The World Bank Implementation Status & Results Report Ferghana Valley Rural Enterprise Development Project (P166305) Ferghana Valley Rural Enterprise Development Project (P166305) EUROPE AND CENTRAL ASIA | Uzbekistan | Agriculture and Food Global Practice | IBRD/IDA | Investment Project Financing | FY 2019 | Seq No: 7 | ARCHIVED on 27-Jun-2022 | ISR52179 | Implementing Agencies: Agency for the Implementation of Projects in the Field of Agroindustry and Food Security "UZAIFSA", Republic of Uzbekistan Key Dates Key Project Dates Bank Approval Date: 21-Mar-2019 Effectiveness Date: 10-Jul-2019 Planned Mid Term Review Date: 30-Nov-2022 Actual Mid-Term Review Date: Original Closing Date: 31-Jul-2025 Revised Closing Date: 31-Jul-2025 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) To support the expansion of rural enterprise activity and job creation in Ferghana Valley Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Component 1: Enterprise Development:(Cost $15.00 M) Component 2: Access to Finance:(Cost $167.00 M) Component 3: Project Management and Coordination:(Cost $3.00 M) Unallocated:(Cost $14.50 M) Front end fee:(Cost $0.50 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Moderate Moderate Implementation Status and Key Decisions The project’s objective is to support the expansion of rural enterprise activity and job creation in the Ferghana Valley. The project has three components: (1) Enterprise Development; (2) Access to Finance; and (3) Project Management and Coordination. The first component will support rural entrepreneurship through business incubation and business advisory services; and provide technical assistance to strengthen backward and forward linkages in supply chains to facilitate greater market access. The second component will provide financial and technical support for micro, small and medium enterprises in high potential sectors (agriculture, food processing, handicraft, rural services, tourism, and small manufacturing sectors) through a credit line and partial credit guarantee fund. The project will contribute to Uzbekistan’s reform agenda and the Government’s larger goal of building greater economic and job opportunities and facilitating private sector-led economic growth. 6/27/2022 Page 1 of 10 The World Bank Implementation Status & Results Report Ferghana Valley Rural Enterprise Development Project (P166305) The project was declared effective in July 2019 and is currently under active implementation. By June 2022 approximately 462 sub-loans had been approved and a number are under preparation. Nine business incubator hubs for the project have been launched under the Chamber of Commerce and Industry. It is expected that in the upcoming six months activities in the and preparations for innovation startup competition and financing of partial credit guarantees under the State Fund for Entrepreneurship will begin. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Moderate Moderate Moderate Macroeconomic Substantial Moderate Moderate Sector Strategies and Policies Moderate Moderate Moderate Technical Design of Project or Program Moderate Moderate Moderate Institutional Capacity for Implementation and Substantial Moderate Moderate Sustainability Fiduciary Moderate Moderate Substantial Environment and Social Substantial Substantial Substantial Stakeholders Moderate Moderate Moderate Other -- -- -- Overall Substantial Moderate Moderate Results PDO Indicators by Objectives / Outcomes Expanded enterprise sector in Ferghana Valley IN01162459 ►Enterprise intensity index (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 100.00 100.00 100.00 110.00 Date 01-Jul-2019 01-Dec-2021 15-Jun-2022 31-Dec-2024 The percentage ratio of the number of enterprises to the number of able age population. Index in base Comments: year = 100, end target = 110 (10% increase) IN01162481 Enterprise intensity index - Female-led enterprises (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target 6/27/2022 Page 2 of 10 The World Bank Implementation Status & Results Report Ferghana Valley Rural Enterprise Development Project (P166305) Value 100.00 100.00 100.00 110.00 IN01162483 Enterprise intensity index - led by youth (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 100.00 100.00 100.00 110.00 IN01162484 ►Number of enterprises supported under the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 440.00 462.00 2,000.00 Date 01-Jul-2019 01-Dec-2021 15-Jun-2022 31-Dec-2024 Comments: The number of enterprises supported under the project IN01162485 Number of micro enterprises supported under the project (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 340.00 0.00 700.00 Date 01-Jul-2019 01-Dec-2021 15-Jun-2022 31-Dec-2024 IN01162486 Number of small enterprises supported under the project (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 340.00 340.00 700.00 Date 01-Jul-2019 01-Dec-2021 15-Jun-2022 31-Dec-2024 IN01162487 Number of enterprises - Female led (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 150.00 150.00 500.00 IN01162488 Number of enterprises - Youth (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 200.00 200.00 700.00 IN01162489 ►Increase in total revenues of enterprises supported under the project, US$ (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 85,383.00 0.00 10.00 Date 01-Jul-2019 01-Dec-2021 15-Jun-2022 31-Dec-2024 6/27/2022 Page 3 of 10 The World Bank Implementation Status & Results Report Ferghana Valley Rural Enterprise Development Project (P166305) Not yet measured. Indicator unit of measure adjusted to percentage in June 2022. Comments: IN01162490 Increase in revenues of micro enterprises supported under the project (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 10.00 IN01162491 Increase in total revenues of small enterprises supported by the project (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 15.00 Jobs creation IN01162458 ►Number of additional jobs generated by enterprises supported by the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 7,850.00 7,850.00 20,000.00 Date 01-Jul-2019 01-Dec-2021 15-Jun-2022 31-Dec-2024 Comments: Number of total additional jobs generated by enterprises supported under the project IN01162460 Number of additional jobs generated by enterprises supported under the project - female (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 5,000.00 IN01162482 Number of jobs generated by enterprises supported by the project - Youth (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 10,000.00 Intermediate Results Indicators by Components Component 1: Enterprise Development IN01162495 ►Number of beneficiaries trained (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 3,000.00 5,000.00 Date 01-Jul-2019 01-Dec-2021 15-Jun-2022 31-Dec-2024 6/27/2022 Page 4 of 10 The World Bank Implementation Status & Results Report Ferghana Valley Rural Enterprise Development Project (P166305) Comments: The total number of beneficiaries receiving average of 10 days of training over project lifetime, number IN01162498 Number of beneficiaries trained - Female (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 1,500.00 IN01162500 Number of beneficiaries trained - Youth (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 2,500.00 IN01162501 ►Number of rural business incubator hubs fully equipped and actively delivering services under the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 9.00 9.00 9.00 Date 01-Jul-2019 01-Dec-2021 15-Jun-2022 31-Dec-2024 This indicator has been revised in June 2022 from number of districts supported with business development services to number of operational business incubators. Business incubator hubs were not established in every district and while services will be delivered to entrepreneurs in all districts, this new Comments: measure better capture the change in capacity on the ground rather than geographic outreach. Indicator adjusted to measure number of functional business incubators. Current reporting: 9 partially established but not fully functional. IN01162503 ►Number of market promotion events carried out (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 40.00 Date 01-Jul-2019 01-Dec-2021 01-Dec-2021 31-Dec-2024 Comments: The total number of market promotion events carried out under the project, number IN01162506 ►Number of new business startups (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 100.00 Date 01-Jul-2019 01-Dec-2021 01-Dec-2021 31-Dec-2024 Comments: The number of new business start-ups supported by the project, number IN01162508 Number of new business start-ups supported under the project - Female (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target 6/27/2022 Page 5 of 10 The World Bank Implementation Status & Results Report Ferghana Valley Rural Enterprise Development Project (P166305) Value 0.00 0.00 0.00 10.00 IN01162509 Number of new start-ups supported by the project - Youth (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 50.00 IN01162510 ►Percentage of beneficiaries satisfied with services provided under the project (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 65.00 Date 01-Jul-2019 01-Dec-2021 15-Jun-2022 31-Dec-2024 Share of beneficiaries who are satisfied with the access to and quality of services provided under the Comments: project, percentage IN01162511 Percentage of beneficiaries satisfied with services provided under the project - Female (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 65.00 IN01163364 ►Number of clusters receiving training/business development services under the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 20.00 Date 01-Jul-2019 -- 15-Jun-2022 31-Dec-2024 Component 2: Improving the Enabling Environment for SMEs and Business Clusters IN01162493 ►Number of formal clusters or supply chain contract arrangements in the project area (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1.00 79.00 85.00 Date 01-Jul-2019 01-Dec-2021 15-Jun-2022 31-Dec-2024 The number of formal clusters or supply chain contract arrangements in the project area supported by the Comments: project, IN01162492 ►Volume of financing provided through participating financial institutions (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 95,000,000.00 107,000,000.00 166,000,000.00 6/27/2022 Page 6 of 10 The World Bank Implementation Status & Results Report Ferghana Valley Rural Enterprise Development Project (P166305) Date 01-Jul-2019 01-Dec-2021 15-Jun-2022 31-Dec-2024 The total volume of financing provided through participating financial institutions, US$. This indicator target has been updated in June 2022 with a new target: $166 million ($146 million for the credit line, $20 Comments: million for partial credit guarantees) IN01162494 Volume of financing to micro enterprises provided through participating financial institutions under the project (Amount(USD), Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 10,000,000.00 IN01162496 Volume of financing provided to small enterprises through partcipating financial institutions (Amount(USD), Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 20,000,000.00 IN01162497 ►Share of cluster sub-projects that leverage external financing (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 70.00 Date 01-Jul-2019 01-Dec-2021 01-Dec-2021 31-Dec-2024 Measures if clusters are able to successfully leverage external financing following receipt of TA provided Comments: under the project. IN01162499 ►Number of sub-loans (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 440.00 462.00 1,200.00 Date 01-Jul-2019 01-Dec-2021 15-Jun-2022 31-Dec-2024 Comments: Measures the number of sub-loans issued by participating financial institutions IN01162502 Number of sub-loans - Female (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 100.00 IN01162504 Number of sub-loans - Youth (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 200.00 IN01162507 ►Non performing Loans (Percentage, Custom) 6/27/2022 Page 7 of 10 The World Bank Implementation Status & Results Report Ferghana Valley Rural Enterprise Development Project (P166305) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 1.00 5.00 Date 01-Jul-2019 01-Dec-2021 15-Jun-2022 31-Dec-2024 Component 3: Project Management IN01162505 ►Share of complaints addressed (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 100.00 100.00 70.00 Date 01-Jul-2019 01-Dec-2021 15-Jun-2022 31-Dec-2024 Comments: Percentage of complaints received under the project that are addressed Overall Comments IR Changes made in June 2022 to intermediate results indicators: Intermediate Indicator Rationale for change Change to indicator Component 1 Replace with new indicator: Number of clusters receiving training/business Number of formal clusters As formulated the indicator better measures development services under the project or supply chain contract intermediate outcomes under component 2. arrangements in the project Number of cluster loans are also now 79 – Baseline: 0 area (Number) target should be adjusted upwards. A new indicator is added to measure number of Baseline: 0 clusters receiving services under component 1 New Target: 20 Target: 20 Replace with new indicator: Number of rural Number of districts where Business incubator hubs were not established business incubator hubs fully equipped and rural business development in every district and while services will be actively delivering services under the project services are being delivered delivered to entrepreneurs in all districts, this (Number) under the project (Number) measure should be adjusted to better capture the change in capacity on the ground rather Baseline: 0 Baseline: 0 than geographic outreach. Indicator adjusted to measure number of functional business Target: 9 Target: 36 incubators. Component 2 Share of cluster sub- Indicator moved from Component 1 to 2 with projects that leverage new higher targets: Number of formal clusters external financing To be dropped – no longer relevant as cluster or supply chain contract arrangements in the (Percentage) support does not involve targeting external project (Number) financing. Replaced by indicator from Baseline: 0 component 1. Baseline: 0 Target: 70 New Target: 85 6/27/2022 Page 8 of 10 The World Bank Implementation Status & Results Report Ferghana Valley Rural Enterprise Development Project (P166305) Old target: $100 million The volume of financing Target updated to correct error in original target provided through and to add volume of financing expected under New target: $166 million ($146 million for the participating financial partial credit guarantees credit line, $20 million for partial credit institutions (Amount (USD)) guarantees) Performance-Based Conditions Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P166305 IBRD-89380 Effective USD 200.00 200.00 0.00 108.02 91.98 54% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P166305 IBRD-89380 Effective 21-Mar-2019 11-Apr-2019 10-Jul-2019 31-Jul-2025 31-Jul-2025 Cumulative Disbursements 6/27/2022 Page 9 of 10 The World Bank Implementation Status & Results Report Ferghana Valley Rural Enterprise Development Project (P166305) Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 6/27/2022 Page 10 of 10