Public Disclosure Copy The World Bank Implementation Status & Results Report Strengthening the Effectiveness of the Social Safety Net Results-Based Financing Specific Investment Loan (P120913) Strengthening the Effectiveness of the Social Safety Net Results-Based Financing Specific Investment Loan (P120913) EUROPE AND CENTRAL ASIA | Moldova | Social Protection Global Practice | IBRD/IDA | Specific Investment Loan | FY 2011 | Seq No: 7 | ARCHIVED on 30-Nov-2014 | ISR17043 | Implementing Agencies: Key Dates Key Project Dates Board Approval date:09-Jun-2011 Effectiveness Date:26-Oct-2011 Planned Mid Term Review Date:22-Feb-2015 Actual Mid-Term Review Date:-- Original Closing Date:30-Jun-2016 Revised Closing Date:30-Jun-2016 Project Development Objectives Project Development Objective (from Project Appraisal Document) The development objective of the proposed project is to improve the efficiency and equity of Moldova's safety net through a fiscally sustainable expansion and strengthening of the Ajutor Social Program. Has the Project Development Objective been changed since Board Approval of the Project Objective? No PHRPDODEL Components Name Component 1. Results Area 1. Improved equity by increasing the Ajutor Social Program coverage while keeping it well targeted.:(Cost $13.00 M) Component 1. Results Area 2. Increased allocative efficiency to achieve fiscal consolidation and sustainability for Moldova’s social safety net.:(Cost $11.00 M) Component 1. Results Area 3. Enhanced administrative efficiency, governance, and transparency of the social assistance system.:(Cost $7.00 M) Component 2. Institutional Strengthening for Benefits Administration:(Cost $6.00 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO  Moderately Unsatisfactory  Moderately Unsatisfactory Overall Implementation Progress (IP)  Moderately Satisfactory  Moderately Satisfactory 11/30/2014 Page 1 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Strengthening the Effectiveness of the Social Safety Net Results-Based Financing Specific Investment Loan (P120913) Overall Risk Rating  --  Moderate Implementation Status and Key Decisions The achievement of the project development objective continues to be at risk as the coverage of the targeted cash transfer program supported by the project, namely Ajutor Social keeps declining. Further improvements in program design and implementation should be introduced, following policy recommendations discussed during the visit. These are meant to increase access to benefits for households engaged in subsistence farming and/or self-employed in agriculture; to prevent erosion of eligible households` base by adjusting eligibility parameters in income- and proxy means-tests; to improve incentives for formal paid employment through more adequate income disregard in the benefits eligibility, and to intensify enrollment of eligible households. Some of the recommendations could be of particular relevance in near future to cushion the impact of the Russian Federation`s fruit embargo on vulnerable rural households through targeted income support. However, most of them are meant to have a longer term impact and to pursue the objective of making the Ajutor Social a flagship social safety net program and a basis for consolidation of other categorical benefits. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance  --  --  Moderate Macroeconomic  --  --  Moderate Sector Strategies and Policies  --  --  Substantial Technical Design of Project or Program  --  --  Moderate 11/30/2014 Page 2 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Strengthening the Effectiveness of the Social Safety Net Results-Based Financing Specific Investment Loan (P120913) Institutional Capacity for Implementation and Sustainability  --  --  Moderate Fiduciary  --  --  Low Environment and Social  --  --  Low Stakeholders  --  --  Substantial Other  --  --  -- Overall  --  --  Moderate Results Project Development Objective Indicators PHINDPDOTBL  Project Develoment Indicator 1: Coverage: 20% of population in the poorest quintile receive AS benefits (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 14.30 18.80 14.70 20.00 Date 01-Jul-2011 30-Jun-2013 29-Aug-2014 30-Jun-2016 Comments As measured by 2013 HBS PHINDPDOTBL  Project Development Indicator 2. Targeting Accuracy:The share of Ajutor Social transfers that reach the poorest population quintileremains above 65% (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value Y Y Y Y Date 01-Jul-2011 30-Jun-2013 29-Aug-2014 30-Jun-2016 Comments The benefits targeting accuracy was 79.6%, as measured by 2013 HBS. PHINDPDOTBL  Number of Ajutor Social Program beneficiary households reaches 60,000 (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 32000.00 32700.00 22000.00 60000.00 Date 01-Jul-2011 30-Jun-2013 29-Aug-2014 30-Jun-2016 11/30/2014 Page 3 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Strengthening the Effectiveness of the Social Safety Net Results-Based Financing Specific Investment Loan (P120913) Comments PHINDPDOTBL  Project Development Indicator 3. Consolidation of categorical benefits--Spending on categorical benefits reduced by 30% of the pre-reform level of MDL771 bn in 2010 (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 26.00 15.00 30.00 Date 01-Jan-2011 04-Apr-2014 29-Aug-2014 30-Jun-2016 Comments PHINDPDOTBL  Reduction of spending on Nominative Compensation benefits by 60% of pre-reform level of MDL354,394.9 mil (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 62.00 62.00 60.00 Date 01-Jan-2011 30-Jun-2013 30-Jun-2013 30-Jun-2016 Comments PHINDPDOTBL  Disability and child benefits are consolidated (Yes/No, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value N N N Y Date 01-Jan-2011 04-Apr-2014 29-Aug-2014 30-Jun-2016 Comments 11/30/2014 Page 4 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Strengthening the Effectiveness of the Social Safety Net Results-Based Financing Specific Investment Loan (P120913) PHINDPDOTBL  Project Development Indicator 4. Administrative efficiency – Turnaround time for Ajutor Social application processing, including verification and eligibility decisions, is reduced to 15 days. (Days, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 30.00 15.00 11.00 15.00 Date 01-Jul-2011 04-Apr-2014 29-Aug-2014 30-Jun-2016 Comments PHINDPDOTBL  Project Development Indicator 5: Governance – Losses from irregularities in the Ajutor Social benefits reduced by 30% of 6,600 mn (baseline estimate). (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 29.00 29.00 30.00 Date 01-Jan-2011 04-Apr-2014 04-Apr-2014 30-Jun-2015 Comments Update is not available at this time. It is reported in Annual Report of the Social Inspectorate that is due in Feb following the reporting year. PHINDPDOTBL  Project Development Indicator 6. Transparency Increased number of Moldova citizens is aware of Ajutor Social Program (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 78.00 95.00 97.00 93.00 Date 01-Jan-2011 30-Jun-2013 29-Aug-2014 30-Jun-2016 Comments Measured by 2013 HBS PHINDPDOTBL  Beneficiaries of Safety Nets programs (number) (Number, Core) Baseline Actual (Previous) Actual (Current) End Target Value 126700.00 350000.00 350000.00 -- Date 31-Aug-2010 30-Jun-2013 30-Jun-2013 -- 11/30/2014 Page 5 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Strengthening the Effectiveness of the Social Safety Net Results-Based Financing Specific Investment Loan (P120913) Comments PHINDPDOTBL  Beneficiaries of Safety Nets programs - Female (number) (Number, Core Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 60180.00 175000.00 175000.00 -- Date 31-Aug-2010 30-Jun-2013 30-Jun-2013 -- Comments PHINDPDOTBL  Beneficiaries of Safety Nets programs - Other social assistance programs (number) (Number, Core Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 126700.00 350000.00 350000.00 -- Date 31-Aug-2010 30-Jun-2012 30-Jun-2012 -- Comments Overall Comments Intermediate Results Indicators PHINDIRITBL  Social Inspectorate is established and functional (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N Y Y Y Date 31-Oct-2010 29-Feb-2012 29-Feb-2012 31-Oct-2012 11/30/2014 Page 6 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Strengthening the Effectiveness of the Social Safety Net Results-Based Financing Specific Investment Loan (P120913) Comments PHINDIRITBL  Heating Allowance, as a top up to the Ajutor Social, is in place (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N Y Y Y Date 31-Oct-2010 30-Jun-2012 30-Jun-2012 31-Mar-2012 Comments PHINDIRITBL  Service Delivery Standards and business model for SADs for administration of Ajutor Social program at local level are developed (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N N Y Y Date 31-Oct-2010 16-Sep-2013 29-Aug-2014 31-Dec-2013 Comments Overall Comments Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P120913 IDA-50010 Effective XDR 22.90 22.90 0.00 13.93 8.97 61% Key Dates (by loan) 11/30/2014 Page 7 of 8 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Strengthening the Effectiveness of the Social Safety Net Results-Based Financing Specific Investment Loan (P120913) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P120913 IDA-50010 Effective 09-Jun-2011 01-Jul-2011 26-Oct-2011 30-Jun-2016 30-Jun-2016 Cumulative Disbursements Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 11/30/2014 Page 8 of 8 Public Disclosure Copy