The World Bank Haiti Business Development and Investment Project (P123974)

Transcription

1 Public Disclosure Authorized LATIN AMERICA AND CARIBBEAN Haiti Trade & Competitiveness Global Practice IBRD/IDA Specific Investment Loan FY 2013 Seq No: 10 ARCHIVED on 06-Jul-2017 ISR27112 Implementing Agencies: Ministry of Trade and Industry, Ministry of Economy and Finance Public Disclosure Authorized Key Dates Key Project Dates Bank Approval Date:21-May-2013 Planned Mid Term Review Date:29-Sep-2017 Original Closing Date:31-May-2018 Project Development Objectives Effectiveness Date:11-Nov-2013 Actual Mid-Term Review Date:-- Revised Closing Date:30-Nov-2019 Public Disclosure Authorized Project Development Objective (from Project Appraisal Document) The objective of the Project is to assist the Recipient in: (a) improving the conditions for private sector investment and inclusive growth; and (b) improving its capacity to respond promptly and effectively to an Eligible Emergency. Has the Project Development Objective been changed since Board Approval of the Project Objective? No PHRPDODEL Components Name Component 1 - Business Environment and Investment Generation:(Cost $2.00 M) Public Disclosure Authorized Component 2 - Business Development Services for MSMEs:(Cost $15.00 M) Component 3 Project Management, Evaluation and Monitoring:(Cost $2.50 M) Component 4 Immediate Response Mechanism:(Cost $0.50 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Substantial Substantial 7/6/2017 Page 1 of 10

2 Implementation Status and Key Decisions The Haiti Business Development and Investment (BDI) Project was approved by the Board of the International Development Association on May 21, The Financing agreement was signed on June 14, 2013 and became effective on November 11, A level 2 restructuring of the project was approved on December 24, 2015 and counter-signed by Country Director and Minister of Economy of Finance on February 5, This restructuring became effective on October 28, Through the restructuring, the BDI Project continues to pursue its development objective of improving the conditions for private sector investment and inclusive growth, but has moved away from a focus on integrated economic zones and instead focuses on the development of value chains. The restructured project reallocated funds from the integrated economic zones activities towards: (i) the expansion of support for the Ministry of Commerce and Industry (MCI) s regional offices, from 1 to 10 regional offices; and (ii) aggregating the Matching Grants to benefit a group of Micro, Small and Medium Enterprises (MSMEs) and increasing the total envelope for Matching Grants from USD 4 to USD 8 million. This ISR provides an update on the activities and results of the last 6 months of the project. Some highlights include: - The project continues to achieve progress towards the Development Objective and in overall implementation. The project has disbursed US$7.2M or 37.2% to date. Since the last ISR, several implementation support missions have taken place. - Procurement of value chain service providers: The MCI will undertake roadshows and information sessions in the US and in Haiti to raise more awareness amongst potential bidders for the upcoming tenders, as per the General Procurement Notice published on June 14, 2017 on UNDB and in the main local newspaper. The tenders have been grouped into four lots: (1) a cold chain service for fresh fruits and vegetables export to the US; (2) a fast fashion logistics service (divided into 4 sub-lots); (3) a post-harvest and logistics provider for non-perishable value chains (honey, coffee, cocoa and vetiver); and (4) a traceability and payment platform provider who would design a system from point of harvest to the point of payment, using an efficient and transparent system. An information session was held in Los Angeles with potential bidders of the fast fashion logistics service. Finally, the client has created a web-site for the project which currently focuses on disseminating information on the tenders and aims to increase information and transparency on the procurement process ( - Doing business laws on the legislative agenda (counterpart: Prime Minister's Office): On May 2, 2017 the Minister of Commerce and Industry submitted a set of laws focused on improving the business environment to the Lower Chamber in Parliament. This first set of laws include: the Secured Transactions law; the Companies Law; the Legal marriage regime; and the Leasing law. Amongst these, the Secured Transaction and Leasing Laws would have the most impact on Haiti s Doing Business score, if they are passed by Parliament. A communications campaign is being launched shortly to raise awareness around the laws amongst the private sector, civil society and public sector. - Progress towards meeting Project Development Objectives: While progress has been achieved in the implementation of the project's activities, there have been delays in meeting the targets under the PDO indicators. For the first three indicators "Private sector investment in supported value chains", "Increased value added of supported MSMEs in the selected value chains", and "Increase in value added of poorer supported MSMEs in the selected value chains in the poorest departments", these indicators require that the service providers for the various value chains are hired and have begun to offer services to the producers and entrepreneurs. This is why the project is focused on ensuring that the tendering processes for these service providers are successful and attract the best possible service providers possible. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance -- High High Macroeconomic -- High High Sector Strategies and Policies -- Substantial Substantial 7/6/2017 Page 2 of 10

3 Technical Design of Project or Program -- Substantial Substantial Institutional Capacity for Implementation and Sustainability -- Substantial Substantial Fiduciary -- Substantial Substantial Environment and Social -- High Moderate Stakeholders -- Substantial Substantial Other Overall -- Substantial Substantial Results Project Development Objective Indicators Private sector investment in supported value chains (Amount(USD), Custom) Value ,000, Date 29-Nov Nov-2019 Increased value added of supported MSMEs in the selected value chains (Percentage, Custom) Value Date 31-May May-2019 Increase in value added of poorer MSMEs in supported Value Chains in the poorest Departments (poverty rate above 60%) (Percentage, Custom) Value Date 31-May Nov /6/2017 Page 3 of 10

4 Time taken to disburse funds requested by government for an eligible emergency (Days, Custom) Value Date 29-Nov Mar-2017 Total investment (matching and firms' contribution) as a result of financed Business Improvement Plans (Amount(USD), Custom) Value ,200, Date 01-Jun Jun Jun Nov-2019 Total investment (matching and firms' contribution) as a result of Matching Grants for Common Services (Amount(USD), Custom) Value ,000, Date 01-Jun Jun Jun Nov-2019 Number of participants in public consultations (Number, Custom) Value , Date 01-Jan Jun Jun Nov-2019 Percentage of MSMEs participating in public consultations (Percentage, Custom) Value /6/2017 Page 4 of 10

5 Date 01-Jul Jun Jun Mar-2019 Number of MSMEs given technical and managerial assistance by MCI SAE teams (Number, Custom) Value Date 30-Jun Jun Jun Sep-2019 Average number of hours of technical and managerial assistance received by MSMEs (Hours, Custom) Value Date 30-Jun Jun Jun Jul-2019 Satisfaction of entrepreneurs/producers with assistance supported by SAE teams (Percentage, Custom) Value Date 01-Jul Oct-2019 Number of Haitian public servants that have satisfactorily completed the value chain Strategic Analysis Program (and completed 2 value chain diagnostics) (Number, Custom) 7/6/2017 Page 5 of 10

6 Value Date 30-Jun Nov-2019 Number of recommended laws, regulations, amendments, codes enacted or Government policies adopted (Number, Custom) Value Date 01-Nov Jun Jun Nov-2019 Secured transactions law revised and submitted to the Prime Minister's office (Text, Custom) Value Draft law requiring finalization Law revised but not formally submitted to Prime Minister's office Law revised but not formally submitted to Prime Minister's office Law submitted Date 01-Nov Jun Jun Nov-2019 Electronic moveable collateral registry (to secure loans) system available for use by MSMEs (Yes/No, Custom) Value N N N Y Date 11-Nov Jun Jun Nov-2019 Overall Comments While progress has been achieved in the implementation of the project's activities, there have been delays in meeting the targets under the PDO indicators. For the first three indicators "Private sector investment in supported value chains", "Increased value added of supported MSMEs in the selected value chains", and "Increase in value added of poorer supported MSMEs in the selected value chains in the poorest departments", these indicators require that the service providers for the various value chains are hired and have begun to offer services to the producers and entrepreneurs. This is why the project is focused on ensuring that the tendering processes for these service providers are successful and attract the best possible service providers possible. With regard to the fourth indicator "Time taken to disburse funds for an eligible emergency", disbursement is delayed by the need to finalize the restructuring of the project to reallocate funds to the emergency component and the need to update the ESMF to comply with the disbursement condition for the emergency component. The task team is focused on finalizing both of these 7/6/2017 Page 6 of 10

7 triggers in early July Intermediate Results Indicators Total investment (matching and firms' contributions) as a result of financed business improvement plans (Amount(USD), Custom) Value ,200, Date 29-Nov Nov-2019 Total investment (matching and firms' contributions) as a result of Matching Grants for Common Services (Amount(USD), Custom) Value ,000, Date 29-Nov Nov-2019 Number of participants in public consultations (Number, Custom) Value , , , Date 01-Dec Jun Jun Nov-2019 Percentage of MSMEs participating in public consultations (Percentage, Custom) Value Date 01-Jan Jun Jun Sep /6/2017 Page 7 of 10

8 Number of MSMEs given technical and managerial assistance by MCI SAE teams (Number, Custom) Value Date 01-Jul Jun Jun Nov-2019 Average number of hours of technical and managerial assistance received by MSMEs (Hours, Custom) Value Date 01-Oct Jun Jun Nov-2019 Satisfaction of entrepreneurs/producers with assistance supported by SAE teams (Percentage, Custom) Value Date 01-Jul Nov-2019 Number of Haitian public servants that have satisfactorily completed the Value Chain Strategic Analysis Program (and completed 2 value chain diagnostics) (Number, Custom) Value Date 01-Aug Apr /6/2017 Page 8 of 10

9 Number of recommended laws/regulations/amendments/codes enacted or Government policies adopted (Number, Custom) Value Date 02-Dec Nov-2019 Secured transactions law revised and submitted to the Prime Minister's office (Text, Custom) Value Not existent Law submitted Date 25-Apr Dec Dec May-2018 Electronic moveable collateral registry (to secure loans) system available for use by MSMEs (Yes/No, Custom) Value N N N Y Date 29-Nov Nov-2019 Overall Comments Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P IDA-H8650 Effective USD % Key Dates (by loan) 7/6/2017 Page 9 of 10

10 Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P IDA-H8650 Effective 21-May Jun Nov May Nov-2019 Cumulative Disbursements Restructuring History Level 2 Approved on 12-Sep-2013,Level 2 Approved on 24-Dec-2015,Level 2 Approved on 02-Aug-2016 Related Project(s) There are no related projects. 7/6/2017 Page 10 of 10