The World Bank Report No: ISR8201
Implementation Status & Results
Bhutan
Bhutan Private Sector Development (P073458)
Public Disclosure Copy
Operation Name: Bhutan Private Sector Development (P073458) Project Stage: Implementation Seq.No: 9 Status: ARCHIVED Archive Date: 20-Nov-2012
Country: Bhutan Approval FY: 2007
Product Line: IBRD/IDA Region: SOUTH ASIA Lending Instrument: Specific Investment Loan
Implementing Agency(ies): Royal Monetary Authority of Bhutan, Ministry of Information and Communication, Royal University of Bhutan, Bank of Bhutan
Key Dates
Board Approval Date 20-Jun-2007 Original Closing Date 30-Jun-2012 Planned Mid Term Review Date 10-Jun-2010 Last Archived ISR Date 08-Jan-2012
Effectiveness Date 22-Jun-2007 Revised Closing Date 30-Jun-2013 Actual Mid Term Review Date 20-Oct-2010
Project Development Objectives
Project Development Objective (from Project Appraisal Document)
The objective of the project is to increase productive employment in Bhutan through promotion of enterprise development in the IT/ITES sector, enhanced IT skills, and
improved access to finance.
Has the Project Development Objective been changed since Board Approval of the Project?
Yes No
Component(s)
Component Name Component Cost
Development of the IT/ITES Sector 5.00
Development of the skills development program 2.00
Strengthening Financial development through IT use 1.00
Overall Implementation Support and Fiduciary 0.00
Overall Ratings
Public Disclosure Copy
Previous Rating Current Rating
Progress towards achievement of PDO Satisfactory Satisfactory
Overall Implementation Progress (IP) Satisfactory Satisfactory
Overall Risk Rating
Implementation Status Overview
The Bhutan Private Sector Development Project, under implementation since June 2007, is funded through an IDA grant of US$8 million. Counterpart funding is equivalent to USD
4.78 million. The project’s overall development objective is to increase productive employment in Bhutan through the promotion of enterprise development in the IT/IT Enabled
Services (ITES) sector, enhanced IT skills and improved access to finance. The Bhutan PSD Project achieved its project development objective (PDO) in March 2012. Key output
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The World Bank Report No: ISR8201
indicators of the project include increased job creation in the IT/ITES sector, number of companies incubated in the IT Park built via a public private partnership (PPP), percentage of
trained candidates who are successfully employed by the private sector, number of financial transactions by using ATMs at the Bank of Bhutan per year.
Locations
Public Disclosure Copy
Country First Administrative Division Location Planned Actual
Bhutan Thimphu Dzongkhag Thimphu
Bhutan Chhukha Dzongkhag Phuntsholing
Bhutan Not Entered Kingdom of Bhutan
Bhutan Samtse Dzongkhag Samtse
Bhutan Trashigang Dzongkhag Kanglung
Results
Project Development Objective Indicators
Indicator Name Core Unit of Measure Baseline Current End Target
Cumulative job creation in the Text Value 0 806 700
IT/ITES sector in the IT park Date 30-Jun-2007 30-Sep-2012 29-Jun-2013
Comments
Intermediate Results Indicators
Indicator Name Core Unit of Measure Baseline Current End Target
Leads generated for new investments in the IT Text Value 0 201 200
Park Date 30-Jun-2007 08-Jun-2012 29-Jun-2013
Comments
Percent of students clearing ITES industry Text Value 0 56% 35%
competency assessment that is widely Date 30-Jun-2007 08-Jun-2012 29-Jun-2013
recognized
Public Disclosure Copy
Comments
Percentage of students trained are successfully Text Value 0 78.4% 50%
employed by the private sector Date 30-Jun-2007 08-Jun-2012 29-Jun-2013
Comments
Number of companies successfully incubated Number Value 0.00 9.00 5.00
in the IT Park Date 30-Jun-2007 01-Oct-2012 29-Jun-2013
Comments
Percentage of lettable space leased out Percentage Value 0.00 0.00 100.00
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The World Bank Report No: ISR8201
Date 30-Jun-2007 08-Jun-2012 29-Jun-2013
Comments
Number of ATM financial transactions at Bank Number Value 40000.00 1195081.00 900000.00
Public Disclosure Copy
of Bhutan per year Date 15-Jul-2007 31-Dec-2011 29-Jun-2013
Comments
Per cent of district coverage for financial Percentage Value 0.00 100.00 100.00
literacy campaign Date 31-Dec-2010 08-Jun-2012 29-Jun-2013
Comments
Percentage automation of stock exchange Percentage Value 0.00 100.00 100.00
trading, settlement, and delivery with straight Date 31-Dec-2010 08-Jun-2012 29-Jun-2013
through processing
Comments
Data on Financial Performance (as of 17-Aug-2012)
Financial Agreement(s) Key Dates
Project Ln/Cr/Tf Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date
P073458 IDA-H3070 Effective 20-Jun-2007 22-Jun-2007 22-Jun-2007 30-Jun-2012 30-Jun-2013
Disbursements (in Millions)
Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed
P073458 IDA-H3070 Effective XDR 5.30 5.30 0.00 4.95 0.35 93.00
Disbursement Graph
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The World Bank Report No: ISR8201
Public Disclosure Copy
Key Decisions Regarding Implementation
The project has been under implementation for five years and was scheduled to close on June 30, 2012. A closing date extension of one year was granted in June 2012 to allow the
Bhutan Power Corporation (BPC) to complete (under component 1) the undergrounding of a high voltage transmission line that runs over the park building. The undergrounding
works were delayed due to technical and coordination challenges. Overall project implementation has been satisfactory since effectiveness as a result of the considerable attention
and due importance given to the project by the implementing agencies. The assessment of the tenth implementation support mission, completed in June 2012, is that the PDO
continues to be relevant. The project has achieved, and in some cases, exceeded its targets, which confirms satisfactory progress towards achievement of the project’s development
objectives.
Restructuring History
Level two Approved on 21-Dec-2010, Level two Approved on 25-Jun-2012
Related Projects
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There are no related projects.
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