75820
                   Republic of South Sudan: Interim Strategy Note

                               CHAIR’S SUMMING UP ∗
                           Meeting of the Executive Directors
                                    February 28, 2013

       Executive Directors discussed the joint IDA/IFC Interim Strategy Note for the
Republic of South Sudan for the period of FY13 - FY14 and agreed that it is aligned with
the Government’s South Sudan Development Plan (IDA/R2013-0012[IFC/R2013-0018]).
Directors commended the ISN’s candor, the analysis carried out in its preparation, and
the application of the framework of the 2011 WDR on Conflict, Security and
Development.

         Directors supported the ISN’s proposed strategic clusters to focus on economic
management and governance for effective local service delivery and productive
employment and livelihoods. While acknowledging the short timeframe of the ISN, they
welcomed its ultimate aim to help establish the foundations of effective and transparent
institutions. They welcomed the strategy’s focus on building institutional capacity -
particularly in the areas of the legal and regulatory framework, procurement, oil revenue
management, statistical capacity, and monitoring and evaluation systems – while
recognizing the need for immediate gains in delivering key social and economic services.

        Directors recognized the high macroeconomic and other risks associated with the
program, and encouraged close monitoring of the situation in order to adjust the program,
as necessary. In this light, they noted that the very fluid environment merited appropriate
flexibility, consistent with the Bank’s safeguards and policies. Looking ahead, the
potential benefits of increased regional integration were also highlighted.
Directors appreciated the proposed approach to address severe gender disparities and
highlighted the importance of both lending and knowledge products in this effort.
Directors underlined the importance of having clear development objectives and direction
and well-developed results frameworks to serve as clear indicators for success.

        Given the Government’s limited capacity, Directors encouraged the Bank to use
its convening power to facilitate donor coordination and harmonization, with the many
development partners working in South Sudan. Finally, Directors encouraged the IFC to
play an active role to help improve the investment climate, particularly in terms of
diversified growth and job opportunities outside the oil sector.




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 This summary is not an approved record.