The World Bank Report No: ISR8004 Implementation Status & Results Panama Disaster Risk Management Development Policy Loan with a CAT DDO (P122738) Public Disclosure Copy Project Name: Disaster Risk Management Development Policy Loan with a Program Stage: Implementation Seq.No: 2 Status: ARCHIVED Archive Date: 03-Oct-2012 CAT DDO (P122738) Country: Panama Approval FY: 2012 Product Line: IBRD/IDA Region: LATIN AMERICA AND CARIBBEAN Lending Instrument: Development Policy Lending Implementing Agency(ies): Key Dates Board Approval Date 18-Oct-2011 Original Closing Date 30-Nov-2012 Planned Mid Term Review Date Last Archived ISR Date 13-Feb-2012 Effectiveness Date 07-Mar-2012 Revised Closing Date 30-Nov-2014 Actual Mid Term Review Date Program Development Objectives Program Development Objective (from Program Document) The overall development objective of the proposed operation is to enhance the Government of Panama's capacity to implement its disaster risk management program for natural disasters as part of its disaster risk management (DRM) national framework. The DPL with CAT DDO will provide a source of immediate liquidity in case of a natural disaster. The DPL with a CAT DDO instrument is designed to be a quick and flexible source of financing. Has the Program Development Objective been changed since Board Approval of the Program? Yes No Overall Ratings Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Satisfactory Overall Implementation Progress (IP) Satisfactory Satisfactory Implementation Status Overview Public Disclosure Copy This project was approved on October 18, 2011, the Loan Agreement was signed on January 4, 2012, and it was declared effective on March 7, 2012. Since then, the GoP has consistently continued with the implementation of its DRM Programme and has shown steady progress towards achieving the PDO. -In line with the project first prior action, enactment of the Comprehensive Disaster Risk Management National Policy-PNGIR, the GoP has increased its capacity for disaster risk reduction by developing a protocol for disaster risk evaluation for public investment assessments, and a risk catalogue for its Public Investment Monitoring System (SITMEP). -With regards to the second prior action, adoption of the Disaster Risk Management National Plan 2011-2015, three key DRM stakeholders, the Ministry of Finances (MEF), Ministry of Housing and Land Use Planning (MIVIOT), and the National Environmental Authority (ANAM), have implemented several priority actions which were committed in the DRM National Plan. In the case of MIVIOT, it is worth noting that they introduced disaster risk criteria into the terms of reference for the design of local land use plans, and are currently working on a proposal for a National Policy on Land Use Planning. Additionally, MIVIOT played a leading and coordinating role in the successfully implemented first CAPRA study on seismic risk conducted in David, the second largest city in the country. Page 1 of 3 The World Bank Report No: ISR8004 -Related to the third prior action, the role and functions of the MEF Directorate of Investment, Concessions, and Risks (DICRE), they have been updated through a Executive Decree, empowering this Directorate to undertake the development of financial protection policies, strategies, or instruments, as envisaged in the Comprehensive Disaster Risk Management National Policy (PNGIRD). Public Disclosure Copy In addition, the Ministry of Finances has enlarged its disaster risk financial instruments by including a disaster risk protection component in the design of the recently created Panamanian Saving Fund (FAP by its acronym in Spanish), and has the mandate to purchase catastrophic risk insurance. The FAP, formerly known as Fondo Soberano, supports Panama's financial protection strategy by (i) creating a mechanism for long-term savings; (ii) establishing a mechanism for financial stabilization in a state-of-emergency, or as a result of an economic slowdown, reducing the country's need of debt instruments; and (iii) complementing the country's fiscal safeguards against uncontrolled deficit. Results Results Indicators Indicator Name Core Unit of Measure Baseline Current End Target Increased GoP capacity for disaster risk Number Value 1.00 2.00 4.00 reduction (DRR) Date 30-Jan-2012 20-Sep-2012 30-Nov-2014 Comments One province has updated its The Provinces of Bocas del Four provinces have updated protocols for disaster Toro and Veraguas have protocols for disaster preparedness and response. updated their protocols for preparedness and response. disaster preparedness and response. Key ministries carried out DRR priority actions Number Value 0.00 3.00 3.00 identified in the 2011-2015 DRMNP Date 30-Jan-2012 20-Sep-2012 30-Nov-2014 Comments Zero ministries have carried Three ministries (MEF, Three ministries have carried out DRR priority actions MIVIOT and ANAM) have out DRR priority actions identified in the 2011-2015 carried out DRR priority identified in the 2011-2015 PNGR. actions identified in the PNGR. 2011-2015 PNGR. DRM financial protection policies, strategies, or Yes/No Value No No Yes instruments developed. Date 30-Jan-2012 20-Sep-2012 30-Nov-2014 Comments DRM financial management Financial instruments for DRM financial management program to be developed. disaster risk protection were program developed. Public Disclosure Copy presented in a Regional Workshop led by the GoP in April 2012. Guidelines for developing a disaster risk financial strategy have been also produced by MEF. Data on Financial Performance (as of 08-Mar-2012) Financial Agreement(s) Key Dates Page 2 of 3 The World Bank Report No: ISR8004 Project Ln/Cr/Tf Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date P122738 IBRD-80870 Effective 18-Oct-2011 04-Jan-2012 07-Mar-2012 30-Nov-2012 30-Nov-2014 Disbursements (in Millions) Public Disclosure Copy Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P122738 IBRD-80870 Effective USD 66.00 66.00 0.00 0.00 66.00 0.00 Tranches Tranche 1 Amount (USD) Expected Release Date Actual Release Date Status 0 Pending Released Key Decisions Regarding Implementation None. Restructuring History There has been no restructuring to date. Related Operations There are no related projects. Public Disclosure Copy Page 3 of 3