ‐ PROJECT APPRAISAL
Results Area Complementary TA Provided under the IPF Amount (US$,
millions)
Program Budgeting and Procurement
Beta testing of the whole of government e‐procurement system 0.500
South‐south exchange on e‐procurement reforms and implementation 0.125
Study on budgetary decision‐making system 0.125
General Education Resources and Services
Implementation of a technical audit of the textbook production and delivery chain
0.800
Road Network Management
Design online performance monitoring tool to track implementation of road works contracts and performance (quality, cost, and delay) with classification of contractors based on performance
1.000
Access to Financial Services
Equipment and implementation of technical systems for the observatory 1.500
Consumer education, information, and financial awareness 0.500
Equipment and technical testing of the RCCM IT platform 3.000
Change Management, Verification, and Audit
Change management, coaching, and communication activities 3.350
Recruitment of the IVAs 0.900
Annual financial audit of the Program (PforR and IPF) 0.200
Public sector capacity building and citizen engagement 3.000
Contingencies 0.000
Total 15.000
Citizen Engagement
1. The proposed operation includes two intermediate results indicators which aim to capture citizen satisfaction with access to primary education and financial services in services supported through the operation.
2. In primary education, an annual survey of parents will be undertaken to help validate expected improvements in the availability of textbooks for primary school children in CP1 and CP2. This indicator is closely linked to the technical audit of the textbook supply chain that will lead to the development of a comprehensive action plan to improve textbook availability from a baseline of 61 percent to an expected 90 percent by the end of the five‐year period of the program. Since this target is also linked to DLI 4, the sample survey of parents to confirm availability of reading and mathematics textbooks will be part of the data used by the IVA to confirm the results against which the World Bank will disburse.
3. The operation will seek to close the feedback loop by taking action based on the survyer results. Thus, the findings of the survey will be used to inform revisions to the action plan for textbook improvement. In addition, the survey will be conducted on a regular basis to allow for a continuous feedback loop.
4. In addition, in the general education sector, MENET‐FP is scaling up the system for parents to enroll their children who are assigned to private school placements online. This gives parents the ability to optimize school choice based on school performance data as well as proximity. This will help strengthen
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 90 of 101
the citizen‐service link and enhance the effectiveness in the use of the private school subsidies at the secondary school level.
5. In financial services, an annual user survey is proposed to capture the level of satisfaction with the suite of consumer financial tools and services. These tools include the financial services comparator and the hotline, which are supported under the IPF component, as well as the quality of the financial education provided. This information will serve as the basis of assessing progress toward the intermediate results indicator. The results of the annual user surveys will be published online, and the Observatory will hold focus group discussions with key user groups based on the results of the annual surveys, with a view to improving overall customer satisfication as needed and using the feedback to strengthen the range of products and services provided.
Institutional and Implementation Arrangements
6. A Strategic Steering Committee (CPS) will be established upon effectiveness to oversee implementation and ensure coordination across the multiple institutional actors involved in the operation. It will meet periodically to review progress and provide strategic guidance and support with respect to priorities and resources. The CPS will be chaired by the MEF and membership will be drawn from the senior leadership of the implementing agencies and will provide important strategic complementarity to the day‐to‐day work of the technical teams and coordinating unit. Roles and responsibilities are outlined in the Technical Assessment.
7. A Technical Working Group (CT) will also be created upon effectiveness, with responsibility for regular coordination across institutional actors and will meet monthly to review progress and address cross‐cutting implementation challenges. It will comprise the focal points for the DLIs and results areas nominated by the relevant institutional actors (MEF, SEB, MENET‐FP, AGEROUTE, DMP, ANRMP, and TCA).
8. The Technical Secretariat within the MEF will serve as the Secretariat of the Steering Committee and the CT and will also directly implement the IPF component. The ST will also mobilize just‐in‐time TA, including any capacity building and training and workshops as may be needed to facilitate implementation of activities that contribute to the achievement of DLIs. The ST will also support and follow up the implementation of the government’s PAP.
9. Activities under the IPF component related to specific results areas will be implemented by the teams from the institutional actors that comprise the CT as summarized below, with support from the ST:
(a) MENET‐FP will lead the implementation of DLIs 3 and 4 in the general education sector (effectiveness of school subsidies and availability of textbooks) and will also be responsible for the implementation of the technical audit of the textbook implementation and supply chain under the IPF component. The two lead directorates will be the Directorate of Private Schools and the Directorate of Strategic Planning and Statistics.
(b) AGEROUTE will lead the implementation of DLI 5, the roads management tools as well as the development of the online performance management tool under the IPF component.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 91 of 101
(c) The DMP will be responsible for DLI 2 on modernization of public procurement and introduction of e‐procurement to the whole of government.
(d) The TCA will be responsible for TA for implementation of the RCCM including IT systems and digitization of records.
(e) The Financial Services Observatory will implement the TA activities related to equipping and operationalizing consumer financial education and services.
10. An IVA will be appointed by the Government to validate the achievement of the DLIs. The Government will appoint the IVA within three months of the effectiveness date.
11. Public sector capacity‐building activities will be implemented by the PPRC to strengthen public policy implementation and citizen engagement in public policies.
Financial Management
12. The Technical Secretariat of the operation consists mainly of former members of the ‘Project Coordinating Unit of DGDI’ and is familiar with World Bank FM procedures and requirements. This ST will have overall fiduciary responsibility for the IPF component of the proposed Enhancing Government Effectiveness for Improved Public Services (P164302) operation. The FM arrangements builds on the arrangements that were in place under the World Bank‐financed DGDI (P107355). These require, in line with the Decree No 2015‐475 dated July 1, 2015, governing the modalities of donor‐financed projects in Côte d’Ivoire and the assignment to the PCU, of a Financial Controller from the SEB and a Public Accountant from the MEF. The overall FM performance derived from the last supervision mission before the project closing date was rated Moderately Satisfactory mainly due to the ineffectiveness of the steering committee.
13. The proposed ST has adequate staffing and follows proper bookkeeping practices for all expenditures to undertake the coordination PCU function. Unaudited IFRs as well as audited financial statements for closed projects managed by the PCU of DGDI were submitted on time.
14. Upon project effectiveness, a Government‐managed DA (DA‐B) will be opened in BCEAO for the IPF component. The project funds for this component will flow from the World Bank to the DA‐B in CFA francs and from there to a Transactions Account in XOF in a commercial bank acceptable to IDA.
15. The overall FM risk for the IPF component is rated Substantial. The FM arrangements for the proposed project are assessed to satisfy the World Bank’s minimum requirements under the World Bank Policy and Directive ‐ IPF, which describes the overall World Bank FM policies and procedures (in other words, whether they are adequate to provide, with reasonable assurance, accurate and timely FM information required by the World Bank on the status of the project). The current RAF of the PCU will oversee the project FM activities. However, to sustain the timeliness and reliability of information produced by the ST and sufficiently segregate FM duties, an accountant fully dedicated to the accounting and disbursements tasks of the proposed IPF component with qualifications and experience satisfactory to the World Bank will be appointed. The fiduciary procedures described in the FM manual issued by the ST will be updated to include specific arrangements related to the management of the proposed IPF
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 92 of 101
component. The accounting software will be customized to record transactions and financial reporting for this operation. The financial statements of the project will be subject to annual financial audit by independent auditors. These risk mitigation measures, except for the updating of the FM manual, are dated covenants to be implemented within 2–6 months following operational effectiveness.
Procurement
Applicable Procurement Procedures
16. Generality. Following the 2004 CPAR, and the critics of a procurement code (Decree No. 2005‐110 dated February 24, 2005), a new procurement code (Decree No. 2009‐259 dated August 6, 2009), in line with the WAEMU’s procurement directives and international good practices, and key implementing regulations and documentation has been adopted. This procurement code was amended and modified in July 2015 through the Decree No. 2015‐525 dated July 15, 2015, also with implementing regulations thereunder. A national procurement capacity‐building program exists and is being implemented at the central and deconcentrated entities levels. A new code is under preparation and adoption is expected during the first half of 2019. An electronic system for collecting and disseminating procurement information and for monitoring procurement statistics has been set up and needs to be spread over all the contracting authorities. An audit of single‐source awarded contracts from 2011 to 2013 has been done in May 2014, and findings were published. However, persisting issues remain that affect transparency and efficiency of the national procurement system: (a) establishment and operation of procurement cells in the ministries are still very slow and (b) training of enforcement officers of these new cells is not yet effective. In addition, the volatile socio‐political situation due to the civil war does not guarantee an effective functioning of the system and has considerably increased fraud and corrupt practices. The new government is trying to fight against this scourge by implementing certain mechanisms such as the code of ethics at the level of ministers and officials, but the results are not yet visible currently due to lack of evaluation.
17. Guidelines. Procurement for the proposed project will be carried out in accordance with the World Bank’s ‘Procurement Regulations for Borrowers’ in force since July 2016, revised in November 2017 and in August 2018.
18. Procurement documents. Procurement would be carried out using the World Bank’s SBDs for all International Competitive Bidding (ICB) for goods and works and for Standard Request for Proposal (RFP) for the selection of consultants through competitive procedures. The Recipient will develop standard documents based on the World Bank’s SBDs for National Competitive Bidding (NCB) for goods and works and the World Bank’s RFP for the selection of consultants through methods other than Quality‐ and Cost‐Based Selection (QCBS), with modifications that will be submitted to IDA for prior approval in compliance with the New Procurement Framework.
19. The different procurement methods or consultant selection methods, the need for prequalification, estimated costs, prior‐review requirements, and time frame are agreed between the Recipient and the World Bank in the Procurement Plan through the Project Procurement Strategy for Development (PPSD) that has been prepared for the project. The Procurement Plan will be updated at least annually or as required to reflect the actual project implementation needs and improvements in institutional capacity.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 93 of 101
Advertising Procedure
20. General Procurement Notice, Specific Procurement Notices, Requests for Expression of Interest, and results of the evaluation and contracts award should be published in accordance with advertising provisions in the guidelines mentioned previously.
21. For ICB and RFPs that involve international consultants, the contract awards shall be published in the United Nations Development Business online within two weeks of receiving IDA’s ‘no objection’ to the recommendation of contract award. For goods, the information to publish shall specify (a) name of each bidder who submitted a bid; (b) bid prices as read out at bid opening; (c) name and evaluated prices of each bid that was evaluated; (d) name of bidders whose bids were rejected and the reasons for their rejection; and (e) name of the winning bidder, and the price it offered, as well as the duration and summary scope of the contract awarded. For consultants, the following information must be published: (a) names of all consultants who submitted proposals; (b) technical points assigned to each consultant; (c) evaluated prices of each consultant; (d) final point ranking of the consultants; and (e) name of the winning consultant and the price, duration, and summary scope of the contract. The same information will be sent to all consultants who submitted proposals. The other contracts should be published in national gazette periodically (at least quarterly) and in the format of a summarized table covering the previous period with the following information: (a) name of the consultant to whom the contract was awarded, (b) the price, (c) duration, and (d) scope of the contract.
Procurement Methods
22. The procurement methods have been developed and defined through the PPSD and the Procurement Plan. However, indications are given below to assist the borrower in the PPM implementation phase.
23. Procurement of works. The national market offers a diversity of entrepreneurs of different sizes for most activities in this category. However, they do not have a sufficient financial base Thus, for rehabilitation work, a national preference with allotment is recommended.
24. Procurement of goods. The goods to be financed by IDA would include office and furniture and equipment, office supplies, and so on. Similar goods that could be provided by a same vendor would be grouped in bid packages estimated to cost at least US$4,000,000 per contract and would be procured through ICB. Contracts estimated to cost less than US$1,000,000 equivalent may be procured through NCB. Goods estimated to cost less than US$100,000 equivalent per contract may be procured through shopping procedures. For shopping, the project procurement officer will keep a register of suppliers updated at least every six months. They represent 20.99 percent of the portfolio of purchases in value and 50 percent in number. They mainly concern standard goods and equipment, like those purchased for the implementation of the FSSRP and available in the local business environment. However, the market for the acquisition of incinerators must be the subject of open international consultation with a preference for the Moroccan company based in Côte d'Ivoire, having concluded similar contracts considered satisfactory in the context of the Strengthening Epidemic Emergency Health and Response System Project (PRSSE).
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 94 of 101
25. Selection of consultants. The project will finance consultant services such as surveys, technical and financial audits, TA, and activities under the institutional strengthening component. Specific consultant services, trainers, and workshops facilitators should be included. Consultant firms will be selected through the following methods: (a) QCBS, (b) Selection Based on the Consultant’s Qualification (CQS) for contracts for which amounts are less than US$2,000,000 equivalent and are relative to exceptional studies and researches which require a rare and strong expertise; (c) Least Cost Selection (LCS) for standard tasks such as insurances and financial and technical audits costing less than US$2,000,000; and (d) Single Source Selection costing less than US$100,000 with prior agreement of IDA, for services in accordance with the paragraphs 3.8 to 3.11 of the Consultant Guidelines. Individual Consultant will be hired in accordance with paragraph 5.1 to 5.6 of World Bank Guidelines; Sole source costing less than US$100,000 may be used only with prior approval of the World Bank. Whatever the cost, any terms of reference needed for consultant selection must get prior approval of the World Bank.
26. The recruitment of consultants will be mainly open. Indeed, the recent nature of strategic purchase and universal health coverage in Côte d’Ivoire justifies the scarcity of local expertise. However, the experience of the PRSSE has allowed the transfer of certain skills to the national market. Thus, some consultant recruitments may make a preference for the national market.
27. Short lists of consultants for services estimated to cost less than US$300,000 equivalent per contract may be composed entirely of national consultants in accordance with the provisions of paragraph 2.7 of the Consultant Guidelines, if a sufficient number of qualified individuals or firms are available. However, if foreign firms express interest, they would not be excluded from consideration.
28. Procurement from UN agencies. There may be situations in which procurement directly from UN agencies may be the most appropriate method of procurement. In such circumstances, the project would make specific arrangements with the UN agencies concerned through a single source selection, and then, they follow their own procurement procedures to purchase and deliver the goods and services needed.
29. Procurement of consulting services other than those covered by Procurement Regulations for Borrowers. Eventually, these might include designing, editing, and printing project promotion supports; providing logistic support such as car rental for field visits, travel services and logistic support for workshop and the like. LCS or shopping will be used.
30. Training, workshops, and conferences. The training (including training material and support), workshops, and conference attendance will be carried out based on approved quarterly training and workshop/conference plan. A detailed plan giving the nature of training/workshop, number of trainees/participants, duration, staff months, timing, and estimated cost will be submitted to IDA for information before initiating the process. The appropriate methods of selection will be derived from the detailed schedule. After the training, the beneficiaries will be requested to submit a brief report indicating which skills have been acquired and how these skills will contribute to enhance his/her performance and contribute to the attainment of the project objective.
31. Operational costs. Operating costs financed by the project are incremental expenses, including office supplies, vehicles operation and maintenance, maintenance of equipment, communication costs, supervision costs (that is, transport, accommodation, and per diem), and salaries of locally contracted
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 95 of 101
staff. They will be procured using the procurement procedures specified in the Project Financial and Accounting Manual.
Summary of the PPSD
32. The total value of the financing for Côte d'Ivoire through the PforR is USD 100,000,000, of which USD 15,000,000 is dedicated to the IPF component. The IPF component will be executed using the acquisition of consultant services, goods and non‐consulting services.
33. Goods: represent 28% of the value of the overall amount. They mainly concern standard goods and equipment, similar to those usually purchased for the implementation of other projects in Côte d’Ivoire and available in the local environment. However, attention needs to be given to the design of specifications in order to attract as many local suppliers as possible.
34. Consultants: This is the core of IPF component and represents 60% of the value of the overall amount. The selection of consulting services will be mainly open at the national level, for those areas for which expertise is sufficiently provided by the local market. Indeed, all most of international firms have representations in Côte d’Ivoire or in the WAEMU region, with great experience and excellent professional references.
35. However, due to past experience on financed projects and the scarcity of some knowledge, some of complex studies may require the contracting of international consultants. As such, it will be necessary to conduct international consultation and publish, for this purpose, notices of competition on international reference media. Particular attention should be given to the development of terms of reference, evaluation of proposals, and contract awarding.
36. Non‐Consulting services: For around 30% in number of contracts to be awarded, this category should be publicized at international level due to some technical aspects and to attract the best suppliers in the areas concerned.
Procurement Capacity Assessment of the ST
37. The lead responsibility for project implementation including fiduciary management will be vested with the ST of the Program and project which largely comprises former staff of the PCU of the DGDI. The capacity assessment has shown that having implemented a World Bank‐financed project, the ST has the experience, skills, knowledge, and personnel and a procedure manual acceptable to the World Bank.
Turnaround Times
38. The available information indicates that some of the contracts have not been executed within the deadline. These delays are due to (a) the complexity of the project, (b) the low capacity of contractors, and (c) the poor quality of terms of reference and technical specifications.
39. Mitigation measures. To mitigate the above‐listed turnaround times, the following are proposed:
Set realistic time frames.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 96 of 101
Ensure the existence of effective capacity of the awarded contractors in public agencies in certain circumstances.
Recruit consultants to elaborate terms of reference and technical specifications as needed.
Procurement Team
40. The ST has one procurement specialist who has experience with World Bank projects and similar to the other PCUs in Côte d’Ivoire has received training on the New Procurement Framework especially on the PPSD.
Mitigation Measures
41. This previous training on the New Procurement Framework notwithstanding, the PCU members are invited to act urgently to revisit and reinforce their knowledge on the Procurement Regulation for Borrowers. The ST should also recruit one procurement assistant to reinforce the procurement team.
42. The ST will be responsible for the coordination of all procurement activities, including the following: (a) preparation and update of the Procurement Plans; (b) preparation, finalization, and launch of the RFPs and bidding documents; (c) drafting of minutes of bids opening/proposal and preparation of the evaluation reports; (d) submission of procurement documents (terms of references, RFP, bidding documents, evaluation reports, contracts, and so on) to the World Bank when prior review is required; (e) preparation of the contracts, and overseeing the payments to contractors; and (f) drafting of procurement progress report and coordination of the activities. The roles and responsibilities of each beneficiary entity will be specified in the procurement manual.
43. With due regard to the new provisions of the Decree No. 2015‐475, and the new World Bank procurement guidelines, the POM should be developed and submitted for the World Bank’s no‐objection. In addition, to minimize the delay associated with the drafting of the appraisal reports, competent firms/individual consultants should be hired to evaluate the proposals where necessary.
Frequency of Procurement Reviews and Supervision
44. The World Bank’s prior and post reviews will be carried out based on thresholds indicated in Table 8.1. IDA will conduct six‐monthly supervision missions and annual Post Procurement Reviews with the ratio of post review at least one in five contracts. IDA may also conduct an Independent Procurement Review at any time until two years after the closing date of the program.
Country Overall Procurement Risk Assessment: Low
Table 8.1. Procurement and Selection Review Thresholds
Expenditure Category
Contract Value (Threshold) (US$)
Procurement Method Contract Subject to Prior Review
(US$)
1. Works ≥10,000,000 ICB ≥15,000,000
<10,000,000 NCB
<200,000 Shopping
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 97 of 101
Expenditure Category
Contract Value (Threshold) (US$)
Procurement Method Contract Subject to Prior Review
(US$)
No threshold Direct contracting
2. Goods ≥1,000,000 ICB ≥4,000,000
<1,000,000 NCB
<100,000 Shopping
No threshold Direct contracting
3. Consultants firms
≥300,000 QCBS, QBS, LCS, FBS, and CQS ≥2,000,000
<300,000 QCBS, QBS, LCS, FBS, and CQS
Individuals ≥100,000 EOI <400,000 and project manager, PS and FS <100,000 Comparison of 3 CVs
Selection of firms and individuals
<100,000 Single Source ≥2,000,000 for consultant firms <400,000 for individuals
Note: Terms of reference may be subjected to prior review in accordance with task team leaders; EOI = Expression of Interest; FBS = Selection Based on Fixed Budget; FS = Financial specialist; PS = Procurement specialist; QBS = Quality‐Based Selection.
Social (including Safeguards)
45. The project focuses on improving economic governance for improved delivery of services to citizens in priority sectors and is therefore expected to have a range of positive social impacts through the associated reforms including improved access to general education services, an improved road network that reduces time and cost of travel for citizens, and improved access to financial services. Some cyber security and IT risks have been noted, associated with the increased digitization of selected P2G and G2P payment streams. These risks will be mitigated with careful attention to security protocols during the implementation of the digitization activities.
46. Given the nature of the Program’s activities (reforms), direct environmental and social impacts that would require the establishment of an environmental and social management mechanism are not anticipated. However, the national procedure for environmental and social management makes it possible to deal satisfactorily with any negative environmental or social impact.
Environment (including Safeguards)
47. The proposed Program, in terms of its components and the nature of the activities selected, based on reforms of PFM and system, will not require any physical interventions affecting the environment. It will therefore not have direct negative environmental impacts. Consequently, the World Bank’s environmental safeguards are not triggered.
Other Safeguard Policies
48. No other safeguard policies are triggered for the program.
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 98 of 101
ANNEX 9: PROGRAM THEORY OF CHANGE OF THE OPERATION
Sub‐results Area
Activities Outputs Intermediate Outcomes
Outcomes
Results Area 1: Strengthening Performance‐based Budgeting and Procurement
Performance‐based Budgeting
Develop guidelines and tools for the implementation of program budgets.
Adpotion and use of program budgeting guidelines and tools
Implementation of compliance planning standards (NDP, Sector strategies) for DPPD and annual Programs
Production and adoption of multiyear programming documents of line ministries for 2019–2021
Presentation of the first Finance Law according to the format prescribed by the LOLF on Program budgeting
Multiyear programming documents of all line ministries are produced and annexed to the 2019 Finance Law (Prior Result)
Effective performance‐based budgeting
Commission an integrated SIB and budget and treasury management information system.
Develop a national training program on the new harmonized public finance framework.
Execute the 2020–2023 Finance Laws through the execution module of the SIB.
Implement an integrated budget and treasury management system.
Implement the national training program on the new harmonized public finance framework.
2020–2023 Finance Laws executed through the execution module of the SIB and quarterly budget execution reports generated. (DLI 1)
Production of annual performance reports for all ministries based on performance budgeting publicly accessible within 6 months after the end of the fiscal year (PDO Indicator)
Modernized Public Procurement
Revise the procurement code to incorporate legal provisions for e‐procurement, multiyear, and framework contracts.
Adoption by decree and implementation of new procurement code that incorporates the use of e‐procurement, multiyear contracts, and framework agreements
Implementation of monthly procurement performance reports
Reduction in the average time to complete the
Improved performance, value for money, and compliance of modernized public procurement
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 99 of 101
Sub‐results Area
Activities Outputs Intermediate Outcomes
Outcomes
Finalize strategy and tools for rollout of electronic procurement system which will allow for (a) electronic transactions between contracting authorities, (b) a database for statistics and documentation, and (c) online submission of bids by service providers.
Develop standardized framework contracts for roads infrastructure.
Develop multi‐annual contracts for road maintenance, school kits, and textbooks
Deployment of the Recipient’s e‐procurement system to all ministries for electronic review of bidding documents and award of public procurement contracts. (DLI 2)
Signature of framework contracts for emergency roads infrastructure
Signature of multi‐annual contracts validated for road maintenance, school kits, and textbooks
procurement process through contract award stage (PDO Indicator)
Effective road maintenance
Improved service delivery of textbooks and school kits
Results Area 2: Improved Management of General Education Resources and Services
Effectiveness of Publicly Subsidized Private School Placements
Design and pilot a national system for parents to enroll students asigned to subsidized private places online.
Develop electronic and biometric tools for monitoring students in subsidized private placements.
Implement national system for parents to enroll students asigned to subsidized private places online.
Introduce electronic and/or biometric systems for monitoring students in subsidized private placements.
Percentage of students assigned places in private schools who are effectively placed and monitored (DLI 3
Reduction in time required to confirm student attendance in private schools (PDO Indicator)
Transparent and effective use of public subsidies for students in private schools
Access to Primary School Textbooks
Conduct a technical audit of the textbook production and supply chain (IPF)
Implementation of an action plan based on the results of the textbook audit
Percentage of primary students that receive required reading and mathematics textbooks at the beginning of school year (DLI 4 + PDO Indicator)
Equity in textbook availability between poor and non‐poor students
Results Area 3: Improved Management of Road Network
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 100 of 101
Sub‐results Area
Activities Outputs Intermediate Outcomes
Outcomes
Road Network Management
Develop an online performance and contract monitoring tool for works contracts (IPF).
Design a comprehensive capacity‐building program for contractors to improve their performance, based on the classifications.
Implementation of online performance monitoring tool for works contract and public data including classification of all service providers (100%) based on performance (DLI 5)
Implementation of a comprehensive capacity‐building program for contractors to improve their performance, based on the classifications
Reduction in the percentage of roads works contracts that are implemented with cost and budget overruns (PDO Indicator)
Improved transparency and accountability of roads network management
Results Area 4: Increased Access to Financial Services
National Collateral Registry
Equipping of a national credit colateral registry (IPF)
Digitization and integration of the RCCM records with the TCA to faciliate insolvency resolution
Creation of a platform to make credit data available for loan decisions
The RCCM archive/records and the court cases are digitized and integrated with the TCA including the records from the tribunaux d’instances de Youpougon and Plateau and available online (IPF).
Increased SME access to credit services and insolvency dispatch
Operationaliation of the RCCM to support SMEs
Improved SME access to credit
Digitization of Payments
Development of a national financial digitization strategy
Selection of technical solution for payment digitization
Modification of the regulatory framework for electronic payments
Implementation of technical solution for payment digitization
Percentage increase of selected government payment streams (G2P and P2G) digitized (DLI 6 + PDO Indicator)
Increased citizen and taxpayer access to mobile and electronic government payments
Financial Services Observatory
Develop an application to monitor management of insurance claims (IPF).
Implementation of an application to monitor management of insurance claims
Implementation of a Financial Services Observatory to support access to financial education,
Enhanced public knowledge about and transparency
The World Bank Enhancing Government Effectiveness for Improved Public Services (P164302)
Page 101 of 101
Sub‐results Area
Activities Outputs Intermediate Outcomes
Outcomes
Design an online comparator tool for consumers to evaluate financial services (IPF).
Develop a suite of consumer services including a consumer education, information, and complaints hotline (IPF).
Implementation of an online comparator tool for consumers to evaluate financial services
Rollout of the consumer education, information, and complaints hotline