Public Disclosure Copy The World Bank Implementation Status & Results Report Nepal - Forest Investment Plan Preparation Grant (P160523) Nepal - Forest Investment Plan Preparation Grant (P160523) SOUTH ASIA | Nepal | Environment & Natural Resources Global Practice | Recipient Executed Activities | Investment Project Financing | FY 2017 | Seq No: 1 | ARCHIVED on 25-Jun-2018 | ISR30961 | Implementing Agencies: Government of Nepal represented by Ministry of Finance, Ministry of Forestry and Environment Key Dates Key Project Dates Bank Approval Date:06-Dec-2016 Effectiveness Date:26-Dec-2016 Original Closing Date:30-Sep-2018 Revised Closing Date:30-Sep-2018 Project Development Objectives Project Development Objective (from Project Appraisal Document) The objective of this project is to support the Government of Nepal with the preparation of Nepal's Forest Investment Plan and enhance its capacity for implementation. Has the Project Development Objective been changed since Board Approval of the Project Objective? No PHRPDODEL Components Name Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO  --  Satisfactory Overall Implementation Progress (IP)  --  Satisfactory Implementation Status and Key Decisions The FIP Investment Plan for Nepal was endorsed by the FIP Sub-Committee on December 13, 2017 and FIP investment project preparation has been initiated. During the preparation of the FIP-IP, technical capacity was built in Government agencies, especially REDD IC, and other stakeholder groups on the potential forests provide to Nepal's economy, job growth and environmental sustainability. Stakeholders also learned about the niche the FIP investment can fill in terms of supporting Nepal's forestry sector and the challenges and opportunities associated with the ongoing federalization process. The dissemination process of the content of the FIP IP and the DGM is ongoing at provincial and local government levels. 6/25/2018 Page 1 of 5 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nepal - Forest Investment Plan Preparation Grant (P160523) In April 2018, discussions around the packaging of the proposed investment priorities took place to define the features of the future Bank project which would blend FIP and IDA-18 resources. After discussions with the GoN and efficiency considerations by the Bank, it was suggested to explore one project considering the following themes: 1 . Scale up of community-based forest management in the ER-Program area (Terai TAL) 2 . Enhancement of Forest Productivity 3 . Integrated Watershed Management (with focus on regional cooperation) In addition, the project will seek to blend FIP resources with national and regional IDA 18 resources. The process for setting up the National Steering Committee for the DGM is ongoing. Indigenous Peoples and local community groups are working towards the establishment of the NSC which would then develop the TOR for the National Executing Agency for the future DGM project. Risks Overall Risk Rating Risk Category Rating at Approval Previous Rating Current Rating Overall  --  --  Moderate Comments During the CIF meetings (week of December 11,2017), the CIF Administrative Unit informed the SCF TFC that the FIP is currently experiencing a funding shortfall of USD51million, seriously jeopardizing the full implementation of the FIP-IP. If all projects currently submitted for review and FIP funding approval would be approved, no FIP resources would be left for the implementation of Nepal's FIP IP. There was an extraordinary SCF TFC meeting in mid-February 2018 to further discuss the situation and options for the allocation of the remaining FIP resources. Concessional funding for the project is secured and the CIF Administrative Unit is in the process of raising additional grant resources to make up for the grant funding. The team was encouraged to move forward with the preparation of the FIP project. Results Project Development Objective Indicators PHINDPDOTBL FIP Investment Plan for Nepal reflects the results from a participatory development process (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N -- Y Y Date 15-Dec-2016 -- -- 13-Dec-2017 PHINDPDOTBL Active inter-ministerial committee (Yes/No, Custom) 6/25/2018 Page 2 of 5 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nepal - Forest Investment Plan Preparation Grant (P160523) Baseline Actual (Previous) Actual (Current) End Target Value N -- Y Y Date 15-Dec-2016 -- -- 13-Dec-2017 Overall Comments The FIP-IP for Nepal was endorsed by the FIP Sub-Committee on December 13, 2017. The Plan was developed through a highly participatory process over the course of one year. The Plan was also endorsed by the Nepalese FIP Steering Committee which is led by the Secretary of MoFSC. Members include MoF, National Planning Commission and Ministry of Livestock. Moving forward, the SC will be observed by Intermediate Results Indicators PHINDIRITBL A series of technical and social studies and assessment that have informed the Investment Plan. (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 3.00 3.00 Date 15-Dec-2016 -- 13-Apr-2018 14-Dec-2018 PHINDIRITBL Govt institutions provided w/ capacity buildg to improve mgt of forest resources (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 6.00 6.00 Date 15-Dec-2016 -- 13-Apr-2018 14-Dec-2018 PHINDIRITBL Potential co-financing partners identified and donor coordination (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 2.00 4.00 Date 15-Dec-2016 -- 13-Apr-2018 14-Dec-2018 6/25/2018 Page 3 of 5 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nepal - Forest Investment Plan Preparation Grant (P160523) PHINDIRITBL Content of FIP Investment Plan and DGM dissiminated through dedciated events (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- 5.00 10.00 Date 30-Dec-2016 -- 13-Apr-2018 28-Sep-2018 Overall Comments Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P160523 TF-A4496 Effective USD 0.25 0.25 0.00 0.22 0.03 88% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P160523 TF-A4496 Effective 06-Dec-2016 26-Dec-2016 26-Dec-2016 30-Sep-2018 30-Sep-2018 Cumulative Disbursements 6/25/2018 Page 4 of 5 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Nepal - Forest Investment Plan Preparation Grant (P160523) Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 6/25/2018 Page 5 of 5 Public Disclosure Copy