The World Bank Morocco - Second Rural Roads Project (P094007) REPORT NO.: RES25327 DOCUMENT OF THE WORLD BANK RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF MOROCCO - SECOND RURAL ROADS PROJECT APPROVED ON MAY 2, 2006 TO CAISSE POUR LE FINANCEMENT ROUTIER TRANSPORT & ICT MIDDLE EAST AND NORTH AFRICA Regional Vice President: Hafez M. H. Ghanem Country Director: Marie Francoise Marie-Nelly Senior Global Practice Director: Pierre Guislain Practice Manager/Manager: Olivier P. Le Ber Task Team Leader: Vincent Vesin The World Bank Morocco - Second Rural Roads Project (P094007) I. BASIC DATA Product Information Project ID Lending Instrument P094007 Specific Investment Loan Original EA Category Current EA Category Partial Assessment (B) Partial Assessment (B) Approval Date Current Closing Date 02-May-2006 30-Nov-2016 Organizations Borrower Responsible Agency Caisse pour le financement routier Project Development Objective (PDO) Original PDO The project's development objective is to increase rural populations' access to all-weather roads by supporting the Government's Second National Program of Rural Roads (NPRR2). Current PDO The objective of the Project is to increase rural populations' access to all-weather roads in support of the Guarantor's Program. Summary Status of Financing (US$ Millions) as of 10-Oct-2016 Net Ln/Cr/Tf Approval Signing Effectiveness Closing Commitment Disbursed Undisbursed IBRD-73780 02-May-2006 08-Sep-2006 04-Dec-2006 30-Jun-2014 60.00 69.36 0 IBRD-78760 29-Apr-2010 17-Jun-2010 14-Sep-2010 30-Jun-2014 81.52 81.29 0 The World Bank Morocco - Second Rural Roads Project (P094007) IBRD-83830 09-Jun-2014 22-Jul-2014 15-Oct-2014 30-Nov-2016 96.55 67.70 12.20 Policy Waiver(s) Does this restructuring trigger the need for any policy waiver(s)? No II. SUMMARY OF PROJECT STATUS AND PROPOSED CHANGES In the last Implementation Status Report (ISR) in date of June 2016, the project was rated satisfactory on all accounts: progress towards achievement of PDO, overall implementation progress, safeguards, procurement, and financial management. To date, the project continues to progress well, although a bit slower than anticipated, hence the present restructuring. The project's first two loans (73780 and 78760) are fully disbursed and closed, while the third loan (83830) is 87% disbursed two years after its effectiveness in October 2014. So far, the project has successfully supported the Government's Second National Program of Rural Roads (NPRR2), which has significantly increased the national rural access index from 54% in 2006 to 79% to date, through the improvement of 15,000 km of rural roads into all-weather rural roads. The only change proposed under this level-2 restructuring is to extend the project closing date by seven months from 30 November 2016 to 30 June 2017. This extension will allow for the entire use of the proceeds of loan 83830 by the Borrower and will ensure that the project achieves the PDO. There will be no change in PDO, in scope or nature of project activities, in implementation arrangements, or in safeguards and fiduciary policies. The extension was requested by the Caisse pour le Financement Routier (Borrower) in a letter sent to the Bank on 26 September 2016. The request is motivated by the fact that the remaining road works have not progressed as fast as anticipated over the past summer, due to various technical, organizational, and administrative constraints, which are currently being addressed. It should be noted that the requested 7-month extension corresponds in fact to only 3 months of additional time for roads works. Indeed, road works usually stop for 4 months between December and March because of bad weather. To date, all audit reports have been received, reviewed, and found acceptable by the Bank. The Bank team will continue to monitor closely the project to maintain pressure on stakeholders and make sure the project is completed by the proposed revised closing date. Provided that the closing date is extended to 30 June 2017, the Implementation Completion Report (ICR) will be completed within the following six months, i.e. by 31 December 2017. The World Bank Morocco - Second Rural Roads Project (P094007) III. DETAILED CHANGES LOAN CLOSING DATE(S) Original Revised Proposed Proposed Deadline Ln/Cr/Tf Status Closing Closing(s) Closing for Withdrawal Applications 30-Jun-2014, 01-Oct- IBRD-73780 Closed 30-Jun-2012 2014 IBRD-78760 Closed 30-Jun-2014 17-Nov-2014 IBRD-83830 Effective 30-Nov-2016 30-Jun-2017 31-Oct-2017