The World Bank Kenya Social and Economic Inclusion Project (P164654) REPORT NO.: RES59384 DOCUMENT OF THE WORLD BANK RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF KENYA SOCIAL AND ECONOMIC INCLUSION PROJECT APPROVED ON NOVEMBER 27, 2018 TO REPUBLIC OF KENYA SOCIAL PROTECTION & JOBS EASTERN AND SOUTHERN AFRICA Regional Vice President: Victoria Kwakwa Country Director: Keith E. Hansen Regional Director: Daniel Dulitzky Practice Manager/Manager: Suleiman Namara Task Team Leader(s): Shubha Chakravarty, Iftikhar Malik The World Bank Kenya Social and Economic Inclusion Project (P164654) I. BASIC DATA Product Information Project ID Financing Instrument P164654 Investment Project Financing Original EA Category Current EA Category Partial Assessment (B) Partial Assessment (B) Approval Date Current Closing Date 27-Nov-2018 31-Dec-2024 Organizations Borrower Responsible Agency Ministry of Labour and Social Protection,National Republic of Kenya Drought Management Authority Project Development Objective (PDO) Original PDO To strengthen delivery systems for enhanced access to social and economic inclusion services and shock-responsive safety nets for poor and vulnerable households. Summary Status of Financing (US$, Millions) Net Ln/Cr/Tf Approval Signing Effectiveness Closing Commitment Disbursed Undisbursed IDA-63480 27-Nov-2018 31-Jan-2019 20-Mar-2019 31-Dec-2024 250.00 113.48 120.53 TF-A9527 16-Jan-2019 31-Jan-2019 31-Jan-2019 31-Dec-2023 64.00 53.35 10.65 Policy Waiver(s) Does this restructuring trigger the need for any policy waiver(s)? No The World Bank Kenya Social and Economic Inclusion Project (P164654) II. SUMMARY OF PROJECT STATUS AND PROPOSED CHANGES This restructuring paper seeks the Country Director’s decision to extend the closing date of the Kenya Social and Economic Inclusion Project (KSEIP)’s Recipient Executed Disbursing-Level Account (REDA) (TF0A9527) from the current closing date of December 31, 2023, to December 31, 2024.The Multi-Donor Trust Fund (MDTF) (TF073183) End Disbursement Date (EDD) has been extended from December 31, 2023 to June 30, 2025, which allows the grant to extend its support to the completion of the KSEIP project (P164654), currently set to close on December 31, 2024. The Government of Kenya (GoK) has requested the extension to be able to complete implementation and achieve the development objectives of KSEIP. The Foreign Commonwealth Development Office (FCDO) has also agreed with the extension. The progress towards achieving the development objective of the KSEIP is rated Moderately Satisfactory, and the implementation has made good progress. Under component 1, the project supports enhancement of the existing social protection delivery systems (DLI 1, 2 & 3). Under component 2, it supports enabling provisions to increase poor and vulnerable households’ access to social and economic inclusion services (DLI 4). Finally, under component 3, the project finances expanding coverage and strengthening shock responsiveness of Kenya’s flagship Hunger Safety Net Program (HSNP). The Nutrition Improvement through Cash and Health Education (NICHE) pilot under component 2 currently supports 14,000 beneficiaries in five counties and is on track to reach its final target of 23,500. The Economic Inclusion Pilot (EIP) has completed its first cohort of 7,162 households in five counties and will start the second cohort in early 2024. The Hunger Safety Net Program (HSNP) has expanded from four to eight counties and will continue enhancing its readiness to deliver emergency assistance under its shock-responsive component. The operational areas of financial management, procurement, and environmental and social safeguards continue performing moderately satisfactorily. The proposed change only involves the extension of the closing date of the grant (TF0A9527) from December 31, 2023, to December 31, 2024. This one-year extension is the first for TF0A9527 and requires approval from the Country Director. The extension will allow the donor financing to continue supporting the NICHE and EIP pilots as well as the HSNP shock-responsive component until December 31, 2024. This restructuring does not affect the project objectives, components/activities, costs or implementation arrangements, or results framework. Also, there are no outstanding audits. III. DETAILED CHANGES LOAN CLOSING DATE(S) Original Revised Proposed Proposed Deadline Ln/Cr/Tf Status Closing Closing(s) Closing for Withdrawal Applications IDA-63480 Effective 31-Dec-2023 31-Dec-2024 TF-A9527 Effective 31-Dec-2023 31-Dec-2024 30-Apr-2025 The World Bank Kenya Social and Economic Inclusion Project (P164654)