The World Bank Coastal Resources for Sustainable Development Project (P118979) REPORT NO.: RES31346 DOCUMENT OF THE WORLD BANK RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF COASTAL RESOURCES FOR SUSTAINABLE DEVELOPMENT PROJECT APPROVED ON MAY 10, 2012 TO THE SOCIALIST REPUBLIC OF VIETNAM ENVIRONMENT & NATURAL RESOURCES EAST ASIA AND PACIFIC Regional Vice President: Victoria Kwakwa Country Director: Ousmane Dione Senior Global Practice Director: Karin Erika Kemper Practice Manager/Manager: Christophe Crepin Task Team Leader: Binh Thang Cao, Lan Thi Thu Nguyen The World Bank Coastal Resources for Sustainable Development Project (P118979) I. BASIC DATA Product Information Project ID Financing Instrument P118979 Investment Project Financing Original EA Category Current EA Category Partial Assessment (B) Approval Date Current Closing Date 10-May-2012 31-Jan-2018 Organizations Borrower Responsible Agency Ministry of Agriculture and Rural Development,State The Socialist Republic of Vietnam Bank of Vietnam Project Development Objective (PDO) Original PDO The project development objective is to improve the sustainable management of coastal fisheries in Project Provinces. Summary Status of Financing Net Ln/Cr/Tf Approval Signing Effectiveness Closing Commitment Disbursed Undisbursed IDA-51130 10-May-2012 09-Aug-2012 02-Nov-2012 31-Jan-2018 100.00 75.84 16.40 TF-14293 02-May-2013 02-May-2013 02-May-2013 31-Jan-2018 6.50 2.64 3.86 Policy Waiver(s) Does this restructuring trigger the need for any policy waiver(s)? No II. SUMMARY OF PROJECT STATUS AND PROPOSED CHANGES The World Bank Coastal Resources for Sustainable Development Project (P118979) 1. The IDA Credit was approved by the Board on May 10, 2012 and the Financing Agreement for the above-referenced Project was signed between the Socialist Republic of Vietnam and IDA on August 9, 2012. The GEF Grant Agreement, providing additional financing to the project, was both approved by the Bank and signed between the Socialist Republic of Vietnam and IBRD, acting as the implementing agency of the Global Environment Facility (“GEF”), on May 2, 2013. The Project has four components: (A) institutional capacity strengthening for sustainable fisheries management; (B) good practices for sustainable aquaculture; (C) sustainable management of near-shore capture fisheries; and (D) project management, monitoring and evaluation. Among these, Component A provides the foundation for the other components, while Component B addresses the sustainability issues of coastal aquaculture especially in shrimp farming, and Component C focuses on improving the sustainable management of near-shore fisheries especially in reducing illegal fishing. The GEF funds are used for financing parts of Component A, on inter- sectoral planning for coastal areas, and parts of Component C, on co-management of near-shore capture fisheries. 2. Total original project costs include US$100 million equivalent from IDA, US$6.5 million of GEF co-financing and counterpart fund of US$11.7 million. The Project Development Objective (PDO) is to improve the sustainable management of coastal fisheries in the Project Provinces. To date, disbursements have reached about 81 percent for the IDA Credit and 41 percent for the GEF Grant. 3. Overall, the Project objectives continue to be achievable. The Project is on track to achieve its indicator targets and the performance of the Recipient is satisfactory. The Project has already met or exceeded most of the targets set in the project Results Framework and Monitoring except those related to upgrades of fishing ports/landing sites and the fisheries database, which are underway but need some more time to be completed. Key achievements include: Component A has progressed well in the inter-sectoral planning, upgrade of the national fisheries database (Vnfishbase), and studies to contribute to the revision of the Fisheries Law. Under Component B, excellent achievements were reported in environmental monitoring and disease control (disease losses in 2017 were reduced by 76 percent), improved seed quality management, and accreditation of 22 local shrimp hatcheries. In Component C, results on fisheries co-management continued to be satisfactory, while fishing ports/landing sites were upgraded and put into use and good port management practices are being introduced. 4. There are no outstanding audits or IFRs for either the Credit or the Grant. 5. The Government of Vietnam (GOV), through the State Bank of Vietnam, requested a 12-month extension for both the IDA Financing Agreement and the GEF Grant Agreement to compensate for the time lost due to fund flow constraints caused by delayed and lower than planned IDA budget allocations made by the GoV in 2016 and 2017, and the lack of any government budget allocation for the GEF Grant over the last year. The GoV has reaffirmed its commitment to making adequate budget allocations for both IDA and GEF financing during the project extension period to allow the Project to complete all planned remaining activities with high quality. It is anticipated that progress toward achievement of the PDO and overall implementation progress will be further upgraded during the project extension. There is an agreed action plan to complete the project within the revised closing date. 6. The proposed new closing date of the Financing Agreement (Credit Number 5113 – VN) and the GEF Grant Agreement (TF014293) is January 31, 2019. This is the first closing date extension. III. DETAILED CHANGES The World Bank Coastal Resources for Sustainable Development Project (P118979) LOAN CLOSING DATE(S) Original Revised Proposed Proposed Deadline Ln/Cr/Tf Status Closing Closing(s) Closing for Withdrawal Applications IDA-51130 Effective 31-Jan-2018 31-Jan-2019 31-May-2019 TF-14293 Effective 31-Jan-2018 31-Jan-2019 31-May-2019