The World Bank
Third Northern Uganda Social Action Fund (NUSAF 3) (P149965)
REPORT NO.: RES44273
DOCUMENT OF THE WORLD BANK
RESTRUCTURING PAPER
ON A
PROPOSED PROJECT RESTRUCTURING
OF
THIRD NORTHERN UGANDA SOCIAL ACTION FUND (NUSAF 3)
APPROVED ON MAY 27, 2015
TO
THE REPUBLIC OF UGANDA
SOCIAL PROTECTION & JOBS
AFRICA EAST
Regional Vice President: Hafez M. H. Ghanem
Country Director: Keith E. Hansen
Regional Director: Amit Dar
Practice Manager/Manager: Paolo Belli
Task Team Leader(s): Fatima Naqvi
The World Bank
Third Northern Uganda Social Action Fund (NUSAF 3) (P149965)
I. BASIC DATA
Product Information
Project ID Financing Instrument
P149965 Investment Project Financing
Original EA Category Current EA Category
Partial Assessment (B) Partial Assessment (B)
Approval Date Current Closing Date
27-May-2015 31-Dec-2020
Organizations
Borrower Responsible Agency
The Republic of Uganda Office of the Prime Minister
Project Development Objective (PDO)
Original PDO
The Project Development Objective (PDO) is “to provide effective income support to and build the resilience of poor
and vulnerable households in Northern Uganda.”
Summary Status of Financing (US$, Millions)
Net
Ln/Cr/Tf Approval Signing Effectiveness Closing Commitment Disbursed Undisbursed
IDA-56450 27-May-2015 16-Dec-2015 14-Mar-2016 31-Dec-2020 130.00 131.84 .01
Policy Waiver(s)
Does this restructuring trigger the need for any policy waiver(s)?
No
I. SUMMARY OF PROJECT STATUS AND PROPOSED CHANGES
The World Bank
Third Northern Uganda Social Action Fund (NUSAF 3) (P149965)
The North Uganda Social Action Fund (NUSAF) 3 was approved on May 27, 2015 with US$130 million International
Development Association (IDA) Credit. The Project Development Objective (PDO) and Implementation Progress (IP)
ratings were both recorded as Satisfactory in the latest recorded ISR from June 2020. The overall risk rating for the
project is Moderate and the safeguard rating is Moderately satisfactory. The current closing date is December 31,
2020.
The project has been restructured once before, initiated in March 2018. The first restructuring aimed at addressing
the issue of marginalized/vulnerable groups in the NUSAF 3 project implementation area. The client prepared a draft
Vulnerable and Marginalized Peoples Action Plan (VMPP) in a participatory and consultative manner. The VMPP was
cleared by the Bank on August 8, 2017 and was disclosed in-country and on the World Bank’s web site on October 3,
2017. The restructuring was finalized after internal GOU consultations and clarifications on the safeguard framework
of the World Bank, in November 2020 with signing of the amendment of the Financing Agreement.
The NUSAF 3 project has four components: i) labor Intensive public works (LIPW) and disaster risk financing: ii)
livelihood Investment Support iii) strengthening transparency, accountability and anti-corruption: and iv) social
protection systems strengthening and project management.
The project was on track to fully achieve its results and objective; however, implementation has been severely
impacted by the COVID-19 pandemic in the past months. Since March 2020 the Government of Uganda (GOU)
implemented a strict lockdown and COVID-19 Standard Operating Procedures (SOPs) did not allow for usual
community engagement and gatherings and there was limited travel and presence of staff in office and in the field.
This delayed implementation of labor-intensive public works, disaster risk financing and livelihoods support activities
for a period of 6-7 months. However, efforts were made to continue project implementation despite restrictions
imposed due to COVID-19. The project adopted a proactive and innovative strategy for addressing COVID-19 related
restrictions through use of technology, enhancing communication and dissemination of information and promoting
behavioral change and adoption of new health and safety practices. For example, in the LIPW component, to reduce
human interaction, the use of manual attendance registers was replaced with the use of tablets to verify biometric
data. In addition, key project closure activities such as end line impact evaluation completion have been delayed.
While the project is fully disbursed, because of the delay in implementation of activities on the ground the project
expenditure on the final funds’ withdrawal has been low. The last withdrawal of $ 8 m is minimally spent with nearly
$7.8 million not utilized as of November 13, 2020.
With an extension of the closing date by six months until June 30, 2021, it is expected that the results will be fully
achieved. The disbursed funds will be fully utilized through initiation and completion of the remaining project activities
of labor-intensive public works, disaster risk financing and livelihoods support. The extension period will allow the
Project to ensure sustainability through the following activities: community structures are ready to take ownership
and maintenance of community assets, districts to include operations and maintenance costs in their regular budgets
for maintenance of community assets, linkages to markets and access to financial services are strengthened for
sustainability of the livelihoods investments.
Moreover, the extension would help the GOU and the Task Team document best practices and lessons learned for
strengthening of shock-responsive social protection system in Uganda. The extension will allow the completion of
impact evaluation and process evaluations of key aspects of the operation such as community-demand driven
approach to development, disaster risk financing component, the environmental and social safeguards innovations,
The World Bank
Third Northern Uganda Social Action Fund (NUSAF 3) (P149965)
and gender analysis. The evidence from NUSAF 3 will support the policy dialogue on development of national shock-
responsive social protection system in Uganda.
There are no outstanding audits for this project.
II. DETAILED CHANGES
LOAN CLOSING DATE(S)
Original Revised Proposed Proposed Deadline
Ln/Cr/Tf Status Closing Closing(s) Closing for Withdrawal
Applications
IDA-56450 Effective 31-Dec-2020 30-Jun-2021 30-Oct-2021