The World Bank Cote d'Ivoire Jobs and Economic Transformation (P172425) Concept Environmental and Social Review Summary Concept Stage (ESRS Concept Stage) Public Disclosure Date Prepared/Updated: 08/03/2020 | Report No: ESRSC01523 Aug 03, 2020 Page 1 of 16 The World Bank Cote d'Ivoire Jobs and Economic Transformation (P172425) BASIC INFORMATION A. Basic Project Data Country Region Project ID Parent Project ID (if any) Cote d'Ivoire AFRICA WEST P172425 Project Name Cote d'Ivoire Jobs and Economic Transformation Practice Area (Lead) Financing Instrument Estimated Appraisal Date Estimated Board Date Finance, Competitiveness Investment Project 9/21/2020 11/5/2020 and Innovation Financing Borrower(s) Implementing Agency(ies) Ministry of Economy and FIRCA (Fonds Finance Interprofessionel pour la Recherche et le Conseil Agricoles) Public Disclosure Proposed Development Objective The Project Development Objective (PDO) is to support economic transformation through more diversified and higher value exports in selected value chains, improved business enabling environment and increased access to finance for MSMEs. Financing (in USD Million) Amount Total Project Cost 150.00 B. Is the project being prepared in a Situation of Urgent Need of Assistance or Capacity Constraints, as per Bank IPF Policy, para. 12? No C. Summary Description of Proposed Project [including overview of Country, Sectoral & Institutional Contexts and Relationship to CPF] The Côte d’Ivoire (CIV) JET project falls under the World Bank Group’s JET agenda, one of the special themes of IDA19. The key elements of JET are: more and better jobs; increasing productivity through diversification, international integration, upgrading, etc.; export-orientation; connecting to markets; and, building workers capabilities. The JET Project builds on the recently completed CPSD for Côte d’Ivoire. Aug 03, 2020 Page 2 of 16 The World Bank Cote d'Ivoire Jobs and Economic Transformation (P172425) The development challenge that the Côte D’Ivoire JET project intends to address is the lack of competitiveness of firms and sectors; the heavy concentration in low-value commodity exports; a lack diversity in its export basket; low firm productivity; and, a lack of access to finance for MSMEs. The project would be structured around five components: (1) Support for Sector Competitiveness; (2) Improving access to Finance for Micro, Small and Medium Enterprises; (3) Reforms; (4) Project Coordination and Management; and (5) Contingency Emergency Response. Component 1: This component seeks to support approximately five sectors, starting with horticulture, through “common services” for activities in value chains that require economies of scale (e.g. logistics, packaging, digital platforms, traceability systems, testing facilities, Technology Center). Component 2: The objective of this component is to improve access to finance for MSMEs. The Component will finance the Strengthening of the microfinance sector as key provider of financial services for targeted population; Digitization of financial Institutions’ activities; Increase supply of funding (credit and equity) to MSMEs. Component 3: This component will use the Performance-Based Conditions financing instrument to finance reforms to remove bottlenecks in sectors, with broader benefits to other sectors. Component 4: This component finances the Project Coordination Unit (PCU) and the expenses related to project coordination, analysis and implementation. The PCU will ensure technical, operational, administrative, M&E, Public Disclosure Safeguards and Communications functions for the Project. Component 5: Contingency Emergency Response Component (CERC) aims to provide flexibility to re-focus the scope of the activities, in case of a natural disaster, security, emergency and/or catastrophic events which would be triggered following proclamation of a state of emergency or declaration of disaster. D. Environmental and Social Overview D.1. Detailed project location(s) and salient physical characteristics relevant to the E&S assessment [geographic, environmental, social] The exact location of the project is not yet determined but the project intends to support clusters located nationwide. The Projet Implementation Unit will include cluster specialists, some potentially deployed to the north, center of the country, and Abidjan, which could cover the south. The physical presence of the cluster specialists in the field would support stakeholder engagement and cluster analysis. The project location will depend on which economic clusters will be selected (e.g. agribusiness, manufacturing). To start, the pre-identified sectors are mango in the North (Korhogo) and likely a manufacturing sector in the south / center-south (i.e. Yamoussokro). As the location of the clusters will be decided upon by the government during preparation, before project effectiveness and some in Year 1 of implementation, various salient physical characteristics relevant to the Environmental and Social (ES) assessment can only be assessed generally at this time. Aug 03, 2020 Page 3 of 16 The World Bank Cote d'Ivoire Jobs and Economic Transformation (P172425) On the social side, resettlement or land acquisition could take place as a technology center will be upgraded as part of the project and there is also an indirect risk that contractors in charge of undertaking the transport and logistics activities (e.g. trucking) could require land acquisition for their facilities, potentially temporary or permanent used for storage or other purposes. The impact of this will need to be re-evaluated by appraisal when further information is available. If required, the project would need to prepare the necessary resettlement instruments. On average, women in Côte d’Ivoire have lower levels of literacy, education, wages and presence in the formal employment sector as compared to men. The Côte d’Ivoire Enterprise Survey highlights gender gaps between male and female workers in terms of labor force participation, wages and managerial positions. These gaps have significant implications for the economy which, according to certain estimates, could stand to gain an estimated US$6 billion if men and women achieved parity in labor force participation and earnings. The project will need to pay specific attention to the possible exclusion of women, gender equity in pay, working conditions and to creating access for women to participate effectively. Although the project’s primary beneficiaries are enterprises and smallholder farmers, the final stakeholder groups have not yet been identified. The Borrower should, where possible, already begin to develop a stakeholder mapping for the pre-identified sectors located in Korhogo (horticulture), Abidjan (plastics) and rubber (near Abidjan). Once the activities and locations are known, a more complete stakeholder mapping and an engagement strategy will need to be developed. The Borrower will also need to take into account the targeted sector policies/reforms that could result in environmental and social risks and apply the World Bank’s Environmental and Social Framework (ESF) as well as general/sector-specific Environmental Health and Safety Guidelines (EHSGs) to relevant components. Following the outbreak of the COVID-19 pandemic, the project now includes measures to support the flow of credit to Public Disclosure segments of the population expected to be the most affected (such as MSMEs) by mitigating the economic impact on financial institutions with counter cyclic tools. The project will help increase financial inclusion by a) supporting microfinance institutions to expand their activities in more rural and isolated areas by deploying a network of agents instead of opening up branches; b) enabling clients to access financial services through these agents, without internet; c) for existing clients with data and mobile phones, supporting clients to undertake transfers and bill payments electronically. Greater use of electronic processes will aid social distancing and help mitigate against COVID 19, while the deployment of the agents will increase financial inclusion to those currently excluded from such services. D. 2. Borrower’s Institutional Capacity In Côte d’Ivoire, the Ministry of Environment, and Sustainable Development (MINEDD) is responsible for setting policy guidelines on environmental issues and ensuring compliance with national environmental standards. It has different departments, among which the National Agency of Environment (ANDE, Agence nationale de l’environnement) is in charge of all projects in the country observing compliance to safeguards. The agency is well-staffed, but its capacities are considered moderate. The Project Implementation Unit (PIU) will be confirmed during project preparation. Once this entity is identified, an assessment of its capacity to implement environmental and social safeguards will be undertaken. When finalized, the capacity building needs of the PIU will be determined. This could include the recruitment of environmental and social staff to contribute to managing risks in compliance with the requirements of national law and the World Bank’s ESSs. The PIU will also receive guidance from the Bank team’s environmental and social specialists, to meet the requirements of the World Bank’s ESS. In addition, if needed, a specialized NGO will be mobilized at the local level to Aug 03, 2020 Page 4 of 16 The World Bank Cote d'Ivoire Jobs and Economic Transformation (P172425) support the implementation and monitoring of the stakeholder engagement plan or provide any other specialized service. II. SCREENING OF POTENTIAL ENVIRONMENTAL AND SOCIAL (ES) RISKS AND IMPACTS A. Environmental and Social Risk Classification (ESRC) Substantial Environmental Risk Rating Substantial The project will finance value chains for sectors in which Côte d’Ivoire has a comparative advantage. To date, three value chains have been pre-identified to start the project with: the export of fresh fruit and vegetables and of rubber and plastics. The operation will finance services missing along the value chain, which are needed to develop or improve the competitiveness of a selected value chain. Project funds would be used to de-risk the entry of private service providers for the service in question. These “services” could include: transport or logistics, and quality control to ensure sanitary and phytosanitary norms, for example in terms of laboratories and certification service, maintenance services for equipment, traceability systems and access to technology and skills development. On the supply side, the service provider will be paid based on performance (that is, output-based) and according to standards required by the buyers and outlined in their contracts, for example in keeping with Standard Operating Procedures for fresh mango conditioning, export, transport and ripening at destination. The project will be financing the upgrading of technology centers, which could result in construction activities. A private operator will be required to deliver these services through a performance- Public Disclosure based contract. On the demand side, vouchers will initially be used to encourage uptake by users such as enterprises/farms. The project would also support access to technology and skills through a technology center (whether this means upgrading an existing facility or building a new one is still to be determined during preparation). To the extent possible, the project will explore the public-private partnership arrangement for its preparation and management. The technology center would focus on a specific industry, for example a skills center specialized in sophisticated technology or machinery such as molds for plastic injection or 3D printing, or the design of new products. The environmental risk of the project is rated Substantial because of the wide impact geographic area of the project, potential use of chemical products, attendant occupational health and safety issues, in addition to insufficient information about detailed project activities and capacity of the Barrower at this stage of the project. Social Risk Rating Substantial The social risk has been determined to be substantial as various potential risks have been identified and the locations and precise project activities have not been finalized. Three priority sectors have, however, been pre-identified for diversification and deemed of higher domestic value-addition: horticulture (fresh fruit), rubber and plastics. The most significant social risks foreseen are related to occupational health and safety, as well as to working conditions and grievance management for laborers, especially those for the indirectly employed or primary supply workers. Based on experiences in the agricultural sector in Côte d’Ivoire, there is also the potential risk of the use of child labor in the horticulture and rubber supply chains. Types and numbers of workers have yet to be determined, so the magnitude of the risk is currently not known. The reforms foreseen as part of this project are not yet identified and fully analyzed yet but could including possible land reforms. The impacts of these reforms will be confirmed, particularly if there are commercial land reform measures, during the appraisal stage. Aug 03, 2020 Page 5 of 16 The World Bank Cote d'Ivoire Jobs and Economic Transformation (P172425) In addition, there are risks to community health and safety related to increased air emissions from more industrial activities, as well as from wastewater management, the storage of chemicals, and the generation of hazardous waste all associated with the manufacturing sector. There may also be issues related to Gender-Based Violence (GBV) and security risks within the communities emanating from the greater presence of supply chain stakeholders and more job opportunities and equipment from outside the communities, likely to supply the raw materials. A GBV risk is associated with the potential for increased trucking, particularly where female food sellers are often present, such as at rest stops. Prior to board approval, a social assessment integrated in the ESMF will be prepared to help understand potential social risks and their magnitude. The result of the social assessment will also inform the preparation of subsequent site-specific Environmental and Social assessments. B. Environment and Social Standards (ESSs) that Apply to the Activities Being Considered B.1. General Assessment ESS1 Assessment and Management of Environmental and Social Risks and Impacts Overview of the relevance of the Standard for the Project: This Standard is relevant. The ESS requires that the Borrower carries out an assessment of environmental and social impacts and risks of the Project. An environmental and social risks assessment is required for mitigation measures to be designed to address the specific risks and impacts identified, including those related to GBV risks. Public Disclosure The Borrower will prepare an Environmental and Social Management Framework (ESMF) as the exact location of project activities will be identified overtime. The ESMF will outline procedures for screening and mitigating the potential risks and impacts from constructions/rehabilitations of technology centers in particular, and any other potential activities that could involve civil works, as well as eligible activities for funding from the CERC component. Regarding the targeted sectoral reforms/policies (where relevant), once the content has been confirmed a Strategic Environmental and Social Assessment (SESA) will be prepared. The ESMF would include: (a) checklists of potential environmental and social impacts and their sources; (b) procedures for participatory screening of proposed sites and activities and the environmental and social considerations; (c) procedures for assessing potential environmental and social impacts of the planned project activities, including cumulative impacts and SEA/SH risks; (d) institutional arrangements for avoiding, minimizing, mitigating and managing the impacts identified, according to the mitigation hierarchy; (e) typical environmental and social management planning processes for addressing negative externalities in the course of project implementation; (f) a system for monitoring the implementation of mitigation measures; (g) the capacity building measures recommended for environmental and social planning and the monitoring of project activities; and (h) a specific chapter on cultural heritage, including ”Chance Find” procedure to manage potential risks related to Cultural Heritage discovered during project implementation. The ESMF will also cover the CERC’s environemental and social issues. Additionally, the ESMF will make use of the general and sector-specific World Bank EHSGs for the types of subprojects identified. When project sites are identified, specific ESIAs will be prepared. Lastly, the borrower will prepare an Environmental and Social Commitment Plan (ESCP) with the support of the Bank. The ESCP will include a commitment to the preparation of subsequent ESIAs and relevant instruments, and the timeline. Aug 03, 2020 Page 6 of 16 The World Bank Cote d'Ivoire Jobs and Economic Transformation (P172425) Areas where “Use of Borrower Framework” is being considered: This project will not use the Borrower’s Environmental and Social Framework in the assessment, nor in the development and implementation of investments. However, it will comply with relevant national legal and regulatory requirements. ESS10 Stakeholder Engagement and Information Disclosure In consultation with the Bank, the Borrower will need to prepare and implement an inclusive Stakeholder Engagement Plan (SEP) proportional to the nature and scale of the project and its associated risks and impacts. This can only be done, once a precise stakeholder mapping exercise has been undertaken, based on some knowledge of the location of project activities. Mapping will also include private and public sector stakeholders, whose input is necessary to finalize the text in sector reforms. Stakeholder engagement is needed to identify market opportunities that could inform project investments as well. The Borrower will need to engage in meaningful consultations with all stakeholders throughout the project life cycle paying particular attention to the inclusion of vulnerable and disadvantaged groups. The Borrower will provide stakeholders with timely, relevant, understandable and accessible information, and consult with them in a culturally appropriate manner, that is free of manipulation, interference, coercion, discrimination and intimidation. In context of the COVID-19 pandemic, there is risk of social exclusion, therefore the SEP will need to contain special provisions for stakeholders identified as part of the COVID-19 crisis and recovery efforts. Consultations will be carried out in line with the Bank’s Technical Note on Public Consultations and Stakeholder Engagement to prevent the Public Disclosure project becoming a vector for the coronavirus. Given the geographically dispersed nature of the project area, community liaison officers or NGOs from affected communities will undertake staholder engagement activities, under the guidance of the PIU. Consultations will take into account the Ivorian context, and Bank requirements, of the spread of COVID-19. The project team will ensure timely diffusion of information on social behavior and good hygiene practices in the COVID-19 pandemic context, and that any stakeholder engagement events be preceded with the procedure of articulating such hygienic practices. Public gatherings, including public hearings, workshops and community meetings, should be avoided while taking into account national restrictions. Further, minimize direct interaction between project agencies and beneficiaries / affected people. To the extent possible, stakeholder engagement should be undertaken in small-group sessions, such as focus group meetings. As part of the environmental and social assessment the Borrower will maintain and disclose a documented record of stakeholder engagement, including a description of the stakeholders consulted, a summary of the feedback received and a brief explanation of how the feedback was considered, or the reasons why it was not. The project will develop a grievance mechanism to provide a channel for community members to voice their concerns and to request further information. This will be developed as part of the SEP. The grievance mechanism will need to be adapted to the local context and the possibility to address SEA/SH concerns. B.2. Specific Risks and Impacts A brief description of the potential environmental and social risks and impacts relevant to the Project. ESS2 Labor and Working Conditions Aug 03, 2020 Page 7 of 16 The World Bank Cote d'Ivoire Jobs and Economic Transformation (P172425) The project will include direct workers composed of the Project Implementing Unit (PIU) staff, primary supply workers, and contracted workers employed by contracted and subcontracted companies. The Project Coordination Unit will include cluster specialists who will be in charge of identifying the project activities, would be primarily comprised of contractual staff, that is, full-time consultants working for the government and a few seconded civil servants. All Cluster Specialists will be competitively selected. Civil servants working in connection with the project full-time or part-time will remain subject to the terms and conditions governing their existing public sector terms of employment or agreements, unless there has been a valid legal transfer of their employment or engagement to the project. Confirmation with the Borrower can determine what category the Task Force civil servants fall into to accurately determine the risks. Most activities will be conducted by firms that hold service contracts with the Borrower; therefore all appliable ESS2 requirements must be followed by the firms. This includes not only the firm with the service contracts but also the firms that they subcontract, which is where the most significant risks of non-compliance are generally observed. Judging by project design and pre-identified activities of horticulture, rubber and plastics manufacturing, the most significant risks are occupational health and safety, working conditions, and grievance management for laborers within the supply chains. Given experience in the agricultural sector in Côte d’Ivoire, there is a potential risk of child labor being used for horticulture and rubber projects. To mitigate highlighted risks for seconded civil servants, direct workers, workers employed by contracted and subcontracted companies and primary supply workers, the Borrower will need to develop a Labor Management Procedures (LMP) that will outline: working conditions, grievance redress, non-discrimination and equal opportunity, worker’s organizations, the prohibition of child and forced labor and Public Disclosure occupational, health and safety measures required. The LMP will be implemented by the PIU with the support of the Bank's specialists and be informed by relevant provisions of Côte d’Ivoire’s relevant laws. Once the project activities have been defined, an analysis of labor profiles and the associated risks will need to be undertaken, as well as a screening for risks related to HIV and GBV due to the potential for an influx of labor. ESS2 requirements are applicable to all subprojects, including those financed by the Hybrid Venture Capital/Private Equity Fund to be established under Component 4. Finally, while job creation is not a primary project objective, the project aims to contribute to an agenda for Ivorian jobs by increasing the productivity of individuals and enterprises, within value chains, and supporting more labor- intensive value chains. The LMP will address issues of fair treatment, non-discrimination, and equal opportunity for project workers within the Ivoirian context. The LMP must include incentives and specific measures for women to access jobs and financing. The LMP will be informed by the relevant ILO instruments, namely Convention 138 on Minimum Age and Convention 182 on the Worst Forms of Child Labour , but also Convention 187 on the Promotional Framework for Occupational Safety and Health, Convention 184 on Safety and Health in Agriculture and the Rotterdam Convention (that deals specifically with pesticides) to ensure that the right mitigation measures are included to avoid child labor and hazardous labor for children, which is particularly prevelant in the horticultural sector. The LMP will also take into account the Ivorian constitution that prohibits slavery, human trafficking, and forced labor, the 2015 Labor Code and the Law No. 2010-272 Pertaining to the Prohibition of Child Trafficking and the Worst Forms of Child Labor. The national 2015 Labor Code also raised the minimum working age from 14 to 16 and established compulsory education Aug 03, 2020 Page 8 of 16 The World Bank Cote d'Ivoire Jobs and Economic Transformation (P172425) through age 16. Therefore, it will be prohibited for any person under the age of 16 to work and no person under the age of 18 will be allowed to engage in hazardous work., including the use of pesticides. ESS3 Resource Efficiency and Pollution Prevention and Management Energy and water use Efficiency: Some sectors, such as transport or logistics, third-party temperature-controlled logistics services and services that are missing in the areas of logistics, quality infrastructure, and technology will need energy to operate. For energy efficient use, rationalization measures need to be determined. The same goes for the use of water for the processing of fresh fruit and vegetables. With respect to refrigerants used for cooling mitigation measures also need to be taken with the aim of addressing chemicals permissible according to national and international conventions (Montreal Protocol). Air emissions: During the project implementation phase, air emissions will be moderate, generated by the MSMEs, vehicles and machinery of project service providers and construction / rehabilitation of the technology centres planned under component 1. To reduce the impact of smoke coming from MSMEs, adequate measures need to be taken upstream so that they can meet emissions norms. Noise: Some noise impact is foreseen due to the upgrading / rehabilitation of the technology centres planned under component 1, which could represent a nuisance for the surrounding communities.. However, the ESMF will include mitigation measures to minimize and manage acceptable noise levels from MSMEs selected to be part of the project. These measures will be detailed in ESIAs to be prepared later, as necessary. Public Disclosure Waste management: The project will be involved in upgrading / rehabilitating technologies financed under component 1 of the projectthere will be solid waste management but likely not in large quantities. Notwithstanding this, waste coming from fresh fruits and vegetables, as well as phytosanitary products, is expected. The chemicals that would be used would be industry-standard, based on the requirements of the importing country/zone (mostly likely European Union). All service providers who will be working for the project will have environmental and social requirements written into their contract, where the safe handling, storage and disposal of chemicals will be included. It will also be stipulated in the contracts that all chemicals will need to have Material Safety Data Sheets (MSDS) that outline the content and the handling of the chemicals. For all hazardous chemicals and materials, the Borrower will produce a hazardous waste and storage plan outlining the measures to be taken by all relevant contractors. Safeguards documents will include adequate measures to minimize production upstream and encourage recycling where possible. Lastly, the project includes agricultural activities that would lead to fostering agriculture productivity, including the probable non-negligible use of chemical products, namely pesticides and fertilizers. Knowing that the misuse of pesticides could lead to pollution, the project will develop a Pest Management Plan(PMP), to be disclosed prior to project appraisal. ESS4 Community Health and Safety Community health and safety issues are likely to be related to increased air emissions and noise coming from increased industrial activities by MSMEs as well as phytosanitary products, waste mishandling, chemical storage, and waste management. Occupational health and safety issues could arise from transport and processing activities and Aug 03, 2020 Page 9 of 16 The World Bank Cote d'Ivoire Jobs and Economic Transformation (P172425) from using sophisticated technology and machinery, for example, molds for plastic injection or 3D printing, for which in-depth training and adequate protective equipment is required. Food processing could cause the risk of biological hazards spreading to surrounding communities and should, therefore, be addressed as part of the environmental and social assessment. Due to a larger presence of stakeholders, increased job opportunities, and equipment coming from outside of the community, SEA/SH and security risks will also need to be addressed in site-specific environmental and social assessments and action plans. The risk of SEA/SH will exist at truck stops, where women sell food, as the project will finance services that include trucks and drivers. Trucks and drivers will be registered by the companies contracted and their routes tracked; any incidents that occur should be traceable. However, adequate mitigation measures need to be put in place by contractors overseen by the Borrower, including SEA/SH training and a code of conduct for truck drivers. Transport and logistics imply potential traffic and safety issues and will require traffic management measures. ESS5 Land Acquisition, Restrictions on Land Use and Involuntary Resettlement The project will finance common services, such as transport and logistics, which could lead to land acquisition. The precise nature of the common services remains to be determined. Under component 1, one activity is technology centers, which could possibly include the construction or upgrading of buildings. To mitigate land acquisition as much as possible, the Borrower will opt for sites that are already owned by the government and free of leaseholders and squatters. A Resettlement Policy Framework (RPF) will be developed for the project prior to appraisal. All service contracts financed through the project will have a broad range of assets, such as vehicles and warehouses. The Public Disclosure storage facilities for the vehicles and the warehouses will be managed by the contractors. Should any of these assets require land acquisition, the firm holding the service contract will need to meet ESS5 requirements. All RAPs need to be monitored throughout the project and adjustments will need to be made as necessary. A final audit will need to be conducted to determine if people’s pre-project situation has been re-established or improved. The proposed commercial land reforms would be largely administrative in nature and related to how land already identified for commercial or industrial use is made available to potential investors; and how these lands are managed. These reforms will be further evaluated, once they have been more clearly defined, to verify the existence, or not, of leaseholders or squatters that could require compensation. ESS6 Biodiversity Conservation and Sustainable Management of Living Natural Resources The application of this ESS seeks to ensure that all precautions are taken in the project to protect biodiversity, as some activities, namely value chains related to fresh fruit, vegetables, and rubber could have potentially adverse impacts on natural habitats (potential natural habitats loss, degradation and fragmentation, in particular, ecosystems as well as their biodiversity in project's area, due to the above-mentioned activities). To promote the sustainable management of natural resources, the ESMF will provide guidance on applying the mitigation hierarchy and the precautionary principles in the design and implementation of such activities. Thereafter, ESIAs prepared during the implementation phase will provide guidance on screening and mitigation measures to ensure that project activities do not alter or cause the destruction of any natural habitats. Aug 03, 2020 Page 10 of 16 The World Bank Cote d'Ivoire Jobs and Economic Transformation (P172425) The logistics and transport activities financed by the project and provided by contracted service providers will include temperature-controlled logistics for collecting fruit from production areas, transport to facilitate the preparation for export. There will be no construction/rehabilitation of roads, rails or ports. ESS7 Indigenous Peoples/Sub-Saharan African Historically Underserved Traditional Local Communities There are no Indigenous Peoples/Sub-Saharan African Historically Underserved Traditional Local Communities in the project area. ESS8 Cultural Heritage Côte d’Ivoire has rich, and diverse, cultural heritage. The environmental and social assessments will confirm the existence of tangible or intangible cultural heritage in project areas. If there is any cultural heritage present that could be affected by the project, the Borrower will design mitigation measures, in consultation with the relevant national authorities and experts, to protect it. The ESMF, and site-specific ESIAs, will include a specific chapter on cultural heritage, including a “Chance Finds” procedure to manage potential risks related to Cultural Heritage discovered during project implementation. Construction is currently only foreseen as part of the upgrading and refurbishment of the technology centers. For activities related to construction, once the areas for the construction are identified and an ESIA is necessary, that ESIA will include a section on cultural heritage written by a qualified cultural heritage specialist to ensure that there is no pre-existing or known cultural heritage sites which could be affected by the project. Public Disclosure Lastly, a “Chance Find” clause will be added to the contracts, defining procedures for contractors in the event that cultural heritage is encountered. ESS9 Financial Intermediaries The project will finance the establishment of credit and equity instruments to support MSMEs’. The instruments will be created and implemented by an existing public establishment with the legal mandate to manage public and private funds. The entity selected to manage the instruments– to be confirmed before QER - will have a governance structure aligned with best international practice. The Board of the selected entity will be responsible for the overall development policy and investment strategy of the facility, as well as for the oversight of governance, conflicts of interest, audit, disclosure and reporting of the instrument through relevant Board Committees. The selected entity will put in place and maintain an Environmental and Social Management System (ESMS) commensurate with the nature of activities to be carried out by the MSMEs. Environmental and social criteria will be considered in selecting eligible activities for MSMEs. Likewise, an appropriate Labor Management Procedures, including procedures relating to working conditions (employment, non-discrimination and equal opportunity, occupational heath and safety) and a GRM will be developed by the entity responsible for the instruments. It will ensure the monitoring and reporting (annual and other) on the implementation of its ESMS. With respect to COVID-19 impacts on the economy, the project will provide measures to support the flow of financing to segments of the population expected to be the most affected, such as SMEs through credit and equity financing mechanisms. These financing mechanisms will also need to meet ESF standards. Aug 03, 2020 Page 11 of 16 The World Bank Cote d'Ivoire Jobs and Economic Transformation (P172425) B.3 Other Relevant Project Risks At this stage, the team is not aware of any other relevant project risks. The team will flag any contextual, reputational and/or political economy risks of relevance to the Project’s screening of environmental and social risks and impacts during preparation (if any). C. Legal Operational Policies that Apply OP 7.50 Projects on International Waterways No It is not anticipated that the project will have any adverse impact on international waterways and/or tributaries. OP 7.60 Projects in Disputed Areas No The project is not going to be implemented in Disputed area. III. WORLD BANK ENVIRONMENTAL AND SOCIAL DUE DILIGENCE A. Is a common approach being considered? No Financing Partners N/A Public Disclosure B. Proposed Measures, Actions and Timing (Borrower’s commitments) Actions to be completed prior to Bank Board Approval: The preparation and disclosure of final version of ESF instruments below (prior to board approval): - Environmental and Social Management Framework (ESMF) - Environmental and Social Impact Assessment - Environmental and Social Commitment Plan (ESCP) - Labor Management Procedures (LMP) -Resettlement Policy Framework (RPF) - Stakeholders Engagement Plan (SEP) Actions to be completed prior to Appraisal: -Preparation and disclosure of the Environmental and Social Commitment Plan (ESCP) -Preparation, consultation and disclosure of the Stakeholders Engagement Plan (SEP) - Preparation and disclosure of the Labor Management Procedures (LMP) - Preparation of an advanced draft of the Environmental and Social Management Framework (ESMF), including a Pest Management Plan (PMP) and a social assessment - Preparation of an advanced draft of the Resettlement Policy Framework (RPF) Possible issues to be addressed in the Borrower Environmental and Social Commitment Plan (ESCP): Aug 03, 2020 Page 12 of 16 The World Bank Cote d'Ivoire Jobs and Economic Transformation (P172425) The ESCP will be developed in close collaboration with the Borrower. It will define the means and frequency of reporting on the implementation of measures and actions required to achieve compliance with the World Bank’s ESF, particularly as discussed in the ESRS. The ESCP will also include the assessment of the PIU’s capacity to implement recommended mitigation measures. It would address issues related to the Borrower’s commitment to carry out monitoring and reporting, including incidents and accidents and contractors’ monthly reports. It will also designate the entity(ies) responsible for implementing defined mitigation measures. The Borrower will further develop the Stakeholder Engagement Plan (SEP) including the Grievance Redress Mechanism; Environmental and Social Impacts Assessments (ESIAs); Labor Management Procedures (LMP), GBV/SEA plan, a Pest Management Plan (PMP) as a chapter and included in the ESMF, and Hazardous Waste and Storage plan. In addition to the above, the ESCP will also set out the requirements in terms of assessment and management of environmental and social risks and impacts of activities to be funded under the credit and equity instruments and include the CERC requirements. C. Timing Tentative target date for preparing the Appraisal Stage ESRS 08-Sep-2020 IV. CONTACT POINTS World Bank Contact: Maria Deborah Kim Title: Senior Private Sector Specialist Public Disclosure Telephone No: 5331+3417 Email: mkim1@worldbank.org Contact: Sarah Zekri Title: Senior Financial Sector Specialist Telephone No: +1-202-473-4970 Email: szekri@worldbank.org Borrower/Client/Recipient Borrower: Ministry of Economy and Finance Implementing Agency(ies) Implementing Agency: FIRCA (Fonds Interprofessionel pour la Recherche et le Conseil Agricoles) V. FOR MORE INFORMATION CONTACT Aug 03, 2020 Page 13 of 16 The World Bank Cote d'Ivoire Jobs and Economic Transformation (P172425) The World Bank 1818 H Street, NW Washington, D.C. 20433 Telephone: (202) 473-1000 Web: http://www.worldbank.org/projects Public Disclosure Aug 03, 2020 Page 14 of 16 The World Bank Cote d'Ivoire Jobs and Economic Transformation (P172425) VI. APPROVAL Public Disclosure Aug 03, 2020 Page 15 of 16 The World Bank Cote d'Ivoire Jobs and Economic Transformation (P172425) Task Team Leader(s): Sarah Zekri, Maria Deborah Kim Practice Manager (ENR/Social) Aly Zulficar Rahim Recommended on 30-Jul-2020 at 10:05:24 EDT Safeguards Advisor ESSA Nathalie S. Munzberg (SAESSA) Cleared on 03-Aug-2020 at 15:17:54 EDT Public Disclosure Aug 03, 2020 Page 16 of 16