The World Bank Implementation Status & Results Report Tackling Afghanistan’s Government HRM and Institutional Reforms (P166978) Tackling Afghanistan’s Government HRM and Institutional Reforms (P166978) SOUTH ASIA | Afghanistan | Governance Global Practice | IBRD/IDA | Investment Project Financing | FY 2019 | Seq No: 2 | ARCHIVED on 19-Sep-2019 | ISR38498 | Implementing Agencies: Independent Administrative Reform and Civil Service Commission, Islamic Republic of Afghanistan Key Dates Key Project Dates Bank Approval Date: 19-Dec-2018 Effectiveness Date: 01-Jan-2019 Planned Mid Term Review Date: 30-Jun-2020 Actual Mid-Term Review Date: Original Closing Date: 31-Dec-2021 Revised Closing Date: 31-Dec-2021 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) To strengthen the capacity of selected line ministries and agencies through merit-based recruitment of key positions, improved personnel management, and better HR planning. Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Component 1: Human Resource Capacity Injection:(Cost $54000000.00 M) Component 2: Personnel and Payroll Management:(Cost $15000000.00 M) Component 3: Support to Administrative Reforms:(Cost $6000000.00 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Satisfactory Overall Implementation Progress (IP) Satisfactory Satisfactory Overall Risk Rating High High Implementation Status and Key Decisions The Tackling Afghanistan’s Government Human Resource Management (HRM) and Institutional Reforms (TAGHIR) Project became effective on January 1, 2019. The three-year project is co-financed through a US$50 million Afghanistan Reconstruction Trust Fund (ARTF) grant and a US$25 million International Development Association (IDA) grant. TAGHIR's Project Development Objective is “to strengthen the capacity of selected line ministries and agencies through merit-based recruitment of key positions, improved personnel management, and better HR planning.” The project focuses on four key results areas: (i) Civil servants appointed in priority Line Ministries and Agencies (LMAs) following approved strategic staffing plan for targeted capacity ‘surge’; (ii) Civil servants in priority LMAs transitioned from project to core government budget financing; (iii) Priority LMAs that meet minimum benchmark targets related to reduction in 9/19/2019 Page 1 of 7 The World Bank Implementation Status & Results Report Tackling Afghanistan’s Government HRM and Institutional Reforms (P166978) number of National Technical Assistants (NTAs); and, (v) Human Resource Management Information System (HRMIS)/ Payroll rolled-out in at least five (5) LMAs. The project responds to a context in which the size of the Afghan civil service has almost doubled since 2002, putting a substantial burden on the national budget. Despite this growth, few civil servants have adequate educational qualifications, especially at the sub-national level. Political vulnerabilities of public sector recruitment processes, particularly for senior appointments, contribute to this situation. The establishment control system (Tashkeelat) is also a constraint on the efficient allocation of human resources, inhibiting prioritization of resources to policy objectives. Compounding this problem is the lack of a functional Human Resource Management Information System (HRMIS), obstructing efforts to automate payroll and increasing vulnerability to misuse of public funds. In this context, many donor-funded programs have hired non-civil service staff (known as “NTAs”). While this form of assistance has helped to address short-term capacity gaps and support urgent development objectives, it is increasingly unsustainable. Higher NTA salaries have contributed to luring talented professionals away from civil service positions through higher pay. Meanwhile, NTAs have often been used to directly administer core government functions rather than building long-term state capacity, limiting ownership and accountability of policy reform. To address these challenges, the World Bank Group has been providing financing for civil servant salaries at NTA rates through the Capacity Building for Results (CBR) Facility since 2012. This approach has been used to build accountability and policy ownership by government. The proposed Project is aligned with the first pillar of the WBG’s Afghanistan Country Partnership Framework (CPF) for Fiscal Years 2017-2020 discussed by the Board on October 27, 2016. The project is therefore designed to support the Government of the Islamic Republic of Afghanistan (GoIRA) to achieve its commitment of transitioning away from CBR’s projectized approach to full budget funding of key civil service positions. Given that it is not able to do so immediately due to fiscal constraints, an upfront financing strategy and partnership has been agreed with the GoIRA in line with fiscal space considerations and underlying assumptions regarding LMAs to be prioritized. TAGHIR will thus help to provide an orderly transition (‘de-projectization’) for those ‘legacy’ appointees supported by CBR that the GoIRA deems as priority positions to avoid a disruption in government operations with nearly half of the currently contracted CBR posts key Director General and Director level positions responsible for priority government policies and programs. The project aims to further strengthen strategic human resource planning (via strategic staffing plans for targeted capacity ‘surge’) and merit-based recruitment processes. The project will help to strengthen establishment control and personnel management and contribute to more reliable payroll management through the establishment of a functional HRMIS integrated with payroll. Technical assistance will be availed through the project to support implementation of these administrative reform processes. Progress towards achievement of PDO and Overall Implementation Progress of the TAGHIR project are currently rated as "Satisfactory". Key implementation developments secured to date include: (a) Human Resource Capacity Injection. 642 'legacy' CBR positions, identified by Government as strategically relevant to the key higher-level objectives that TAGHIR human resource capacity injection is intended to contribute, have been fully transitioned to TAGHIR. As part of the project's financing partnership, the Pay & Grading (base) component of these civil servants pay is now directly financed on core government budget. In terms of new human resource capacity injection, strategic staffing plans and accompanying performance benchmarks have been endorsed for 14 of TAGHIR's 16 priority ministries and independent agencies. Strategic staffing plans have identified around 400 new staffing positions, of which 113 are currently in various stages of recruitment. (b) Personnel and Payroll Management: Development of a national HRMIS has been considerably advanced with six modules now completed. These are: (1) TASHKEEL: Organizational Structure module; (2) SAWANIH - Personnel Profile module; (3) Biometric Collection module; (4) Biometric Enrollment module; (5) TANZIMAT: Settings module; and (6) Users module. These modules have been launched across 36 LMAs, with 380,000 Tashkeel positions (across these LMAs) entered into the system. Biometric enrollment into the HRMIS is being piloted in the Ministry of Education (MoE) which accounts for two-thirds of the civil service workforce. Biometric data collection, carried out in coordination with the National Statistics and Information Authority (NSIA) and in line with the biometric standards it has set, has to date been completed for 70,000 MoE staff. Biometric enrollment into the HRMIS has been completed for 50,000 of these staff, across the central ministry, Kabul, Nangarhar, Kunar and Laghman provinces. Beyond MoE, biometric data and enrollment has been completed for around 22,000 more civil servants across the same provinces. (c) Support to Administrative Reforms: Following its amendment of the Civil Servants Law and its approval by Cabinet in March 2018, IARCSC has advanced in the development and enactment of critical subsidiary policies, regulations and procedures required to support implementation of the amended law. These include a Civil Service Pay Policy; a Policy for Increasing Women’s Inclusion; customs and procurement cadre regulations; and a mass recruitment general procedure. Risks Systematic Operations Risk-rating Tool 9/19/2019 Page 2 of 7 The World Bank Implementation Status & Results Report Tackling Afghanistan’s Government HRM and Institutional Reforms (P166978) Risk Category Rating at Approval Previous Rating Current Rating Political and Governance High High High Macroeconomic High High High Sector Strategies and Policies Substantial Substantial Substantial Technical Design of Project or Program Substantial Substantial Substantial Institutional Capacity for Implementation and Sustainability High High High Fiduciary High High High Environment and Social Low Low Low Stakeholders Substantial Substantial Substantial Other High High High Overall High High High Results PDO Indicators by Objectives / Outcomes Strengthened capacity of selected LMAs through merit-based recruitment of key positions. IN00742210 ►Civil servants appointed in priority LMAs following approved strategic staffing plan for targeted capacity 'surge'. (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 83.00 100.00 Date 01-Oct-2018 12-Apr-2019 09-Sep-2019 30-Jun-2020 This indicator measures the proportion of TAGHIR civil servant appointments that are mapped to targeted ‘pockets of effectiveness’ as identified in LMA strategic staffing plans for targeted capacity surge. These include those 'legacy' positions that are vetted again in the staffing plan. Comments: Achievement under this indicator is currently at 83 percent (542 of 655 positions). All 13 newly contracted positions derive from strategic staffing plans, whereas 529 of the 642 'legacy' positions transitioned from CBR to TAGHIR are included in strategic staffing plans. The remaining 113 relate to MoE (31) and MoPH (82) that are constrained from submitting strategic staffing plans until completion of functional review. Strengthened capacity of selected LMAs through better HR planning. IN00742216 ►HRMIS/Payroll rolled-out in at least 5 LMAs. (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 5.00 Date 01-Oct-2018 12-Apr-2019 09-Sep-2019 31-Dec-2021 This indicator measures progress towards roll-out of HRMIS/Payroll in LMAs. Comments: 9/19/2019 Page 3 of 7 The World Bank Implementation Status & Results Report Tackling Afghanistan’s Government HRM and Institutional Reforms (P166978) Achievement under this indicator is currently at 0 as the system is currently still under development, although roll-out of developed portions of the system is currently being piloted in the MoE. Developed HRMIS modules have also been launched across 36 LMAs (including MoE). Strengthened capacity of selected LMAs through improved personnel management. IN00742217 ►Civil servants in priority LMAs transitioned from project to core government budget financing. (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 100.00 100.00 100.00 Date 01-Oct-2018 12-Apr-2019 09-Sep-2019 31-Dec-2021 This indicator measures the proportion of TAGHIR civil servant appointees in priority LMAs that are transitioned into regular payroll; at a minimum on P&G rates. Achievement of this target is required to reach 100% at project effectiveness and be maintained at this level throughout and beyond project completion. Budget provisions should also be in place (starting from project effectiveness) to transition financing of P&G pay of ‘legacy’ appointees not carried over into TAGHIR into regular payroll. Comments: Achievement on this indicator is currently at 100 percent as all 655 positions within TAGHIR receive P&G pay directly from core government budget and as part of regular payroll. In terms of the sub-indicator on transition as professional cadres, this can only be assessed two years into project implementation i.e. once the first batch of TAGHIR contracts end. IN00742218 Civil servants in priority LMAs transitioned from project to core government budget financing as permanent professional cadres. (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 20.00 Date 01-Oct-2018 12-Apr-2019 09-Sep-2019 31-Dec-2021 IN00742219 ►Priority LMAs that meet minimum benchmark targets related to reduction in number of NTAs. (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 11.00 Date 01-Oct-2018 12-Apr-2019 09-Sep-2019 31-Dec-2021 This indicator measures priority LMA achievement of agreed NTA reduction targets. The indicator is directly relevant to those 11 priority LMAs receiving new staffing allocations under TAGHIR. Achievement on this indicator is recorded as 0 as achievement of performance benchmarks, including Comments: related to NTAs, are due to first be measured (together with annual appointees' performance appraisal) at the end of year 1 of TAGHIR implementation (December 2019). Moreover, this indicator will take time to mature in terms of achievement. Intermediate Results Indicators by Components Component 1: Human Resource Capacity Injection IN00742220 9/19/2019 Page 4 of 7 The World Bank Implementation Status & Results Report Tackling Afghanistan’s Government HRM and Institutional Reforms (P166978) ►Civil servant positions held by women. (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 7.50 11.60 11.50 10.00 Date 01-Oct-2018 12-Apr-2019 09-Sep-2019 31-Dec-2019 This indicator measures the proportion of civil servant positions recruited into priority LMAs that are held by women. This includes 'legacy' appointees carried-over from CBR. The target for this indicator is set at 10 percent by project closing but this is considered a minimum benchmark. LMA quotas and creative solutions such as female-only positions will be adopted to promote an increase in female participation. Achievement on this indicator has increased from 7.5 percent to 11.5 percent, however this is not a result of a spike in female recruitment. The increase in proportion is due to the fact that out of 1,053 'legacy' Comments: CBR positions, only 642 were transitioned to TAGHIR, while to date, recruitment of only 13 new positions has been completed. The number of civil servant positions supported by the project held by women currently stands at 75 positions. This is one less than the final CBR achievement of 76, as although of the 13 new TAGHIR recruits, 2 are women, 3 of the 'legacy' CBR cohort have since resigned. With new affirmative action measures being implemented under TAGHIR, achievement is expected to considerably increase as new recruitment peaks. IN00742223 ►Civil servants that meet minimum individual performance targets, as determined in Job Descriptions. (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 75.00 Date 01-Oct-2018 12-Apr-2019 09-Sep-2019 31-Dec-2021 This indicator measures the contribution of TAGHIR appointees to LMA-level results, as determined by achievement of key performance indicators in Job Descriptions. The baseline value for this indicator is set at 0 as CBR did not build-in individual performance metrics. Achievement on this indicator is recorded as 0 percent. This does not mean that performance indicators Comments: are not being met but rather performance metrics which have now been built into civil servant Job Descriptions are planned to be evaluated as part of the annual performance appraisal cycle which is not yet due (due in December 2019). The same applies to the sub-indicator on "Female civil servants that meet minimum individual performance targets, as determined in Job Descriptions". IN00742224 Female civil servants that meet minimum individual performance targets, as determined in Job Descriptions. (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 75.00 Date 01-Oct-2018 12-Apr-2019 09-Sep-2019 31-Dec-2021 Component 2: Personnel and Payroll Management IN00742221 ►Priority HRMIS functionalities established. (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 01-Oct-2018 12-Apr-2019 09-Sep-2019 31-Dec-2021 9/19/2019 Page 5 of 7 The World Bank Implementation Status & Results Report Tackling Afghanistan’s Government HRM and Institutional Reforms (P166978) This indicator measures progress towards establishing and enabling priority HRMIS functionalities through which enforcement of reforms can be monitored and ensuring changes to rates of pay and the Tashkeel are implemented in practice. These functionalities include: Civil Service Workforce Management; Payroll Management; and Position and Establishment Management. Comments: Three key HRMIS modules have been established (six in total have been developed): Civil Service Workforce Management, Position and Establishment Management, and Biometric Enrollment. Development of Payroll Management is ongoing. Verification of the fit for purpose of these modules is also required and a functionality testing is planned for this purpose. In the interim, achievement on this indicator is recorded as "No" but with due reference to the above-noted progress. Component 3: Support to Administrative Reforms IN00742222 ►Database prepared on existing parallel structures, that captures information on donor assistance, including off-budget. (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 01-Oct-2018 12-Apr-2019 09-Sep-2019 31-Dec-2021 This indicator measures progress towards consolidating information and data on existing parallel structures which is a pre-requisite to development of a phase-out plan to support institutional self-reliance in the medium term. Comments: This is not yet due but is being planned for in coordination with the Ministry of Finance as well as IARCSC. In the interim, achievement on this indicator is recorded as "No". Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P166978 IDA-D4130 Effective USD 25.00 25.00 0.00 2.13 22.94 8.5% P166978 TF-A9123 Effective USD 50.00 50.00 0.00 4.32 45.68 8.6% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P166978 IDA-D4130 Effective 19-Dec-2018 23-Dec-2018 01-Jan-2019 31-Dec-2021 31-Dec-2021 P166978 TF-A9123 Effective 17-Dec-2018 23-Dec-2018 01-Jan-2019 31-Dec-2021 31-Dec-2021 Cumulative Disbursements 9/19/2019 Page 6 of 7 The World Bank Implementation Status & Results Report Tackling Afghanistan’s Government HRM and Institutional Reforms (P166978) Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 9/19/2019 Page 7 of 7