72298 2012 Bulgaria Country Partnership Strategy Review and Planning A knowledge-based and innovative Country Partnership Strategy. The World Bank Group Bulgaria Country Partnership Strategy (CPS) 2011-2014 is a truly “European� strategy. It is designed to partner with Bulgaria as an EU member, and in particular to support strengthening of institutions and policies to achieve smart, sustainable and inclusive growth, in line with the Europe 2020 strategy. The foundation of this partnership is the provision of knowledge services. The CPS has three main pillars. Under the first pillar the World Bank provides knowledge and advisory (KA) services in particular for policy reforms to implement select areas of the National Reform Program. The second pillar is focused on EU funds absorption, where the World Bank provides knowledge and advisory support to strengthen institutions and capacity to accelerate EU funds absorption. Knowledge and advisory services will increasingly be provided through fee-based (FBS) service arrangements. The third pillar envisages complementary and selective provision of financing where the World Bank’s modest financing support will concentrate on complex reforms and on activities which are not eligible for financing through grant resources under the EU Structural Funds or lending by European institutions and international financial institutions. A flexible strategy with an annual review and planning mechanism. While having a clear strategic direction, the CPS is designed as a flexible strategy. On an annual basis, implementation progress and results are being assessed and additional activities for the next 12 months are discussed and agreed upon. The first Bulgaria CPS Annual Review and Planning meeting, under the leadership of Ministry of Finance and with contribution from all respective line ministries and partners, took place in Sofia on April 3, 2012. Looking back – knowledge services. The first year of CPS implementation was marked by major efforts to develop the mechanism for fee-based knowledge and advisory services. A break-through Memorandum of Understanding (MoU) between the Government of Bulgaria and the World Bank on partnership and support in the implementation of the EU Structural Funds was signed on 22 January, 2012, but no fee-based service agreements have been signed yet. In other words, delivery of fee-based knowledge and advisory services is delayed. Delivery of World Bank financed knowledge and advisory services was largely on track (see Annex 1). Looking back – financing. With regard to the portfolio, disbursements have considerably picked up after the restructuring of the portfolio, reaching 16.3 percent as of end March 2012 compared to overall 6.7 percent in FY11, which reflects strong Government commitment and efforts. The quality of the portfolio has also improved with the share of portfolio at risk being reduced from 75 percent to 25 percent or currently only one project remaining in problem status, namely the Municipal Infrastructure Development Project. Looking back – progress towards achieving CPS results. CPS activities, anchored in Bulgaria’s National Reform Program to implement the Europe 2020 Strategy, are organized under three pillars aiming at providing knowledge and advisory support for (i) policy reforms to implement select areas of the National Reform Program and (ii) to strengthen institutions and capacity to accelerate EU funds absorption, as well as (iii) providing complementary and selective financing focused on complex reforms and which complements EU financing. Several areas of progress exist (e.g. on innovation, education, social inclusion including Roma, roads, railways, water), although yet insufficient, but there is basis for more substantive progress. In some areas, however, substantial further efforts and actions are needed, e.g. on climate change and business regulation (see Annex 2). Looking forward: At the CPS review and planning meeting on 3 April, the Government and the World Bank Group agreed on the priority tasks for the coming twelve months, in addition to the ongoing activities. The final scope, priorities and timing of the respective World Bank financed knowledge and advisory services will be agreed with the particular line ministries and the Ministry of Finance. Annex 3 summarizes all tasks by line ministries’ responsibility, and the 2012 FBS Action Plan adopted by the Council of Ministers (CoM) on 9 May, 2012, is attached as Annex 4. In addition to the FBS tasks already agreed and reflected in 2012 FBS Action Plan, discussions are ongoing with beneficiaries in several areas. These potential FBS activities would also be subject to CoM adoption in case respective agreements are reached with the beneficiaries. CPS Pillar I: Policy Reforms for National Reform Program to implement Europe 2020 Strategy  Under CPS Pillar I the following activities have been agreed, or are being discussed with the respective line ministries: – “Golden Growth� KA - application for Bulgaria, which includes request for:  Development of long-term model for calculation of the costs related to the aging of the population including second pillar of the pension system;  Model for reporting about the impact of the fiscal policy on the economy, and  “Golden Growth� - application for Bulgaria, in partnership with respective line ministries. – KA: Optimizing and integrating social benefits and employment services provision, which includes:  Optimization of the interaction between the Social Assistance Agency and the Employment Agency;  Consider options for integrated services that will facilitate people's access to the labor market and will improve the efficiency and the quality of the services. – Education Sector KA: this responds to Government request for support in the areas of:  Secondary education: Support implementation of “value added measures of school performance� model; review of the state educational standards on (i) quality management in the institutions, (ii) inspection, (iii) assessment of learning outcomes, and (iv) preschool education;  Tertiary education: (i) refining the key performance indicators used for performance funding of higher education institutions (HEIs), and (ii) development of options for multiannual performance-based contracts for financing of HEIs;  Skills for Competitiveness and Jobs: (i) expanding the use and analysis of data collected for the purposes of the Bulgaria University Ranking System, and (ii) implementation of the SABER diagnostic tool on Workforce Development. – Financial Consumer Protection KA for:  Support for the implementation of the program for protection of the consumers of financial services and improving of the financial literacy of society;  Preparation of “how-to� notes on financial market regulations, consumer disputes settlement, etc.;  Study of global good practices in relation to the FSC plans to initiate a national strategy for financial literacy – Health Sector KA and potential FBS KA under discussion to scale-up World Bank financed KA which corresponds to request for:  Update of the Health Sector Policy Note;  Development of a good practices model for the future drug policy. – Innovation FBS KA to:  Upgrade the institutional and legal framework underpinning Bulgaria’s national innovation system, according to the plans set out in the OP Competitiveness;  Prepare and design an activity pipeline for the new Operational Program Innovation and Entrepreneurship which will cover the EU multiannual framework cycle 2014-2020. – Cooperation on Roma Integration KA as well as potential FBS KA under discussion to scale up World Bank financed KA:  Develop a system for monitoring, evaluation and control of the implementation of the national Roma integration strategy;  Develop an overall communication strategy and annual communication plans;  Build capacity for programming activities for the next programming period for the use of resources from EU funds (to be addressed under Pillar II). Climate Change KA and potential FBS KA under discussion to scale up World Bank financed KA: Support for the preparation of a National Adaptation Strategy. CPS Pillar II: Strategies and Institutions to Accelerate EU Funds Absorption  Under CPS Pillar II the following activities have been agreed, or are being discussed with the respective line ministries: – FBS KA support to RIA: Improving Roads Sector Performance, Capacity and EU Funds Absorption; – FBS KA: Improving efficiency and sustainability of the water supply and sewerage sector and the absorption of EU funds; – Innovation FBS KA: see above – Potential Roma Integration FBS KA to build capacity for programming activities for the next programming period for the use of resources from EU funds (also see Pillar I) – under discussion; – Potential FBS KA: Support health sector preparation for next EU funds programming period – under discussion – Potential FBS KA agriculture/irrigation – under discussion – Potential Business regulatory environment FBS KA: under discussion; see above CPS Pillar III: Complementing EU Financing  Under CPS Pillar III the following activities have been discussed: – Potential new lending: Railway Sector Reform. While the ambitious reforms in the railway sector undertaken in the first year of CPS implementation are built on a joint MoU and agreed reform matrix, the Government decided to temporarily put on hold the envisioned World Bank financing until further reform efforts materialize, including privatization of BDZ freight. Concerning IFC, the overall direction stated in the CPS remains unchanged. IFC will continue to seek business opportunities with the private sector within the CPS framework. Annex 1: Looking back: Program Implementation Highlights A summary of the status of the implementation of the FY11-FY12 CPS program is presented in the table below. CPS activities for FY11-12: Status as of March 2012 Smart Growth Sustainable Growth Inclusive Growth Pillar 1:  Competitiveness  Public Finance Policies for Growth &  Social Inclusion Policy Reforms Through Competitiveness KA (completed) Project (ongoing) for National Innovation KA  Regulatory Reform (KA ongoing, potential  Programmatic Crisis Reform (completed) FBS under discussion) Monitoring KA Program to  Education and  Climate Change & Green Growth KA (completed) implement Higher (ongoing, potential FBS under discussion)  Update Health Sector Europe 2020 Education  Gas Security of Supply Study KA Policy Note Strategy Reform KA (ongoing) (additional task, (outputs / draft  IDF grant: Forestry Sector Institutions ongoing) reports Reform Support (ongoing) delivered as  IDF grant: Strengthening the National Trust planned, Eco-Fund’s Financing and Implementation ongoing) capacity (effective as of March 14, 2012)  Green Investment Scheme (GIS) Project (under preparation)  Regional KA: Implementation of the Markets in Financial Instruments Directive (MIFID) report (additional task, completed)  IFC advisory services: Private sector participation and pilot Public Private Partnership project in water (ongoing) Pillar 2:  Competitiveness  Road Infrastructure Rehabilitation Project  Roma Inclusion KA Strategies and Through (ongoing) (ongoing, potential Institutions to Innovation FBS  TTFSE2 Project (ongoing) FBS under Accelerate EU (under  Municipal Infrastructure Development discussion) Funds preparation) Project (ongoing) Absorption  Roads Sector FBS (under preparation)  Railway Sector FBS (on hold)  Climate Change & Green Growth (potential Climate Change FBS under discussion)  Water Sector Strategy KA (KA delivered, FBS under preparation) Pillar 3:  Education  Railway Sector DPL (on hold) Complementing System Results  Railway Infrastructure Rehabilitation EU Financing Based Project Project (on hold) (dropped)  IFC financing: 12 active projects in power sector (renewable energy / energy efficiency), financial markets, oil & gas and general manufacturing, industry; several projects under discussion. Largest photovoltaic project in SE Europe signed for a total IFC participation of EUR86 million. World Bank-funded Knowledge and Advisory Services (KA): World Bank’s own resources were targeted on a selected number of knowledge and advisory products focused on policy reforms, sector strategies and strengthening institutional capacity for increased EU funds absorption. The agreed FY11-12 knowledge and advisory services program is being delivered as planned, although with some delays on certain tasks. It includes support for the pre-university and higher education sector, support for the Water Sector Strategy preparation, Public Expenditures for Growth and Competitiveness Policy Note, Innovation Policy Note “Going for Smart Growth: Making Research and Innovation Work for Bulgaria�, Regulatory Reform series, Programmatic Crisis Monitoring report "Bulgaria: Household Welfare during the 2010 Recession and Recovery", support for development and implementation of a National Roma Integration Strategy, as well as support for the elaboration of a National Adaptation Strategy. The Gas Security of Supply Study, which faced some delays, is expected to be finalized by end June. Following a request from the Ministry of Health, the update of the health sector policy note was added. The World Bank has also conducted a study on the Implementation of the Markets in Financial Instruments Directive (MIFID). Fee Based Knowledge & Advisory Service (FBS KA): As agreed in the CPS, the Government and the World Bank have been forging a new and innovative form of partnership, with the World Bank stepping up the traditionally strong policy dialogue with the government through planned provision of fee-based knowledge and advisory services. While important steps have been taken to create the framework for this new form of partnership, no service agreement has been signed yet, i.e. implementation is delayed.  The signing of Memorandum of Understanding (MoU) between the Government of Bulgaria and the World Bank on partnership and support in the implementation of the EU Structural Funds on January 22 marked an important milestone in the partnership with Bulgaria and a key step towards CPS implementation. The MoU covers 6 areas for a stepped-up fee-based knowledge and advisory partnership, namely roads, environment (incl. water), railways, innovation, business regulatory environment, and Roma inclusion.  High level visits: (i) World Bank Vice President for Europe and Central Asia, Philippe Le Houérou’s visit in January 2012 further advanced the innovative knowledge partnership with Bulgaria through the signing of the MoU; (ii) World Bank Group Vice President for Financial and Private Sector Development, Janamitra Devan’s visit in February 2012 focused on innovation and business environment, the two areas where FBS work is under preparation and FBS agreement on Innovation is expected to be signed by June. Financing program: The indicative lending program included a Programmatic Railway Sector Development Policy Loan of Euro 80 million (US$ 115.9 million equivalent) and a Euro 70 million (US$ 101.4 million equivalent) Railway Infrastructure Rehabilitation Project. After completion of negotiations on 1 August 2011, the Ministry of Finance put on hold processing of these two operations. While the ambitious reforms in the railway sector undertaken in the first year of CPS implementation are built on a joint MoU and agreed reform matrix, the Government decided to temporarily put on hold these two operations until further reform efforts materialize, including privatization of BDZ freight. At the request of the government, all projects in the portfolio have been restructured to respond to evolving Government priorities and EU funds utilization. This has resulted in recent notable improvement in project implementation: the share of portfolio at risk has been reduced (currently 25 percent or one project in problem status, namely the Municipal Infrastructure Development Project, compared to 75 percent or 3 projects several months ago). Disbursements have considerably picked up reaching 16.3 percent as of end March 2012 compared to overall 6.7 percent in FY11 (the lowest disbursement ratio in the last fifteen years). These encouraging results are also due to strong Ministry of Finance leadership and commitment to the joint quarterly program implementation stocktaking. Potential Green Investment Scheme (GIS) Project: After some delays on reaching agreement on the Letter of Intent (LoI), Government and World Bank teams are proceeding with the preparation of a Green Investment Scheme (GIS) Project related to the envisioned signing of an AAU purchase agreement. Grants: In April 2011 the World Bank approved a grant under its Institutional Development Fund (IDF) in the amount of US$ 0.2 million to finance Strengthening of Bulgaria’s National Trust Eco- Fund’s financing and implementation capacity. An extension of effectiveness was needed for the Government to complete all internal approval procedures confirming effectiveness. The process was completed in March 2012 and the grant is ready for implementation. Annex 2: World Bank Group Bulgaria Country Partnership Strategy 2011-2013: Implementation Progress as of March 2012 Dev’t Goals CPS Imple- mentation Progress2 Country Outcomes influenced by Milestones to Assess Implementation WBG program during WBG contribution Progress partnership period1 Innovation Competitiveness through Innovation KA:  MoEET prepared draft Bill on Innovation; Strengthened policies, A  Regional Innovation Policy Forum, June  Concept for Innovation Strategy currently aligned instruments and 2011 – participation of high level policy discussed by MoEET. effective institutions for makers, private sector and academia high quality R&D representatives from Bulgaria.  Innovation report “Going for Smart Growth: Making Research and Innovation Work for Bulgaria�, presented and discussed at the high level Innovation and Research Forum February 2012. Education Pre-university education KA:  New legislation improving the Improved quality of basic A  Presentation of the following reports: accountability framework in pre-university and secondary education “Bulgaria: Benchmarking School Autonomy education was approved by the Government. by strengthening the and Accountability in Selected European Adoption by Parliament is due in early accountability framework; Countries�, 2011; “Bulgaria: Using students Autumn 2012; Policy Reforms for National Reform Program to Implement Europe 2020 Strategy Improved quality and assessment for estimating the value added of  Elements of performance-based funding of relevance of higher schools�, June 2011, and “Bulgaria: higher education institutions (HEIs) education through Development and Accreditation of School introduced through amendments in the strengthened governance, Directors�, 2011 current Higher Education Act. Quality accreditation and assurance framework was improved by (i) performance-based funding Higher Education KA:  Just in time policy advice, and allowing international evaluation of  Policy paper “Strengthening Higher education Bulgarian HEIs by European Association for in Bulgaria: Options for Improving the models Quality Assurance in Higher Education for governance, quality assurance and (ENQA) and European Quality Assurance financing of higher education�, March 2012. Register (EQAR) member agencies, (ii) changing the system for accreditation grading, and (iii) revising the evaluation criteria with greater focus on quality of education. Further efforts are needed to improve the governance model of HEIs and to enhance the impact of performance-based funding. Public Finance and  Public Finance Policies for Growth and  COM approved two ordinances on public Public Administration E Competitiveness KA sector pay and performance evaluation; Improved efficiency and  The Government did not seek further Bank effectiveness of public support in public finance policy analysis. expenditures Competitiveness - Regulatory Reform KA:  Implementation of 70% of the GoB Action Business Regulation E  Policy advice on regulatory reform based on Plan for Reduction of Administrative Reduction of administrative 2010 “better regulation� report Burden; burdens at central and local  Administrative Burden Survey of 11 large  Doing Business 2012: Bulgaria ranks 59 – levels, through effective municipalities undertaken and results sharedtwo positions below 2011 ranking – not implementation of the with stakeholders much progress made since 2004 in the area Better Regulation Program of resolving insolvency as well as and the Administrative enforcement of contracts. Burden Reduction Action  Survey of 11 municipalities indicates: (i) Plan lack of unified administrative services and procedures; (ii) limited utilization of e- government; (iii) inefficient administrative process; (iv) uncoordinated inspections.  MoEE introduced amendments to the Law for Limiting Administrative Regulation and Administrative Control on Economic Activities. Green Growth and Climate Change and Green Growth KA:  Preparation of the National climate change Climate Action E  Climate Change National Adaptation adaptation strategy is ongoing Reduce energy Strategy stocktaking workshop, March 2012  Several activities ongoing to increase consumption in buildings  The Government did not seek the Bank’s awareness on climate change and the need to 1 Country outcomes to which World Bank Group interventions are contributing. 2 CPS implementation progress is assessed against the LEADS methodology. See details on the last page. Annex 2: World Bank Group Bulgaria Country Partnership Strategy 2011-2013: Implementation Progress as of March 2012 Dev’t Goals CPS Imple- mentation Progress2 Country Outcomes influenced by Milestones to Assess Implementation WBG program during WBG contribution Progress partnership period1 through scaled-up program support in the development of models to take action. to improve energy reduce energy  Carbon trading schemes have been recently efficiency in public and launched. residential buildings Gas Security of Supply Study ongoing Improved resilience to climate change and Forestry Sector Institutions Reform strengthen carbon trading Support IDF Grant: management  Final draft of the program for forestry sector reform monitoring almost completed;  Training of senior and expert staff of the Executive Forestry Agency underway. Social Inclusion, Roma Inclusion KA:  National Roma Integration Strategy Including Roma A  Supported development and implementation approved by Parliament and sent to the of a National Roma Integration Strategy, European Commission. Increased social inclusion incl. holding of the National meeting to  National Council for Cooperation on Ethnic by developing better discuss the National Strategy of the and Integrational Issues in the process of integrated mechanisms for Republic of Bulgaria on Roma Integration becoming the focal coordination point of all inclusion of vulnerable (2012-2020) in November 2011; and the Roma integration strategic decisions and groups, including early conference Managing for Results: Effective actions; childhood development, as Monitoring and Evaluation of the National  Increased availability of funds for piloting well as increased use of EU Strategy for Roma Integration of the innovative inclusive services for children funds Republic of Bulgaria (2012-2020) in under age 7 at municipal level: more than 70 January 2012. small municipal infrastructure projects Increase participation of Roma population in society approved, and 60 are under implementation. Social Inclusion Project Provision of services to start upon through stepped-up, integrated, transparent and completion of civil works, expected by mid- results-focused national Programmatic Crisis Monitoring KA 2012. strategy and actions  Report “Household welfare during the 2010 recession and recovery� presented in February 2012 Roads Road Infrastructure Rehabilitation Project  Completion of Roads project lots 1, 2 and 3, Strengthened road sector A or total of 125 km roads rehabilitated Strategies and Institutions to Accelerate EU Funds Absorption governance, management Second Trade and Transport Facilitation  Appointment of a Highway Adviser to and EU funds absorption Project (TTFSE2) MRDPW/RIA capacity  Improvements at Kapitan Andreevo border Improved roads and border crossing point led to significant reduction of infrastructure border processing time (36% improvement in transit time over the last 6 months compared to 2010 benchmark);  Construction of 3.4 km access road to Kapitan Andreevo underway. Environment, Water Municipal Infrastructure Development  The preparation of water Master Plans for and Agriculture A Project the whole country has been launched in Increased EU-financed December 2011. While this action has been investments in the water Water Sector Strategy KA: taken with substantial delays it sets the basis sector through strategic  Provided limited support for the preparation for the adequate preparation of the next priority setting, water of the Water Resource Management programming period and hence provides the master plans, and Strategy, and for the scoping of a sub-sector basis for better absorption of EU funds strengthened institutional strategy for Water Supply and Sanitation, during the next programming period; capacity including organization of a workshop on  Completion and rehabilitation of Luda Yana, Efficiency and Sustainability of the Plovdivtzi, Neykovtzi and Studena dams Bulgarian Water Supply and Sewerage started with the preparation and approval of Sector in May 2011. detailed spatial development plans for the first three dams; contract for design of Plovdivtzi dam is under implementation. Annex 2: World Bank Group Bulgaria Country Partnership Strategy 2011-2013: Implementation Progress as of March 2012 Dev’t Goals CPS Imple- mentation Progress2 Country Outcomes influenced by Milestones to Assess Implementation WBG program during WBG contribution Progress partnership period1 Railways  Analytical support for the Railway sector  Staff appointed at MoTITC to exercise its Complementing EU Financing Financially sustainable and A reform program provided during the policy, contractual, and ownership roles modernized railways preparation of the potential DPL railway  MoTITC initiated procedure for system sector operation including just-in-time privatization of BDZ Freight EOOD support related to the reform agenda  BDZ EAD implements program for financial restructuring, operations optimization, and increasing productivity through staff and asset restructuring  NRIC implements a plan for structure and operation optimization, and increase of productivity through staff and asset restructuring. This matrix presents an assessment (against the LEADS methodology – see below) of country progress related to the CPS results matrix. It recognizes country achievements over the last 12 months, taking into account World Bank Group contributions. Country level results are influenced by multiple factors and cannot be directly attributed to the partnership with the World Bank Group or any other single factor alone. Given that this matrix assesses progress after the first year of CPS implementation, it is to be expected that in most areas further progress is needed to achieve the results stated in the CPS. The LEADS methodology is drawn from a review of Poverty Reduction Strategies in 59 countries. The LEADS methodology forms the basis for the formulation of targets and assessment criteria of Paris Declaration Indicators 1(operational development strategies) and 11 (results-oriented frameworks). The methodology enables an assessment of the extent of action taken toward achieving development objectives. The assessments are judgment-based and reflect the direction in which concrete actions are moving toward fulfilling these objectives, rather than absolute progress. L (little or no progress): Action remained at a virtual standstill, due to a variety of circumstances, such as political developments, capacity constraints, and unforeseen events. E (elements exist/being considered): There is some basis for progress, either through what already exists or through definite plans. A (action being taken): Progress was made, although yet insufficient, and the basis exists for more substantive progress. D (largely developed): Significant action has already been taken, although further action is needed. S (substantially in place): The activity is virtually accomplished, with mechanisms in place to adapt and sustain it over time. Annex 3: BULGARIA – WORLD BANK PARTNERSHIP PROGRAM MATRIX AS AGREED IN APRIL 2012 Ministry FY12 Ongoing Tasks 2012/2013 Ongoing/Planned/Potential Tasks Ministry of Finance TTFSE2 Project (ends Dec. 2013) TTFSE2 Project (ends Dec. 2013) (World Bank Governor) Public Expenditures for Growth and “Golden Growth� KA - application for Bulgaria Competitiveness Note Potential Business Regulatory Environment FBS KA under discussion (financed by OP “Administrative Capacity�); counterparts: Council for Administrative Reform at MoF, MoEE, CoM Strategic Development and Coordination Directorate Council of Ministers / FBS overall coordination MoU/standard FBS FBS overall coordination EU Funds Management contract Council of Ministers Roma inclusion KA, including support for National Cooperation on Roma Integration KA Administration of the National Roma Integration Strategy, Gender Dimension of Council for Cooperation on Roma Inclusion Potential Roma Integration FBS KA under discussion (financed by Ethnic and Integrational Issues OP “Administrative Capacity� or OP “Human Resources Development�); in partnership with respective line ministries Ministry of Regional Road Infrastructure Rehabilitation Project Road Infrastructure Rehabilitation Project Development and Public (ends June 2013) (ends June 2013) Works Municipal Infrastructure Development Project Municipal Infrastructure Development Project (ends Dec. 2015) (ends Dec. 2015) Water Sector KA FBS KA support to RIA: Improving Roads Sector Performance, Capacity and EU Funds Absorption (financed by OP “Transport�) FBS KA: Improving efficiency and sustainability of the water supply and sewerage sector and the absorption of EU funds (financed by OP �Environment�) Ministry of Environment and IDF Grant: Strengthening the National Trust Eco- IDF Grant: Strengthening the National Trust Eco-Fund financing Water Fund financing and implementation capacity and implementation capacity Climate Change/Green Growth KA Climate Change National Adaptation Strategy KA Water Sector KA Potential Climate Change FBS KA under discussion including additional support to preparation of National Climate Change Adaptation Strategy (financed by OP �Environment�) Ministry of Transport, Potential lending: Railway Sector Reform Potential new lending: Railway Sector Reform Information technology and Communications LEGEND: WB-funded Knowledge & Advisory Service (KA) Fee Based Knowledge & Advisory Service (FBS KA) Annex 3: BULGARIA – WORLD BANK PARTNERSHIP PROGRAM MATRIX AS AGREED IN APRIL 2012 Ministry FY12 Ongoing Tasks 2012/2013 Ongoing/Planned/Potential Tasks Ministry of Labor and Social Social Inclusion Project (currently scheduled to Social Inclusion Project (scheduled to end Oct. 2013; extension Policy end Oct. 2013) planned) Roma inclusion KA, including support for National KA: Optimizing and integrating social benefits and employment Roma Integration Strategy, Gender Dimension of services provision (in coordination with EU-funded projects) Roma Inclusion Programmatic Crisis Monitoring Work Ministry of Economy, Energy Competitiveness Through Innovation KA Innovation FBS KA (financed by OP “Competitiveness�), in and Tourism coordination with Ministry of Education Regulatory Reform KA Gas Security of Supply Study Ministry of Education, Youth Programmatic Education TA Education Sector KA, including Secondary and Tertiary Education, and and Science Skills for Competitiveness and Jobs Regional Higher Education TA Ministry of Health Update of Health Sector Policy Note Health Sector KA: Development of good practices model for the future drug policy Potential FBS KA under discussion: Support health sector preparation for next EU funds programming period (financing tbc) Ministry of Agriculture / IDF Grant: Forestry Sector Institutions Reform IDF Grant: Forestry Sector Institutions Reform Support (ends Executive Forestry Agency Support (ends August 2013) August 2013) Potential Green Investment Scheme (GIS) Project (under preparation), in partnership with respective line Ministries involved in the sale of AAU emission rights Potential FBS KA agriculture/irrigation under discussion (financed by Rural Development Program) Financial Supervision Regional KA: Implementation of the Markets in KA: Financial consumer protection – improving capacity of Financial Commission Financial Instruments Directive (MIFID) report Supervision Commission LEGEND: WB-funded Knowledge & Advisory Service (KA) Fee Based Knowledge & Advisory Service (FBS KA) Annex 4: Action plan, covering measures and intervention of International Financial Institution's (IFIs) experts under Operational Programs co-financed by EU Structural and Cohesion Funds in the Republic of Bulgaria Deadline Bank/Finan Project Completion for Source of No cial Field of expertise amount Beneficiary Activities Date of IFIs activities Financing Institution (MEUR) commitments completion 1 2 3 4 5 6 7 8 9 Sector "Transport" Sub-sector "Roads" To support the preparation of strategic documents (preparation of a five-year strategic business plan and an annual TA for road The World action plan of the Road Infrastructure 2 sector efficiency 4 MEUR MRDPW Jun-14 Jun-14 OP "Transport" Bank Agency, development of Road Safety improvement strategy) and methodologies for optimizing analyses and control via modern technologies. Sector "Environment": sub-sector "Water" To support the process of preparation of strategic documents: Water and TA for Water and Sewerage strategy; public expenditure The World Sewerage sector 1,7 review of the water and sewerage 1 MRDPW 2012-2013 2012-2013 OP "Environment" Bank reform MEUR services; review of the regulatory implementation framework and Water and Sewerage sector efficiency program improvement; strategic financial plan. Sector "Competitiveness" Sub-sector "Innovations" 608 thsnd To support the preparation of smart OP 1 MEET Dec-12 Dec-12 EUR strategy "Competitiveness" To support the identification of TA for the 402 thsnd appropriate mesuares to enhance OP 2 MEET Jun-13 Jun-13 preparation of OP EUR innovations deployment , set out for the "Competitiveness" The World 2014-2020 program period Innovations and Bank Entrepreneurship To support the identification and 165 thsnd OP 3 in 2014-2020 MEET formulation of huge innovation projects Jun-13 Jun-13 EUR "Competitiveness" outlined in the 2014-2020 period 146 thsnd To prepare an action plan: Service OP 4 MEET Dec-13 Dec-13 EUR provision for innovation implementation "Competitiveness"