Public Disclosure Copy The World Bank Implementation Status & Results Report IRAQ EMERGENCY FISCAL STABILIZATION, ENERGY SUSTAINABILITY, & SOEs DPF (P155962) IRAQ EMERGENCY FISCAL STABILIZATION, ENERGY SUSTAINABILITY, & SOEs DPF (P155962) MIDDLE EAST AND NORTH AFRICA | Iraq | Macro Economics & Fiscal Management Global Practice | IBRD/IDA | Development Policy Lending | FY 2016 | Seq No: 1 | ARCHIVED on 04-Nov-2016 | ISR24571 | Implementing Agencies: Ministry of Electricity Key Dates Key Project Dates Bank Approval Date:17-Dec-2015 Effectiveness Date:19-Dec-2015 Planned Mid Term Review Date:-- Actual Mid-Term Review Date:-- Original Closing Date:31-Dec-2016 Revised Closing Date:31-Dec-2016 Program Development Objectives Program Development Objective (from Program Document) The operation is structured under three pillars which are also the program’s development objectives aimed at improving: (1) expenditure management; (2) sustainability of energy supply; and (3) transparency of state-owned enterprises. The first pillar includes reforms aimed at improving public wage reform, public investment and debt management, and the pension system. Within the second pillar, reforms focus on reducing gas flaring, expanding gas-to-power generation, and reducing electricity subsidies. The third pillar tackles the lack of transparency among financial and non-financial SOEs. PHRPDODEL Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO  --  Satisfactory Overall Implementation Progress (IP)  --  Highly Satisfactory Overall Risk Rating  --  High Implementation Status and Key Decisions A World Bank DPF mission visited Baghdad on March 19-23, 2016, and Amman from March 23 to 30, 2016, to assess progress towards the implementation of the Emergency Fiscal Stabilization, Energy Sustainability, and State-Owned Enterprise Transparency Development Policy Financing (DPF thereafter). The mission was composed of Eric Le Borgne (Lead Economist and co-Task Team Leader), Sibel Kulaksiz (Senior Economist and co-Task Team Leader), Lydia Habhab (Public Sector Analyst), and Lemya Ayub (Private Sector Development Analyst). The mission found that the Government of Iraq has shown progress in implementing the reforms. The mission assessed that 11 out of 12 result indicators are on track. The overall rating of the Implementation Status Report (ISR) of this DPF operation is Satisfactory. The ISR rating is based on the likelihood that the DPF result indicators are achieved by the target date of end-March 2017. Progress on some indicators (such as the one related to debt management) is relatively slow and a significant pick-up in speed of implementation is required to ensure that the targeted levels or status are reached by end-March 2017. Therefore, to ensure a positive development outcome from this DPF, continued actions are needed, as detailed in the mission aide-mémoire. 11/4/2016 Page 1 of 6 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report IRAQ EMERGENCY FISCAL STABILIZATION, ENERGY SUSTAINABILITY, & SOEs DPF (P155962) Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance  High  --  High Macroeconomic  High  --  High Sector Strategies and Policies  Substantial  --  Substantial Technical Design of Project or Program  Moderate  --  Moderate Institutional Capacity for Implementation and Sustainability  Substantial  --  Substantial Fiduciary  High  --  High Environment and Social  Moderate  --  Moderate Stakeholders  High  --  High Other  --  --  -- Overall  High  --  High Results Results Indicators PHINDIRITBL  Reduction in the basic annual salary of top public sector employees as a ratio of annual GDP per capita (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 1.90 -- -- 1.70 Date 01-Sep-2015 -- -- 31-Mar-2017 PHINDIRITBL  Percentage of capital projects valued at over US$500 million for which a feasibility study with cost-benefit analysis is done (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 3.00 -- -- 5.00 Date 01-Sep-2015 -- -- 31-Mar-2017 11/4/2016 Page 2 of 6 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report IRAQ EMERGENCY FISCAL STABILIZATION, ENERGY SUSTAINABILITY, & SOEs DPF (P155962) PHINDIRITBL  Approval and publication on the Ministry of Finance website of a public debt management strategy in line with international best practice (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value None -- -- Publication Date 01-Sep-2015 -- -- 31-Mar-2017 PHINDIRITBL  Improved financial sustainability of the State Pension Fund through better governance as measured by a 5 percent nominal reduction of the cash benefit spending of the National Board of Pension (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- -- 5.00 Date 01-Sep-2015 -- -- 31-Mar-2017 PHINDIRITBL  Reduced gas flaring—measured by the amount of additional (associated) gas processed (average MMscf per day) (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 656 MMscf -- -- 1070 MMscf Date 01-Dec-2014 -- -- 31-Mar-2017 PHINDIRITBL  Gas-to-Power Inter-ministerial Committee in place and an Action Plan developed (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value None -- -- Action Plan Date 01-Sep-2015 -- -- 31-Mar-2017 11/4/2016 Page 3 of 6 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report IRAQ EMERGENCY FISCAL STABILIZATION, ENERGY SUSTAINABILITY, & SOEs DPF (P155962) PHINDIRITBL  Fuel switching to generate power from petroleum products to gas—measured as total gas volume supplied to gas turbine power production (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 600 MMscf -- -- 840 MMscf Date 01-Dec-2014 -- -- 31-Mar-2017 PHINDIRITBL  Increased tariffs for energy-intensive consumers—measured by the retail price of electricity sold (in ID per kWh) (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value ID 30.74 kWh -- -- ID 31.05 kWh Date 01-Dec-2014 -- -- 31-Mar-2017 PHINDIRITBL  Improved service delivery—measured by total electricity sold (Megawatt hour(MWh), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 44000000.00 -- -- 47600000.00 Date 01-Dec-2014 -- -- 31-Mar-2017 PHINDIRITBL  Publication of a consolidated annual report on financial and employment metrics of non-financial SOEs (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value None -- -- Publication Date 01-Sep-2015 -- -- 31-Mar-2017 11/4/2016 Page 4 of 6 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report IRAQ EMERGENCY FISCAL STABILIZATION, ENERGY SUSTAINABILITY, & SOEs DPF (P155962) PHINDIRITBL  Ratio of state deposits in private banks to state deposits in all banks (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- -- 5.00 Date 01-Jan-2015 -- -- 31-Mar-2017 PHINDIRITBL  Progress in implementing FATF action plan (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Value zero actions -- -- 5 of 8actions Date 01-Jun-2015 -- -- 31-Mar-2017 Overall Comments Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P155962 IBRD-85770 Effective USD 1,200.00 1,200.00 0.00 1,200.00 0.00 100% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P155962 IBRD-85770 Effective 17-Dec-2015 17-Dec-2015 19-Dec-2015 31-Dec-2016 31-Dec-2016 Tranches Restructuring History There has been no restructuring to date. 11/4/2016 Page 5 of 6 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report IRAQ EMERGENCY FISCAL STABILIZATION, ENERGY SUSTAINABILITY, & SOEs DPF (P155962) Related Operations There are no related projects. 11/4/2016 Page 6 of 6 Public Disclosure Copy