The World Bank Implementation Status & Results Report Bangladesh Investment Promotion and Financing Facility Project II (IPFF II) (P159429) Bangladesh Investment Promotion and Financing Facility Project II (IPFF II) (P159429) SOUTH ASIA | Bangladesh | Finance, Competitiveness and Innovation Global Practice | IBRD/IDA | Investment Project Financing | FY 2017 | Seq No: 9 | ARCHIVED on 24-Dec-2021 | ISR48526 | Implementing Agencies: Bangladesh Bank, Ministry of Finance Key Dates Key Project Dates Bank Approval Date: 05-Apr-2017 Effectiveness Date: 22-Jan-2018 Planned Mid Term Review Date: 19-Oct-2020 Actual Mid-Term Review Date: 20-Dec-2020 Original Closing Date: 30-Jun-2022 Revised Closing Date: 30-Jun-2022 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The PDO is to increase long-term financing for infrastructure and to build capacity of the local financial institutions for promoting private sector-led infrastructure financing in Bangladesh. Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Long-Term Infrastructure Financing Component:(Cost $403.70 M) Technical Assistance Component:(Cost $13.00 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Moderate Moderate Implementation Status and Key Decisions Following the Mid-term Review (MTR) mission in early 2021, the World Bank supported Bangladesh Investment Promotion and Financing Facility II (IPFF II) Project underwent several new steps to accelerate the pace of implementation, which got delayed caused by the initial implementation lag following the Board approval in April 2017 and fallout of COVID that hit the businesses starting from March 2020. Over the last several months the IPFF II Project Cell in Bangladesh Bank and the World Bank task team took steps for: (i) streamlining the environmental and social safeguards due diligence review protocol for medium risk sub-projects in the pipeline aiming accelerated turnaround of the safeguards documents; (ii) strengthening the quality assurance and hand-holding support on safeguards for the private sponsors and the participating financial institutions (PFIs); and (iii) enhanced construction monitoring through bi-weekly review meetings and monthly field visits. While the renewed momentum generated from the new measures taken, a virtual implementation review mission has been arranged to take place on January 2 - 4, 2022 to assess adjustments needed for the construction timeline of different sub-projects. Based on the assessments during the mission, the Finance Division's request for closing date extension of the project will be worked on. It may be noted that World Bank supported IPFF II Project, effective from January 2018, has so far disbursed approximately US$154 million against sub-projects in Information and Communication 12/24/2021 Page 1 of 6 The World Bank Implementation Status & Results Report Bangladesh Investment Promotion and Financing Facility Project II (IPFF II) (P159429) Technology (ICT), Private Industrial Park, Port, Renewable Energy and Waste Management sectors, accounting for a disbursement ratio of 42 percent. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Substantial Substantial Substantial Macroeconomic Moderate Substantial Substantial Sector Strategies and Policies Low Low Low Technical Design of Project or Program Moderate Moderate Moderate Institutional Capacity for Implementation and Moderate Moderate Moderate Sustainability Fiduciary Moderate Moderate Moderate Environment and Social Substantial High High Stakeholders Moderate Moderate Moderate Other Low Low Low Overall Moderate Moderate Moderate Results PDO Indicators by Objectives / Outcomes Increasing long-term financing for infrastructure & building capacity of the local fin. institutions IN01047570 ►Equity investments from private sector entrepreneurs under IPFF II (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 35,000,000.00 45,000,000.00 95,000,000.00 Date 30-Jun-2017 12-Jan-2021 15-Dec-2021 30-Jun-2022 Given the pipeline sub-projects now under application review process, total private sector Equity Comments: investments is on track for surpassing US$ 100 million. IN01047571 ►Long term debt financing for infrastructure under IPFF II (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target 12/24/2021 Page 2 of 6 The World Bank Implementation Status & Results Report Bangladesh Investment Promotion and Financing Facility Project II (IPFF II) (P159429) Value 0.00 67,000,000.00 120,000,000.00 406,700,000.00 Date 30-Jun-2017 12-Jan-2021 15-Dec-2021 30-Jun-2022 Considering the scheduled disbursement of long-term debt financing pending completion and clearance of Comments: the Environmental and Social Impact Assessment (ESIA) the end target is very much achievable. IN01047572 ►Total investments in infrastructure under IPFF II (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 150,000,000.00 250,000,000.00 610,000,000.00 Date 30-Jun-2017 12-Jan-2021 15-Dec-2021 30-Jun-2022 This indicator combines all debt and equity financing mobilized and crowded in from all private and public sector sources through the IPFF II Project platform. Given the pipeline sub-projects accounting for total Comments: investments over US$1.0 billion, it is expected that the total investments mobilized by IPFF II will be over US$700 million by the project closing date. IN01047573 ►Private Capital Mobilized (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 50,000,000.00 90,000,000.00 260,000,000.00 Date 30-Jun-2017 30-Jun-2020 15-Dec-2021 30-Jun-2022 Intermediate Results Indicators by Components Long-Term Infrastructure Financing Component IN01047574 ►Financing volumes through innovative financial instruments deployed for financing of infrastructure (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 30,000,000.00 Date 30-Jun-2017 12-Jan-2021 15-Dec-2021 30-Jun-2022 IN01047576 ►At least 20 domestic financial institutions use IPFF II credit line (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 17.00 18.00 20.00 Date 30-Jun-2017 12-Jan-2021 15-Dec-2021 30-Jun-2022 IN01047578 ►Female beneficiaries from IPFF II (Number, Custom) 12/24/2021 Page 3 of 6 The World Bank Implementation Status & Results Report Bangladesh Investment Promotion and Financing Facility Project II (IPFF II) (P159429) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 90.00 105.00 200.00 Date 30-Jun-2017 12-Jan-2021 15-Dec-2021 30-Jun-2022 IN01047580 ►Affected citizens' satisfaction with infrastructure subprojects (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 60.00 65.00 75.00 Date 30-Jun-2017 12-Jan-2021 15-Dec-2021 30-Jun-2022 The formal satisfaction survey has been delayed due to COVID-19 pandemic. Results of feedback through alternative a survey is currently being designed and its results will be reflected in the following Comments: ISR. IN01047581 ►PFIs maintain eligibility criteria (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 100.00 100.00 100.00 Date 30-Jun-2017 12-Jan-2021 15-Dec-2021 30-Jun-2022 Technical Assistance Component IN01047575 ►The capacity of financial institutions participating in IPFF II to undertake financial analysis of infrastructure projects is strengthened - number of staff trained (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 50.00 80.00 200.00 Date 30-Jun-2017 30-Jun-2020 30-Sep-2021 30-Jun-2022 IN01047577 ►Environmental assessments are undertaken for all infrastructure projects financed under the facility in coordination with the DoE (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 100.00 100.00 100.00 Date 30-Jun-2017 30-Jun-2020 30-Sep-2021 30-Jun-2022 IN01047579 ►E&S capacity developed; staff trained (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 55.00 70.00 200.00 Date 30-Jun-2017 30-Jun-2020 30-Sep-2021 30-Jun-2022 12/24/2021 Page 4 of 6 The World Bank Implementation Status & Results Report Bangladesh Investment Promotion and Financing Facility Project II (IPFF II) (P159429) Performance-Based Conditions Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P159429 IDA-60040 Effective USD 100.00 100.00 0.00 42.52 64.86 40% P159429 IDA-60050 Effective USD 256.70 256.70 0.00 111.32 154.12 42% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P159429 IDA-60040 Effective 05-Apr-2017 05-Nov-2017 22-Jan-2018 30-Jun-2022 30-Jun-2022 P159429 IDA-60050 Effective 05-Apr-2017 05-Nov-2017 22-Jan-2018 30-Jun-2022 30-Jun-2022 Cumulative Disbursements 12/24/2021 Page 5 of 6 The World Bank Implementation Status & Results Report Bangladesh Investment Promotion and Financing Facility Project II (IPFF II) (P159429) PBC Disbursement Achievement Disbursed amount in Disbursement % PBC ID PBC Type Description Coc PBC Amount Status Coc for PBC Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 12/24/2021 Page 6 of 6