The World Bank Guinea Support to Local Governance Project (P167884) REPORT NO.: RES54738 RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF GUINEA SUPPORT TO LOCAL GOVERNANCE PROJECT APPROVED ON APRIL 6, 2023 TO MINISTRY OF FINANCE SOCIAL SUSTAINABILITY AND INCLUSION WESTERN AND CENTRAL AFRICA Regional Vice President: Ousmane Diagana Country Director: Coralie Gevers Regional Director: Simeon Kacou Ehui Practice Manager/Manager: Pia Peeters Task Team Leader(s): Adrian Morel, Nicolas Perrin The World Bank Guinea Support to Local Governance Project (P167884) ABBREVIATIONS AND ACRONYMS ANAFIC Agence Nationale pour le Financement des Collectivités (National Agency for Financing Local Communities) BAS Budget d’Affectation Spéciale (Special Allocation Budget) BP Budgétisation Participative (Participatory Budgeting) CE Citizen Engagement CERC Contingent Emergency Response Component CNFPCE Centre National de Formation et de Perfectionnement des Cadres et des Elus (National Center for the Training and Development of Cadres and Elected Officials) DLI Disbursement Linked Indicator EWRS Early Warning and Response Systems FICS Finance in Common Summit FNDL Fonds National de Développement Local (National Fund for Local Development) FODECCON Fonds de Developpement des Communes de Conakry (Conakry Development Fund) FODEL Fond de Développement Economique Local (Local Economic Development Fund) GBV Gender-Based Violence GoG Government of Guinea GRM Grievance Redress Mechanism IFCL Local Government Finance Institutions LG Local Government MATD Ministère de l’Administration du Territoire et de la Décentralisation (Ministry of Territorial Administration and Decentralization) PACV Projet d’Appui aux Collectivités Villageoises (Village Community Support Project) PDO Project Development Objective PFM Public Financial Management PRI Interim Reference Program SEA Sexual Exploitation and Abuse SEP Suivi-Evaluation Participatif (Participatory Monitoring and Evaluation) SH Sexual Harassment SLGP Support to Local Governance Project (Projet d’Appui à la Gouvernance Locale – PAGL) The World Bank Guinea Support to Local Governance Project (P167884) Note to Task Teams: The following sections are system generated and can only be edited online in the Portal. BASIC DATA Product Information Project ID Financing Instrument P167884 Investment Project Financing Original EA Category Current EA Category Partial Assessment (B) Partial Assessment (B) Approval Date Current Closing Date 22-Mar-2019 31-Oct-2024 Organizations Borrower Responsible Agency Ministry of Finance Project Development Objective (PDO) Original PDO To improve local government capacity in managing their public financial resources in a transparent and participatory manner, and in mitigating local conflicts OPS_TABLE_PDO_CURRENTPDO Summary Status of Financing (US$, Millions) Net Ln/Cr/Tf Approval Signing Effectiveness Closing Commitment Disbursed Undisbursed IDA-D4450 22-Mar-2019 09-Apr-2019 09-Sep-2019 31-Oct-2024 40.00 20.17 19.12 Policy Waiver(s) Does this restructuring trigger the need for any policy waiver(s)? No The World Bank Guinea Support to Local Governance Project (P167884) The World Bank Guinea Support to Local Governance Project (P167884) I. PROJECT STATUS AND RATIONALE FOR RESTRUCTURING Background and Project Status 1. The financing for the Support to Local Governance Project (Projet d’Appui a la Gouvernance Locale - PAGL – P167884) was approved by the World Bank’s Board of Executive Directors on March 22, 2019. The project became effective on September 9, 2019. The current closing date is October 31, 2024. The project’s budget amounts to US$40 million financed in full by the World Bank through an IDA grant (IDA- D4450). The Project Development Objective (PDO) is to improve local government capacity in managing their public financial resources in a transparent and participatory manner, and in mitigating local conflicts. 2. The project has four components: a. Component 1: Supporting the operationalization of the FNDL (US$20 million). The component incentivizes the operationalization of the National Fund for Local Development (Fonds National de Développement Local – FNDL). A key instrument of decentralization reform in Guinea, the FNDL is replenished by mining revenues and provides all 356 municipalities outside of Conakry with resources to finance development infrastructure (schools, health centers, socio-economic infrastructure etc.). This component consists of four Disbursement- Linked Indicators (DLIs) that condition disbursement on the achievement of targets related to the operationalization of the FNDL and the execution of FNDL funds by local government: i. DLI 1 - Regulatory texts to operationalize FNDL are signed and FNDL account has effectively been opened and funds transferred by December 2019 – US$2 M (met) ii. DLI 2 - FNDL real annual disbursement > 70% by December 2020 – US$4 M (met) iii. DLI 3 - 200 LGs have disbursed for appropriately authorized purposes more than 50% of their FNDL transfers by December 2021 – US$7 M (not met) iv. DLI 4 - 300 LGs have disbursed for appropriately authorized purposes more than 60% of their FNDL transfers by December 2022 – US$7 M (not met) b. Component 2: Building institutions and capacity for inclusive and accountable local governance (US$15 million). This component consists of technical assistance and capacity building to (i) strengthen and digitalize local-level Public Financial Management (PFM); (ii) support local government capacity to implement decentralization reform and local development planning; and (iii) improve Citizen Engagement (CE) in local governance and establish an Early Response Warning Systems (EWRS). c. Component 3: Project management support (US$5 million). Finances the costs of the PIU’s core management functions. d. Component 4: Contingent Emergency Response Component – CERC (US$0 million). This zero-budget sub- component establishes a disaster contingency fund that could be triggered in the event of a natural disaster through formal declaration of a national emergency, or upon a formal request from the Government of Guinea (GoG). The World Bank Guinea Support to Local Governance Project (P167884) 3. The PAGL has achieved important results three years into implementation. The project has supported the Ministry of Territorial Administration and Decentralization (MATD), the National Agency for Financing Local Communities (ANAFIC) and local governments with the establishment and implementation of mechanisms that enabled the transfer of GNF 535 billion (US$ 62 million) from the national budget to Guinea’s 356 municipalities outside Conakry to implement a total of 1,498 subprojects: 795 subprojects planned in 2019 and 2020 were completed; 703 more planned in 2021 and 2022 are under implementation with an average execution rate of 52 percent. The PAGL supported community engagement in the planning and monitoring of these investments, which include education, healthcare and economic infrastructure. The project’s first two Disbursement-Linked Indicators (DLIs), whose release was conditional on the signing of regulatory texts to operationalize FNDL (DLI 1) and the FNDL disbursement rate from the national budget to the ANAFIC (DLI 2), were achieved in due time. 4. However, the political transition initiated by the military coup of September 5, 2021, had significant impacts on the project’s performance. In particular, the decision by the transition government to freeze all municipal accounts pending a verification process that lasted almost the entire calendar year 2022 prevented the attainment of conditions for the disbursement of DLI 3 and DLI 4 (US$ 7 million each), and considerably delayed capacity-building activities planned in 2022. The World Bank Guinea Support to Local Governance Project (P167884) 5. As a result, the ISR dated December 16, 2022, rated the project’s progress towards the achievement of the PDO and implementation progress as Moderately Unsatisfactory1. As of March 21, 2023, the project had disbursed US$ 20.17 million or 51.3% of total financing. Delays in the disbursement of DLI 3 and 4 mean that the cumulative disbursement target for the end of FY23 (US$ 37.4) is unlikely to be met. 6. Progress by components is as follows: 7. Component 1 - Supporting the operationalization of the FNDL. DLI 1 and DLI 2 were both achieved by agreed deadlines. However, the 2021 political transition and resulting delays in FNDL transfers to municipalities, followed by a comprehensive freeze of municipalities’ accounts through 2022, prevented the verification of DLI 3 and release of corresponding funds (US$ 7 million) in 2022. Indeed, municipalities received only 18% of their provisional 2021 FNDL allocation by the end of the calendar year, which the World Bank deemed to be an insufficient base to assess their execution performance (DLI 3 required that at least 200 municipalities have disbursed for authorized purposes more than 50% of their FNDL allocation by 31 December 2021). The same factors impair the achievement of DLI 4, which is linked to the execution by municipalities of their FNDL allocation in 2022 when they had no access to their accounts. As a result, US$ 6 million or 30% of the component’s budget amount had been disbursed by 31 December 2022, with another US$ 14 million tied to the achievement of DLIs 3 and 4. 8. Component 2 - Building institutions and capacity for inclusive and accountable local governance (US$15 million): 29,540 individuals were trained to date on PFM, local development planning and citizen engagement. This exceeds by 300% the initial project target of 9,802. Beneficiaries include 13,156 officials trained in PFM as part of an agreement with the National Center for the Training and Development of Cadres and Elected Officials (CNFPCE). The 8 urban planning studies commissioned by the project were finalized in October 2022. The EWRS is operational in 169 municipalities or 47% of all municipalities outside of Conakry. As of 31 December 2022, US$ 9.5 million or 63% of the component’s budget had been disbursed. 9. Component 3 - Project management support (US$5 million). This component has been progressing well and has helped establish the ANAFIC as a well-performing agency in service of rural development in Guinea. A compelling indicator of ANAFIC’s performance was the 2021 decision by the MATD to expand its mandate to oversee the management of all developing funding including, in addition to FNDL, the Local Development Fund (FODEL) and the Conakry Development Fund (FODECCON). The agency is currently working to establish an Environment and Social Risk Management System to assess and mitigate risks related to local development investments. It developed and implemented an action plan on Gender, Social Inclusion, Gender-Based Violence (GBV), Sexual Harassment (HS) and Sexual Exploitation and Abuse (SEA). The ANAFIC also played a leading role in South-South exchanges on decentralization and local governance across the region through its participation to events such as the 9th edition of 1 Implementation Status and Results Report (December 16, 2022). The World Bank Guinea Support to Local Governance Project (P167884) Africities held in Kisumu, Kenya, in May 2022 or meetings of the African Alliance of Local Government Finance Institutions (IFCL) and the Finance in Common Summit (FICS). The project’s GRM is performing well with 1673 complaints registered since 2020, 79% of which were addressed satisfactorily within 21 days. As of 31 December 2022, US$ 3.6 million or 73% of the component’s budget had been disbursed. 10. The legal covenants stipulated in the legal agreements have been complied with. There are no overdue audits or interim financial reports at the time of the restructuring. Financial management and procurement performances are rated Satisfactory, and the overall Safeguards rating is Moderately Satisfactory. 11. A new follow-on project, the PAGL II (P177095; US$ 81 million credit) was approved by the Board of the World Bank on 23 May 2023. The PAGL II will support the ANAFIC with the technical and institutional capacity improvements required by its expanding mandate. In addition, the project will strengthen the capacity of national and local institutions to mobilize and manage local development resources efficiently, accountably and with a greater emphasis on the quality of outcomes including (a) an adequate prioritization of climate adaptation measures in the selection of community infrastructure and services; and (b) a leading role for community members, particularly women, youth and the most vulnerable, in decisions pertaining to investments. Rationale for Restructuring 12. The PAGL project remains of strategic importance to support decentralization reform and local governance in Guinea. The project builds on prior World Bank engagement in support to decentralization, local governance and improved service delivery via the Village Community Support Project (PACV3, P156422). The PAGL played a pivotal role in the decentralization process by supporting the successful establishment and operationalization of the FNDL as a key financing instrument for local development, and the establishment of the ANAFIC as a well-run, well- performing institution overseeing the management of the fund and providing capacity-building support to local government. The current administration remains deeply committed to the decentralization and local governance agenda, as evidenced by the priorities defined in the transitional government’s 2022-2025 Interim Reference Program (PRI) and further reform proposed by the MATD such as the creation of a local public service. The MATD’s decision to expand the mandate of the ANAFIC to encompass the management of all local development financing instruments also reflects the current administration’s trust in the institutional capacity built by the project. The project’s PDO - to improve local government capacity in managing their public financial resources in a transparent and participatory manner, and in mitigating local conflicts – remains highly relevant and aligned with the World Bank’s ‘people-centered’ approach to engagement in Guinea during the political transition, emphasizing interventions contributing to alleviating socio-economic hardship and building greater social cohesion. 13. The drop in project performance in 2022 was largely a product of the changing political context, and impacts can be mitigated through a limited number of well-calibrated adjustments. A mission of the World Bank in December 2022 established that the MATD had officially demanded the reopening of LG accounts. This bodes well for the resumption of local development investments in 2023, and the project’s capacity to implement delayed activities. The World Bank Guinea Support to Local Governance Project (P167884) During the mission, the World Bank and the Recipient discussed measures to ensure a smooth resumption of activities, improve project performance and disbursements and ensure a fluid transition from PAGL to PAGL II. The proposed restructuring serves these objectives. 14. The Government of Guinea has requested a restructuring of the project in a letter dated 22 March, 2023. The proposed restructuring focuses on adjustments to (a) Disbursement-linked Indicators, and (b) Results Framework to (i) alleviate the impacts of delays experienced in 2022 and accelerate disbursements; (ii) improve incentives for a fluid and timely replenishment of the FNDL from 2023 onwards; and (iii) ensure a better alignment between PAGL and PAGL II and ensure a smooth transition from one project to another. a. Disbursement-linked Indicators. The World Bank has so far delayed the verification of DLI 3 - 200 LGs have disbursed for appropriately authorized purposes more than 50% of their FNDL transfers by December 2021 – because municipalities had only received 18% of their provisional FNDL allocation by the end of the year. This was deemed to be an insufficient base to verify the execution performance of LGs. This also points to a recurring issue with the replenishment of FNDL, which is only partly attributable to the political transition. Other factors have come into play, such as a lack of clarity regarding procedures for the accounting of the use of FNDL funds by LG. The Government of Guinea appreciates the need to address these issues, and proposes to recalibrate DLI 3 and 4 to add conditionalities that will incentivize a smoother replenishment of the fund. This will ensure optimal conditions for the implementation of PAGL II, which also includes incentives (Performance-based Conditions) tied to FNDL replenishment and execution. b. Results Framework. Changes to the definition, target values and timeline of some indicators are proposed to take into account implementation delays in 2022 but also and primarily to ensure a better alignment between PAGL and the follow-on project PAGL II and reflect agreements between the World Bank and the Recipient on the sequencing of PAGL and PAGL II activities. For instance, some activities piloted by PAGL will now be scaled- up by PAGL II and PAGL targets and timeline must be adjusted accordingly. 15. The restructuring of PAGL requested by the Government of Guinea is justified: (i) the project’s PDO remains highly relevant and aligned with World Bank and government priorities; it remains achievable; (ii) while the project’s progress towards achievement of the PDO and implementation progress are rated Moderately Unsatisfactory, this was largely the result of political and institutional developments outside of the project’s control; the impact of these developments was temporary and the proposed restructuring will contribute to minimizing adverse effects; (iii) the Recipient has proposed a sensible approach for addressing delays and ensure completion of of project activities by the proposed closing date ; (iv) the restructuring will contribute to ease the transition between the PAGL and the follow-on project PAGL II; and (v) the audit reports are satisfactory to the World Bank and there are no outstanding ones. The Bank will continue to provide implementation support to the Recipient to ensure completion of activities by the proposed closing date. The proposed restructuring does not involve changes to the PDO, costs and components or to the project’s implementation schedule or implementation arrangements. The World Bank Guinea Support to Local Governance Project (P167884) II. DESCRIPTION OF PROPOSED CHANGES 16. The proposed changes to the project include the following: (i) changes to the Disbursement-linked Indicators, specifically DLI 3 and 4; (ii) change to the results framework; (iii) change to disbursements estimates. 17. Changes to Disbursement-linked Indicators. The following changes are proposed to DLI 3 and DLI 4: a. DLI 3 - 200 LGs have disbursed for appropriately authorized purposes more than 50% of their FNDL transfers (US$ 7 million). One conditionality is added to the verification protocol of the DLI: the publication of a joint arreté ministériel clarifying the process for the regularization of the FNDL Special Budget Allocation (Budget d’Affectation Spéciale – BAS). b. DLI 4 - 300 LGs have disbursed for appropriately authorized purposes more than 60% of their FNDL transfers (US$ 7 million). This DLI is split into two: i. DLI 4a - 300 LGs have disbursed for appropriately authorized purposes more than 60% of their FNDL transfers (US$ 4 million). This DLI will be verified before 30 June 2024, using the 2023 Guinea fiscal year as reference: it will be calculated based on the execution rate by LGs of 2023 FNDL funds received by 31 December 2023. ii. DLI 4b - FNDL real annual disbursement > 70% by December 2023 (US$ 3 million). This DLI will verify that the actual amount of FNDL funds transferred from the national budget to the ANAFIC by 31 December 2023 represents at least 70% of the provisional FNDL allocation indicated in the amended Finance Bill (Loi de Finance Rectificative). 18. Changes to the Results Framework. The results framework is updated to: (i) provide a more precise phrasing, definition and methodology for measuring some indicators; (iii) better align some indicators with the results framework of the follow-on project PAGL II; (iii) adjust targets to context and to the agreed sequencing of activities between PAGL and PAGL II; (iv) delete redundant indicators. a. The end target date for all RF indicators is changed from 31 March 2023 to 31 October 2024 (project closing date). b. Specific changes to individual indicators and their justification are summarized in Table 1 below. 19. Changes to disbursement estimates. The new disbursement projections reflect changes in the schedule of DLI payments and are provided in Section IV. Detailed Changes below. Table 1. Changes to indicators Indicator Changes Justification PDO Indicators LGs FNDL investment budget Definition updated to: Measures the average rate of execution of the The updated definition provides execution rate FNDL funds actually received from the ANAFIC by municipalities. greater precision and calculates Measured each year based on FNDL funds received and executed the execution rate based on during the corresponding budget year, for all eligible municipalities actual funds received by outside of Conakry. municipalities. Total number of direct Definition updated from: The number of people benefitted from the The indicator definition initially beneficiaries (Number) project activities to The number of people who directly benefitted from included indirect beneficiaries - sub-indicator: of which the project activities. Direct beneficiaries are considered to be benefitting from subprojects women (Number) participants in Participatory Budget and Participatory Monitoring implemented with FNDL funds sessions, beneficiaries of trainings facilitated by the National Center The World Bank Guinea Support to Local Governance Project (P167884) for the Training and Development of Cadres and Elected Officials even though these subprojects (CNFPCE), participants in the implementation of EWERS and GRM are not financed by the project. trainings and other project-related trainings. Sub-indicator added to disaggregate results for youth Target updated from 4,003,160 (incl. 2,000,000 women) to 556,588 (including 169,073 women), based on the new definition. Youth target: 220,000. Citizens who are satisfied Indicator name changed to Percentage of targeted people that New formulation is aligned with with the investments made express the opinion that LGs investments reflect their development one of the PAGL II’s PDO by LG in a participatory needs and priorities (Percentage) indicators. The PAGL II will use manner (Percentage) the value of the survey - sub-indicator: Citizens Sub-indicator changed to Percentage of targeted women that conducted as part of the PAGL (women) who are satisfied express the opinion that LGs investments reflect their development MTR as its baseline value. with the investments made needs and priorities (Percentage) by LG in a participatory manner (Percentage) Youth sub-indicator added: Percentage of targeted youth that express the opinion that LGs investments reflect their development needs and priorities (Percentage) Intermediate Results Indicators Number of urban LGs with a Indicator name changed to Number of urban planning studies The actual project commitment local development plan executed (Number) is to deliver studies, that will in adapted to the urban turn inform development context (Number) planning in pilot municipalities. The indicator has been adjusted to focus on project outputs. Percentage of LGs that Indicator changed to Number of LGs that manage the accounting Indicator changed to reflect manage the accounting and and budgetary management of the municipality using the SIM-BA decision by World Bank and budgetary management of software package in a satisfactory manner (Number) Recipient to limit the scope of the municipality using the this PAGL activity to piloting the SIM-BA software package in Target changed from 50% of LGs to 8 LGs software package in 8 a satisfactory manner municipalities. The PAGL II will (Percentage) finance the scale-up of the software package in all municipalities outside of Conakry. Percentage of LGs with Indicator broken down into two sub-indicators: The disaggregation allows a Participatory Budgeting (BP) - Percentage of LGs with Participatory Budgeting (BP) (Percentage) better monitoring of progress and Citizen Monitoring of - Percentage of LGs with Citizen Monitoring of Service Delivery (SEP) for each process (BP vs SEP). A Service Delivery (SEP) (Percentage) more realistic target is (Percentage) proposed. Definition updated to clarify that these indicators are measured each year and targets are not cumulative. Targeted changed from 100% to 90% Number of LGs that have set Targeted changed from 337 to 169 Establishing the EWRS is based up an EWRS (Number) on needs and applies to LGs where there are tensions or conflicts. At this stage the project has assessed that only 169 LGs need an EWRS. The target has been achieved. Percentage of women and Indicator broken down into two sub-indicators: The lack of disaggregation didn’t youth in different - Percentage of women in different committees in the target LGs allow for a clear view of how (Percentage) The World Bank Guinea Support to Local Governance Project (P167884) committees in the target LGs - Percentage of youth in different committees in the target LGs many women vs. youth were (Percentage) (Percentage) members of the committees Number of people trained, of Deleted This indicator is now captured which women (Number) under newly formulated PDO indicator: Total number of direct beneficiaries (Number) III. SUMMARY OF CHANGES Changed Not Changed Results Framework ✔ PBCs ✔ Disbursement Estimates ✔ Implementing Agency ✔ DDO Status ✔ Project's Development Objectives ✔ Components and Cost ✔ Loan Closing Date(s) ✔ Cancellations Proposed ✔ Reallocation between Disbursement Categories ✔ Disbursements Arrangements ✔ Overall Risk Rating ✔ Safeguard Policies Triggered ✔ EA category ✔ Legal Covenants ✔ Institutional Arrangements ✔ Financial Management ✔ Procurement ✔ Implementation Schedule ✔ Other Change(s) ✔ The World Bank Guinea Support to Local Governance Project (P167884) Economic and Financial Analysis ✔ Technical Analysis ✔ Social Analysis ✔ Environmental Analysis ✔ IV. DETAILED CHANGE(S) OPS_DETAILEDCHANGES_DISBURSEMENT_TABLE DISBURSEMENT ESTIMATES Change in Disbursement Estimates Yes Year Current Proposed 2019 0.00 0.00 2020 8,400,000.00 4,386,595.44 2021 10,000,000.00 10,745,767.58 2022 10,000,000.00 3,844,325.46 2023 9,000,000.00 9,000,000.00 2024 2,000,000.00 11,000,000.00 2025 600,000.00 1,023,311.60 . The World Bank Guinea Support to Local Governance Project (P167884) . Results framework COUNTRY: Guinea Guinea Support to Local Governance Project Project Development Objectives(s) To improve local government capacity in managing their public financial resources in a transparent and participatory manner, and in mitigating local conflicts Project Development Objective Indicators by Objectives/ Outcomes RESULT_FRAME_TBL_PDO Indicator Name PBC Baseline End Target Improve LG capacity in managing public financial resources & mitigating local conflicts (see PDO) LGs FNDL investment budget execution rate (Percentage) PBC 1.3 0.00 70.00 Action: This indicator has been Revised Total number of direct beneficiaries (Number) 0.00 556,588.00 Rationale: The indicator definition initially included indirect beneficiaries benefitting from subprojects implemented with FNDL funds Action: This indicator has been Revised even though these subprojects are not financed by the project. of which women (Number) 0.00 169,073.00 Action: This indicator has been Revised of which youth (Number) 0.00 220,000.00 The World Bank Guinea Support to Local Governance Project (P167884) RESULT_FRAME_TBL_PDO Indicator Name PBC Baseline End Target Rationale: youth are a main target group of the project and need to be measured. As this data wasn't previously collected this Action: This indicator is New indicator will be collected from April 2023 onwards. Percentage of targeted people that express the opinion that LGs investments reflect their development needs and priorities 55.00 75.00 (Percentage) Rationale: New formulation is aligned with one of the PAGL II’s PDO indicators. The PAGL II will use the value of the survey conducted Action: This indicator has been Revised as part of the PAGL MTR as its baseline value. Percentage of targeted women that express the opinion that LGs investments reflect their development needs and 55.00 75.00 priorities (Percentage) Action: This indicator has been Revised Percentage of targeted youth that express the opinion that LGs investments reflect their development needs and 0.00 75.00 priorities (Percentage) Rationale: Youth are one of the main target groups of the project and so a sub-indicator has been added to measure their perception Action: This indicator is New of the investments. Reported risks of conflicts addressed by EWRS (Percentage) 0.00 75.00 Action: This indicator has been Revised The World Bank Guinea Support to Local Governance Project (P167884) PDO Table SPACE Intermediate Results Indicators by Components RESULT_FRAME_TBL_IO Indicator Name PBC Baseline End Target Supporting the operationalization of the FNDL Annual disbursement rate of the FNDL to LGs (Percentage) PBC 2 0.00 80.00 Action: This indicator has been Revised Building institutions and capacity for inclusive and accountable local governance Number of urban planning studies executed (Number) 0.00 8.00 Rationale: The actual project commitment is to deliver studies, that will in turn inform development planning in pilot municipalities. Action: This indicator has been Revised The indicator has been adjusted to focus on project outputs. Number of LGs that manage the accounting and budgetary management of the municipality using the SIM-BA software 0.00 8.00 package in a satisfactory manner (Number) Rationale: Indicator changed to reflect decision by World Bank and Recipient to limit the scope of this PAGL activity to piloting the Action: This indicator has been Revised software package in 8 municipalities. The PAGL II will finance the scale-up of the software package in all municipalities outside of Conakry. Number of people trained, of which women (Number) 0.00 9,802.00 Action: This indicator has been Marked for Deletion Percentage of reported grievances related to the ANAFIC 0.00 60.00 addressed in a timely manner (Percentage) The World Bank Guinea Support to Local Governance Project (P167884) RESULT_FRAME_TBL_IO Indicator Name PBC Baseline End Target Action: This indicator has been Revised Percentage of LGs with Participatory Budgeting (BP) and Citizen 39.00 90.00 Monitoring of Service Delivery (SEP) (Percentage) Rationale: Action: This indicator has been Revised The disaggregation allows a better monitoring of progress for each process (BP vs SEP). A more realistic target is proposed. Percentage of LGs with Participatory Budgeting (BP) 39.00 90.00 (Percentage) Action: This indicator is New Percentage of LGs with Citizen Monitoring of Service Delivery 39.00 90.00 (SEP) (Percentage) Action: This indicator is New Number of LGs that have set up an EWRS (Number) 7.00 169.00 Rationale: Establishing the EWRS is based on needs and applies to LGs where there are tensions or conflicts. At this stage the project Action: This indicator has been Revised has assessed that only 169 LGs (the achieved target) need an EWRS. Percentage of women and youth in different committees in the 35.00 50.00 target LGs (Percentage) Rationale: Action: This indicator has been Revised The lack of disaggregation didn’t allow for a clear view of how many women vs. youth were members of the committees Percentage of women in different committees in the target 35.00 30.00 LGs (Percentage) The World Bank Guinea Support to Local Governance Project (P167884) RESULT_FRAME_TBL_IO Indicator Name PBC Baseline End Target Action: This indicator is New Percentage of youth in different committees in the target LGs 0.00 20.00 (Percentage) Action: This indicator is New Project management support Performance audit of ANAFIC (Number) 0.00 2.00 Action: This indicator has been Revised IO Table SPACE Performance-Based Conditions Matrix DLI IN01242017 ACTION PBC 1 Operationalization of the FNDL Type of PBC Scalability Unit of Measure Total Allocated Amount (USD) As % of Total Financing Amount Outcome No Yes/No 20,000,000.00 0.00 Period Value Allocated Amount (USD) Formula Baseline No December, 2019 2,000,000.00 December, 2020 4,000,000.00 December, 2022 7,000,000.00 The World Bank Guinea Support to Local Governance Project (P167884) December 2023 Yes 7,000,000.00 DLI IN01242018 ACTION Regulatory texts to operationalize FNDL are signed and FNDL account has effectively been opened and funds transferred PBC 1.1 thereto Type of PBC Scalability Unit of Measure Total Allocated Amount (USD) As % of Total Financing Amount Output No Yes/No 2,000,000.00 0.00 Period Value Allocated Amount (USD) Formula Baseline No December, 2019 Yes 2,000,000.00 December, 2020 0.00 December, 2022 0.00 December 2023 Yes 0.00 DLI IN01242019 ACTION PBC 1.2 FNDL real annual disbursement > 70% Type of PBC Scalability Unit of Measure Total Allocated Amount (USD) As % of Total Financing Amount Intermediate Outcome No Percentage 4,000,000.00 0.00 Period Value Allocated Amount (USD) Formula Baseline 0.00 December, 2019 0.00 The World Bank Guinea Support to Local Governance Project (P167884) December, 2020 70.00 4,000,000.00 December, 2022 0.00 December 2023 70.00 0.00 DLI IN01242020 ACTION PBC 1.3 200 LGs have disbursed for appropriately authorized purposes more than 50% of their FNDL transfers Type of PBC Scalability Unit of Measure Total Allocated Amount (USD) As % of Total Financing Amount Outcome No Number 7,000,000.00 0.00 Period Value Allocated Amount (USD) Formula Baseline 0.00 December, 2019 0.00 December, 2020 0.00 December, 2022 200.00 7,000,000.00 December 2023 200.00 0.00 Action: This PBC has been Revised. See below. DLI IN01272589 ACTION PBC 1.3 LGs FNDL investment budget execution rate Type of PBC Scalability Unit of Measure Total Allocated Amount (USD) As % of Total Financing Amount Outcome No Percentage 7,000,000.00 0.00 Period Value Allocated Amount (USD) Formula The World Bank Guinea Support to Local Governance Project (P167884) Baseline 0.00 December, 2019 0.00 December, 2020 0.00 December, 2022 7,000,000.00 December 2023 0.00 DLI IN01242021 ACTION PBC 1.4 300 LGs have disbursed for appropriately authorized purposes more than 60% of their FNDL transfers Type of PBC Scalability Unit of Measure Total Allocated Amount (USD) As % of Total Financing Amount Outcome No Number 7,000,000.00 0.00 Period Value Allocated Amount (USD) Formula Baseline 0.00 December, 2019 0.00 December, 2020 0.00 December, 2022 0.00 December 2023 300.00 7,000,000.00 Action: This PBC has been Revised. See below. The World Bank Guinea Support to Local Governance Project (P167884) DLI IN01272609 ACTION PBC 1.4 300 LGs have disbursed for appropriately authorized purposes more than 60% of their 2023 FNDL transfers Type of PBC Scalability Unit of Measure Total Allocated Amount (USD) As % of Total Financing Amount Outcome No Number 4,000,000.00 0.00 Period Value Allocated Amount (USD) Formula Baseline 0.00 December, 2019 0.00 0.00 December, 2020 0.00 0.00 December, 2022 0.00 0.00 December 2023 300.00 4,000,000.00 DLI IN01272610 ACTION PBC 2 2023 FNDL real annual disbursement > 70% Type of PBC Scalability Unit of Measure Total Allocated Amount (USD) As % of Total Financing Amount Intermediate Outcome No Percentage 3,000,000.00 0.00 Period Value Allocated Amount (USD) Formula Baseline 0.00 December, 2019 0.00 0.00 December, 2020 70.00 0.00 December, 2022 0.00 0.00 The World Bank Guinea Support to Local Governance Project (P167884) December 2023 70.00 3,000,000.00 Action: This PBC is New Verification Protocol Table: Performance-Based Conditions DLI_TBL_VERIFICATION PBC 1 Operationalization of the FNDL Description To support operationalization of the FNDL. Data source/ Agency See each of the four Disbursement Linked Results Verification Entity Independent verifier To be detailed in Project Implementation Manual Procedure DLI_TBL_VERIFICATION Regulatory texts to operationalize FNDL are signed and FNDL account has effectively been opened and funds transferred PBC 1.1 thereto Regulatory texts to operationalize FNDL are signed (Decisions clarifying FNDL account provisioning, allocation, execution Description modalities, ANAFIC Operational Manual approved by ANAFIC Board) and FNDL account has effectively been opened and funds transferred thereto Data source/ Agency Official Gazette (jounal official), at Secretariat General du Gouvernement (SG) Verification Entity Independent verifier To be detailed in Project Implementation Manual Procedure DLI_TBL_VERIFICATION PBC 1.2 FNDL real annual disbursement > 70% The FNDL real annual disbursement are the transfers made to LG within the past year compared to the actual Description replenishment of the FNDL from the 15 percent mining tax on the FNDL account. Data source/ Agency Annual statement of the FNDL account. The World Bank Guinea Support to Local Governance Project (P167884) Verification Entity Independent verifier To be detailed in Project Implementation Manual Procedure DLI_TBL_VERIFICATION PBC 1.3 200 LGs have disbursed for appropriately authorized purposes more than 50% of their FNDL transfers 200 Local Governments which represent about a third, have financially executed the FNDL transfers received within the Description year above 50 percent. NB: FNDL is the fund through which the 15 percent of the mining tax is allocated to Local Government Data source/ Agency ANAFIC Local Government account statements Verification Entity Independent verifier To be detailed in Project Implementation Manual Procedure DLI_TBL_VERIFICATION PBC 1.3 LGs FNDL investment budget execution rate Measures the average rate of execution of the FNDL funds actually received from the ANAFIC by municipalities. Measured Description each year based on FNDL funds received and executed during the corresponding budget year, for all eligible municipalities outside of Conakry. Data source/ Agency ANAFIC Local Government account statements Verification Entity Independent verifier To be detailed in Project Implementation Manual Procedure DLI_TBL_VERIFICATION PBC 1.4 300 LGs have disbursed for appropriately authorized purposes more than 60% of their FNDL transfers 300 Local Governments have financially executed the FNDL transfers received within the year above 60 percentNB: FNDL is Description the fund through which the 15 percent of the mining tax is allocated to Local Government Data source/ Agency ANAFIC Local Government account statement Verification Entity Independent verifier The World Bank Guinea Support to Local Governance Project (P167884) Toe be detailed Project Implementation Manual Procedure DLI_TBL_VERIFICATION PBC 1.4 300 LGs have disbursed for appropriately authorized purposes more than 60% of their 2023 FNDL transfers 300 municipalities outside of Conakry have financially executed at least 60 percent of the FNDL funds received as part of the Description 2023 budget year. Data source/ Agency ANAFIC Local Government account statement Verification Entity Independent verifier To be detailed in the Project Implementation Manual Procedure DLI_TBL_VERIFICATION PBC 2 2023 FNDL real annual disbursement > 70% This DLI will verify that the actual amount of FNDL funds transferred from the national budget to the ANAFIC by 31 December 2023 represents at least 70% of the provisional FNDL allocation indicated in the amended Finance Bill (Loi de Description Finance Rectificative). ANAFIC Data source/ Agency Independent Verification Agency Verification Entity Refer to verification process for PBC 1.2 in PIM Procedure . The World Bank Guinea Support to Local Governance Project (P167884)