The World Bank Implementation Status & Results Report Resilient Tourism and Blue Economy Development in Cabo Verde Project (P176981) Resilient Tourism and Blue Economy Development in Cabo Verde Project (P176981) WESTERN AND CENTRAL AFRICA | Cabo Verde | Finance, Competitiveness and Innovation Global Practice | IBRD/IDA | Investment Project Financing | FY 2022 | Seq No: 3 | ARCHIVED on 01-Nov-2023 | ISR58333 | Implementing Agencies: Ministry of Culture and Creative Industries and Ministry of the Sea, Ministry of Finance and Business Development, Ministry of Infrastructure,Territorial Planning and Housing, Ministry of Tourism and Transports, Republic of Cabo Verde Key Dates Key Project Dates Bank Approval Date: 31-May-2022 Effectiveness Date: 06-Jun-2022 Planned Mid Term Review Date: 30-Jan-2025 Actual Mid-Term Review Date: Original Closing Date: 30-Jun-2027 Revised Closing Date: 30-Jun-2027 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) To increase diversity and resiliency in the tourism offering and small and medium enterprise (SME) participation in tourism-related value chains in targeted destinations. Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Component 1: Development of integrated and resilient tourism and blue economy infrastructure:(Cost $31.58 M) Component 2: Enhancement of inclusive and sustainable management of tourism in a blue economy:(Cost $12.64 M) Component 3: Project Implementation Support:(Cost $0.78 M) Component 4: Contingent Emergency Response Component (CERC) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Satisfactory Overall Implementation Progress (IP) Satisfactory Satisfactory Overall Risk Rating Moderate Moderate Implementation Status and Key Decisions The project is making satisfactory progress, with important contracts already signed and ongoing for 17 activities. There has also been significant progress in the procurement process for other critical activities, including those funded by PROBLUE RETF. Under Component 1, which focuses on the development of integrated and resilient tourism and blue economy infrastructure, progress is summarized by the island of intervention. 11/1/2023 Page 1 of 7 The World Bank Implementation Status & Results Report Resilient Tourism and Blue Economy Development in Cabo Verde Project (P176981)  On Sal Island, the rehabilitation of the Espargos-Santa Maria Road is progressing well, with contracts for both supervision and works already signed. The works are expected to start in November 2023. Additionally, the studies for the rehabilitation of Santa Maria pier are being concluded, incorporating feedback received during the presentation of the draft technical design and safeguards documents. The final bidding documents are expected to be ready by end October 2023.  On Santiago Island, the procurement process for the upgrading of the pier in Tarrafal is advancing. The evaluation of technical and financial proposals is currently underway and expected to be completed in early October. Furthermore, the contract for the detailed safeguards plan for the rehabilitation of Cidade Velha has been signed, and a two-week visit has commenced on September 19, 2023.  On São Vicente Island, the procurement process for the rehabilitation of the Fish Market in Mindelo is still in its initial phase. There is a need to expedite this process as it has been ongoing for some time.  On Santo Antão Island, significant progress has been made since the last mission. The mapping activity for the hiking trails has been completed, and plans for physical signaling of the trails are underway. The prioritization exercise for hiking repairs has also been conducted, resulting in the preparation and approval of bidding documents for the eight trails that require urgent repairs. Additionally, the biodiversity management plan has been finalized and published. The procurement process for the rehabilitation of the identified priority trails has been launched. Moreover, the contract for the rehabilitation of Ponte de Canal has been signed, and the works are scheduled to commence in October 2023. Under Component 2, which focuses on the enhancement of inclusive and sustainable management of tourism in a blue economy, progress is as follows:  Pró-Empresa, the advisor hired to support Pró-Empresa, has made significant progress in drafting important implementation documents for the new support program. These documents include the operational manual, norms, access conditions, and methodology for implementing partners. However, there is still substantial work to be done before the program can start implementation. This work involves further tailoring and adapting the program to align with the project's development objective. It also requires increasing coordination and collaboration with the Ministry of Tourism and Transport and the Ministry of Sea. Developing a clear timeline and forming a technical committee comprising representatives from the line ministries, private sector, and Pró Empresa are also important steps.  The rebranding efforts for Cabo Verde tourism are set to resume with the signing of an addendum between UGPE and the contractor. The aim is to finalize the new brand by October and launch it in November, creating a fresh and appealing identity for Cabo Verde and its islands. In parallel, tourism statistics technical assistance work has begun, and several other key tourism consultancies are in the process of being contracted. These include online communications, online accommodations rental regulations, market representation in France and Benelux, and technical assistance for hiking tourism covering areas such as regulations, standards, capacity building, governance structures, and marketing.  Under the PROBLUE-financed activities, procurement processes for several important studies and technical assistance are underway. These include a study on exploring deep-sea demersal resources, a study on community development and implementation of artisanal fisheries co-management, and the development of a training program to improve sustainability in the blue economy. Under Component 3, which focuses on project implementation support, significant progress has been made since the last mission. The key achievements are related to the hiring of technical advisors. In June 2023, a junior technical advisor was successfully recruited for the Ministry of Sea. Additionally, the recruitment process for a senior technical advisor is in its final stages. Once hired, this senior advisor will bring further expertise and support to the project. Furthermore, the TOR for hiring additional technical support for Santiago Island have been finalized. The Bank team highlights the importance of fully integrating these advisors into the project activities. By leveraging their expertise and knowledge, the project can benefit from their insights and accelerate the implementation process Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Low Low Low Macroeconomic Substantial Substantial Substantial Sector Strategies and Policies Low Low Low Technical Design of Project or Program Moderate Moderate Moderate Institutional Capacity for Implementation and Substantial Substantial Substantial Sustainability 11/1/2023 Page 2 of 7 The World Bank Implementation Status & Results Report Resilient Tourism and Blue Economy Development in Cabo Verde Project (P176981) Fiduciary Low Low Low Environment and Social Substantial Substantial Substantial Stakeholders Moderate Moderate Moderate Other Low Moderate Moderate Overall Moderate Moderate Moderate Results PDO Indicators by Objectives / Outcomes Increase diversity in the tourism offering IN01355867 ►Increase in average daily tourist spending at destination islands (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 15.00 Date 30-Dec-2019 17-Apr-2023 17-Oct-2023 30-Jun-2027 IN01355870 ►Increase in total tourist overnight stay in destination islands (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 20.00 Date 25-Mar-2022 17-Apr-2023 17-Oct-2023 30-Jun-2027 Increase SME participation in tourism-related value chains IN01355868 ►Share of beneficiary SMEs with new or expanded contracts to the hospitality value chain (disaggregated by gender and sector) (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 60.00 Date 25-Mar-2022 17-Apr-2023 17-Oct-2023 30-Jun-2027 Increase resilience in the tourism offering IN01355869 ►Infrastructure rehabilitated, upgraded or established integrating climate resilience practices (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 8.00 11/1/2023 Page 3 of 7 The World Bank Implementation Status & Results Report Resilient Tourism and Blue Economy Development in Cabo Verde Project (P176981) Date 25-Mar-2022 17-Apr-2023 17-Oct-2023 30-Jun-2027 Overall Comments PDO The project indicators have not shown any progress so far because the activities are still in the early stages of implementation. For PDO 1 indicator, a consultancy is currently underway to determine the methodology for this indicator on a per Island basis. This may involve updating the existing expenditure survey. As for PDO 2, during the last supervision mission and biyearly reporting period, the national statistical office had not yet released data on tourist overnight stays for the year 2023 preventing this indicator from being accurately assessed at that time. Activities and works related to PDO 3 and PDO4 have not yet started to be implemented and thus no progress has been made. In the context of the AF, the Results Framework will be adjusted to reflect the AF changes and the impact of the additional project activities under the project components. There will be two levels of changes made to the Results Framework. Firstly, specific targets will be updated to capture additional activities and an increase in project scope, such as the construction or upgrade of additional infrastructure or further support for policy reforms. Secondly, the framework will remove indicators that are no longer relevant. For example, the indicator related to the development of an intermodal and international connectivity strategy, which is funded by the Spanish Government and no longer by the Parent Project. Intermediate Results Indicators by Components Component 1: Development of integrated and resilient tourism and blue economy infrastructure IN01355871 ►Share of local tourism and other ocean-economy value chain beneficiaries satisfied with the project interventions (disaggregated by gender) (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 65.00 Date 31-Mar-2023 17-Apr-2023 17-Oct-2023 30-Jun-2027 The first survey to be used as baseline is currently being developed and will be conducted by Comments: December 2023. IN01355873 ►Infrastructure rehabilitated, upgraded or established integrating sustainable practices (disaggregated by type) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 8.00 Date 25-Mar-2022 17-Apr-2023 17-Oct-2023 30-Jun-2027 IN01355875 ►Roads rehablitated (Kilometers, Corporate) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 14.60 Date 25-Mar-2022 17-Apr-2023 17-Oct-2023 30-Jun-2027 The procurement process for the rehabilitation of the Sal-Espagos road is ongoing. Contract is expected Comments: to be awarded in May with works starting in early 2024. The indicator is on track. 11/1/2023 Page 4 of 7 The World Bank Implementation Status & Results Report Resilient Tourism and Blue Economy Development in Cabo Verde Project (P176981) IN01355877 ►Share of fish from fisheries under improved management, landed or handled according to improved practices at project-supported sites (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 80.00 Date 25-Mar-2022 17-Apr-2023 17-Oct-2023 30-Jun-2027 IN01355879 ►National inter-modal transport strategy drafted and submitted for adoption (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 25-Mar-2022 17-Apr-2023 17-Oct-2023 30-Jun-2027 It is expected that the strategy will be finally funded by the Spanish Government, the activity may need to Comments: be dropped and the indicator removed/changed. Component 2: Enhancement of inclusive and sustainable management of tourism and in a blue economy IN01355872 ►SMEs with improved access to finance supported by the project (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 150.00 Date 25-Mar-2022 17-Apr-2023 17-Oct-2023 30-Jun-2027 The final design of the SME support program is experiencing delays due to the late hiring of the advisor to pro-empresa to work on the selection criteria, outreach program and overall, the program implementation Comments: details. The first intermediate target of 10 business supported may only be achieved by end of 2023 (instead of June as originally expected). IN01355874 Women-owned/ managed SMEs with improved access to finance supported by the project (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 68.00 IN01355876 ►Beneficiary SMEs adopting climate smart practices (disaggregated by gender) (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 15.00 Date 25-Mar-2022 17-Apr-2023 17-Oct-2023 30-Jun-2027 IN01355878 ►Policies or legal instruments that integrate blue economy principles and climate change adaptation measures drafted and submitted to Cabinet (Number, Custom) 11/1/2023 Page 5 of 7 The World Bank Implementation Status & Results Report Resilient Tourism and Blue Economy Development in Cabo Verde Project (P176981) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 8.00 Date 25-Mar-2022 17-Apr-2023 17-Oct-2023 30-Jun-2027 IN01355880 ►Action Plan for Gender Mainstreaming in Tourism is updated and adopted, including GBV standard guidelines (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 25-Mar-2022 17-Apr-2023 17-Oct-2023 30-Jun-2027 This indicator is well on track, action plan is expected to be updated by October 2023. Comments: Overall Comments IR Since the previous reporting period, the UPGE developed a methodology for collecting data and created a questionnaire for Indicator measuring the satisfaction of local tourism and other beneficiaries in the ocean-economy value chain with the project interventions. It was decided that a suitable firm will be hired soon to carry out the data collection process. Performance-Based Conditions Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P176981 IDA-71260 Effective USD 30.00 30.00 0.00 6.57 22.49 23% P176981 IDA-72720 Effective USD 10.00 10.00 0.00 3.50 6.63 35% P176981 TF-B8414 Effective USD 5.00 5.00 0.00 0.30 4.70 6% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P176981 IDA-71260 Effective 31-May-2022 06-Jun-2022 30-Jun-2022 30-Jun-2027 30-Jun-2027 P176981 IDA-72720 Effective 10-Mar-2023 26-Mar-2023 09-May-2023 30-Jun-2027 30-Jun-2027 P176981 TF-B8414 Effective 31-May-2022 06-Jun-2022 06-Jun-2022 30-Sep-2025 30-Sep-2025 Cumulative Disbursements 11/1/2023 Page 6 of 7 The World Bank Implementation Status & Results Report Resilient Tourism and Blue Economy Development in Cabo Verde Project (P176981) Restructuring History There has been no restructuring to date. Related Project(s) P179273-AF-SUSTAINABLE TOURISMA AND BLUE ECONOMY ,P179274-Cabo Verde Resilient Tourism and Blue Economy Development AF ,P181369-Cabo Verde Resilient Tourism and Blue Economy Development Second AF 11/1/2023 Page 7 of 7