The World Bank CI: Cote d'Ivoire E-Agriculture Project (P160418) REPORT NO.: RES57836 RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF CI: COTE D'IVOIRE E-AGRICULTURE PROJECT APPROVED ON MAY 25, 2018 TO REPUBLIC OF COTE D'IVOIRE DIGITAL DEVELOPMENT WESTERN AND CENTRAL AFRICA Regional Vice President: Ousmane Diagana Country Director: Marie-Chantal Uwanyiligira Regional Director: Zhenwei Qiang Practice Manager/Manager: Daria Lavrentieva Task Team Leader(s): Xavier Stephane Decoster, Gloodiey Rita Armelle Oulai, Jean-Philippe Tre The World Bank CI: Cote d'Ivoire E-Agriculture Project (P160418) ABBREVIATIONS AND ACRONYMS FY Fiscal Year GoCIV Government of Côte d’Ivoire ICT Information and Communication Technology IDA International Development Association MICEN Ministère de la Communication et de l’Economie Numérique / Ministry of Communication and Digital Economy MIRAH Ministère des Ressources Animales et Halieutiques / Ministry of Animal and Fisheries Resources PDO Project Development Objective PIU Project Implementation Unit The World Bank CI: Cote d'Ivoire E-Agriculture Project (P160418) BASIC DATA Product Information Project ID Financing Instrument P160418 Investment Project Financing Original EA Category Current EA Category Partial Assessment (B) Partial Assessment (B) Approval Date Current Closing Date 25-May-2018 31-Oct-2023 Organizations Borrower Responsible Agency Republic of Cote d'Ivoire Project Development Objective (PDO) Original PDO The Project Development Objective is to increase access to digital services and leverage digital platforms to improve farm productivity and access to markets. Current PDO The Project Development Objective is to increase access to digital services and farmer's access to markets through digital platforms and roads, and mitigate the impact of the COVID-19 crisis on the agriculture sector. OPS_TABLE_PDO_CURRENTPDO Summary Status of Financing (US$, Millions) Net Ln/Cr/Tf Approval Signing Effectiveness Closing Commitment Disbursed Undisbursed IDA-62440 25-May-2018 21-Jun-2018 14-Nov-2018 31-Oct-2023 70.00 47.76 14.16 The World Bank CI: Cote d'Ivoire E-Agriculture Project (P160418) Policy Waiver(s) Does this restructuring trigger the need for any policy waiver(s)? No I. PROJECT STATUS AND RATIONALE FOR RESTRUCTURING Summary 1. Following an official request from the Government of Cote d’Ivoire (GoCI) to the World Bank (WB), dated September 21, 2023, this Restructuring Paper seeks a partial cancelation of IDA Credit No. 6244-CI (the “Credit”), granted to the Republic Cote d’Ivoire under the Cote d’Ivoire e-Agriculture Project (P160418). Of the total EUR 56.800 million of the Credit. The proposed partial cancellation in the amount of EUR 4.629 million (equivalent of XOF 3.036 billion and US$ 4.970 million) results mainly from economic gains realized from activities where actual cost were below the forecasted values. 2. The proposed partial cancelation would constitute the third Level-2 restructuring since Project approval. a. The first restructuring (effective May 31, 2021; Level-2 with RVP Decision due to change in PDO): (i) added a new component (US$20.00 million equivalent reallocated from existing components) in the Project for COVID-19 Related Support to Farmers; (ii) adjusted and streamlined the existing components as a result of this request; (iii) adjusted the Project Development Objective (PDO) to reflect the new activities; (iv) adjusted the Project’s Results Framework (RF) due to addition of the new component and scaling down of overall scope of components; (v) modified implementation arrangements due to introduction of new component and new activities; and (vi) adjusted the social and environmental analysis to reflect the new activities. b. The second restructuring (effective June 27, 2023) extended the Project’s Closing Date by 4 months (from June 30, 2023, to October 31, 2023). This was the first extension of closing date. No other change was introduced. Project Status 3. The Project was approved and became effective on May 25, 2018, and November 14, 2018, respectively. The IDA Credit 6244-CI amounted to EUR 56.8 million (US$ 70.00 million equivalent at the date of approval, and equivalent to US$ 60.8 million at the current exchange rate). The proposed restructuring will modify the amount of the credit and the allocation between disbursement categories. No other change is introduced. The World Bank CI: Cote d'Ivoire E-Agriculture Project (P160418) 4. The Project has been under implementation for nearly 5 years and has experienced implementation delays. These are partly due to: (i) a four-month hiatus following the unilateral nomination of a project coordinator in March 2020; (ii) several resignation of key staff within the PIU during the lifetime of the project that were difficult to replace; (iii) the political situation in Côte d'Ivoire, especially the social uprisings following the presidential elections in 2020; (iv) a lack of familiarity by the previous PIU staff with the World Bank’s internal policies and procedures; and (v) recent international crises (COVID-19 pandemic, Russia's invasion of Ukraine, high prices of goods and disrupted supply chains) which delayed some procurement activities. As of September 2023, the disbursement ratio is 75 percent and is expected to exceed 90% by project closure. 5. There are no overdue audit report and no overdue Interim Financial Report (IFR). 6. Following the June 2023 restructuring, the pace of project implementation picked up and almost all procurements and contracts under execution are now expected to be completed by the October 31, 2023, Closing Date. The WB’s Project team and the Recipient’s Project team continue to hold weekly meetings to closely monitor and follow up on the agreed action plan. Especially for the key activity related to the deployment of 160 rural connectivity sites which has been substantially delayed. 7. More specifically, with regards to the PDO indicators as of September 25, 2023: a. PDO level indicator 1 - People provided with access to the Internet – As the deployment of mobile sites is still in progress, by September 2023, 148 sites were commissioned out of 160 and these sites provide internet access to more than 185,000 persons, against a 200,000 target that is expected to be achieved at closing date; b. PDO level indicator 2 - Farmers reached with agricultural assets or services – this indicator was overachieved with 401,931 farmers (against a 200,000 target) reached with agricultural assets or services, out of which 236,902 female(against a 100,000 target) thanks to the successful implementation of activities in Component 2; c. PDO level indicator 3 - Beneficiaries that feel project investments reflected their needs – The survey is currently being conducted and results will be available at the end of the project. Rationale for restructuring 8. Due to financial gains realized on project activities, mainly the rural connectivity sites deployment, the deployment of the agricultural digital platform, the rural roads rehabilitation, and other administrative expenses, the Government of Cote d’Ivoire has requested a partial cancelation amounting to EUR 4.629 million (representing 8.1% of the amount of the original Credit, and equivalent of US$ 4.970 million). This would allow for the recommitment of the canceled IDA Credit financing to other purposes that would benefit the Republic of Cote d’Ivoire. II. DESCRIPTION OF PROPOSED CHANGES 9. The proposed change includes the partial cancellation of an amount equivalent to EUR 4.629 million (representing 8.1% of the total amount of the Credit, and equivalent of US$ 4.970 million); to reflect the The World Bank CI: Cote d'Ivoire E-Agriculture Project (P160418) new amount of the Credit, the allocation between disbursement categories, components, and disbursement estimates are also adjusted (adjustments in components and disbursement estimates are displayed in dollars and take into account the evolution of the exchange rate). 10. The proposed restructuring does not include any other changes. The PDO, the Results Framework, the project components and activities, the implementation arrangements, and allocations across categories of expenditures (other than the above-mentioned cancellation) all remain unchanged. The Project’s safeguards category also remains unchanged, and the restructuring will not trigger any new safeguards policies. The overall risk rating also remains unchanged. III. SUMMARY OF CHANGES Changed Not Changed Components and Cost ✔ Cancellations Proposed ✔ Reallocation between Disbursement Categories ✔ Disbursement Estimates ✔ Implementing Agency ✔ DDO Status ✔ Project's Development Objectives ✔ Results Framework ✔ Loan Closing Date(s) ✔ Disbursements Arrangements ✔ Overall Risk Rating ✔ Safeguard Policies Triggered ✔ EA category ✔ Legal Covenants ✔ Institutional Arrangements ✔ Financial Management ✔ The World Bank CI: Cote d'Ivoire E-Agriculture Project (P160418) Procurement ✔ Implementation Schedule ✔ Other Change(s) ✔ Economic and Financial Analysis ✔ Technical Analysis ✔ Social Analysis ✔ Environmental Analysis ✔ IV. DETAILED CHANGE(S) OPS_DETAILEDCHANGES_COMPONENTS_TABLE COMPONENTS Current Current Proposed Proposed Cost Action Component Name Component Name Cost (US$M) (US$M) 1. Extending digital 1. Extending digital connectivity 17.90 Revised connectivity in rural and 15.10 in rural and remote areas remote areas 2. Digital services for 2. Digital services for sustainable 8.50 Revised sustainable agricultural 7.40 agricultural development development 3. Rehabilitation and 3. Rehabilitation and maintenance of rural access 9.90 Revised maintenance of rural access 8.10 roads roads 4. Program implementation and 4. Program implementation 7.90 Revised 6.60 monitoring and monitoring 5. Support for the COVID-19 5. Support for the COVID-19 Emergency Program in the 20.00 Revised Emergency Program in the 18.90 Agriculture Sector Agriculture Sector 6. Contingent Emergency 6. Contingent Emergency 0.00 No Change 0.00 Response Component Response Component TOTAL 64.20 56.10 OPS_DETAILEDCHANGES_CANCELLATIONS_TABLE The World Bank CI: Cote d'Ivoire E-Agriculture Project (P160418) CANCELLATIONS Value Reason Current Cancellation New Ln/Cr/Tf Status Currency Date of for Amount Amount Amount Cancellation Cancellation BORROWER' Disburs S REQUEST IDA-62440- ing&Re EUR 56,800,000.00 4,629,000.00 21-Sep-2023 52,171,000.00 FOR 001 paying COUNTRY REASONS OPS_DETAILEDCHANGES_REALLOCATION _TABLE REALLOCATION BETWEEN DISBURSEMENT CATEGORIES Financing % Current Allocation Actuals + Committed Proposed Allocation (Type Total) Current Proposed IDA-62440-001 | Currency: EUR iLap Category Sequence No: 1 Current Expenditure Category: GD,WK,NCS,CS,OC,TN expt. Pt.5 and Pt.6 37,544,799.00 22,061,414.86 33,595,799.00 100.00 100 iLap Category Sequence No: 2 Current Expenditure Category: PPF REFINANCING 1,575,201.00 1,575,200.23 1,575,201.00 100.00 100 iLap Category Sequence No: 3 Current Expenditure Category: GD,NCS,CS,TN Pt.5 expt. Pt.5.1(f) 16,680,000.00 15,407,921.86 16,000,000.00 100.00 100 iLap Category Sequence No: 4 Current Expenditure Category: Cash subsidies Pt5.1(f) 1,000,000.00 976,875.08 1,000,000.00 100.00 100.00 iLap Category Sequence No: 5 Current Expenditure Category: Emergency expenditures Pt.6 0.00 0.00 0.00 100.00 100 Total 56,800,000.00 40,021,412.03 52,171,000.00 The World Bank CI: Cote d'Ivoire E-Agriculture Project (P160418) OPS_DETAILEDCHANGES_DISBURSEMENT_TABLE DISBURSEMENT ESTIMATES Change in Disbursement Estimates Yes Year Current Proposed 2018 0.00 0.00 2019 12,117,305.64 12,117,305.00 2020 2,403,879.73 2,403,880.00 2021 9,709,904.52 9,709,904.00 2022 24,000,000.00 15,000,000.00 2023 22,768,910.11 16,818,824.00 .