The World Bank Implementation Status & Results Report Djibouti: Governance for Private Sector Development and Finance Project (P146250) Djibouti: Governance for Private Sector Development and Finance Project (P146250) MIDDLE EAST AND NORTH AFRICA | Djibouti | Finance, Competitiveness and Innovation Global Practice | IBRD/IDA | Investment Project Financing | FY 2014 | Seq No: 10 | ARCHIVED on 27-Jun-2019 | ISR35260 | Implementing Agencies: Min of Finance, Agence National de Promotion des Investissements (ANPI), ANPI Key Dates Key Project Dates Bank Approval Date: 23-Jun-2014 Effectiveness Date: 12-Mar-2015 Planned Mid Term Review Date: 08-Mar-2018 Actual Mid-Term Review Date: 08-Mar-2018 Original Closing Date: 31-Dec-2019 Revised Closing Date: 31-Dec-2020 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The Project Development Objective is to help improve Djibouti's business environment. Has the Project Development Objective been changed since Board Approval of the Project Objective? Yes Board Approved Revised Project Development Objective (If project is formally restructured) To improve the efficiency of business regulation and establish an automated National Payment System. Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Substantial Substantial Implementation Status and Key Decisions Overall, implementation performance is moderately unsatisfactory with 59% of the credit disbursed as of May 30, 2019. Disbursements have experienced significant delays due to issues encountered during the procurement process for the interbank network required for the national payment system. Disbursements are expected to accelerate, however, with the implementation the ATS+ actively underway and the launch of a revised call for proposals for the interbank network is expected by mid-June 2019. On Doing Business, reforms have been adopted in several areas of the DB report including (i) business creation; (ii) construction permit; (iii) getting credit; (iv) protecting minority investors; (v) registering property; (vi) access to electricity; (vii) enforcing contracts. These reforms have contributed to the country's performance in the 2019 DB report with the country's ranking improving sharply from 154 to 99. More reforms are expected in the 2020 DB report. 6/27/2019 Page 1 of 7 The World Bank Implementation Status & Results Report Djibouti: Governance for Private Sector Development and Finance Project (P146250) Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating 6/27/2019 Page 2 of 7 The World Bank Implementation Status & Results Report Djibouti: Governance for Private Sector Development and Finance Project (P146250) Political and Governance -- High High Macroeconomic -- Substantial Substantial Sector Strategies and Policies -- Substantial Substantial Technical Design of Project or Program -- Moderate Moderate Institutional Capacity for Implementation and Sustainability -- High High Fiduciary -- Substantial Substantial Environment and Social -- Low Low Stakeholders -- Substantial Substantial Other -- Moderate Moderate Overall -- Substantial Substantial Results PDO Indicators by Objectives / Outcomes establish an automated National Payment System IN00653149 ►Transactions processed through the Automated Transfer System (ATS) (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 10.00 Date 20-Sep-2016 19-Oct-2018 30-Apr-2019 31-Dec-2020 The contract for the ATS+ has been signed. A team will begun implementation in mid-May 2019. Comments: To improve the efficiency of business regulation IN00653150 ►Avg. no of days to create a business (Days, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 17.00 3.00 13.00 3.00 Date 15-Jan-2014 19-Oct-2018 30-Apr-2019 31-Dec-2020 IN00653156 ►Avg. no of days to register a (Days, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 39.00 25.00 24.00 10.00 Date 15-Jan-2014 29-Sep-2016 30-Apr-2019 31-Dec-2020 6/27/2019 Page 3 of 7 The World Bank Implementation Status & Results Report Djibouti: Governance for Private Sector Development and Finance Project (P146250) Intermediate Results Indicators by Components Investment Climate reforms IN00653158 ►Enterprises registered per year (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 150.00 435.00 1,217.00 1,200.00 Date 15-Jan-2014 30-Mar-2018 31-Dec-2018 31-Dec-2020 Data will be updated asap. Comments: IN00653160 Of which led by women (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 30.00 30.00 192.00 140.00 Date 15-Jan-2014 30-Mar-2018 31-Dec-2018 31-Dec-2020 IN00653161 ►Property titles digitized (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 80.00 Date 15-Jan-2014 30-Mar-2018 30-Mar-2018 31-Dec-2020 IN00653163 ►Adoption of legal and regulatory texts (new or revised) taken into account by the Doing Business report (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 8.00 10.00 Date 15-Jan-2014 30-Mar-2018 30-Oct-2018 30-Dec-2020 At least 3 new laws have been adopted since DB 2019. Result framework will be updated after publication of 2020 DB report. Starting a business (exemption of professional license fees for new companies and reduction of fees to register a business and publish the notice of commencement); law creating a new credit information system; secured transactions; insolvency; corporate governance (protecting investors); enforcing contract Comments: (code of civil procedures); registering property; construction permit (implementation of decennial liability for all professionals involved in construction projects). IN00653164 ►Magistrates trained in resolution of commercial disputes (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 4.00 10.00 6/27/2019 Page 4 of 7 The World Bank Implementation Status & Results Report Djibouti: Governance for Private Sector Development and Finance Project (P146250) Date 15-Jan-2014 30-Mar-2018 30-Apr-2019 31-Dec-2020 Training in Morocco Comments: IN00653165 ►Users satisfied with the functioning of the One Stop Shop (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 60.00 Date 28-Sep-2016 30-Mar-2018 30-Apr-2019 31-Dec-2020 The OSS is being restructured. A survey will be carry out after the restructuring Comments: IN00653166 ►Commercial Chamber Decisions Published on the Website (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 95.00 Date 15-Jan-2014 30-Mar-2018 30-Apr-2019 31-Dec-2020 President of the Tribunal de Premiere Instance will consult with all the stakeholders and discuss the Comments: publication of the decision and how to make sure that the names do not appear in the published decisions. Establishment of an Automated National Payment System IN00653157 ►Establishment of primary data center for the national payment system (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 28-Sep-2016 30-Mar-2018 30-Apr-2019 31-Dec-2020 IN00653159 ►Average Settlement time for credit transfers (Days, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 0.50 Date 28-Sep-2016 30-Mar-2018 30-Apr-2019 31-Dec-2020 IN00653162 Average settlement time for checks (Days, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 2.00 Overall Comments IR Data dated March 2018 will need to be updated as soon as collected. 6/27/2019 Page 5 of 7 The World Bank Implementation Status & Results Report Djibouti: Governance for Private Sector Development and Finance Project (P146250) Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P146250 IDA-55180 Effective USD 2.00 2.00 0.00 1.81 0.00 100% P146250 IDA-59350 Effective USD 5.10 5.10 0.00 2.37 2.92 45% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P146250 IDA-55180 Effective 23-Jun-2014 06-Nov-2014 12-Mar-2015 31-Dec-2019 31-Dec-2019 P146250 IDA-59350 Effective 14-Dec-2016 28-Dec-2016 20-Jun-2017 31-Dec-2020 31-Dec-2020 Cumulative Disbursements 6/27/2019 Page 6 of 7 The World Bank Implementation Status & Results Report Djibouti: Governance for Private Sector Development and Finance Project (P146250) Restructuring History Level 2 Approved on 26-Jun-2018 Related Project(s) P158952-Governance for Private Sector and Finance Development Additional Fin. 6/27/2019 Page 7 of 7