The World Bank Implementation Status & Results Report Maldives Competitiveness and Growth Project (P179286) Maldives Competitiveness and Growth Project (P179286) SOUTH ASIA | Maldives | Finance, Competitiveness and Innovation Global Practice | IBRD/IDA | Investment Project Financing | FY 2023 | Seq No: 1 | ARCHIVED on 28-Jul-2023 | ISR57336 | Implementing Agencies: Ministry of Finance, Republic of Maldives Key Dates Key Project Dates Bank Approval Date: 12-May-2023 Effectiveness Date: 23-Jun-2023 Planned Mid Term Review Date: 24-Nov-2025 Actual Mid-Term Review Date: Original Closing Date: 30-Jun-2028 Revised Closing Date: 30-Jun-2028 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The project development objective is to strengthen private participation in and financial sustainability of State-Owned Enterprises, and the support mechanisms for the competitiveness of small and medium enterprises. Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Component 1: Accelerating SOE Reforms:(Cost $7.00 M) Component 2: Fostering SME Competitiveness:(Cost $7.00 M) Component 3: Project Management:(Cost $1.00 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO -- Satisfactory Overall Implementation Progress (IP) -- Satisfactory Overall Risk Rating -- Substantial Implementation Status and Key Decisions The project was approved on May 12, 2023, and was declared effective on June 23, 2023. 7/28/2023 Page 1 of 9 The World Bank Implementation Status & Results Report Maldives Competitiveness and Growth Project (P179286) Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Substantial -- Substantial Macroeconomic Substantial -- Substantial Sector Strategies and Policies Substantial -- Substantial Technical Design of Project or Program Moderate -- Moderate Institutional Capacity for Implementation and Substantial -- Substantial Sustainability Fiduciary Substantial -- Substantial Environment and Social Moderate -- Moderate Stakeholders Moderate -- Moderate Other Low -- Low Overall Substantial -- Substantial Results PDO Indicators by Objectives / Outcomes Strengthen private participation in and financial sustainability of State-Owned Enterprises IN01325846 ►SOEs taken to market (Number, Custom, PBC) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 5.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 Count of number of SOEs supported by the project that are taken to market. 'Taken to market' is defined Comments: as the offer by the Government to the market for a private participation. This could range from a formal prospectus to a letter of invitation. IN01325848 ►Significant SOEs that establish clear public service obligations (PSO) reform plans (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 5.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 'Financial sustainability' for the project is defined as viability as relates to public service obligations (PSO). 'PSO' is defined as an obligation (that has financial consequences including capital contributions and/or Comments: subsidies) that the Government requires an SOE to undertake. PSO are used to pay for services provided by the SOE that are not compensated by the market. 'PSO reform plans' refer to plans that include: (i) 7/28/2023 Page 2 of 9 The World Bank Implementation Status & Results Report Maldives Competitiveness and Growth Project (P179286) PSO definition and (ii) PSO targeting strategy. 'Significant SOEs' mean SOEs that have a balance sheet size and/or PSO size above an agreed threshold. Strengthen the support mechanisms for the competitiveness of small and medium enterprises IN01325847 ►SMEs receiving commercial loans based on alternative credit scores (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 100.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 Number of unique SMEs that have availed loans from the Financial Institutions (FIs), including Banks, Comments: NBFIs, and Fintechs, on the basis of alternative credit scores that will be generated through the systems created under Subcomponent 2.1. IN01325849 Of which women-owned/led (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 30.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 IN01325850 ►Revenue increase of supported men-owned/led SMEs (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 20.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 Comments: Revenue increase of men-owned/led SMEs supported by the SME Growth Acceleration Program. IN01325851 ►Revenue increase of supported women-owned/led SMEs (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 30.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 Comments: Revenue increase of women-owned/led SMEs supported by the SME Growth Acceleration Program. Intermediate Results Indicators by Components Component 1: Accelerating SOE Reforms IN01325852 ►Private participation in/with SOEs (Amount(USD), Custom) 7/28/2023 Page 3 of 9 The World Bank Implementation Status & Results Report Maldives Competitiveness and Growth Project (P179286) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 100,000,000.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 This value includes direct and indirect (e.g., retirement of debt) proceeds received by the Ministry of Comments: Finance or the SOE itself (capitalization) from a private participation process. IN01325855 ►SOE private participation plans and due diligences completed and approved by the MoF (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 12.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 Private participation plans and due diligences refer to any study completed on a SOE that includes a strategy for private participation or provides information (e.g., due diligence, regulatory advice, etc.) that assists a private participation process. For each planned SOE private participation, there will be one initial Comments: plan (total target = 4). This plan will, inter alia, develop a strategy, review the market conditions, and identify the due diligence requirements (usually 2-4 per transaction for a total target = 8). The sum total of plans and follow-on due diligences results in the target of 12. IN01325860 ►Issuance of SOE private participation and governance reform policies that apply to all SOEs that address stakeholder and other (e.g., ESG) concerns (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 2.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 These policies include any policy prepared by the PCB or the Ministry of Finance to support private Comments: participation. Examples include Environmental-Social-Governance (ESG) and Labor Policies. IN01325862 ►Approval of SOE-specific Corporate Governance Improvement Action Plans (Number, Custom, PBC) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 5.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 'Corporate Governance Improvement Action Plan' means an action plan describing improvements in an Comments: SOE’s systems and policies that enable it to follow the SOE Corporate Governance Code (issued by the PCB) and produce a Statement of Corporate Intent (SCI). IN01325864 ►Strengthened SOE monitoring capability through the initial annual publication of KPI based operational data (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 5.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 The Key Performance Indicators (KPIs) which are operational are identified annually and included in the Comments: SCI at the beginning of the reporting year and are then reported by the SOE to the Government at the end of year. 7/28/2023 Page 4 of 9 The World Bank Implementation Status & Results Report Maldives Competitiveness and Growth Project (P179286) IN01325866 ►Publication of SOE subsidy reform policy (Yes/No, Custom, PBC) Baseline Actual (Previous) Actual (Current) End Target Value No -- No Yes Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 The draft SOE subsidy reform policy will be included in the White Paper published by the Ministry of Comments: Finance for public consultations. Component 2: Fostering SME Competitiveness IN01325853 ►Unique requests for alternative credit scores from the Credit Information Bureau (Number, Custom, PBC) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 500.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 The number of unique requests made by the Financial Institutions (FIs) or SMEs for the alternative-credit Comments: score, generated through the new systems created under Subcomponent 2.1. Multiple requests made for/by the same SME/borrower within a span of three months would be counted just once. IN01325856 ►Firms benefiting from private sector initiatives (Number, Corporate, PBC) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 50.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 IN01325858 ►SMEs that introduced an innovation (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 20.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 Number of firms under the SME Growth Acceleration Program that introduced an innovation. 'Innovation' Comments: is defined as the implementation of a new or significantly improved product (goods or services), process, practice, marketing method, workplace organization, or external relations. IN01325861 Of which women-owned/led (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 6.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 IN01325863 Of which climate related innovation (Number, Custom Breakdown) 7/28/2023 Page 5 of 9 The World Bank Implementation Status & Results Report Maldives Competitiveness and Growth Project (P179286) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 4.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 IN01325865 ►Women-owned/led SMEs that complete the SME growth acceleration program (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 15.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 Number of women-owned/led SMEs that qualify for and successfully complete the SME growth Comments: acceleration program. IN01325867 Of which able to secure commercial loans (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 10.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 Component 3: Project Management IN01325854 ►SOEs expressing satisfaction with project activities that address stakeholder concerns (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 75.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 Beneficiary feedback from SOEs management and staff to assess their satisfaction with the project Comments: activities that address stakeholder concerns. IN01325857 ►SMEs expressing satisfaction on project activities that address stakeholder concerns (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 75.00 Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 Beneficiary feedback from SME (including women-owned/led) management and staff to assess their Comments: satisfaction with the project activities that address stakeholder concerns. IN01325859 ►Grievances addressed within two weeks (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 0.00 75.00 7/28/2023 Page 6 of 9 The World Bank Implementation Status & Results Report Maldives Competitiveness and Growth Project (P179286) Date 01-May-2023 -- 31-Jul-2023 30-Jun-2028 Comments: Percentage of grievances addressed within two weeks. Performance-Based Conditions IN01325868 ►PBC 1 SOEs taken to market (Number, Output, 750,000.00, 0.00%) July 1, 2024 – June Baseline Actual (Previous) Actual (Current) 30, 2026 Value 0.00 -- 0.00 -- Date -- -- 31-Jul-2023 -- IN01325869 ►PBC 2 Approval of SOE-specific Corporate Governance Improvement Action Plans (Number, Process, 750,000.00, 5%) July 1, 2024 – June Baseline Actual (Previous) Actual (Current) 30, 2026 Value 0.00 -- 0.00 -- Date -- -- 31-Jul-2023 -- IN01325870 ►PBC 3 Publication of SOE subsidy reform policy (Yes/No, Intermediate Outcome, 750,000.00, 5%) July 1, 2024 – June Baseline Actual (Previous) Actual (Current) 30, 2026 Value No -- No -- Date -- -- 31-Jul-2023 -- IN01325871 ►PBC 4 Unique requests for alternative credit scores from the Credit Information Bureau (Number, Intermediate Outcome, 750,000.00, 5%) July 1, 2024 – June Baseline Actual (Previous) Actual (Current) 30, 2026 7/28/2023 Page 7 of 9 The World Bank Implementation Status & Results Report Maldives Competitiveness and Growth Project (P179286) Value 0.00 -- 0.00 -- Date -- -- 31-Jul-2023 -- IN01325872 ►PBC 5 Unique requests for alternative credit scores from the Credit Information Bureau (Number, Intermediate Outcome, 750,000.00, 5%) July 1, 2024 – June Baseline Actual (Previous) Actual (Current) 30, 2026 Value 0.00 -- 0.00 -- Date -- -- 31-Jul-2023 -- IN01325873 ►PBC 6 Firms benefiting from private sector initiatives (Number, Process, 750,000.00, 5%) July 1, 2024 – June Baseline Actual (Previous) Actual (Current) 30, 2026 Value 0.00 -- 0.00 -- Date -- -- 31-Jul-2023 -- Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P179286 IDA-73050 Effective USD 7.50 7.50 0.00 0.00 7.51 0% P179286 IDA-E1690 Effective USD 7.50 7.50 0.00 0.00 7.51 0% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P179286 IDA-73050 Effective 12-May-2023 18-Jun-2023 23-Jun-2023 30-Jun-2028 30-Jun-2028 P179286 IDA-E1690 Effective 12-May-2023 18-Jun-2023 23-Jun-2023 30-Jun-2028 30-Jun-2028 Cumulative Disbursements 7/28/2023 Page 8 of 9 The World Bank Implementation Status & Results Report Maldives Competitiveness and Growth Project (P179286) Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 7/28/2023 Page 9 of 9