Public Disclosure Copy The World Bank Implementation Status & Results Report Equal Access and Simplified Environment for Investment (EASE) in Egypt (P153487) Equal Access and Simplified Environment for Investment (EASE) in Egypt (P153487) MIDDLE EAST AND NORTH AFRICA | Egypt, Arab Republic of | Trade & Competitiveness Global Practice | Recipient Executed Activities | Investment Project Financing | FY 2016 | Seq No: 2 | ARCHIVED on 10-Oct-2016 | ISR25197 | Implementing Agencies: Ministry of Investment/General Authority for Investment, Industrial Development Authority, Egyptian Regulatory Reform and Development Activity (ERRADA) Key Dates Key Project Dates Bank Approval Date:02-Oct-2015 Effectiveness Date:20-Apr-2016 Planned Mid Term Review Date:15-May-2017 Actual Mid-Term Review Date:-- Original Closing Date:01-Jul-2018 Revised Closing Date:01-Jul-2018 Project Development Objectives Project Development Objective (from Project Appraisal Document) To improve the regulatory environment for investors through simplified licensing and transparent industrial land allocation processes. Has the Project Development Objective been changed since Board Approval of the Project Objective? No PHRPDODEL Components Name Facilitating accessible and transparent investor services (GAFI):(Cost $2250000.00 M) Supporting Industrial Sector Transformational Reforms (IDA):(Cost $2250000.00 M) Capacity building for managing regulatory reform (ERRADA):(Cost $500000.00 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 10/10/2016 Page 1 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Equal Access and Simplified Environment for Investment (EASE) in Egypt (P153487) Implementation Status and Key Decisions Both executing entities, GAFI and IDA have established the PIUs and completed the recruitment of the PIUs staff. The staff undertook a capacity building program providing them with technical capacities on various aspects including procurement and fiduciary knowledge which will support the effective implementation of the project. The Bank is also piloting the new procurement STEP system and training the PIU procurement staff on the system. The executing entities with the support of the World Bank project team drafted the Project Operating Manual and are currently finalizing the drafting of the project Procurement Plans with both PIUs. The disbursement arrangements for the project were also completed and clearances of signatories were obtained. As was previously reported, and under Component 1 (Facilitating accessible and transparent investor services, GAFI). The WBG Team guided the project Partners during the past period to establish the Project Steering Committee. The Project Steering Committee was formed and activated. The GAFI PIU is currently working with the Bank team in finalizing the Procurement Plan and a PP has been developed for the IT systems for GAFI HQ and OSSs. The Bank team also worked with GAFI PIU and IT Department to establish a roadmap for the IT components and to develop the conceptual design of the IT solution for GAFI OSSs, including coordinating with third parties, i.e. Ministry of Telecommunication and IT and Microsoft to divide roles for developing integrated solutions. Under Component 2 (Industrial Sector Regulatory Reform, IDA), the WBG Project Team worked with IDA PIU and IT Department to establish a roadmap for the IT components and to develop the conceptual design of the IT solution. The team also has helped IDA PIU in drafting the Procurement Plan for the IT solution components. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance  Moderate  Moderate  Moderate Macroeconomic  Low  Low  Low Sector Strategies and Policies  Substantial  Substantial  Substantial Technical Design of Project or Program  Low  Low  Low Institutional Capacity for Implementation and Sustainability  Substantial  Substantial  Substantial Fiduciary  Substantial  Substantial  Substantial Environment and Social  Low  Low  Low Stakeholders  Substantial  Substantial  Substantial Other  --  --  -- Overall  Substantial  Substantial  Substantial Results Project Development Objective Indicators PHINDPDOTBL  Av. Duration of Licensing Process (Days, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 320.00 -- 320.00 75.00 10/10/2016 Page 2 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Equal Access and Simplified Environment for Investment (EASE) in Egypt (P153487) Date 01-Jul-2015 -- 16-Sep-2016 01-Dec-2018 PHINDPDOTBL  Number of land allocation requests processed through the reformed land allocation system (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 2000.00 Date 01-Jul-2015 -- 16-Sep-2016 01-Dec-2018 Overall Comments Intermediate Results Indicators PHINDIRITBL  Mapping/Simplification of Entry procedures completed (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N -- N Y Date 01-Jul-2015 -- 16-Sep-2016 08-Dec-2018 Comments Process mapping for 7 As-Is main processes related to industrial licensing and land allocation have been completed and are currently been used by task force for the dialogue on process streamlining. So this indicator is partially achieved. The processes are: 1) Preliminary Industrial Project Approval (2) 2) Land Allocation 3) Land Transfer/submission 4) Final Industrial Project Approval 5) Operating License (Permanent) 6) Industrial Registration (temporary/permanent) 10/10/2016 Page 3 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Equal Access and Simplified Environment for Investment (EASE) in Egypt (P153487) PHINDIRITBL  CRM Platform Operational in OSSs (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 5.00 Date 01-Jul-2015 -- 16-Sep-2016 08-Dec-2018 Comments The automation process financed by EASE has been plugged in a broader GAFI automation project, where GAFI and MCIT, along with EASE contribute financially and with their expertise. Currently the EASE PIU is engaged in a bidding process to procure software solutions' licenses necessary to create the front end of the above-mentioned automation project PHINDIRITBL  Sectors licensing requirements consolidate/published on GAFI Portal (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 120.00 479.00 Date 01-Jul-2015 -- 16-Sep-2016 08-Dec-2018 Comments 140 License requirements have been consolidated and posted on GAFI's website. Link is: http://www.gafi.gov.eg/Arabic/StartaBusiness/InvestmentZones/Pages/Inland.aspx These licensing requirements cover the following sectors: Communication (9 activities) Petroleum (7) Education (2) Supply (9) Culture (3) Agriculture, Land Reclamation & Live Stock (38) Tourism (8) Industry (48) Electricity (7) Irrigation (3) PHINDIRITBL  Capacity Building workshops for GAFI OSS staff completed (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 10.00 Date 01-Jul-2015 -- 16-Sep-2016 08-Dec-2018 10/10/2016 Page 4 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Equal Access and Simplified Environment for Investment (EASE) in Egypt (P153487) PHINDIRITBL  Mapping/Simplification of Licensing sub-processes completed (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 2.00 4.00 Date 01-Jul-2015 -- 16-Sep-2016 08-Dec-2018 PHINDIRITBL  Risk based approach for industrial technical evaluation applied (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N -- N Y Date 01-Jul-2015 -- 16-Sep-2016 08-Dec-2018 Comments Risk based Licensing approach legal framework has been set by Ministry of Trade & Industry in the new law, the law has been approved by Cabinet and submitted to Parliament. PHINDIRITBL  Industrial Licensing System (ILAS) Deployed in IDA Branches (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 10.00 Date 01-Jul-2015 -- 16-Sep-2016 08-Dec-2018 PHINDIRITBL  Online industrial land allocation system designed/deployed (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N -- N Y Date 01-Jul-2015 -- 16-Sep-2016 08-Dec-2018 10/10/2016 Page 5 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Equal Access and Simplified Environment for Investment (EASE) in Egypt (P153487) PHINDIRITBL  Industrial Developer land allocation framework designed and deployed (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N -- N Y Date 01-Jul-2015 -- 16-Sep-2016 08-Dec-2018 PHINDIRITBL  Capacity building workshops for IDA branches staff completed (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 10.00 Date 01-Jul-2015 -- 16-Sep-2016 08-Dec-2018 PHINDIRITBL  Regulatory reforms proposed (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 15.00 Date 01-Jul-2015 -- 16-Sep-2016 08-Dec-2018 Comments Several reforms have been proposed including: 1) Implementation of Risk Based Industrial Licensing, 2) Streamlined licensing process for MSMEs, 3) Decentralization of industrial licensing, and 4) Utilization of accredited 3rd party professionals for compliance checks 5) Segregation of policy making, regulation and operation roles. PHINDIRITBL  Private Sector consultation on regulatory reform mechanism applied (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N -- Y Y Date 01-Jul-2015 -- 16-Sep-2016 08-Dec-2018 Comments 10/10/2016 Page 6 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Equal Access and Simplified Environment for Investment (EASE) in Egypt (P153487) Federation of Industry members and the Alexandria Business Association were consulted to confirm the As is situation of Industrial Licensing and Land Allocation . Ministry of Trade & Industry conducted several dialogue sessions while drafting the new Industrial Licensing Law. PHINDIRITBL  Capacity building workshops for ERRADA staff completed (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 2.00 10.00 Date 01-Jul-2015 -- 16-Sep-2016 08-Dec-2018 Overall Comments Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P153487 TF-A1553 Effective USD 5.00 5.00 0.00 0.50 4.50 10% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P153487 TF-A1553 Effective 02-Oct-2015 29-Mar-2016 20-Apr-2016 01-Jul-2018 01-Jul-2018 Cumulative Disbursements 10/10/2016 Page 7 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Equal Access and Simplified Environment for Investment (EASE) in Egypt (P153487) Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 10/10/2016 Page 8 of 8 Public Disclosure Copy