The World Bank Implementation Status & Results Report Guinea Support to Local Governance Project (P167884) Guinea Support to Local Governance Project (P167884) WESTERN AND CENTRAL AFRICA | Guinea | Social Sustainability and Inclusion Global Practice | IBRD/IDA | Investment Project Financing | FY 2019 | Seq No: 10 | ARCHIVED on 19-Dec-2023 | ISR57489 | Implementing Agencies: Ministry of Finance, Ministry of Territorial Administration and Decentralization Key Dates Key Project Dates Bank Approval Date: 22-Mar-2019 Effectiveness Date: 09-Sep-2019 Planned Mid Term Review Date: 18-Sep-2023 Actual Mid-Term Review Date: 18-Sep-2023 Original Closing Date: 31-Oct-2024 Revised Closing Date: 31-Oct-2024 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) To improve local government capacity in managing their public financial resources in a transparent and participatory manner, and in mitigating local conflicts Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Supporting the operationalization of the FNDL:(Cost $20.00 M) Building institutions and capacity for inclusive and accountable local governance:(Cost $15.00 M) Project management support:(Cost $5.00 M) Contingent Emergency Response Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Substantial Substantial Implementation Status and Key Decisions Mid-Term Review of the SLGP. A Mid-Term Review of the Support to Local Governance Project took place from September 18 to 29, 2023, in Conakry, Kindia and Boke. The primary objective of the MTR was to assess the project's performance and its ability to reach its development objectives by project closure on October 31, 2024. The review found that the SLGP contributed to a significant milestone in decentralization and local governance by supporting the operationalization of the National Fund for Local Development (FNDL). Replenished by mining revenues, the FNDL has provided USD 77 million to all municipalities outside of Conakry to fund nearly 1,500 micro-projects since 2019, with a focus on education (31%) and health (20%). The SLGP also supported the development and scale-up of citizen engagement mechanisms that have been mainstreamed nationwide into local development planning procedures. However, a survey carried out by the National Institute of Statistics in September-October 2023 found that only 51% of respondents expressed the opinion that LG investments reflected their development needs. This low satisfaction rate likely results from the year-long freeze of LG accounts and development investments in 2022. A final survey will be carried out 12/19/2023 Page 1 of 9 The World Bank Implementation Status & Results Report Guinea Support to Local Governance Project (P167884) in 2024 after the execution of the 2023 investment plans. Besides, the digitalization of local PFM continued to face implementation delays. Other challenges persist regarding the effective management of public funds by LG, some of which remain outside of the project’s control and require a concerted action by the Ministry of Finance (MoF) and the Ministry of Territorial Administration and Decentralization (MATD). These challenges include insufficient support by the central and deconcentrated administration, inadequate staffing of municipalities (secretary generals and accountants), delays in the digitalization of PFM systems, and the Court of Audit’s insufficient capacity to audit LG accounts. The follow-on project SLGP II will contribute to addressing these challenges with the support of the MoF and MATD. It will also introduce a more comprehensive approach to ensuring social inclusion in local development planning, with stronger incentives for prioritizing the needs of women and youth. The follow-on project SLGP II, approved by the WBG Board on 23 March 2023, was declared effective as of the October 10, 2023. The new project builds on the foundations laid by the SLGP. It intends to strengthen the capacity of national and local institutions to mobilize and manage development resources efficiently, accountably and with a greater emphasis on the quality of outcomes including (a) an adequate prioritization of climate adaptation measures in the selection of community infrastructure and services; and (b) a leading role for community members, particularly women, youth and the most vulnerable, in decisions pertaining to investments. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance High High High Macroeconomic Substantial Moderate Moderate Sector Strategies and Policies Moderate High High Technical Design of Project or Program Moderate High Substantial Institutional Capacity for Implementation and Moderate High Substantial Sustainability Fiduciary Substantial Moderate Moderate Environment and Social Substantial Substantial Substantial Stakeholders Moderate Moderate Moderate Other -- -- -- Overall Substantial Substantial Substantial Results PDO Indicators by Objectives / Outcomes Improve LG capacity in managing public financial resources & mitigating local conflicts (see PDO) IN01330561 ►LGs FNDL investment budget execution rate (Percentage, Custom, PBC) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 75.00 75.00 70.00 12/19/2023 Page 2 of 9 The World Bank Implementation Status & Results Report Guinea Support to Local Governance Project (P167884) Date 31-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 Measures the average rate of execution of the FNDL funds actually received from the ANAFIC by municipalities. Measured each year based on FNDL funds received and executed during the corresponding budget year, for all eligible municipalities outside of Conakry. This indicator is non- cumulative indicator measured annually. The current value of 75% refers to the execution by LGs of their 2021 allocation: the execution of 703 Comments: subprojects carried over from 2021 local investment plans continued in 2023 after a year-long freeze of LG accounts in 2022. The indicator could not be measured in 2022 due to the freeze of LG accounts: there was no execution of LG investment funds that year. An amount of 100,884,570,465 GNF has been transferred to LGs for the execution of their 2023 Annual Investment Plans. The execution rate for 2023 will be calculated after the end of the 2023 budget cycle in the first quarter of calendar year 2024. IN01330562 ►Total number of direct beneficiaries (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 318,521.00 318,521.00 556,588.00 Date 31-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 The number of people who benefitted from PAGL activities (trainings and capacity building). The project has made significant strides in enhancing national and local capacities through a training plan for elected officials and local executives. Implemented by the National Center for the Training and Advancement of Cadres and Elected Officials (CNFPCE), these sessions covered areas such as public financial management, decentralization, and local development planning, benefiting 13,602 participants, including approximately 11% women. Through a Training of Trainers model, they in turn cascade all capacity building activities at the LG level, targeting LG members, comittees and participants in the local development planning process. In addition, broader capacity-strenghening and sensitization activities by Comments: the local committees (BP, SEP, GRM) are conducted in the community. These activities have reached 318,521 beneficiaries to date. However, the political transition saw a mass replacement of public servants since 2021. In 2024, the project will conduct a new training cycle with the CNFPCE, targeting nearly 6,000 new public servants and other participants and focusing on topics such as public fund management, resource mobilization, fiscal civism, administrative management, public communication, and community microproject formulation. The new training program is under finalization. The youth sub- indicator was added during the project’s retructuration earlier this year and data will be collected during the next training cycle. IN01330563 of which women (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 97,653.00 97,653.00 169,073.00 Date 31-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 IN01330564 of which youth (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 220,000.00 Date 31-Mar-2023 30-May-2023 07-Dec-2023 31-Oct-2024 IN01330565 ►Percentage of targeted people that express the opinion that LGs investments reflect their development needs and priorities (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target 12/19/2023 Page 3 of 9 The World Bank Implementation Status & Results Report Guinea Support to Local Governance Project (P167884) Value 55.00 85.20 50.60 75.00 Date 28-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 Measures the percentage of citizens who declared during the satisfaction survey that their concerns and needs have been taken into account in investments made at the LGs level. This measures the extent to which decisions about the project reflects community preferences in a consistent manner. The preliminary results from the survey conducted by the National Statistics Institute of Guinea indicate that one out of two sampled citizens express the opinion that local investments reflect their development Comments: needs. This score is lower for women and youth at 45% and 40% respectively. These likely result from contextual factors over which the project had no control, primarily the 2022 year-long freeze of LG accounts. This meant that LG were unable to execute any investment subprojects during the entire year. A final survey will be performed in 2024 before project closure IN01330566 Percentage of targeted women that express the opinion that LGs investments reflect their development needs and priorities (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 55.00 55.00 45.00 75.00 Date 28-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 IN01330567 Percentage of targeted youth that express the opinion that LGs investments reflect their development needs and priorities (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 40.00 75.00 Date 31-Mar-2023 30-May-2023 07-Dec-2023 31-Oct-2024 IN01330568 ►Reported risks of conflicts addressed by EWRS (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 57.00 57.00 75.00 Date 28-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 Measures the percentage of local incidents reported through the project’s EWRS that were addressed adequately either through local resolution or referral to competent authorities. During the mission, the definition of "resolved" alerts was discussed in depth as this indicator is not designed to measure the effectiveness of the EWRS to provide a solution to a given conflict but rather Comments: measures the effectiveness of the mechanism in processing and addressing incidents via local dispute resolution or referral to competent authorities. The data will be re-assessed according to this correct definition and this will likely result in an increase in the share of alerts considered to have been addressed adequately. Intermediate Results Indicators by Components Supporting the operationalization of the FNDL IN01330570 12/19/2023 Page 4 of 9 The World Bank Implementation Status & Results Report Guinea Support to Local Governance Project (P167884) ►Annual disbursement rate of the FNDL to LGs (Percentage, Custom, PBC) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 95.00 95.00 80.00 Date 31-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 Measures the ratio between the total amount of estimated allocations that will be transferred to LGs via the FNDL during the year and the total amount of allocations actually transferred to LGs. This indicator is not cumulative. As of 30 November 2023, 100,000,000,000 GNF of the 2023 allocation has already been transferred to the ANAFIC. In addition a transfer for 131 billion GNF was awaiting signature at the General Directorate of Comments: the Treasury and Public Accounting. An additional 120 billion GNF are awaiting the transmission of a decree by the General Directorate of Budget for their transfer to the ANAFIC. The 95% value corresponds to the 2021 FNDL funds, whose replenishment and execution resumed in 2023 after the 2022 account freeze. Building institutions and capacity for inclusive and accountable local governance IN01330569 ►Number of urban planning studies executed (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 8.00 8.00 8.00 Date 31-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 Measures the number of urban LGs with a local development plan that has been elaborated and/or updated, taking into account the specific characteristics of urban context. Comments: The 8 studies were completed and shared with the WBG. IN01330572 ►Number of LGs that manage the accounting and budgetary management of the municipality using the SIM-BA software package in a satisfactory manner (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 8.00 Date 31-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 Measures the number of LGs that manage the accounting and budgetary management of the municipality using the SIM-BA software package in a satisfactory manner (Number) This activity has been significantly delayed as the ANAFIC has faced multiple challenges in identifying Comments: adequate technical solutions and procuring a competent service provider. Corrective measures were agreed during the MTR mission to put this activity back on track and prepare its continuation under the SLGP II project. IN01330573 ►Percentage of reported grievances related to the ANAFIC addressed in a timely manner (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 88.00 90.00 60.00 Date 31-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 12/19/2023 Page 5 of 9 The World Bank Implementation Status & Results Report Guinea Support to Local Governance Project (P167884) Measures the percentage of grievances related to the ANAFIC that are reported by the call centre and addressed by relevant stakeholders/services. The timeframe to address grievances will be defined in the ANAFIC’s operating manual. Comments: Out of the 762 complaints related to the ANAFIC received as of 30 September 2023, 680 (90%) were processed within 21 days through the GRM committees. IN01330574 ►Percentage of LGs with Participatory Budgeting (BP) and Citizen Monitoring of Service Delivery (SEP) (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 39.00 48.00 48.00 90.00 Date 31-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 Measures the percentage of LGs that use Participatory Budgeting (BP) and Citizen Monitoring of Service Delivery (SEP), as described in the ANAFIC operating manual. This indicator is not cumulative. This indicator will be updated based on the end of year 2023 Annual Investment Plan (PAI) reports. The Comments: 48% result was calculated based on the 2021 excercise. There was no BP or SEP in 2022 due to the freeze of LG accounts. IN01330575 Percentage of LGs with Participatory Budgeting (BP) (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 39.00 0.00 0.00 90.00 Date 31-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 IN01330576 Percentage of LGs with Citizen Monitoring of Service Delivery (SEP) (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 39.00 48.00 48.00 90.00 Date 31-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 IN01330577 ►Number of LGs that have set up an EWRS (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 7.00 169.00 169.00 169.00 Date 31-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 Measures the number of LGs that have set up an EWRS, as defined by the project. Comments: IN01330578 ►Percentage of women and youth in different committees in the target LGs (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 35.00 0.00 20.00 50.00 Date 31-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 12/19/2023 Page 6 of 9 The World Bank Implementation Status & Results Report Guinea Support to Local Governance Project (P167884) Measures the level of participation and social inclusion of women and youth in decision-making bodies at the LGs level. This indicator was updated through the INS survey which found a relatively low participation of women Comments: and youth as committee members. Women and youth participation is a core aspect of SLGP and will be further supported by SLGP II which includes stronger measures and incentives (PBCs) related to women and youth participation. IN01330579 Percentage of women in different committees in the target LGs (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 35.00 0.00 18.10 30.00 Date 31-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 IN01330580 Percentage of youth in different committees in the target LGs (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 2.00 20.00 Date 31-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 Project management support IN01330571 ►Performance audit of ANAFIC (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1.00 1.00 2.00 Date 31-Dec-2018 30-May-2023 07-Dec-2023 31-Oct-2024 The indicator will ensure that two performance audits of the ANAFIC are conducted over the duration of the project to ensure its quality and services. Comments: An audit was conducted in 2021 which verified DLI disbursements and other performance and compliance indicators. A second audit will be conducted in 2024. Performance-Based Conditions IN01330581 ►PBC 1 Operationalization of the FNDL (Yes/No, Outcome, 20,000,000.00, 0.00%) Baseline Actual (Previous) Actual (Current) December 2023 Value No No No Yes Date -- 30-May-2023 07-Dec-2023 -- PBC 1.1 Regulatory texts to operationalize FNDL are signed and FNDL account has effectively been opened and funds transferred thereto (Yes/No, Output, 2,000,000.00, 0.00%) 12/19/2023 Page 7 of 9 The World Bank Implementation Status & Results Report Guinea Support to Local Governance Project (P167884) Baseline Actual (Previous) Actual (Current) December 2023 Value No Yes Yes Yes Date -- 30-May-2023 07-Dec-2023 -- PBC 1.2 FNDL real annual disbursement > 70% (Percentage, Intermediate Outcome, 4,000,000.00, 0.00%) Baseline Actual (Previous) Actual (Current) December 2023 Value 0.00 99.80 99.80 70.00 Date -- 30-May-2023 07-Dec-2023 -- PBC 1.3 LGs FNDL investment budget execution rate (Percentage, Outcome, 7,000,000.00, 100.00%) Baseline Actual (Previous) Actual (Current) December 2023 Value 0.00 75.00 75.00 -- Date -- 30-May-2023 07-Dec-2023 -- PBC 1.4 300 LGs have disbursed for appropriately authorized purposes more than 60% of their 2023 FNDL transfers (Number, Outcome, 4,000,000.00, 0.00%) Baseline Actual (Previous) Actual (Current) December 2023 Value 0.00 0.00 0.00 300.00 Date -- 30-May-2023 07-Dec-2023 -- IN01330586 ►PBC 2 Annual disbursement rate of the FNDL to LGs (Percentage, Intermediate Outcome, 3,000,000.00, 0.00%) Baseline Actual (Previous) Actual (Current) December 2023 Value 0.00 95.00 95.00 -- Date -- 30-May-2023 07-Dec-2023 -- DLI added during restructuration. This DLI will verify that the actual amount of FNDL funds transferred from the national budget to the ANAFIC by 31 December 2023 represents at least 70% of the provisional FNDL Comments: allocation indicated in the amended Finance Bill (Loi de Finance Rectificative). The 95% value corresponds to the 2021 FNDL funds, whose replenishment and execution resumed in 2023 after the 2022 account freeze. The DLI amount is $ 3 million. Data on Financial Performance Disbursements (by loan) 12/19/2023 Page 8 of 9 The World Bank Implementation Status & Results Report Guinea Support to Local Governance Project (P167884) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P167884 IDA-D4450 Effective USD 40.00 40.00 0.00 28.91 10.01 74% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P167884 IDA-D4450 Effective 22-Mar-2019 09-Apr-2019 09-Sep-2019 31-Oct-2024 31-Oct-2024 Cumulative Disbursements Restructuring History Level 2 Approved on 14-Apr-2023 Related Project(s) There are no related projects. 12/19/2023 Page 9 of 9