The World Bank Implementation Status & Results Report Tunisia Innovative Startups and SMEs Project (P167380) Tunisia Innovative Startups and SMEs Project (P167380) MIDDLE EAST AND NORTH AFRICA | Tunisia | Finance, Competitiveness and Innovation Global Practice | IBRD/IDA | Investment Project Financing | FY 2019 | Seq No: 10 | ARCHIVED on 26-Feb-2024 | ISR59551 | Implementing Agencies: Caisse de Depots et de Consignations, Republic of Tunisia Key Dates Key Project Dates Bank Approval Date: 14-Jun-2019 Effectiveness Date: 23-Jul-2020 Planned Mid Term Review Date: 15-Dec-2023 Actual Mid-Term Review Date: 11-Dec-2023 Original Closing Date: 31-Dec-2026 Revised Closing Date: 31-Dec-2026 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The Project Development Objective is to increase access to finance and support the growth of innovative startups and small and medium enterprises Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Equity and Quasi-Equity Financing for Innovative Startups and SMEs:(Cost $62000000.00 M) Ecosystem and Firm-Level Support for Innovative Startups and SMEs:(Cost $8000000.00 M) Project Management and Capacity Building:(Cost $5000000.00 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 Substantial Substantial Implementation Status and Key Decisions Despite some progress in Project's implementation, the overall performance in terms of progress made towards achieving the PDO of the Project to date remains Moderately Satisfactory. The disbursement rate at the end of December 2023 is 38.06%. 2/26/2024 Page 1 of 9 The World Bank Implementation Status & Results Report Tunisia Innovative Startups and SMEs Project (P167380) Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Substantial Substantial Substantial 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 Substantial Substantial Substantial Sustainability Fiduciary Substantial Substantial Substantial Environment and Social Moderate Moderate Moderate Stakeholders Substantial Moderate Moderate Other -- -- -- Overall Substantial Substantial Substantial Results PDO Indicators by Objectives / Outcomes Access to finance and growth of innovative startups and SMEs IN01389338 ►Private capital mobilized for innovative startups and SMEs through the project (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 8,000,247.00 34,600,154.81 55,146,667.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 This indicator measures the risk capital mobilized (less management fees) from private investors to Comments: finance equity and quasi-equity investments in innovative startups and SMEs directly linked to the project. IN01389339 Of which: Private sector capital mobilized for innovative startups (Amount(USD), Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 5,036,643.00 32,137,421.99 40,186,667.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 IN01389340 Of which: Private sector capital mobilized for innovative SMEs (Amount(USD), Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target 2/26/2024 Page 2 of 9 The World Bank Implementation Status & Results Report Tunisia Innovative Startups and SMEs Project (P167380) Value 0.00 2,963,604.00 2,462,732.82 14,960,000.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 IN01389396 ►Innovative startups and SMEs receiving financing through the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 15.00 140.00 280.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 This indicator measures the total number of innovative startups and SMEs that receive public and private Comments: financing through the project. IN01389397 Of which: Innovative startups (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 10.00 135.00 230.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 IN01389398 Of which: Innovative SMEs (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 5.00 5.00 50.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 IN01389399 Of which: Benefited from deal-flow and firm-level support provided by the project (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 3.00 129.00 112.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 IN01389400 Of which: Women-owned or led startups and SMEs (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 2.00 73.00 56.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 IN01389401 Of which: Innovative startups and SMEs located in interior regions (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 2.00 54.00 28.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 IN01389402 2/26/2024 Page 3 of 9 The World Bank Implementation Status & Results Report Tunisia Innovative Startups and SMEs Project (P167380) ►Increase in annual revenue of beneficiary startups and SMEs three years after receiving support through the project (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 19.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 This indicator measures the weighted average increase in annual revenue of innovative startups and Comments: SMEs three years after receiving financial and/or non-financial support through the project IN01389403 Of which: Innovative startups (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 20.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 IN01389404 Of which: Innovative SMEs (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 15.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 Intermediate Results Indicators by Components Equity and Quasi-Equity Financing for Innovative Start-ups and SMEs IN01389405 ►Financial intermediaries receiving financing through the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 6.00 10.00 12.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 This indicator measures the number of financial intermediaries that receive financing through the project for onward investment in startups and SMEs. Angel/VC fund managers will classified as those receiving Comments: funds primarily for seed and early stage investments; PE fund managers will be classified as those receiving funds for growth-stage investments; and co-investors will be classified as those receiving co- financing as part of co-investment on a deal-by-deal basis. IN01389408 Of which: Angel/VC funds (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 3.00 5.00 5.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 IN01389411 2/26/2024 Page 4 of 9 The World Bank Implementation Status & Results Report Tunisia Innovative Startups and SMEs Project (P167380) Of which: PE funds (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 1.00 2.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 IN01389414 Of which: Financial intermediaries receiving co-financing for direct investments (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 3.00 4.00 5.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 Ecosystem and Firm-Level Support for Innovative Startups and SMEs IN01389406 ►Ecosystem intermediaries receiving grants through the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 19.00 19.00 15.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 This indicator measures the number of ecosystem intermediaries that receive grants (DEAL and SAIL) Comments: through the project IN01389409 Of which: Newly-established intermediaries (<1 year old) (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 3.00 3.00 5.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 IN01389412 Of which: Established intermediaries (>1 years old) (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 16.00 16.00 10.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 IN01389415 ►Innovative startups receiving concept development grants through the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 103.00 103.00 75.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 This indicator measures the number of SMEs receiving concept development grants (AIR) through the Comments: project 2/26/2024 Page 5 of 9 The World Bank Implementation Status & Results Report Tunisia Innovative Startups and SMEs Project (P167380) IN01389416 Of which: Women-owned or led startups (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 67.00 64.00 15.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 IN01389417 Of which: Located in interior regions (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 55.00 48.00 8.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 IN01389418 ►Innovative startups receiving investment readiness grants through the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 25.00 25.00 30.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 This indicator measures the number of innovative startups receiving investment readiness grants (AIR2) Comments: through the project IN01389419 Of which: Women-owned or led startups (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 8.00 8.00 6.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 IN01389420 Of which: Located in interior regions (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 5.00 5.00 3.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 IN01389421 ►Innovative SMEs receiving technology adoption and investment readiness grants through the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 30.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 This indicator measures the number of innovative SMEs technology adoption and investment readiness Comments: grants through the project IN01389422 Of which: Women-owned or led SMEs (Number, Custom Breakdown) 2/26/2024 Page 6 of 9 The World Bank Implementation Status & Results Report Tunisia Innovative Startups and SMEs Project (P167380) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 6.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 IN01389423 Of which: Located in interior regions (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 3.00 Date 14-Jun-2019 24-Nov-2023 29-Jan-2024 31-Dec-2026 Project Management and Capacity Building IN01389407 ►Project beneficiaries satisfied with the implementation of the project (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 97.43 97.43 75.00 Date 14-Jun-2019 15-Jun-2022 15-Jun-2022 31-Dec-2026  As part of its Monitoring and Evaluation framework, the project launched a survey in February 2023 for beneficiaries of component 2.1 “Ecosystem and Firm-Level Support for Innovative Startups and SMEs” for year 2022. At the time of the survey 96 startups and 10 Startups Support Organization (SSO) were supported by the program. Survey was addressed to all beneficiaries of the third and fourth session of AIR and AIR2 and received 32 feedbacks out of 44 - startups and SMEs only. Areas of focus are notably (i) efficiency of application process to benefit from the program (ii) transparency of selection process and (iii) efficiency of contracting process (iv) efficiency of disbursement (v) global satisfaction scoring and (vi) recommendations or suggestions. Compiled results show very positive feedback with 66% very satisfied, 34% satisfied. More precisely feedback on each thematic and level of satisfaction are as follow: efficiency of application process (100%), selection process transparency (94%), ease of Comments: contracting (87%) and disbursement process efficiency (81%). Recommendations received were to increase the allocated subsidy amount and to adjust the prototype development frame, redefining AIR’s scope (explicit as fund to support the development of start-ups that have demonstrated discipline in their evolution), adding a coaching/guidance program and regular, interactive exchanges with beneficiaries (AIR). For AIR2 recommendations include to integrate already secured seed funding and other elements, accelerate startup selection times, contractualization and disbursement deadlines, possible creation of bridge funds between AIR and AIR2 and greater transparency and clarity in contracts. Due to only one sub-indicator group participating in the survey, the previous year’s percentages have been kept until the newest survey results are received. The survey results for the MTR are awaited for analyses and processing. IN01389410 Of which: Financial and ecosystem intermediaries (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 100.00 100.00 75.00 Date 14-Jun-2019 15-Jun-2022 15-Jun-2022 31-Dec-2026 IN01389413 Of which: Innovative startups and SMEs (Percentage, Custom Breakdown) 2/26/2024 Page 7 of 9 The World Bank Implementation Status & Results Report Tunisia Innovative Startups and SMEs Project (P167380) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 96.77 96.77 75.00 Date 14-Jun-2019 15-Jun-2022 15-Jun-2022 31-Dec-2026 Performance-Based Conditions Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P167380 IBRD-89840 Effective USD 75.00 75.00 0.00 29.28 47.65 38% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P167380 IBRD-89840 Effective 14-Jun-2019 30-Jan-2020 23-Jul-2020 31-Dec-2026 31-Dec-2026 Cumulative Disbursements 2/26/2024 Page 8 of 9 The World Bank Implementation Status & Results Report Tunisia Innovative Startups and SMEs Project (P167380) Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 2/26/2024 Page 9 of 9