The World Bank AR Socio-Economic Inclusion In Rural Areas (P106685) REPORT NO.: RES46040 DOCUMENT OF THE WORLD BANK RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF AR SOCIO-ECONOMIC INCLUSION IN RURAL AREAS APPROVED ON JUNE 11, 2015 TO ARGENTINE REPUBLIC AGRICULTURE AND FOOD LATIN AMERICA AND CARIBBEAN Regional Vice President: Carlos Felipe Jaramillo Country Director: Jordan Z. Schwartz Regional Director: Anna Wellenstein Practice Manager/Manager: Diego Arias Carballo Task Team Leader(s): Tomas Ricardo Rosada Villamar, Joanne Catherine Gaskell The World Bank AR Socio-Economic Inclusion In Rural Areas (P106685) I. BASIC DATA Product Information Project ID Financing Instrument P106685 Investment Project Financing Original EA Category Current EA Category Partial Assessment (B) Partial Assessment (B) Approval Date Current Closing Date 11-Jun-2015 30-Jun-2022 Organizations Borrower Responsible Agency Dirección General de Programas y Proyectos Sectoriales Argentine Republic y Especiales (DIPROSE) Project Development Objective (PDO) Original PDO To increase the socio-economic inclusion of rural poor (small producers, indigenous people, and rural workers) by: (a) strengthening their organizational, planning and management capacity to achieve poverty-reduction goals; (b) improving their access to communityinfrastructure and services; and (c) piloting a new model for developing sustainable access to markets. Summary Status of Financing (US$, Millions) Net Ln/Cr/Tf Approval Signing Effectiveness Closing Commitment Disbursed Undisbursed IBRD-80930 11-Jun-2015 09-Dec-2015 07-Apr-2016 30-Jun-2022 52.50 43.83 8.67 The World Bank AR Socio-Economic Inclusion In Rural Areas (P106685) Policy Waiver(s) Does this restructuring trigger the need for any policy waiver(s)? No II. SUMMARY OF PROJECT STATUS AND PROPOSED CHANGES PROJECT STATUS: The Project implementation pace is robust. 4 of the 5 PDO indicators have exceeded their end target and the remaining one is expected to reach at least 80%. The implementation has been very good over the last year and the project was able to successfully achieve the milestones agreed in the action plan to improve implementation of the project. This was confirmed during the last supervision mission in May 2022, therefore the Task Team is raising the ratings for both the Progress toward Project Development Objectives (PDO) and Overall Implementation Progress (IP) to Satisfactory (S) and the overall risk rating will be lowered to Moderate, with only the fiduciary and macro risk ratings remining Substantial. The project is in compliance with environmental and social safeguards policies. A subproject concurrent audit report for the second half of 2021 is overdue. The team requested and obtained an internal waiver to allow for the processing of the restructuring and extension of the project closing date, notwithstanding this pending concurrent audit submission. PROPOSED CHANGES: To date, the project has disbursed US$43.83 million or 83.5 percent of the loan. All loan proceeds are committed, and disbursements are expected to reach almost US$8.7 million in the second semester of 2022. The proposed extension of five months is required to adequately complete the ongoing investments and fully achieve the objectives of the project. There will be some minor adjustments between disbursement categories, but the total loan amount remains unchanged of expenditures. III. DETAILED CHANGES LOAN CLOSING DATE(S) Original Revised Proposed Proposed Deadline Ln/Cr/Tf Status Closing Closing(s) Closing for Withdrawal Applications IBRD-80930 Effective 28-Feb-2021 30-Jun-2022 30-Nov-2022 30-Mar-2023 The World Bank AR Socio-Economic Inclusion In Rural Areas (P106685) REALLOCATION BETWEEN DISBURSEMENT CATEGORIES Current Current Actuals + Proposed Disbursement % Ln/Cr/TF Expenditure Allocation Committed Allocation (Type Total) Category Current Proposed IBRD- CS, NCS, TR & 2,100,000.00 340,619.87 511,839.63 100.00 100.00 80930-001 OP - Pt 1 Currency: GO, CW, CS, NCS USD under part 2(b) 10,000,000.00 95,140.83 4,334,524.13 100.00 100.00 of the project Grants for Productive Alliance 9,920,221.51 6,934,611.16 8,954,454.51 100.00 100.00 Subprojects under Part 3(b) of the project CW & GO: Community Subp. Pt 2 - 372,123.45 372,123.45 372,123.45 100.00 100.00 incurred on or prior to Dec 31, 2018 NCS & CS: Community Subp. Pt 2 - 2,810.00 2,809.99 2,810.00 100.00 100.00 incurred on or prior to Dec 31, 2018 CW & GO: IP Community Subp. Pt 2 - 542,795.49 542,795.49 542,795.49 100.00 100.00 incurred on or prior to Dec 31, 2018 NCS & CS: IP Community Subp. Pt 2 - 8,671.85 8,671.85 8,671.85 100.00 100.00 incurred on or prior to Dec 31, 2018 The World Bank AR Socio-Economic Inclusion In Rural Areas (P106685) CS, NCS, GO, TR 1,000,000.00 202,264.67 204,514.66 100.00 100.00 & OP - Part 3a CW & GO: Prod. Alliances Subp. P3b - incurred 78,150.24 78,150.24 78,150.24 100.00 100.00 on or prior to Dec 31, 2018 NCS,CS&OP: Prod.Alliances Subp. P3b - 1,628.25 1,628.25 1,628.50 100.00 100.00 incurred on or prior to Dec 31, 2018 GO, CS & NCS - 528,750.00 234,720.72 528,750.00 100.00 100.00 Part 4 PREMIUM FOR 0.00 0.00 0.00 CAPS/COLLARS Grants for Rural Investment Subprojects 27,813,599.21 24,071,093.59 36,828,487.54 100.00 100.00 under Part 2(a) of the project FRONT END FEE 131,250.00 131,250.00 131,250.00 Total 52,500,000.00 33,015,880.11 52,500,000.00