The World Bank Implementation Status & Results Report Southern Africa Trade and Connectivity Project (P164847) Southern Africa Trade and Connectivity Project (P164847) EASTERN AND SOUTHERN AFRICA | Southern Africa | Finance, Competitiveness and Innovation Global Practice | IBRD/IDA | Investment Project Financing | FY 2021 | Seq No: 3 | ARCHIVED on 26-Oct-2022 | ISR52711 | Implementing Agencies: Fundo de Estradas, Republic of Mozambique, Ministry of Transport and Communication, Republic of Mozambique, Ministry of Transport and Public Works, Republic of Malawi, Republic of Malawi, Republic of Mozambique, Roads Authority, Republic of Malawi Key Dates Key Project Dates Bank Approval Date: 27-Apr-2021 Effectiveness Date: 24-Sep-2021 Planned Mid Term Review Date: 01-Jul-2024 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) The project development objective is to support Malawi and Mozambique in increasing regional trade coordination, reducing trade costs and time, developing regional value chains, and improving access to infrastructure. Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Reduce Trade Costs:(Cost $120.00 M) Strengthen Regional Coordination and Project Implementation:(Cost $36.00 M) Strengthen Value Chains for Regional Integration:(Cost $34.00 M) Strengthen Transport Infrastructure to Improve Market Access:(Cost $190.00 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Satisfactory Overall Implementation Progress (IP) Satisfactory Satisfactory Overall Risk Rating Substantial Substantial Implementation Status and Key Decisions This is second ISR of the project after effectiveness in both countries. The project became effective in Mozambique on September 24 2021 and in Malawi on October 6, 2021. The project implementation has advanced in both countries, with progress made on key activities to ensure the sustainability of implementation, including the joint agreement on identification and data collection of indicators to monitor corridor performance that was endorsed by the Nacala Development Corridor Management Committee (NDCMC), a critical activity and indicator for PDO achievement; the completion of recruitment of PIU staff to support implementation throughout the duration of the project; and the acquisition of accounting system software. 10/26/2022 Page 1 of 10 The World Bank Implementation Status & Results Report Southern Africa Trade and Connectivity Project (P164847) Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Moderate Moderate Moderate Macroeconomic Moderate Moderate Moderate Sector Strategies and Policies Moderate Moderate Moderate Technical Design of Project or Program Substantial Substantial Substantial Institutional Capacity for Implementation and Substantial Substantial Substantial Sustainability Fiduciary Substantial Substantial Substantial Environment and Social High High High Stakeholders Low Low Low Other Substantial Substantial Substantial Overall Substantial Substantial Substantial Results PDO Indicators by Objectives / Outcomes Increase regional trade coordination IN01179681 ►Percentage of key corridor performance indicators with operational improvement made as measured by the corridor performance monitoring mechanism. (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 30.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 A corridor performance monitoring system has been setup by the NDCTC and there is improvement in at Comments: least 30 percent of the indicators. The data is collected annually once established and published and shared with corridor stakeholders. Reduce Trade Costs IN01179679 ►Decrease in logistics cost of containerized imports/exports $ per ton at destination (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target 10/26/2022 Page 2 of 10 The World Bank Implementation Status & Results Report Southern Africa Trade and Connectivity Project (P164847) Value 0.00 0.00 0.00 18.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 Reduction in the percentage of logistics costs for the defined basket of imported products on the Comments: Nacala/Beira corridor to Blantyre road/rail route as a percentage compared to the invoiced imported cost including insurance and freight (CIF). IN01179683 Decrease in logistics cost of containerized imports $ per ton at destination (Nacala to Blantyre, Road). (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 20.00 IN01179685 Decrease in logistics cost of containerized imports $ per ton at destination (Nacala to Blantyre, Rail) (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 15.00 IN01179686 Decrease in logistics cost of containerized imports $ per ton at destination (Beira to Blantyre, Road) (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 20.00 IN01179687 Decrease in logistics cost of containerized exports in $ per ton to port (Blantyre to Beira, road). (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 20.00 IN01179688 Decrease in logistics cost of containerized exports in $ per ton to port (Blantyre to Nacala, rail). (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 15.00 IN01179689 ►Decrease in average time to clear a border crossing (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 20.00 Date 01-Dec-2021 01-Mar-2022 08-Sep-2022 30-Jun-2027 Decrease is measured by number of hours required to complete all formalities on both sides of the border Comments: upon arrival at the first border including wait time and documentation time. IN01179690 Decrease in average time to clear Muloza-Milange border post (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 20.00 IN01179691 Decrease in average time to clear Zobue-Mwanza border post (Percentage, Custom Supplement) 10/26/2022 Page 3 of 10 The World Bank Implementation Status & Results Report Southern Africa Trade and Connectivity Project (P164847) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 20.00 IN01179692 Decrease in average time to clear Caloume-Dedza border post (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 20.00 Strengthen value chains for regional integration IN01179678 ►Increase in sales of value chain actors participating in the supported value chains (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 20.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 Average change in annual sales of value chain actors supported with matching grants and/or skills Comments: development programs. The value chain actors include sales of traders, small-scale farmers, emerging farmers, and SMEs supported by the project. IN01179682 Number of women value chain actors supported by value chain development activities (Number, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 2,500.00 IN01179684 ►Value of private sector investments catalyzed (through matching grants) in Malawi and Mozambique (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 15,000,000.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 Total amount of private investment that is matched by public investment. These will include the total Comments: investment leveraged from traders, small-scale farmers, emerging farmers, and SMEs supported by the project. Strengthen transport infrastructure to improve market access IN01179680 ►Share of population with enhanced access to infrastructure (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 100.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 Share of population that are direct beneficiaries that experience improved access to infrastructure (roads Comments: and border posts) that have been built or rehabilitated through a WBG-financed project. Beneficiaries would be within project area of influence within 2km of roads and border posts (RAI). 10/26/2022 Page 4 of 10 The World Bank Implementation Status & Results Report Southern Africa Trade and Connectivity Project (P164847) Intermediate Results Indicators by Components Reduce Trade Costs IN01179695 ►Reduction in percentage of consignments subject to physical inspection in Malawi (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 70.00 70.00 70.00 40.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 Percentage of cargo (containers/consignments/declaration) inspected (physical/documentary) by Customs Comments: in Malawi at three selected clearance points/borders of project impact. IN01179699 ►Reduction in percentage of consignments subject to physical inspection in Mozambique (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 60.00 60.00 60.00 40.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 Percentage of cargo (containers/consignments/declaration) inspected (physical/documentary) by Customs Comments: in Mozambique at three selected clearance points/borders of project impact. IN01179702 ►Reduction in the number of agencies physically located at Dedza and Muloza border posts in Malawi (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 13.00 13.00 13.00 6.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 Currently 13 agencies operate at the border (Coordinated Border Management (CBM) review). Upon Comments: implementation of CBM and trade facilitation reforms it is expected to have this number reduced to 6 agencies. IN01179704 ►Upgrade infrastructure at all border posts in Mozambique (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 100.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 This indicator will track progress in building physical infrastructure at the respective border posts. Comments: (Milange, Zobue, Calomue, Cassactiza and Ponta do Ouro in Mozambique.) IN01179711 ►Increase in small scale cross-border traders (SSCBT) beneficiaries (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target 10/26/2022 Page 5 of 10 The World Bank Implementation Status & Results Report Southern Africa Trade and Connectivity Project (P164847) Value 0.00 0.00 0.00 25.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 This indicator measures the number of small scale cross-border trader who are issued border residency Comments: card. IOM defines small scale cross-border trader as persons that regularly cross the borders in the region to sell and buy goods. IN01179716 Increase in women small scale cross-border traders (SSCBT) beneficiaries (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 25.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 17-May-2027 Strengthen Regional Coordination and Project Implementation IN01179698 ►Number of harmonized standards/mutual recognition agreements/ equivalence arrangements agreed between Malawi and Mozambique (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1.00 1.00 6.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 This indicator will measure the creation of MOUs/agreements across corridor countries that enables Comments: recognition of documents, procedures, practices, standards, data, systems and others. IN01179700 ►Mozambique Logistics KPIs published (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 A logistics KPI is a performance measurement that is used to track visualize and optimize all relevant Comments: logistics processes in an efficient way and includes supply chain and transportation. IN01179706 ►Malawi Logistics KPIs published (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 A logistics KPI is a performance measurement that is used to track visualize and optimize all relevant Comments: logistics processes in an efficient way and includes supply chain and transportation. IN01179707 ►Spatial information tools developed to monitor civil works projects in areas vulnerable to flood and storms (Climate indicator) (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target 10/26/2022 Page 6 of 10 The World Bank Implementation Status & Results Report Southern Africa Trade and Connectivity Project (P164847) Value No No No Yes Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 Comments: Operationalizing spatial information tool that will visualize road network vulnerabilities. IN01179709 ►Grievances responded and/or resolved within the stipulated service standards (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 100.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 This indicator measures the transparency and accountability mechanisms established by the project so Comments: that the target beneficiaries grievances are attended to promptly. The project shall adopt incident reporting and response protocol. IN01179713 Grievances responded and/or resolved within the stipulated service standards in Mozambique (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 100.00 Date 01-Jun-2021 01-Mar-2022 08-Sep-2022 17-May-2027 IN01179715 Grievances responded and/or resolved within the stipulated service standards in Malawi (Percentage, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 100.00 Date 01-Jun-2021 01-Mar-2022 08-Sep-2022 17-May-2027 Strengthen Value Chains for Regional Integration IN01179694 ►Number of value chain actors supported by value chain development activities. (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 5,000.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 Number of value chain actors that access or benefit from the skills and capital interventions in Component Comments: 3. IN01179697 Number of women value chain actors supported by value chain development activities (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 2,500.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 17-May-2027 IN01179701 10/26/2022 Page 7 of 10 The World Bank Implementation Status & Results Report Southern Africa Trade and Connectivity Project (P164847) ►Gender gap in the share of the value of production sold (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 17.00 17.00 17.00 12.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 This indicator measures the difference in the share of the value of production sold between male-headed Comments: households and female-headed households supported by the project. Strengthen Transport Infrastructure to Improve Market Access IN01179693 ►Length of primary and/or secondary road on or connecting regional truck corridor rehabilitated or upgraded in Malawi (Kilometers, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 45.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 Comments: Length of primary and/or secondary road improved through the project. IN01179696 ►Length of secondary or tertiary road connecting to regional truck corridor rehabilitated or upgraded in Mozambique (Kilometers, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 351.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 Comments: Length of secondary or tertiary road improved through the project. IN01179703 ►Number of blackspot locations improved in Mozambique (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 3.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 Comments: Physical infrastructure upgrades to improve road safety and reduce accidents. IN01179705 ►Number of schools with IRAP Star Rating along the Nacala corridor (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 51.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 Number of school sites with road safety interventions implemented to improve Star Rating to minimum of Comments: three stars that better protects vulnerable road users. 10/26/2022 Page 8 of 10 The World Bank Implementation Status & Results Report Southern Africa Trade and Connectivity Project (P164847) IN01179708 Number of schools with IRAP Star Rating along the Nacala corridor (Mozambique) (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 36.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 17-May-2027 IN01179710 Number of schools with IRAP Star Rating along the Nacala corridor (Malawi) (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 15.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 17-May-2027 IN01179712 ►Construction of axle load weigh station in Malawi (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 1.00 Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 Comments: Installation of new axle load control station consistent with SADC standards. IN01179714 ►African Road Safety Observatory (ARSO) datasets collected and reported in Malawi and Mozambique (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 01-Dec-2020 01-Mar-2022 08-Sep-2022 30-Jun-2027 Comments: Collection and reporting of up to 25 indicators as endorsed by the ARSO member states. Performance-Based Conditions Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P164847 IDA-68700 Effective USD 75.00 75.00 0.00 3.76 64.58 5.5% P164847 IDA-D8030 Effective USD 230.00 230.00 0.00 7.39 211.90 3.4% P164847 IDA-D8040 Effective USD 75.00 75.00 0.00 3.56 64.17 5.2% 10/26/2022 Page 9 of 10 The World Bank Implementation Status & Results Report Southern Africa Trade and Connectivity Project (P164847) Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P164847 IDA-68700 Effective 27-Apr-2021 15-Jul-2021 06-Oct-2021 30-Jun-2027 30-Jun-2027 P164847 IDA-D8030 Effective 27-Apr-2021 07-Jun-2021 24-Sep-2021 30-Jun-2027 30-Jun-2027 P164847 IDA-D8040 Effective 27-Apr-2021 15-Jul-2021 06-Oct-2021 30-Jun-2027 30-Jun-2027 Cumulative Disbursements Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 10/26/2022 Page 10 of 10