The World Bank Strengthening Social Protection - Rwanda (P162646) Combined Project Information Documents / Integrated Safeguards Datasheet (PID/ISDS) Appraisal Stage | Date Prepared/Updated: 01-Oct-2017 | Report No: PIDISDSA21684 Sep 29, 2017 Page 1 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) BASIC INFORMATION OPS_TABLE_BASIC_DATA A. Basic Project Data Country Project ID Project Name Parent Project ID (if any) Rwanda P162646 Strengthening Social Protection - Rwanda Region Estimated Appraisal Date Estimated Board Date Practice Area (Lead) AFRICA 20-Sep-2017 18-Dec-2017 Social Protection & Labor Financing Instrument Borrower(s) Implementing Agency Investment Project Financing Ministry of Finance and Ministry of Local Economic Planning Government (MINALOC), (MINECOFIN) Local Administrative Entities Development Agency (LODA) Proposed Development Objective(s) To improve the effectiveness of Rwanda’s social protection system, notably the flagship Vision Umurenge Program (VUP), for targeted vulnerable groups. Components Component 1: Improving coverage, adequacy and effectiveness of the Vision Umurenge Program (VUP) cash transfers Component 2: Enhancing access to human capital and economic inclusion services Component 3: Capacity building for policy development, systems strengthening and program management Unallocated Financing (in USD Million) Finance OLD Financing Source Amount International Development Association (IDA) 80.00 Total Project Cost 80.00 Environmental Assessment Category B - Partial Assessment Decision The review did authorize the preparation to continue Sep 29, 2017 Page 2 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) B. Introduction and Context Country Context 1. Rwanda’s official poverty estimates suggest a continued, substantial decrease in poverty and extreme poverty between 2010/11 and 2013/14. The 2013/14 Integrated Household Living Conditions Survey (EICV4), published in August 2015, showed that 39 percent of the population lives below the national poverty line and 16 percent below the extreme poverty line, a reduction from 45 percent and 24 percent respectively in 2010/11.1 This reduction in poverty has been driven by strong economic growth and improved agricultural productivity as well as a commitment to good governance both in terms of economic management and service delivery. The gains in poverty reduction have been accompanied by impressive progress in human development, including meeting most of the MDGs in 2015. 2. Despite Rwanda’s impressive achievements in reducing poverty and building human capital, critical challenges remain, including the need to address the country’s high rate of chronic malnutrition and more broadly the nexus between poverty, vulnerability and child development. With a GDP per capita of US$718 (2015), Rwanda remains one of the poorest countries in the world. Poverty remains high in rural areas and among households with many children. Chronic child malnutrition affects 38 percent of Rwandan children under five, with a higher incidence among poorer households and those with many children where malnutrition is concentrated among the later born siblings. An analysis of determinants for chronic malnutrition suggests that environmental factors, both behavioral and those linked to access to water and sanitation, have also contributed to this problem. This situation places severe limits on the productive capacity of the next generation as well as Rwanda’s future competitiveness. 2 3. Rwanda’s very young demographic profile (17 percent of its population is under 5 years old), coupled with its vision for the future where services will increasingly be drivers of economic growth, calls for investments in the human capital of its children and a prioritization of the chronic malnutrition problem. This necessitates a multi-sectoral approach grounded in maternal and child health, water and sanitation, nutrition sensitive and specific interventions and support to vulnerable populations through social protection. 4. Rwanda is poised to address these challenges through continued economic growth and the effective management of public sector investments, notably in the social sectors. Rwanda ranks well in global governance metrics, including corruption indicators measured by the World Governance Indicator (WGI) rankings and competitiveness in the World Economic Forum’s global Competitiveness Index. This strong performance continues to be tested by the ambitious development agenda of the country enshrined in the Vision 2020. Delivering on Rwanda’s ambitious goal will require increased increasing local government capacity 1 While the two rates are based on slightly different methodologies, robustness tests performed by the National Institute of Statistics of Rwanda suggest that a statistically significant declining trend is also obtained when using a common poverty line (in real terms) across the two surveys. National Institute of Statistics of Rwanda. 2016. Poverty Trend Analysis Report 2010/11 – 2013/14. Available at http://www.statistics.gov.rw/publication/poverty-trend-analysis-report-201011-201314 2 Economic Development and Poverty Reduction Strategy 2013-2018 (EDPRS-2); Fourth Integrated Household Living Conditions; Survey (EICV4) available http://www.statistics.gov.rw/publications/rwanda-poverty-profile-report-results-eicv-4; Demographic and Health Survey (DHS) of 2015 using the stunting rate as the rate of malnutrition. Sep 29, 2017 Page 3 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) as Rwanda continues to actively decentralize development planning and the delivery of services across multiple sectors. Sectoral and Institutional Context 5. Social protection remains one of the Government of Rwanda’s main priorities for meeting its ambitious poverty reduction and human capital development goals. To further this agenda, Rwanda has started building an integrated social protection system to ensure a minimum standard of living and access to core public services, boost resilience to shocks, promote equitable growth, and strengthen opportunity through increased human capital development. These efforts have allowed Rwanda to make rapid progress in establishing a strong base for a social safety net, but these systems remain at an early stage by global standards. Much work remains to ensure expansion of the coverage of SP programs, to maximize the poverty and human development impact of Rwanda’s social protection programs, and to ensure that opportunities exist for families benefitting from social protection to build pathways out of poverty.3 6. The GoR is fully committed to investing in children’s development and in jumpstarting an integrated program to combat chronic malnutrition. Social protection is expected to play a key role, particularly in supporting vulnerable pregnant mothers and young children to ensure that they have access to the services and support needed. As such, this project is part of a larger World Bank program supporting the government in combating malnutrition, notably during the first 1,000 days in life, which includes new FY18 projects in nutrition, agriculture and social protection, a program of analytical work, private-public partnerships and a transversal focus on water and sanitation (see Table 1 below). The FY18 nutrition project will support community level prevention and management of stunting; improved coverage of high-impact health and nutrition services; and knowledge sharing and innovations to enhance impacts. In coordination with a new agriculture project and a transversal focus on water and sanitation, these two projects will form a joint program on combatting chronic malnutrition, and will liaise closely with the newly formed National Food and Nutrition Coordination Secretariat (NFNCS) housed at MINALOC and accountable for coordinating nutrition interventions. 7. The project also propose to support the introduction of new nutrition support grants, targeted to vulnerable households with pregnant women and children, notably under 2 years of age. The proposed US$10 million Power of Nutrition funding would finance the introduction and evaluation of a new nutrition support grant targeted to vulnerable (Ubudehe 1) households, beginning in a sample of the districts targeted for support under the health project, while aiming to reach national scale and covering vulnerable households with children up to age 5. This will provide a demand-side complement to the supply side interventions being supported in the nutrition and agriculture projects, paving the way for improved consumption, parenting and nutrition sensitive practices and access to services. 3 Oxford Policy Management. Sep 29, 2017 Page 4 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) Table 1: Pathways to improved nutrition within the health and social protection operations 8. The proposed investment project would build on the success of three series of development policy operations (DPOs) which helped establish the foundation of Rwanda’s social protection system . The recently concluded DPO series supported Rwanda to rapidly establish a well-structured social safety net with national coverage of key components, based on a set of reforms foundational to the efficiency, accountability and transparency of the system. At the heart of these reforms was 2009 establishment and active scale up of the flagship Vision 2020 Umurenge Program (VUP), an effort that received strong technical and financial support from the World Bank and other development partners. The two core safety net components of the VUP are: direct support (DS) that provides unconditional cash transfers to eligible households with no labor capacity and currently reaches 94,500 households across the country; and classic public works (cPW) that offers short-term work opportunities on labor-intensive projects to eligible households with labor capacity, covering 105,000 households. 9. The proposed operation would build on the foundational reforms to bring the implementation of the social safety net to the next level by supporting the Government to improve the adequacy and effectiveness in the delivery of social protection, with a primary focus on the VUP. A 2014 impact evaluation (Hartwig, 2014) found that both VUP DS and cPW can have positive impacts on household wellbeing by enabling them to meet immediate needs and accumulate livestock, but that these impacts are less pronounced for PW than for DS beneficiaries and might not be sustained. This and other analytical work (Ayliffe et al., 2015a and 2015b; FAO, 2015; and FATE Consulting, 2015) suggest that stronger impacts of VUP can be expected if i) the timeliness and predictability of DS and PW payments is improved; ii) coverage of PW is extended to a higher proportion of eligible households (currently only around 49% of eligible households participate in PW); iii) PW are better adapted to the needs of labor constrained households by providing more accessible job types and providing higher transfers for a sustained period, by offering a higher number of days’ work; iv) DS targeting criteria is expanded, or a separate program is designed, to include more vulnerable households, specifically those with limited labor and caring responsibilities; and vi) linkages to key services and to information on entitlements are Sep 29, 2017 Page 5 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) strengthened for vulnerable and marginalized households. The project would support strengthening of the design and implementation of the social safety net to address these issues, including by building program management capacity at both central and local government levels for better planning, implementation, monitoring, and evaluation. 10. The operation is fully aligned with Rwanda’s National Social Protection Strategy (NSPS, 2013 -2018) and Economic Development and Poverty Reduction Strategy (EDPRS-2, 2013-2018). The NSPS sets out five key priorities. These are to: i) increase coverage of the extreme poor and vulnerable; ii) address child poverty and vulnerability in the poorest households; iii) ensure a sustainable impact of the social protection system on extreme poverty; iv) establish a more efficient, effective and harmonized social protection system; v) and improve the measurement and visibility of social protection results and impacts. The operation will particularly support the commitments under priority ii) on child poverty, which include to: increase the social protection coverage of extremely poor households with children, primarily by increasing the coverage of public works programs; review the design of public works programs to make them more responsive to child poverty and nutrition; and create synergies with complementary programs that promote child nutrition and well-being. 11. Analytical work has identified some challenges with cPW, including issues of self-exclusion of moderately labor-constrained households, lack of knowledge on available services, inability to accumulate assets, and unintended negative impacts on the care and nutrition of young children4. In response, the GoR has designed a new Expanded Public Works Component (ePW) for moderately labor-constrained households caring for children, which will offer a more flexible year-round work schedule, more compatible with daily wage work and caring responsibilities. The new types of public works on offer will include home-based childcare work, whereby ePW participants will be paid to care for the children of other extremely poor households while parents work elsewhere. A program of community-based parenting training and supervision for the child-care focused public works would be developed in close coordination with MIGEPROF and the Ministry of Health leading the new nutrition project. The GoR has also begun testing various livelihood enhancement activities to address barriers to asset accumulation and access to services for the most vulnerable households. 12. This social protection project would be implemented by the Ministry of Local Government (MINALOC) and the Local Administrative Entities Development Agency (LODA), the Ministry and implementing entity charged with social protection and local government coordination respectively. MINALOC is a well- established ministry within the GoR structure, with a broad mandate for local development cutting across a range of sectors and is the primary agency responsible for social protection. LODA is a semi-autonomous agency under MINALOC, with a mandate to coordinate implementation of local government support activities in economic development and social protection. C. Proposed Development Objective(s) Development Objective(s) (From PAD) 13. The project development objective is to improve the effectiveness of Rwanda’s social protection system, notably the flagship Vision Umurenge Program (VUP), for targeted vulnerable groups. 4 Ayliffe et. al., 2015a and 2015b; FAO, 2015; and FATE Consulting, 2013, and 2015. Sep 29, 2017 Page 6 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) Key Results 14. The PDO-level indicators will be the following: - % of all eligible households covered by the VUP (ePW, cPW and DS) - % of cPW households reaching the minimum number of workdays of cPW employment (in the reporting period) - % of eligible ePW households that receive their full ePW entitlement (in the reporting period) - % of eligible DS households that receive their full DS entitlement (in the reporting period) - % of VUP households receiving one or more priority complementary services5 - Number of ePW beneficiaries employed in community or home-based ePW childcare projects - % of VUP beneficiary payments delivered on time (DS, ePW and cPW) D. Project Description 15. The VUP program has been recently re-designed to respond to findings of analytical work and to emerging national priorities and the proposed operation will focus on supporting key innovations as well as improvements in the overall effectiveness of the safety net in terms of coverage, timeliness of payments, and adequacy of PW transfers. Component 1 will support safety nets; component 2 will support access to human capital and economic inclusion services as a complement to safety nets; and component 3 will build implementation capacity and support and monitoring and evaluation to underpin implementation. The project has been structured around the following three components to support the VUP flagship social safety net program and ensure strong social protection contributions to the national program on combatting chronic malnutrition: Component 1: Improving coverage, adequacy and effectiveness of the Vision Umurenge Program (VUP) cash transfers. 16. The operation will cover, through IDA funds, 38% of the costs of the VUP safety nets: transfers; public works wage and non-wage costs, including capital costs of classic public works; and associated administrative costs. This will contribute to: i) Continuation of Direct Support (DS) grants to all eligible populations nationwide and expansion of eligibility criteria to include households with disabled members. Continuation of support to approximately 95,8466 Ubudehe 1 households without labor capacity and expansion to approximately 11,000 Ubudehe 1 single worker households caring for a person with a severe disability; ii) Continuation of Classic Public Works (cPW) from 128,000 households7 (in 240 sectors) currently to approximately 131,000 (in 270 sectors) by the end of the operation, with progressive improvements in: the percentage of eligible households that are covered (to 75% up from 67% currently)8; timeliness of payments; and the average number of days’ work offered, in order to increase the adequacy of total annual transfers (up to 75 days from 66 currently). 5 This indicator measures whether or not VUP beneficiaries receive one or more of the following benefits: asset transfers, health insurance, community sensitization activities, parenting education, and financial education. 6 Actual number, FY 2016-17, Q4. 7 Actual number, FY 2016-17, Q4. 8 This refers to coverage rate in VUP cPW sectors. Sep 29, 2017 Page 7 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) iii) Major extension of a new gender and child sensitive Expanded Public Works (ePW) model to reach 54,000 households (in 270 sectors) by the end of the operation (up from 2,757 in 30 sectors in FY 2016-17 Q4). EPW offers year-round, multi-year, flexible, part-time work opportunities to moderately labor-constrained households, often single headed households with caring responsibilities. The current ePW sub-projects are primarily flexible road maintenance, an established model with developed norms and regulations. Community and home-based childcare will be launched as a new type of ePW scheme in FY 2018/19: ePW participants will be employed as child caregivers and trained and supervised by appropriate cell and sector level staff, with resultant synergies to nutrition and early childhood development objectives. This new ePW child care model will be refined in collaboration with MIGEPROF and subject to an evaluated pilot before scale-up. Other new ePW subproject types may also be explored. The coverage of ePW will be deepened in each sector to cover at least 200 households9; geographical coverage will be expanded from the current 30 sectors to all 270 cPW sectors by the end of the project period. These 270 sectors have been selected on the basis of a poverty map which includes the concentration of extremely poor households within the district using EICV data, coupled with data on the number of vulnerable Ubudehe 1 households across sectors. In addition to wages of eligible households employed on ePW, the project will cover direct non-wage costs of ePW, which will not exceed 30% of total direct costs and will consist mainly of goods, including: tools for road maintenance; and equipment, food and minor refurbishments essential to the provision of quality community and home-based childcare (such as latrine construction, and minor infrastructure improvement required as per MIGEPROF’s guideline). 17. A proposed US$10 million Power of Nutrition grant would finance the introduction and evaluation of a new Nutrition Support grant in 3- 5 districts over three years: a new child focused nutrition support grant will be introduced, targeted to poor (Ubudehe 1), nutritionally vulnerable households with pregnant women and children, with a focus on the 1,000 day window from later pregnancy until age 2, with plans for eventual expansion to national coverage of vulnerable households with children under age 5. It will be a conditional cash transfer, with requirements for the use of maternal and child health services (including ante and post- natal care, as well as following established protocols for vaccinations and growth monitoring of young children). It will be coupled with behavioral support for parenting, as provided in Component 2. The grant will be twinned with supply side interventions provided by the new World Bank nutrition project as a complement to the overall GoR program for combating chronic malnutrition. Specific targeting criteria between the nutrition support grant and ePW are still being determined, but households will only be eligible for one or the other, but not both, programs. This element is proposed for inclusion as additional financing, to be processed once administrative and financial arrangements with Power of Nutrition have been concluded. Component 2: Enhancing access to human capital and economic inclusion services 18. Component 2 will improve the contribution of the Social Protection sector to boosting human capital creation and economic inclusion services, with a particular focus on combating chronic malnutrition and improving child development goals, as well as piloting the improving livelihoods by promoting skills development, resilience and access to services. This component will adopt a “learning by doing� approach to scale up innovative interventions to improve resilience in poor households. It will do this through a three-step process of designing a pilot intervention, including detailed implementation guidance, carrying out a process evaluation of the intervention (supported under Component 3 or through other DPs), and scaling up based on 9 The budgeting policy states that ePW will cover at least 70-80% of eligible households. 200 is an estimate. Sep 29, 2017 Page 8 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) decisions informed by the evaluations. The delivery of these components will make use of innovative public- private partnership, including the contracting out of service delivery and linkages with and referral to other programs, leveraging MINALOC and LODA’s cross sectoral mandate. This will both test new models and provide support through quality enhancements and accompanying measures to the cash transfers under Component 1. Activities to be supported by this component will include: 1) National level sensitization and community mobilization: This sub-component has three main objective: a. build awareness and understanding of issues which affect potential for resilience to extreme poverty (e.g. health and hygiene; nutrition; basic animal husbandry, WASH); b. ensure households understand their rights and responsibilities and empower communities to hold duty bearers to account for the delivery of high quality services and the appropriate use of social protection resources; and c. build public understanding and awareness of VUP objectives, modalities and impacts. Sensitization and community mobilization is a longstanding element of the VUP, but its implementation has hitherto been limited by capacity gaps at local level. This component will revitalize the community mobilization elements of LODA and VUP and will scale-up selected Behavioral Change Communications (BCC) through channels such as radio, notably in coordination with the nutrition project and the Rwanda Biomedical Corporation (RBC) developed sensitization campaigns. 10 2) Improving parenting and childcare services for vulnerable families in targeted communities : The project will provide: (a) Community level support to households including cognitive stimulation of young children, parenting, appropriate feeding and incentivizing the use of maternal and child health and nutrition services. This support will be provided as a package in conjunction with the new ePW childcare model and potential nutrition support grants. Cooking demonstration sessions will be also rolled out through the implementation of community kitchen gardens. (b) Quality enhancement and supervision to community and home-based ePW child care sub-projects. Since home-based childcare since is a new area for the VUP and capacities within GoR district and sector offices are limited, specific training and supervision needs will not easily be absorbed within existing budgets. In coordination with MIGEPROF, the operation then would finance: i) contracting of an NGO or company at national level to develop a community/home-based care training curriculum and carry out training of trainers; ii) contracting and training of one part-time trainer in home-based care in every sector to train and oversee cell-level supervisors and build capacity of sub-national GoR staff; and iii) contracting and training of one supervisor in every cell to provide direct support to and supervision of caregivers in ePW community and home based care settings. 3) Enhancing livelihoods: The supporting sustainable livelihoods and eventual graduation from extreme poverty is a major policy priority of the GoR. Interventions currently include a combination of 10 The Project will follow the guidelines of the Rwanda Biomedical Center (RBC), the agency responsible for delivering BCC nationwide. BCC sessions currently include water and sanitation, parenting and other key messages for improving nutrition, as well as material produced in partnership with USAID and other Development Partners. The Project will build on the existing guidelines and materials to validate them and finance a proposed scale up. Sep 29, 2017 Page 9 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) asset transfer grants with caseworker support, as well as other guarantees to the beneficiaries. Subject to clarification by GoR of its design of the caseworkers’ system and asset transfers within this, the operation will support the strengthening and roll-out of these interventions that would support sustainable livelihoods and access to economic opportunities. Caseworkers would visit prioritised vulnerable households, and, based on an understanding of their particular constraints and opportunities, enhance referrals to a range of productive and social services appropriate to their needs. During FY 2017, before the start of the operation GoR will finalize and the Bank will review the design documents of these interventions, including a comprehensive package of asset transfers, caseworkers support and training. GoR will then move ahead with strengthening tools and training materials for caseworkers and their supervisors and establishing decentralised cadres of caseworker trainers. Dependent on the results of a review of these to be carried out during FY 2018, the operation may provide financing for the rapid scale-up of caseworkers to 270 sectors by the end of the operation. Caseworkers would receive sufficient training on nutrition and ECD appropriate practices to ensure appropriate referrals to CHWs, Friends of the Family, and other relevant services. A process evaluation of the asset transfers will also be carried out in CY 2018, and, dependent on the results of this, the IPF might support the provision of asset transfers to 10% of PW households (targeting criteria to be determined). 19. Components 1 and 2 are supporting three innovations, each of which need an approved design, an evaluated pilot and decisions on program design and funding implications prior to full rollout under the operation. These innovations include: (a) the enhancing livelihoods package, which potentially can include skills training, asset transfers (productive and livestock), and referrals to other productive and social services; (b) ePW childcare, which has a detailed design, remains to be approved by GoR and has not yet been piloted; and (c) the nutrition support grants, which are currently being designed and could potentially be funded through this operation. Other new models could also be considered for support, subject to the same process of design, pilot, evaluation and review. Component 3: Capacity building for policy development, systems strengthening and program management 20. This component will build local and national government capacity implement Components 1 and 2, as well as to improve the larger social protection system in Rwanda. MINALOC and LODA will lead their respective subcomponents, which include the following areas: (i) Capacity Building for Evidence-Based Policy and Program Development; (ii) Service Delivery Systems; and (iii) Institutional Strengthening for Improved Service Delivery. a) MINALOC Capacity Building i) Capacity Building for Evidence-Based Policy and Program Development to support new and innovative policy and program design changes for the sector. The new NSPS will begin implementation in July 2018. The IPF will support assessments to monitor and evaluate progress of these new strategies and programs, and propose design changes. The project will also support training and capacity building of policy makers and civil servants on monitoring and evaluation methodologies for the social protection sector. ii) Service Delivery Systems strengthening. Substantial efforts have gone into designing and putting into place Rwanda’s social protection service delivery systems. Notably, the government Sep 29, 2017 Page 10 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) has developed a comprehensive integrated social protection management information system (iSP-MIS), which serves as a registry for populations eligible for social protection services and a link to the Ubudehe database (social registry) and other program specific registries as well as the national identification database. Further support is required to operationalize and upgrade these systems for use across the social protection system, and build in further functionality, such incorporating the NFNCS. iii) Institutional Strengthening for Improved Service Delivery. The IPF will finance additional posts in the MINALOC SPIU and technical assistance to the NFNCS, in order to strengthen technical, financial and procurement capacities for implementation of the IPF. Social protection training will be provided to mid and senior level staff and technical support will be provided to improve program coordination, through training and expertise to develop guidance and systems. Project management costs, including MINALOC incremental operating costs and additional PIU staff, will also be supported through this component. b) LODA Capacity Building i) Capacity Building for Evidence-Based Policy and Program Development, focused on VUP program design changes, including adding complementary child development and nutrition support services and a focus on promoting livelihoods. These new programs will require significant design and implementation support, as well as high quality monitoring and evaluation. Analytical work will be supported and expert technical advice and training to improve VUP monitoring and evaluation mechanisms, impact evaluation design and implementation. ii) Service Delivery Systems. LODA has various new, promising social protection service delivery systems that need strengthening. LODA has developed an updated monitoring and evaluation MIS (MEIS) and has a newly introduced a grievance and redress system (the citizen monitoring system or CMS). Full operationalization of these systems has not yet occurred, however, and payments issues have not been fully resolved. Thus, further support is required to operationalize and upgrade these systems for use across the social protection system, and build in further functionality, such as citizen monitoring and payments. Finally, support is required around cross- sectoral coordination and program harmonization. 21. Institutional Strengthening for Improved Service Delivery. Support will be provided to build human resource capacity at all levels: central, district, sector and cell. At central level, the IPF will finance additional posts in the LODA SPIUs in order to strengthen technical, financial and procurement capacities for implementation of the IPF. Social protection training will be provided to mid and senior level staff; and technical support will be provided to improve program coordination, through training and expertise to develop guidance and systems. Staff in districts and sectors with key responsibilities for VUP implementation will be trained on the revised VUP programs policy, procedures and systems and social protection in general. In order to sustainably build capacity for frontline delivery at cell level, frontline staff will be trained by LODA, either directly or through the contracting of private providers. Project management costs, including LODA incremental operating costs and additional PIU staff, will also be supported through this component. E. Implementation Sep 29, 2017 Page 11 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) Institutional and Implementation Arrangements 22. Addressing the project development objectives will require the involvement of many stakeholders, and, in particular, component two will require the active engagement of ministries with responsibilities for ECD and nutrition (MIGEPROF, MINISANTE and MINAGRI). Nonetheless, experience has shown that having many implementing agencies tends to increase challenges and delays in project implementation, particularly in a context of variable local level institutional capacity and limited social protection sector experience in the implementation of World Bank investment finance projects. 23. Thus, while coordination will involve a range of actors, implementation arrangements for this project will be kept as simple as possible, with two established implementing agencies and clear responsibilities for each, operating under a set of agreed upon principles. The World Bank and Government teams have agreed the following general principles to guide the establishment of institutional arrangements: minimize the number of agencies involved; rely on existing structures without creating additional ones; and respect the mandates, capacity implications, and requirements of the project (both from a technical and fiduciary perspective). 24. The two bodies responsible for project implementation, coordination and supervision will be MINALOC (which has the policy mandate for social protection, cross-sectoral local government coordination, and hosts the National Food and Nutrition Coordination Secretariat whose role is to coordinate nutrition policy) and LODA (which is responsible for the implementation of the Government’s flagship VUP social protection program). MINALOC will oversee coordination at the policy level, ensuring that the Development Objectives of the project are being fulfilled and aligning the activities with the national priorities in Social Protection; LODA will have lead responsibility for implementing component one; and MINALOC and LODA will each implement specific activities under components 2 and 3. Both MINALOC and LODA already have Single Project Implementation Units (SPIU) in place, and these will take responsibility for fiduciary and administrative management of the IPF. In LODA a new Social Protection Unit will be added within the SPIU, headed by an SP Unit Manager and comprising additional technical and finance/procurement staff. A Social Protection Specialist will be added to the MINALOC SPIU to strengthen capacity. Co-ordination across Ministries and with other development partners shall be the responsibility of the existing Social Protection Sector Working Group (SWG) and its sub-committees, strengthened through the addition of a SWG Coordinator in the MINALOC SPIU. . F. Project location and Salient physical characteristics relevant to the safeguard analysis (if known) The project will support the strengthening and expansion of Rwanda’s flagship social protection programme – the Vision 2020 Umurenge Programme (VUP) through, among other initiatives, increasing access and coverage of social services by implementing various public works. VUP Expanded Public Works scheme is designed to address challenges of moderately labour-constrained households through provision of multi- year, year-round, flexible (working hours) public works in 270 sectors nationwide (sectors are distributed in the entire 30 districts). The types of project implemented under VUP public works are characterized by their labour-intensity and will include: community and access road construction and rehabilitation; urban drainage; marshland reclamation; terraces construction; schools and organized settlements construction; and rehabilitation and construction of water and sanitation networks. Refurbishment of community-based centers and selected houses to provide community-based and home-based childcare will also be added. The project is a countrywide program and expended Public works, particularly access roads rehabilitation might Sep 29, 2017 Page 12 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) be in Western and Southern parts of the country characterized by mountainous terrains with high incidences of landslides and erosion. G. Environmental and Social Safeguards Specialists on the Team Theogene Habakubaho, Social Safeguards Specialist Emmanuel Muligirwa, Environmental Safeguards Specialist SAFEGUARD POLICIES THAT MIGHT APPLY Safeguard Policies Triggered? Explanation (Optional) The project will engage in the execution of various public works activities in numerous sites that will potentially impact the environment. The public works greening and beautification projects, progressive terrace construction, terracing, community road construction, maintenance and rehabilitation, and marsh rehabilitation. These works are implemented by community labor The environmental impacts will vary in scale or magnitude and will be sub-project specific. In the absence of sufficient information on specific Environmental Assessment OP/BP 4.01 Yes project implementation sites, the client has prepared an ESMF that provides a subproject screening and approval process, which entails guidelines on conducting site specific environmental assessments. The screening procedure gives a description of category A and other high risk subprojects, to be automatically excluded from the review process. Cat A will be excluded since they would significantly affect timeliness of implementation of VUP PW projects (and thereby undermine achievement of social protection objectives), cost of environmental or social mitigations leads to a decline in labor- Sep 29, 2017 Page 13 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) intensity below the 70% threshold, projects will be rejected by LODA or an alternative source of funds will be identified for either the project as a whole or for implementation of the mitigation measures, etc. To address the project/subproject potential negative environmental impacts, the ESMF also provides guidance on identification, assessment and mitigation of the impacts. The proposed works such as Greening & beautification projects, Progressive terrace construction, terracing, community road construction, maintenance and rehabilitation, and Marsh rehabilitation, could affect natural habitats such as streams, rivers, grasslands and therefore OP 4.04 on Natural habitat is triggered. Natural Habitats OP/BP 4.04 Yes Although the exact locations of wetlands to be affected is not known, the project ESMF has provided guidance through the subproject review and approval process of identifying, assessing, mitigating against negative impacts to affected wetlands. The ESMF also provides guidance on the preparation of subproject specific ESIA, for those with significant environmental impacts. The project will not operate in or require clearing of forested areas or significant extraction of forest products to attain its development objectives. The Forests OP/BP 4.36 No project activities do not have potential for significant forest degradation or loss. The policy is not triggered. The project will not involve the procurement of pesticides or pesticide equipment or lead to Pest Management OP 4.09 No substantial increase in pesticide use. The policy is not triggered. The ESMF environmental and social screening tool includes procedures for chance finds. Impacts on physical cultural resources (PCRs) could potentially take place during civil works. The extent of the project impacts on Physical Cultural Resources(PCR) Physical Cultural Resources OP/BP 4.11 Yes are not yet known. The project geographical coverage (countrywide) increases the likelihood of affecting PCRs. The ESMF environmental and social screening tool Sep 29, 2017 Page 14 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) includes the identification of chance finds. The subproject project will be reviewed for potential impact on physical cultural property and clear procedures will be required for identification, protection of cultural property and treatment of discovered artefacts. While not damaging cultural property, sub-project preparation will identify and include assistance for preservation of historic or archaeological sites. However, the civil works shall not start until the ESIA (including an acceptable Cultural Resource Management Plan) has been submitted to the Bank, cleared, and disclosed and compensation has been paid. There are no ethnic minorities or indigenous peoples in Rwanda that meet the defining criteria of OP 4.10. Indigenous Peoples OP/BP 4.10 No that are likely to be affected by the project activities. The policy is not triggered. Extended public works will most likely induce land acquisition. A Resettlement Policy Framework (RPF) Involuntary Resettlement OP/BP 4.12 Yes will has been prepared and gives guidance on resettlement during project implementation. The project activities do not involve the construction or rehabilitation of any dams; and are not Safety of Dams OP/BP 4.37 No dependent on existing dams. The policy is not triggered. The project does not negatively affect the use and protection of international waterways. Projects on International Waterways No OP/BP 7.50 None of the investments or project financed activities will be located on international waterways thus this policy is not triggered. None of the investments, project financed activities Projects in Disputed Areas OP/BP 7.60 No or operations will be located in disputed areas so this policy is not triggered. KEY SAFEGUARD POLICY ISSUES AND THEIR MANAGEMENT A. Summary of Key Safeguard Issues 1. Describe any safeguard issues and impacts associated with the proposed project. Identify and describe any potential large scale, significant and/or irreversible impacts: Proposed public works will be mainly implemented by communities through cash for work scheme. However, a number of excavations, soil disturbance and some increased traffic around sites associated with the delivery and removal of construction materials and construction debris are anticipated. There is therefore, a risk of temporary Sep 29, 2017 Page 15 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) increases in pollution and degradation of the environment, including through mud slides, noise, dust and air pollution. There is also risk of run-off from construction sites, inadequate or inappropriate drainage of the construction site and inadequate safety measures, etc. The above environmental impacts are generic in nature occurring along all the project activities where civil works are involved. In addition to the above, there are risks of indirect negative impacts such as generation of vectors and vector borne diseases in the vicinity of construction activities etc. Other safeguards issues may include lose of some assets (trees, crops, structures) located projects sites. New infrastructure, like community roads to be rehabilitated may take up individual or community land or affect individual or community crops and properties. 2. Describe any potential indirect and/or long term impacts due to anticipated future activities in the project area: Long term impacts are largely positive mainly due to improved service delivery at local community level resulting from increased access and access roads connectivity. Other impacts include reduction in travel time, improved connectivity, accessibility and mobility in the rural areas, improved movement of goods and trades and consequently improvement of local economy, increased in social and industrial activity. The rehabilitation and maintenance of roads infrastructure will reduce the overall transportation cost and allow exchange of food and goods between regions. Furthermore, farmers will get better market access for their produce. This interaction among community members is likely to enhance social interaction between people from different places. 3. Describe any project alternatives (if relevant) considered to help avoid or minimize adverse impacts. The subproject review and approval process proposed under the ESMF, incorporated guidelines for alternatives analysis and their application for subproject preparation, as appropriate. 4. Describe measures taken by the borrower to address safeguard policy issues. Provide an assessment of borrower capacity to plan and implement the measures described. The borrower has prepared an ESMF and RPF that provide guidance on the incorporation and mainstreaming of environmental and social concerns in the subproject cycle. The ESMF gives clear procedures and methodologies for review, approval and implementation of subprojects to be financed by the project. The ESMF provides more site- specific measures for potential impacts on natural habitats, physical cultural resources and labor influx during construction even this is not a major issue in this project since local labor will be used. The ESMF also includes guidance on: - Preparation and implementation of subprojects to adequately address World Bank safeguard issues; - Assessment of potential environmental and social impacts of envisaged subprojects; - Identification of mitigation measures which will effectively address identified negative impacts; - Generic outline and contents of a simplified Environmental and Social Management Plan (ESMP); - roles and responsibilities, reporting procedures, for managing and monitoring environmental and social concerns related to subprojects; - Defining a public consultation and disclosure process; - Determining training, capacity building and technical assistance needed to successfully implement the provisions of the ESMF; and - Costs estimates required to implement the ESMF activities. Sep 29, 2017 Page 16 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) The main project implementing entity is LODA with the oversight of MINALOC. The SPIU has experience in the implementation of World Bank projects involving civil works. Project implementation will be at the community level through decentralized structures of governance i.e. sectors and districts. This local level implementation will rely heavily on the existing capacity and skills, which are mainly lacking, implying the requirement for reliable safeguards competency at the central level – LODA. These local government units will be supported by LODA as well as the Rwanda Environment Management Authority (REMA) which is mandated to provide guidance in the monitoring of the implementation of safeguard measures. To this end, LODA will environment recruit environmental and social safeguards specialist to oversee and provide technical support in the implementation and monitoring of the project Environmental and Social Management Framework (ESMF) and Resettlement Policy Framework(RPF) implementation as well the subprojects’ instruments. The ESMF implementation will follow the same structure as the Project implementation mechanisms. Specific to the ESMF implementation, the following arrangements are going to be made; - LODA/SPIU will recruit a social and an Environmental Safeguard Specialists to supervise and oversee the overall implementation of the ESMF at SPIU, District and Sector level. These specialists will conduct capacity building and training sessions for the designated Environment/ Social safeguards staff at District and Sector Level. - LODA/SPIU safeguards staff will be responsible for ensuring Project compliance with National and World Bank policies on Environment and Social Safeguards. The safeguard specialist will conduct the screening and scoping of subprojects under review to ensure the mainstreaming of environmental and social concerns; and the preparation of the appropriate subproject environment and social management plan. - The District technical supervisor/designated safeguard staff will coordinate the implementation of subprojects environment and social management plan at the District level. - The Sector designated safeguard staff will support the District technical supervisor in monitoring and supervision the implementation of the environment and social management plans. 5. Identify the key stakeholders and describe the mechanisms for consultation and disclosure on safeguard policies, with an emphasis on potentially affected people. Consultation with all project stakeholders began during the Scoping phase and continued throughout the entire ESMF process and will continue into the social protection public works implementation and operational phases. Consultations with districts administration, community members, church leaders, local investors, project staff, and project affected persons will be organized prior to project implementation. Interactive discussions with Muhanga and Nyaruguru Districts and Sectors officials of Cyahinda, Shyogwe and Muhanga; Districts One Stop Center teams, both District Environmental Officers, the in charge of land administration and the in charge Social Development Unit were organized. Other relevant stakeholders at national level such as government institutions (REMA, LODA, MINALOC and MINAGRI) have been consulted and informed about the project. The implementation of these subprojects will involve collaboration with REMA and MINALOC/LODA to ensure diligent implementation of the proposed mitigation measures in the ESMPs by the Districts. Sep 29, 2017 Page 17 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) B. Disclosure Requirements OPS_EA_DISCLOSURE_TABLE Environmental Assessment/Audit/Management Plan/Other For category A projects, date of Date of receipt by the Bank Date of submission for disclosure distributing the Executive Summary of the EA to the Executive Directors 04-Sep-2017 29-Sep-2017 "In country" Disclosure Rwanda 29-Sep-2017 Comments OPS_RA_D ISCLOSURE_T ABLE Resettlement Action Plan/Framework/Policy Process Date of receipt by the Bank Date of submission for disclosure 04-Sep-2017 29-Sep-2017 "In country" Disclosure Rwanda 29-Sep-2017 Comments C. Compliance Monitoring Indicators at the Corporate Level (to be filled in when the ISDS is finalized by the project decision meeting) OPS_EA_COMP_TABLE OP/BP/GP 4.01 - Environment Assessment Does the project require a stand-alone EA (including EMP) report? Yes If yes, then did the Regional Environment Unit or Practice Manager (PM) review and approve the EA report? Yes Are the cost and the accountabilities for the EMP incorporated in the credit/loan? No OPS_ NH_COM P_TA BLE OP/BP 4.04 - Natural Habitats Would the project result in any significant conversion or degradation of critical natural habitats? No Sep 29, 2017 Page 18 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) If the project would result in significant conversion or degradation of other (non-critical) natural habitats, does the project include mitigation measures acceptable to the Bank? NA OPS_ PCR_COM P_TA BLE OP/BP 4.11 - Physical Cultural Resources Does the EA include adequate measures related to cultural property? Yes Does the credit/loan incorporate mechanisms to mitigate the potential adverse impacts on cultural property? No OPS_IR_ COMP_TA BLE OP/BP 4.12 - Involuntary Resettlement Has a resettlement plan/abbreviated plan/policy framework/process framework (as appropriate) been prepared? Yes If yes, then did the Regional unit responsible for safeguards or Practice Manager review the plan? Yes OPS_ PDI_ COMP_TA BLE The World Bank Policy on Disclosure of Information Have relevant safeguard policies documents been sent to the World Bank for disclosure? Yes Have relevant documents been disclosed in-country in a public place in a form and language that are understandable and accessible to project-affected groups and local NGOs? Yes All Safeguard Policies Have satisfactory calendar, budget and clear institutional responsibilities been prepared for the implementation of measures related to safeguard policies? Yes Have costs related to safeguard policy measures been included in the project cost? Yes Does the Monitoring and Evaluation system of the project include the monitoring of safeguard impacts and measures related to safeguard policies? Yes Have satisfactory implementation arrangements been agreed with the borrower and the same been adequately reflected in the project legal documents? Yes Sep 29, 2017 Page 19 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) CONTACT POINT World Bank Laura B. Rawlings Lead Social Protection Specialist Briana N. Wilson Sr Social Protection Specialist Borrower/Client/Recipient Ministry of Finance and Economic Planning (MINECOFIN) Ronald NKUSI Director, External Finance ronald.nkusi@minecofin.gov.rw Joy DUKUZE External Finance Staff joy.dukuz@minecofin.gov.rw Implementing Agencies Ministry of Local Government (MINALOC) Odette UWAMALIYA Permanent Secretary odette.uwamariya@minaloc.gov.rw Yves Bernard NINGABIRE DG – Planning and M&E bernard.ningabire@minaloc.gov.rw Emmanuel BUGINGO Social Protection Specialist ebugingo@minaloc.gov.rw Local Administrative Entities Development Agency (LODA) Laetitia NKUNDA Director General laetinkunda@yahoo.fr Justine GATSINZI Sep 29, 2017 Page 20 of 21 The World Bank Strengthening Social Protection - Rwanda (P162646) Division Manager, Social protection programs gatsinzijustine57@gmail.com Saidi SIBOMANA Division Manager / Local Development Planning and Programs saidi.sibomana@loda.gov.rw FOR MORE INFORMATION CONTACT The World Bank 1818 H Street, NW Washington, D.C. 20433 Telephone: (202) 473-1000 Web: http://www.worldbank.org/projects APPROVAL Laura B. Rawlings Task Team Leader(s): Briana N. Wilson Approved By Safeguards Advisor: Maged Mahmoud Hamed 03-Oct-2017 Practice Manager/Manager: Dena Ringold 04-Oct-2017 Country Director: Trichur K. Balakrishnan 10-Oct-2017 Sep 29, 2017 Page 21 of 21