Public Disclosure Copy The World Bank Implementation Status & Results Report Afghanistan Capacity Building for Results Facility (CBR) (P123845) Afghanistan Capacity Building for Results Facility (CBR) (P123845) SOUTH ASIA | Afghanistan | Governance Global Practice | Recipient Executed Activities | Technical Assistance Loan | FY 2012 | Seq No: 14 | ARCHIVED on 24-Oct-2017 | ISR29758 | Implementing Agencies: Independent Administrative Reform and Civil Service Commission, Ministry of Finance Key Dates Key Project Dates Bank Approval Date:11-Dec-2011 Effectiveness Date:21-Jan-2012 Planned Mid Term Review Date:20-Jan-2014 Actual Mid-Term Review Date:20-Jan-2014 Original Closing Date:31-Dec-2017 Revised Closing Date:30-Jun-2018 Project Development Objectives Project Development Objective (from Project Appraisal Document) The project's development objective is to assist the government in improving the capacity and performance of select line ministriesin carrying out their mandates and delivering services to the Afghan people. This will be achieved through the implementation of specific capacity and institution building programs, which include systematic monitoring of and reporting on results. 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)PHRPDODEL To improve the capacity and performance of priority line ministries and independent agencies in selected reform areas. Components Name Technical Assistance Facility in Support of Civil Service Reform:(Cost $15.00 M) Building Human Resources:(Cost $123.00 M) Project Management, Monitoring and Evaluation:(Cost $12.00 M) 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  High  High 10/24/2017 Page 1 of 7 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Afghanistan Capacity Building for Results Facility (CBR) (P123845) Implementation Status and Key Decisions The Capacity Building for Results (CBR) Project's development objective is “to assist the government in improving the capacity and performance of select line ministries in carrying out their mandates and delivering services to the Afghan people.” The Project Development Objective (PDO) indicators are largely to be achieved by improving capacity and performance of line ministries through the provision of skilled civil servants to implement ministries’ reform programs. CBR is a ministry-wide program through which ministries can apply to develop a comprehensive reform plan, which is supported based upon progress on reform implementation and service delivery results. The program provides ministries with the opportunity to recruit high capacity staff into critical posts at salaries closer to the market rates. The aim is to increase on-budget service delivery and reduce reliance upon the so- called “second civil service”, i.e., national consultants conducting government functions. CBR supports on-going public administration reforms across government, training for selected civil servants, and limited technical assistance to support ministry reforms. Overall progress towards achievement of the development objective had been slow over the first 3-4 years of project implementation. This was largely due to aspects of the project design, capacity issues, and political-economy factors. Establishing a comprehensive program with robust entry criteria, an appropriate salary scale and the necessary management systems was a complex undertaking given the environment. As highlighted in the Mid-Term Review (MTR) of January-February 2014, the pace of project implementation therefore required significant acceleration to reach the Project objectives within the targeted time frame. Consequently, the Project was restructured on April 25, 2016 (approved by ARTF Management Committee on May 15, 2016) to increase the likelihood of achieving the PDO and to ensure efficient utilization of Project resources Restructuring introduced the following key changes to the Project: (a) Change in the Project Development Objective and revision of the Results Monitoring Framework to reflect the new scope of the Project; (b) Change in implementation arrangement to introduce more flexibility and simplify the process for accessing Project resources; (c) Change to the financing plan by reallocating resources across Project components and cancelling part of the original amount approved for the Project; and (d) Change in Project design by dropping Component 3: Civil Service Training, and streamlining the scope of activities supported under other components to reflect the proposed financing envelope. A second Project Restructuring was processed on June 20, 2017 to consolidate project implementation in the Independent Administrative Reform and Civil Service Commission (IARCSC), in line with Presidential Decree Number 532 dated May 3, 2017. Restructuring changes have contributed to considerable improvements in performance and an accelerated pace of implementation. Progress made since Restructuring changes were enacted includes improved access to CBR for line ministries with CBR Proposals (CBRPs) now approved for eleven (11) of thirteen (.13) priority ministries, and the remaining completed and awaiting approval. One key output of CBRPs is the recruitment of high capacity staff into critical posts at salaries closer to the market rates. 1,127 of these positions have now been selected, with 680 so far contracted and 1,500 expected to be contracted by end-December 2017. The Project further supports training for selected civil servants, and through the Afghan Civil Service Institute (ASCI), it has conducted two pilot trainings, one for Senior Management Groups (SMGs) and another for HR Directors. The Project also supports 14-month Mid-level Management Development Programs (MMD), the first batch of which has now concluded and a second batch has been launched. This program is the equivalent of a two-year work experience that will allow graduates to qualify for accelerated promotion to mid-level manager level across the civil service. As a result of the above-captured implementation progress, made since the enactment of Restructuring changes, Project Ratings assessed by the Mid- Term Review were in September 2016 upgraded from "Moderately Unsatisfactory" to “Moderately Satisfactory” for both "Progress towards achievement of PDO" and "Overall Implementation Progress. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating 10/24/2017 Page 2 of 7 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Afghanistan Capacity Building for Results Facility (CBR) (P123845) Political and Governance  --  High  High Macroeconomic  --  High  High Sector Strategies and Policies  --  High  High 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  --  High  High Other  --  --  -- Overall  --  High  High Results Project Development Objective Indicators PHINDPDOTBL  Proposed: Priority line ministries and independent agencies development budget execution improves to at least 60% (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 30.00 59.60 59.60 60.00 Date 21-Jan-2012 08-Mar-2017 31-Aug-2017 31-Dec-2017 Comments 15 CBR LMAs are either currently meeting or exceeding 60% budget execution (as of August 31, 2017). PHINDPDOTBL  Proposed: Priority line ministries and independent agencies that have implemented at least 2 business process simplifications planned in their CBRP (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 5.00 7.00 13.00 Date 21-Jan-2012 08-Mar-2017 31-Aug-2017 31-Dec-2017 PHINDPDOTBL  Proposed: Civil service positions recruited by CBR (Number, Custom) 10/24/2017 Page 3 of 7 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Afghanistan Capacity Building for Results Facility (CBR) (P123845) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 328.00 680.00 1,500.00 Date 31-Dec-2011 08-Mar-2017 31-Aug-2017 31-Dec-2017 PHINDPDOTBL  Civil service positions recruited by CBR filled by women (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 15.00 37.00 450.00 Date 31-Dec-2011 08-Mar-2017 31-Aug-2017 31-Dec-2017 Overall Comments The recent project restructuring (June 2017) did not make any changes in terms of the scope of project activities – these remain the same. Restructuring changes, responding directly to a decree issued by the President of Afghanistan: (a) consolidated project management in IARCSC (previously the project was jointly managed by IARCSC and the Ministry of Finance); (b) replaced the project’s steering committee with the High Council for Administrative Reforms and Good Governance (chaired by President of Afghanistan); and (c) processed a 6-month no cost extension of the project to allow more time for this transition and planning of a follow-on phase of CBR. As a result, no changes were made to the project’s results framework. While functional reviews are a new activity with direct relevance to CBR implementation (as described in the ISR), these are not being directly supported by the project but rather (at this stage) through Bank ASA on "Civil Service Engagement". Status and timelines for completing these functional reviews have been outlined within this ISR. Intermediate Results Indicators PHINDIRITBL  Priority line ministries and independent agencies which have CBRPs (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 8.00 11.00 13.00 Date 21-Jan-2012 21-Mar-2016 31-Aug-2017 31-Dec-2017 Comments The preparation/revision of CBRPs is (per the guidance of the President of Afghanistan) expected to be based on LMAs functional reviews, which will need to be carried out first. 10/24/2017 Page 4 of 7 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Afghanistan Capacity Building for Results Facility (CBR) (P123845) PHINDIRITBL  Civil servants trained through Mid-level Management Development Program (MMD) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 100.00 93.00 200.00 Date 21-Jan-2012 21-Mar-2016 31-Aug-2017 31-Dec-2017 Comments 93 civil servants completed the first batch of the MMD. The second batch of MMD is currently in progress, and upon its completion, the target of 200 civil servants will have been met. PHINDIRITBL  Grievance redress mechanism implemented (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N Y Y Y Date 21-Jan-2012 08-Mar-2017 31-Aug-2017 31-Dec-2017 PHINDIRITBL  Proposed: Civil servants in priority ministries recruited for provinces (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 35.00 33.00 15.00 Date 21-Jan-2012 08-Mar-2017 31-Aug-2017 31-Dec-2017 Comments 227 of 680 (33%) contracted civil servant positions are for the subnational level, however, 528 of 1,127 or 47% of overall selected positions (as of August 31, 2017) are for the subnational level. 10/24/2017 Page 5 of 7 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Afghanistan Capacity Building for Results Facility (CBR) (P123845) PHINDIRITBL  Proposed: Number of ministries which have completed pay and grading. (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 8.00 23.00 23.00 22.00 Date 21-Jan-2012 08-Mar-2017 31-Aug-2017 31-Dec-2017 Overall Comments Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P123845 TF-11447 Effective USD 100.00 100.00 0.00 54.51 45.49 55% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P123845 TF-11447 Effective 21-Jan-2012 21-Jan-2012 21-Jan-2012 31-Dec-2017 30-Jun-2018 Cumulative Disbursements 10/24/2017 Page 6 of 7 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Afghanistan Capacity Building for Results Facility (CBR) (P123845) Restructuring History Level 1 Approved on 25-Apr-2016 ,Level 2 Approved on 20-Jun-2017 Related Project(s) There are no related projects. 10/24/2017 Page 7 of 7 Public Disclosure Copy