Document of The World Bank FOR OFFICIAL USE ONLY Report No: 73362-ZM RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF ZAMBIA MALARIA BOOSTER PROJECT CREDIT 4851-ZM APPROVED DECEMBER 9, 2010 TO THE REPUBLIC OF ZAMBIA November 5, 2012 HUMAN DEVELOPMENT HEALTH, NUTRITION AND POPULATION UNIT EASTERN AND SOUTHERN AFRICA AFRICA REGION This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization. ABBREVIATIONS AND ACRONYMS ICT Information and Communication Technologies MOH Ministry of Health PDO Project Development Objective Regional Vice President: Makhtar Diop Country Director: Kundhavi Kadiresan Sector Manager: Olusoji O. Adeyi Task Team Leader: Jumana N. Qamruddin Restructuring Status: Draft Restructuring Type: Level 2 Last modified on date : 10/10/2012 1. Basic Information Project ID & Name P096131: ZM-Malaria Health Booster SIL (FY06) Country Zambia Task Team Leader Jumana N. Qamruddin Sector Manager/Director Olusoji O. Adeyi Country Director Kundhavi Kadiresan Original Board Approval Date 11/15/2005 Original Closing Date: 01/31/2010 Current Closing Date 01/31/2013 Proposed Closing Date [if applicable] 06/30/2013 EA Category B-Partial Assessment Revised EA Category B-Partial Assessment EA Completion Date 03/30/2010 Revised EA Completion Date 2. Revised Financing Plan (US$m) Source Original Revised BORR 0.00 0.00 IDA 20.00 50.00 RBF 0.00 11.00 RTF 0.00 6.85 Total 20.00 67.85 3. Borrower Organization Department Location Government of Republic of Zambia Zambia 4. Implementing Agency Organization Department Location Ministry of Health Zambia i 5. Disbursement Estimates (US$m) Actual amount disbursed as of 11/08/2012 42.14 Fiscal Year Annual Cumulative 2013 11.10 50.00 Total 50.00 6. Policy Exceptions and Safeguard Policies Does the restructured project require any exceptions to Bank policies? N Does the restructured projects trigger any new safeguard policies? If yes, please select N from the checklist below and update ISDS accordingly before submitting the package. 7a. Project Development Objectives/Outcomes Original/Current Project Development Objectives/Outcomes The Project Development Objective is increase coverage of interventions for malaria prevention and treatment and other key maternal and child health interventions. 7b. Revised Project Development Objectives/Outcomes Not applicable. ii Extension of Closing Date ZAMBIA – MALARIA HEALTH BOOSTER P096131 CREDIT 4851-ZM Restructuring Paper 1. The closing date for the Additional Financing to the Zambia, Malaria Health Booster Project, Credit 4851-ZM, P096131, will be extended from January 31, 2013 until June 30, 2013. This is the first closing date extension for this credit. 2. Between 2006 and 2009, the Project made a significant contribution to the increased coverage of key malaria prevention activities in Zambia as measured by the progress against key Project Development Objectives (PDO) indicators. The Project has also supported the Government in sustaining progress and effectively responding to an outbreak of malaria cases in three regions of the country. The progress against the revised PDO indicators will be measured when the ongoing data collection has been completed by the end of November 2012. In the interim, the revised intermediate indicators are moving in a satisfactory direction. Since 2010, the Project has: (i) procured and distributed over 1,500,000 bednets out of a target of 2,300,000; (ii) renovated 120 health facilities out of a target of 180; and (iii) supported 524 community grants out of a target of 790 to implement malaria prevention activities. 3. The proposed extension is necessary to ensure timely implementation of key activities that were delayed due to significantly reduced Ministry of Health (MOH) capacity as a result of corruption in the sector in 2009-2010. These delays are being addressed through intense implementation support as well as strengthened accountability and governance at the Project, MOH, and broader sectoral levels. The proposed five month extension will ensure: (i) completion and delivery of all commodity procurements that have been initiated (bednets, indoor residual spraying); (ii) implementation of all activities contributing to the national scale-up of the supply chain reform by the Government; (iii) implementation of the Information and Communication Technologies (ICT) pilot to further enhance the effectiveness of the supply chain; and (iv) completion of all community sub-grants supporting malaria control and prevention activities. With the completion of these activities, it is expected that the PDO will be achieved. Furthermore, the Borrower has in place an action plan to complete the project. 4. The original project (CR. 4126-ZM), approved on November 15, 2005 had an original closing date of January 31, 2010 which was extended one time to January 31, 2012. Subsequently, with the approval of the Additional Financing (Cr. 4851-ZM) on December 7, 2010, the closing date of the project was extended by an additional year to its current date of January 31, 2013. 5. The task team confirms that (i) the project objectives continue to be achievable; (ii) the performance of the Borrower is satisfactory; (iii) the team has received an updated action plan and procurement plan from the Government to complete the project; and (iv) there are no outstanding audits or IFRs for the credit. 1