Public Disclosure Copy The World Bank Implementation Status & Results Report Local and Regional Competitiveness Project (P154263) Local and Regional Competitiveness Project (P154263) EUROPE AND CENTRAL ASIA | Macedonia, former Yugoslav Republic of | Trade & Competitiveness Global Practice | Recipient Executed Activities | Investment Project Financing | FY 2016 | Seq No: 2 | ARCHIVED on 13-Oct-2016 | ISR25355 | Implementing Agencies: Cabinet of the Deputy Prime Minister for Economic Affairs Key Dates Key Project Dates Bank Approval Date:12-Jan-2016 Effectiveness Date:28-Jul-2016 Planned Mid Term Review Date:31-Jan-2018 Actual Mid-Term Review Date:-- Original Closing Date:31-Dec-2019 Revised Closing Date:31-Dec-2019 Project Development Objectives Project Development Objective (from Project Appraisal Document) The Project Development Objective (PDO) is to enhance the contribution of tourism to local economic development and improve the capacity of the government and public entities to foster tourism growth and facilitate destination management. Has the Project Development Objective been changed since Board Approval of the Project Objective? No PHRPDODEL Components Name Component 1: Technical assistance for tourism development (Bank executed):(Cost $1.42 M) Component 2: Strengthening destination management and enabling environment (Recipient executed):(Cost $1.35 M) Component 3: Investment in tourism-related infrastructure and linkages at destinations (Recipient executed):(Cost $21.81 M) Component 4: Strengthening project management (Recipient executed):(Cost $1.50 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO  Satisfactory  Satisfactory Overall Implementation Progress (IP)  Satisfactory  Satisfactory Overall Risk Rating  Moderate  Moderate 10/13/2016 Page 1 of 6 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Local and Regional Competitiveness Project (P154263) Implementation Status and Key Decisions The Grant Agreement between the World Bank and the Government of fYR Macedonia for the Local and Regional Competitiveness Project (LRCP) became effective as of July 28, 2016. The Grant Agreement was declared effective once the implementing agency (Cabinet of the Deputy Prime Minister for Economic Affairs) and the LRC Project Implementation Unit completed the effectiveness conditions: (i) The Project Implementation Unit (PIU) has been staffed with professionals in numbers and with experience and terms of reference acceptable to the World Bank; (2) The Project Operations Manual has been adopted by the Recipient in a manner acceptable to the World Bank. The implementing agency (Cabinet of the Deputy Prime Minister for Economic Affairs) has completed the appointment of members of the Steering Committee for the project. A first meeting of the Steering Committee is expected to be convened. The PIU has received training by the World Bank team on public-private dialogue, market assessment and segmentation, destination management, and monitoring and evaluation. The World Bank team has also worked with the PIU on environmental, social, and fiduciary (financial management and procurement) aspects of project implementation. In the coming months, the project will focus on (i) communications to a broad set of stakeholders, (ii) advancing activities on destination management at the local level (Component 2); iii) finalizing the Grants Manual (which will govern sub-grants to be funded by the project under Component 3 and is a condition for disbursement of funding for such grants); and iv) technical assistance for national-level policies, data collection, coordination, and public- private dialogue (with inputs to be provided by the World Bank team). The General Procurement Notice has been finalized and will be published in October. A first call for Expressions of Interest for sub-projects under Component 3 is expected to take place in February-March 2017, following sufficient progress on engagement at the local level through destination management. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance  Substantial  Substantial  Substantial Macroeconomic  Moderate  Moderate  Moderate Sector Strategies and Policies  Moderate  Moderate  Moderate Technical Design of Project or Program  Moderate  Moderate  Moderate Institutional Capacity for Implementation and Sustainability  Moderate  Moderate  Moderate Fiduciary  Substantial  Substantial  Substantial Environment and Social  Moderate  Moderate  Moderate Stakeholders  Substantial  Substantial  Substantial Other  --  --  -- Overall  Moderate  Moderate  Moderate Results Project Development Objective Indicators PHINDPDOTBL  Additional private investment generated in tourism-related activities at beneficiary destinations (US$, cumulative) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target 10/13/2016 Page 2 of 6 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Local and Regional Competitiveness Project (P154263) Value 0.00 -- 0.00 10000000.00 Date 15-Jan-2016 -- -- 31-Dec-2019 PHINDPDOTBL  Increase in tourism-related jobs in beneficiary destinations (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 7.00 Date 15-Jan-2016 -- -- 31-Dec-2019 PHINDPDOTBL  Reforms implemented that were identified through a consultative PPD destination management process (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 9.00 Date 15-Jan-2016 -- -- 31-Dec-2019 Overall Comments Intermediate Results Indicators PHINDIRITBL  Public and private stakeholders trained in destination management and development (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 11.00 200.00 Date 15-Jan-2016 -- 23-Sep-2016 31-Dec-2019 Comments The members of the PIU and staff of the Cabinet of the Deputy Prime Minister obtained training by the Bank team in destination management and development during the mission in September. 10/13/2016 Page 3 of 6 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Local and Regional Competitiveness Project (P154263) PHINDIRITBL  Increase in number of overnights by tourists in beneficiary destinations (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 12.00 Date 15-Jan-2016 -- -- 31-Dec-2019 PHINDIRITBL  New tour packages offered by tour operators (local and foreign) that include the project-supported destinations as a new offering (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 30.00 Date 15-Jan-2016 -- -- 31-Dec-2019 PHINDIRITBL  Private enterprises that participate in project-supported capacity-building activities (e.g. training, supplier development, others) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 300.00 Date 15-Jan-2016 -- -- 31-Dec-2019 PHINDIRITBL  Private enterprises that benefit from activities funded through the project’s grants (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 100.00 Date 15-Jan-2016 -- -- 31-Dec-2019 10/13/2016 Page 4 of 6 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Local and Regional Competitiveness Project (P154263) PHINDIRITBL  Private enterprises that benefit from activities funded through the project’s grants, owned or managed by a woman (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 15.00 Date 15-Jan-2016 -- -- 31-Dec-2019 PHINDIRITBL  Grant beneficiaries who consider that supported activities are subject to consultation and reflect their views (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 80.00 Date 15-Jan-2016 -- -- 31-Dec-2019 PHINDIRITBL  Share of local residents that are satisfied with tourism development in the destinations that benefit from the activities in the project (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 70.00 Date 15-Jan-2016 -- -- 31-Dec-2019 Overall Comments Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P154263 TF-A1779 Effective USD 17.76 17.76 0.00 0.26 17.50 1% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P154263 TF-A1779 Effective 14-Jan-2016 14-Jan-2016 28-Jul-2016 31-Dec-2019 31-Dec-2019 10/13/2016 Page 5 of 6 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Local and Regional Competitiveness Project (P154263) Cumulative Disbursements Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 10/13/2016 Page 6 of 6 Public Disclosure Copy