Document of The World Bank FOROFFICIAL USEONLY ReportNo: 41795-BD PROJECTAPPRAISAL DOCUMENT ONA PROPOSED CREDIT INTHE AMOUNT OF SDR21.9 MILLION (US$3 5 MILLION EQUIVALENT) TO THE THE PEOPLE'SREPUBLIC OF BANGLADESH FORA DISABILITY AND CHILDREN-AT-RISKPROJECT June 3,2008 This document has a restricted distribution and may be used by recipients only in the performanceof their official duties. Its contents may not otherwise be disclosed without World Bank authorization. CURRENCY EQUIVALENTS (Exchange Rate Effective February 29,2008) CurrencyUnit = Taka Taka = US$1 1.60079US$ = SDR 1 FISCAL YEAR July 1 - June30 ABBREVIATIONS AND ACRONYMS BSAF BangladeshShishuAdhikar Forum BIDS BangladeshInstitute of Development Studies CAS Country Assistance Strategy CBR Community-BasedRehabilitation DAF Director of Administration and Finance DPOs Disable People's Organizations DSS Departmentof Social Services F M Financial Management GDP Gross Domestic Product GOB Government of Bangladesh HI Handicap International HIES HouseholdIncome and Expenditure Survey I A ImplementingAgency ICB International Competitive Bidding IDA International DevelopmentAssociation ILO International Labor Organization JPUF Jatiyo Protibondhi UnnayanFoundation M&E Monitoring andEvaluation MDG Millennium DevelopmentGoals MOLG Ministry of LocalGovernment MOSW Ministry of Social Welfare NFDDP National Foundationfor the Developmentof Disabled Persons NFOWD National Federationof OrganizationsWorking for the Disabled NGOs Non-governmentalorganizations PCAR Protection of Children-at-Risk PKSF Palli Karma Sahayak Foundation PPA Public ProcurementAct PPR Public ProcurementRules PRSP Poverty Reduction Strategy Paper PWD Peoplewith Disabilities SBD StandardBidding Documents SDF Social DevelopmentFund SILS Specific InvestmentLoans UCEP UnderprivilegedChildren'sEducational Program UN UnitedNations UNESCAP UNEconomic and SocialCommissionfor Asia andthe Pacific UNICEF UNInternational Children's EducationFund Country Director: Xian Zhu Sector Director: Michal Rutkowski Sector Manager: Mansoora Rashid FOR OFFICIAL USEONLY BANGLADESH BANGLADESHDISABILITY AND CHILDRENAT RISK PROJECTAPPRAISAL DOCUMENT SOUTHASIA REGION HUMANDEVELOPMENTUNIT Date: June 3,2008 Team Leader: Qaiser M.Khan Country Director: Xian Zhu Sectors: Other social services (100%) Sector Manager/Director: Mansoora Rashid Themes: Other social protection and risk management (P);Social risk mitigation (S) Project ID: P106332 Environmental screening category: Not Required LendingInstrument: Specific InvestmentLoan [ ] Loan [XI Credit [ 3 Grant [ ] Guarantee [ ] Other: For Loans/Credits/Others: Total Bank financing (US$m.): 35.00 Proposedterms: The credit would be an IDA credit repayable in40 years, including a grace period o f 10 years. Total 0.00 35.00 Total: 28.00 7.00 35.00 Borrower: Economic Relations Division, Ministryo f Finance Government o f Bangladesh Dhaka, Bangladesh Fax: 88028813088 ResponsibleAgency: Ministryof Social Welfare Department o f Social Services Government of Bangladesh Dhaka, Bangladesh Jatiyo Protibhondi Unnayan Foundation CRP -Mirpur, Plot N5,Block-A Section-14, Mirpur Dhaka-1206, Bangladesh This document has a restricted distribution and may be used by recipients only in the performance o f their official duties. Its contents may not be otherwise disclosed without World Bank authorization. Does the project depart from the CAS in content or other significant respects? Re$ PAD I.C. [ ]Yes [XINO Does the project require any exceptions from Bank policies? Re$ PAD I K G. [ ]Yes [XINO Have these beenapproved by Bank management? [ ]Yes [ IN0 I s approval for any policy exception sought from the Board? [ ]Yes [ IN0 Does the project include any critical risks rated "substantial" or "high"? Re$ PAD III.E. [ ]Yes [X ] No Does the project meet the Regional criteria for readiness for implementation? Re$ PAD I K G. [XIYes [ ] N o Project development objective Re$ PAD ILC., Technical Annex 3 The objective o fthe proposed Project is to expandthe coverage, use, and quality o f social care services for persons with disabilities and vulnerable children as a means o f promoting equity and social inclusion. Project description [one-sentence summaly of each component] Re$ PAD ILD., TechnicalAnnex 4 COMPONENT A : Expanding Disability Services, Improving Awareness, and BuildingCapacity: This component would expand social and rehabilitationservices for the disabled and build the capacity o f NGOs and government agencies that support the disabled and their families, and/or that work for greater disability awareness, inclusion, and empowerment. COMPONENT B: Establishing a network o f Child Protection Services: The component would adopt a two-pronged approach: (i) it would provide financing andtechnical assistance for scaling upthe services NGOs for street children and other vulnerable childrenwith a focus on improving relevance and quality o f the services; and (ii)gradually shift the social care paradigm o f MOSW both at the policy and programmatic level to adopt a proactive and preventive approach with a stronger focus on reintegration and deinstitutionalization. COMPONENT C: Institutional strengthening the knowledge and skills o fthe managerial and technical officials inthe Ministryo f Social Welfare to provide relevant and effective services for vulnerable groups, with a special focus on disability and child protection. Which safeguard policies are triggered, ifany? Re$ PAD IKF., TechnicalAnnex 10 Significant, non-standard conditions, if any, for: Re$ PAD III.F. Board presentation: July 1, 2008. Loadcredit effectiveness: November 30,2008. Covenants applicable to project implementation: Standard. BANGLADESH Disabilityand Children-at-risk Project CONTENTS Page I. STRATEGIC CONTEXT AND RATIONALE.................................................................................................. 1 A. Country and sector issues.................................................................................................... 1 B. Rationale for Bank involvement......................................................................................... 3 C. Higherlevel objectives to whichthe project contributes.................................................... 3 I1. PROJECTDESCRIPTION................................................................................................................................. 4 A. Lending instrument............................................................................................................. 4 B. Project development objective and key indicators.............................................................. 4 C. Project components ............................................................................................................. 5 D. Lessons learned andreflectedintheproject design............................................................ 8 E. Alternatives considered and reasons for rejection.............................................................. 9 I11. IMPLEMENTATION.................................................................................................................................... 9 A. Partnership arrangements .................................................................................................... 9 B. Institutional and implementation arrangements................................................................ 10 C. Monitoring and evaluation o f outcomes/results................................................................ 10 D. Sustainabhty..................................................................................................................... . . 11 E. Critical risks and possible controversial aspects............................................................... 12 F. Loadcredit conditions andcovenants............................................................................... 14 IV. APPRAISAL SUMMARY........................................................................................................................... 14 A. Economic and financial analyses...................................................................................... 14 B. Fiduciary ........................................................................................................................... 15 C. Social................................................................................................................................. 16 D. Environment...................................................................................................................... 16 E. Safeguard policies ............................................................................................................. 16 F. Policy Exceptions andReadiness...................................................................................... 17 Listof Annexes Annex 1:Country andSector Background................................................................................... 18 Annex 2: Major RelatedProjects Financedby the Bank and/or Other Agencies ......................... 23 Annex 3: Results Framework andMonitoring.............................................................................. 24 Annex 4: Detailed Project Description......................................................................................... 33 Annex 5: Project Costs................................................................................................................. 42 Annex 6: Implementation Arrangements ...................................................................................... 44 Annex 7: Financial Management and Disbursement Arrangements ............................................ 48 Annex 8: Procurement Arrangements ........................................................................................... 59 Annex 9:Economic and Financial Analysis................................................................................. 70 Annex 10: Safeguard Policy Issues............................................................................................... 79 Annex 11: Project Preparation and Supervision ........................................................................... 80 Annex 12: Documents inthe Project File..................................................................................... 81 Annex 13: Statement o fLoans and Credits .................................................................................. 82 Annex 14: Country at a Glance..................................................................................................... 84 Annex 15: Maps............................................................................................................................ 86 I. STRATEGICCONTEXTANDRATIONALE A. Country and sector issues 1. Bangladeshhasmade substantialprogress inreducingincomepoverty over the lasttwo decades, butpovertyandvulnerability still afflict large segments ofthe population. Duringthe 1990s the economy grew annually at almost five percent-twice the average rate of other low income countries -andthis impressiveperformancecontinued through2006 at an acceleratingpace. Nationalpovertyhas declinedat a rate ofroughly one percentper annum for the last 15 years. The most recentHouseholdIncomeandExpenditureSurvey (HIES) data of2005 suggest a povertyrate o f 40 percent (upper poverty line) of the population,or about 56 millionpeople, of whom two-thirds live inextreme poverty. The Government of Bangladesh(GOB) established programs, manywith support from IDA, targetingamong othersthe ruralpoor, elderly, women, children, etc., through provisionof safety nets, microfinanceand other services. However,government recognizesthat some groups remainparticularlymarginalizedwith few targeted interventions. The GOB is committedto developingfinancially sustainable programs to reachthese marginalizedgroups. 2. Prominent amongthese marginalizedgroups are: (i) people with disabilities (PWD); and (ii) particularlyvulnerablechildren(street children,childrenworking inhazardousoccupations, orphans, children/adolescents inconflictwith the law, etc.), especiallyinrapidly growingurbanslums. Lack of access to an adequate education, healthservices, and safety nets not only resultsindisabled people beingexcludedfrom social and economic participation, moreover often leads to their family membersalso havingto forgo paidemployment to stay at hometo providecare. Globalevidence suggests that these factorstranslateinto forgone GDP of about 5-7 percent.' Gertlerand Gruber (2002)2estimate, usingIndonesiandata, those individuals/familieswith illnesseswhich severely limit physicalfunctionare able to smooth less than 30 percent ofthe income loss from such illnesses. For vulnerable children,empiricalevidence from the recently completed MDGReporton Bangladesh suggests that the cost of reversingtheir lackofhumandevelopment opportunitiesin later years is far greater than the cost of investingintheir humandevelopment duringchildhood3(seeAnnex 1for more details onthe profilesof disabledpeople and childreninBangladesh). 3. Inorder to attainthe MDGsand reducepoverty, it would be imperativeto expandand improvethe quality oftargetedsocial care services and economic opportunitiesfor people with disabilities andvulnerablechildreninBangladesh. Government Strategy 4. The GOB is signatory to most ofthe major InternationalDeclarationsand Conventions on disability including:(a) the UNESCAPDecade of DisabledPersons, (b) the MillenniumDecade of DisabledPersons, (c) the BiwakoMillenniumFramework, and (d), most recently,the UN Conventiononthe RightsofPersonswith Disabilities(CRPD). Itpromulgateda NationalPolicy for Disability in2005 to advancethe implementationofthese declarations,andhas developedaNational ActionPlanwhich includesthe followingsix elements: (i) to improvedata collectionto identifythe magnitudeofthe issue; (ii) support the developmentofprioritizeddistrict levelactions andreform the existingNationalFoundationfor the Development ofDisabledPeople (NFDDP) so that it could 1Metts, Robert.Disability Issues, Trends and Recommendationsfor the WorldBank, February 2000 For details see PaulGertler and J. Gruber (2002) "Insuring ConsumptionagainstIllness", American Economic Review. For example, schooldropouts in Guyanaforgo hundreds of thousandof dollarsinnet earningsover their lifetimes, costingthe statethousands of dollars in foregone income. 1 oversee and follow up the implementation o f core aspects o f the National Action Plan; (iii) in education, create awareness and sensitize teachers, management committees, parents and peers through Disabled People's Organizations (DPOs) and non-government organizations (NGOs) to treat disabled children with dignity; (iv) in healthto strengthen early detection and intervention, improve nutrition programs for pregnant women, train medical and social workers on disability issues, and increase provisiono f assistive devices; (v) skills development and training for disabled people, and monitor the compliance with the 10 percent quota system for the employment o f disabled people (and orphans) inthe public sector, and (vi) increase access to transport, education and public facilities to enhance mobility. 5. Likewise, with regards to vulnerable children and youth, the GOB has also signedthe UN Convention on the Rightso f the Child (UNCRC) and formulated a National Plan o f Action for Children (2005-2010) (see Annex 6 for more detail on policy and legal framework for children at risk). The Plan focuses on four strategic objectives: (i)creating opportunities to help children realize their full potential (access to health, nutritionand education, water and sanitation, etc.), (ii) serving the best interests of children innational, social, family and personal situations (empowerment of children), (iii)ensuring safety and security at home and inthe public space (protection against abuse, exploitation and violence), and (iv) establishing and protecting children's rights (social inclusion, decent work and livelihood). 6. Government recognizes that implementation o f these critical National Plans o f Action has been lagging. This has been confirmed by an Institutional Assessment o f social care services for vulnerable groups by the Bank, which suggestspoor implementation o f existing policies and ineffective enforcement o f existing legislation. In light o f this, the GOB has requestedassistance from IDA to strengthen capacity and accelerate implementation o f its National Plans for disability and children. Institutional Capacity 7. The Ministryof Social Welfare (MOSW) is incharge ofpolicies butthe institutional capacity of the Ministrydeters it from meetinginternational obligations and deliveringthe agenda as stipulated inthe National Plans o f Action. The Ministry's management capacity, controls and accountability, financial resources, human resources, and thus service delivery competence are limited. Two key departments attached to and within the MOSW are tasked with issues regarding disability and children's services, respectively, the National Foundation for the Development o f Disabled Persons (NFDDP) and the Department o f Social Services (DSS) (see Annex 6 for more information on the institutional capacity o f the MOSW and DSS). 8. The NFDDPwas establishedunder the Societies Act as a mechanismto finance private sector and NGO groups to provide services and build awareness o f disability issues. It has been largely under-funded and under-staffed, and has not had the autonomy requiredto reach its objectives. The DSS, tasked with deliveringservices for vulnerable children and other vulnerable groups, has about 11,000 staff in a wide network at the district and UP levels. However, most employees are class I11and IV level staff with low qualifications, little motivation, and insufficient monitoring and linksto the central office and the NGO community. 9. As a condition of project appraisal, and as part of the broader vision of government's own Plan o f Action for improving support for people with disabilities, government approved a major restructuringo f the NFDDP to make it more autonomous, improve its capacity and raise its profile to the status of other similar organizations. The revitalized organization changed its name to the Jatiyo 2 ProtibondhiUnnayanFoundation(JPUF) whose goal is to increase direct fundingto support disability services, build awareness, andpromoteaccessibilityand social inclu~ion.~Government also recognizesthe needto strengthenthe MOSW's Departmentof Social Services (DSS) and engageNGOs/DPOsmorebroadlyto improvecoverage and outreach of disability and children's services. 10. Bangladeshhas a largeNGO community that works to addressthe needsofvulnerable childrenandthe disabled, butthere remains an unacceptably large gap between the basic needs of vulnerable groups and the supply of support and services. For example, the BangladeshShishu Adhikar Forum(BSAF), a childrightsnetwork ofNGOs, comprises morethan230 NGOs. Many NGOsfocus on advocacy, buttheir fundingand capacityare too limitedto providecomprehensive services. Inthe case ofpeoplewith disabilities,the NFDDPhas beenprovidingvery limited government funding for NGOsworking on disability. DPOs and manyNGOs ledby the National Federationo f OrganizationsWorking for the Disabled(NFOWD) have exertedgreat effort to promoteaccessibilityand inclusion, andprovide services, yet access to employment,training, aids and services is extremely limited, especially inruralareas. Thus, muchinvestmentis neededto reach a levelwhere public andprivateorganizationscan work together to provide basic andmuchneeded services with a minimally acceptable level of coverage and quality' -or to mainstreampeoplewith disabilitiesandchildren-at-riskinto societyandthe workforce. B. Rationale for Bank involvement 11. The proposedoperationwould support the government to improvethe situationfor vulnerable children,people with disabilitiesandtheir families by fosteringinclusionand strengtheningthe country's social services and network, instrongpartnershipwith NGOs. The proposedoperationbuildson an existingreformmomentumacrossthe country and is envisagedby the Bank's Corporate Strategy as well as SouthAsiaRegionaland Country Assistance Strategies. The Bankandthe SouthAsia Region'sfocus on Disability, and Childrenand Youth, as well as the recent World DevelopmentReporton TheNext Generation have playedan importantcatalyst role in building consensus and supportfor an increasedfocus on these particularlyvulnerablegroups among policy makers. Moreover,the Bank's strongpovertyandmulti-sectoralexperience, andpoverty- targeted country portfolio, provide botha strategicandtechnical edge to address the needsofthese poor groups ina sustainable manner. The Bankhas supportedthe successful Palli KarmaSahayak Foundation(PKSF) and SocialDevelopmentFund(SDF) for manyyears, providing a modelo f good governance andpartnershipsamong the government,NGO/DPOsand civil society. Recognizingits expertise and experience, the governmenthas requestedIDA financing to supportthe proposed operation. C. Higher levelobjectives to which the project contributes 12. The projectdirectly supports three ofthe six elements o fthe NationalPlano f Action for disability, while other World Bank Group and donor projectssupport the remainingthree pillars. The project also supports three ofthe four elements inthe NationalPlanof Action for children, while the fourth is supportedby other World Bankand donor projects. Boththe Plans are part ofthe 4Towards aBarrier-free Society, Asian and Pacific Decadeof Disabled Person(2003-2012), Mid-term Review ofActivities of the BIWAKO Millennium Framework Actions inBangladeshby NFOWD, Handicap Internationaland Ministry of Social Welfare, Governmentof Bangladesh, 2007. This includesthe needto establishcriteria for monitoring the quality of work inwhich NGOs engage, which is addressed through the project inthese two areas. 3 Poverty Reduction Strategy Paper (PRSP) and the project i s in line with the Country Assistance Strategy (CAS) objectives o f supporting the government's poverty reduction strategy. The project specifically falls under the second pillar o f the CAS, which looks to spread the benefits o f economic growth to all, especially those who are normally excluded. 13. The proposedoperation is part o f a broader government reform program that focuses on overall social protection reform and comprises other interventions, including a proposed National Social Protection Project and a social fund/community development program. The World Bank is providing support to the government in all areas o f reform through a combination o f other Specific InvestmentLoans (Social InvestmentProgram 11,National Social Protection Project) and economic and sector work (poverty, MDGs, gender). Inparticular, the proposed operation strategically links well with the proposedNational Social Protection Project, which focuses on providing direct support through cash transfers, while this operation focuses on providing services, awareness building, improvinggovernment's knowledge base for policy development and institutional development. 11. PROJECT DESCRIPTION A. Lendinginstrument 14. A specific investment loan (SIL) is proposed as the most suitable instrument to support government's reform efforts, which comprise institutional development, restructuring the JPUF (now completed), expanding coverage, promoting the quality and relevance o f services, and mobilizing national awarenessto build support for implementation inclusive policies and practices at all levels. The project interventions are considered likely to be effective inaddressing the current institutional, access and relevance issues. B. Project development objectiveand key indicators 15. Consistent with government's Plans, the objective o f the proposed project i s to expand the coverage, use, and quality o f social care services6 for persons with disabilities and children at risk' as a means of promoting equity and social inclusion.8 16. Performance o f the project will be measured by the percentage increase in: (i) disabled the population covered by JPUF usingas baseline services provided by the NFDDP duringthe calendar year 2007; (ii)people with disabilities working either inthe workforce or through self-employment; In particular,Bank support for the projectwould mclude:(i) increasingthe coverage andquality of disability services, hilding awareness, and increasingcapacitythrough strengtheningo f the NFDDP/JPUF, improvingthe knowledgebase and monitoring of disability and buildingcapacity for policy development inBangladesh;(ii)strengtheningintegratedsocialwork and care servicesfor childrena! risk below 18years of age, particularlystreet children, primarily inurban and metropolitanarea, and (iii) building the capacity of the MOSW for devebping, implementing and monitoringpolicies and programs consistentwith its mandatethroughpromotingpublic-privatepartnerships. 7 Street children are defmedhere as "Children below the age of 18years whoare living, working, playingand sleepingonthe streetand are deprived ofbasic rights (ARISE report: A Review of Existing Servicesrelatingto street children, December 1999)'' Minimum age of the street children includedin the projectis 6 years. Streetchildren canbe dividedinto four sub-categories:(i) childrenup to 18years of agewho work and live onthe street day and night without their family; (ii) childrenup to 18years of agewho work and live onthe streetwith their family; (iii) children up to 18 years of agewho work and live on the streetand retumto other family; and (iv) childrenupto 18 years of agewho work and live on the street md retumto their family. 8 Social care and rehabilitationservices are definedas servicesfor vulnerable groups, other than income transfers, that address a wide range of human developmentneeds, including early child development, detection, prevention, physicaland social rehabilitation,foster child care, assisted living, career developmentand equalizingopportunities for the disabled, services for vulnerable childreq etc. Promoting inclusionwould be through awareness campaigns, policy formulation and implementation, networking, community mobilization and empowerment,It would seek to eliminate physical, social, cultural and environmentalbarriers, which preventthe target groupsfrom participating in society. 4 and (iii)school attendance among participatingchildrenusingas baselinethe PCARproject experience duringcalendar year 2007. Performance will be measuredagainst the baseline to be determined the first year o f effectiveness. C. Projectcomponents 17. The proposedproject is expectedto includethe following three components for an approximatecost o fUS$35 million over aperiodof five years. 18. COMPONENT1: ExpandingDisability Services, Improving Awareness,and Building Capacity (US$22 million). This component would expandsocial andrehabilitationservices for peoplewith disabilitiesgandbuildthe capacity ofNGO~DPOS'~and governmentagencies, which support disabledpeopleandtheir families, and/or that work for greater disability awareness, inclusion,andempowerment. The component would support the restructuringand scalingup ofthe JPUF to channel grants to DPOs and disabilityNGOs. The component would be implementedby the JPUF andwould comprisetwo sub-components: + Sub-component l(a): Restructuringand capacity buildingof the JPUF: This sub- componentwould reformand strengthenthe JPUF to become a center of excellencefor contractingdisability services, promotiordawareness building, research, monitoringand evaluation, and establishinggood practices. The vision is for the JPUF to reform into a strong and independentapex bodywhich would operate with substantialautonomy under the managementof a nationallyrecognizedleader. Usingtransparentcriteria and accountability mechanisms,the JPUF would select and finance sub-projectsinaccordance with an agreed overall strategy and annual plans. This restructuringwould seek to emulateas closely as possible the managementstructureand operationalprocessesadoptedby the SDF andthe PKSF. Activities would commence by restructuringand revitalizingthe Foundation,recruitingnew management o f recognizedintegrity,bringing inadditional staffwith recognizedtechnical and operationalcompetence inthe domainof disability, settingpriorities for funding, and building competencies indisability research, M&E' and awareness building. The Foundationwould adopt a non-governmentsalary scale similar to the SDFPKSFto help attract andretainnew talent. The beneficiariesofthis sub-componentwouldbe the (i) NGODPOs and disability activiststhat would benefitfrom funding and expertise from the JPUF, (ii) policy makerswho would obtainnecessary informationfor policy formulationandmonitoringprogress; and (iii) civil society organizationsand individualswho wouldbenefit from knowledgeandunderstanding o f disability issues, as well as feedback receivedon the quality of their work. The projectwould support developmentof a long-termapproachto sustain services for the disabled. The ultimate beneficiariesof this sub-component will bepeoplewith disabilitiesandtheir families. + Sub-component l(b): Provisionof disability services through NGO/DPOs. This sub- componentwould provide financing for services offeredby NGODPOs with a disabilityfocus such as community-basedrehabilitation(CBR), early detectionand intervention,prevention, counseling,communicationand awareness, empowerment, education,skills development, 9Disability includes autism. 10Unless otherwisenoted, the term Non-governmentalOrganization(NGO) is here defmedto include community basedorganizations,disabledpersons organizations, and international andnationalNGOs. 'IM&Ewill include monitoringof sub-grantactivities as well as workingwith the MOSW on monitoring overall system status and outcomes through conductinghouseholdsurveys, developing MIS, etc. The role and capacity of the governmentto do this will be addressedinComponent3. 5 provisionof assistive devices, andmainstreaming. The fundingofNGODPOswould bethrough sub-grants, awardedbasedon clear andtransparent criteriaoutlinedinthe JPUF's Operations Manualwhichmay be reviewedandupdatedfromtimeto time. Windowsfor financingwill remainflexible and be determinedby the Boardofthe JPUF, but couldincludethe following: Area-basedperformance contracting: Largerannualfundingfor NGOPartnerOrganizations to cover anagreedgeographicalareawith agreed services of specific quality such as early detectionandtreatment of childrenwith disabilitiesanddevelopmentaldelays, CBR or skills training. Awardof initialcontracts under this window would be subject to rigorousscreening of NGO/DPOsagainst set eligibility criteria which emphasize goodperformance. Renewal of contractswould be subject to the NGOsmeetingpre-identifiedtargets and standards as validatedby thirdparty reviews. Trainingand support topartner organizations: SomeNGO/DPOs, academic institutions, foundationsor independent contractors may have specific expertise and skills indisability which are requiredbutnotwidely available (for example,productionor distributionof assistive devices or early detectionof impairmentsinchildren). Insuch cases, the JPUF may opt to contractthe expertise to train, support andmonitorother Partner Organizations. Likewise,smaller DPOsare frequently inneedof strengtheningtheir capacityto manageand monitorthe services they provideand raisefunds from donors and government agencies. There will be a window for trainingand capacity buildingof such DPOs. Innovation grants: Smaller one-off grants to introduceor pilot new interventions,assistive technologies, specializedequipment, develop curriculaor learningmaterialsfor disabled people, communicationand awareness campaigns, etc. Award of contracts under this window would be basedonthe innovativeness and likelihoodof sustainability ofthe proposal. Special considerationwould be givento Self-helpGroups andDPOs. Promotion of disability issues:Eventhoughthe existingpolicy framework is supportiveof disability issues, there is a general lackofunderstanding ofthese issues in government and society. The JPUF couldcontractprofessionalagencies to promotethe abilities and rightsof peoplewith disabilities,shiftingpublic opinionaway from a charity modelof engagement. 19. The prioritiesfor funding, giventhat coveringthe wide range of activities citedabove is not possible withinprojectresources,would be definedinannualworking plansformulatedby the Board of the JPUF basedon broadconsultation, relevantpolicy documentsand internationalagreements. The target group for this sub-componentwould bepeople with disabilitiesandtheir familiesacross Bangladesh. 20. COMPONENT Strengtheningand Expandingthe Networkof Servicesfor Children-at- 2: Risk (US$9.5 million).The objective of this component is to improveaccess to, andthe qualityand relevance of services for children-at-riskin selectedcities ofBangladesh. To achieve this objective, the component would alignthe legalandpolicy framework with the UNCRC, strengthenthe capacity of the DSSto designand oversee programs for childprotection,and implementpilot interventionsto informthe childprotectionpolicy framework. Specifically,the projectwould: (i) consistent with CRC guidelines,improvethe capacityof relevant service providersto ensure quality, efficiencyand effectiveness of services for children-at-risk;(ii) develop andpilot alternativeapproachesto institutionalcare for orphans, and (iii) improveandexpand services for street childrenwith a focus on strengthening a referralsystem, case managementandtheir reintegrationinto their families/communities. The component wouldbe managedby a projectimplementationunit under the Departmentof Social Services (DSS) that is also implementingthe UNICEF-financed"Protection 6 of Children-at-Risk (PCAR)" Project. The PCAR Unit would subcontract NGOsto deliver services to children inaccordance with standards o f care developed for these services. Sub-component2(a): Support for institutionaland capacity building of DSS staff and service providers.Inorder to ensure adequate quality, effectiveness and efficiency of service delivery, this sub-component would provide training and capacity buildingtailored to enhance the quality of services for children-at-risk. Itwould: (i)develop and adopt minimumstandardsof care of relevant services for street children to be adhered to by all partner implementing agencies; (ii)providetrainingincompliancewiththesestandardsandmonitoring; (iii)developa"case management" tool for effective individual care and rehabilitation planning; (iv) provide training incase management and referralcoordination; (v) enhance skills inspecialized areas (mentoring, volunteerism, social work, care, counseling, etc.) for developing and managing the rehabilitation and integration cycle; and (vi) provide training inprogram management, monitoring, reporting, and networking and coordination with other service providers,. Sub-component 2(b): Improving and expandingservices for street children. This sub- component would support the expansion o f PCAR from six to eleven locations.'2 The PCAR project is based on a four-step model to rehabilitate and integrate street children into mainstream society and includes: (i) outreach activities/open air schools, (ii) daytime drop-in centers, (iii) night shelters/homes, and (iv) economic and social activities that promote reintegration with families and communities. Services contracted under the project would be screened to ensure compliance with service standards as well as the UNConvention on the Rightso f Children. Buildingon PCAR's existing model, the project would: (i)expand the services ingeographical terms through contracting o fNGOs,broadeningthe scope of services for street children to strengthen the case management13and referral systems, (ii)establish a monitoring and evaluation system as an integral part o f service delivery, both at themanagement and service provider levels; and (iii)set up a Management Information System (MIS)for the project unit to track project progress (see Annex 4 for details). + Sub-component 2(c): Support the DSS to develop and pilot alternative approaches to institutionalcare for orphans in linewith the UNCRC. This sub-component would helpthe DSS design alternative models (e.g., foster care) for taking care o f children without parents, some of whom are now in orphanages, and others who do not have a home at all. Based on the model developed, guidelineswould be prepared for operationalizing and piloting initiatives to test and improve the model over time. NGOswould be contracted as service providers to pilot the new interventions and service delivery models. Award of contracts under this sub-component would be basedon the "child-centeredness" and sustainability o f the proposals. Sub-component2(d): Project management. This sub-component would support day-to-day management and operational costs o f the project for effective project implementation, ensuring adherence to Bank fiduciary requirements,particularly with respect to procurement and financial management. Six divisional cities-Dhaka, Chittagong, Rajshahi, Khulna, Barisal, Sylhet, adding district towns Narayangong, Mymemsingh, Comilla, Rangpur, Jessore. l3The case managementsystem being proposedhere is to make sure that every child who enters the system is properly monitored and support is provided consistentwith their needs. Given the early stagesof these services -at a pilot stage-the basic approach will needto refined and developedduring the course of the project basedon experiencegathered and consistent with UNCRC guidelines. 7 21. Activities under the Children-at-Risk component are expectedto have the following impact: (i)for beneficiaries, anincreaseinschoolattendanceamongparticipatingchildren; and(ii) institutionally, shifting MOSW-DSS's current management o f services to contracting service providers, resultingin gradually adopting a preventiveand community-based approach for service development and delivery. 22. COMPONENT3: Institutional strengtheningof the Ministry of Social Welfare and Department of Social Services (US$3 million). The objective o f this component is to support the MOSW and the DSS to gradually shift from beingthe managers o f institutions and services to a pr~active'~and preventive social service approach. To this end, the MOSW, incollaboration with DSS, has laid out the strategic directions for the next five years in a Policy Letter. The project would support four selected key strategic areas: (a) strengthen MOSW's capacity for policy formulation and revision o f the associated legal framework for persons with disabilities, child protection and other socially disadvantaged populations to bring local laws and regulations in conformity with the UN conventions on Disability and Child Rights; (b) support the institutional development o f the DSS by streamlining the organizational structure and procedures for enhancing outreach and impact o f its many programs; (c) provide training and capacity buildingto enhance the ability o f the DSS personnel and other service providers for proactive social services to its target beneficiaries, includingthrough contractingNGOs; and (d) strengthen program planning, implementation, monitoring and evaluation capacity o f both the MOSW and DSS including the development o f a long-term approach to sustain these service^.'^ For the MOSW, this would include monitoringthe status o f target groups andthe impact o f services so as to improve policy formulation and implementation. For the DSS, this involves improved M&Eo f its services and programs, as well as specific assessment o f service provision/providers through establishing an MIS. Technical assistance, training, provision o f required hardware and software, and other capacity building measures will be financed. D. Lessonslearned and reflected in the project design 23. The experience ofthe NFDDP since its creation in 1999 contrasts sharply with the success achieved by similar institutions in Bangladesh. The NFDDP,now JPUF, has not beenaccorded the financing, autonomy or necessary human resources required to live up to its promise and the expectation of people with disabilities. Untilthe recent restructuring, the Secretary MOSW was officially the chairperson as an addition to hidher many other responsibilities. The key managerial positions inNFDDP were filled by government officials on deputation whose career aspirations may or not involve working on disability -this is no longer possible since the restructuring. Inthe worst cases, some officials were assigned to NFDDP based on their lack o f success elsewhere as a measure to prevent harm to other important government institutions. As a result, even competent officials posted at the Foundationhave considered this a punishment and were unmotivated. B y contrast both PKSF and SDF had independent boards headed by well-known public figures with competent, fully dedicated staff-members. At the same time PKSF and SDF were properly funded, and operated in highly transparent environments with regular independent external audits. l4The concept of the `proactive' approach is to address situationsthat leadto vulnerabilities before they emerge ratherthan the government providing an institutional serviceresponseafter they occur (e.g., identifying afamily -,child-at-risk due to extreme poverty, violence, etc., before the children are forced to leave the home to work and live on the streets). IsThe capacity building componentwill take long-term approachto improving generalsocial services as well as childcare services beyondthe implementation support-relatedtraining described in Component 2. 8 24. A key prior condition o f IDA support was that the NFDDP: (a) be restructuredto be an independent organization along the lines o f PKSF and SDF; (b) establish transparency and accountability in its operations; and (c) develop professional and transparent financial management and procurement systems. The government agreed that these were necessary for proper functioning o f NFDDP: it was restructured in December 2007 and renamedthe JPUF. A prominent citizen was selected Chairman; the Managing Director and other key staff have been recruited inthe open market based on the merit o f their qualifications. 25. With regard to children-at-risk, the lessons o f the ongoing UN-supported PCAR project and other programs delivering social services were assessed. Institutionally, the following lessonswere considered during project development: (i)keep institutional arrangements and reporting mechanisms simple, yet instill accountability measures at each level; (ii)prepare implementation plans with consideration of the time requirementsfor government's internal processes and procedures; (iii)select only the most relevant, realistic, measurable and cost-effective indicators to monitor and evaluate project performance; and (iv) ensure implementation readiness at project effectiveness by training project entities on Bank fiduciary guidelines prior to appraisal. Technically,the following lessons were considered: (i) minimize the number o f formal implementingpartners while providing space for community participation and regular stakeholder consultations; (ii)simplify service delivery mechanisms with least number o f bureaucratic steps; (iii) integrate monitoring and evaluation mechanisms as part o f project design; (iv) focus financing on sup-projects which will leadto achieving desired development outcomes and minimize specific investments in goods and works. E. Alternativesconsideredand reasonsfor rejection 26. An alternative to shiftingthe paradigm of service delivery to NGODPO contracting would be to support existinggovernment institutions for the disabled and children-at-risk. This was considered and rejected for the following reasons: The existing services generally follow a globally discredited institution-basedapproach which servedto isolate the disabled and children-at-risk and not to mainstream them into society. They are staffed by unqualifiedpeople with little understandingo fthe needs of the disabled and children-at-risk, using antiquated forms o f treatment including liberal use o f corporal punishment. 111. IMPLEMENTATION A. Partnership arrangements 27. The disability component has been prepared inclose partnershipwith DPOs, particularly the National Forum for Organizations Working with the Disabled (NFOWD), the officially recognized umbrella, which establishes guidelines and standards for DPO registration with government. The preparation team also met with DPOs, which are not members o f the NFOWD, and ensured their participation in stakeholder consultations and inclusion on the Governing Body o f the new JPUF. 28. The children-at-risk component has beenprepared inclose collaboration with UNICEF and NGOs working with the target group. IDA funds will provide parallel financing for a program, 9 whichwas initiatedby UNDPand is now financedand implementedby UNICEF. This projectwill scale-upefforts ofthe existingproject, so additionalstaffingneeds at the marginwill be financedby IDA. B. Institutionaland implementationarrangements 29. The disabilitycomponent will be implementedby the newly restructuredJPUF. There will be three primary departments for (i) programdevelopment and sub-projects;(ii) financeand administration; and (iii) monitoring,researchandevaluation. The finance andadministration department will have dedicatedprocurement and financialmanagement staffwho are familiar with Bankprocedures. 30. The children-at-riskand institutionaldevelopment componentswill be managedby DSS (MOSW)throughthe PCARunit, which is currently implementingthe UNICEF-sponsored "Protection of Childrenat Risk" Project. The DirectorGeneral, DSS, will serve as the Project Director(PD) to the projectandwill be supported bythe projectimplementationteam ofthe PCAR unit. The PCARunit will comprise a ProjectCoordinator(PC), financial management and procurement specialists and assistants, accountant, monitoringand evaluationofficer, divisional coordinators, technical specialists,administrativeandsupport staff. See Annex 6 for detailsofthe PCARprojectunit's mainfunctions. C. Monitoring and evaluationof outcomeshesults 3 1. The JPUF will have a dedicatedmonitoringanevaluationdepartment which will be responsiblefor monitoringthe outcomes ofthe disability component. Itwill employ a three-pronged approachto monitoring,researchand evaluation:(i) monitorprojectactivities and sub-project compliance, service standards and achievements against their contracts, includingengaging third party evaluations ofthe quality of services; (ii) contract out researchand surveys to establish baselinesandmonitorthe status ofpersons with disabilities, policy implementation,andprovide feedback-informationofthe system; and(iii) M&E to measure overall impactofthe broader program and attainment of desiredoutcomes. 32. The children-at-riskcomponent will be monitoredprimarilythroughthe PCARprojectunit, while developingthe system ofthe DSS. Three levelsof monitoringwill take place: (i)component inputsand outputs will be monitoredto producerequiredprojectreports; (ii) component intermediate outcomes such as the increase inthe number ofusers,development of standards for services which cover vulnerable children, coverage of services, etc., will be monitoredthroughthe information providedinbeneficiarysurveys, projectprogress reports, and independentand randomrapid assessments ofthe performanceof service providers;and (iii) component outcomes which are directly linkedto the achievement ofprojectdevelopment objectiveswill be evaluatedafter the projecthasbeenimplementedin its entirety. To preparefor the evaluation,the projectwill support establishment ofan MISand developa more robustbaseline. 33. For the institutionaldevelopment component, personnel at the MOSW-DSSand inthe implementingagencies will betrained inM&E methodsandpolicy andprogramdevelopment. The projectwill finance technicalassistance while capacity ofDSS staff is developed. 10 D. Sustainability 34. Prospects for sustainabilitycan be assessedat three levels: (a) the individualsbenefitingfrom the services; (b) the service providinginstitutions; and (c) the nation. Sustainabilityat the beneficiarylevel 35. Sustainabilityat the individualbeneficiarylevelis assuredby mainstreamingpeople with disabilitiesand children-at-riskinto social and economic life. ExperienceofNGODPOs in Bangladeshshows that successfulprograms canhelpwith early detection,providingadequate rehabilitation,bringingchildrenwith disabilitiesto school, providingtraining opportunities,and helpingpeople with disabilitiesfind gainfulemployment. For children-at-risk,there are also examples of successful interventioninBangladesh(UCEP, etc.), whichhavebeenable to provide secure environments for vulnerable children, education,jobs, andreintegratethem with their families or communities.The emphasis on case management o f childrenwould also ensure sustainabilityof these interventions. Successful interventionswill assure mainstreamingwith the exceptions ofthe most difficult cases. Sustainabilityat the institutional level 36. Sustainabilityofthe JPUF is potentially a more difficult proposition. IDA support will finance activitiesof JPUF for a periodto facilitate the JPUF building up its current smallendowment. Government contributionshavebeenprovidedregularly inthe past, and it is expectedthat the higher and more independentand active profile for JPUF will allow it to raise endowment funds from the Bangladeshprivate sector, as well donors whose rules, unlike IDA'Spermit financingof endowments. The lengthoftime it will take to makethe JPUF sustainable will depend inlarge part on the success o f its programs:effectiveand efficient service delivery throughNGO/DPOscould attract higher levels o f funding. This will be assessedat the Mid-term Reviewfor considerationas to how longIDA might consider financing the JPUF. 37. The window throughwhich smaller disabilityNGOsand DPOs would receivetraining to buildtheir capacity will strengthenthe prospects of sustainingthe impacto fprojectinterventionsat the local levels. 38. Sustainabilityof the PCARprogramwill, inthe longrun, likely requireincreased government support. The importanceo ftacklingthe problemsfaced by the urbanpoor-particularly children andyouth has beenhighlightedby several recent reportsandhas already startedto impact government policy and expenditures. Inthe recent periodof sustained economic growth, government has increasedits ability and interest insupportingmarginalizedgroups so that they can contributeto and benefitfrom that growth. Social protectionis, therefore, one ofthe fastest growingareas o fthe budget and the government has repeatedly expressed its commitmentto this area, particularly in channelingresources to the most effectiveprograms. Likethe disability component, increased financingwould bethe resulto f success: ifgovernment is able to manage more efficient and effective services through contractingNGOs, coveragewould increase as would government's willingnessto finance the program. However,the first step to sustainabilityrequiresestablishingthe financing needs andthen ensuringavailability o f funds, giventhe overallfiscal envelope. 39. Sustainabilityofthe institutionaldevelopment componentwill be achieved by increasingthe efficiency and focus ofhow staffofthe MOSW and DSS work on social services delivery. There are 11 no long-term recurrent cost implications as capacity building i s directed towards the employees o f M O S W and DSS - indeed productivity gains from training may reduce the need for additional staff. Sustainabilityat the national level 40. The economic analysis given insection IV-A demonstrates the overall benefits at the national level. The project also contributes to significant savings in long-term recurrent costs from switching to more cost-effective, community-based, NGO-provided approaches from costly institution-based approaches. Project Design's contributionto Sustainability 41. By supporting an approachto turnthose who are normally excluded into productive citizens, the project design contributes to sustainability at all the individual, institutional and national levels. Even for those with severe disabilities who may not be fully mainstreamed, the project contributes to supporting and developing approaches which can reduce the unit costs o f care without reducing the quality o f care, e.g., movingfrom institution-based care to community-based care. From a service delivery perspective, this builds on the government's already existing experience inmaking systems more efficient by contractingNGOs. E. Critical risksand possiblecontroversialaspects 42. The risk analysis i s summarized inthe table below: Risk RiskBefore Mitigation Strategy Riskafter Mitigation Mitigation Project design might substantial MOSW will be redefining its role in Moderate overburden MOSW. supporting the provision of services to that o f planning, improving data collection for policy making and monitoring. Ajoint MIS system will be established for the MOSW, DSS and JPUF. Limited capacity o f substantial The project has a specific component on Moderate local governments buildingcapacity of government at all and NGOsworking levels. A capacity assessment o f each on disability and NGO/DPO contract will be done based on children-at-risk. the expected scope of work. MOSW weak substantial Best practices for accountability and Moderate administrative and transparency o f programs are being fiduciary capacity. applied. Third party monitoring/audits - - would be financed through theproject. Procurement substantial A separate unit would be established Moderate capacity limited. under JPUF for procurement and contracting o fNGOs. Specialized staff will be recruited from the private and NGOs sectors. DSS will receive TA on procurement fi-om the project. Beneficiary substantial Establish clear criteria and follow up Moderate selection not through MIS, operational audits, etc. 12 transparent. Coordination among substantial JPUF Board is comprised o f independent substantial ministriesweak. figures o f highreputation plus secretary level officials. Reform o f JPUF substantial Reform o fJPUF resulting inmanagement Moderate may not result in a o f recognized high integrity was a pre- sufficiently condition for disbursing Bank funds independently through the JPUF. managed organization. Irregularities in Substantial Transparent processes and eligibility Low award o f sub-grants criteria for all sub-grants, defined in and implementation. Operational Manuals, are a pre-condition for this operation. Experience with PKSF and SDF provides a solid foundation for establishing a similar structure for this project with transparent recruitment criteria, accountability and intense reportingrequirements. Implementing agencies are developing Operational Manuals, which document selection criteria, fiduciary procedures, monitoring mechanisms. Approval ofthese by IDA will be a key element of appraisal. Small and scattered substantial Fundingwill be based on agreed Moderate sub-grants result in strategies and annual plans working activities not having toward achieving clear outcomes; major desiredor sufficient portion o f fundingwill go toward larger impact. area-based performance contracts. Target groups may Moderate Ongoing monitoring o f activities should Low not use services or enable feedback on the relevance and may not change quality o fthe activities, and allow behavior. corrections in annual plans. Training o f MOSW High An institutionalassessmento fthe substantial staff may not result ministry is ongoing and will be usedto inlongterm inform the design o f appropriate capacity capacity building. building. MOSW may be substantial The MOSW, through the PCAR project, Moderate slow in contracting i s already contracting services from services. NGOs and has developed a comprehensive set o f biddingdocuments. Ithas prepared the outsourcing o fbaby homes, for which it requestedtechnical support from the Bank. The Credit Agreement will make the necessary txovisions for contracting o f services. Varied capacity o f Moderate Inorder to involve smaller, less efficient Low NGODPOs could NGODPOs, training and support would hinder be incorporated to build their capacity. implementation. 13 F. Loadcredit conditions and covenants 43. One covenant is proposed: the implementationofthe JPUF andPCARcomponents will be according to agreedOperationalManualswhich canbe revisedwithprior agreement from IDA. The two draft manuals, assessedby IDA duringappraisal, containdetaileddescriptionsofthe processes for defining,managing, selectingandmonitoringsub-projectsto be financedby the project. These include,amongother, the governance frameworkfor ensuringcompliancewith fiduciary guidelines, sub-projectselectioncriteria,processes for developingannual work plans and relatedbudgets,and guidelinesfor monitoring(bothsub-projectimplementationas well as overallprogramoutcomes). IV. APPRAISAL SUMMARY A. Economic and financial analyses 44. Analysis foundthat the cost of disability inBangladeshis considerable, with an estimatethat US$1.2 billion,or 1.74 percent of GDP, is lostper annum. This loss is the cumulativeof four cost categories. First,because some peoplewith disabilitiesare not employed, it costs Bangladesh US$891millionper annum. Second, some disabled childrenforego schoolingbecause of their disabilitiesandthat costs the economy about US$26millionper annum because ofthe lower stream of lifetimeearnings due to the lowereducationalattainment. Third, some people with disabilities needhelpfrom others to function. The cost of adulthelpers is then US$234million per annumfrom foregone incomeamongadult helpers (usuallywomen). Finally, childrenwho are helpersof disabledpeople forego schooling,costingBangladeshUS$28 millionper year because ofthe lower stream of lifetimeearnings due to the lowereducationalattainment. Therefore,the cost of disability inBangladeshis US$148per annumper disabled person. Ifthese disabledpeople live inhouseholds with five family members, that loss inhouseholdincomecorresponds to almost a third ofthe poverty line. The annual loss in lifetimeearnings due to street childrenforgoing schooling is estimatedto be US$9 million inBangladesh. Thiswould bethe result o f street childrenattendingschool instead of working (andthereforeforegoing earnings) and earningthe skilledwage rate after age 18. The benefitsof getting street childreninto school are diminishedsomewhat because ofthe reduced earningsthat couldhavebeenearnedas childlaborers. Technical 45. There are three importantaspectsthat make the projecttechnicallysoundand sustainable: a. Economic and social impact of the inclusion of people with disabilities. Empiricalevidence demonstrates internationallythat people with disabilitiestendto bepoorer, andthe poorare more likely to be disabled. Stigma and lackofaccess to services further exacerbatethe problem,resultinginextreme social andeconomic exclusion. The JPUF renewalis expected to leadto a significant increaseinefficiencyandeffectiveness inthe use o f resources (demandbasedsub-grants), reachingpeoplewith disabilitiesthroughbetterquality and coverage of services and addressingissues of stigma by sensitizingthe broaderpopulation throughawareness campaigns. The proposedoperationwill openup opportunitiesfor community-based rehabilitation,education, access to healthsystems and aids, trainingand employment to a larger share ofpeoplewith disabilities. As a result of increased social and 14 economic participation and support to families o f the severely disabled, levels o f poverty among the target population would decrease. b. Participation of NGOsLDPOs and communities. The project has been designed with an objective to promote community-based development through the participation o f people with disabilities, childredyouth and their communities. It relies primarily on contractingNGOs, DPOs and other civil society organizations by funding "demand-based" sub-project proposals. Therefore, sub-project development, conceptualization, design, and implementation are drivenby local and beneficiary needs. NGOs, DPOs and community leaders will serve as members o f special boards and committees (JPUF, NGO selection committees, advisory committees, etc.) offering their expertise and promoting accountability within these committees and boards. c. Provision of integrated social services. The introduction o f a "case management" model in PCAR will helpconsolidate a variety of rehabilitation and services for mainstreaming vulnerable children into one integratedpackage. This will assist in respondingto the multi- dimensional needs o f children-at-risk with the helpo f a well functioning network of referral services which would be strengthened under this project. The provision o f integrated services through case managementwould enabled tracking the progress o f beneficiaries and has proven to be a cost-efficient and cost-effective approach to service delivery. B. Fiduciary 46. Procurement. Bangladeshhas undertakenprocurement reforms, which is a major step forward in improving the public procurement environment. Though key policy reform actions have already been completed, includingmandating new procurement act / rules, with associated procedures and all documentations, implementation o f the national procurement act i s still a key challenge. However, this i s only the beginning, and there are still a number o f potential challenges in cross-cutting governance, institutional, and implementation issues, including inadequate enforcement o f regulations, inadequate adherence to the provisiono f procurement approval process, delays in contract award, ineffective contract administration, allegations o f fraud and corruption, and political interference. Considering all these factors, the procurement under the proposed project, although it contains only a small volume o f procurement, will have challenges requiringspecial measures to address associated risks (see Annex 8 for more details). A number o f measures are underway inthe country, and as part o f the ongoing procurement reform, a second follow-on reform project under implementation is expected to make the reform efforts sustainable. 47. Procurement Risks and Measures. Procurement activities under the project will be implementedby two Implementing Agencies (IAs); namely, the JPUF and DSS. The procurement risk, considering the country environment andthe lack of experience ofthe agencies inimplementing Bank-financed projects resultedin an initial risk rating o f "substantial". However, this i s expected to be reduced to "moderate" once the proposed mitigationmeasures as described below are put inplace. Interms of volume ofprocurement, the draft procurement plan for all three components indicates a small amount of goods and a few consultancy assignments (only about US$12.73 millionout of the total project of US$35 million). With a view to mitigatingprocurement risks, the project will rely on professional procurement specialists/consultants to be specially recruited in each o f the IAs. The procurement consultants are expectedto be onboard well in advance o f the start o f any procurement activities. It will be mandatory for these procurement consultants to be members o f the Bid Evaluation Committees. Inaddition, each agency will designate one focal person for procurement, and there will be specific provision for upfront training in PPAIPPR and Bank's Guidelines. A procurement risk mitigation framework has been agreed with the IAs,which include mandatory 15 disclosure of information, mechanisms for addressing complaints, and regular post reviews. The IAs will also ensurethat the Operational Manuals include salient provisions o f the procurement arrangement and riskmitigation measures o f the project. All procurement activities will be subject to a six-monthly review by the IAs as well as by IDA. It i s expected that with implementation of the risk mitigation framework proposed inthe PAD, together withthe above arrangements, the residual procurement riskwill be `moderate'. Detailed arrangements specific to this project are described in Annex 8 (Procurement Arrangements). Financial Management 48. A financial managementassessmentwas carried out to identify the FMenvironment and capacity of the country and the implementingagencies to assess the risks and mitigation measures pertaining to the project. For the disability component, the JPUF has already recruited a financial management specialist. For the other two components, the PCAR unit will handle the project financial management. C. Social 49. The issues are somewhat differentfor disability and children-at-risk components, butthe underlyingtheme for bothis to assure inclusion o f groups who are often excluded from society's mainstream. With regardto the disability component, the primary goal is to move away from a medical, charity model, which focuses on `fixing' a perceived problem o f a person, to removing social, physical and economic barriers to their participation inall aspects o f life. Itwill be important to maintain a balance between allowing voice to various strong and vocal NGODPOs comprised o f people with disabilities, while assuring that the less organized are not left out. This balance will be achieved by working with larger NGOsto help develop capacity o f smaller, less organized DPOs as well as ensuring coverage o f underserved areas. The JPUF's annual work plans will assurethat funding is available across types of disability, and acrosstypes of activities, so that less visible groups such as the intellectually disabled are not excluded. One particularly invisible and vulnerable group is women and girls with disabilities who are more prone to abuse and often have no access to the limited services and support available. There will be a strong focus on ensuringa reduction inthe gender gaps o f service provision, employment and broader social participation. The key issue with regardto children-at-risk is to builda system over time which makes sure that they are supported in a systematic manner and to ensure that as many as possible are reintegrated into their families. D. Environment 50. There are no environmental issues raised by the project. E. Safeguard policies SafeguardPolicies Triggered by the Project Yes No EnvironmentalAssessment (OPBP 4.01) [ I [XI Natural Habitats(OPBP 4.04) [ I [XI Pest Management (OP 4.09) [ I [XI PhysicalCultural Resources(OP/BP 4.11) [ I [XI Involuntary Resettlement(OPBP 4.12) [ I [XI IndigenousPeoples (OPBP 4.10) [ I [XI Forests(OPBP 4.36) [ I [XI 16 Safety of Dams (OP/BP 4.37) [ I [XI Projects inDisputedAreas (OPBP 7.60)* [I [XI Projects on InternationalWaterways (OPBP 7.50) [I [XI F. PolicyExceptionsand Readiness 5 1. No policy exceptions are triggered. 52. The appraisal foundthe projectready to implementwith the exceptionof services for children-at-risk. There is a disbursement conditionrequiringthe government to certifythat the services financedby IDA are incompliance with Bangladesh's obligationsunderthe UNConvention on the Rights o f the Child. * By supporting theproposedproject, the Bank does not intend toprejudice thefinal determination of theparties' claims on the disputedareas 17 Annex 1: Country and Sector Background BANGLADESH: Disabilityand Children-at-RiskProject CountryBackground Bangladeshhas made strong progress towards reducing income poverty, placing it roughly on track to meet the target o f halving the share o f the population living on less than US$1 per day by 2015. Risingand stable economic growth, underpinnedby good economic and social policies, have been a key factor in making this possible. In addition, pioneering social entrepreneurship, often with creative partnerships under innovative institutional arrangements, has also contributed immensely to the successes attained. These successes have compensated somewhat for Bangladesh's critical and persistent weaknesses in governance. Currently the challenge i s to steer the economy to middle income status, to which end the much improved economic fundamentals and successful implementation o f an array o f first generation reforms in recent years augur well. Butthe challenges ahead are formidable. Bangladesh must actively pursue a range o f second generation policy reforms, which are necessary to sustain and improve good growth and human development achievements. Ifeconomic growth is notenoughto achieve this, it is necessary to examine the institutions and delivery models responsible for the services that are meant to combat hunger, disease, mortality, ignorance and discrimination, to name a few. A key challenge i s to find a way to integrate those who cannot fully help themselves into the mainstream o f society. Two major groups need direct support - the disabled and vulnerable children - and they are the targets o f this project. BriefProfileof Disabilityand VulnerableChildren Generally speaking, the rate o f disability in Bangladesh declines with risingincomes suggesting a close relationship betweenpoverty and disability inthe country. The situation o f children is worsening, particularly inthe metropolitan areas.16 The available evidence suggests that the slum population, for which outcomes on many MDG-related indicators are highly unfavorable, has been growing at roughly 13 percent per year, or over 200 percent inthe last decade alone. Profile of People with Disabilities: Issues and Challenges Estimates o f prevalence vary largely due to differences inthe definition o f Bangladesh: Type of Disability disability and coverage o f the surveys. A 11% recently conducted study by Handicap 1% International (HI) and NFOWD17drew on 7 a sample population o f 13,205 people from all over Bangladesh and found 8.9 19 percent as the prevalence rate o f disability. Figure 1 illustrates the - percentage share o f different type o f i Visual impairment E Physicaldisability 0 Heanngimpairment 10IntellectualdisabilityESpeechimpairment Multipledisability I6Stopnitzky, AI-Zayed and Khan(2006) "Addressing the Crisis in Secondary Education for the Poor inMetropolitan Areas". Presentedat Workshop on Towards and Strategyfor Achieving the MDG Outcomes in Bangladesh. Disability inBangladesh- A Study on Prevalence, July 2005 by Handicap International andNFOWD. 18 study also provides age-wise break up o f disability along with types of disabilities (Table 1). This prevalence rate o f 8.9 percent differs significantly from the last census, which yieldeda 1.6 percent prevalence rate, and a 1997 Action Aid survey of five geographic areas inBangladesh which documented 13.3 percent. The HI/NFOWD study sample is fairly small, but the methodology is more in line with what the Bank considers good practice for disability measurement, and will therefore guide project development untilbetter data can be made available. Types of Disability Age Groups 0-5 [ 6-15 I 16-30 I 31-50 I 51-64 I 64+ Multiple 7.1 I 10.4 I 10.3 I 4.0 I 13.8 I 18.6 Intellectual 0 10.4 15.1 7.0 2.3 1.2 Physical 50.0 30.2 33.3 30.8 24.8 1.o ISpeech I 10.7 I 8.5 I 5.6 I 2.5 I 0.9 1 1.9 I Visual 14.3 11.3 15.9 40.3 39.4 47.4 Hearing 17.9 29.2 19.8 15.4 18.3 14.7 People with disabilities are amongst the most vulnerable o f the disadvantaged groups o f people in Bangladesh. Most receive little or no development assistance. Therapeutic services and availability of assistive devices are extremely limited. Socially and economically, people with disabilities are left out of the development process mainly due to lack of awareness o f people who design and implementdevelopment programs, negative attitude among generalpopulation towards people with disabilities, scarcity of resources and lack o f knowledge and skills o f how to address needs of people with disabilities insidedevelopment programs. People with disabilities have limited opportunities to study at educational institutions. The environment inwhich they live are often inaccessible, lacking basic accommodation to transport, buildings, the education curriculum, teaching methodologies,job markets, etc., further creating obstacles to participation. Poverty has a strong influence on the disability situation inthe country. About 80 percent o f people with disabilities are living inthe rural areas. For a country like Bangladesh, poor nutrition, dangerous working and living conditions, limitedaccess to health care, poor hygiene,bad sanitation, inadequate information about causes o f impairment, and natural disasters contribute to the creation o f disabilities. DFID estimates that more than 50 percent o f the impairments that result inpeople being included in current disability prevalence rates "are preventable and directly linkedto poverty." Poverty, impairment and disability also have impacts on families. For every person who has an impairment and/or disability, 4 to 5 other family members are also affected. This means that a large section of people in Bangladesh are directly linked to disability as a result o f poverty and vice-versa. The poverty situation and scarcity of resources also limits creation of rehabilitation opportunities for people with disabilities and their capacity to access and attain much needed services. A study on Disability inBangladesh reflects that 68.9 percent o f people with disability cannot seek medical or rehabilitation assistance due to economic hardships. The same study also found that 96.7 percent of people with disabilities did not get any help from organizations. All these are suggestive o f the 19 millions o f people with disabilities inBangladeshwho are not receiving much needed support mainly due to poverty conditions." Profile of Children-at-Risk: Issues and Challenges According to the World Bank in2003, 37 percent o f the 133.3 millionpopulation o f Bangladesh belongedto the age group o f 0-14 years, yielding a population o f almost 50 million children. According to the 2001 census, out o f the total population o f 130 million, there were 55.8 million children under 18 years. The absolute number of children-at-risk i s not available; however, with 55.8 million children and poverty rates o f 40 percent, this number could be significant. Children are the mainstay of a nation, and keepingthis mindgovernment has undertaken a number o f activities that have direct bearing upon children." Available data pertaining to children at risk include: Children at Work: A National Child Labor Survey, 2002-03 by the Bangladesh Bureau of Statistics conducted throughout the country, covered the childpopulation aged 5-17 years old. Out o f the estimated 42.3 million children inthis age group, 7.4 millionwere engaged in economic activity, Out o f the working children, about 5.4 millionwere boys and nearly 2 million girls. The survey report said there are over 4 millionchildren who neither go to school nor engage in any work. Working children were involved in 300 types of work and o f these, 49 are injurious to their physical and mental welfare. O f the total working children inBangladesh, 7.7 percent were engaged inhazardousjobs. According to the ILO, children are employed ina wide range o f manufacturingjobs and the results, namely lost childhood, foregone education and special susceptibility to the hazards o f the work, are the same for all. Children on the Street: Although street children are not a new phenomenon inBangladesh, the fact is that appropriate data or reliable statistics are available on their number, their actual living conditions, needs and interests. According to the 'Estimation o f the Size o f Street Children and their Projection for Major UrbanAreas of Bangladesh2005' commissionedto the Bangladesh Institute o f Development Studies (BIDS) by ARISE, the present number o f street children in six divisional cities has been estimated at 390,000. The major concentration i s inDhaka city at 63.91 percent, and the lowest concentration o f 2.5 percent i s in Barisal. The Consortium of Street Children estimates that there are 445,226 street children in Bangladesh, with 75 percent o f them living inthe capital city, of which 53 percent are boys, and 47 percent girls.*' The problem i s thought to be escalating due to the rise in urban migration and rural poverty. Despite the hazardous living conditions in cities, out-migrants from rural areas are pouring into urban centers due to rural poverty, unemployment, landlessness, river erosion, family conflict, the worsening law and order situation, disintegration o f traditional family and community structures that have usheredchanges inthe socio-economic scenario, As such, the number o f street children is likely to increase. The BIDS study predicts the number street children shall rise to 1.2 million in2014 and 1.6 million in 2024. All categories o f street children are called Tokai ('rag pickers') by the general public, although they may be engaged in a range o f petty trading, employment, begging or criminal activities. The average daily income o f street children i s approximately US$0.55. Homeless Children: According to a study conducted by the BIDS on homeless children, around 700,000 children live on urban streets, a number that has grown by a third since 2003.2'. Many o f 18Community BasedRehabilitation Practices and alleviation ofPoverty of people with disabilities inBangladesh, Bangladesh Country Paper by KhandakarJahurul Alam, N m u lBari and Masudul Abedin Khan. l9EnsuringChild Rights by Md. Sazedul Islam, 2007 http://streetkidnews.blogsome.com/go.php. 2oStreet Children: Bangladesh, UNESCOBangkok, htt~://www.unescobkk.or~index.~h~?id=3371,(Sept 2001 survey). 21Fear for Bangladeshi Street Kids http://news.bbc.co.uk/cbbcnews/hi/newsid~5250000/newsid~5253300/5253324.stm 20 them are drugdependentandrunthe risk ofending up incapable of managingtheir own or their future families' lives. Many childrencome from extremely poorand brokenfamilies (fathers re- married, singlemother, etc.) andare exposedto extreme deprivationsufferingfrom malnutrition, lackof shelter, poorhealthandwidespread illiteracy,perpetuatingthe inter-generationaltransfer of povertyand major loss to humandevelopment of the country. Children and HIV/AIDS: With a prevalencerate of less than 1percent, HIV/AIDS inBangladesh may notappear to be a majorthreat. Yet nothingcanbe farther fromthe truth: ina populationof over 130 million, a mere 1percent rise wouldmeanan additionofmorethan a million HIV/AIDScases. The first case of HIV was detectedin 1989. Accordingto a 2004 UNstudy, HIV infectionshave tripledinthe last six years. UNAIDSestimatedthat 13,000 adults and childrenwere livingwith HIV at the end of2002.22 Accordingto the study, most ofthese childrenhailfrom ruralareas. Young girls, inmany cases, fall victimto humantraffickingand many of them are forced intobeggingandprostitution. Accordingto AshaktiPunorbashanNibash(APON)-a drugrehabilitationcenter that also treats addictedstreet childrenfree of cost, most childlaborersare addictedto drugs, 'chakki' intheir language, so as to work hardand carry heavy luggage. They buy sleepingpills, phensidryl,heroinand hashishfrom local pharmaciesand smugglers, who force them to carry those for them. Many o f the children's employers also providethem with 'chakki,' leadingto addiction. The addictedchildrenget involved inpick-pocketing,muggingand other crimes for money to buy drugs. Girls are particularly vulnerable among street children.23 These issues are synthesized inthe table below: Institution Official Current Role Issues Project Support needed Responsibility Ministry of Policy formulation Little policy leadership but Needto strengthen Support the development of Social Welfare and leadership in has been instrumental with capacity to develop policy development, (MOSW) areas of social pressurefrom civil society policies and take more monitoring and evaluation security and inaccedingto international of a leadership role cell. During the short runthis protection and conventions. Has not been than areactive role. could be contractedout. inclusions of able to rewrite or reframe groups such as the laws to meet the convention disabled, children- requirements. The Ministry at-risk. has been successful in getting increasingresources for means tested old age, widow and disability allowancesdistributed through local governments. Department o f The service Inareas ofdisability and Provide support to Support restructuring of the Social Services delivery arm ofthe social services the DSS has training so the social DSS andtraining for the social Ministry focused on institutionalcare workers can provide workers so that their services and very little on services such as early can be usedfor pro-active mainstreamingthe disabled identification, referral early detection and and children-at-risk into the and community based community basedcare. community. It has about care. Also, need to 11,000 social workers who changethe natureof do not providemuch service the institutional care and are apparentlyunaware and attitudes ofthose what they should do as pro- working in the HIV and AIDS in Bangladeshhttp://www,youandaids,org/Asia%20Pacific%2Oat%2Oa%20Glance/Banindex.asp 23Children: 700,000 street children risk stepping into crime world, Porimol Palma: The daily Star, Muktadhara.net. 9 May 2001. 21 Institution Official Current Role Issues Project Support needed Responsibility active social workers. institutions. National Set up as an Despite its legal Need to make this Duringproject preparation Foundationfor endowed independence, it was treated transparent and governmenthas agreed to Development foundation to as an arm of the Ministry, appealingto other restructurethe PUF to be of Disabled finance activities headedby reluctant officials donors who could more autonomous and People(now supporting the who saw it as apunishment contribute to increase transparent. World Bank JPUF) Peoplewith posting. It functioned in a its endowment and support is contingenton this Disabilities from desultory non-transparent make itself- change. During its endowment manner making small sustaining inthe long implementation the project income. The grants, which the major run. This type of will support ramping up the government DPOs found too small to be organization already services and capacity of JPUF providedthe initial of use to service deliveIy exists in Bangladesh. allowing it to raise to build up endowment and needs. There has beenno Also, needto ramp up its endowmentto become self- has addedto it audit and its lack of its ability to support sustainable inthe long-run. regularly. transparency has financing service discouragedother provision and contributors to its advocacy of disability endowment, which remains issues. small. NGOs The Government Bangladesh is the home of Most of them needa Project will help restructure has madeNGOs a some ofthe largest and most transparent source of JPUF which will help DPOs. major partner in successful NGOs inthe funding. The Project i s consideringa the delivery of world which are world restructuredJPUF framework to increase services to the leaders. But the country would provide such a transparency of contractingfor disabled, children- also has many small source for DPOs. NGOs providing child at-risk and other localized NGOs some which Contracting for child protectionservices. vulnerable groups. have strong capacity and services needs to be some of which are quite made more weak. transparent. 22 Annex 2: Major RelatedProjectsFinancedby the Bankand/or OtherAgencies BANGLADESH: Disabilityand Children-at-RiskProject Sector Issue Project Name Latest Supervision Rating (PSR/ISR) Bank-financed Projects Implementation Development Progress (IP) Objective (DO) Improving access to quality ReachingOut-of-School Children S S educationfor out-of-school (P086791); Grant No. H-1020-BD. children to facilitate their completion of primary schooling. Increaseaccess to schooling for SecondPrimary Education S S the disadvantaged. DevelopmentProject (P074966); Cr. 3857-BD. Other Development Agencies SocialProtection UnitedNations Development Appropriate Programme(UNDP) Resourcesfor UnitedNations Office for Project Improving Street Services (UNOPS) Children's Environment (ARISE) Social Protection United Nations Children's Education Protection of Fund(UNICEF) Children at Risk (PCAR) 23 Annex 3: Results Frameworkand Monitoring BANGLADESH: Disabilityand Children-at-RiskProject ResultsFramework ProjectDevelopment Use of ProjectOutcome Objective ProjectOutcomeIndicators Information 1. 10% increase inthe coverage of disabled To evaluate overall performanceof the social population by JPUF startingfrom the services and policiesin baseline of services financedby NFDDP achievingtheir objectives. during 2007. To expandthe coverage, To gauge efficiency of 2. 30% increase inearly detectionof use, and quality of social business processesin disabilities and impairments. care services for persons MOSW and JPUF. 3. with disabilitiesand 10%increase ofdisabled people are working (job or self-employed). vulnerable children as a means of promoting equity 4. 30% of the participatingstreet children and social inclusion. attend formal or nonformal education, or training startingfrom the baseline ofthe To make necessary services providedby the PECARproject adjustments inorder to during 2007. ensure transparent, efficient and effective performance and service delivery. Intermediate outcomes Intermediateoutcomesindicators Use of intermediate outcome monitoring Component1:DisabilityServices Ifpeoplewith disabilities receiving the services are fewer than expected, then the Expansion, awareness and 1. 10%increase indisabled people usingthe necessary corrective competencies improvedby: services provided by NGOs contracted by measures will be taken to (i)conductingoutreach JPUF startingfrom the baselineof remove the obstaclesto campaigns on disability services financedby NFDDP during prevent further delays. issues; (ii)training partner 2007. organizations inspecialized 2. NGOs, DPOsand communitygroups are services; (iii)contracting capable of developingand implementing NGOs, DPOs for delivering rehabilitation and other disability services; (iv) developing programs to provide services to at least Ifpublic awarenessis tools and mechanismsfor 20% more of the target population. insufficient to generate early detection and 3. Increasedawarenessandunderstanding demand from the impairments; (v) JPUF fully of disability issues inthe populationat communities, the efforts will operational and offering largemeasuredby spot KAPsurveys. be intensified to raise composite set o f services awareness and promote and information for disabled demand for services people. including national campaigns. Accessibility and quality of 1. Minimum standards of care for working To observe compliancewith care improvedby: (i) with street children are developed and minimum standards of care 24 expandingservices inmore appliedacross implementingNGOs. and efficiency I transparency locations;(ii) developing 2. Alternative care model for children by which the services are and implementingstandards without parentalcare developedand delivered. Non compliance of care; (iii)introducing piloted. with standards and any sign referralsystem, integrated 3. MISestablishedandusedto monitor of deteriorationinservices service provision and case service delivery to street children. will be subject to review by management;(iv) increasing the national steering staff competences and committee and corrective skills; and (v) using measureswould be proposed automatedMIS to monitor to review the design and service delivery. elements of the programsto prevent deteriorationinthe situation. Component3: InstitutionalDevelopment To monitor performanceof MOSW intaking lead in 1. Evidenceof MOSW-DSS taking lead in policy formulation, MOSW-DSSperform its planning and formulating policies and regulation and functions and deliver programs consistent with its institutional implementation. services accordingto their mandate. respective mandatesand 2. MISdevelopedand able to produce efficiently and effectively. relevant reportsto assess the performance of selectedprograms. To make informed policy recommendationsand communicatethem to all stakeholders. Arrangements for ResultsMonitoring 1. InstitutionalArrangements The results o f the project will be monitored through the respective M&EunitsinJPUF and MOSW- DSS (PCAR) incoordination withNGOs, beneficiaries, and other partner organizations. For monitoring disability services, a full time Director o f M&E will be appointed inJPUF to coordinate the monitoring activities both interms ofprocessesand outcomes. Inaddition, there will be a special evaluation unit in JPUF, which will report directly to the Board. Inthe absence o f branch offices, JPUF will primarily rely on its implementing partners to issue activity reports which will be reconciled with the results on the ground by the independent consultants and specialists. The beneficiary input will be an integral part o f the reports prepared by the independent consultants. For monitoring children-at-risk services, a full time Evaluation and Monitoring Specialist will be hiredas part o fthe Project ImplementationTeam to coordinate the monitoring functions jointly with the Divisional Coordinators. The divisional coordinators will be responsible for overseeingthe implementation o f activities in six divisional cities, in 11 locations. The Divisional Coordinators will ensuretimely preparation ofprogress reports incoordination with the implementingpartners (NGOs) and will check the validity o f the reports prepared by the NGOs with help from independent consultants. The National Project Director, PIC and SteeringCommittee members will undertake regular visits to the project locations to ensure progress towards the achievement o f the expected results. Based on the reports from divisional coordinators, independent consultants, and feedback o f 25 the committees, the Evaluation and Monitoring Specialist will compile data on quarterly basis and prepare progress report for the National Steering Committee who will approve and share with the Bank. Inaddition, the Monitoring Specialist will oversee the efficiency of service delivery for street children through a set o f economic studies, which would seek to establish the costs for service delivery for the various phases o f the street children approach (outreach, drop incenters, night shelters, etc.). The objective o f these economic studies would be to provide more information on the relative effectiveness o f the different elements o f the services provided. This inturn would help define future policy as well as program design. 2. Data Collection With regard to disability services, data on subproject outcomes and results will be generated from differentsources including: (i)an annual evaluation o f randomly selected sub-projects and a qualitative beneficiary assessment; (ii) evaluations by external consultants; and (iii) impact evaluations for which the data collection mechanisms will be put inplace duringthe project. The operational manual will include detailed plan for data collection for outcome and impact indicators, and methodologies for assessment. The M&E unitwill coordinate with MIS at JPUF to ensure that the data is enteredas it becomes available from any and all relevant sources. The data sources for monitoringthe results of children at risk services will include: (i)activity progress report includingthe feedback o f the referral agencies; (ii) data produced by the NGOs MIS system; (iii)rapidbeneficiary assessments; and (iv) evaluation reports by independent consultants. The information from the implementingagencies will be entered into the MISat the PCARto be able to generate consolidated reports on outputs and, as far as possible, results that would reflect boththe quality o f services and quantity o f children served. Important additional informationwould be provided by the beneficiary assessment and tracer studies for those street children who will graduate from the institutions after successfully completing the program inthe 4* and 5thyears o f the project. The MOSW will be the main users ofthe resultinganalysesheports, feedingthem into the policy making process and assessingthe project's effectiveness. 3. Capacity For both JPUF and MOSW-DSS, the capacity for M&Ewill be built through the project. The training and capacity building initiatives will focus on monitoringboth the process and outcomes. With regard to the process, the emphasis will be on the implementation lags, misguidedactivities, change o f strategic direction so that the relevant staff/ofYicials will be able to identify the bottlenecks and take corrective actions to prevent deterioration o f the sub-projects. With regardto measuring the outcomes, JPUF, MOSW-DSS andNGO staff will be trained indata processing(storage), analysis, and reporting. Moreover, community groups will also be trained to participate inthe monitoring exercise to be able to assess situation o f their communities and families before and after the project. Evaluationof outcomes and impacts The project also includes funding for intensive evaluation o f outcomes and impacts. 26 For the disability services,the evaluation i s planned as follows. The project will support development o f the basic parameters for doing the impact assessment including setting up of institutional framework, conceptual framework with model o f impact chain, specification o f the unit(s)or levels, at which impacts are assessed, and specification o fthe types of impact that are to be assessed. Inaddition, a specialized survey o f approximately 15,000 households will be undertaken to develop a baseline by which the project's achievements could be measured. The survey would also serve as a key data source for the impact assessment. To address longer term measurement and monitoringdisability issues, BangladeshBureauo f Statistics and Household Income and Expenditure Survey (HIES) are planningto revise Census and HIESdisability questions and analysis to be more inline with the international standards being developed by the work o f UNStatistics Washington Group. They have agreed to discuss the information requirementsfor implementation o f the UNConvention with relevant ministries,and to begin development o f a new set o f Census and HHSurvey questions. Inthe case ofthe Children-at-Risk component, an evaluation methodology would be developedto provide information on the reintegration o f children into the education sector, their families and communities. The methodology would include control and treatment groups, and seek to establish tracer studies that would follow the lives o f randomly selected children. Inaddition, the pilot on alternative care for orphans would be accompaniedby intensive evaluation o f the process and possibly of outcomes. The methodology for the evaluation o f the pilot, however, would be designed once the alternative care model i s developed. 27 s g P rn P rn N 0 0 0- Q\ 0 00 \o CI 0 CO ru 0 3 m d r 1) 2 %m i L E m 2m N 0 0 2m 3 c N, M rc 0 E 0m 'E M 0 2 m I YQ Y 55 0 3 u.. hl Y5E a 0 u i x .E * 3 0 m e .C a Bx gE v, g m Annex 4: DetailedProjectDescription BANGLADESH: Disabilityand Children-at-Risk Project The proposedprojectwill be implementedthroughthree components:(a) increasingthe coverage and quality of disability services, buildingawareness, and increasingcapacitythrough strengtheningo fthe JPUF, improvingthe knowledgebase and monitoringof disability and buildingcapacity for policy developmentinBangladesh;(ii) strengtheningintegratedsocial work andcare servicesfor vulnerable childrenaged 0-18, particularly street children,primarily inurbanandmetropolitanarea, and(iii) buildingthe capacity o fthe MOSW for developing, implementingandmonitoringpoliciesandprogramsconsistentwith the missionandmandate throughpromotingpublic-privatepartnerships, The principalfocus of all three components is to improve services for marginalizedpopulationsandhelpto mainstream them. The overallbudget for the projectis estimatedat US$35 million. COMPONENT ExpandingDisabilityServices,ImprovingAwareness, and BuildingCapacity 1: (US$22 million) The objectiveofthis component is to expand servicesfor and empowerment ofpeople with disabilities, andbuildthe capacityofNGOS/DPOS~~and government agencies servingthe disabled people. The component would supportthe restructuringand scalingup ofthe JPUF, to channel grants to DPOsand disabilityNGOs. The component wouldbe implementedby the JPUF and wouldcomprisetwo sub-components: Sub-component l(a): Restructuring and capacity building of the JPUF: This sub-component would reformand strengthen the JPUF to becomea center of excellence for contractingdisability services, promotiodawarenessbuilding,research, monitoringand evaluation, and establishinggoodpractices. The visionfor the JPUF is to: (i) reforminto a strong and independentapex body, whichwould operate with substantial autonomy under the managementof a nationallyrecognizedleader; and (ii) positively affect the way disability is addressed inBangladesh to achieve a higher levelof social equity and inclusionfor people with disabilities. The restructuringofthe JPUF would seek to emulate as closelyas possiblethe management structure and operationalprocessesadoptedbythe SDF andthe PKSF. Itwill use transparent criteriaand accountabilitymechanisms,to select and finance sub-projectsinaccordancewith the agreedoverall strategy, priority areas of focus andthe annual plans. The Foundationwould adopt a non-governmentsalary scale similarto the SDF to helpattractand retainnewtalent. Activities wouldcommence by restructuringandrevitalizingthe Foundation,recruitingnew management of recognizedintegrity,bringinginadditionalstaffwith recognizedtechnicalandoperational competence inthe domainof disability, settingprioritiesfor funding, andbuildingcompetenciesin disability research, M&Eand awarenessbuilding. 24Unless otherwisenoted, the term Non-Governmental Organization (NGO) is here defined to include community- based organizations, disabled persons organizations,and international and national NGOs. 33 To sustainthe restructuringprocess andhelpJPUF evolve as a viable developmentagency representingpeoplewith disabilities,the projectwill support capacitybuilding bothat the strategic and operationallevel. Bothroles are mutually interdependent andwill bepursuedtogether. + Enhancing the strategic role: While JPUF sets up the institutionaland operational structures, the projectwill support the Foundationto continueto play a vital role informulatingdisability policies, legislationand strategies to influencethe way disability is addressed at the national level. It also aims to take the leadinpreparingaNationalFrameworko f Action startingwith a review o fthe NationalPolicy of Disability to ensure compliancewith UNConventionon Disability. The NationalFrameworkofAction will guidethe operationso fthe JPUF including the work o f multitude of disability organizations,andhelp influencemainstreamingof disability issues inthe national agenda. To assist the JPUF in fulfilling its strategicandpolicy role, the projectwill providetechnical assistance inpolicy analysis, disability measurementand analysis, developingtools andmechanismsfor assessing, analyzingand addressing disability, exclusion, equity and empowerment o fthe disabledpopulation. + Strengthening operational and management structures: To advance the setup o f the operational andmanagement structure, the projectwouldprovideassistance for: (i)developingoperational guidelinesand instructions;(ii) planning,coordinating,managingand monitoringJPUF activitiesand sub-projects,linking them to disability goals and needs of the beneficiaries;(iii) developingmechanisms o f accountability includingenforcemento f relevant rules/procedures/lawspertainingto provisionandmanagement o f services andstrengthening integritynorms; (iv) settingup a monitoringand evaluationsystem for programsandprojects andtrainingof staff intheir implementation;and (v) establishingan integratedmanagement informationsystemthat, inter alia, will serve as a gateway to informationondisability programs inBangladeshfor bothexternaland internal users. The beneficiarieso f this sub-component would bethe: (i) NGODPOs and disability activiststhat wouldbenefit from fundingand expertise from the JPUF, (ii) makers who would obtain policy necessary informationfor policy formulationand monitoringprogress; and (iii)civil society organizationsand individualswho would benefit from knowledgeand understandingof disability issuesto insightthem to undertake future programs on the subject. The ultimatebeneficiarieso f this sub-componentwill bethe PWDandtheir families. Sub-component 1(b): Provision of Disability Services, Education, Training and other Empowerment Activities through NGODPOs: This sub-component would provide financingfor disability services offeredby NGOsDPOsusinga demand-drivenapproachfollowing predeterminedeligibility criteria. Sub-projectscouldinclude early detectionand intervention,prevention,rehabilitation,counseling, communicationand awareness, empowerment, education, skills development, provisionof assistive devices, mainstreamingandcommunity-basedrehabilitation(CBR). The JPUF will inform government and nongovernmentalagencies, community groups, disabledpeopleorganizations,andthe public at large throughIEC (Information, Educationand Communication)channels about its objectives, eligibility and selectioncriteria, conditionsof funding, and methods of implementation. The detaileddescriptionof the eligibility of the sub-projects, approvaland selection criteria, grant limits, applicableprocurementprocedures, and roles ofvarious committeeswill be elaborated inthe operationalmanual. The sub-projectswouldbe solicitedonly after these proceduresare 34 established, priorities are establishedthrough broadconsultation,and systems are inplace to operationalizethe fund. SUB PROJECT SCREENING APPROVALPROCESS a. The JPUF will undertake broad consultations with numerous stakeholders including, inter alia, NGO/DPOs, professionals, academics, activists and relevant government ministries. From these consultations and analysis of available data, 5-7 key priority areas for investment will be established. This will form the annualwork plan to guide sub-project financing. b. Information gathering and facilitation. NGODPOs will discuss with beneficiaries their needs, priorities, expectedresults based on which they will preparethe sub-project idea and submit to JPUF. C. Pre-identification of initial sub-projects. JPUF will solicit a small number of sub-projects prior to project effectiveness by JPUF, so that their implementation can start immediately after effectiveness, following a shorter facilitation process. The other sub-projectswill be selected as describedbelow. d. Identification and preparation. Sub-projects will be identified by NGODPOs within the eligible locationsthrough a consultation process, at the end of which the most urgent needs will be agreed upon with the assistance of facilitators. e. Submission of sub-project applications and support for preparation of technical documents. Applications will be submitted by NGODPOs, and go through a screening and pre-appraisalprocess by JPUF. If needed, JPUF could finance the preparation of technical documents (feasibility studies, legal and other permits) to support the application. f. Appraisal and approval. JPUF will conduct the appraisal process. Applications that pass the desk appraisal will be subject to a field appraisal, which will take into account both technical and financial feasibility and social impact. The final step will be approval by an independent selection committee and/or JPUF Board. 5 Signing and Implementation. A sub-project contract will be signed between JPUF and the NGO and/or the main executing agent. The NGO and/or the main executing agent will be accountableand responsible for the efficient implementation of the activities agreed in the sub-project, including the contracting of small works, goods and services. It will also be expectedto participate inthe operation and maintenance ofthese activities. h. Monitoring and Evaluation. M&Ewill be carried out at two levels. First, the JPUF's M&EUnit will carry out both process and impact monitoring and will contract external evaluations to assess the programs' impact at the community level. And second, through the facilitation process, the NGOs/DPOs along with community groups and beneficiaries will be encouragedto establishprocesses of participatory M&E so as to monitor their own performance as a vehicle for institutional learning and enhancing performance. The priority areas o f financing for funding will remainflexible, determinedby the Boardof JPUF and basedon the target set inthe annual working plans. Itcould include: Area-basedperformance contracting: Larger annual funding for NGOPartner Organizationsto cover an agreed geographical area with an agreed service of specific quality such as early detectionandtreatment o f childrenwith disabilitiesand developmentaldelays, CBR or skills training. Award of initial contractsunder this window would be subjectto rigorous screening of NGO/DPOsagainst set eligibility criteria which emphasize good performance. Renewalo f contracts would be subjectto the NGOs meetingpre-identified targets and standards as validatedby third party reviews. Trainingand support topartner organizations: Some NGODPOs, academic institutions, foundations or independentcontractorsmay have specific expertise and skills indisability which are requiredbut not widely available(for example, production or distribution o f assistive 35 devices or early detection). Insuch cases, the JPUF may opt to contract the expertise to train, support and monitor the other Partner Organizations. Likewise, smaller DPOs are frequently in needo f strengtheningtheir capacity to manage andmonitor the services they provide and raise funds from donors and government agencies. There will be a window for training and capacity building o f such DPOs. + Primary and specialized rehabilitation services: There is growing emphasis on providing integrated package o f services to respond to the specific needs o f people with disabilities. JPUF will contract a professional agency to help coordinate a variety o f referral services and facilitate access from primary care to secondarykertiary level services as required. Primary rehabilitation services can be offered at the door step such as physiotherapy, occupational therapy, daily living skills, locally available assistive device support, and health care services. Specialized rehabilitation generally requires a referral to tertiary level services includingadvanced and expensivemedical interventions. + Promotion of disability issues: Eventhough the existingpolicy framework is supportive of disability issues, there i s a lack o f understanding o f these issues in government and society. The JPUF could contract professional agencies to promote the abilities and rights o f the disabled. Promotion could also include monitoring implementation o f existing laws and regulations, promotinguniversal designand accessibility, and a broad range o f means to eliminate barriers to full social and economic participation. + Innovation grants: Smaller one-off grants to introduce or pilot new interventions, assistive technologies, specialized equipment, develop curricula or learning materials for people with disabilities, communication and awareness campaigns, etc. Award o f contracts under this window would be based on the innovativeness and likelihood o f sustainability o f the proposal. Special consideration would be given to Self-help Groups and DPOs. COMPONENT Strengtheningand Expandingthe Network of Services for Children-at-Risk 2: (US$9.5 million): The objective o fthe component is to improve access, quality and relevance o f services for children- at-risk in selected cities o f Bangladesh. To achieve the objective, the component would take a phased approach during which the legal and policy framework would be aligned with the UNCRC, the capacity ofthe DSS would be strengthenedto designand oversee programs for child protection (both supported under component 3), and pilot interventions would be implementedto inform the child protection policy framework through (i)improving and expanding services for street children with a focus on strengtheninga referral system, case management25and their reintegration into their families/communities; (ii)developing and pilotingalternative approaches to institutional care for orphans, and (iii)improving the capacity of relevant service providers to ensure quality, efficiency and effectiveness o f services for children-at-risk. The phased approach will include short- and medium-term actions, as well as actions that are overarching with no time bounds: *'The case managementsystem being proposedhere is to make sure that every child who enters the system is properly monitored and support is providedconsistent with their needs. Given the early stages of these services - at a pilot stage -thebasicapproachwillneedtoberefinedanddevelopedduringthecourseoftheprojectbasedonexperience gathered and consistent with UNCRC guidelines. 36 a. Inthe short term, over the first 12-24 months, the project would emphasize the institutional strengthening and capacity building based on a plan developed by MOSW-DSS. This would also include the development of standards o f care for services provided to street children under the project. b. A medium-term agenda would include improving and expanding services for street children and children without parental care with focus on community-based care and rehabilitation services. The lessons from these programs will help align the existing legal and policy framework to the UNCRC and local realities. c. Integration (mainstreaming / inclusion). This gigantic task goes beyond the time limits of the project. It would require involvement of all stakeholders - government, NGOs, public and private sectors - in the development o f an integrated and comprehensive child protection system with the goal to integrate these children into their families, communities and country's social and economic life. The component would be managedby a Project Implementation Unitunder the Department of Social Services (DSS) that i s also implementingthe UNICEF-financed"Protection o f Children-at- Risk (PCAR)" Project. The PIUwould subcontract NGOs to deliver services to the children in accordance with standards o f care developed for these services: + Sub-component 2(a): Supportfor institutional and capacity building of DSSstaff and service providers: Inorder to ensure adequate quality, effectiveness and efficiency of service delivery under other sub-components, this sub-component would provide training and capacity building tailored to enhance the quality of services for children-at-risk. It would: (i) develop and adopt minimumstandards of care for the relevant services for street children to be adhered to by all partner implementing agencies; (ii)provide training in `standard compliance' and monitoring; (iii)developa"case management" toolforeffectiveindividualcareandrehabilitationplanning; (iv) provide training in case management and referral coordination; (v) enhance skills in specializedareas (mentoring, volunteerism, social work, care, counseling, etc.) for developing and managing the rehabilitation and integration cycle; and (vi) provide training inprogram management, networking and coordination with other service providers, monitoring and reporting. W Sub-component 2(b): Improving and expanding servicesfor street children. This sub- component would support the expansion o f the UNICEF-sponsored project "Protection o f Children-at-Risk (PCAR)" from six to eleven locations.26 The PCAR project i s based on a four- step model to rehabilitate and integrate street children into mainstream society and includes: (i) outreach activitiedopen air schools, (ii)daytime drop-in centers, (iii) shelters/homes, and night (iv) training and social activities that promote reintegration with families and society as a whole. UsingPCAR's existing model, the project would expandthe services while strengtheningthe case management and referral system. It will (i) expand the services in geographical terms through contracting o f NGOs while broadening the scope of services for street children to strengthen the case management and referral system; and (ii)establish a project monitoring and evaluation system as an integral part o f the service delivery process, both at the management level and at the level o f 26 Six divisionalcities-Dhaka, Chittagong, Rajshahi,Khulna, Barisal, Sylhef and adding district towns Narayangong, Mymemsingh, Comilla, Rangpur,Jessore. 37 service providers to keep track o f overall progress as well as evaluate the outcomes and impact o f the services on street children. The conceptualframework for strengtheningthe existingPCAR model would comprise: Strengthening case assessment,planning and management services at the drop in center to develop an appropriate "development plan" for the child. A case manager will be assigned from the time the child contacts the drop-in center to the implementation ofthe development plan. `The plan will focus on: (a) desired outcomes and timeframe for achieving them; and (b) nature and scope of services and identity o f service providers. A case manager will coordinate the implementation and monitoring against goals/outcomes set for the child. The services will also include psycho-social care, health, and legal services, etc. Coordinating referral services. Co-location o f variety o f services will bethe key element o f one-stop shop service delivery that will enable the child to obtain all needed services inthe same locality, if not at a single location. The case manager will facilitate coordination of services. These case managers will serve as a vital link betweenthe child and the service points for the child. Staff from different programs and agencies will also share accountability andjoint responsibility for the success o f the plan. Developing a child-centered monitoring and beneficiary tracking system: The focus will be on developing an informationsystem that would include data on street children, referral programs to help track the progress o f development plans o f respective street children through the system. This could include: (a) developing single information system that will connectwith systems in the relevant referral services to interface with each other; (b) facilitating reporting o f all requiredbeneficiary data while protecting confidentiality; and (c) developing performance and mediating indicators linkedwith the relevant programs that will directly relate to changes inthe situation o f the family and/ the individual and non-performance o f the programs. 38 MOSW INPUTS 1.Legal Charter 2. Regulatory Framework recreational services 3. Financial Resources 3. Coordinating access to 4. Supervision 5. In-kind suumrt 4. Monitoring, recording and tracking progress . . . . . . . . . . . . . . . . . . . . . . . . . PROJECTSUPPORT 1. Schools 1. Standards ofcare 2. Job Placement 2. Operationaltools and manuals for case management, service delivery, program managementand integration 3. Training and capacitybuilding incase management, referralcoordination, standards compliance, monitoring and reporting 4. M I S Informationsystem 5. Financing The guidelines to implementthe above process will be elaborated inthe operational manual, which will also include approval and selection criteria for NGOs, expected outputs-outcomes, grant limits, applicable financial management and procurement procedures, roles o f various national and local committees, monitoring and evaluation planning and reporting. The eventual outcome would bethe integration of children into schools, job placement and/or families, strictly following the integration guidelines to ensure sustainable and effective mainstreamingto prevent further danger or riskto the child. + Sub-component 2(c): Support DSS to develop andpilot alternative approaches to institutional carefor orphans in line with the WCRC. This sub-component would help the DSS design alternative models (e.g., foster care) for taking care o f children without parents, some o f whom are now in orphanages, and others who do not have a home at all. Based on the model developed, guidelines would be prepared for operationalizing and piloting initiatives to test and improve the model over time. NGOs would be contracted as service providers to pilot the new interventions and service delivery models. Award o f contracts under this sub-component would be based on the "child-centeredness" and sustainability o f the proposals. + Sub-component 2(d): Project management: This sub-component would support day-to-day management and operational costs o f the project for effective project implementation, ensuring adherence to Bank fiduciary requirements, particularly with respect to procurement, and financial management. 39 Component3: INSTITUTIONAL STRENGTHENING OF MINISTRYSOCIAL WELFARE (MOSW) OF AND DEPARTMENTSOCIAL SERVICES (DSS) (us$3.5 MILLION): OF The objective ofthis component is to support the MOSW and the DSS to gradually shiftfrom a reactive to a proactive and preventive social service approach. To this end, technical assistance, training, and goods and equipment would be provided under the project to improve policies, help adjust the institutional structures to this approach, and make existingprograms more efficient and effective. The MoSW incollaboration with DSS has laid out its strategic directions for the next 5 years ina Policy Letter (on files). Based on the Policy Letter, the MOSW and DSS havejointly developed an Institutional Development Planand identified four selected key strategic areas to be support by the project. These are: StrengthenMOSW's capacityfor policyformulation and revision of associated legal pamework: The project would support the MOSW in strengtheningits policies and revise the respective legislations for persons with disabilities, child protection and other socially disadvantaged populations as needed. Buildingon international examples and experience, as well as the existingpolicies and legislations, the project would: (i)provide technical assistance inpolicy development andcoordination including a wide range of stakeholders and experts; and (ii)financetrainingforpolicydevelopmentandcoordination. Support the institutional developmentof DSS: This component would support DSS in streamlining the organizational structure and procedures for enhancing its outreach and impact of its many programs. The project would provide technical assistance, training/workshops and exposure to international experience to DSS and relevant stakeholders for (i)developing more streamlined services and programs, (ii)adjusting the DSS organizational structure and procedures accordingly; and (iii)supporting the implementation o f the institutional changes. Strengthentraining and capacity buildingfor proactive social work: The project would support DSS in enhancingthe capacity of its personnel and other service providers for providing proactive social services to its target beneficiaries. The project would: (i)provide technical assistance in strengtheningthe National Centre for Training and Research on Social Development (NCTRSD) and six NGO-run Division Training and Resource Centres (DRTCs); (ii)supportindevelopingtrainingandlearningmaterialsforproactivesocialworkandrelated subjects; and (iii)finance training for specialized services. Strengthenprogramplanning, implementation, monitoring and evaluation: This component would support DSS in improving the overall monitoring o f its services and programs, as well as the implementation and evaluation o f selected programs establishing clear objectives, implementation mechanisms, and indictors for measuring their impact. It would also support DSS ininstitutionalizing mechanism for effective planning and implementation of its programs for quality service delivery by incorporating proactive and preventive measures inprograms for reducing vulnerabilities. The project would provide technical assistance andtraining for (i)improvingthe DSS systemsfor monitoring o f programs and services towards an integrated MIS including capacity buildingof central and local DSS staff for stronger monitoring and evaluation o f services andprograms; (ii) evaluating the operational effectiveness and outcomes o f selected programs, (iii)strengtheningthe implementation o f these programs through clear implementation guidelines, effective mechanisms 40 for monitoring and accountability, and further evaluation, and (iv) developing a website for DSS to provide timely and accurate information to the public on services and programs. 41 Annex 5: ProjectCosts BANGLADESH: Disabilityand Children-at-RiskProject Table 5.1: Total Costs Summary Project Cost By Component andor Activity Local Foreign Total US$million U S $ million US$ million 1. ExpandingDisability Services 4,320.40 17,28 1.60 21,602.00 2. Children-at-Risk Services 1,827.72 7,3 10.88 9,138.60 3. Institutional Development and Capacity 549.60 2,198.40 2,748.00 Building Total Baseline Cost 6,697.72 26,790.88 33,488.60 Contingencies 302.28 1,209.12 1,5 11.40 Total Project Costs 7,000.00 28,000.00 35,000.00 Table 5.2: Component 1: Detailed Cost Table 5 Year Project Costs Component 1: ExpandingDisability Services 2008 2013 - 42 Table 5.3: Component2: Detailed Cost Table Component 2: ChildrenAt-RiskServices Table 5.4: Component3: Detailed Cost Table 5-Year Project Costs Component 3: Institutional Development and Capacity Building Total Cost .INVESTMENT COSTS 465,000 180,000 125,000 Institutionaldevelopment workshops 35,000 Group Study Tour (International) 50,000 Group Study Tour (Asia) 75,000 B. M&E and MIS 500,000 C. Training & Capacity Building 1,210,000 'otal InvestmentCosts 2,175,000 t. INCREMENTAL OPERATING COSTS A. Project Implementation Team B. Goods and Equipment (1vehicle and office equipment) C. Operation and Maintenance Costs 'otal Incremental Operating Costs ubtotal (Investmentt IncrementalOperating Costs) [I. CONTIGENCIES I 'OTAL 43 Annex 6: Implementation Arrangements BANGLADESH: Disability and Children-at-Risk Project The project will be implementedby Jatiyo Protibondhi UnnayanFoundation (JPUF) and MOSW- Department o f Social Services (DSS) under separate implementation arrangements for their respective components. JPUF will be responsible for Component I on Disability Services and MOSW-DSS will be responsible for Component 2 on Children-At-Risk and Component 3 on Institutional Development. Separateproject implementation units, with separate special accounts will be established inMOSW-DSS and JPUF. Both PIUs will have appropriate financial management and procurement system, as well as project monitoring and evaluation system. ImplementationArrangements by Component ComDonent 1: Disabilitv Services JPUF will be responsible for the implementation o f the disability component. JPUF has beenreinstituted as an autonomous entity outside the regular government structure, governed by the Board of Directors headedby the chairman o f JPUF and composed of representatives from relevant line ministries,NGOs and community groups. The autonomy will enable JPUF to have the flexibility necessary to respond quickly and efficiently to requests from the disability community, providing fundingand technical assistance for institutional strengthening o f communities, NGOs, and grassroots organizations servingpeople with disabilities, thereby promoting self-reliance among disability community as well as stimulating community organization and participation o f people with disabilities. Project Management Structure The Foundationwill be headed by the Managing Director and comprise Directors for Program Management, Finance and Administration, and Monitoring and Evaluation, all supported by technical specialists and other support staff. A Project Unitwill be established for supporting the implementation o f the disability component activities and will be equippedwith adequate staffing to cover financial management, procurement, administrative and monitoring functions. The Managing Director will serve as the Project Director to oversee day-to-day coordination and implementation ofthe overall project activities. Three operational directors will report to the MD, while a special operations evaluation unit will report directly to the Board. JPUF will start with one central office but may decide to open branch offices as the operational needs will require. ImplementationArrangements JPUF will implement its activities through subprojects generated by the disability community relevant to their issues and needs. The subprojects will be selected based on the eligibility criteria including size and simplicity o f the proposed subproject, capacity of the requestingentity to undertake the subproject, relevance of the subproject to needs o f people with disabilities, and relative poverty o f the disability community. The subproject financing would be in grant form and could cover technical assistance, civil works, goods and equipment and in some cases, consumables for the start-up activities. The JPUF has prepareda very comprehensive operational manual to guide day-to-day operations of the foundation and implementation o f the sub-projects. It includes details on all aspects o f the operation including selection criteria for subprojects, selection criteria for implementing partners, role of managing, 44 participatingand implementingpartners, roleofcentralandregionaloffices, financial andprocurement processesandmethods, contractmanagement guidelines, andmonitoringand evaluation. Insummary, for every subproject there will be a contract that will be signedwith the partieswho will be responsiblefor implementingthe activities. The contract will includeactivitydetails,the contributionof each entity, the time frame of implementation,the budget ofthe subproject, the disbursement schedule, andthe milestones basedon which payment tranches will be released. Beforereleasingany tranche, the JPUF will verify that the milestones inthe contract have beenachieved. Independentandtrained consultantswould behiredto conduct verificationvisits to ensure the accuracy ofthe sub-projectprogress reports and implementationofthe activitiesinthe contract agreement. Component 2: Children-at-Risk Services ProjectManagementStructure MOSW-DSSwill be responsible for the implementationof Component 2 throughthe PCAR office inthe DSS, whichwill serve as the ProjectImplementationUnit (PIU). Itwill comprise a Project Coordinator, FinancialManagementand ProcurementSpecialist,Accountants, MonitoringandEvaluationOfficers, DivisionCoordinators,Technical Specialists, administrativeand support staff. MOSW-DSSwill appoint the NPDon full time basis from the MOSW-DSS. The PIUwill be advised, guidedand supervisedbythree committees as follows: The NationalSteering Committee (NSC)will serve as the advisorybody; the ProjectImplementationCommittee (PIC) will oversee the management and monitoringofthe project; andthe Local Project ImplementationCommittee (LPIC) will be responsible for the effective implementationofthe plannedprogram, coordinationamongthe stakeholders andmaintaininglinkswith the PICat the nationallevel. ImplementationArrangements The PCAR unit will be responsible for the contracting,monitoringand supervisionoftechnicalassistance, training,procurement of goods and equipment as well as the contractingofNGOs as service providersfor childrenat risk. The NGOs will be selectedthrougha competitivebiddingprocess and approvedby the NGO selectioncommittee. TheNGO selectioncommittee will be formedwith equal representation from the Government and UNICEF (parallelfinancier of PCARproject). The representationfrom other development and UNagencies inthe NGO selectioncommittee is beingconsideredto improvethe quality and transparency ofthe selectionprocess. 45 n L L I * * * * * * * * * Services will be delivered through NGOs in 11 locations in6 divisional cities. For each divisional city, a contract will be prepared specifying: (i)list o f activities (ii) targets and expected outputs; (iii) implementing entities and their roles and responsibilities; (iv) timeframe; (v) milestones for payment disbursement; and (v) costs. The activities, targets and outputs for each division cities will be determined based on the annual work plans prepared at the beginning o f the project but they will be flexible to accommodate the evolving needs o f the children at risk. The local MOSW-DSS office will actively participate inthe monitoringand supervision o f contracts at the local level and provide technical and logistical support to partner agencies, as needed. The payment to the NGO (service provider) will be performance-based against the achievements o f the milestones as stipulated inthe contract (service agreement). Independent and trained consultants would be hiredto conduct operational audits o f service delivery on a sample basis. Inaddition, beneficiaries would be interviewed regularly to ensure the quality o f service delivery and achievement o f the agreed targets and milestones inthe contract (service agreement). ComDonent 3: Institutional Strenetheningof MOSW and DSS This component will be implemented under direct supervision o fthe Director General -DSS, and will have a separate steering committee headed by the Secretary o fthe Ministry. The DGwill be responsible for giving guidance to the implementation team and may appoint an Institutional Development Officer at the Director level to be in charge o f day to implementation. This officer may be supported by an Institutional Development Specialist financed under the project. The financial management and procurement processes for this component will be managed by the same PCAR project team managing Component 2. 47 Annex 7: Financial Managementand DisbursementArrangements Bangladesh: Disabilityand Children-at-RiskProject A financial management assessmentwas carried out to identify the financial management environment and capacity o f the country and the entities that will implement the project. The objective was to assess the financial management risksunderlyingthe project, the capacity of the implementingentities, andthe project financial management arrangements that would need to be in place to meet the fiduciary requirements o f the proposedproject. Country Issues: Over the last several years, GOB has beenaddressing key weaknesses infinancial management identified inthe Country Financial Accountability Assessment (CFAA), through a series of reform programs supported by DFID, WB, and a few other development partners. However, due to the fragmented approach to Public Financial Management (PFM) reforms, there has been uneven improvement on the PFM system across the government agencies and institutions. A joint WB, DFID, and GOB review o f Institutional Arrangements for Public Expenditure,Financial Management, and Procurement completed in June 2005 revealed that Bangladesh's public expenditure institutions need to be significantly strengthened. The review that was carried out under Public Expenditure and Financial Accountability (PEFA) Performance Measurement Framework also confirmed that links inthe public financial accountability chain in Bangladeshcontinue to be weak. Internal and external controls remain weak as reflected inthe lack o f accounting information in line ministries, delays inthe publication of audit reports, unsatisfactory quality of the external audit function, and ineffective Parliamentary oversight o f the whole budgetprocess. Although GOB has taken several steps to improve its public financial management and procurement systems and the overall trajectory of change has beenpositive, the pace o f progress has been slower than anticipated. The recently-approved GOB document on "PFM Vision & MediumTerm Rolling Action Plan" develops time-bound reform actions and remedial measures designed to improve financial management and accountability. Donors have recently agreed with the government to provide implementation support to the PFMreforms through a MultiDonor Trust Fundto be administered by the World Bank. Efforts are also underway to tailor and apply the PFM measurement framework at the sector level. Reform actions proposed include measures aimed at strengthening line ministry's financial management function. The Ministry o f Social Welfare (MoSW) and its attached department the Department o f Social Services (DSS) would be beneficiaries o f such strengthening arrangements. The Report on Observance of Standards and Codes (ROSC) ofAccounting and Auditing inthe corporate sector completed by the World Bank in2004 highlightedsignificant weaknesses inthe enforcement o f highquality financial reporting and auditing standards. The ROSC report outlined the strategy to improve the statutory framework, strengthening enforcement mechanisms, upgrading professional education and training, and enhancing capacity o f regulatory and professional bodies. The Government, aided by the World Bank, supported the Economic ManagementTechnical Assistance Project which is implementingseveral initiatives including: i)introducing a Financial Reporting Act, and ii)designing a Financial Reporting Council aimed at improving overall accounting and auditing practices incorporate sector. Upon full implementation o f these activities, the expected improvementswill also strengthen accounting and auditingpractices andthe accountability environment o f not-for-profit social services organizations such as Jatiyo Protibondhi UnnayanFoundation(JPUF). 48 Despitethe weak overall country financial management environment, fiduciary risk indonor-funded projects has been greatly minimized due to the government policy o f stipulating additional implementation arrangements inthose projects. ImplementingAgencies: The Project will be implementedbytwo entities: i)Jatiyo Protibondhi UnnayanFoundation(JPUF),and ii)the Department o f Social Services (DSS) under MoSW, under separate implementationarrangements for their respective parts ofthe project. Jatiyo ProtibondhiUnnayanFoundation(JPUF) JPUF was established under the Societies Act as an autonomous not-for-profit organizationoutside the conventional government structure and governed by the Board of Directorswhich i s composed of representativesfrom relevant line ministries, NGOs,and community groups. JPUF aims to provide funding and technical assistance for institutional strengtheningo fNGOs, community groups, and the private sector servingpeople with disabilities. JPUF operations are financed by interest earnedon a capital seed money fund from the government as well as grants and donations received. Currently, the JPUF's executive functions are performed by key officials on deputation fi-om the government headed by a Joint Secretaryo f MoSW working as the Acting Managing Director. The JPUF i s undergoinga modernizationprocess following a restructuringplan and it will soon recruit a ManagingDirector and other executives from the market. Prior to the Project Preparation Facility, JPUF didnot have a financial management organization in place. The accountant that was assignedto look after the accounting functions did notperform adequately due to the lack o f expertise. Books and accounts were almost non-existent and records were very poorly maintained. Financial statementswere neverpreparedand untilrecently; JPUF hadnever beenaudited. Recently, a FinancialManagement Consultant (FMC) hasbeenrecruitedunder the PPF and the FMC has started working on FMpractices of the Foundationinaddition to the activities prescribedunder the PPF. An independentauditor has been appointed by the Board for the firsttime to complete an audit of financial transactions since its inception. Under the restructuringprogram, a Director, Finance will be recruitedto perform the FMfimctions o fthe foundations professionally with the helpofother FMstaffto be recruited. Ithasbeenagreedthat the FMC will remainonboarduntil such time as the Director, Finance is appointed and takes over the FMleadership o f boththe foundation and the project. RiskAnalysis and Mitigation: Before mitigation, the overall FMrisk for JPUF is ratedas "Substantial". This i s mainly due to: non-existent FMcapacity o f JPUF, no experience o f implementinga Bank-fundedproject, and no exposure to the Bank's andthe GOB'Sfinancial management and disbursement procedures. Considering JPUF's commitment at the Boardand top executive level and upon the agreement reached on identifiedmitigating measures with a dated FM action Plan, the residual FMrisk for JPUF i s assessed as "Modest". 49 an impactinshort term. processfollowing arestructuringplan under which qualifiedF Mstaff will be in place againstanalready approvedF M Organization. Project Level M L Control Risk Budget S M lack of requisiteprofessionalskills The F M Consultantrecruited and participatory and coordinated under the PPF will be approach might not producean engagedon the project until adequate and realistic budget the Director, Financeis lengthy approvingtiers- JPUF appointedinJPUF. Such Project Team, JPUF Board, qualified personwill prepare MOSW, PlanningCommission, the project budgetin ERDwith no servicestandards consultationwith the other would leadto wastage ofproject sections of JPUF under a input on follow up and might structuredbudgetpreparation impact on quality of budget process. preparedhurriedly consideringthe leadtime requiredinapproval JPUF and MOSW will set process. service standards exploring ways of improving timeliness inscrutinizing and approvingprocess. Accounting S L Absence of a ComputerizedAccounting The provision for aCAS To be includedin System (CAS) might affect producing needs to be made inthe DPP. the DPP andthe projectjnancial information 's The F MConsultanthas the initial accuracy and timeliness. requisite skills to assist early Procurement procurementand Plan. implementationof a system andto operate it and also use The TOR for the an Excel-based system until Director, Finance acomputerizedsystem is to includethe functional. requisiteskills. 50 Internal Control H S An operational manual is in Weaknessin internal control and lack finalization stage putting of or notfollowing operational manual together operational might notprevent improper use of funds guidelines for all project in sub-grants and other categories. functions .Eligibility criteria for sub grants will be strictly followed-a disbursement condition has beenset to enforce it. The audit TOR will require the auditor to include efficacy o f internal control arrangement inmanagement letter. Funds flow M L Implementation may suffer due to delay F M staff o f JPUF takes due in obtaining MOF's authorization to diligence inpreparation and use DesignatedAccount. timely submission o f Authorization Requests, MOSW makes quick endorsement and follows up for MOF's accelerated action. FinancialReporting S M By Negotiations Reportingproject expenditures by Format and contents o f To be monitored project components as part of IUFRs IUFRs and DPPheads o f through initial may be constrained until an reporting will be procurement plan appropriately programmed harmonized. and supervisions computerized accounting system (CAS) A CAS will be procured, o f is functional. implemented, and made implementation. functional early on. Auditing S M Theaudit report may not capture The audit TOR will focus on By Negotiations accountability and corruption issues testingcontrols, preventing adequately. corruption, and detecting transactions with potential corrupt practices. Inadequateresponsesof the JPUF JPUF board will oversee managementto the audit issues might quick resolutiono f audit reducethe audit impact. issues. Remedies will be applied systematically. Overall FMRisk Rating S M Department of Social Services (DSS) This is a department ofthe MoSW headed by a Director General that is mandatedto implement the government's policies and programs on social services. DSS has been implementing several GOB - 51 and donor-hnded projects. Likemost o fthe government departments DSS has no financial management organization. An Accounts Officer, assistedby a few staff, looks after limitedfinancial management and the related coordination hnctions relatedto the directorate's recurrent budget.The DSS has beenproviding financial management support to project implementation through project- specific FMstaff under the Project Implementation Units,by hiringstaffunder the project. The DSS has been implementingthe UNICEF-funded Protectiono f Children at Risk (PCAR) project through a dedicated unit. The PCAR unit, to be further strengthened with specialists including a full-time Project Coordinator, will implement this project under the overall guidance o f the Director General, DSS acting as the National Project Director. A Financial Management Specialist and an Accountant will also be recruited inthe PCARto discharge the FMfunctions o fthis project. RiskAnalysis and Mitigation: Before mitigation, the overall FMriskofMoSW DSS is ratedas "Substantial" for the entity implementing components 2 and 3 o f the project. This i s mainly due to: non-existent FMcapacity o f DSS, no experience o f implementinga Bank-funded project, and no exposure to the Bank's and the GOB's financial management and disbursementprocedures. Considering DSS's commitment at the top level and upon the agreement reached on identified mitigating measureswith a dated FMaction Plan, the residual FMrisk o f DSS i s assessed as "Modest". MoSW DSS Risk Initial Condition FM After Risk InherentRisk Country Level H H PFM institutions andsystem Various reforms on country level lack capacityfor detecting PFMare ongoing and planned, financial irregularities in a but unlikely to have any impact timely manner, including taking inthe short term , corrective actions. Entity Level H S The entity does not have the The capacitywould remainweak Not Applicable- FMorganization or capacity to untilLine Ministries (and The project does oversee or monitor theproject Departments)financial havethe leverage FMperformance. managementorganization, to induce changes functions andreporting lines are inGOB's strengthened under the PFM organizational reformprogramto be structure. implementedthrough aMulti- Donor Trust Fund. 52 Control Risk- Proiect Level S M Budget - Minutesof lack of requisiteprofessionalskills An F M Specialistthat has Negotiations and participatory and coordinated beenprovisioned inthe DPP approachmight not producean will be recruitedby project adequateand realistic budget effectiveness.Suchqualified lengthy approvingtiers- PCAR, person will prepare the DSS, MOSW, Planning project budgetin Commission,ERD with no service consultationwith the other standards would leadto wastage of sections of PCAR under a project input on follow up and structuredbudgetpreparation might impacton quality of budget process. preparedhurriedly consideringthe leadtime requiredinapproval DSS and MOSW will set process. service standards for their applicableunitdwings and will explore ways of improving timeliness in scrutinizing and approving processwithin and beyond their entity boundaries. Accounting S The provision for aCAS L To be includedinthe Absence of a computerized accounting needs to be made inthe DPP. DPP and the initial system (CAS) might affect producing The F M Specialist's TOR Procurement projectfinancial information 's will set the requisiteskills to Plan. accuracy and timeliness. assist early procurementand implementationof a system The TOR for the F M and to operate it and also use Specialistagreedby an MSExcel based system Negotiations. until a computerizedsystem is functional. Internal Control H An operationalmanualis in S finalization stage putting Weaknessin internal control and lack together operational of or notfollowing operational manual guidelines for all project might notprevent improper use of funds functions .Eligibility criteria in sub-grants,foreign training and in for sub grants and the other categories. processfor study tours will be strictly followed - disbursement conditions havebeenset to enforce it. The Statement of Audit Needs (SAN) will require the auditor to include efficacy of internal control arrangement inmanagementletter. Funds flow M L Implementation may suffer due to delay F M staff of PCARtakes due 53 in obtaining MOFs authorization to diligence inpreparationand use DesignatedAccount. timely submissionof Authorization Requests, MOSW makes quick endorsement and follows up for MOF's accelerated action. FinancialReporting M Reportingproject expendituresby Formatand contents of By Negotiations projectcomponents as part of IUFRs IUFRs and DPP heads of may be constraineduntil an reporting will be appropriately programmed harmonized. To be monitored computerizedaccounting system (CAS) A CAS will be procured, through initial is functional. Implemented, and made procurementplan and functional early on. supervisionof implementation. Auditing M Theaudit report may not capture The Statement of Audit By Negotiations accountability and corruption issues Needs will be agreed with adequately. the CAG to include focus on testing controls, preventing corruption, and detecting transactionswith potential corrupt practices. DSS and MOSW will Inadequateresponses of the DSHEand oversee quick resolution of MOEto the audit issues might reduce audit issues. Remedieswill the audit impact. be applied systematically. Consequencesof not respondingto audit issues on time will be disseminated at ProjectLaunch Workshop. Overall F M Risk Rating S M Project Financial Management: The project financial management arrangements, as assessedand agreed, together with the implementation o f the actions inthe action plan would be adequate to meet the project financial managementneeds complyingthe requirements o f Bank's OPBP 10.02. Implementations o f the actions remaining incomplete prior to negotiations will be enforced through negotiations conditions. The status as assessed and agreed arrangements on various aspects o f financial managements are stated below. Staffing: The borrower's ability to successfully implement a project fulfilling the fiduciary requirements of the various stakeholders i s largely affected by the adequacy and quality of the financial management system used inthe project implementation and continued assignment o f FM staff with adequate qualifications and appropriate experience. JPUF: It has beenagreed that the Director, Finance will be appointed soon after the appointment o f the Managing Director. The Terms o f Reference for the Director, Finance and other FMstaff have 54 beensharedwiththe Bankandwere foundto beadequate. A FinancialManagement Consultant (FMC)with requisitequalificationsand adequate experience infinancial management systems and the procedures ofthe Bankandthe GOB hasrecentlybeenappointedby the JPUF to discharge the FMresponsibilitiesincludingoperationofDesignatedAccount (DA) for the PPFAdvance approved for the preparationofthis project. The FMCwill trainthe Accountantand assist in establishingits accounting system and maintainingthe booksand accounts ofthe foundation. The FMCwill continue to work throughoutthe durationofthe PPFandhis services will be furtherextendeduntil the Director,Finance ofthe Foundationis appointedand adequate FMcapacity is attained. The FMCwill reportto the MDwho will work as the ProjectDirectorofPartA ofthe project. DSS: The DSSwill be responsible for the implementationo f Parts B and C ofthe project,through the existingPCARoffice inthe DSS andwill replicatethe currentimplementationarrangements. The PCAR office will serve as the PIUheadedby a full-time ProjectCoordinatorunder the overall guidance of the DirectorGeneral, DSS acting as the NationalProjectDirector.An FMSpecialist (FMS) and anAccountantwill be appointedfromthe market usingthe projectfund. The TORSfor the positionshave beenagreedwith the Bank. It hasbeenagreedthat the FMSwill be onboardby projecteffectiveness. The appointedstaff will betrainedonthe Bank'sfinancialmanagementand disbursement requirements. Budgeting:Projectbudgetswill bepreparedby the two ProjectDirectorswith the assistanceofthe projectFMStaffonthe basis ofthe approvedprocurementplanand implementationplan. The JPUF and DSSwill submit annual originalandrevisedbudgetsto the planningwing ofthe MoSW to obtainthe PlanningCommission'sapprovalunder AnnualDevelopmentPlan(ADP) and Revised ADP. The PDswill undertake due diligenceinpreparing realisticbudgets so that neitherthe project implementationis constrainedby lack of funds due to inadequate budgetary provisions,nor the project is questioned for failure to achieve implementationprogress commensurateto budgetary provisions. Actual expenditures for the projectwill be comparedwith the budgets each quarter; budgetvariances andtheir rationalewill be discussed inthe InterimFinancialReports (IFRs). MOF will monitorthe budget implementationthroughissuanceo f authorizationsto usethe DesignatedAccount and quarterlyreleaseof GOB funds. Any requireddeviationfrom the budget will be met by obtainingapprovalthroughthe RevisedAnnualDevelopmentPlan. Funds Flow and DesignatedAccount: IDA's portionofprojectfunds will mainly flow throughtwo DesignatedAccounts (DA) opened incommercialbank(s) for JPUF and DSS as ConvertibleTaka Accounts. Projectfunds will also flow throughdirectpayments and issuance of special commitments as and when required. The authorizedlimit for the DAswill be US$1,000,000 equivalentfor JPUF and US$500,000 for DSS; minimumapplicationsize for directpayments will be 20% of outstanding amounts of DAs. No government counterpart funds will be requiredas IDA will be financing 100 percent under all categories includingtaxes. Disbursement: IDA'sshare o f the projectcost (I percent o f all projectcosts includingtaxes) will 00 be disbursed under transactionbasedontraditionalWB disbursementproceduresinitially. IDA will requirefull documentation where contracts for (i) goods exceedUS$200,000 equivalent, (ii) works exceedUS$500,000, (iii) consultingfirms exceedUS$lOO,OOO, and (iv) individualconsultants exceedUS$50,000. Expendituresbelowthe above thresholdwill be claimedthrough Statement of Expenditures (SOEs). After the mid-termreview, disbursementsmay be switchedover onthe basis of InterimUn-auditedFinancialReports (IFRs) ifthe borrower so prefersandIDA finds that project 55 financial management system i s working satisfactorily and i s generating timely and reliable full set of IFRsthat are acceptable to IDA. The following table shows the share of financing of IDA includingtaxes for each disbursement category: I II Percentageof Category I Amount (US%) Expenditures to be I I Financed (inclusive sftaxes) (1) Goods,consultants,services, training, studiesand workshop a. Part A (Disability) 1,790,000 100% b. Part B & C (Children Services & Institutional Dev) 3,054,000 (2) Sub grants for sub projects a. PartA (Disability) 18,000,000 100% b. Part B & C (Children Services & Institutional Dev) 7,250,000 (3) Incrementaloperatingcosts I I ~ ~~ ~ a. Part A (Disability) 1,342,000 b. Part B & C (Children Services & Institutional Dev) I 1,507,600 I (Amount payable (4) Refund of Project PreparationAdvance 545,000 pursuant to Section 2.07 of the General Conditions) (5) Unallocated I 1,511,400 I TOTAL 35,000,000 No withdrawals would be allowed on sub grants under Part A and Part B o f the project unless such sub-grants met the eligibility criteria and evaluation procedures set inthe respective operational manual. Inaddition, no withdrawals would be allowed for expenditures under foreign study tour, exchange, or training unless each such activity is consistent with training plans preparedby JPUF and DSS and which shall have been approved by IDA. Accounting and Reporting: The project will follow GOB Project Accounting Manual in maintaining books o f accounts and incomplyingwith monthly, quarterly and annual financial reporting requirementso f various government agencies as well as the Bank. Untila computerized Accounting System i s introduced, excel-based accounting tools will be used inthe upcoming project, using GOB code of accounts and project components. Manual Registerswill be usedto adequately record acquisition and use o f all project fixed assets. Physical Inventory at the end o f each financial year will ensure the updated status on usable condition and safe custody o f the assets. IDA, through an IDF Grant, is supporting the GOB to computerize its Project Accounting Manual with the objective to provide universal software to all the development projects. This project's accounting system will promptly adopt such universal system when it is ready. Both JPUF and DSS will provide 56 InterimUn-auditedFinancial Reports (IUFRs)on a quarterly basis, within 30 days o f each quarter, showing project progress on all components on a user friendly format. Preliminary discussions on contents and format of IUFRstook place duringappraisal, and these will be finalized during negotiations. Internal Audit: Inthe absence o f in-house capacity for InternalAudit inJPUF and DSS, annual internal audits for this project will be outsourced and fundedby project funds on the basis o f TORS to be agreed with the Bank. Implementing Audit Type Auditor Deadline Agency 1 JPUF Entity Financial Statementreflecting PrivateAuditor December project receipt and use of project funds DSS Audit of Project's Annual Financial Foreign Aided ProjectAudit December Statements Directorate under Comptroller & Auditor General Supervision Plan: The initial supervision will focus on compliance with all agreed actions, terms, and conditions includingProject FMstaff beingassigned and on board, identifyingany FMor disbursement issues inproject implementation and agreeing on redressingmeasures. JPUF and DSS's readiness for access to project funds, use o f appropriate accounting system for Project financial management, production o f first IFRs on time, and use o f internal controls on FMfunctions will be closely reviewed. Inaddition, supervision efforts will focus on sampling expenditures below prior-review thresholds, reviewingpayment processes against the defined control framework, and monitoring the progress o f institutional preparedness and strengthening. The necessary actions are on track and are expected to be completedprior to negotiations. 57 Agreed FinancialManagementAction Plan Action Responsibility Completion Date Conditions Extendthe term of appointment of the JPUF Board By Negotiations Incorporated in FMC appointed under the PPF to continue minutes of functioning inJPUF and on project negotiations financial managementuntila Director, Finance is appointed and takes over the role Complete all required recruitment DSS The candidate Incorporated in processes to identify an FM Specialist in identified by minutesof the DSS (PCAR) with the TORSagreedby negotiations negotiations the Bank so as to havethe FMS on board from the date of effectiveness of the project 58 Annex 8: Procurement Arrangements Bangladesh: Disability and Children-at-Risk Project ProcurementEnvironment and Reform Actions: The Country ProcurementAssessment Report (CPAR-2002) identifiedinadequate public procurement practices as a major impediment affecting project implementation inBangladesh. Followingthe CPAR recommendations, the government: (i) implementeda Public Procurement Reform Project (PPAP), underwhich the government established a Central Procurement Technical Unit (CPTU) within the Implementation Monitoring and Evaluation Division (IMED) o f the Ministry of Planning, with staffing funded from its own resources; (ii) issued Public ProcurementRegulations 2003, Public ProcurementAct 2006 (PPA), and Public Procurement Rules 2008 (PPR); (iii)developed a critical mass of25 national trainers and trained 1800 staff; and (iv) established a fully functional procurement website with a procurement management information system. The law and the rules contain most international good procurement practices. The new rules are being implemented by all public sector entities with varying degreeso f success. Although the landscape o f procurement has beenreshaped inthe last several years due to the procurement reform with harmonized procedures, there are still a number o f potential challenges concerning implementation o f the acthules incross-cutting governance, institutional, and implementation issues. These include: (i)inadequate enforcement o f rules, (ii)inadequate adherence to the provision o f streamlined procurement approval process, (iii)delays in contract award for high value contracts, (iv) ineffective contract administration, and (v) some allegations o f fraud and corruption, and political interference. To sustain the reform effort and address these challenges, the government has, with technical assistance from the Bank, started a follow-on Public Procurement Reform Project I1(effective September, 2007). It focuses on, among others, implementation and monitoring of the PPAIPPR at key sectoral agencies, monitoring and management o f procurement reforms, introduction o f e-GP and behavioral change and social accountability. General The total value o f the project i s US$35.0 million. This amount includes procurement o f goods o f about $0.45 millionand consulting services and non-consulting services o f about US$12.28 million. Procurement under the project would be carried out in accordance with `World Bank Guidelines: Procurement under IBRDLoans and IDA Credits o f May 2004, Revised October 2006 (Procurement Guidelines)' and `Guidelines for Selection and Employment o f Consultants by World Bank Borrowers o f May 2004, RevisedOctober 2006 (Consultant Guidelines).' Within the overall context of Bank guidelines, local procurement of goods, works, and services (for which the shortlist i s entirely comprised o f national consultants) will follow the Government's Public ProcurementAct, 2006 (goods: < US$200,000 per contract, works: =US$500,000 ICB All contracts =100,000 QCBSIQBS All contracts. =US$50,000 per IndividualConsultant All contracts contract Selectivecontracts FBS Prior agreement and meetingthe requirementsof 3.5 of Consultant Guidelines Selectivecontracts sss Prior agreement and meetingthe requirementsof 3.9 to 3.13 ofthe Consultant guidelines Post Review: Inaddition to the Borrower's post review, for compliance with the Bank's procurementprocedures, the World Bank will carry out sample post review o f contracts that are below the prior review threshold. Such review (ex-post and procurement audit) o f contracts below the threshold will constitute a sample o f about 20 percent o f the contracts ineach agency. Review of Procurement Performance: The World Bank will monitor the compliance with the requirementsofBank's different procurement methods andperformance standards on a continuous basis. As part o f the project's planned annual review/mid-term review, a comprehensive assessment 65 o f procurement performance will also be carried out. Based on the review, in consultation with the government, the World Bank may revise the prior review threshold, including the procurement and selection methods. Table C-1: Initial Procurement Plan (Component -1): JPUF Ref. DescriptionofAssignment Estimated Selection Review by Expected No. cost Method the Bank Proposal (US$'000) (PriorPost Submission Date 1 2 3 4 5 6 SI Technical Specialist-Policy 300,000 IC Yes Oct., '08 Development S2 Technical Specialist-Disability 300,000 IC Yes Oct., '08 Measurement and Analysis S3 Technical Specialist-Program 300,000 IC Yes Oct., '08 Development S4 TechnicalSpecialist-Coordination and 300,000 IC Yes Oct., '08 Management u Ss Procurement Consultant 24,000 IC No Ami1 '08 S6 Developing IntegratedMIS (including 100,000 QCBS Yes tools for M&E and Training S7 Impact Evaluation (Need Assessment 100,000 QCBS Yes Dec., '08 on Disability, Situation Analysis/Baseline BaselineAnalysis, National Service mapping, Midterm Evaluation,etc.) SS Training/Study Tour, 90,000 FBS No Jan., '09 Workshop/Seminar,Policy/Program DevelopmentManagement S9 Awareness, Sensitizationand 150,000 QCBS Yes Jan. '09 DisseminationMaterial Total 1,664,000 66 Ref. Contract Estd. Number Procurement Domestic No. Description Cost of Method Preference US$ Contracts (Yes/No) ('000) GI Equipment & 100,000 1 NCB Yes (as Software for first Integrated contract) MIS G2 ---r Vehicles 50,000 1 NCB N o No July, '08 (2 Jeeps) G3 Office 100,000 1 NCB N o July, '08 Equipment Total 250,000 Table (2-2: InitialProcurementPlan (Components -2 & 3): DSS Expected Proposal Submission Date h Jan '09 Jan '09 Jan '09 Jan '09 Jul'O8 Aug '08 May '08 Apr '08 Jul'O9 Jul'O9 Dec '08 Dec '08 Jan '09 Dec '09 67 S15 InstitutionalDevelopmentWorkshops 35,000 CQ No Jul'O9 (10 Workshops) SI^ Evaluationof Selected Programs 100,000 QCBS/ Yes Jul'12 QBS SI, TA for Specialized Services (Social 555,000 QCBS Yes Dec '09 Work, **** S18 TA for Outreach & Awareness 555,000 QCBS Yes Jul'O9 Buildinn " S19 InstitutionalDevelopmentSpecialist 180,000 IC Yes Jan '09 S20 Support Staff 153,600 QCBS Yes May '08 Total I 10,646,000 I Ref. Contract Estd. Number Procurement Domestic Review by Expected No. Descriptio Cost of Method Preference Bank Bid Opening n US$ Contracts (Yes/No) (PriorPost) Date ('000) GI Vehicles 75,000 1 NCB No Yes (3 Jeeps) G2 Furniture 50,000 1 NCB No No G3 Equipment 75,000 1 NCB No No (Software & Hardware) Total 200,o00 Prior Review Thresholds (as agreedwith IDA): Goods: >=$200,000, the first contract regardless of value by each implementingagency and all D C contracts Works: >=$500,000, the first contract regardless o f value by each implementing agency and all D C contracts Consultants' Services: >=$lOO,OOO, all individualconsultant's contracts >=$50,000 and all SSS contracts Total Procurement: US$12.76 million Goods US$0.45 million Works US$nil Consultants' Services: US$12.31 million 1. Contract Package Number shall remain frozen, Le., not be changed duringthe project period. 2. The Procurement Plan shall be updated annually or as agreed with IDA. SM: Staff Month PQ: Prequalification ICB: International Competitive Bidding NCB: National Competitive Bidding NSIIS: National/ International Shopping DC: Direct Contracting QCBS: Quality- and Cost- Based Selection 68 QBS: Quality-Based Selection FBS: FixedBudged Selection CQ: Consultants' Qualification IC: Individual Consultant SSS: Single Source Selection 69 Annex 9: Economic andFinancialAnalysis BANGLADESH: Disabilityand Children-at-RiskProject Abstract This note estimates the costs o f disability and children-at-risk inBangladesh. We find that the cost of disability inBangladesh i s considerable. We estimate that US$l.2 billion, or 1.74 percent of GDP, is lost per annum. This loss i s the cumulative of four cost categories. First, because some people with disabilities are not employed, it costs Bangladesh US$891 millionper annum. Second, some disabled children forego schooling because of their disabilities and that costs the economy about U S 2 6 millionper annum because o f the lower stream o f lifetime earnings due to the lower educational attainment. Third, some people with disabilities need help from others to function. The cost of adult helpers i s then US$234 millionper annum from foregone income among adult helpers (usually women). Finally, some children forego schooling because they are helpers o f disabled people, which costs Bangladesh US$28 million per annum because o f the lower stream o f lifetime earnings due to the lower educational attainment. Therefore, the cost o f disability inBangladesh is US$148 per annum per disabled person. Ifthese disabledpeople live in households with five family members, that loss inhousehold income corresponds to almost a third o f the poverty line. We estimate the annul loss in lifetime earnings due to street children forgoing schooling i s US$9 million inBangladesh. This would be the result o f street children attending insteado fworking (and therefore foregoing earnings) and earning the skilledwage rate after age 18. The benefits of getting street childreninto school are diminished somewhat because o f the reduced earnings that could have beenearned as child labor. I.Introduction Despite the substantial progress inreducing income poverty over the last two decades, poverty and vulnerability still affects a large segment o f the Bangladeshi population. According to the most recent HIES data (2005) 40 percent (upper poverty line) o f the population lives below the poverty line. That is, 56 millionpeople live inpoverty andtwo thirds o f them live inextreme poverty. Although the government has established several programs to address the needs o f the poor and vulnerable some groups require further efforts. These groups include: (i) people with disabilities; and (ii)vulnerable children (street children, children working in hazardous occupations, orphans, children/adolescents in conflict with the law, etc.), especially in rapidly growing urban slums. People with disabilities have suffered from a lack o faccessto an adequate education services, health services, and safety nets. This lack o f access has ledto exclusion from social and economic activities, and in some cases has ledto family members o fpeople with disabilities also having to forgo schooling or paid employment to stay at home and provide assistance to the disabled. Global evidence suggests that these factors translate into forgone GDP o f about 5-7 percent2*. Gertler and Gruber (2002) estimate, using Indonesian data that individuals/families with illnesses which severely limit physical function are able to smooth less than 30 percent o fthe income loss from such illnesses. For vulnerable children, empirical evidence from the recently completed MDGReport on Bangladesh suggests that the cost o f reversing their lack o f human development opportunities inlater years is far greater than the cost o f investing intheir human development duringchildhood29. 28World Bank:Disability and Development Website, IssuesBriefon Disability 29For example, schooldropouts in Guyanaforgo hundredsof thousandof dollarsinnet earningsover their lifetimes, costing the state thousands of dollars in foregone income. 70 This note assesses the economic costs o f disability and children-at-risk inBangladesh. It does so by assuming that all interventions aimed at helping disabled people translate to an increase inlifetime earning opportunities. However, there are other benefits such as increased socialization that simply cannot be quantified. With children-at-risk, we estimate the increase inlifetime earnings that result from increasing school attainment, but at the cost o f reduced child labor income that would have beenearned hadthe child not attended school. The organization o f the note is as follows. The next section outlines the disability situation inBangladesh. Section I11then details the economic costs of disability. Section IV details the economic costs o f children-at-risk inBangladesh and Section IV concludes. 11. Disability and Children-at-Risk Situationin Bangladesh Disability As in most developing countries, internationally comparable estimates o f disability prevalence are rare in Bangladesh. This lack of globally comparable statistics is partly explained by variation in definitions o f disability, methodologies o f data collection, and quality of study design(Mont, 2007). Even within Bangladesh, vastly divergent estimates o f disability rates are observed. The Bangladesh Bureau o f Statistics (BBS) estimates that 1.6 percent (in 1998) o f the population i s disabled. This i s widely believed to be a grossly underestimatedfigure. Action Aid Bangladesh estimated that 8.8 percent o f people (in 1996) require disability related services. More recently (in2005), the National Forum o f Organizations Working with Disability (NFOWD) and Handicap International (HI) estimated that 5.6 percent o f the population sufferedfrom a disability (NFOWD and HI2005). This estimate has received broad acceptance in Bangladesh. Unless otherwise specified, the disability data for this note are drawn from NFOWD and Handicap International (2005). The data sampled 12,000 people in about 2,400 households between October, 2004 and November, 2004. The urban and rural split inhouseholds sampled was 25 and 75 percent respectively. Although the sample size for the survey i s somewhat small by international standards, it remains the largest survey, both interms o f the number of sampledpersons and geographic coverage, on disability inBangladesh to date. The 8 millionpeople with disabilities inBangladeshsuffer from a range o f disability types and severity (see Table 1). Almost 2.6 million (32 percent) o f the population is visually impaired, and around 5 percent o f them are blind inboth eyes. Physical disability impacts 28 percent o f the population. Hearing impairment affects 19percent, speech impairment affects 4 percent and multiple impairments affect 11percent o f the population. Mental disabilities, one o f the most difficult to estimate, are thought to affect more than halfa millionpeople (7 percent). 71 Table 1: Disability disaggregatedby type Percent Total Visually Impaired(severe) 13.28% 1,062,400 Visually Impaired(moderate) 18.72% 1,497,600 Physically Impaired(severe) 16.52% 1,32 1,600 Physically Impaired(moderate) 11.48% 918,400 Hearing Impaired(severe) 1.50% 120,000 HearingImpaired(moderate) 17.50% 1,400,000 Speech Impaired(severe) 1.29% 103,200 Speech Impaired(moderate) 1.71% 136,800 MentallyImpaired (severe) 3.08% 246,400 Mentally Impaired (moderate) 3.92% 313,600 Multiple Impairment 11.OO% 880,000 Total 100.00% 8,000,000 Source: NFOWD and HI(2005) Disability is primarily a rural phenomenon inBangladesh. Six percent o f people living inruralareas are disabled, while four percent o f those living inurban areas are disabled. There are regional variations as well. Some types o f disability are more prevalent incertain regions (e.g., Khulna has a higherproportion o fphysical disability but lower rate o f vision disability compared to other regions). Disabilityprevalence i s higher among males than among females. And, prevalence o f disability i s muchhigher among the poor than among the non-poor (14 percent against 3.4 percentPo. There are various reasons for disability: genetics, birthcomplications, maternal malnutrition, child malnutrition, incidences o f particular diseases, lack o f awareness, lack o f early detection, lack of access to proper treatment, and poverty. NFOWD and HI(2005) shows that about one third of the persons with disability were not able to seek treatment because o f poverty. High incidence of disability is also correlated with illiteracy and unemployment. The same study also reports that about 60 percent of the persons with disability can work without help from the others while about 25 percent cannot move without any help. It i s also reported that an insignificant proportionof persons with disability (3 percent) received assistance from any organization, government or non- government. Children-at-risk The Consortium of Street Children estimates that there are 445,000 street children inBangladesh. Since, more than three-fourths o f them are in Dhaka, it i s estimated that there are 334,000 street children in Dhaka. 111. EconomicCosts of Disability Economic costsof disability Under prevailing conditions, some people with disabilities have limited access to the labor market and are excluded from schooling. Whenpeople with disabilities are excluded from the labor market, there is the obvious impact on economic output. However, when disabilities are sufficiently severe, 30 Of course, this says nothing about the causality between poverty and disability. On one hand, poverty can cause disability through, among other things, increased malnutrition, access to poor health services and sanitation, and unsafe living and working conditions. On the other hand, disabledpeople face barriers intheir access to, among other things, education, employment, and social activities. 72 family members or other helpersmay be neededto assist the disabledperson. These costs are difficultto estimate, especially ina developingcountry settingwhere data are scarce. Inthis section we outlinethe estimationstrategy to calculate the economic cost ofexcludingdisabledpeople and simulate the impactofthe project. We find that the loss in income due to disability inBangladeshis about US$1.18 billionper annum, which is about 1.74 percent of GDP (Table2). This loss is the cumulativeof four cost categories. First,because some people with disabilitiesare notemployed, it costs BangladeshUS$891million per annum. This impacton GDP alone accounts for 76 percent ofthe total cost of disability onthe Bangladeshieconomy. Second, some disabled childrenforego schoolingbecause oftheir disabilities andthat costs the economy about US$26 millionper annumbecause ofthe lower stream of lifetime earnings due to the lower educationalattainment. Third, some peoplewith disabilitiesneedhelp from others to function. This helpcancome from adults and from childreninthe family. The cost of adult helpers is then US$234 millionper annum from foregone income among adulthelpers(usually women). Finally, becausesome childrenforego schooling,becausethey are helpers of disabled people, it costs BangladeshUS$28 millionper annum because ofthe lower stream of lifetime earnings due to the lower educationalattainment. Table 2: Estimatedcosts due to disability Number us$ Disabled Adults PWD not inLM 1,900,966 Loss o f work days of PWDs 479,043,348 Weighted average daily wage rate (US $) 1.86 Income lost bv PWDs not inLM 891.476.636 Disabled Children Disabledchildren not in school 463,434 Total years o f schooling lost by the disabledchildren 2,952,077 Incrementalloss of incomedue to non attendance of schools of the disabledchildren 26,152,062 Adult Helpers PWDsneedhelp from others (25% of PWDs) 2,000,000 Number o f adult family helpers 1,000,000 Number o f adult helpersneedto forgo work 500,000 Loss of work days of adult family helpers 126,000,000 Income lost by the adult family helpers 234,479,941 Child Helpers Number of child family helpers 1,000,000 Number of childhelpersneedto forgo schooling 500,000 Years o f schooling among 16-60years old 6.37 Total years of schooling lost by the child helpers 3,185,000 Incrementalloss of income due to non attendance of schools of the childhelpers 28,215,496 Summary Total income lose due to disability per annum 1,180,324,135 GDP in2007-08 (US $, estimated) 67,700,000,000 Income loss as % of GDP 1.74% Income loss per PWD 148 73 Cost due to lack of access to employment The lack of access by people with disabilitiesto employment costs US$891millionper annum. The sequence of computations to arrive at this estimate is describedbelow. Of the 8 million disabledpersons inBangladesh,NFOWDand HI(2005) foundthat around 55.8 percent are between 16and 60 years old, which is consideredthe productiveage group (Table3). We assumethat the age distributionremains the same for eachcategory of impairment. We further assumethat 10percentofthe severely impairedare inthe labor force, half ofthose with moderate impairmentare inthe labor force, andthat none of those with multipleimpairmentsare inthe labor force. The 2003 LaborForce Survey estimatedthat laborforce participationin57 percentfor men and women together. Then, 769,000 disabled people are inthe labor force, which is 17percent ofthe disabledpopulation. Assumingthat the unemployment rate amongthe disabledis the same as the unemploymentrate for the populationas a whole, namely 4.3 percent, then 736,000 disabledpeople are employed. Conversely, 1.9millionpeople who otherwise wouldhave beenemployedare not employeddue to their disability. These unemployedpeoplelose out on income from252 workingdays a year, which amounts to 751 million days of work. Here, we are assumingthat the disabled and non-disabledwork the same number of days eachyear. The assumptionthat the number of hours workedby disabledandnon- disabledpeople is the same was is consistent withthe findingsofthe WorldBank (2006), which found usinga survey of 30 villages inUttarPradeshand TamilNaduthat the number of hoursper day and days per monthwere very similar betweenpersonwith andwithout disability. Ifwe assume that the wage rate inBangladeshis the weightedaverage daily wage rate of skilledandunskilled workers, thenthe average wage rate is US$1.86 per personper days3'Therefore, if 1.9million people lose out on 252 days o f work a year, thenthe impactonBangladeshis a sizable US$891 million (1,900,000 x 252 x 1.86)a year. Table 3: Estimatedunemployedpopulationby impairment Population 16 Population Types of Disabilities Percent Population to 60 not employed Vision Impaired (severe) 13.30% 1,062,400 592,819 291,039 Vision Impaired (moderate) 18.70% ,497,600 835,661 227,922 Physically Impaired (severe) 16.50% ,321,600 737,453 362,046 Physically Impaired (moderate) 11.SO% 918,400 512,467 139,773 HearingImpaired (severe) 1.50% 120,000 66,960 32,873 HearingImpaired (moderate) 17.50% ,400,000 781,200 213,068 SpeechImpaired (severe) 1.30% 103,200 57,586 28,271 Speech Impaired (moderate) 1.70% 136,800 76,334 20,820 Mentally Impaired (severe) 3.10% 246,400 137,491 67,500 Mentally Impaired (moderate) 3.90% 313,600 174,989 47,727 Multiple Impairment 11.OO% 880,000 491,040 469,925 Total 100.00% 8,000,000 4,464,000 1,900,966 Source:Authors' calculations usingNFOWD and HI(2005) Cost due to disabled children losing out on school 3 'The wage ratesfor skilledand unskilledlabor are 145.70and 123.53 Takelday respectively. We assumethat those inthe government sector (5 percent) and the NGO sector (17 percent) are skilled, while the remaining78 percent are unskilled. The wage dataare obtainedfrom the StatisticalYearbook o f Bangladesh2006. Those wages havebeen inflatedassuminga 6 percent interestrate. 74 Some children are out o f school because o f their disability and that causes Bangladesh to lose out on US$26.2 millionper annum. NFOWD and HI(2005) found that almost 15 percent o f all people with disabilities were between6 and 15 years old (Table 4). Assuming that 15 percent o f each o fthe impairments i s also between 6 and 15 years old, 1.17 million people with disabilities are between6 and 15, We then assume that 70 percent of those with a severe impairment are not inschool, while 30 percent o f those with a moderate impairment are not in Together, approximately 40 percent o f disabled children are out of school, which i s similar to the ratio o f disabled children out o f school to the total disabled children using data from the PEDP-I1Baseline Survey 2005. As a result, more than 463,000 people are out o f school due to disabilities. Table 4: Estimatedpopulationnot inschoolbecause of disability Population 6 Population Types of Disabilities Percent Population to 15 not in school Vision Impaired (severe) 13.30% 1,062,400 155,110 76,004 Vision Impaired (moderate) 18.70% ,497,600 218,650 45,916 Physically Impaired (severe) 16.50% ,321,600 192,954 94,547 Physically Impaired (moderate) 11.50% 918,400 134,086 28,158 Hearing Impaired(severe) 1.50% 120,000 17,520 8,585 Hearing Impaired(moderate) 17.50% ,400,000 204,400 42,924 Speech Impaired (severe) 1.30% 103,200 15,067 7,383 Speech Impaired(moderate) 1.70% 136,800 19,973 4,194 Mentally Impaired (severe) 3.10% 246,400 35,974 17,627 Mentally Impaired (moderate) 3.90% 313,600 45,786 9,6 15 Multiple Impairment 11.OO% 880,000 128,480 128,480 Total 100.00% 8,000,000 1,168,000 463,434 Source: Authors' calculations usingNFOWD and HI(2005) To calculate the income lost due to beingout o f school we employ the coefficients o f the wage regression estimated inthe Bangladesh Poverty Assessment (World Bank, 2002). According to the regression, the incremental loss o f wages due to each grade o f school not completed amounts to US $0.1 1 per person per day (Table 5).33 Table 5: Determinantsofwages for men and women inBangladesh Women M e n Age 0.032 0.040 (0.012) (0.004) Age square -0.0004 -0.0004 (0.00004) (0.0001) Grades completed 0.070 0.049 (0.006) (0.002) Note: Other variables included among the determinantsare marital status, urbanareas, daily wage, public sector, divisions. Source: AI-Samarrai (2006). 32 According to the PEDP-I1Baseline Survey 2005, the net enrollment rate inprimary school is about 85 percent. 33Although the coefficients of the regressionare estimated for men and women separately, our data does not allow for agender disaggregationand hence, we take the average of the coefficients as our estimate for the total impact of grade of schooling completedon wages. 75 Assuming that these 463,000 disabled children would have attainedthe average number o f years of schooling (6.37 years), 3 million years o f schooling are We then assume an inflationrate of 6 percent, which is the average rate experienced since 1998-99. Therefore, the present value o fthe loss of income due to not receiving the average school attainment o f 6.37 years is US$26.2 million per annum in Bangladesh. Costsdue to adults helpingpeople with disabilities Some disabilities are so severe that the person needs assistance. The cost o f adult helpersto Bangladesh is US$234 millionper annum. NFOWD and HI(2005) found that a quarter of the people with disabilities "cannot function without support." O f these 2 millionBangladeshis, we assume that half o f them need full time assistance. We further assume that all assistance comes from within the family, with 500,000 adult helpers and 500,000 child helpers. The 500,000 adult helpers forgo 252 working days each. As a result, 126 million days of work are lost by helpers and ifthose workers could have commanded the average daily wage rate of US$1.86, then Bangladesh loses US$234 million each year. Cost due to children helping afamily member with disabilities Some children are forced out o f school to assist family members with severe disabilities and that causes Bangladesh to lose out on US$28 millioneach year. O f the 1 million child helpers, it i s assumed that 500,000 children help a family member cope with their disability on a full time basis. Inother words, these children cannot attend school due to their responsibilities assisting disabled family members. As a result, 3.2 millionyears o f schooling are lost. Given the reduction inwages, and hence, lifetime incomes to these child helpers, the total cost to the Bangladeshi economy i s US$28.2 millionper annum. Summary The four cost components described above together cost the Bangladeshieconomy about US$l.18 billion per annum. Given that the estimated GDP inBangladesh in2007-08 i s US$67.7 billion, the impact o f disability o f Bangladesh i s 1.74 percent o f GDP. Ifhouseholds with a disabledmember were able to increase their incomes by US$148 per annum (US$l.18 billionamong 8 million disabled people), that would correspond to almost a third o f the poverty line, noting that the poverty linefor households with disabled people is differentto the poverty line o fhouseholdswithout a disabled person Comparability to other estimates The above estimate o fthe loss inincome due to disability is broadly comparable to the Metts (2004) estimate. Inthat study, Metts estimated GDP lost due to disability in high, medium and low income countries, and further globally. According to Metts, conservative estimates o f the costs o f disability from lost labor, i s 4.1 percent o f GDP for Japan, 9.3 percent for Brazil, and 6.9 percent for India. The author also estimated GDP lost per disabled person inthose countries by dividing the lost GDP by the numbero f disabledpersons o f the country. Table 6 below presents the cost estimates o f disability inBangladesh due to lost productivity in 2000 as estimated by Metts (2004): 34We estimatedthe school attainmentusing the HIES2005 for all 16 to 60 year olds. 76 Table 6: Economic cost of disability High Estimate Low Estimate Total Population 143,800,000 143,800,000 DisabledPopulation 14,236,200 5,320,600 GDP (US$) 47,600,000,000 47,600,000,000 Unemployment Rate (YO) 3 3 % GDP Lost 2.97 2.28 $ GDP Lost 1,413,720,000 1,085,280,000 $ GDP Lost per Disabled Person 265 76 Source: Metts (2004) IV. Economic Costs of Children-at-Risk Street children are generally deprived o f schooling and hence a stream o f income that i s commensurate with skilled labor. However, ifthese children were to enter school, then they would have to do so by foregoing income that could have been earned as child labor. We estimate the annual loss in lifetime earnings due to street children forgoing schooling i s US $9 million. We assumethat when these street children attend school and then enter the labor force at the age o f 18, they forego all income that could have been earned while they were under 18 years o f age and from 18 on, they earn the wage rate o f a skilledlaborer with the average school attainment (6.4 years). Assuming the 57 percent labor force participation rate o f observed inBangladesh as a whole, and assuming the impact o f higher educational attainment shown in Table 5, we find that the annual presentvalue o f earnings is US$44.7 million. However, had these childrennot attended school, they would have been able to earn the child labor wage of US$0.55 per day. We assume that they could have earned this wage from age 8 through 17. Once they reach 18 however, they are likely to earn the unskilledwage rate o f US$1.79 per day. Underthese conditions the street children's netpresent value o f earnings is US$34 million. Therefore, annul loss in lifetime earnings due to street children forgoing schooling is US$9 million. Although the above estimate i s highin itself, it does not include all the other benefits to the economy from reducing the number o f street children out o f school. These benefits can come inthe form o f reduced crime or from children in school receiving the necessary immunizations and health care referrals. In other words, the above estimate underestimates the value o f getting street children into school considerably. V. Conclusion We find that the cost o f disability inBangladesh i s considerable. We estimate that US$l.18 billion, or 1.74 percent o f GDP, i s lost per annum because o f i)disabled people being left out o f the labor force; ii)disabled children beingleft out o f school; iii)adult family members assisting severely disabled people and hence being left out o f the labor force; and iv) child helpers foregoing school to helpout with disabled family members. Therefore, the cost of disability inBangladeshis US148 per annum per disabled person. Ifthese disabledpeople live inhouseholdswith 5 family members, that loss in income corresponds to almost a third o f the poverty line, noting that the poverty line for households with disabled people is different to the poverty line o f households without a disabled person. 77 On a strict cost-benefit basis, disability services should be providedas long as the total cost (both administrative and assistive devices) are below US$148 per annum per disabled person. O f course, the allocation of any budgettargetedat disability issues across the disability types and disability severity, has implications onthe total number o fpotential beneficiaries o f the services. For example, to provide eye glasses to visually impaired people, it will cost less than US$25, including administrative, optical diagnosis, and the eye glasses them~elves.~~On the other hand, providing a basic hearing aid to a moderately hearing impaired personwill cost around US$75 in We estimate the annual loss in lifetime earnings due to street children forgoing schooling i s US$9 million in Bangladesh. This is the result o f street children attending school instead o f working (and therefore foregoing earnings) and earning the skilled wage rate after age 18. The benefits o f getting street children into school are diminished somewhat because o f the reduced earnings that could have been earned as child labor. It should be noted that the above estimate does not include all the other benefits of schooling that would be missedi s street children were not integrated into the schooling system. This is a guesstimatebased on eye glasses costing about US$15 per pair. 36There is a wide rangeof hearingaids dependingonthe severity ofthe impairment. The costs vary betweenabout US$50 and US$400. 78 Annex 10: SafeguardPolicyIssues BANGLADESH: Disabilityand Children-at-RiskProject Environment: As the project is expected to have minimal or no adverse environmental impacts, it is classified as Category C requiringno further EA action. This classification i s the result o fthe environmental screening based on consultations with the regional safeguards team (SAROQ). Safeguards: No safeguard policies are triggered by this Category C project. 79 Annex 11: Project Preparation and Supervision BANGLADESH: Disability and Children-at-Risk Project Planned Actual PCN review October 24, 2007 October 9,2007 Initial PID to PIC October 22,2007 October 23,2007 Initial ISDS to PIC October 24,2007 November 1,2007 Appraisal March2, 2008 March4, 2008 Negotiations April 10, 2008 March 7, 2008 Board/RVP approval July 1,2008 Planneddate of effectiveness December 31,2008 Planneddate of mid-term review July 1, 2011 Plannedclosing date December 31,2014 Key institutionsresponsiblefor preparationof the project: Ministryof Social Welfare 0 National Foundation for the Development of Disabled Persons Department of Social Services Bankstaff and consultantswho workedonthe projectincluded: Name Title Unit Qaiser Khan Lead HumanDevelopment SASHD Specialist, Task Team Leader Andrea Vermehren Senior Social Protection SASHD Specialist Susan Hirshberg Senior Education Specialist, SASHD Regional Disability Coordinator Shaikh ShamsuddinAhmed Social Protection Economist SASHD IqbalKaur Social Protection Specialist M N S H D IhsanAjwad Economist SASHD Kishor Uprety Senior Counsel LEGES Peter Whiteford Consultant, Social Policy SASHD PraveshKumar Consultant, InstitutionalIssues Burhanuddin Ahmed Senior Financial Management SARFM Specialist Mohammad A. Sadeque ETConsultantRrocurement SARPS Gertrude Cooper Program Assistant SASHD Mahtab Alam Program Assistant SACBD NasreenBegum ETTemporary SACBD Bank funds expendedto date on projectpreparation: 1. Bank resources: US$379,56 1 2. Trust funds: US$27,000 3. Total: US$406,561 Estimated Approval and Supervision costs: 1. Remaining coststo approval: US$45,611 2. Estimated annual supervision cost: US$140,000 80 Annex 12: Documents inthe ProjectFile BANGLADESH: Disabilityand Children-at-RiskProject A. Development Project Proposal (PIP). Ministry of Social Welfare, Bangladesh. Development Project Proposal (PIP). Jatiyo Protibhondi Unnayan Foundation, Bangladesh. B. Bank StaffAssessments Aide Memoire. Identification Mission. May 2007. . Preparation Mission. September 2007. . Preparation Mission. October 2007. . Pre-Appraisal Mission. January 2008. Project Concept Note. October 2007. Project Information Document. October 2007. BangladeshCountry Assistance Strategy. April 2006 C. Other Bangladesh ChildLabor - Street Children, ARISE Evaluation andPCAR Project Document.2007. UNDP and UNOPS. Department of Social Welfare, Ministryof Social Welfare. 2004. Gertler, Paul J. and JonathanGruber (2002). "Insuring Consumption against Illness". American Economic Review. Institutional CapacityBuilding of MOSW: Draft Report. Memorandum & Articles of AssociationSDF -Letter to DG Social WelfareDirectorate: Disability Measurementthrough Surveys and National Census. Metts, R (2004): "Disability and Development", Background paper prepared for the Disability and Development Research Agenda Meeting, Washington, D.C.: The World Bank. Mont, D.(2007): "Measuring Health and Disability", Lancet 2007,369: 1658-63. NFOWD (2002): "From Charity to Equity- Policy Dialogue on Disability and Development", Dhaka: National Forum of Organizations Working with the Disabled (NFOWD). NFOWD and HI(2005): "Disability inBangladesh:A Survey", Dhaka: National Forum of Organizations Working with the Disabled (NFOWD) and Handicap International(HI). Project Preparation Facility (PPF)for Preparing Disability and Children-at-risk Project. National Foundation for Development ofthe Disabled Persons(JPUF). Ministryof Social Welfare. 2007. Sen, Binayak and David Hume (editors). "The State of the Poorest2005/2006, Chronic Poverty in Bangladesh:Tales of Ascent, Descent, Marginality and Persistence," BangladeshInstituteof Development Studies and Chronic Poverty Research, 2006. World Bank. (2002). Poverty in Bangladesh: Building on Progress.Washington, DC: World Bank. , (2006). People withDisabilities in India: From Commitmentsto Outcomes.South Asia Human Development Group, Washington, DC: World Bank. . (2007).To the MDGs andBeyond:Accountability andInstitutional Innovation in Bangladesh. Dhaka, Bangladesh: World Bank. .(2007). Policy, Legal and Institutional Frameworkfor Children at Risk in Bangladesh. 81 Annex 13: Statementof Loans and Credits BANGLADESH: Disability and Children-at-RiskProject Difference between expected and actual Original Amount in US$ Millions disbursements ProjectID FY Purpose IBRD IDA SF GEF Cancel. Undisb. Orig. Frm. Rev'd PO98146 2008 Public Procurement Reform Project Il 0.00 23.60 0.00 0.00 0.00 23.58 0.00 0.00 P102305 2007 Avian FluPreparedness 0.00 16.00 0.00 0.00 0.00 15.97 0.00 0.00 PO98273 2006 Local Governance Support Project 0.00 111.50 0.00 0.00 0.00 112.63 1.66 0.00 PO89382 2006 Investment PromotionFinmcing Facility 0.00 50.00 0.00 0.00 0.00 48.51 0.83 0.00 PO74841 2005 HNP Sector Program 0.00 300.00 0.00 0.00 0.00 325.07 -32.24 0.00 PO74966 2004 Primary EducationDevelopment Program 0.00 150.00 0.00 0.00 0.00 95.53 7.60 0.00 I1 PO86791 2004 Reaching Out o f School ChildrenProject 0.00 0.00 0.00 0.00 0.00 38.62 2.37 0.00 PO78707 2004 Power Sector Development T A 0.00 7.10 0.00 0.00 0.00 13.80 10.35 3.42 PO81969 2004 Enterprise Growth & Bank Modernization 0.00 250.00 0.00 0.00 0.00 142.90 70.42 0.00 PO83890 2004 Economic Management T A Program 0.00 0.00 0.00 0.00 0.00 19.37 9.86 0.00 (EMTAP) PO86661 2004 BD Water Supply ProgramProject - 0.00 0.00 0.00 0.00 0.00 40.32 1.87 0.00 PO71435 2003 Rural Transport Improvement Project 0.00 190.00 0.00 0.00 0.00 112.61 61.14 0.00 PO81849 2003 BD: Telecommunications Technical 0.00 9.12 0.00 0.00 0.00 6.78 4.96 1.66 Assist. PO62916 2003 Central Bank Strengthening Project 0.00 37.00 0.00 0.00 0.00 37.09 33.00 0.00 PO53578 2003 Social Investment Program Project 0.00 18.24 0.00 0.00 0.00 12.61 2.67 -1.96 PO44876 2002 Female Secondary School Assis.I1 0.00 120.90 0.00 0.00 31.06 22.20 35.29 -0.85 PO75016 2002 Public Procurement Reform Project 0.00 4.50 0.00 0.00 0.00 0.22 -0.47 -0.47 PO74731 2002 Financial Services for the Poorest 0.00 5.00 0.00 0.00 0.00 1.58 0.83 0.00 PO74040 2002 Renewable Energy Development 0.00 0.00 0.00 8.20 0.00 1.65 7.04 0.00 PO71794 2002 Rural Elect Renewable Energy Dev. 0.00 190.98 0.00 0.00 0.00 73.86 31.99 -28.41 PO44810 2001 Legal & Judicial Capacity Building 0.00 30.60 0.00 0.00 0.04 14.80 10.32 0.00 PO50752 2001 Post-Literacy& Continuing Education 0.00 53.30 0.00 0.00 0.00 23.92 15.65 -7.35 PO69933 2001 HIV/AIDS Prevention 0.00 40.00 0.00 0.00 21.98 0.71 18.30 -1.70 PO57833 2001 Air Quality Management Project 0.00 4.71 0.00 0.00 0.91 1.48 1.85 -0.84 PO59143 2001 MicrofinanceI1 0.00 151.00 0.00 0.00 0.00 15.16 -9.48 0.00 PO41887 1999 Municipal Services 0.00 138.60 0.00 -0.00 0.68 23.11 19.97 19.32 Total: 0.00 1,902.15 0.00 8.20 54.67 1,224.08 305.78 - 17.18 82 BANGLADESH STATEMENT OF IFC's Held and DisbursedPortfolio InMillionsofUSDollars Committed Disbursed IFC IFC FY Approval Company Loan Equity Quasi Partic. Loan Equity Quasi Partic. 2001 BRAC Bank 0.00 1.63 0.00 0.00 0.00 1.60 0.00 0.00 1997 DBH 1.91 0.65 0.00 0.00 1.91 0.65 0.00 0.00 1991 DynamicTextile 0.00 0.00 0.00 1.48 0.00 0.00 0.00 1.48 GTFP DhakaBank 5.00 0.00 0.00 0.00 5.00 0.00 0.00 0.00 GTFP EasternBnk 2.59 0.00 0.00 0.00 2.59 0.00 0.00 0.00 2004 GrameenPhoneLtd 24.00 0.00 0.00 0.00 24.00 0.00 0.00 0.00 2006 GrameenPhoneLtd 59.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1998 IPDC 3.13 0.00 0.00 0.00 3.13 0.00 0.00 0.00 1998 Khulna 10.40 0.00 0.00 11.99 10.40 0.00 0.00 11.99 1998 Lafarge/Surma 35.00 10.00 0.00 0.00 35.00 10.00 0.00 0.00 2000 Lafarge/Surma 0.00 0.00 0.00 15.00 0.00 0.00 0.00 15.00 2003 RAKCeramics 7.20 0.00 0.00 0.00 7.20 0.00 0.00 0.00 2000 UnitedLeasing 2.57 0.00 0.00 0.00 2.57 0.00 0.00 0.00 Total portfolio: 150.80 12.28 0.00 28.47 91.80 12.25 0.00 28.47 Approvals PendingCommitment FY Approval Company Loan Equity Quasi Partic. 2000 USPCL 0.00 0.00 0.00 0.00 1998 Khulna 0.00 0.00 0.00 0.00 Total pendingcommitment: 0.00 0.00 0.00 0.00 83 Annex 14: Countryat a Glance BANGLADESH: Disabilityand Children-at-RiskProject POVERTY and SOCIAL South Low- Bangladesh Asia Income Deveiopment dlamo nd' 2006 Population,mid-year(miliions) 144.4 1470 2 353 GNIpercapita (Aflasmethod, US%) 480 684 580 Lifeekpectancy GNI(Atlas method, US$ billions) 69.9 1005 1364 - Average annual growth, 2000.06 Population (46) 19 17 19 Laborforce (O%J 22 2.1 23 GNi Gross per primary M o s t recent estimate (latest year avallable, 2000.06) capita nrollment Poverty (%ofpopulationbelownationalpo vertyline) 50 UrbanPOpulation (%of totalpopuiation) 25 29 31 Lifeekpectancyat birth (pars) 63 63 59 - Infantmortality(per IOOOiivebirths) 56 66 80 Childmalnutrition(%ofchildren under5) 48 45 39 Access to improvedwater source Access to animprovedwdtersource(%ofpopulation) 74 84 75 Literacy(%ofpopulafion age 41 60 62 Gross primaryenrollment (%of school-agepopulation) 0 9 10 0 4 -8 angladesh Male m7 16 ID Low-income group ~ Female 111 0 5 99 KEY ECONOMIC RATIOS and LONG-TERM TRENDS 1986 1996 2006 2006 Economic ratios' GDP (US%biiiions) 212 40.7 60.0 62 0 Gross capital formation1GDP 6.7 20.0 24.5 25 0 Exports of goods and servicesIGDP 5.4 11.1 6.6 -78 Trade Gross domestic savingsiGDP 9.8 P.4 20.0 20 3 Gross national savings1GDP 6.9 20.0 25.8 26 6 Current account balanceiGDP -5.1 -3.2 -0.9 0 9 Domestic Capital InterestpaymentsiGDP 0.7 0.5 0.4 savings formation Total debtIGDP 38.1 37.7 30.6 Total debt servicelexports 28.4 114 5.8 Present valueof debt1GDP 22.0 1 Present valueof debtlexports 96.5 Indebtedness 1986-96 1996-06 2006 2006 2006.10 (averageannuaigmvdh) GDP 4.2 5.4 6.0 6.7 6.3 -Bangladesh GDP percapita 18 3 4 4.0 4.8 4.5 Low-incomegroup Exports of goods and services 117 9.6 15.6 15.7 P.5 ~ Bangladesh PRICES and GOVERNMENT FINANCE 1986 1996 2006 2006 Domestic prices Inflation (Oh) I 1 I (%change) In r Consumer prices 6 7 6.5 7.0 Implicit GDP deflator 8.0 42 5.1 5.2 Government Finance (%of GDP,includes current grants) Current revenue 9.5 9 0 m.5 m.7 01 02 03 04 05 Current budgetbalance 4.1 22 2.1 2.2 Overaii surplusideficit -3.1 -45 -3.8 -3.3 -GDPdeflator -CPI TRADE 1986 1996 2005 2006 /US%miliions) Export and Import levels (US$ mlll.) Totalexports (fob) 819 3,884 8.573 x),422 15,000T Rawjute P4 91 96 17 Leatherand leatherproducts 61 241 221 269 Manufactures 486 3,205 7,819 9,506 Total imports (cif) 2,364 6,947 11870 13,301 Food 356 570 1,607 1801 Fuel andenergy 342 274 1602 1,795 Capital goods 1003 196 1794 2,om Export price index(2000=WO) 46 85 IS P2 I 00 01 02 03 04 05 OB Import price index(2000=WO) 48 79 t34 141 .Exports OlmpDrtS Terms of trade (200O=WO) 96 0 8 89 87 84 STRUCTURE of the E C O N O M Y 1986 1996 2005 2006 Growth o f capital and G D P (%) (%ofGDP) Agriculture 319 25.7 20 1 8 5 industry 215 24.9 27 2 28 1 Manufacturing 14.0 15.4 6 5 7 2 Services 46.5 49.5 52 6 524 Householdfinal consumption expenditure 85.8 83.2 76 4 76 1 01 02 03 04 05 OB Generalgov't final consumption egenditure 4.3 4.4 55 56 Imports of goods and sewices P.2 8.7 23 0 24 4 1986-96 1996-06 2005 2006 (averageannualgrowth) Growth o f exports and imports (Oh) Agnculture 2 3 36 22 4 5 industry 6 5 7 0 83 9 6 ~anufacturing 6 7 63 8 2 134 Services 38 55 64 65 Householdfinal consumption expenditure 3.2 3.6 5 1 6 0 03 04 05 OB - Generalgov't final consumption egenditure 4.0 8.3 7 8 7 9 Gross capital formation 6.7 86 'a7 80 -inports imports of goods and sewices 7.5 5.8 -Exports 8 1 141 Note'2006dataarepreliminaryestimates Groupdataarefor2005. 'Thediamonds showfourkev indicators in thecountrv(in bold) cornparedwithits income-groupaverage.If data aremissing, thediamondwill beincompiete BALANCE o f P A Y M E N T S 1986 1996 2005 2006 (US$ millions) Current account balance to G D P (Oh) Exports of goods and sawices 1043 4,437 9,750 117m Imports of goods and sewices 2,587 7,604 u,97 15,707 ' T Resource balance -1544 -3,757 -4.167 -3,989 Net income 4 6 55 680 -786 Net current transfers 586 1821 4,290 5,347 Current account balance -1084 -1291 -557 572 Financingitems (net) 129 274 624 -207 Changesinnet reserves -128 107 -67 -365 i Memo: Reserves includinggold (US$ millions) 1878 2,929 3,488 Conversion rate (DEC,local/US$) 29 9 40.9 618 67.2 EXTERNAL D E B T and RESOURCE FLOWS 1986 1996 2004 2005 (US$ millions) ICompositlon of 2005 debt (US$ mill.) Totai debt outstanding anddisbursed 8,062 15,341 20,129 8,935 IBRD 61 46 0 0 G:688 IDA 2 450 5.70 8,895 8.688 ~ F:528 Total debt Service 448 672 671 791 iBRD 5 8 8 0 IDA 28 92 208 223 Composition of net resourceflows Official grants 553 596 822 671 Official creditors 843 548 557 339 Privatecreditors 55 -30 -6 -9 Foreign direct investment (net inflows) 2 14 449 802 Portfolio equity(net inflows) 0 -1l7 4 1 C 308 World Bank program Commitments 383 8 8 707 500 A IBRD - E- Bilateral Disbursements 337 279 615 547 B IDA . D. Other mltiiateral F Private - Principal repayments 8 54 148 153 C - I M F 0 -Short-term Net flows 330 225 467 394 interestpayments 25 45 68 70 Net transfers 305 8 0 399 325 DeveiomentEconomics 310107 85 Mapsection IBRD 33368R To Gangtok 88šE 89šE BHUTAN 90šE 91šE BANGLADESH DISTRICT CAPITALS DIVISION CAPITALS To Dispur PanchagarPanchagar NATIONAL CAPITAL To RIVERS Patna PANCHAGAR ANCHAGAR BANGLADESH LALMONIRHA MAIN ROADS 26šN ThakurgaonThakurgaon NILPHAMARINILPHAMARI RAILROADS THAKURGAONTHAKURGAON NilphamariNilphamari LALMONIRHAT LalmonirhatLalmonirhat DISTRICT BOUNDARIES KurigramKurigram RangpurRangpur DIVISION BOUNDARIES To KURIGRAMKURIGRAM Katihar Dinajpur Dinajpur RANGPURRANGPUR INTERNATIONAL BOUNDARIES DINAJPURDINAJPUR To Goalpara I N D I A To Katihar Gaibandha Gaibandha To 92šE To Dispur GAIBANDHAGAIBANDHA Dispur JOYPURHA JOYPURHAT SERPURSERPUR Joypurhat Joypurhat SunamganjSunamganj 25šN SYLHETSYLHET 25šN NAOGAONNAOGAON SerpurSerpur NETROKONANETROKONA SUNAMGANJSUNAMGANJ Sylhet Sylhet Naogaon Naogaon BOGRABOGRA JamalpurJamalpur BograBogra R A J S H A H I JAMALPURJAMALPUR NetrokonaNetrokona MymensinghMymensingh S Y L H E T NOWABGANJNOWABGANJ To Silchar MYMENSINGHMYMENSINGH NowabganjNowabganj RAJSHAHIRAJSHAHI JJamamun naa D H A K A KishorganjKishorganj MOULVI BAZAR MOULVI BAZAR Moulvi Bazar Moulvi Bazar Ganges RajshahiRajshahi Serajganj Serajganj Natore Natore HABIGANJHABIGANJ SERAJGANJSERAJGANJ KISHORGANJKISHORGANJ NATORENATORE TANGAIL ANGAIL Tangail angail HabiganjHabiganj PABNA ABNA GAZIPURGAZIPUR PabnaPabna NARSINGDINARSINGDI 24šN GazipurGazipur 24šN NarsingdiNarsingdi I N D I A KUSHTIAKUSHTIA KushtiaKushtia ManikanjManikanj DHAKADHAKA MegBRAHMANBRAHMAN hna I N D I A BrahmanbariaBrahmanbaria MeherpurMeherpur BARIABARIA RajbariRajbariMANIKGANJMANIKGANJ MEHERPURMEHERPUR NARAYNGANJNARAYNGANJ ChuadangaChuadanga RAJBARIRAJBARI DHAKADHAKA NaraynganjNaraynganj CHUADANGACHUADANGA FaridpurFaridpur COMILLACOMILLA JhenaidahJhenaidah MaguraMagura MUNSHIGANJMUNSHIGANJMunshiganjMunshiganj JHENAIDAHJHENAIDAH FARIDPUR ARIDPUR MAGURAMAGURA Ganges ComillaComilla RI To SARIATPURSARIATPUR Calcutta CHANDPURCHANDPUR SariatpurSariatpur JessoreJessore NarailNarail MadaripurMadaripur ChandpurChandpur NARAILNARAIL MADARIPURMADARIPUR JESSOREJESSORE GOPALGANJGOPALGANJ KHAGRACHHARIKHAGRACHHAKhagrachhariKhagrachhari 23šN K H U L N A GopalganjGopalganj FeniFeni 23šN LUXMIPURLUXMIPUR FENIFENI Khulna Khulna BARISALBARISAL LuxmipurLuxmipur NOAKHALINOAKHALI NoakhaliNoakhali RANGAMATIRANGAMATI SatkhiraSatkhira KHULNAKHULNA PEROJPURPEROJPUR Barisal Barisal BholaBhola C H I T T A G O N G BagerhatBagerhat JhalukathiJhalukathi To SATKHIRASATKHIRA JHALUKATHIJHALUKATHI RangamatiRangamati Kaptai Kaptai Calcutta BAGERHA BAGERHAT PerojpurPerojpur LakeLake B A R I S A L CHITTAGONG CHITTAGONG PatuakhaliPatuakhali BHOLABHOLA e l t a PATUAKHALI TUAKHALI ChittagongChittagong BargunaBarguna G a n g e s D BARGUNABARGUNA BandarbanBandarban 22šN s Mt. Mowdok 22šN b a n s g e (957 m) d a r a n S u n t h e G BANDARBANBANDARBAN o f COX'SCOX'S BAZARBAZAR M o u t h s Cox's Bazar Cox's Bazar 0 10 20 30 40 50 Kilometers B a y o f B e n g a l 0 10 20 30 40 50 Miles MYANMAR This map was produced by the Map Design Unit of The World Bank. 21šN The boundaries, colors, denominations and any other information 21šN shown on this map do not imply, on the part of The World Bank Group, any judgment on the legal status of any territory, or any endorsement or acceptance of such boundaries. To 89šE 90šE 91šE 92šE Sittwe MARCH 2008