Report and Recommendations to the Board on the Review of Inspection Panel’s Toolkit Chair Summary* October 31, 2018 The Executive Directors approved measures to (i) formally recognize the Inspection Panel’s advisory role in its mandate; (ii) issue clarifications on the use of Bank-Executed Trust Funds (BEFTs); (iii) formalize the Panel’s current practice to coordinate with the accountability mechanism of co- financier(s) to process the complaints in the most efficient and effective way possible; and (iv) update the procedures for sharing the IPN’s Investigation Report with requesters ahead of the Board meetings. Executive Directors also took note of management’s proposal to strengthen the Bank’s Grievance Redress Service (GRS), including maintaining a roster of expert mediators to facilitate resolution of complaints and to add a new escalation point to the World Bank’s CEO. Directors took note of management’s proposals to strengthen the World Bank’s existing process for supervising Management Action Plans (MAPs), including discussing MAP progress reports with the Board on a regular basis; sharing MAP progress reports with Requesters, soliciting feedback through follow-up consultations on their implementation status; and reflecting such feedback in the MAP progress reports to the Board. Directors underscored their commitment to strengthen and enhance the effectiveness of the World Bank’s accountability system and welcomed the constructive collaboration between the Inspection Panel and Management. They also highlighted the importance of consulting with borrowers and minimizing potential burden and costs to them. Therefore, they agreed to a time bound commitment for CODE to continue deliberations, taking into consideration all comments expressed by Executive Directors and carry out thorough and timely consultations with stakeholders, particularly borrowers. Directors agreed to continue for six months, deliberations on extending the time limit on eligibility of requests and options for monitoring of MAPs, independent of the Bank’s management. They also agreed to continue discussions on the potential to establish a dispute resolution function independent of the Bank’s management. Management, including legal, and the Panel, will assist the Board in this process. With these changes, the Board reaffirms the importance that Executive Directors give to the Inspection Panel and its contribution to improving the effectiveness of Bank policies and procedures and increasing the accountability of Bank Management and staff. _______________________________ *This Summary is not an approved record.