FOR OFFICIAL USE ONLY
Report No: PADHI00415
INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT
INTERNATIONAL DEVELOPMENT ASSOCIATION
PROJECT APPRAISAL DOCUMENT
ON A
PROPOSED GRANT
IN THE AMOUNT OF SDR 7.6 MILLION
(US$10 MILLION EQUIVALENT)
TO THE COMMON MARKET FOR EASTERN AND SOUTHERN AFRICA (COMESA)
PROPOSED GRANT
IN THE AMOUNT OF SDR 53.2 MILLION
(US$70 MILLION EQUIVALENT)
TO THE REPUBLIC OF MALAWI
PROPOSED CREDIT
IN THE AMOUNT OF US$400 MILLION
TO THE DEMOCRATIC REPUBLIC OF CONGO
PROPOSED LOAN
IN THE AMOUNT OF US$300 MILLION
TO THE REPUBLIC OF ANGOLA
UNDER THE
INCLUSIVE DIGITALIZATION IN EASTERN AND SOUTHERN AFRICA (IDEA)
UNDER THE MULTI-PHASE PROGRAMMATIC APPROACH
WITH AN OVERALL FINANCING ENVELOPE OF US$2.48 BILLION
June 5, 2024
Digital Development Global Practice
Eastern and Southern 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.
CURRENCY EQUIVALENTS
(Exchange Rate Effective April 30, 2024)
Congolese Franc (CDF), Angolan Kwanza (AOA),
Currency Unit = Malawian Kwacha (MWK), IMF Special Drawing
Rights
CDF 2,780 = US$1
AOA 829 = US$1
MWK 1,716 = US$1
US$1.00 = SDR 0.75
FISCAL YEAR
January 1 - December 31 (DRC, Angola, COMESA)
April 1 - March 31 (Malawi)
Regional Vice President: Victoria Kwakwa
Regional Director: Wendy Hughes
Global Director: Christine Zhenwei Qiang
Country Director: Boutheina Guermazi
Practice Manager: Isabel Neto
Task Team Leaders: Cecilia Paradi-Guilford, Tim Kelly
ABBREVIATIONS AND ACRONYMS
A-ESRS Appraisal Environmental and Social Review Summary
AFD French Development Agency (Agence Française de Développement )
AfDB African Development Bank
AFE Eastern and Southern Africa
AFW Western and Central Africa
AI Artificial Intelligence
AM Accountability Mechanism
APD Data Protection Agency (Agência de Protecção de Dados) (Angola)
API Application Programming Interface
ASCENT Accelerating Sustainable and Clean Energy Access Transformation
AU African Union
BI Identification Card (Bilhete de Identidade) (Angola)
CBA Cost-Benefit Analysis
CCDR Country Climate and Development Report
CERC Contingent Emergency Response Component
CDRS Climate and Disaster Risk Screening
CIIP Critical Information Infrastructure and Protection
CIRT Cybersecurity Incident Response Team
COMESA Common Market for Eastern and Southern Africa
CPF Country Partnership Framework
CSI Corporate Scorecard Indicator
DA Designated Account
DE4A Digital Economy for Africa initiative
DFIL Disbursement Letter and Financial Information
DFS Digital Financial Services
DMAP Digital Malawi Acceleration Program
DPA Data Protection Authority (Malawi)
DPI Digital Public Infrastructure
DPO Development Policy Operation
DRC Democratic Republic of Congo
EAC East African Community
EARDIP Eastern Africa Regional Digital Integration
ECA Europe and Central Asia
ECOWAS Economic Community of West African States
EDGE Excellence in Design for Greater Efficiencies
National School of Administration and Public Policy (Escola Nacional de Administração e Políticas
ENAPP
Públicas) (Angola)
ESCP Environmental and Social Commitment Plan
ESF Environmental and Social Framework
ESIA Environmental and Social Impact Assessment
ESMAP Energy Sector Management Assistance Program
ESMF Environmental and Social Management Framework
ESRC Environmental and Social Risk Classification
ESRS Environmental and Social Review Summary
ESS Environmental and Social Standards
EU European Union
FAS Social Action Fund ( Fundo de Apoio Social) (Angola)
FCV Fragility, Conflict, and Violence
FDSU Universal Services Fund (Fonds de développement des services universels ) (DRC)
FM Financial Management
GCP Global Challenge Program
GDP Gross Domestic Product
GHG Greenhouse Gas
GIS Geographic Information System
GNI Gross National Income
GP Global Practice
GRS Grievance Redress Service
GSMCA Global System for Mobile Communications Association
HEI Higher Education Institution
HDI Human Development Index
ICR Implementation Completion and Results Report
ICT Information and Communication Technology
ID Identification
ID4D Identification for Development
IDA International Development Association
IDEA Inclusive Digitalization in Eastern and Southern Africa
IDP Internally Displaced Person
IEG Independent Evaluation Group
IFC International Finance Corporation
IFR Interim Financial Report
IMA Institute of Administrative Modernization (Instituto de Modernização Administrativa) (Angola)
INACOM Angolan Institute of Communication (Instituto Angolano das Comunicações) (Angola)
National Institute for the Support of Micro, Small, and Medium Enterprises (Instituto Nacional de
INAPEM
Apoio as Micro, Pequenas e Médias Empresas) (Angola)
IPF Investment Project Financing
IRR Internal Rate of Return
ISP Internet Service Provider
ITU International Telecommunication Union
KYC Know-Your-Customer
LAC Latin America and Caribbean
LAN Local Area Network
LEO Low-Earth Orbit
M&E Monitoring and Evaluation
MACRA Malawi Communications Regulatory Authority
MAREN Malawi Research and Education Network
MDAs Ministries, Departments, and Agencies
MCERT Malawi Computer Emergency Response Team
MFD Maximizing Finance for Development
MFI Multilateral Financial Institution
MIGA Multilateral Investment Guarantee Agency
Ministry of Telecommunications and Information and Social Communication Technology (Ministério
MINTTICS
das Telecomunicações, Tecnologias de Informação e Comunicação Social (Angola)
MITA Malawi Information Technology Authority
MPA Multiphase Programmatic Approach
MPTNTIC Ministry of Posts, Telecommunications and new information and communication technologies /
Ministère des Postes, Télécommunication et Nouvelles Technologies de l’Information et de la
Communication (DRC)
MSMEs Micro, Small, and Medium Enterprises
MTR Midterm Review
NDC Nationally Determined Contribution
NPV Net Present Value
NRB National Registration Bureau (Malawi)
NREN National Research and Education Network
PBA Performance-Based Allocation
PCE Private Capital Enabling
PCM Private Capital Mobilization
PCU Program Coordination Unit
PDO Project Development Objective
PforR Program for Results
PIM Project Implementation Manual
PIU Project Implementation Unit
PKI Public Key Infrastructure
PNN Plan National du Numérique (DRC)
POM Project Operations Manual
PPA Project Preparation Advance
PPP Public-Private Partnership
PPPC Public Private Partnership Commission (Malawi)
PPSD Project Procurement Strategy for Development
PrDO Program Development Objective
PSC Project Steering Committee
PWD Person with Disability
QER Quality Enhancement Review
QoS Quality of Service
REC Regional Economic Community
RIFF Regional Infrastructure Investment Facility
RPSC Regional Program Steering Committee
SADC Southern Africa Development Community
Congo Post and Telecommunications Company / Société Congolaise des Postes et
SCPT
Télécommunications (DRC)
SDR Special Drawing Rights
SEA/SH Sexual Exploitation and Abuse/Sexual Harassment
SEP Stakeholder Engagement Plan
SLA Service-Level Agreement
SOCOF Congolese Fiber Optic Company / Société Congolaise de Fibre Optique (DRC)
SOE State-Owned Enterprise
SOP Series of Projects
SPD Standard Procurement Document
SPJ Social Protection and Jobs
STEP Systematic Tracking of Exchanges in Procurement
TA Technical Assistance
TOR Terms of Reference
TVET Technical and Vocational Education and Training
UCF Unguaranteed Commercial Financing
USF Universal Service Fund
UN United Nations
UNDP United Nations Development Programme
UNICEF United Nations Children's Fund
WBG World Bank Group
WiFi Wireless Fidelity
The World Bank
Inclusive Digitalization in Eastern and Southern Africa (IDEA) (P502532)
TABLE OF CONTENTS
DATASHEET ........................................................................................................................................i
I. STRATEGIC CONTEXT .............................................................................................................. 1
A. Regional Context ............................................................................................................................................... 1
B. Sectoral and Institutional Context .................................................................................................................... 1
C. Relevance to Higher Level Objectives ............................................................................................................... 5
D. Multiphase Programmatic Approach (MPA) .................................................................................................... 6
II. PROGRAM DESCRIPTION ...................................................................................................... 13
A. Program Pillars ................................................................................................................................................ 13
B. Program Beneficiaries ..................................................................................................................................... 17
C. Rationale for Bank Involvement and Role of Partners................................................................................... 18
D. Lessons Learned .............................................................................................................................................. 19
III. IMPLEMENTATION ARRANGEMENTS .................................................................................... 20
A. Institutional and Implementation Arrangements .......................................................................................... 20
B. Results Monitoring and Evaluation Arrangements ........................................................................................ 20
C. Sustainability ................................................................................................................................................... 21
IV. PROJECT APPRAISAL SUMMARY ........................................................................................... 22
A. Technical, Economic, and Financial Analysis.................................................................................................... 22
B. Fiduciary ........................................................................................................................................................... 23
C. Legal Operational Policies ............................................................................................................................ 24
D. Environmental and Social ............................................................................................................................ 24
V. GRIEVANCE REDRESS SERVICES ............................................................................................ 24
VI. KEY RISKS ................................................................................................................................. 24
ANNEX 1: Results Framework and Monitoring for the COMESA IDEA Project .................................... 25
ANNEX 2: Common Market for Eastern and Southern Africa (COMESA)............................................ 30
ANNEX 3: Democratic Republic of Congo ......................................................................................... 35
ANNEX 4: Republic of Angola ........................................................................................................... 55
ANNEX 5: Republic of Malawi .......................................................................................................... 75
ANNEX 6: Climate Action Supported by the IDEA MPA ..................................................................... 94
ANNEX 7: Gender Equality ............................................................................................................. 109
The World Bank
Inclusive Digitalization in Eastern and Southern Africa (IDEA) (P502532)
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DATASHEET
BASIC INFORMATION
Project
Operation Name
Beneficiary(ies)
EASTERN AND
Inclusive Digitalization in Eastern and Southern Africa (IDEA)
SOUTHERN AFRICA
Environmental and Social Risk
Operation ID Financing Instrument
Classification
Investment Project
P502532 Moderate
Financing (IPF)
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Financing & Implementation Modalities
[✓] Multiphase Programmatic Approach (MPA) [ ] Contingent Emergency Response Component (CERC)
[ ] Series of Projects (SOP) [ ] Fragile State(s)
[ ] Performance-Based Conditions (PBCs) [ ] Small State(s)
[ ] Financial Intermediaries (FI) [ ] Fragile within a non-fragile Country
[ ] Project-Based Guarantee [ ] Conflict
[ ] Deferred Drawdown [ ] Responding to Natural or Man-made Disaster
[ ] Alternative Procurement Arrangements (APA) [ ] Hands-on Expanded Implementation Support (HEIS)
Expected Approval Date Expected Closing Date Expected Program Closing Date
27-Jun-2024 31-Oct-2032 31-Oct-2032
Bank/IFC Collaboration Joint Level
Yes Complementary or Interdependent project requiring active coordination
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MPA Program Development Objective
MPA FINANCING DATA (US$, Millions)
MPA Program Financing Envelope 2,480.00
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The World Bank
Inclusive Digitalization in Eastern and Southern Africa (IDEA) (P502532)
Components
Component Name Cost (US$)
1. Regional Harmonization and Planning Platform 5,474,000.00
2. Regional Knowledge and Capacity Building 1,402,000.00
3. Regional Project Coordination and Management 3,124,000.00
Organizations
Borrower: Common Market for Eastern and Southern Africa (COMESA)
Implementing Agency: Common Market for Eastern and Southern Africa (COMESA) Secretariat
MPA FINANCING DETAILS (US$, Millions)
MPA Financing Envelope: 2,480.00
of which Bank Financing (IBRD): 440.00
of which Bank Financing (IDA): 2,040.00
of which Other Financing sources: 0.00
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PROJECT FINANCING DATA (US$, Millions)
Maximizing Finance for Development
Is this an MFD-Enabling Project (MFD-EP)? No
Is this project Private Capital Enabling (PCE)? Yes
SUMMARY
Total Operation Cost 10.00
Total Financing 10.00
of which IBRD/IDA 10.00
Financing Gap 0.00
DETAILS
ii
The World Bank
Inclusive Digitalization in Eastern and Southern Africa (IDEA) (P502532)
World Bank Group Financing
International Development Association (IDA) 10.00
IDA Grant 10.00
IDA Resources (US$, Millions)
Guarantee
Credit Amount Grant Amount SML Amount Total Amount
Amount
Regional 0.00 10.00 0.00 0.00 10.00
Total 0.00 10.00 0.00 0.00 10.00
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Expected Disbursements (US$, Millions)
WB
Fiscal 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033
Year
Annual 0.00 1.00 2.00 3.00 2.00 1.00 0.50 0.45 0.05 0.00
Cumula
tive 0.00 1.00 3.00 6.00 8.00 9.00 9.50 9.95 10.00 10.00
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PRACTICE AREA(S)
Practice Area (Lead) Contributing Practice Areas
Education; Finance, Competitiveness and Innovation;
Digital Development
Social Protection & Jobs; Energy & Extractives
CLIMATE
Climate Change and Disaster Screening
Yes, it has been screened and the results are discussed in the Operation Document
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The World Bank
Inclusive Digitalization in Eastern and Southern Africa (IDEA) (P502532)
SYSTEMATIC OPERATIONS RISK- RATING TOOL (SORT)
Risk Category Rating
1. Political and Governance ⚫ Moderate
2. Macroeconomic ⚫ Moderate
3. Sector Strategies and Policies ⚫ Moderate
4. Technical Design of Project or Program ⚫ Moderate
5. Institutional Capacity for Implementation and Sustainability ⚫ Moderate
6. Fiduciary
Financial Management Risk rating from Specialist:
⚫High as of 2024-05-31T09:50:15Z ⚫ Moderate
Procurement Risk rating from Specialist:
⚫Moderate as of 2024-05-13T00:00:00Z
7. Environment and Social
Environment Risk rating from Specialist:
⚫Moderate as of 2024-05-03T14:15:22Z ⚫ Moderate
Social Risk rating from Specialist:
⚫Moderate as of 2024-05-03T14:15:22Z
8. Stakeholders ⚫ Moderate
9. Other ⚫ Moderate
10. Overall ⚫ Moderate
Overall MPA Program Risk ⚫
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POLICY COMPLIANCE
Policy
Does the project depart from the CPF in content or in other significant respects?
[ ] Yes [✓] No
Does the project require any waivers of Bank policies?
[ ] Yes [✓] No
ENVIRONMENTAL AND SOCIAL
Environmental and Social Standards Relevance Given its Context at the Time of Appraisal
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The World Bank
Inclusive Digitalization in Eastern and Southern Africa (IDEA) (P502532)
E & S Standards Relevance
ESS 1: Assessment and Management of Environmental and Social Risks and
Relevant
Impacts
ESS 10: Stakeholder Engagement and Information Disclosure Relevant
ESS 2: Labor and Working Conditions Relevant
ESS 3: Resource Efficiency and Pollution Prevention and Management Not Currently Relevant
ESS 4: Community Health and Safety Not Currently Relevant
ESS 5: Land Acquisition, Restrictions on Land Use and Involuntary Resettlement Not Currently Relevant
ESS 6: Biodiversity Conservation and Sustainable Management of Living Natural
Not Currently Relevant
Resources
ESS 7: Indigenous Peoples/Sub-Saharan African Historically Underserved
Not Currently Relevant
Traditional Local Communities
ESS 8: Cultural Heritage Not Currently Relevant
ESS 9: Financial Intermediaries Not Currently Relevant
NOTE: For further information regarding the World Bank’s due diligence assessment of the Project’s potential
environmental and social risks and impacts, please refer to the Project’s Appraisal Environmental and Social Review
Summary (ESRS).
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LEGAL
Legal Covenants
Sections and Description
The Recipient shall, not later than ninety (90) days after the Effective Date, establish and thereafter maintain
throughout the period of implementation of the Project, a regional program steering committee with composition,
functions, and terms of reference satisfactory to the Association (“Regional Program Steering Committee” or “RPSC”).
The Recipient shall not later than October 31st of each year, furnish the draft annual work plan and budget for the
following year to the Association for its review, and promptly thereafter finalize the draft annual work plan and budget,
taking into account the Association’s comments, and thereafter, adopt and carry out such annual work plan and budget
as shall have been agreed with the Association (“Annual Work Plan and Budget”), as such plan may be revised with the
prior written agreement of the Association, provided that the Annual Work Plan and Budget for the first year of Project
implementation shall be furnished to the Association not later than ninety (90) days after the Effective Date.
The Recipient shall establish and maintain at all times during the implementation of the Project, a Project Coordination
Unit (the “PCU”) within its secretariat, with composition, powers, functions, facilities, and adequate staffing, including
(i) a Project coordinator, a financial management specialist and a procurement specialist; and (ii) a digital specialist, an
environmental expert with OHS expertise, a social expert, stakeholder engagement/communication expert, and a
monitoring and evaluation expert, which shall be appointed not later than ninety (90) days after the Effective Date - all
with experience, qualifications and under terms of reference satisfactory to the Association.
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The World Bank
Inclusive Digitalization in Eastern and Southern Africa (IDEA) (P502532)
Conditions
Type Citation Description Financing Source
The Recipient has prepared
and adopted the Project
Effectiveness 5.01 Operations Manual, in form IBRD/IDA
and substance satisfactory
to the Association.
The Recipient has
established the Project
Coordination Unit (PCU)
within its secretariat, and
appointed/recruited to the
PCU, a Project coordinator,
a financial management
Effectiveness 5.01 IBRD/IDA
specialist, and a
procurement specialist - all
with experience,
qualifications and under
terms of reference
satisfactory to the
Association.
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The World Bank
Inclusive Digitalization in Eastern and Southern Africa (IDEA) (P502532)
I. STRATEGIC CONTEXT
A. Regional Context
1. The Eastern and Southern Africa (AFE) region is characterized by wide socioeconomic disparities: a majority of
its population resides in rural areas and approximately one-third live in extreme poverty. Widescale differences can be
seen in gross domestic product (GDP) per capita (ranging from US$672.9 in Malawi to US$2549.9 in Angola) and Human
Development Index (HDI) rankings, which range from 105/192 for South Africa to 192/19 for South Sudan. These
disparities are also reflected in the region’s overall growth trajectory. For instance, regional growth slowed from
3.5 percent in 2022 to 1.9 percent in 2023, primarily due to internal conflict in Sudan; low performance in two of the
largest economies, South Africa and Angola; and a sharp deceleration in private and public investment, particularly
affecting oil-exporting countries and underscoring the need for economic diversification. Moreover, in Sub-Saharan Africa,
the median monthly labor income of men is more than twice that of women, which further contributes to the broader
socioeconomic challenges faced by the region.1
2. AFE faces numerous challenges due to conflict, climatic events, and natural disasters. Successive shocks and
insecurity have led to a record number of internally displaced persons (IDPs) and refugees, particularly in borderland areas.
These concerns are further compounded by the threat of natural disasters. The region’s topography contributes to high
climate variability and vulnerability. Rising temperatures and unpredictable rain patterns have resulted in severe flooding
and cyclones in the south and persistent droughts. Climate change is projected to increase the risk and intensity of floods,
landslides, coastal erosion, and inundation, potentially affecting digital infrastructure.
B. Sectoral and Institutional Context
3. Digitalization can be a powerful tool for development, transforming entire sectors and delivery of services as
well as creating employment. Higher levels of internet use are associated with significant developmental gains—increases
in the number of jobs2 and a reduction in poverty. But the current level of use in the AFE is inadequate and uneven. By
putting in place a foundational basis for inclusive high-speed broadband networks, secure data hosting, digitally verifiable
ID, digital financial services (DFS), and data sharing, countries are establishing the highways of tomorrow to build inclusive
and dynamic digital economies, societies, and governments. The benefits of getting digital public infrastructure (DPI)3 right
can be enormous: empowered people, improved access to services and economic opportunities, more efficient delivery
of social assistance, and innovation unlocked. Regulatory harmonization to extend trust across borders can widen the
benefits of high-speed broadband, DPI, and digital payments to facilitate cross-border trade.
4. Digitalization can also play a critical role in tackling challenges, such as climate vulnerability; gender inequality;
health emergencies; and fragility, conflict, and violence (FCV). Digital technologies can potentially reduce greenhouse
gas (GHG) emissions in high-emitting sectors by up to 20 percent by 2050.4 They also provide a platform for women to
access knowledge, resources, and essential services. The use of accessible DFS, such as mobile money, has revolutionized
financial services; for example, it has increased financial inclusion by three times in Kenya. Digital technologies (including
mobile money, emergency communication facilities, internet at government offices, free wireless fidelity (WiFi) zones,
and so on) can also expand access and improve efficiencies and effectiveness of emergency response and aid delivery in
fragile contexts, as well as to vulnerable communities in remote, rural areas. For instance, research by the World Bank
1 World Bank Group. 2019. Profiting from Parity: Unlocking the Potential of Women's Business in Africa.
2 World Bank. 2023. Digital Africa: Technological Transformation for Jobs.
3
DPI refers to a set of foundational systems and their organizational frameworks (for example, laws and institutions) that enable core functions in
today's digital age, including as core elements the ability to verify identities, send and receive money, and exchange data.
4 World Economic Forum. 2022. Digital solutions can reduce global emissions by up to 20%. Here’s how.
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Inclusive Digitalization in Eastern and Southern Africa (IDEA) (P502532)
G2Px5 initiative shows that, during the COVID-19 pandemic, those countries with elements of DPI in place were able to
deliver cash transfers to three times more beneficiaries.6
5. Embracing digitalization is imperative, but AFE has the lowest rate of digitalization in the world7 (Figure 1).
Digitalization relies heavily on economies of scale and network effects, with the tendency of expanding across markets
and beyond country boundaries. Therefore, accelerating digitalization requires more integrated digital markets across the
region. This need is particularly acute for smaller, landlocked, and low-income countries which, on their own, may not be
able to achieve the same level of digital coverage and usage and rely on connectivity and internet capacity from coastal
neighbors. At the same time, a regional approach to digitalization will also benefit larger, coastal, and more developed
countries that need access to new markets. The inherent interconnectedness of the digital economy and common
challenges make cross-country collaboration and sharing of digital public goods pivotal.
Figure 1. Status of Digitalization in AFE versus Rest of the World (2023)
a) Internet coverage, usage. Percent of population with 4G coverage, and usage
b) Affordability. Mobile broadband c) Identification. People without d) Digital services. Made or
(2 GB) price as a % of GNI per capita identification (% of population) received a digital payment (age 15+)
Note: 4G = Fourth generation mobile communications; GNI = Gross national income.
Source: a) GSMA Intelligence, b) ITU, c) World Bank ID4D, d) World Bank Findex.
6. Among key challenges, internet coverage is limited, including in rural areas and due to missing cross-border
infrastructure between countries and in rural areas, and 4G+ coverage is lagging.8 While internet coverage has increased
across the continent over the last decade, the region still needs more than 100,000 km of additional broadband links to
5 G2Px = Government to persons digital payments.
6
World Bank. 2022. The Role of Digital in the COVID-19 Social Assistance Response.
7 When measured for mobile broadband coverage, mobile broadband subscriptions, people with digitally verifiable identification, and the price of 2
GB per month data.
8 TeleGeography. www.telegeography.com.
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Inclusive Digitalization in Eastern and Southern Africa (IDEA) (P502532)
guarantee route diversity Figure 2: Missing links in Eastern and Southern Africa
(‘missing links’9 on Figure 2).
These missing links prevent the
cost-effective distribution of
international traffic and are
holding back countries from
reaping the benefits of increasing
international capacity arriving to
the continent through the
growing number of submarine
cables. Most of these missing
links pass through rural areas
(where 62 percent of the region’s
population resides), which could
reduce the existing rural-urban
divide. Furthermore, upgrading
from third generation mobile
communications (3G) coverage
to 4G coverage and above (4G+),
would allow for higher-quality
connectivity and significant
energy efficiency gains, yet 4G+
coverage still varies greatly (99
percent in South Africa to below
35 percent in Angola and
Democratic Republic of Congo
[DRC]).10
7. There is also an emerging digital divide in data infrastructure across the continent, exacerbated by low levels of
government and private sector adoption of cloud computing. Data can offer enormous developmental benefits but only
when processed and shared. It is estimated that a 75 percent increase in data infrastructure capacity is needed across the
continent in the next decade to be able to process the growing volumes of data.11 However, investment is currently
constrained in some countries by rigid regulatory requirements, including those preventing the cross-border flow of data,
weaknesses in the business climate, fragmented demand, and inadequate provision of key enablers such as connectivity
and green energy, which are limiting the emergence of data infrastructure and cloud computing markets at the regional
and national level. For government data specifically, the region is characterized by country- and sector-level data silos,
implemented on government-owned and -operated data infrastructure, which are not adequately secure, are not
environmentally or financially sustainable, and do not offer the performance or scalability needed to meet digital
transformation ambitions. This approach has poor cost-efficiency, security, and disaster resilience while also representing
a missed opportunity to mobilize the private sector with a stark contrast to good practices from advanced economies,
which aim increasingly to capitalize on safe and trusted, commercial cloud solutions. There is a risk of a widening digital
divide if AFE governments cannot enable and facilitate the capital investments needed to bridge the continent’s data
infrastructure gap.
9 Analysis by the World Bank and Salience Consulting. 2023.
10 GSMA (Global System for Mobile Communications Association) Intelligence Database.
11 Xalam. African Data Center Gigawatt. 2022.
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The World Bank
Inclusive Digitalization in Eastern and Southern Africa (IDEA) (P502532)
8. Even where available, internet use is constrained by low affordability of both the data and digital devices. Smart
devices are critical for internet access, but the cost of a smartphone for the poorest 20 percent in sub-Saharan Africa is
equivalent to 105 percent of the average monthly GNI per capita,12 and consequently, a large part of the population is
unable to own a smartphone. Even for those with smart devices, data may be unaffordable, costing approximately 5.6
percent of GNI per capita per month (over twice the recommended target). Consequently, average data consumption in
AFE is only 0.3 GB per capita per month, almost 80 percent below that estimated to meet daily basic needs.13
9. To accelerate usage and impact, countries in AFE still need to establish and strengthen key building blocks for
digital service delivery. As more transactions move online, there is a need for robust DPI to equip people with the ability
to securely prove their identity digitally and carry out transactions completely online where appropriate. Digital ID, DFS,
and data sharing—the three main building blocks of DPI—can help reduce the risk of fraud, enhance regulatory
compliance, and expand usage. For digital ID to be inclusive and trusted, it must be supported by a robust legal ID system,
such as a population registry or civil registration system.14 However, nearly 40 percent of the population in AFE does not
have any type of ID, which severely limits their ability to access basic services. Despite progress in addressing the gender
gap in certain countries, women residing in low-income countries remain 8 percentage points less likely to possess an ID
compared to men.15 While some countries, such as South Africa, have made strides in expanding ID coverage, others, such
as DRC, are yet to begin the rollout of a foundational ID. The state of DFS is similarly varied, with progress in financial
inclusion driven by mobile money, and notable sub-regional and nascent continental efforts aimed at improving the
interoperability of financial market infrastructures. However, women and the poorest 40 percentage in each country in
Sub-Saharan Africa were still 6 and 13 percentage points less likely, respectively, to have made digital payments in the last
year than the Sub-Saharan Africa average of 50 percent of adults.16
10. Digitalization brings increased risks pertaining to data and consumer protection and cybersecurity, but the
region remains unprepared to mitigate these risks, holding back the production and use of digital services. Reportedly,
Kenya lost US$295 million17 or 0.4 percent of its GDP over a year, to malicious cyber activities, and Uganda lost
US$11 million over the same period.18 Several countries in AFE still lack adequate legal frameworks for personal data
protection, while others rank among the lowest on the Global Cybersecurity Index of the International
Telecommunication Union (ITU), while lack of anti-money laundering laws and other aspects pose a risk for DFS. At the
same time, several countries in AFE have stringent data localization regimes, restricting the flow of cross-border data,
which in turn, limits trade in digital services. Therefore, there is a need for AFE countries to put in place adequate policy,
regulatory, and enforcement measures to ensure a secure and trusted online environment while enabling and promoting
the secure transfer and sharing of data and payments across borders. Regionally harmonized frameworks, knowledge
sharing, and collaboration could help countries better manage associated risks and facilitate the flow of cross-border
digital services; however, regional efforts to enhance the trust environment, such as the Malabo Convention, AfricaCERT,19
and the Data Policy Framework of the African Union (AU), are still in early stages and/or are being updated.
11. Digitalization is also hampered by limited productive usage as well as skills and competencies to develop digital
services. By 2030, new jobs in AFE are expected to largely stem from the services sector and, particularly, from rapidly
12 GSMA Intelligence calculations based on pricing data from Tarifica. See GSMA, State of Mobile Internet Connectivity Report 2022.
13 World Bank. 2023. Digital Africa, Technological Transformation for Jobs.
14 Sometimes referred to a foundational ID, the definition of legal ID follows the Principles on Identification for Sustainable Development: “Legal
identification systems provide recognition before the law and proof of legal identity. The name and nature of legal identification systems varies
under national law, but typically includes civil registration systems, national identification systems, population registries, and other foundational
identification systems.” https://www.idprinciples.org/.
15 Identity for Development (ID4D). Annual Report 2022.
16
World Bank. 2021. Global Findex.
17 Serianu. 2018. Kenya Cyber Security Report. Serianu, Nairobi, Kenya.
18 Serianu. 2018. Uganda Cyber Security Report. Serianu, Nairobi, Kenya.
19 The African forum of computer incident response teams. Africacert.org.
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growing digitally enabled services, which require intermediate/advanced digital skills, as well as basic financial and digital
literacy. The region, however, remains unprepared, with a large digital skills gap and persisting gender disparities in
countries.20 The region also sees relatively low technology adoption among firms, limiting their productivity and job
creation.21 Finally, such skill deficit affects the public sector as well, which struggles to keep up with the rapid technological
advances.
12. The Inclusive Digitalization in Eastern and Southern Africa (IDEA) Program sets out an ambitious agenda to
address the above constraints and accelerate digitalization toward universal digital access and usage to deliver
development impact across AFE. IDEA presents a framework to accelerate solutions to address the digital divide in AFE,
with a proposed financing envelope of up to US$2.48 billion (including IDA and IBRD financing), across more than 15
countries and Regional Economic Communities (RECs) to increase internet usage by an additional 180 million people.
C. Relevance to Higher Level Objectives
13. The IDEA Program supports the World Bank’s mission of ending extreme poverty and boosting shared
prosperity on a livable planet and is aligned with the objectives and approaches under the World Bank’s Evolution
priorities. IDEA is expected to support countries in achieving regional digital targets, aligned with the new corporate
scorecard, using a programmatic approach and leveraging financing instruments from across the World Bank.
14. At a continental level, IDEA responds to the AU Digital Transformation Strategy, which calls for achieving
universal access by 2030. In line with the United Nations (UN) Sustainable Development Goal 9, the 2022 Dakar Call to
Action, and Agenda 2063, IDEA sets out a bold vision for achieving ‘Universal Digital Access’ in Africa by 2030. It will
advance the ‘Single Digital Market Framework’ for East Africa, reducing barriers for regional telecom infrastructure and
digital services across border and promoting regional digital market integration.
15. IDEA aligns with the World Bank priorities for AFE, as well as those under applicable national Country
Partnership Frameworks (CPFs).22 It complements ongoing national operations and responds to goals around FCV, livable
planet, and reducing gender gaps. IDEA is a Multiphase Programmatic Approach (MPA) that supports regional integration
and the development of key foundations for the digital economy. All national operations included in the program will
respond to the most recent CPF and aim to leverage and enhance the existing portfolio in the respective country. IDEA
will also contribute to the World Bank’s FCV Strategy 2020–2025, which recognizes the role of digital transformation in
promoting peace and reducing economic exclusion. It will also aid in narrowing gender gaps in alignment with the World
Bank Gender Action Plan (FY24–28).
16. IDEA follows the World Bank’s ‘cascade principle’ for maximizing finance for development (MFD), private capital
enabling (PCE), and private capital mobilization (PCM). IDEA aims to enable and catalyze private capital through IBRD/IDA
loans and guarantees, financing from the International Finance Corporation (IFC), and de-risking solutions from the
Multilateral Investment Guarantee Agency (MIGA) and World Bank’s capital-enabling upstream reforms while leveraging
the World Bank’s knowledge and convening power (see Box 1) to bring about the reforms.
17. IDEA will support countries in achieving their Nationally Determined Contributions (NDCs). It will contribute to
participating countries’ overall low-carbon and climate-resilient development goals. Operations in Angola, DRC, and
Malawi, in the first phase of the MPA, have prioritized energy efficiency, renewable energy, and climate-resilient
infrastructure in their NDCs to which IDEA contributes by integrating relevant climate mitigation and adaptation measures.
Detailed information for each of the operations can be found in Annexes 2-5 while climate is covered in Annex 6.
20 ITU.2022. Measuring Digital Development Facts and Figures.
21 The World Bank. 2023. Digital Africa: Technological Transformation for Jobs.
22 For Angola, a new CPF is under development covering FY23–28; for DRC, the CPF covers FY22–26 (168084-ZR); for Malawi, the CPF covers FY21–
25 (154505-MW); and for Zambia the CPF covers FY19–23 (128467-ZA).
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Box 1. IDEA MPA Adopting a ‘One World Bank Approach’ to Accelerate Digitalization
A joint working approach between World Bank, IFC and MIGA has been formulated encompassing the following:
• Joint analytics, research. Joint analytical products are currently being carried out, for example, the Digital Economy for Africa
(DE4A) which has been conducted in more than 20 countries in Africa. Other analytical work, primarily those led by the World
Bank are being peer reviewed by IFC teams, furthering common understanding, thinking, and recommendations. A joint
financing instrument workshop between the World Bank, IFC, and MIGA was conducted in February 2024 to build familiarity
with investment instruments across institutions. Follow-on workshops are planned for additional optimization and synergies.
This approach is expected to be expanded through forward-looking analytics supported through IDEA.
• Joint engagement with the private sector. The World Bank, IFC, and MIGA have been and will continue to have joint
engagement with the private sector, or consultation and discussion of priorities and opportunities where relevant, be it
through regional flagship events (for example, the GSMA Mobile World Conference), bilateral meetings with operators and
partners, country-focused discussions or roundtables.
• Joint teams and working cadence. Joint project preparation missions have and will continue to be conducted for preparation
and supervision of operations under the IDEA Program as relevant. The teams will set up one joint project team across the
World Bank, IFC, and MIGA as needed early on to work on selected areas of engagement.
Selected areas of engagement. At both national and regional levels, areas of engagement have been identified to implement the
abovementioned joint approach. This has been based on assessing the development needs of the region with related prioritization,
and also evaluating areas where the one World Bank approach could provide additional value. Many of the areas of engagement are
starting to see joint work being carried out beyond the IDEA MPA, with the intention to make these more systematically through the
program:
- At the national level, areas of engagement include the following: (a) state-owned enterprise (SOE) restructuring, private sector
participation strategies, and reform through joint support from the World Bank, IFC advisory, IFC corporate finance, MIGA
guarantees, and World Bank technical assistance (TA); this is currently ongoing in Angola, Ethiopia, and Namibia; (b) connectivity
in rural areas through World Bank offtake agreements or bulk purchase (viability-gap funding) for connecting key institutions
(schools/hospitals and rural areas) and IFC/MIGA commitments through term sheets for potential private sector bidders to
deploy fiber backbone links and last-mile access networks; this model is being designed in DRC under IDEA; and (c) creating a
Policy Compact by advancing joint World Bank and IFC public-private policy dialogue, which can leverage trust funds and or
complementary Development Policy Operations (DPOs) in the future, related to new technologies, infrastructure sharing,
taxation, cyber/data protection, foundational ID requirements, and other related areas.
- At the regional level, areas of engagement include: (a) building regional digital infrastructure through joint market sounding
exercises; sequenced investments with World Bank financing to governments or MIGA guarantees up front and follow-on
financing to private contractors from IFC, as needed, through alignment of pre-qualification requirements and early preparation
of term sheets; (b) potential parallel co-investments using financial instruments such as guarantee schemes, blended financing,
performance-based grants, and/or regional financing facilities, and other mechanisms; (c) addressing device affordability
through de-risking via guarantees (MIGA), subsidies for consumers at the bottom of the pyramid (World Bank), or consumer
credit enhancement mechanisms via financial intermediaries (World Bank and IFC) through on-lending; and (d) investing in green
data centers by supporting demand aggregation through bulk purchase offtake agreements (World Bank) and enabling
investments of private sector players in data storage facilities (IFC and MIGA) with targets for green energy use.
D. Multiphase Programmatic Approach (MPA)
(i) Rationale for Using MPA
18. Using the MPA allows IDEA to ‘Go Big’, pooling financing of US$2.48 billion across multiple recipients and
achieving impact at scale toward regional digital development and universal digital access in AFE by 2030. The MPA will
bring together more than 15 countries, RECs, development partners, multilateral financial institutions (MFIs), IFC, and
MIGA under one program, which is expected to accelerate the achievement of universal digital access and usage, including
increasing the number of people with new or enhanced Internet access by 180 million and the number of people using
digitally enabled services by a 100 million. A long-term engagement, estimated at eight years, sends a powerful signal of
commitment and becomes a platform for crowding-in resources from partners, including co-financing from other MFIs
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(Asian Infrastructure Investment Bank, European Union [EU], African Development Bank [AfDB], and so on), leveraging
the ‘One World Bank’ approach (Box 1) with IFC and MIGA to crowd in private sector capital (PCM/PCE).
19. Using the MPA enables IDEA to help participating countries to ‘Go Fast’ through a customizable menu of options
strengthening incremental local capacity. The MPA will offer a ‘menu of options’ of investments; technical assistance
results indicators for countries to select from, based on their needs and priorities. It will offer opportunities to simplify
and standardize interventions that support key regional priorities, such as private sector engagement, climate change
mitigation and adaptation measures, and other interventions that support gender parity and inclusion, and to access
regional financing facilities to accelerate scaling interventions.
20. The MPA allows the use of various instruments, such as Investment Project Financing (IPF) and Program for
Results (PforR). This gives the flexibility to use either instrument according to the borrower’s needs and existing capacities
geared toward achieving a unified program objective. The combination of instruments under the MPA allows for more
customized responses at the country level.
21. The emphasis on the learning agenda under the MPA allows IDEA to ‘Go Smart’ by capturing learnings
continuously, given the rapidly evolving nature of the digital sector. IDEA will leverage the speed and innovation of
private sector partners and the expertise of other World Bank sectors to jointly develop policy compacts, smart tools, and
solutions. Using phases will allow countries to join when they are ready, and help learning between peers and build in
incremental capacity in participating countries. Monitoring and Evaluation (M&E) will be conducted using real-time, short-
term and longer-term methodologies.
(ii) Program Results Chain
Figure 2. Results Chain
Assumptions: (a) national-level operations can receive sufficient IDA/IBRD allocation; (b) country and regional stakeholders are mobilized and able to contribute
to the PrDO; (c) countries join in future phases to allow the program to reach scale and have the expected regional impact
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22. The IDEA Program is structured around three technical pillars, which encompass the foundations, key enablers
and accelerators for digital development, as well as a fourth pillar focused on project management and capacity building
to support implementation, knowledge generation and regional coordination. Through the flexible menu of options
offered under each pillar and a regionally coordinated approach to knowledge sharing, policy and regulatory
harmonization, and pooling of financing with economies of scale, the IDEA Program is expected to increase access to and
inclusive use of the Internet and digitally enabled services, accelerating the pace at which the AFE region is expected to
reach universal digital access and increasing the rate of digital adoption. Long-term impact of the IDEA Program is expected
to include increased economic diversification and digital trade, stronger resilience to shocks, and new income generation
opportunities in the AFE region.
(iii) Program Development Objective with Key Program Indicators with Baselines and End Targets
23. The Program Development Objective (PrDO) is to “Increase access to, and inclusive use of, the internet and
digitally enabled services in Eastern and Southern Africa.” The PrDO and its relevant indicators will be measured in all
participating countries. PrDO indicators include the new World Bank-wide Corporate Scorecard Indicators (CSIs) (Table 1).
Table 1. PrDO-level indicators
PrDO Indicators Baseline (2021) Target (2032)
People using broadband internet (number of people) 0 180,000,000
- Of which, female — 90,000,000
People with digitally verifiable ID (number of people) 0 100,000,000
- Of which, female — 50,000,000
People using digitally enabled services (number of people) 0 100,000,000
- Of which, female — 50,000,000
Volume of international data traffic (used international bandwidth in kbit/s per capita) 34.5 90
(iv) Program Framework
24. Countries and regional bodies will join IDEA based on their eligibility and readiness. The MPA will follow a
strategic sequencing, beginning by targeting countries that have less than 50 percent 4G coverage, followed by those that
are needed for regional expansion and countries where existing operations can be scaled toward accelerating universal
digital access. Table 2 reflects the countries that have requested to join the IDEA and the expected timeline for them to
join. The duration of the entire IDEA MPA is expected to take place over an estimated period of eight years, as countries
will be expected to join in three batches (FY24–26). Each operation is expected to last up to six years based on the duration
of the new generation of digital projects, which cover more than one pillar proposed under the MPA. There will be an
opportunity to scale up existing operations under the IDEA MPA, depending on implementation performance and
availability of financing. The operation under the Common Market for Eastern and Southern Africa (COMESA) is expected
to last over the entire Program duration to ensure Program-level monitoring up to completion.
25. The first phase of the MPA will include four operations (see Annexes 2 to 5 for COMESA, DRC, Angola, and
Malawi, respectively):
• The first phase of the IDEA MPA includes a regional IDA grant to COMESA. The rationale for starting the IDEA
MPA with COMESA23 is to ensure that an appropriate REC can lead regional coordination of IDEA and create key
foundations and a mechanism for learning for regional implementation. COMESA is mandated to support the
creation of a common market and enhance digital infrastructure, supporting transition toward a digital free trade
area across most of the countries that the IDEA MPA covers. COMESA is also implementing directly relevant
projects by the World Bank and development partners (Box 2), notably the Accelerating Sustainable and Clean
Energy Access Transformation (ASCENT, P180547) Program, which has strong links to IDEA. Starting with COMESA
23 COMESA formally requested participation in the IDEA MPA by a letter sent on February 20, 2024.
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under the first phase of the MPA will ensure regional coordination and M&E across participating countries and
existing initiatives from the outset as well as supporting the development of key foundational tools and
frameworks to accelerate project preparation and increase implementation readiness for countries to be added
later under the MPA.
26. The first phase of the IDEA MPA will include three IPF for Angola, DRC, and Malawi. Relevant details are provided
in the Annexes. The rationale for their inclusion in the first phase is based on complementarity with existing portfolio and
that they each have internet coverage below 50 percent, hampering the development of national and regional digital
markets. Angola and DRC are two of the largest markets in AFE, with common borders, and are both engaged in a dialogue
to strengthen the building blocks of their digital economy, nationally and across borders. Malawi is smaller and is one of
the world’s poorest economies. Fiber optic submarine cables landing on Angola’s coast could allow it to play a greater role
in increasing international internet access for countries in the region further inland, to DRC and Malawi, and to Zambia
(proposed to be covered in the next phase), on the back of regional connectivity network expansion. DRC’s geographic
location makes it key for regional digital market integration, among others, as a crossroad for digital connectivity in
Central, Eastern Africa, and Southern Africa. However, this potential is currently hampered by low levels of digital coverage
and usage in both countries. The first phase of the MPA will support the three Governments in their strong commitment
to accelerate digitalization and expand regional digital trade to support economic diversification and transformation.
Box 2. IDEA MPA Leveraging Existing Regional World Bank Initiatives
Cross-sectoral synergies under the Program are envisioned in the following:
Analytics. Ongoing efforts include the DE4A initiative. Forward-looking analytics are expected between digital development and
energy sectors, focusing on bundling power utilities with telecom access and expanding on analytics of the Energy Sector
Management Assistance Program (ESMAP) through overlaying maps with digital connectivity and data infrastructure, particularly to
connect schools and clinics to the internet and electricity at the same time and overlaying climate risks.
Investments. Several initiatives are expected for combining investments between sectors, such as aligning digital and energy access
investments, particularly for schools and health clinics; bundling device affordability device schemes; and focusing on high-impact
use cases on social protection, financial services, and disaster risk management among others to accelerate uptake of digitally
enabled services and increase their impact. IDEA will leverage existing implementation structures and arrangements under ongoing
regional MPAs in the region, such as the ASCENT Program (P180547), and the Regional Infrastructure Investment Facility (RIFF,
P171967) Project. It will work with the same implementation agency, COMESA, and explore synergies with the Trade and
Development Bank. Activities under IDEA will also complement ongoing interventions, for instance, leveraging the ASCENT Progr am’s
energy mapping, device financing and statistical monitoring efforts in the AFE region. IDEA will also leverage the regional regulatory
and policy harmonization activities under Eastern Africa Regional Digital Integration Project (P176181), in collaboration with other
regional economic communities such as the East African Community.
Complementarities. IDEA will not be able to cover each sector in depth but will be complementary to other, deeper sector-specific
activities (such as for social protection activities or TA for financial sector regulations to enable DFS). It will build on these
complementarities and synergies across and sectors, including financial and private sector development, trade and logistics,
education, social protection, health, and infrastructure.
(v) Learning Agenda
27. IDEA will establish a regional knowledge exchange platform to facilitate an exchange of experiences and lessons
across participating countries, including the effectiveness of the program in the short term, and its impact in the
medium to long term. In the short term, the learning agenda under the IDEA Program will support the development of
strategies to improve effectiveness in implementation and uptake of the digital interventions, focusing on technical
aspects. These findings will be used to create a feedback loop and inform program implementation and seek mid-course
adjustments. Initial countries will be selected to exemplify varied stages and conditions of digital access across AFE and
provide lessons for the design and implementation of country operations in subsequent phases. Particular attention will
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be paid to documenting learning from FCV contexts, with a view to developing replicable and scalable approaches. Lessons
will be shared with all countries participating in the Program as well as those which are looking to join later.
28. In the medium to long term, the learning agenda under IDEA will assess the economic and social impact of
specific interventions under digital access and usage. IDEA will assess the impacts of digital interventions for people along
gender and other considerations for inclusion through assessments, studies and impact evaluations. Research questions
can cover, among other areas, the impact of improved connectivity on beneficiary welfare; the impact of connectivity on
firm productivity and employment creation; the impact of access to affordable, broadband-enabled devices and
beneficiary income, employment, and well-being; the effect of digitizing selected public services on the uptake of these
services; the impact of connectivity and access to broadband-enabled devices on learning outcomes; the impact of the
completion of digital skills programs on beneficiary income and employment; and the links between the introduction of
regulations and policies to enhance the trust environment for electronic transactions and consumer uptake of digitally
enabled services. These efforts will be supported by the World Bank Development Research Group, the Office of the Chief
Economist, and Development Impact Evaluation.
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Table 2. Planned Use of Funds under the MPA
Phase Operation ID Sequential or Phase’s Proposed DO IPF or Estimated IBRD Estimated IDA Estimated Estimat Estimated
# Simultaneous PforR Amount Amount Other ed Environme
(US$, millions) (US$, millions) Amount Approv ntal and
(US$, al Date Social Risk
millions) Rating
1 P502532 Simultaneous Increase access to, and inclusive use of, the internet and IPF 0 10 June Moderate
COMESA digitally enabled services in Eastern and Southern Africa 27,
2024
2 P180495 Simultaneous Increase inclusive access and use of the internet, and IPF 0 400 275 (of June Substantial
Democratic strengthen the foundations for digitally enabled which 110 27,
Republic of services in DRC co-financing 2024
Congo (100 EUR)
and 165
UCF)
3 P180693 Simultaneous Accelerate digital inclusion, increase access to digitally IPF 300 0 80 (UCF) June Moderate
Angola enabled services, and unleash digital opportunities for 27,
the advancement of Angola’s digital economy 2024
4 P505095 Simultaneous Increase access to and inclusive use of the internet and IPF 0 70 20 (UCF) June Substantial
Malawi improve the government’s capacity to deliver digitally 27,
enabled services 2024
5 P505094 Simultaneous Increase access to, and inclusive use of, the internet IPF 0 100 FY26 Moderate
Zambia and digitally enabled services in Zambia
6 Tanzania Simultaneous Increase access to, and inclusive use of, the internet IPF 0 300 FY26 Substantial
and digitally enabled services in Tanzania
7 Botswana Simultaneous Increase access to, and inclusive use of, the internet IPF 100 0 FY26 Moderate
and digitally enabled services in Botswana
8 Malawi Simultaneous Increase access to and inclusive use of the internet and IPF 0 80 30 (UCF) FY26 Substantial
(Second improve the government’s capacity to deliver digitally
Phase)24 enabled services
9 Eswatini Simultaneous Increase access to, and inclusive use of, the internet IPF 40 0 FY26 Moderate
and digitally enabled services in Eswatini
10 Lesotho Simultaneous Increase access to, and inclusive use of, the internet IPF 0 40 FY26 Moderate
and digitally enabled services in Lesotho
24
The country is committed to expanding the Program's scope in the near future. Thus, the overall investment in Malawi is split into two operations commensurate to the existing implementation
capacity (US$70 million in the first operation and US$80 million in the second, thus totaling the US$150 million appraised amount). This approach is deemed necessary to ensure the successful
implementation of the Program in the country.
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Phase Operation ID Sequential or Phase’s Proposed DO IPF or Estimated IBRD Estimated IDA Estimated Estimat Estimated
# Simultaneous PforR Amount Amount Other ed Environme
(US$, millions) (US$, millions) Amount Approv ntal and
(US$, al Date Social Risk
millions) Rating
11 South Sudan Simultaneous Increase access to, and inclusive use of, the internet IPF 0 150 FY27 Substantial
and digitally enabled services in South Sudan
12 Madagascar Simultaneous Increase access to, and inclusive use of, the internet IPF 0 200 FY27 Substantial
and digitally enabled services in Madagascar
13 Burundi Simultaneous Increase access to, and inclusive use of, the internet IPF 0 150 FY27 Substantial
and digitally enabled services in Burundi
14 Kenya Simultaneous Increase access to, and inclusive use of, the internet IPF 0 200 FY27 Substantial
and digitally enabled services in Kenya
15 Sao Tome e Simultaneous Increase access to, and inclusive use of, the internet IPF 0 40 FY27 Moderate
Principe and digitally enabled services in Sao Tome e Principe
16 Ethiopia Simultaneous Increase access to, and inclusive use of, the internet IPF 0 300 FY27 Substantial
and digitally enabled services in Ethiopia
Total 440 2,040
Estimated Total MPA Financing Envelope US$2,480
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II. PROGRAM DESCRIPTION
A. Program Pillars
29. IDEA will have four pillars in line with the focus areas, within the priorities outlined in the World Bank Evolution,
and adapted to AFE needs to offer a flexible menu of options. The pillars provide a holistic approach to supporting
digitalization, building on lessons learned from previous projects and findings by the Independent Evaluation Group (IEG)
that showed the importance of combining demand-side investments with those on the supply-side, focused internet
connectivity, to produce tangible results and impact. Each pillar covers a menu of options from which participating
countries will have the flexibility to select, based on their priorities, readiness, underlying enabling environment, and
available resources. The proposed menu of options can be simultaneous or sequenced depending on the country context,
and will incorporate the One World Bank approach, facilitate PCM, and incorporate climate mitigation and adaptation
principles. The list of optional interventions under each pillar is commensurate with the division of financing across the
pillars, with the estimation that Pillar 1 is expected to have the relatively highest allocation across the operations under
the Program. Annexes 2-5 detail the approach and specific menu of options applied for each recipient under the first phase
of the IDEA Program.
Menu of Options
30. Pillar 1: Affordable broadband and secure data hosting. This pillar focuses on expanding essential, high-quality,
resilient, and affordable broadband infrastructure and services while supporting investment in secure data infrastructure
and the development of cloud and data hosting markets. Activities under this pillar aim to strengthen institutions and help
drive private investment in telecom networks and data hosting facilities, which are key foundations for using digital
technologies and data productively. Activities under this pillar are outlined in the following paragraphs:
Sub-pillar 1.1: Building and expanding resilient national and regional infrastructure
(a) Financing investments and associated TA, toward a regional or national financing facility to support digital access;
Financing, and associated TA, to catalyze regional or national expansion of digital infrastructure, including the design
of a financing facility to support digital access;[1] extension of cross-border broadband links; TA, and provision of
additional connectivity, for underserved groups, such as rural and climate-vulnerable populations, women, the
elderly, and persons with disabilities (PWDs); and TA to develop and participate in integrated infrastructure mapping
and a study of least-cost options to cover pending connectivity and data infrastructure needs at the regional level,
to be coordinated with energy access planning, leveraging similar activities under the ASCENT MPA (P180547).
(b) Financing investments and associated TA, to incentivize the private sector to upgrade regional networks for first-,
middle- and last-mile broadband infrastructure, including upgrading from copper to more, climate-smart
infrastructure, using appropriate methodologies for competitive selection. For instance, existing second generation
mobile communications (2G) cellular networks might be upgraded to 4G and above, or low-earth orbit (LEO) satellite
technologies may be leveraged, yielding higher energy efficiency and closing the remaining coverage gaps for mobile
broadband. Catalytic financing for upgrading and extensions provided through the Program will ensure and promote
climate co-benefits.
Sub-pillar 1.2: Connecting key public institutions
(a) Demand aggregation for internet capacity through bulk prepurchase, where applicable, to ensure sustainability, at
the country and regional levels, for key public institutions (for example, schools, national research and education
networks (NRENs), health clinics, and government institutions) in coordination with parallel efforts by other
programs such as the ASCENT MPA (P180547).. A particular focus will be on connecting schools, with a digital
mapping exercise coordinated with the energy sector, to offer joint provision of connectivity and renewable energy
to targeted institutions. The World Bank will also partner with related programs—notably Giga’s school connectivity,
HealthConnekt’s programs, or the initiatives on capacity demand aggregation of EU AfricaConnect and Smart Africa
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that offer increased scale with the aim of providing universal connectivity to higher education institutions (HEIs),
schools and clinics.
(b) Co-investment, with the private sector, for in-campus and in-building connectivity and for last-mile connectivity for
educational institutions and clinics, using the most cost-effective technology, through competitive selection
processes, such as reverse auctions.
Sub-pillar 1.3: Enhancing data hosting capabilities
(a) Financing investments and associated TA, for the design and deployment of secure, financially viable, and
environmentally sustainable government data hosting, leveraging a combination of country-specific and regional
data infrastructure in an integrated network, using the One World Bank approach to leverage private capital and
private sector capabilities; and bulk purchase of data hosting capacity for public institutions to realize economies of
scale and mobilize private investment data infrastructure at the national and regional levels.
Sub-pillar 1.4: Enhancing regional and national policy environment to increase digital access
(a) TA and capacity building to enhance policy and regulatory frameworks and standards for connectivity at the national
and regional levels, covering various technologies, including satellites, and support the reduction of climate impact,
increase resilience, and support digital inclusion (including for women, marginalized groups, and PWDs); and
purchase of energy efficient equipment for the monitoring and management of scarce resources and quality of
service (QoS) monitoring, for use by regulatory authorities.
(b) TA and capacity building to strengthen institutions and enhance private sector dialogue to enable and promote
private sector financing in the sector, including competition, market entry and licensing, universal access funds,
infrastructure sharing and spectrum management, and regulatory sandboxes to support innovation; reform SOEs
and develop public-private partnerships (PPPs); and support climate change adaptation and mitigation.
Sub-pillar 1.5: Increasing access to affordable digital devices
(a) Design and capitalization of affordable smart device financing and guarantee schemes25 for targeted groups
(exploring affordable pricing models for devices and services for women and working mothers, PWDs, the elderly,
students, and teachers) and relevant e-waste measures to reduce environmental impact and support livelihoods.
(b) TA to enhance the enabling environment and support reforms for making smart devices more affordable to
support digital inclusion.
31. Pillar 2: Interoperable and secure data platforms. This pillar will focus on deploying interoperable DPI to enhance
efficiencies in both public and private sectors, strengthening institutions, and developing the cross-cutting enablers and
digital safeguards needed to promote trusted and safe use of digital technologies and digitally enabled services at the
national level and across borders. Activities under this pillar are outlined in the following paragraphs:
Sub-pillar 2.1: Expanding coverage and use of legal ID, digital ID, DFS, electronic signatures, and trust services
(a) Financing investments and associated TA and capacity building, to improve coverage of legal and digital
identification, including civil registration, which will be developed according to international good practices for
inclusion, user-centric design, and good governance.26 Specific areas of attention will include ensuring data
protection by design and enrollment approaches that seek to maximize coverage of women, the elderly, climate-
affected populations, and other vulnerable groups. To boost the enrollment of women, the Program will design
specific campaigns and provide support to them throughout the process.
25These will be designed in future phases of the IDEA MPA and will be subject to Financial Intermediary Framework assessments.
26In particular, the project investments in identification systems will be aligned with the Principles on Identification for Sustainable Development:
Toward the Digital Age, which encompass inclusion, design, and governance principles that have been agreed and endorsed by over 30 international
stakeholders. https://www.idprinciples.org/.
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(b) Financing investments and associated TA and capacity building to support the adoption of digital ID verification
services by service providers in the public and private sectors to facilitate service delivery, with the focus on key
sectors such as social protection and DFS, particularly to enable financial inclusion schemes that respond to climate
and other shocks.
(c) TA and capacity building to support regulatory harmonization to support cross-border use of digital ID, DFS,
electronic signatures, and trust services to enable regional electronic transactions; the emergence of regional digital
markets, including for trust services; and investments in public key infrastructure (PKI) to support transactions that
need a higher level of assurance.
Sub-pillar 2.2: Improving data governance, sharing, and management at the sectoral, national, and regional levels
(a) TA, capacity building, and convening stakeholders to support legal and regulatory reforms that strengthen country-
level and regional-level data governance frameworks, including data protection, and consumer protection and
promote regional harmonization of legal, regulatory, and data governance frameworks to enable (i) cross-border
data flows needed to support regional cloud and data hosting market development; (ii) regionally harmonized
security standards and trust frameworks for cloud and data hosting services; and (iii) cross-border trade in digital
services, including DFS; and (iv) capacity building for key institutions involved in data governance and data sharing,
such as national data protection authorities and others, including auditing and enforcement actions, leveraging
peer-to-peer learning opportunities.
(b) Capacity building for key institutions involved in data governance and data sharing, such as national data protection
authorities and others, including auditing and enforcement actions, leveraging peer-to-peer learning opportunities.
(c) TA and capacity building to establish enabling environments and define and adopt the common standards needed
to promote interoperability and data sharing, including for DFS, using co-regulation approaches to facilitate
interoperability both at and between sectoral, national, and regional levels.
(d) Financing investments and associated TA to deploy systems enabling trusted data sharing across sectors of
government and between government and private sector entities and promote adoption of these systems by users.
Sub-pillar 2.3: Developing cybersecurity capabilities at the national and regional levels
(a) TA and capacity building to develop cybersecurity policies, guidelines, and related regulations at the regional and
national levels, including the assessment of the current national cybersecurity maturity and development of national
Cybersecurity Strategies and Implementation Plans.
(b) Establishment of a Critical Information Infrastructure Protection (CIIP) framework at the national level, which will
also extend to e-government services.
(c) Financing investments for the establishment and strengthening of national Cybersecurity Incident Response Teams
(CIRTs) and cross-border incident data sharing and response capabilities, among others.
32. Pillar 3: High-impact digital services and productive digital usage. This pillar focuses on (a) advancing digitally
enabled applications and services, which can potentially have a high impact on economic and social activities (prioritizing
social protection, education, DFS, and climate-related applications in the initial phases); (b) increasing digital and financial
literacy to support general uptake of digital services; (c) strengthening digital skills and competencies among citizens,
businesses, and the public sector; and (d) developing a digitally enabled entrepreneurial ecosystem to increase productive
usage and the development of these services. Activities under the component are outlined in the following paragraphs:
Sub-pillar 3.1: Expanding high-impact, digitally enabled services
(a) Financing investments, associated TA and awareness raising for the digitalization of high-demand public services
and selected high-impact use cases, which are in line with country priorities, as outlined in relevant CPFs, and aim
to reach a large percentage of digital users. Activities under this sub-pillar will focus on the development of user-
centric government front-end shared solutions for multi-channel delivery of key public services, built upon simplified
digitally enabled back-end processes and whole-of-government digital coordination. Priority sectors include social
protection, education, DFS, and climate-related applications in the initial phases, followed by other critical digitally
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enabled services such as health, tax administration, trade, business and investment facilitation services, and the
digitization of key documents such as birth certificates and business registrations. In each country, the precise
selection of use cases will be made based on local demand and readiness for accelerating uptake and scaling up.
(b) Financing investments and associated TA, to support classification of sectoral data and systems, migration of legacy
government data and platforms to modern data hosting and cloud environments, and business process and systems
reengineering to integrate DPI into business processes and service delivery workflows.
(c) Financing investments and associated TA, for digital and financial literacy programs to support the uptake of digitally
enabled services.
Sub-pillar 3.2: Developing digital skills and capabilities
(a) Financing investments and associated TA, for developing digital skills and capabilities, including certification
programs linked to job placement; leveraging HEIs, technical and vocational education and training institutions
(TVETs), and tech hubs to offer certified training courses tailored to private sector needs, along with comprehensive
online safety courses, specifically designed with a lens for gender and child online protection;
(b) Innovative piloting and assessments of advanced digital skills trainings and their impact on job creation, income
generation and the production of digitally enabled services;
(c) TA and capacity building to upskill the public workforce, including training and knowledge sharing for policymakers,
regulators, and public administrators, to support the development and rollout of digitally enabled services, promote
the safe application of emerging technologies, such as artificial intelligence, and ensure adequate digital safeguards.
Sub-pillar 3.3: Supporting the digitalization of businesses and entrepreneurship
(a) Development of digital entrepreneurship ecosystems through TA, performance-based grant financing, and
internationalization programs, supporting businesses, entrepreneurs, academic start-up and innovation
ecosystems, tech hubs, incubators, accelerations, and early-stage investors, among others.
(b) TA and financing for digitalization of businesses, including access to finance through performance-based grants to
support technology adoption and utilization of DPI and DFS.
33. Pillar 4: Project Management. This pillar will support the critical building blocks for strong implementation,
learnings, and coordination of the Program at regional and national levels. Activities to be financed are as follows:
(a) Supporting national project implementation units (PIUs) and a regional policy coordination unit (at COMESA),
including key thematic experts, project managers, specialists for financial management (FM), procurement,
environmental and social specialists, and others as needed.
(b) Institutional capacity-building activities at the national and regional levels, covering key topics to enhance
implementation readiness (budgeting, procurement, and so on) and institutional adaptations required to adapt to
the rapid changes in the technology landscape, change management, procurement, and quality assurance
considerations for implementation, among others.
(c) M&E efforts and capacity building at the Program level and at the level of each recipient, strengthening efforts to
collect timely, comprehensive, sex-disaggregated information and communication technology (ICT) data and
conducting real-time, short-term and long-term impact evaluations and assessments.
(d) Peer-to-peer learning workshops, study tours, and the establishment of regional coordination platforms and tools
for knowledge creation and sharing.
(e) Financing for stakeholder consultations and citizen engagement, paying special attention to ensuring that project
interventions are designed to maximize the participation of women and PWDs in all activities and leveraging
civictech tools where applicable.
(f) Financing of e-waste and activities related to Environmental and Social Standards (ESS).
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Box 3. Regional Interventions for Future Phases under the IDEA MPA
The AFE region is characterized by challenges that transcend borders and would require common solutions in the form of
coordination among countries on common approaches, reforms, and regional-level financing (including from other multilateral
development banks, partners, and private sector) to address the challenges at hand at scale. The IDEA MPA will address this regional
gap through working with RECs such as COMESA and others, which will aid in cross-country collaboration, as well as explore
supporting regional-level financial intermediaries or setting up regional-level financing facilities to channel financing at scale.
Selected regional-level interventions have been identified based on regional development needs and viability and need for regional
support. These will be developed under Phase 1, through scoping assessments, and are expected to be capitalized in subsequent
phases of the MPA. Interventions may include the following:
• Building regional digital infrastructure such as cross-border links for landlocked countries. The region has over
100,000 kms of “missing” links requiring heavy investment, with several routes having low commercial viability limiting
private sector investment. The MPA expects to address this gap by (a) facilitating cross-country collaboration through RECs
with memoranda of understanding for internet transmission, infrastructure sharing, and rights-of-way for facilitating cross-
border internet sharing arrangements, which will create an enabling environment; and (b) deploying regional financing
facilities, such as using a financial intermediary to increase debt, equity or blended financing for building regional
infrastructure, or setting up a consortium of telecom operators to jointly build infrastructure or other related models, or
creating off-take agreements through bulk purchase or first loss arrangements on select routes to incentivize private sector
investment, among others. World Bank, IFC, and MIGA financing is expected to be jointly used to provide blended finance,
guarantees, and direct support to private providers. This facility is also expected to channel additional financing from
development partners.
• Addressing challenge of device affordability in AFE through regional de-risking instruments. In several low- and middle-
income countries within AFE, entry-level mobile devices cost 16–55 percent of monthly incomes, rendering these
unaffordable for a large section of the population. The MPA expects to address the affordability challenge through
different models such as de-risking instruments (guarantees and blended finance) to manufacturers/suppliers of devices
through financial intermediaries, or direct financial support to end consumers or telecom providers to expand access of
devices.
• Supporting regional energy efficient data hosting and storage facilities. With less than 20 percent of low- and middle-
income countries having modern data infrastructure, the demand to build this infrastructure in client countries, including
across AFE, is rapidly growing. With the emergence of “hyperscalers”, data centers that typically house 5,000 or more
servers and allow for rapid scaling, there is an opportunity for aggregating demand across countries and a need for a
regional dialogue to create a conducive enabling environment for cross-border data exchange. Data centers consume
significant amounts of energy and require a consistent (24/7) energy supply, which is even more acute for hyperscalers.
Data centers are not Paris Aligned, which means steps need to be taken to reduce the potential long-term carbon lock-in
of these investments. Further, due to high requirements for renewable energy supply by data center investors, developing
countries risk missing out on future investments if regulations and grids are not in place. One way to reduce the carbon
lock-in risk is to build the data center in tandem with investments in renewable energy production, which can be the
primary source of energy for the data center, while at the same time mobilizing critical private capital for renewable energy
generation. Future phases of the MPA could provide financing toward regional mechanisms to leverage private financing
for renewable energy-powered data center projects, thereby ensuring that both these increase digital connectivity,
increase renewable energy generation, and ensure Paris alignment. The IDEA MPA will also support governments in
formulating regulations on data sharing across borders and green energy use for data storage and de-risking financing
toward regional data storage facilities through off-take agreements to purchase data storage capacity in bulk at the
regional level or direct investments (IFC and MIGA) in data storage facilities in the region.
B. Program Beneficiaries
34. IDEA will benefit people of the region, targeting specifically women; refugees and host communities; firms; and
public sector ministries, departments and agencies (MDAs). These are detailed in annexes 2–5 for each operation.
(a) Citizens. Approximately 180 million citizens will have new, and improved, access to internet connectivity.
Approximately 100 million citizens, including refugees, members of host communities, and PWDs, will
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benefit directly from digital identification (using accessible techniques and tools). At least 100 million citizens
are expected to also benefit from digitally enabled services and increased access to online income generation
opportunities. In each case, the target is to ensure at least half are women.
(b) Firms. ICT service providers, including mobile network operators, wholesale fiber network operators,
internet service providers (ISPs), data center operators, and cloud service providers, will directly benefit from
the program through contracts for infrastructure deployment and internet prepurchase as well as local
procurement of ICT services, awarded on a competitive basis. Start-ups and entrepreneurship support
organizations can benefit from TA and grant mechanisms. Micro, small and medium-sized enterprises will be
able to benefit through increased access to the internet, smart devices, DFS, and skills training. Digitally
enabled businesses in general will be able to benefit from increased access to markets through digital
integration supported under the Program.
(c) Public sector. MDAs, particularly line ministries for ICT and trade, telecom and DFS regulatory bodies, digital
government agencies, and data protection authorities in the countries will directly benefit from targeted
financial and technical assistance. Public institutions (including unconnected government offices, HEIs) will
also benefit from improved access to connectivity.
C. Rationale for Bank Involvement and Role of Partners
35. While private sector financing has significantly increased for the digital sector, achieving universal digitalization
in AFE requires public sector financing to address persistent gaps, and further enable and accelerate private sector
investment. AFE’s investment gap to reach universal digital access is estimated to be around US$50 billion.27 Private sector
financing has significantly increased over the last decade, particularly from investment in mobile broadband. However,
gaps remain, primarily related to a ‘fixed digital infrastructure’ gap (that is, deployment of broadband links, and last -mile
connectivity). Although most of the investment is still expected to accrue from the private sector, public sector financing
is still necessary to unlock greater private sector capital. For instance, some infrastructure deployment may be in areas of
low commercial viability (for example, rural, remote areas and FCV contexts with high security premiums) requiring de-
risking and financial incentives. Second, there is a financing gap pertaining to ‘skills and content’, where private investment
would be needed to design and offer new digital skills programs, and public sector financing can help ensure wide access
to digital skills training, especially for vulnerable groups (women, refugees and host communities, PWDs and others), and
efforts aimed at upskilling civil servants in digital skills such as cybersecurity, data protection, and online safety for
children, among others. Finally, there exists a pure public sector investment gap in ‘policy and regulation’ pertaining to
the need to enhance the regulatory environment with respect to emerging technologies or other areas of competition,
taxation, others, and strengthening regulators.
36. IDEA’s current overall financing envelope of US$2.48 billion is intended to address market failures and create
markets to bridge some of the public sector financing gap toward universal digital access . Research on broadband
infrastructure deployment has shown28 how certain environments may exhibit market failures due to scarcity of capital,
excessive uncertainty, insecurity, crowding out by SOEs, or undervaluation of public good benefits. In such cases, public
sector investment would be required. This investment can take the form of catalytic gap financing to promote digital
infrastructure rollout in rural, remote areas; investing in expanding access to new digital skills and DFS; and improving the
policy and regulatory environment with respect to emerging technologies, among others.
37. IDEA will aid in bridging some of the private sector investment gap. The MPA’s activities have also been designed
to crowd-in private capital.
27 Broadband Commission Working Group on Broadband for All. 2019. Connecting Africa Through Broadband: A Strategy for Doubling Connectivity
by 2021 and Reaching Universal Access by 2030..
28 World Bank. 2018. Innovative Business Models for Expanding Fiber-Optic Networks and Closing the Access Gaps.
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• PCE. The IDEA Program is expected to enable private capital investments in the form of guarantees from MIGA;
financing from IFC and other private investment institutions; and investments made by telecom, ICT, and DFS
companies toward the project’s long-term outcomes. Under the first phase of the IDEA MPA, US$780 million in
World Bank financing is expected to enable about US$470 million in private capital, through processes of market
liberalization and creation of new investment opportunities.
• PCM. The IDEA Program is expected to catalyze direct private sector investment in AFE. This will be achieved by
using select instruments such as catalytic gap financing, performance-based grants, and others. Under the first
phase of the IDEA MPA, US$780 million in World Bank financing is expected to mobilize US$265 million in
unguaranteed commercial financing (UCF). A conservative approach was applied to the PCM calculations. While
public-private sector financing ratios in comparative schemes in countries such as Tanzania (1:2), the Comoros
(1:1.5), and elsewhere are known to be higher, conservative estimates have been taken due to (a) the low average
revenue per user; (b) the impact of unstable foreign exchange rates and national shortages of foreign currency on
investment costs in select markets; (c) lack of fully competitive markets and risk of licensing restrictions; (d) the
FCV context with volatile political and security environments in some countries, affecting the investment climate
and inflating deployment costs in several countries; and (e) low private sector appetite to invest capital up front
within the time frame of project duration (eight years).
38. Development partners have been consulted throughout project preparation to ensure coordination.
Consultations included technical discussions with development finance institutions, notably the Horn of Africa Initiative
Secretariat, AfDB, EU, German Agency for Cooperation (Deutsche Gesellschaft für Internationale Zusammenarbeit , GIZ),
and ITU on its support for affordable access to broadband. Consultations were held with Smart Africa, the GIGA initiative
(led by ITU and United Nations Children’s Emergency Fund [UNICEF]), the EU AfricaConnect program, and private sector.
D. Lessons Learned
39. The program design draws on key insights highlighted by comprehensive analytical work related to digital
economy and digital market integration. The program design draws on key insights highlighted by comprehensive
analytical work related to digital economy and digital market integration carried out in 26 countries in AFE. It is also
informed by the two recent World Development Reports, Digital Dividends29 and Data for Better Lives;30 the Single Digital
Market for East Africa report; the Digital Infrastructure Moonshot for Africa report with the United Nations Broadband
Commission, The Future of Work in Africa: Harnessing the Potential of Digital Technologies for All;31 and Digital Africa:
Technological Transformation for Jobs reports. Three prefeasibility studies were conducted to inform the design of this
project, with support from World Bank Trust Funds: Horn of Africa Broadband Missing Links Study (2022), digital market
integration regulatory study (2022), and an assessment of missing broadband links and internet exchange points in
Southern Africa (2023).
40. The project also draws on the lessons learned from past World Bank digital operations and analytical work. The
operation builds on previous and ongoing World Bank investments at the regional and national level, including the
Regional Communication Infrastructure Programs for West and East Africa (RCIP Projects); Central African Backbone
Project (CAB-5,P132821); Eastern Africa Regional Digital Integration Series of Projects (EARDIP, P176181, P180931); the
Western Africa Regional Digital Integration Series of Project (P176932); the West Africa Unique Identification for Regional
Integration and Inclusion Program (P161329); the Kosovo Digital Economy (P164188, IPF); the Global Data and Cloud
Infrastructure Study (P173032, ASA); Advice to develop the Government Cloud Platform and to migrate selected public
digital services to the Cloud (P180766, Reimbursable Advisory Services); and projects in other sectors such as the ASCENT
Program, the Regional RIFF Project, the DRC Transport and Connectivity Support Project (P178357), and AFCC2/RI-
29 World Bank. 2016. World Development Report 2016: Digital Dividends.
30 World Bank. 2021. World Development Report 2021: Data for Better Lives.
31 World Bank. 2020. The Future of Work in Africa: Harnessing the Potential of Digital Technologies for All.
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Regional and Domestic Power Markets Development Project (P097201). The Program design also incorporates the
recommendations of IEG’s 2011 report, Capturing Technology for Development, which highlights the need for a stronger
focus on demand-side investments in digital skills and applications development, building on gains in internet connectivity
to produce tangible results. Other lessons learned include modalities for private sector engagement and capital
mobilization; ensuring an ecosystem-based approach, focusing on building the key pillars and distinct layers of the digital
market; introducing both supply-side and demand-side interventions; supporting analogue and regulatory reform as a key
complement to physical infrastructure investments among others. Lessons from past and current operations will also be
applied toward enhancing implementation arrangements and institutional coordination both at the regional and national
levels, and to enhance implementation readiness reflected for each operation under the IDEA Program.
III. IMPLEMENTATION ARRANGEMENTS
A. Institutional and Implementation Arrangements
41. COMESA meets all the eligibility criteria for receiving regional IDA funding, as it is a regional organization that
has the legal status and fiduciary capacity to receive grant funding and the legal authority to carry out the activities.
The COMESA Secretariat is an experienced World Bank implementing agency, and the IDEA Program will leverage existing
implementation structures and arrangements under the ASCENT Program and RIFF Project as much as possible to ensure
a coordinated approach across the projects.
42. Regional program implementation arrangements. COMESA will host the Program Coordination Unit (PCU) and
convene the Regional Program Steering Committee (RPSC). The PCU will directly coordinate with the PIUs at country level
to ensure a region-wide approach. The RPSC will bring together all the participating countries and regional entities. To
ensure a region-wide approach, it will also invite the AU Commission as a member to ensure coordination with RECs that
are undertaking relevant initiatives. Regional coordination will also leverage the convening mandate of Smart Africa
through the Western African Regional Digital Integration Project (P176392), with RECs such as the East African Community
(EAC), the Southern African Development Community (SADC), the Intergovernmental Authority on Development, and the
African Association of Central Bankers, among others. COMESA will also provide practical tools and capacity building for
countries participating in the IDEA MPA to help them increase their implementation readiness, which is detailed in
annex 2. The PCU will convene country PIUs on an annual basis, which will be detailed in the Project Operations Manual
(POM). If countries participating in the IDEA MPA are not members of COMESA, a mutual agreement can be reached
between the particular country and COMESA to ensure that they can still benefit from activities financed under the
COMESA operation, leveraging precedents under ASCENT Program among other projects, including for IBRD countries,
which will need to finance their participation in activities funded by the regional IDA grant to COMESA.
43. National-level implementing arrangements. Individual operations within the MPA will primarily be implemented
through existing or new PIUs typically based in the ministries, with national responsibilities for digital development or, in
the case of Malawi, building on existing project arrangements. A detailed capacity assessment of both FM and
procurement for each implementing agency has been carried out by the World Bank during project preparation, which
identified capacity constraints and mitigation measures. Specific details for implementation arrangements for DRC,
Angola, and Malawi are included the relevant annexes.
B. Results Monitoring and Evaluation Arrangements
44. IDEA’s progress and implementation will be monitored at the level of the Program and national projects. The
IDEA Program has established PrDO-level indicators that will be applied and monitored across the Program,
complemented by a Results Framework specific to each operation. Each operation will be responsible for monitoring its
project implementation and results, with COMESA monitoring results for the entire Program. Monitoring will be facilitated
through the adoption of digital platforms, which will allow aggregation of results and individualized dashboards designed
for stakeholders (World Bank, COMESA, government agencies, utilities, and the private sector) to improve continuous
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monitoring. As noted in the Learning Agenda section, the Program will support a multilayer effort to strengthen (a) data
collection and analysis related to digital access and usage and the statistical capacity of key stakeholders, including
COMESA and national agencies; and (b) structured and systematic impact evaluation through partnerships with research
institutions and donor partners.
45. IDEA will ensure that program performance and lessons are documented at regular intervals during program
implementation. This will include QERs for specific operations under the MPA and for the overall MPA, alongside MTRs,
and regular documentation of lessons learned to inform both phases under implementation as well as future phases.
C. Sustainability
46. The design of the Program builds in mechanisms to ensure sustainability. This will primarily be ensured through
(a) the use of private sector-led and market-based mechanisms for resource allocation and investments in digital
infrastructure to expand broadband access; (b) investment in shared DPI, platforms, data, and skills that can be reused to
reduce the long run costs of public service delivery; (c) development of regional regulatory frameworks and instruments
that will reduce transaction costs for cross-border digital services; and (d) creation of economies of scale, outliving the
project life cycle. Under the regional activities implemented by COMESA, the Program will also facilitate holistic knowledge
transfer and complement national-level capacity building through shared tools and public goods.
Table 3. Sustainability Mechanisms
Component Sustainability Mechanism
Pillar 1: • The financing model adopted for connectivity expansion will mobilize private financing and have a robust
Affordable governance model to ensure related contract management in the long term, based on the principle of
broadband and ownership and operation of network by private operators.
secure data • The last-mile connectivity access initiative, including connectivity for public institutions and the host
hosting communities of refugee/IDP camps in borderland areas, will be facilitated through a competitive bidding
process that awards long-term supply contracts for internet capacity, awarding indefeasible rights of use
to the winning bidders that continue beyond the project’s closing date. These techniques will be passed on
to local USFs.
• The strategic, legal, and regulatory frameworks introduced for broadband/telecoms/data hosting will have
a lasting impact on the enabling environment for related market development, and capacity building will
support their continued application.
• Deployment of shared infrastructure and cross-border mechanisms for demand aggregation will allow for
significant savings through economies of scale and reuse.
• Investing in fit-for-purpose data infrastructure, avoiding overinvestment or gold plating, and phased
transfers of operating costs to relevant MDAs from project financing (for example, for cloud hosting
subscription).
• Deploying hybrid models and modern data hosting solutions for governments will increase their disaster
recovery and resilience, in contrast to current hosting silos, which often represent single points of failure.
• The development of financing schemes will be subject to financial intermediary risk assessments and
ensure sustainable and catalytic impact.
• Rigorous use of e-waste management activities, both through environmental and social risk mitigation
instruments and funded project activities, allied with digital entrepreneurship activities that would provide
training in recycling and refurbishing of digital devices, will help ensure longer-term environmental
sustainability.
Pillar 2: • Capacity built in training government officials (on data governance, cybersecurity, and others) within
Interoperable MDAs will be retained after project closing.
and safe data • Legal and regulatory tools introduced at the regional level will remain in effect after the project.
platforms • The adopted regional legal and regulatory frameworks will allow for reducing inefficiencies and achieving
economies of scale and knowledge transfer that will outlive the project.
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Component Sustainability Mechanism
• Implementing ‘build once, use by many’ for DPI will ensure that platforms can be leveraged across sectors.
Pillar 3: High- • Digital skills programs will create a wider digital consumer base, boosting demand and incentivizing
impact digital expanded and continued digital services provision by the private sector;
services and • Supporting firm-level digital adoption can also boost sustainable productive use of digital technologies.
productive • High-impact use cases of digitally enabled services can build awareness and capacity for sustainable use
digital usage and expansion of digitally enabled services.
Pillar 4: Project • The Task Team for each operation will identify clients’ capacity gaps and institutional weaknesses, and
Management support clients to remove these and achieve institutionally sustainable management.
and Capacity • Using existing PIUs where feasible (for instance in Malawi), at the national level, and building up regional
Building capacity for project coordination and provision of specialist inputs, for instance for instruments,
procurement TORs, best practice lessons.
IV. PROJECT APPRAISAL SUMMARY
A. Technical, Economic, and Financial Analysis
47. IDEA is expected to contribute to sustainable economic growth, through long-term cost savings, efficiency, and
productivity gains, fueled by greater digital adoption by citizens, businesses, and governments across the region.32
Increased broadband adoption, supported under Pillar 1 activities, is estimated to stimulate GDP and job growth in the
region. Previous research suggests that a 10 percent increase in mobile broadband penetration in developing countries33
is associated with a 2.46 percent increase in GDP growth.34 In addition, under Pillars 2 and 3, the public sector in countries
participating in the MPA is expected to benefit from cost savings, on the back of the productivity gains associated with an
improved digital ID framework, data infrastructure, cybersecurity, and the integration of digital ID with several strategic
sectoral services. To conclude, activities with a regional scope under the project are expected to yield cost savings and
efficiency gains due to an increase in digital cross-border trade and the reduction of digital connectivity prices in a more
secure digital regional environment. The digitalization of the regional economy and cross-border DFS and service enablers
are expected to bring tangible opportunities for services development and exports in the region, including of digital
solutions, digitally enabled services, and high-end expertise.
48. The overall IDEA MPA economic and financial analysis undertaken follows a standard cost-benefit analysis (CBA)
approach and reveals a positive net present value (NPV) and internal rate of return (IRR) at the regional level. The model
relies on available secondary data and reasonable assumptions, based on experience, and additional evidence sourced
from consultations, interviews conducted, and other single digital markets interventions. The latter included assessing
economic impact models to estimate economies of scale and spillover effects arising from the digital market regional
integration, leveraging the results seen in other Single Digital Market initiatives around the world, including the Economic
Community of West African States (ECOWAS) report on roaming and cross border investments.35 The CBA model was
used to run a cash flow and financial analysis at the regional level, which features three different scenarios: optimistic,
pessimistic, and neutral. Where possible, the model also ran sensitivity analysis to quantify the benefits and costs
attributable to the project against current baseline indicators. Discounted at 20 percent, over an eight-year period, with
the neutral scenario, the NPV reaches US$77.46 million and an IRR of 24 percent, while with the optimistic scenario NPV
32 World Bank. 2016. World Development Report: Digital Dividends.
33 According to the ITU 2020 study cited below, in low-income countries, for every 10 percent increase in fixed broadband penetration there is no
significant increase in GDP growth.
34 ITU. 2020. How broadband, Digitization and ICT Regulation Impact the Global Economy. Global Econometric Modelling.
35 Cohen, Laurent, Katia Duhamel, Olivier Jacquinot, and Russell Southwood. 2017. Developing Roaming in the ECOWAS Region - Study on Policies to
Reduce Roaming Rates in the ECOWAS Region, Encourage Competition, and Facilitate Cross Border Investments. World Bank.
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reaches US$430 million and an IRR of 40 percent, and with the pessimistic scenario the NPV becomes negative and IRR
drops to 8 percent.
49. The IDEA Program is aligned with the Paris Agreement on both mitigation and adaptation.
• Assessment and reduction of mitigation risks. The Program will contribute to the low-carbon development goals
across the region by prioritizing renewable energy (for example by requiring telecom operators to power
equipment at targeted MDAs and any cell towers and base stations with renewable energy) and integrating energy
efficiency requirements in tenders for digital infrastructure and ICT equipment. The data center proposed under
the DRC project, P180495, could be a source of substantial GHG emissions; however, the risks are reduced to low
levels, as the project will be designed to meet the criteria for Excellence in Design for Greater Efficiencies (EDGE)
green data center certification. For the Angola project, P180693, the best possible lower GHG/energy efficiency
measures will be incorporated in the refurbishment of computer labs. Overall, the program activities and the
integrated low-carbon measures do not pose any mitigation risk to the regions low-carbon development pathway
and goals. A summary of each operation’s climate financing, informing climate-related mitigation support, can be
found in Annexes 2–5 and the technical annex on climate change in Annex 6.
• Assessment and reduction of adaptation risks. The main climate risks likely to have adverse impact on program
investments across the region are intense rainfall and floods and heat stress. They can damage telecommunication
cables, causing network failure in affected areas, and can also damage and inundate equipment and servers in
data centers. The Program directly finances measures to ensure the resilience of digital infrastructure (for
example, telecom networks or data centers) and project beneficiaries to climate change impacts. Overall, the
adaptation measures reduce the risks from climate hazards in this Program to an ‘acceptable’ level. A summary
of the project’s Climate and Disaster Risk Screening (CDRS) and climate financing, informing climate-related
adaptation support, can be found in summary for each operation (Annexes 2–5) and the technical annex on
climate change (Annex 6).
50. The IDEA Program is committed to integrating gender responsiveness and ensuring citizen engagement . The
details on gender responsiveness and citizen engagement are captured in Annexes 2–5 and annex 7.
B. Fiduciary
51. Financial management. The FM assessments for the project implementing agencies were conducted using World
Bank Guidance: FM Manual for World Bank Investment Project Financing Operations, reissued on September 7, 2021.
Assessments were conducted for the countries and regional institutions covered in first phase of the IDEA Program and
included in the respective technical documents (summarized in Annexes 2-5).
52. Procurement. The procurement assessments for the project implementing agencies were completed and
procurement arrangements, capacity assessment, risks, and risk mitigations for the borrowers/recipients under Phase 1
are detailed in the respective Annexes. Procurements will be carried out in accordance with the World Bank Procurement
Regulations for IPF Borrowers, dated September 2023; Guidelines on Preventing and Combating Fraud and Corruption in
Projects Financed by IBRD Loans and IDA Credits and Grants, dated October 15, 2006, and revised in January 2011 and
Anti-Corruption Guidelines as of July 1, 2016; and other provisions stipulated in the Financing Agreements. Procurement
procedures will be reflected in the respective Project Operations/Implementation Manuals.
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C. Legal Operational Policies
@#&OPS~Doctype~OPS^dynamics@padlegalpolicy#doctemplate
Legal Operational Policies Triggered?
Projects on International Waterways OP 7.50 No
Projects in Disputed Area OP 7.60 No
D. Environmental and Social
53. The Environmental and Social Risk Classification (ESRC) for each Phase 1 operation varies based on the nature of
their activities and country or regional entity context. This is reflected in annexes 2–5 and in their respective Appraisal
Environmental and Social Review Summaries (A-ESRSs). The COMESA operation has an overall ESRC of Moderate (including
Moderate environmental and social risk). The DRC operation has an overall ESRC of Substantial (including Substantial
environmental and social risk). The Angola operation has an ESRC of Moderate (including Moderate environmental and
social risk). The Malawi operation has an overall ESRC of Substantial (including Moderate environmental risk and
Substantial social risk).
V. GRIEVANCE REDRESS SERVICES
54. Grievance Redress. Communities and individuals who believe that they are adversely affected by a project
supported by the World Bank may submit complaints to existing project-level grievance mechanisms or the Bank’s
Grievance Redress Service (GRS). The GRS ensures that complaints received are promptly reviewed in order to address
project-related concerns. Project affected communities and individuals may submit their complaint to the Bank’s
independent Accountability Mechanism (AM). The AM houses the Inspection Panel, which determines whether harm
occurred, or could occur, as a result of Bank non-compliance with its policies and procedures, and the Dispute Resolution
Service, which provides communities and borrowers with the opportunity to address complaints through dispute
resolution. Complaints may be submitted to the AM at any time after concerns have been brought directly to the attention
of Bank Management and after Management has been given an opportunity to respond. For information on how to submit
complaints to the Bank’s Grievance Redress Service (GRS), visit http://www.worldbank.org/GRS. For information on how
to submit complaints to the Bank’s Accountability Mechanism, visit https://accountability.worldbank.org.
VI. KEY RISKS
55. The overall risk for the IDEA MPA is considered Substantial. The MPA will consist of multiple parallel and
sequential operations, including FCV and least developed countries, at different stages of development, and regional
entities, which raise the risks for Governance, Stakeholders and Sector strategies to Substantial. Macroeconomic risks,
and currency fluctuation, are also Substantial and can also impact private capital mobilization. Other risks, such as climate
change, are also Substantial. The risk ratings and mitigation measures for each operation under the IDEA MPA’s Phase 1
are reflected in annexes 2–5.
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ANNEX 1: Results Framework and Monitoring for the COMESA IDEA Project
@#&OPS~Doctype~OPS^dynamics@padannexresultframework#doctemplate
PDO Indicators by PDO Outcomes
Baseline Closing Period
Enhancing the enabling environment for increasing access to the Internet
Adoption of regional policy and regulatory framework to promote private sector mobilization for digital infrastructure development (Yes/No)
Jun/2024 Oct/2032
No Yes
Enhancing the enabling environment for increasing inclusive use
Adoption of Regional Digital Inclusion Action Plan (Yes/No)
Jun/2024 Oct/2032
No Yes
Intermediate Indicators by Components
Baseline Closing Period
1. Regional Harmonization and Planning Platform
Regional guidelines, standards for the use of emerging digital technologies supporting climate change adaptation and mitigation adopted (Yes/No)
Jun/2024 Oct/2032
No Yes
Establishment of a mechanism for integrated infrastructure planning (Yes/No)
Jun/2024 Oct/2032
No Yes
Regional roaming and interconnection framework adopted (Yes/No)
Jun/2024 Oct/2032
No Yes
2. Regional Knowledge and Capacity Building
Guidelines, toolkits to support project preparation and implementation for public institutions and project implementation units developed (Number)
Jun/2024 Oct/2032
0 4
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Countries supported through capacity building, repository of tools and knowledge exchange (Number)
Jun/2024 Oct/2032
0 21
Public sector officials supported through Program activities (Number)
Jun/2024 Oct/2032
0 500
➢Of which, female (number) (Number)
Jun/2024 Oct/2032
0 150
Establishment of regional M&E system (Yes/No)
Jun/2024 Oct/2032
No Yes
3. Regional Project Coordination and Management
Citizen engagement indicator: Grievances registered that receive an adequate response within 30 days (Percentage)
Jun/2024 Oct/2032
0 80
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Monitoring & Evaluation Plan: PDO Indicators by PDO Outcomes
Enhancing the enabling environment for increasing access to the Internet
Adoption of regional policy and regulatory framework to promote private sector mobilization for digital infrastructure development (Yes/No)
Adoption of a regional framework to promote private sector mobilization for digital infrastructure development by
Description
COMESA Council of Ministers
Frequency Annual
Data source COMESA Secretariat
Methodology for Data Direct
Collection
Responsibility for Data COMESA Secretariat Project Coordination Unit (PCU)
Collection
Enhancing the enabling environment for increasing inclusive use
Adoption of Regional Digital Inclusion Action Plan (Yes/No)
Description Adoption of a regional action plan to promote digital inclusion by COMESA Council of Ministers
Frequency Annual
Data source COMESA Secretariat
Methodology for Data Direct
Collection
Responsibility for Data COMESA Secretriat PCU
Collection
Monitoring & Evaluation Plan: Intermediate Results Indicators by Components
1. Regional Harmonization and Planning Platform
Regional guidelines, standards for the use of emerging digital technologies supporting climate change adaptation and mitigation adopted
(Yes/No)
Adoption of a regional guidelines and standards for the use emerging technologies supporting climate change
Description
adaptation and mitigation adopted by COMESA Council of Ministers
Frequency Annual
Data source COMESA Secretariat
Methodology for Data Direct
Collection
Responsibility for Data COMESA Secretariat PCU
Collection
Establishment of a mechanism for integrated infrastructure planning (Yes/No)
The design and set up of a geospatial mapping platform at the COMESA Secretariat to support integrated infrastructure
Description planning for digital and other infrastructure, available to COMESA member states and countries participating in the IDEA
Program
Frequency Annual
Data source COMESA Secretariat
Methodology for Data Direct
Collection
Responsibility for Data COMESA Secretariat PCU
Collection
Regional roaming and interconnection framework adopted (Yes/No)
Description Adoption of a regional framework on data and voice roaming and interconnection by the COMESA Council of Ministers
Frequency Annual
Data source COMESA Secretariat
Methodology for Data Direct
Collection
Responsibility for Data COMESA Secretariat PCU
Collection
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2. Regional Knowledge and Capacity Building
Guidelines, toolkits to support project preparation and implementation for public institutions and project implementation units developed
(Number)
The preparation and sharing of practical tools to support COMESA member states and other countries participating in the
IDEA MPA in project preparation and implementation readiness, including templates, draft terms of reference (TOR), and
Description
project management tools for procurement, budgeting, environmental and social risk and impact management, and
grievance redressal mechanism.
Frequency Annual
Data source COMESA Secretariat
Methodology for Data Direct
Collection
Responsibility for Data COMESA Secretariat PCU
Collection
Countries supported through capacity building, repository of tools and knowledge exchange (Number)
The number of countries that directly benefit from capacity building, knowledge sharing, and trainings through the
COMESA IDEA Program. This includes countries participating in the IDEA Program and COMESA member states, covering
Description technical areas as well as institutional coordination and arrangements for the implementation of cross-cutting digital
projects, procurement, financial management, environmental and social frameworks, data collection and analysis, and
M&E.
Frequency Annual
Data source COMESA Secretariat PCU, and member state institutions
Methodology for Data Direct
Collection
Responsibility for Data COMESA Secretariat PCU
Collection
Public sector officials supported through Program activities (Number)
The number of public sector officials from countries participating in the IDEA Program and from other, COMESA member
Description states which directly receive capacity building and training through the COMESA IDEA Program. This indicator will also
track targets disaggregated based on gender.
Frequency Bi-Annual
Data source COMESA Secretariat
Methodology for Data Direct
Collection
Responsibility for Data COMESA Secretariat PCU
Collection
Of which, female (number) (Number)
The number of female public sector officials from countries participating in the IDEA Program and from other, COMESA
Description member states which directly receive capacity building and training through the COMESA IDEA Program. This indicator
will also track targets disaggregated based on gender.
Frequency Bi-Annual
Data source COMESA Secretariat
Methodology for Data Direct
Collection
Responsibility for Data COMESA Secretariat PCU
Collection
Establishment of regional M&E system (Yes/No)
The development of a monitoring and evaluation (M&E) system for COMESA to monitor the results of the IDEA Program
Description across the Eastern and Southern Africa region, in particular aggregating data from countries participating in the IDEA
Program.
Frequency Annual
Data source COMESA Secretariat and Project Implementation Units from countries participating in the IDEA Program
Methodology for Data Direct
Collection
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Responsibility for Data COMESA Secretariat PCU
Collection
3. Regional Project Coordination and Management
Citizen engagement indicator: Grievances registered that receive an adequate response within 30 days (Percentage)
The percentage of grievances received during the lifetime of the project and addressed within a time period of 30 days
Description
including response to citizen feedback.
Frequency Annual
Data source COMESA Secretariat
Methodology for Data Direct
Collection
Responsibility for Data COMESA Secretariat PCU
Collection
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ANNEX 2: Common Market for Eastern and Southern Africa (COMESA)
Task Team Leaders: Cecilia Paradi-Guilford, Tim Kelly, Lavanya Choudhary (IDD04)
Core Team: Clement Gevaudan (IDD04); Wedex Ilunga (EAERU); Baison Banda (EAEG1); Paulo Sithoe (SAEE3); Richard Everett
(SAES3); Edith Mwenda and Ntayi Bandawa (LEGAM); Kiyotaka Tanaka (EAWF2); George da Silva and Sandra Kuwaza (WFACS)
A. Context
1. COMESA was established in 1994 as “as an organization of free independent sovereign states that have agreed to
cooperate in developing their natural and human resources for the good of all their people.” COMESA sums up its current
strategy as “economic prosperity through regional integration.” COMESA is well-positioned to lead the regional
coordination of the IDEA Program, as it is mandated to support the creation of a common market and enhance digital
infrastructure, supporting a transition toward a digital free trade area across most of the countries that the MPA proposes
to cover.
B. Relevance to Higher Level Objectives
2. The project aligns with COMESA’s strategic vision for market integration and physical integration / connectivity
under COMESA’s Strategic Plan (2021-2025). The proposed IDEA Program will build further on the World Bank’s existing
engagement with COMESA under the RIFF Project (P171967) and ASCENT Program (P180547), through which COMESA is
strengthening the enabling environment for private sector participation in infrastructure and coordinating with countries
to enable infrastructure planning and knowledge sharing. It will also leverage and support the downstream
implementation of the EU-funded program on the ‘Enhancement of Governance and Enabling Environment in the ICT
sector in the Eastern Africa, Southern Africa and the Indian Ocean region’. COMESA is able to support all IDEA participant
countries—both COMESA members and non-COMESA members (through a collaboration agreement).
3. The COMESA project will support countries in achieving their mitigation and adaptation goals outlines in NDCs.
The COMESA project will contribute to participating countries’ low-carbon and climate-resilient national development
goals. The operations in DRC, Angola, and Malawi in the first phase of the MPA have prioritized energy efficiency,
renewable energy, and climate-resilient infrastructure in their NDCs (see annexes 3–6) to which COMESA will contribute
by TA, capacity building, and development of geospatial mapping tools and best practice guidelines for resilient digital
infrastructure deployment and climate-smart solutions.
C. Project Description
4. The Project Development Objective (PDO) for the operation is to enhance the enabling environment for increasing
access to, and inclusive usage of, the Internet and digitally enabled services in Eastern and Southern Africa. This operation
will monitor progress toward the overall PrDO indicators.
Table 2.1. Results Framework
Indicator Unit End Target
IDEA - COMESA: PDO Indicators
Adoption of regional policy and regulatory framework to promote private sector mobilization for Yes/No Yes
digital infrastructure development
Adoption of a Digital Inclusion Action Plan at the regional level to promote inclusive access to and Yes/No Yes
use of the Internet and digital services
IDEA - COMESA Intermediate Indicators
Component 1: Regional Harmonization and Planning Platform
Regional guidelines, standards for the use of emerging digital technologies adopted Yes/No Yes
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Indicator Unit End Target
A mechanism for integrated infrastructure planning established Yes/No Yes
Regional roaming and interconnection framework adopted Yes/No Yes
Component 2: Regional Knowledge and Capacity Building
Countries supported through capacity building, repository of tools and knowledge exchange Number 21
Public sector officials supported through Program activities Number 500
• Of which female 150
Guidelines, toolkits to support project preparation and implementation for public institutions and Number 4
project implementation units developed
Component 3: Regional Project Coordination and Management
Establishment of regional M&E system for the IDEA Program Yes/No Yes
Grievances registered that receive an adequate response within 30 days Percentage 80
5. Component 1: Regional Harmonization and Planning Platform (US$5.474 million). This component is aligned
with Pillars 1, 2 and 3 under the IDEA MPA, and aims to enhance the enabling environment for regional digital market
development and integration and create a platform to inform and mobilize investments for regional digital infrastructure.
Activities under this component include the following:
• Sub-component 1.1. Regional TA and trainings. Developing regionally harmonized regulatory and policy
frameworks, guidelines, and standards to promote digital access and usage and private sector mobilization for digital
infrastructure development and digitally enabled services, applying inclusive and climate-smart approaches. It will
finance technical and legal consultancies, training, and capacity building, including (a) the preparation of a regional
Digital Inclusion Action Plan and associated draft regulations and policies covering areas such as digital safeguards,
digital literacy, DFS, and so on; (b) TA to enhance the implementation of a regional roaming framework and the
development of a regional model to enhance spectrum management; (c) the development of policy and regulatory
guidelines and standards to enable and promote the safe use of artificial intelligence (AI) and other emerging
technologies, including for climate adaptation and mitigation; (d) legal and technical assistance and capacity building
to support the implementation of the regional e-commerce framework, including strengthening digital safeguards
and piloting mechanisms for cross-border flow of data; (e) the development of policy, regulatory frameworks, and
guidelines at the regional level to enable and promote PCM for digital infrastructure with recommendations for
possible financing facilities and instruments to expand digital infrastructure at the regional level, which can be
capitalized in future phases of this MPA.
• Sub-component 1.2 Planning platform and models: (a) supporting integrated infrastructure planning to cover
digital infrastructure and demand for internet connectivity through TA and the development of geospatial mapping
tools and (b) supporting the development of least-cost options and innovative financing models to extend internet
access to cross-border areas and priority public entities, such as schools and health clinics, with energy access and
climate implications in mind, which can be implemented in subsequent phases and leverage applicable financing
schemes under the ASCENT Program.36
6. Component 2: Regional Knowledge and Capacity Building (US$1.402 million). This component is aligned with
Pillar 4 under the IDEA MPA and aims to support holistic knowledge transfer throughout the program cycle, to build
capacity and support institutional strengthening for participating countries and countries joining in future phases in a
sustainable manner and increase the efficiency and impact of the program activities by leveraging regional synergies
between countries. Activities under this component include the following:
• Sub-component 2.1. Toolkits: (a) the development of practical tools to support member states and other countries
participating in the IDEA MPA in project preparation and implementation readiness, including the development of
36The ASCENT Program includes regional- and national-level financing schemes to expand energy access for households, enterprises, and other
institutions through financial intermediary financing.
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templates, draft terms of reference (TOR), and project management tools for procurement, FM, budgeting,
environmental and social risk and impact management, and grievance redressal mechanism and (b) the
establishment of a regional M&E platform, leveraging innovative data collection and evidence generation at the
regional level.
• Sub-component 2.2. Capacity building, knowledge sharing, and trainings for participating countries and COMESA
member states covering (a) policy recommendations to enhance institutional coordination and arrangements for
the implementation of cross-cutting digital projects, and (b) procurement, FM, environmental and social
frameworks, and (c) data collection and analysis, and M&E. It will also support wide knowledge sharing and
awareness raising about the Program with communication and results stories, leveraging the 50 Million Women
African Speak platform under COMESA, particularly to ensure gender inclusion, and the COMESA Business Council,
to support private sector engagement.
7. Component 3: Regional Project Coordination and Management (US$3.124 million). This component is aligned
with Pillar 4 under the IDEA MPA and will set up IDEA’s regional PCU to (a) coordinate with participating countries,
including those that are not members of COMESA; (b) validate and report on the Program's Results Framework; and (c)
oversee the implementation of the regional grant to COMESA, including fiduciary, environmental and social, and other
functions.
D. Project Beneficiaries
8. The direct beneficiaries will be the government agencies and regulatory bodies in COMESA member states and/or
in countries participating in the IDEA MPA. Indirect beneficiaries include private sector companies operating in AFE and
citizens of the participating countries.
E. Institutional and Implementation Arrangements
9. COMESA will establish a dedicated PCU, leveraging the Procurement and FM specialists under the RIFF Project
and ASCENT Program. Its capacity will be strengthened to account for its increased scope and extended expertise required
for the digital sector. The COMESA Secretariat will be responsible for overall coordination of the Program through a well-
staffed PCU. From its senior staff, COMESA will appoint or recruit a project coordinator, who will be supported by a team
of experts to be recruited at the PCU, including additional digital experts and environmental, social, and stakeholder
engagement/communications, M&E experts.
F. Appraisal Summary
10. The project is aligned with the Paris Agreement on both mitigation and adaptation goals and is anticipated to
strengthen climate adaptation and resilience. Activities under this project pose minimal/no risk of lock-in on carbon-
intensive energy sources and facilitate reducing associated risks from climate hazards to acceptable levels. A summary of
the project’s CDRS and climate financing, informing climate-related adaptation and mitigation support, can be found in
the Technical Annex on Climate Change (Annex 6).
11. Financial management. The World Bank recently carried out an FM assessment of COMESA with the objective of
determining whether COMESA maintains FM arrangements capable of ensuring that (a) funds allocated to the project will
be used for the purpose intended in an efficient, economic, and effective manner; (b) the project’s financial reports will
be prepared in an accurate, reliable, and timely manner; and (c) the project’s assets and resources will be safeguarded. A
review of the assessment indicated that overall residual risk of FM arrangements for COMESA for handling the IDEA project
is Moderate. The FM arrangements covers budgeting, flow of funds, accounting, internal control, financial reporting, and
auditing arrangements. For the IDEA Project, COMESA will open a segregated Designated Account (DA) denominated in
US dollars at a commercial bank acceptable to the World Bank; the DA will be used exclusively for the project. COMESA
will use the funds disbursed under the project to pay for eligible expenditures direct from the US dollar DA account. In
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addition, to manage and monitor the use of the disbursed funds, COMESA will prepare and submit on a quarterly basis,
unaudited interim financial reports (IFRs) to the World Bank. The external audit of the project’s financial statements will
be carried out by a qualified audit firm, based on audit TOR acceptable to the World Bank.
12. Procurement. The World Bank has carried out a review of COMESA’s capacity to implement procurement under
the proposed project and notes that the risk is Moderate. COMESA has implemented several World Bank-funded projects
in the past, including the ongoing RIFF Project, the Great Lakes Trade Facilitation and Integration Project, and the ASCENT
Program. As a result, COMESA has acquired reasonably good capacity and experience in implementing World Bank-
financed projects from a procurement perspective, and it is expected that procurement arrangements under the IDEA
Project will not be complex. In the past year, COMESA has enhanced its institutional capacity further by recruiting four
new procurement staff. These staff members have received training in basic procurement under World Bank-funded
projects. Contract evaluations will be based largely on conformance criteria. Contract terms and conditions will mainly be
based on provisions from the Standard Procurement Documents (SPDs) that COMESA uses for its Procurement Rules and
Regulations (February 2014), which need to be updated and modernized. Newly assigned staff who have not implemented
procurement under World Bank financing will require training in basic procurement and use of the Systematic Tracking of
Exchanges in Procurement (STEP) tool. To implement procurement activities under the IDEA Program, COMESA will update
its Procurement Rules and Regulations to include new issues such as (a) beneficiary ownership provisions; (b) social and
sexual exploitation and abuse/sexual harassment (SEA/SH) risks; (c) enhanced fraud and corruption provisions; (d)
handling of bidder complaints; and (e) allocation of responsibilities, risks, and liabilities. In addition, when carrying out
national/regional procurement, COMESA will modify the SPD in accordance with paragraph 5.3 of the World Bank’s
Procurement Regulations September 2023 version. The Procurement Plan and the Project Procurement Strategy for
Development (PPSD) was prepared by COMESA and reviewed and cleared by the World Bank before project negotiations.
13. Environmental and social. The ESRC for the Phase 1 operation to be implemented by COMESA is Moderate,
including Moderate ratings for both environmental and social risks and impacts. Proposed activities to be financed by the
regional IDA grant to COMESA, including planning for regional harmonization of policies and planning activities, regional
knowledge and capacity building, and overall MPA coordination and management at the regional level, are not expected
to generate significant environmental risk or impacts in and of themselves. However, COMESA is expected to carry out a
number of TA activities, which may create policies or contribute to integrated regional infrastructure plans. These actions
could create downstream environmental risks when those policies or infrastructure plans are implemented. Potential
downstream adverse environmental risks and impacts could include those associated with occupational health and safety
concerns, including physical hazards, injuries, and accidents; community health and safety issues; noise and vibration;
electronic waste management issues; pollution; and so on. Possible downstream social risks associated with TA include
creation of policies or plans that may lead to (a) small-scale land acquisition, loss of assets, and economic or physical
displacements; (b) lack of inclusion in a project's social benefits for vulnerable and marginalized groups, particularly those
in remote areas, along with the risk of elite capture of project benefits; (c) SEA/SH risks, particularly related to construction
or power dynamics that may occur from providing access to digital technologies and services, including cyber harassment;
and (d) risks associated with the potential misuse of digital personal data if proper privacy safeguards are not in in place.
These risks will be minimized and mitigated through the use of ESS screening criteria contained in the POM for TA activities
to be carried out by COMESA to ensure alignment with the Environmental and Social Framework (ESF). A Stakeholder
Engagement Plan (SEP) has been prepared covering COMESA’s stakeholders for its Phase 1 operations. The COMESA PCU
will hire environmental, social, and stakeholder engagement/communications specialists to manage IDEA’s environmental
and social risks and provide a coordinated approach to environmental and social capacity building across regional- and
country-level MPA operations.
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G. Key Risks
14. The overall risk for the IDEA regional coordination with COMESA is Moderate. The COMESA operations will only
finance TA. All risks are rated Moderate.
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ANNEX 3: Democratic Republic of Congo
Task Team Leaders: Isabella Hayward
Core Team: Tata Dinyuy Bolivian (DD), Thomas Chalumeau (DD), Laurent Andiazabal (DD), Clément Gévaudan (DD), Giacomo Assenza
(DD), Reina Ntonifor (ID4D), Jerome Buchler (ID4D), Nay Constantine (ID4D), Rim Wazni (EDU), Alex Twinomugisha (EDU), Zouhour
Karray (FCI), Magueye Dia (FCI), Alphonsus Nji T Achomuma (FCI), Laura Bermeo (SPJ), Jean-Claude Azonfack (Procurement), Bertille
Wepanjue (FM), Shamard Ya Jua Mungu Shamalirwa (Social), Christophe Ngongo Muzyumba (Environment), Elena Segura (LEGAM),
George da Silva and Issiaka Traore (WFA),Tasneem Rais, and Claudine Kayembe Ndaya.
@#&OPS~Doctype~OPS^dynamics@padbasicinformation#doctemplate
DATASHEET
BASIC INFORMATION
Project
Operation Name
Beneficiary(ies)
Congo, Democratic
DRC Digital Transformation Project
Republic of
Environmental and Social Risk
Operation ID Financing Instrument
Classification
Investment Project
P180495 Substantial
Financing (IPF)
@#&OPS~Doctype~OPS^dynamics@padmpaprocessing#doctemplate
Financing & Implementation Modalities
[✓] Multiphase Programmatic Approach (MPA) [✓] Contingent Emergency Response Component (CERC)
[ ] Series of Projects (SOP) [✓] Fragile State(s)
[ ] Performance-Based Conditions (PBCs) [ ] Small State(s)
[ ] Financial Intermediaries (FI) [ ] Fragile within a non-fragile Country
[ ] Project-Based Guarantee [ ] Conflict
[ ] Deferred Drawdown [ ] Responding to Natural or Man-made Disaster
[ ] Alternative Procurement Arrangements (APA) [ ] Hands-on Expanded Implementation Support (HEIS)
Expected Approval Date Expected Closing Date Expected Program Closing Date
27-Jun-2024 31-Dec-2029 31-Oct-2032
Bank/IFC Collaboration Joint Level
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Yes Complementary or Interdependent project requiring active coordination
@#&OPS~Doctype~OPS^dynamics@padmpa#doctemplate
MPA Program Development Objective
MPA FINANCING DATA (US$, Millions)
MPA Program Financing Envelope 2,480.00
with an additional request to IBRD 5.28
with an additional request to IDA 86.00
Proposed Development Objective(s)
To increase inclusive access and use of the internet, and strengthen the foundations for digitally enabled services in
DRC
Components
Component Name Cost (US$)
1. Expanding digital access and inclusion 385,000,000.00
2. Introducing digital foundations for service delivery 55,000,000.00
3. Increasing access to industry-relevant advanced digital skills & stimulating
45,000,000.00
digital innovation
4. Institutional Coordination and Project Management 25,000,000.00
5. CERC 0.00
Organizations
Borrower: The Democratic Republic of Congo
Implementing Agency: Ministère des Postes, Télécommunications et Nouvelles Technologies de l’Information
MPA FINANCING DETAILS (US$, Millions)
Board Approved MPA Financing Envelope 0.00
MPA Financing Envelope: 2,480.00
of which Bank Financing (IBRD): 440.00
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of which Bank Financing (IDA): 2,040.00
of which Other Financing sources: 0.00
@#&OPS~Doctype~OPS^dynamics@padfinancingsummary#doctemplate
PROJECT FINANCING DATA (US$, Millions)
Maximizing Finance for Development
Is this an MFD-Enabling Project (MFD-EP)? Yes
Is this project Private Capital Enabling (PCE)? Yes
SUMMARY
Total Operation Cost 675.00
Total Financing 675.00
of which IBRD/IDA 400.00
Financing Gap 0.00
DETAILS
World Bank Group Financing
International Development Association (IDA) 400.00
IDA Credit 400.00
Non-World Bank Group Financing
Commercial Financing 165.00
Unguaranteed Commercial Financing 165.00
Other Sources 110.00
FRANCE: French Agency for Development 110.00
IDA Resources (US$, Millions)
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Guarantee
Credit Amount Grant Amount SML Amount Total Amount
Amount
Regional 30.00 0.00 0.00 0.00 30.00
National
Performance-Based 370.00 0.00 0.00 0.00 370.00
Allocations (PBA)
Total 400.00 0.00 0.00 0.00 400.00
@#&OPS~Doctype~OPS^dynamics@paddisbursementprojection#doctemplate
Expected Disbursements (US$, Millions)
WB Fiscal
Year 2024 2025 2026 2027 2028 2029 2030
Annual 0.00 70.00 100.00 100.00 80.00 50.00 0.00
Cumulative 0.00 70.00 170.00 270.00 350.00 400.00 400.00
@#&OPS~Doctype~OPS^dynamics@padclimatechange#doctemplate
PRACTICE AREA(S)
Practice Area (Lead) Contributing Practice Areas
Social Protection & Jobs; Education; Finance,
Digital Development
Competitiveness and Innovation; Governance
CLIMATE
Climate Change and Disaster Screening
Yes, it has been screened and the results are discussed in the Operation Document
@#&OPS~Doctype~OPS^dynamics@padrisk#doctemplate
SYSTEMATIC OPERATIONS RISK- RATING TOOL (SORT)
Risk Category Rating
1. Political and Governance ⚫ High
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2. Macroeconomic ⚫ Substantial
3. Sector Strategies and Policies ⚫ Substantial
4. Technical Design of Project or Program ⚫ Moderate
5. Institutional Capacity for Implementation and Sustainability ⚫ Substantial
6. Fiduciary
No Fiduciary risk rating under Preparation Phase has been completed in
Financial Management System to date. ⚫ Substantial
Procurement Risk rating from Specialist:
⚫Substantial as of 2024-04-27T00:00:00Z
7. Environment and Social
Environment Risk rating from Specialist:
⚫Substantial as of 2024-05-08T15:26:34Z ⚫ Substantial
Social Risk rating from Specialist:
⚫Substantial as of 2024-05-08T15:26:34Z
8. Stakeholders ⚫ Substantial
9. Other ⚫ Substantial
10. Overall ⚫ High
Overall MPA Program Risk ⚫
@#&OPS~Doctype~OPS^dynamics@padcompliance#doctemplate
POLICY COMPLIANCE
Policy
Does the project depart from the CPF in content or in other significant respects?
[ ] Yes [✓] No
Does the project require any waivers of Bank policies?
[ ] Yes [✓] No
ENVIRONMENTAL AND SOCIAL
Environmental and Social Standards Relevance Given its Context at the Time of Appraisal
E & S Standards Relevance
ESS 1: Assessment and Management of Environmental and Social Risks and
Relevant
Impacts
ESS 10: Stakeholder Engagement and Information Disclosure Relevant
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ESS 2: Labor and Working Conditions Relevant
ESS 3: Resource Efficiency and Pollution Prevention and Management Relevant
ESS 4: Community Health and Safety Relevant
ESS 5: Land Acquisition, Restrictions on Land Use and Involuntary Resettlement Relevant
ESS 6: Biodiversity Conservation and Sustainable Management of Living Natural
Relevant
Resources
ESS 7: Indigenous Peoples/Sub-Saharan African Historically Underserved
Relevant
Traditional Local Communities
ESS 8: Cultural Heritage Relevant
ESS 9: Financial Intermediaries Not Currently Relevant
NOTE: For further information regarding the World Bank’s due diligence assessment of the Project’s potential
environmental and social risks and impacts, please refer to the Project’s Appraisal Environmental and Social Review
Summary (ESRS).
@#&OPS~Doctype~OPS^dynamics@padlegalcovenants#doctemplate
LEGAL
Legal Covenants
Sections and Description
Schedule 2, Section 1: - no later than thirty (30) days after the Effective Date, or such later date as agreed by the
Association, establish, and thereafter maintain, throughout Project implementation, a steering committee (“Project
Steering Committee”) chaired by the MPTNTIC and co-chaired by the MdN, with terms of reference, composition, roles
and responsibilities acceptable to the Association and defined in the POM, to provide overall strategic guidance and
Project oversight and approve the Annual Work Plans and Budgets; and - no later than thirty (30) days after the
Effective Date, or such later date as agreed by the Association, establish, and thereafter maintain throughout Project
implementation a technical committee to assist the MPTNTIC and its PIU in the technical implementation of the Project
activities (“Technical Committee”), each with terms of reference, composition, powers, and responsibilities acceptable
to the Association and defined in the POM.
@#&OPS~Doctype~OPS^dynamics@padconditions#doctemplate
Conditions
Type Citation Description Financing Source
The Recipient has formally
established the PIU with a
mandate, terms of
reference and resources,
Effectiveness Article 5.01 IBRD/IDA
satisfactory to the
Association, and has
recruited to said PIU a
Project coordinator, a
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financial management
specialist, and a
procurement specialist, all
in accordance with the
Procurement Regulations.
The Recipient has prepared
and adopted the Project
Effectiveness Article 5.01 Operations Manual, in form IBRD/IDA
and substance satisfactory
to the Association.
No withdrawal shall be
made under Category (2)
unless the Recipient has
prepared, adopted and
submitted to the
Association the
Schedule 2, Section III,
Disbursement Performance-Based Grants IBRD/IDA
B.1(b)
Manual, including: (i) the
template forms of the
Performance-Based Grant
Agreement, in form and
substance satisfactory to
the Association.
No withdrawal shall be
made under Category (3)
unless the Recipient has
prepared, adopted and
submitted to the
Association the Technical
Schedule 2, Section III,
Disbursement Solutions Grants Manual, IBRD/IDA
B.1(c)
including: (i) the template
forms of the Technical
Solutions Grant Agreement,
in form and substance
satisfactory to the
Association.
A. Context
1. Inclusive access and use of the internet and strengthening the foundations for digitally enabled services would
play a critical role in changing DRC’s development trajectory – by contributing to both economic and human
development, climate adaptation and mitigation goals, as well as aid in addressing key drivers of fragility . DRC is home
to the third-largest population living below the poverty line and one of the fastest growing populations globally. DRC is
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thus expected to be home to Africa’s second largest population by 2050, with the total population reaching 215 million.
Currently, 46 percent of the population is 14 years old or below, creating a huge youth bulge, which will need to be
equipped to access and use digital tools and services. DRC’s population remains predominantly rural but is increasingly
concentrated in urban areas, where 46 percent of the population now resides. Meanwhile, DRC’s sheer size and rural
population density, which is one of the lowest on the continent, makes service delivery and critical infrastructure
provisioning a major challenge, leading to uneven access including is areas such as connectivity. Deep-rooted fragility,
conflict and insecurity have also prevented DRC from achieving sustainable economic growth and shared prosperity, and
hampered investment. DRC therefore ranks 180 out of 193 countries in the 2021 Human Development Index and 151 out
of 170 countries in the 2021 Gender Inequality Index. Climate change also poses a serious risk to DRC’s sustainable
development, where DRC’s lowest income populations tend to reside in more hazard prone areas, an d digital
infrastructure is also exposed. Nevertheless, digital connectivity and digitally enabled services could play a critical role in
supporting wider climate change adaptation and mitigation (see paragraph 21), contribute to improvements in service
delivery across DRC’s vast territory, as well as enhance governance and expand economic opportunities.
2. The Government of DRC has articulated a strong vision for leveraging digital technologies to leapfrog. In 2019,
the Government adopted a Plan National du Numérique (PNN), focused around four pillars (infrastructure, applications,
content, and governance). Increased digital connectivity within and between communities across DRC is also a cornerstone
of the country’s National Development Plan (Plan national stratégique de développement) and is thus viewed as a priority.
However, DRC still lacks many of the digital and analogue foundations needed to drive cross-cutting digital transformation,
including universal digital access, basic DPI that can begin to facilitate more digitally enabled service delivery, and digital
skills to expand productive use of digital systems and services.
3. Currently, roughly half of DRC’s population lacks access to high-speed broadband internet,37 and the country
has some of the highest retail prices in Africa, resulting in one of the lowest adoption rates on the continent. A mere
17.8 percent of the population use broadband, based on unique mobile subscriptions,38 with marked gender gaps.39 DRC’s
broadband market remains underdeveloped, with huge infrastructure gaps along the broadband value chain. Notably,
DRC lacks a resilient fiber optic backbone network with national coverage able to cost-effectively distribute high-speed
broadband internet capacity across the country, along with diverse access points for receiving international capacity via
regional terrestrial networks. The existing fiber backbone transmission links are concentrated along the west-south40 and
west-east41 corridors, which need to be reinforced and extended to provide more inclusive access. Deploying new network
links would be instrumental in lowering the cost of service, boosting network resilience, and encouraging further
deployment of last-mile access networks. Currently, existing last-mile access networks (predominately mobile) are
concentrated in urban hubs, with marked regional disparities in terms of network coverage overall. In view of the current
network and service gap, expanding universal access to high-speed broadband internet across DRC is estimated to cost up
to US$8–9 billion.42 Most of this investment is expected to come from the private sector; however, a more enabling
environment for network investment, building on the 2021 Telecoms Law that created a platform for increased private
37 3G and 4G coverage rates currently at 54 and 42 percent, respectively.
38 GSMA. 2023 Market Intelligence.
39 According to digitalgendergaps.org, only 75 women are connected for every 100 men. https://www.digitalgendergaps.org/.
40 Muanda-Matadi/Inga-Kinshasa-Kamina-Kolwesi-Lubumbashi.
41 Kananga-Mbuji-Mayi-Bukavi-Goma.
42 UN Broadband Commission. 2019. Connecting Africa Through Broadband: A Strategy for Doubling Connectivity by 2021 and Reaching Universal
Access by 2030, Broadband Commission Working Group on Broadband for All: A ‘Digital Infrastructure Moonshot’ for Africa.
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sector participation43, and catalytic public financing will be required to help re-risk, accelerate and expand network
deployment, particularly in parts of DRC that are viewed as less commercially attractive.
4. Scaling service delivery to more people across DRC will require much wider use of digital systems and tools,
which in turn requires upfront investments in the basic underlying connectivity and shared DPI that can enable efficient
and inclusive service access and usage. Increasing end-user access to connectivity, including providing more public
institutions with new or improved access to broadband will be instrumental in scaling digitally enabled services across
DRC in critical sectors such as education, health, social protection, and financial services, particularly in rural and remote
areas. Currently, most Government office, including schools and hospitals, lack access to basic connectivity, which in turn
hampers movement towards further digitalization. Many government processes are still paper based and there is weak
usage of even the most basic digital applications and services by Government, which would be instrumental in enhancing
efficiency and transparency. Moreover, existing Government IT systems deployed are often unable to seamlessly and
safely exchange and store data processed, in the absence of shared data frameworks and robust and shared solutions for
data storage, preventing effective information-sharing and integrated service delivery. There is currently a siloed and
fragmented approach to Government’s digitalization efforts, and no holistic plan and integrated digital platforms for
offering digital services, particularly for scaling more front-facing services via a single online portal. Safely scaling digital
infrastructure, systems, and services and encouraging uptake will also require the means to digitally authenticate services
users, instill trust in digital transactions and protect critical information infrastructure deployed, on the back of
foundational frameworks and implementation of data protection, cybersecurity, and e-signatures which are currently
missing.44
5. Beginning to expand the advanced digital skills base and supporting innovation will also be key to fueling
greater digital usage and boosting productivity, as well as building the foundations for scaling up digital services.
However, access to advanced and specialized digital skills is currently extremely low in DRC, resulting in slow development
of data-driven innovation, e-commerce, fintech, and ultimately contributing to a nascent IT industry. There are currently
only a handful of programs and providers that can offer industry-relevant training in this area. More broadly, there is also
limited readiness for scale-up, particularly outside Kinshasa, with a need for improved access to connectivity, computer
labs, curriculum development, and enhanced links to potential employers and the broader innovation ecosystem that is
also underdeveloped. Tailored support services for digital entrepreneurs are still lacking and upstream support is needed
to cultivate a growing number of digital start-ups. In the basic education system, teachers are also ill-equipped to teach
basic digital skills in the classroom, leading to weak digital skills attainment overall.
B. Relevance to Higher-Level Objective
6. The project is aligned with the World Bank DRC CPF FY22–26, discussed by the Board on February 22, 2022
(Report No. 168084ZR). The proposed operation addresses CPF Focus Area 1, particularly Objective 1 on improving
interconnectedness between and within communities and Objective 2.2 on improving access to basic infrastructure
services. The proposed project builds on the notion that digital connectivity, DPI, and digital skills are cross-cutting and
catalytic enablers for sectoral investments and digital transformation in DRC. The project will thus maximize synergies
with the existing World Bank portfolio, connecting and integrating sectoral MDAs with digital infrastructure and systems
deployed to support the scaling of digital services. Moreover, the project maximizes synergies and is aligned with other
43 Government still requires support to implement key provisions of the new telecoms law, including developing supporting regulation.
Government recently established a new regulatory authority and a Universal Services Fund (Fonds de développement des services universels,
[FDSU]), which require further assistance.
44 In April 2023, DRC introduced a Digital Code, which inter alia includes legal provisions for data protection and privacy, as well as cybersecurity
and cybercrime, and introduces a new National Cybersecurity Agency and Data Protection Authority and e-signatures, but these provisions are yet
to be operationalized.
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linear infrastructure investments planned, including expansion of transport and energy transmission networks,45 with a
clear focus on connecting key trade corridors such as Lobito and strategic economic zones. The project is aligned with the
Bank’s FCV strategy, addressing drivers of FCV identified in the 2021 Risk and Resilience Assessment, including Driver 1
related to improving governance systems via digitalization, where digital systems and services introduced that can help
boost transparency/efficiency, strengthening the social contract, and Driver 3 related to promoting inclusion and
economic opportunities through wider access to broadband, inclusive training, and innovation programs.
7. Paris alignment. The project will support DRC in achieving its NDCs and is consistent with the country’s long-term
development strategy and climate change mitigation and adaptation plans. DRC has committed to an emissions reduction
target of 21 percent in 2030 and has outlined three adaptation goals related to digital, to which the project will directly
contribute: (a) ‘implementation of early warning systems’, (b) ‘improved access to ICT’, and (c) ‘climate modeling to better
predict future impacts’.46 The project’s activities will contribute to these goals by (a) integrating climate mitigation and
adaptation measures for low-carbon and climate-resilient digital infrastructure and systems/equipment deployed; (b)
connecting high-risk areas, thus improving climate vulnerable populations’ access to information and services and citizens’
ability to adapt to climate change; and (c) connecting governments and improving data sharing, data hosting, and skills in
data analytics to enable wider use of digitally enabled early warning systems and data-driven planning. The project thus
also operationalizes key recommendations made in the 2023 Country Climate and Development Report.
C. Project Description
8. The PDO is to increase inclusive access and use of the internet and strengthen the foundations for digitally
enabled services in DRC, measured through the indicators shown in table 3.1.
Table 3.1. Results Framework
Indicators Baseline End Target
(June/2024) (Dec/2029)
PDO level indicators
People using broadband internet (number of people) 0 30,000,000
• Of which female 0 15,000,000
Volume of international data traffic: Used international bandwidth in kbit/s per capita 6.56 20
(number)
People using digitally enabled services (number of people) 0 1,000,000
• Of which female (number of people) 0 500,000
Graduates of advanced digital skills training programs (number) 0 3,000
• Of which female (number) 1,000
Intermediate results indicators for DRC
FDSU operationalized (yes/no) No Yes
Retail price of a standard package of mobile data services per month, as a share of GNI per 10.3 5.1
capita (percentage)
Kilometers of climate-resilient and energy efficient fiber optic network added (number) 0 10,000
New communities covered by mobile broadband internet, based on new or upgraded network 0 650
sites (number)
Public institutions provided with new or improved access to broadband (number) 0 1,000
Private capital mobilized for digital infrastructure (US$, millions) (number) 0 165
Government interoperability framework developed and disseminated (yes/no) No Yes
45Inga Initiative and DRC Transport and Connectivity Support Project series.
46These are listed as priorities in the DRC's NDC and reiterated in their National Adaptation Plan (NAP).
https://unfccc.int/sites/default/files/NDC/2022-06/CDN%20Revis%C3%A9e%20de%20la%20RDC.pdf;
https://unfccc.int/sites/default/files/resource/DRC-NAP_EN.pdf
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Indicators Baseline End Target
(June/2024) (Dec/2029)
Shared government data hosting solution established and operational (yes/no) No Yes
National Computer Security Incident Response Team (CSIRT) established and operational 0 1
(number)
Unified digital platform for accessing government e-services established and operational No Yes
(Guichet Numérique) (yes/no)
People enrolled in a digital skills training programs supported by the project (number) 0 6,000
• Of which female (number) 2,000
• Of which teachers (number) 1,000
Innovation centers established by the project (number) 0 10
Digital startups that receive project support (number) 0 100
• Of which female-led (number) 30
Citizen engagement indicator: Grievances registered that receive an adequate response within 0 100
30 days (Percentage)
Note: FDSU = Universal Services Fund (Fonds de développement des services universels )
9. Following is a brief description of the project’s components, the details of which are found in the POM. The
project will include co-financing in the amount of €100 million (US$110 million equivalent) from the French Development
Agency (Agence Française de Développement , AFD), intended to be split proportionally with the World Bank’s financing
across all project components, as described in table 3.2.
Table 3.2.Proposed Project Components and Funds Allocation
Component MPA Total IDA AFD UCF
Pillar/ (US$, (US$, (US$,
Sub-pillar millions) millions) millions)
1. Expanding digital access and inclusion 1 385.0 302.0 83.0 160.0
1.1: Introducing frameworks and enablers for digital access and 1.4 15.0
inclusion
1.2: Extending transmission networks to enable inclusive coverage 1.2 190.0 95.0
1.3: Connecting citizens, universities and selected public institutions 1.2, 1.3 180.0 65.0
2. Introducing digital foundations for service delivery 1, 2, 3 55.0 43.1 11.9 5.0
2.1: Improving data sharing and management for integrated service 2.2, 3.1 23.0 5.0
delivery
2.2: Enabling trust in digital services 2.1, 2.2, 2.3 17.0
2.3: Enhancing service delivery in key sectors using shared platforms 3.1 15.0
3. Increasing access to industry-relevant advanced digital skills 3 45.0 35.3 9.7 0.0
and stimulating digital innovation
3.1: Developing advanced digital skills capabilities in HEIs and tech 3.2 32.0
hubs 3.3 13.0
3.2: Supporting the development of local content and the national
innovation system
4. Institutional Coordination and Project Management 4 25.0 19.6 5.4 0.0
5. Contingency Emergency Response Component (CERC) n.a. 0.0 0.0 0.0 0.0
Total 510.0 400.0 110.0 165.0
Note: a. 30 million in regional IDA for cross-border links, under Subcomponent 1.2.
10. Component 1: Expanding digital access and inclusion. This component will finance the development of enabling
frameworks and provide financing to mobilize private sector investment in broadband network infrastructure rollout, ,
and digital inclusion in areas that are currently un- or under-served, as well as expand government and higher education
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connectivity. This component will be implemented using the Cascade and a One World Bank approach. All infrastructure
financed would be operated on an open access and non-discriminatory basis and be deployed with a view to support both
climate adaptation and mitigation (see annex 6 for more detail). Transaction advisory services will be hired to prepare and
manage large-scale network infrastructure investments envisioned under component 1. A firm would also be hired to
supervise and inspect infrastructure deployment, ensuring compliance with technical standards. More specifically, this
component will finance the following:
• Sub-component 1.1: Introducing frameworks and enablers for digital access and inclusion , via upstream
support to strengthen the capacity of key government institutions (Ministère des Postes, Télécommunication
et Nouvelles Technologies de l'Information et de la Communication [MPTNTIC], Autorité de Régulation des
Postes, des Télécommunications et des Technologies de l’Information et de la Communication [ARPTIC],
FDSU, and Société Congolaise de Fibre Optique [SOCOF]), featuring a mix of TA, training, acquisition of
equipment and IT systems, as well as covering some operational costs needed to enhance policy, regulatory,
management, and supervision functions to stimulate sustainable broadband market development, increase
readiness to support large-scale connectivity activities planned, and create a climate conducive to scaling
private sector investments in universal access. Government will also be supported to explore and evaluate
options for improving the institutional framework for digital transformation, more broadly, with a view to
enhancing leadership and cross-sectoral coordination.
• Sub-component 1.2: Extending transmission networks to enable inclusive coverage through a competitive
tender to award catalytic gap financing to eligible private sector providers for the deployment of key fiber
optic backbone and cross-border links – both licensed and unlicensed operators would be eligible to bid. The
project will provide matching investments (‘catalytic gap financing’) for the CAPEX required for fiber
deployment, incentivizing, and accelerating private sector investment to deploy priority links. The tender
process will help structure and coordinate planned investments, ensuring deployment of a resilient network
typology that maximizes the number of provincial capitals connected, while ensuring that technical, climate
change and regulatory best practices are followed, including infrastructure sharing. The project expects to
launch several rounds of tenders, starting with several priority links identified by the Government (see
Technical appraisal section).
• Sub-component 1.3: Connecting citizens, universities, and selected public institutions by (a) extending rural
and peri-urban mobile connectivity through a competitive tender to award catalytic gap financing to eligible
private sector providers for the deployment/upgrade of new access networks to expand last-mile coverage.
The project will provide matching investments (‘catalytic gap financing’) to incentivize private sector
investment in the areas where the private sector would not go otherwise. This investment will be used to
support the private sector in rolling out mobile broadband coverage and upgrading 2G cell sites to more
energy efficient 3G/4G/5G cellular technologies, with renewable powered base stations. The FDSU will be
assisted to identity priority zone to be targeted, inter alia targeting climate risk affected areas, while ensuring
that site-selection is informed by climate risk; (b) bulk pre-purchasing internet capacity and deploying local
access networks and communications equipment, including off-grid solar solutions, as needed, targeting a
select number of public institutions (including educational institutions, hospitals, and so on) to expand and
improve their access and usage of broadband and enable digital services, particularly in climate risk affected
areas; and (c) providing targeted support to the nascent NREN (Ebale), supporting its membership in EU’s
Africa Connect 4 program, enabling access to affordable internet capacity and other shared digital services
for higher education, and reviewing its existing network and operating model.
11. Component 2: Introducing digital foundations for service delivery. This component will support investments in
the cross-cutting digital building blocks (DPI) and trust services needed to cost-effectively and securely expand digital
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service provision across DRC, while supporting their re-use in a select number of sectors/services, particularly on the public
sector side. More specifically, this component will finance the following:
• Sub-component 2.1: Improving data sharing and management for integrated service delivery via (a) financing for
an e-government roadmap, featuring the development of an integrated enterprise architecture, systems standards
and interoperability framework, an inventory of e-services/IT systems and identification of priority services, and
feasibility study for the deployment of unified e-government services portal (Guichet Numerique), featuring the
integration of a select number of pilot services as well as options for enabling physical access service points via the
portal; (b) establishment of a secure internal virtual government network/intranet (building on connectivity
investment under Component 1), featuring upstream support for planning, downstream investments in a resilient
Network Operating Center, public IP licensing, service-level contracts for a closed virtual network and related IT
equipment to enable access among civil servants, and a centralized system for managing/tracking Government’s IT
resources; (c) development of a consolidated data strategy, with support for data classification and shared data
governance standards, analysis of sustainable models for government data hosting, and financing for the
establishment of a centralized green solutions for government data hosting (new data center, back-up facility and
government cloud); and (d) support for a select number of strategic sectors to adopt shared standard and solutions
established to improve their service delivery. Training and workshops to build capacity on a whole-of-government
approach to e-government and digital public infrastructure will be provided.
• Sub-component 2.2: Enabling trust in digital services, with support for (a) the provision of legal advisory services
to ensure the development of secondary legislation and regulation required to implement and clarify key provisions
within the new Digital Code and Telecoms Law, including setting out requirements to implement trust services,
eliminating any legal and institutional overlaps; (b) operationalization of foundational cybersecurity capabilities,
where the new cybersecurity agency would be assisted to establish a robust organizational strategy, identify risks,
and establish standards/procedures and response plans through TA, awareness raising, as well as with equipment
and IT systems purchase, featuring the establishment of a new CSIRT; (b) operationalization of foundational data
protection capabilities, where the new Data Protection Agency would be assisted to develop training modules for
internal staff, establish a robust organizational strategy, develop internal and outward-facing guidelines and
standards/procedures, conduct awareness raising, and digitally manage queries and complaints though TA and the
acquisition of enabling IT systems and equipment; and (d) development and implementation of a roadmap for the
adoption of e-signatures across the public and private sectors, including certification processes for qualified e-
signatures, based on prioritized use case transactions. These new agencies would also be provided with basic office,
IT equipment and training.
• Sub-component 2.3: Enhancing service delivery in key sectors using shared platforms via support for (a) the
deployment of a unified online platform for public service (Guichet Numerique), with financing for the digitalization
and integration of a select number of services, based on readiness, demand and impact (to be identified under
activity 2.1 a); (b) pilot implementation of physical access points for related service access via the Guichet Numerique
in a select number of locations; (c) select analytics to expand business-enabling and people-centric digital services,
including services related to the development of a foundational ID ecosystem (ID and civil registration), as feasible47;
47
The initial project design foresaw significant support for a new foundational ID system, as a key enabler for expanded services access and usage.
However, the government recently entered into a high-value commercial PPP agreement for provisioning of ID related services. The World Bank
was not able to complete full due diligence during appraisal as this contract was not shared; however, based on the Bank’s pr eliminary assessment
key elements of this contract are not fully aligned with the Principles on Identification for Sustainable Development advocated by the World Bank
and other development partners. As such, support for foundational ID and civil registration is currently not foreseen in the project but could be
considered in later phases should additional information be made available and there is a clear government request in line with the Principles for
identification.
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and (d) the rollout of basic shared internal government application and services such as email, document tracking
and e-archives. Deployment of new digitally enabled application and services is expected to cover a mix of TA to
support process reengineering, change management and training for the civil service, linked software, and
equipment, as needed. Physical access pilots may also involve targeted and limited rehabilitation of existing
government facilities.
12. Component 3: Increasing access to industry-relevant advanced digital skills and stimulating digital innovation.
This component will provide foundational support for the development of the advance digital skills base and the nascent
local innovation system to enable the productive use of technology in both the public and private sectors, with the aim to
stimulate technology adoption, development of new services, and access to jobs. More specifically, this component will
finance the following:
• Sub-component 3.1: Developing advanced digital skills capabilities in HEIs and tech hubs to support the upskilling
and capacity building of public officials, students, and entrepreneurs, with a focus on training women and youth and
stimulating links between the higher education sector and the IT industry through (a) TA to support a needs
assessment study, identify priority training courses to be supported by the project and design a performance-based
grants mechanism to scale related training, in line with private sector needs and existing programs in HEIs (to be
detailed in a dedicated manual); (b) performance-based grants for the deployment of new advanced digital training
courses for students, young entrepreneurs, and public officials at HEIs and tech hubs in areas such as data science,
IT engineering, and so on, with targets for women and vulnerable groups to maximize inclusion; (c) TA to provide
upstream capacity building to prospective grant applicants and select grant beneficiaries, to design certified
advanced digital training courses, administer and monitor implementation of performance-based grants to selected
institutions; (d) training for teachers in the Instituts supérieurs pédagogiques and Instituts Supérieurs Professionnels
Techniques allowing them to enhance their digital training skills and use of digital tools in the classroom, with
support for technical assistance, training facility refurbishment and training equipment, as needed; and (e) capacity
building through assisted mentoring programs, experience sharing, and training delivered by the private sector.
• Sub-component 3.2: Supporting the development of local content and the national innovation system to develop
locally relevant digital solutions and a select number of new digital services, working in close collaboration with the
academic and industrial sectors via financing of (a) a Digital Library System to benefit students and researchers
across a select number of HEIs, including both upstream TA and downstream deployment; (b) financing of
performance-based grants to support the establishment of new innovation centers on university campuses and in
communities, managed in collaboration with tech hubs and/or private sector, with performance-based targets for
supporting students to develop successful and innovative IT solutions in response to real-world problems (to be
detailed in a dedicated manual - see paragraph 16); (c) grant financing for tech entrepreneurs to provide seed
financing and scale up support (‘Technical Solution Grants’), with targeted support for female-led and youth-led
digital start-ups; (d) TA to provide upstream capacity building to prospective grant applicants, select grant
beneficiaries, to administer and monitor implementation of grants to selected institutions/beneficiaries under
activity (b) and (c); and (e) other ecosystem support such as TA for start-up digital transformation, organization of
conferences, network events, and hackathons.
13. Component 4: Institutional Coordination and Project Management. This component will finance the recipient’s
project management and coordination capacity, including procurement, FM, M&E, and ESS management. Specifically, this
component would include the following: (a) operating, meeting, basic equipment, and staff costs of the PIU and technical
committee, as well as the recruitment of expert consultants in key areas, such as project management, technical advice,
and support for implementation; (b) support for stakeholder consultations, development of ESS instruments, and site-
specific assessment and plans (including e-waste), and grievance redress mechanisms; (c) M&E and citizen feedback,
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paying special attention to ensuring that project interventions are designed to maximize the participation of women and
PWDs in all activities and collecting gender-disaggregated data, where possible; (d) communications costs to, among
others, support change management; (e) auditing, procurement planning, and quality assurance to ensure adherence to
best practices on procurement related to technology; (f) training and field visit; and (g) third-party monitoring, as needed.
14. Component 5: Contingency Emergency Response Component (CERC). This component would have a zero
allocation of financing to allow for rapid reallocation of proceeds of uncommitted financing in the event of an eligible crisis
or emergency.
D. Project Beneficiaries
15. The project will benefit people, businesses, and government MDAs across DRC. Roughly 30 percent of the
population will benefit from new and improved access to broadband internet on the back of network rollout and
regulatory reform, including quality and affordability gains. Approximately, 650 new communities will be covered by new
access networks, and 1,000 public institutions will be provided with new or improved access to broadband. Support
provided for strengthening foundations for digitally enabled services on both the private and public sector sides is
expected to enhance access to new or enhanced digital services, resulting in expanded usage by at least 1 million people.
Meanwhile, at least 3,000 people will be trained in advanced digital skills, facilitating access to jobs, and 1,000 teachers
will be equipped to support systemic change in secondary education through digital skills training. Approximately, 100
digital start-ups will be supported to help fuel local digital service innovation. The design of these programs will place a
heavy focus on inclusion to mitigate socio-economic marginalization that drives fragility in DRC. Businesses will benefit
from a growing connected consumer base, improved legal frameworks, innovation support services and stronger supply
of digital talent attuned to market and business needs
E. Institutional and Implementation Arrangements
16. MPTNTIC will be the lead implementing agency that manages day-to-day project administration. A dedicated
PIU will be established within MPTNTIC, with a coordinator; a deputy coordinator; FM, procurement, and ESS staff; and
various other technical specialists. Full PIU staffing will be detailed in the POM. Technical specialists covering key focus
areas of the project will act as sectoral leads/liaisons, ensuring close coordination with other MDAs that play a key role in
project implementation and strengthening cross-sectoral coordination. Provincial liaison officers will also be recruited, as
needed. A dedicated Project Steering Committee (PSC) will provide strategic oversight, chaired by MPTNTIC and co-chaired
by the Ministry of Digital (Ministère du Numérique, MdN). A technical committee will convene relevant government MDAs
on a more regular basis to support key technical-level decisions that require broader agreement, escalating issues to the
PSC, where needed. Both the PSC and technical committees will provide a continuous platform for cross-sectoral
coordination, building on the government working group established during the project preparation phase. Related
arrangements will be further detailed in a dedicated POM. This POM will be supplemented by dedicated manuals for the
administration of grants/performance-based grant mechanisms envisaged under Component 3.
17. Implementation readiness. A project preparation advance (PPA) was approved and signed on December 15, 2023.
This PPA is being used to hire the PIU staff and prepare the POM (and supplementary manuals noted above). Additionally,
it will finance the preparation of a series of technical studies to produce tender documents for key procurement packages.
Notably, the active DRC Transport and Connectivity Support Project (P161877) is also being used to prepare the tender
documents for the large-scale connectivity investments proposed under Component 1, which will be launched in year 1
of implementation.
F. Appraisal Summary
18. Technical Appraisal. Large-scale broadband network infrastructure investments under component 1 will feature
matching investments (‘catalytic gap financing’) for the CAPEX of constructing new backbone, cross border links and access
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networks. The competitive nature of the tendering process will optimize the use of public financing. Fiber optic backbone
and cross border links deployed will be based on fiber that will be owned and operated by the private sector on a build
operate transfers basis, based on concessional licensing for core networks in place; whereas last mile access networks will
be owned by the private sector on a build own operate basis. For the backbone, bidding will be open to licensed and non-
licensed operators. Gap financing for backbone may be furnished in exchange for dedicated fiber capacity for
government’s own internal use (to be determined by transaction advisory services), allowing Government to connect
public institutions more affordably, which government would be prohibited from commercializing. The project expects to
launch several rounds of tenders, starting with priority links already identified by Government: reinforcing the core trunk
between Kinshasa and Lubumbashi, extending networks in Eastern DRC from Goma to Bunia, and Bukavu to Kalemie, as
well as Bunia to Kisangani; connecting the south-east between Kalemi and Kamina, and Kolwesi to the Angola border at
Dilolo; and extending the network north from Kasongo, Kindu, Lubutu, Kisangani, and Gemena to the Central African
border. Several missing cross-border links have been identified, where fiber will be deployed to the DRC border. Assistance
will be provided, as needed, to facilitate interconnection agreements with operators in neighboring countries. Tenders
will set minimum technical and regulatory requirements, ensuring open access, best practice technical standards and that
bidders fulfill basic licensing requirements.
19. PCM. The project expects to mobilize private capital under subcomponents 1.2, 1.3 and 2.2. Gap financing for
backbone and cross-border links and last mile access networks are expected to mobilize US$95 million and US$65 million
in unguaranteed commercial financing, respectively. A conservative approach was applied to PCM, with an average public
to private financing ratio of 2:1 for the backbone and 1:1 for last-mile connectivity, based on low ARPU, FCV/security
context, challenging geographic terrain, absence of supporting infrastructure in rural areas, and high equipment duties
likely to elevate deployment cost. A PPP data hosting model under sub-component 2.1 is also expected to yield PCM,
assuming a 2:1 financing ratio, amounting to US$5 million.
20. The project is aligned with the Paris Agreement on both mitigation and adaptation goals.
• Assessment and reduction of adaptation risks. The main climate risks likely to have adverse impact on project
investments, as identified in the CDRS tool, are intense rainfall and floods. They can damage telecommunication cables
causing network failure in affected areas and inundating equipment and servers in data centers. The project has
included the following activities to reduce adaptation risks: (a) account for projected increase in risk and intensity of
flood events, temperatures, and other climate hazards identified in site-specific climate risk assessments in the design
of digital connectivity infrastructure and in the greenfield data center and (b) integrate structural climate adaptation
measures for climate-resilient digital connectivity and reduced risks of data loss (see annex 6 for details). The project
is also designed with the intent to improve resilience of the underserved population by providing internet connectivity
to climate hot spots. Overall, the abovementioned adaptation measures reduce the risks from climate hazards in this
operation to an ‘acceptable’ level.
• Assessment and reduction of mitigation risks. The project will contribute to the country’s low-carbon development
goals by deploying energy-efficiency fiber, prioritizing renewable energy to power the digital connectivity
infrastructure (for example, by requiring operators to power equipment at targeted MDAs and any cell towers and
base stations with solar power) and integrating energy conservation technologies and energy efficiency measures (for
example, energy efficient ICT equipment for local area networks). The data center proposed under the project could
be a source of substantial GHG emissions; however, the risk is reduced to a low level, as the project will be designed
to meet the criteria for EDGE green data center certification to ensure that it is energy efficient (see annex 6 for
details). Together, these measures will ensure that activities under this operation are considered universally aligned
on mitigation as they will not increase the danger of carbon lock-in in the long term and it has a low risk of preventing
the country’s transition to low-carbon development pathways.
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21. Financial management. The project’s FM arrangements were assessed in line with the guidelines in the World
Bank Directive Financial Management Manual for World Bank Investment Project Financing (IPF) Operations issued
September 7, 2021, and effective on March 1, 2010, to determine if the project has acceptable FM arrangements in place
that satisfy the World Bank’s minimum requirements. Based on the assessment conducted, arrangement are deemed
acceptable and the FM risk of the project is rated substantial, bases on the implementation of the following mitigation
measures: (a) hiring of qualified PIU FM staff including a financial specialist (to be hired by effectiveness) as well as an
accountant, a cashier, and a logistician (to be hired no later than three month after effectiveness); (b) preparation of an
annual work plan and budget, as a basis for monitoring budget execution, with unaudited IFRs prepared on a quarterly
basis and submitted to the World Bank within 45 days, following the end of the calendar quarter; (c) accounting conducted
on an accrual basis, supported with appropriate records and procedures to track commitments and safeguard assets, using
the SYCEBNL system; (d) external auditing conducted by dedicated staff recruited through TORs acceptable to the World
Bank (no later than six months after effectiveness), based on a shortlist reviewed by the World Bank, and internal auditing
supported by the Cellule d’Appui Technique (under MPTNTIC), with the validation of the audit reports following the
SYCEBNL accounting law, effective January 2024, and auditing conducted in compliance with the International Standards
on Auditing. The audit reports will be submitted to the World Bank within six months of the end of the fiscal year and will
be publicly disclosed in accordance with the World Bank Access to Information Policy. Four methods of disbursement will
be used: advances, reimbursements, direct payments, and special commitments. A DA in US dollars will be opened at an
acceptable commercial bank on terms and conditions acceptable to IDA to receive funds, with a fixed ceiling and
expenditures documented through statements of expenditures. Payment for activities co-financed by AFD will be
channeled through a separate DA.
22. Procurement. Procurement will be carried out in accordance with the World Bank Procurement Regulations for
Borrowers under IPF, dated September 2023; Guidelines on Preventing and Combating Fraud and Corruption in Projects
Financed by IBRD Loans and IDA Credits and Grants, revised July 1, 2016; and the provisions stipulated in the Financing
Agreement. The Procurement Plan, as agreed between the World Bank and the recipient, specifies procurement methods
and their applicable thresholds, as well as activities that will be subject to the World Bank review. The implementing
agency will submit the Procurement Plan through the online STEP tool, and it will be disclosed to the public. The
Procurement Plan will be revised at least every 12 months and as needed, throughout the project's duration. Through the
mandatory use of STEP by the implementing agency, the World Bank will be able to monitor all procurement transactions.
A PPSD, which includes detailed market conditions, risks, and corresponding market approaches for identified procurable
items, has been prepared by the Borrower in addition to the Procurement Plan for the first 18 months. The MPTNTIC has
limited prior experience in managing World Bank financed project. Based on the assessment conducted, the procurement
risk of the project is rated substantial, based on the implementation of the following mitigation measures: (a) PIU staffed
with a Procurement Specialists (to be hired by effectiveness), as well as other qualified and experienced technical
consultants that can support the preparation of quality bidding documents; (b) hiring of Transaction Advisory services to
help fast-track and aid the implementation of high value and complex contracts, including network investments, involving
the private sector; (c) establishment of a Technical Committee, composed of MDAs involved in the project, to improve
ownership and provide inputs to procurement activities such as terms of reference/technical specifications.
23. Environment and social. The environmental and social risk of this project is rated Substantial. Risks identified
include the potential exclusion of certain groups; health and safety risks for workers and communities; working conditions
and grievance management for laborers, especially for those indirectly employed or primary supply workers; risk of
unemployment due digitalization; issues related to SEA/SH; disruption of traffic during excavation work to install fiber and
road damage; road safety; emission of dust; noise; debris and generation of waste during infrastructure deployment; soil
erosion and risks of pollution; and security risks, where project activities extend to provinces currently experiencing armed
conflicts. To mitigate these risks, by appraisal, the borrower has prepared appropriate ESS instruments, including (a) an
SEP; (b) an Environmental and Social Commitment Plan (ESCP); (c) a draft Environmental and Social Management
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Framework (ESMF), including a SEA/SH Action Plan; (d) a Resettlement Policy Framework; and (e) Labor Management
Procedures (LMPs). The draft ESMF will be completed to include a generic e-waste Management Plan and capacity building
assessment and action plan and will be finalized no later than three months after the effective date. When the
sites/locations and activities become known with accuracy, site-specific instruments for subprojects, including the
Environmental and Social Impact Assessments (ESIAs)/Environmental and Social Management Plans, Resettlement Action
Plans, Security Risk Assessments, and eventual Security Management Plans, will be carried out before implementation of
project activities and be updated depending of the change of security context, as will the development of Indigenous
People Plan, if required. These instruments will guide project implementation, in accordance with the ESF. The SEP shall
be updated, if required, during project implementation.
24. Gender. The project is supporting targeted action on gender disparities in relation to women’s digital skills and
entrepreneurship under Component 3. This includes (a) increasing women’s enrollment and completion of advanced
digital skills training to boost their access to employment and (b) scaling support for women-led start-ups to enhance and
bridge gender gaps identified, with corresponding targets (see table 3.1). These efforts will be closely monitored and
evaluated for effectiveness. Additional details on identified gender gaps, with associated activities and indicators can be
found in annex 7.
25. Economic and financial. The project is expected to contribute to sustainable economic growth, through long-term
cost-savings, efficiency, and productivity gains, fueled by greater digital adoption by citizens, businesses, and government.
The economic and financial analysis undertaken follows a standard CBA approach and relies on available secondary data
and reasonable assumptions, based on prior experience. Cashflows are calculated for three different scenarios, which
stem from three main sources: (a) economic impact on GDP growth due to broadband penetration increase, (b) economic
impact due to digital services and cybersecurity investments, and (c) economic impact from digital skills trainings and
innovation. Discounted at 23 percent, the neutral scenario NPV reaches US$24.55 million and yields an IRR of 30 percent.
For the optimistic and pessimistic scenarios, the NPVs and IRRs are US$49.52 million and 36 percent and US$2.68 million
and 24 percent, respectively. However, it is worth noting that project impacts are likely to extend beyond these calculated
results. For example, data protection and e-signatures are likely to produce economic and social gains that are not
reflected, based on increasing online services and transactions stemming from improvement in digital trust.
G. Key Risk
26. The overall risk for the Project in DRC is ‘High’, based on the risk ratings, as follows:
(a) Political and governance risks are rated as High. DRC continues to be characterized by a volatile political context
and a political economy characterized by a lack of transparency, corruption, and weak governance, and vested
interests that may thwart reform. With the 2023 Presidential election completed, the political landscape is likely to
be stable for the next few years; however, the institutional landscape may still shift with the appointment of the
new government and Parliament pending. The present project is moving forward under a caretaker government.
Nevertheless, key investments proposed do benefit from broad support, as demonstrated by existing country
strategies and discussion with MDAs involved in the project, which should allow the project to move forward under
a new administration and ensure Parliament approval. DRC’s decentralized provincial governance structure could
also complicate localized implementation. While the latter can partly be mitigated via stakeholder engagement and
the project’s institutional arrangements, other governance risks may be difficult to mitigate within the scope of the
project. Residual risks, therefore, remain High.
(b) Macroeconomic risks are rated as Substantial. A proliferation of sectoral fees and tariffs, and an opaque taxation
framework for digital, has been identified as a key bottleneck to network investments supported under the project.
Moreover, high import duties on devices and equipment push up the capital investment cost required to bridge
DRC’s infrastructure deficit and pose a challenge to expanded digital access. Efforts to increase domestic revenue
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mobilization will therefore need to be balanced with digital access priorities. A review of fiscal policies that apply to
the sector is due to be undertaken under the DRC Transport and Connectivity Support Project - PACT (P161877),
which could help inform policy dialogue on this issue, with targeted support for device taxation review envisaged
under this project. However, only some mitigation measures can realistically be integrated into the project itself.
Residual risks therefore remain Substantial.
(c) Sector strategies and policies risks are rated as Substantial. The PNN provides a solid basis for project interventions,
as most activities proposed are featured in this strategy document. However, reform of the telecoms sector, based
on the 2021 Telecoms Law, is still a work in progress with lingering risk of rollback. Examples include ongoing efforts
to establish a more mature and transparent telecoms regulatory authority and lingering gaps in telecoms
regulations. Secondary legislation implementing the 2023 Digital Code is also largely still missing. Legal due diligence
undertaken by the Bank has already identified a number of gaps to be addressed, with further analysis and TA
envisioned under the PACT Project (P161877) to frontload adoption of essential regulation in areas such as
infrastructure sharing. Legal advisory services financed by the PPA due to be commissioned will also help address
any legal gaps identified up front. These efforts could be reinforced by linking the adoption of draft regulations to
the forthcoming DPF under preparation, reducing the residual risk to substantial.
(d) Institutional capacity and sustainability risks are rated as Substantial. A proliferation of MDAs in the digital sector
(introduced by new legal frameworks, such as the Digital Code) elevates institutional risks, for example, in view of
the need to clarify mandates and ensure effective coordination. Moreover, many of the institutions in question are
nascent and thus have limited funding and institutional capacity. Meanwhile, institutions that do have more capacity
have limited experience implementing World Bank projects of this scale. Mitigation measures proposed include
upstream TA to clarify institutional mandates and optimize the institutional arrangements for digital transformation
and targeted capacity building envisioned for concerned agencies, reducing the residual risk to substantial.
(e) Fiduciary risks are rated as Substantial In DRC, fiduciary risks are high and ubiquitous. The capacity for FM and
procurement is weak. As a result, and despite the implementation of tailored fiduciary oversight, the World Bank’s
portfolio represents significant FM and procurement risks, including fraud and corruption. Mitigation measures
detailed above are expected to reduce the residual risk to substantial.
(f) Environmental risks are rated as Substantial. Digital infrastructure investments proposed, including the
deployment of fiber, new cell-sites, and physical data hosting solutions are likely to have numerous environmental
impacts, which will need to be proactively managed. Purchase of digital hardware and devices also poses
environmental risks related to safe final disposal of hazardous e-waste. Provisions have been made in the project
for implementation of the Government’s e-waste policy. The residual environmental risk is substantial.
(g) Social risks are rated as Substantial. Digital infrastructure investments could yield risks related to occupational and
community health and safety as well as labor working conditions, especially for those who are indirectly employed
or primary supply workers. Given the local prevalence of gender-based violence, risks related to SEA/SH are also
present. Deployment of infrastructure could also involve temporary displacement. Risks of social inclusion will need
to be actively managed. The residual social risk is substantial.
(h) Stakeholder risks are rated as Substantial. While MPTNTIC will spearhead implementation, active implementation
support by several MDAs will be required – especially in relation to government connectivity and the re-use of DPI
– at both the central and provincial levels. While there is alignment on activities covered, ensuring effective
coordination will be a challenge. Mitigation measures proposed include inclusive implementation arrangements,
featuring a multi-agency steering and technical committees that includes the main MDAs concerned. The project
will also rely on heavy private sector participation in implementing infrastructure investments. Currently, the
Government has a mixed track record of success public-private dialogue; however, additional support will be
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provided to enhance consultation and market sounding, notably with telecoms operators. These measures are
expected to reduced residual risk to substantial.
(i) Other risks associated with climate and disaster risk are rated Substantial. The country is exposed to high risk of
floods, which may adversely affect digital infrastructure by damaging fiber optic networks and base stations, which
the project will be deploying. Soft components will be introduced through the project to mitigate the risk, as
specified under paragraph 20 on adaptation (see also annex 6 for details).
(j) Other risks associated with cybersecurity and data protection are Substantial. Currently, DRC has very weak
frameworks and capabilities in place to anticipate, mitigate, and respond to related risks. However, the project has
been designed to actively build related capacity, with targeted support under Component 2. In view of this, the
residual risk is reduced to substantial.
(k) Other risks associated with Security are Substantial. The project plans to deploy networks in areas of DRC affected
by conflict, notably Eastern DRC. For example, Ituri and North Kivu provinces are currently characterized by armed
conflicts. The project will take stock of the evolving security context. As noted above, Security Risk Assessments will
be carried out before implementation of project activities, with Security Management Plans developed, as needed,
before launching activities in these areas. Advertising and bidding documents will clearly identify areas concerned
to allow bidders/proposants to include the appropriate risk mitigation measures in their bids /proposals. With these
mitigation measures, residual risks remain substantial.
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ANNEX 4: Republic of Angola
Task Team Leaders: IDD04: Naomi Halewood and Daniel Nogueira-Budny; EAEF2: Sunita Varada. Core Team: IDD04: Giacomo Assenza,
Celso Famio Almeida Luis Da Cunha, Josemar Adriano, and Tasneem Rais; IDD03: Claudio Muniz Machado Cavalcanti; EAEF2: Emilia S
Franklin Malavoloneque, Ruben Barreto, and Delfim Mampassi E Martins Mawete; LEGOP: Adele Moukheibir Barzelay; HAES2: Boban
Paul and Emma Montiel; LEGAM: Edith Mwenda, Ntaya Bandawa, and Isabella Micali Drossos; WFACS: George Ferreira Da Silva and
Issiaka Traore; EAEG2: Joao Tinga and Zelia De Fatima Arieiro Pinheiro; EAERU: Danilo Pereira de Carvalhoand Carla Sofia Samuel De
Sousa; SAEE3: Paulo Jorge Temba Sithoe and Pinto Francisco Fiel; SAES3: Santiago Estanislao Olmos and Susana Maria Malheiro
Mendes; AEMAO: Amada De Jesus Lourenco Rodrigues Deia
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DATASHEET
BASIC INFORMATION
Project
Operation Name
Beneficiary(ies)
Angola Angola Digital Acceleration Project
Environmental and Social Risk
Operation ID Financing Instrument
Classification
Investment Project
P180693 Moderate
Financing (IPF)
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Financing & Implementation Modalities
[✓] Multiphase Programmatic Approach (MPA) [✓] Contingent Emergency Response Component (CERC)
[ ] Series of Projects (SOP) [ ] Fragile State(s)
[ ] Performance-Based Conditions (PBCs) [ ] Small State(s)
[ ] Financial Intermediaries (FI) [ ] Fragile within a non-fragile Country
[ ] Project-Based Guarantee [ ] Conflict
[ ] Deferred Drawdown [ ] Responding to Natural or Man-made Disaster
[ ] Alternative Procurement Arrangements (APA) [ ] Hands-on Expanded Implementation Support (HEIS)
Expected Approval Date Expected Closing Date Expected Program Closing Date
27-Jun-2024 31-Mar-2030 31-Oct-2032
Bank/IFC Collaboration Joint Level
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Yes Complementary or Interdependent project requiring active coordination
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MPA Program Development Objective
MPA FINANCING DATA (US$, Millions)
MPA Program Financing Envelope 2,480.00
with an additional request to IBRD 5.28
with an additional request to IDA 86.00
Proposed Development Objective(s)
To accelerate digital inclusion, increase access to digitally enabled services, and unleash digital opportunities for the
advancement of Angola’s digital economy.
Components
Component Name Cost (US$)
Component 1: Affordable Broadband Connectivity and Inclusion 100,000,000.00
Component 2: Scaling-up inclusive and safe digital public infrastructure 122,250,000.00
Component 3: Productive digital usage for economic opportunities 54,000,000.00
Component 4: Project Management 23,000,000.00
Component 5: CERC 0.00
Organizations
Borrower: Republic of Angola
Implementing Agency: Institute for Administrative Modernization
MPA FINANCING DETAILS (US$, Millions)
Board Approved MPA Financing Envelope 0.00
MPA Financing Envelope: 2,480.00
of which Bank Financing (IBRD): 440.00
of which Bank Financing (IDA): 2,040.00
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of which Other Financing sources: 0.00
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PROJECT FINANCING DATA (US$, Millions)
Maximizing Finance for Development
Is this an MFD-Enabling Project (MFD-EP)? Yes
Is this project Private Capital Enabling (PCE)? No
SUMMARY
Total Operation Cost 380.00
Total Financing 380.00
of which IBRD/IDA 300.00
Financing Gap 0.00
DETAILS
World Bank Group Financing
International Bank for Reconstruction and Development (IBRD) 300.00
Non-World Bank Group Financing
Commercial Financing 80.00
Unguaranteed Commercial Financing 80.00
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Expected Disbursements (US$, Millions)
WB Fiscal
Year 2024 2025 2026 2027 2028 2029 2030
Annual 0.00 25.00 80.00 60.00 50.00 45.00 40.00
Cumulative 0.00 25.00 105.00 165.00 215.00 260.00 300.00
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PRACTICE AREA(S)
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Practice Area (Lead) Contributing Practice Areas
Digital Development Finance, Competitiveness and Innovation
CLIMATE
Climate Change and Disaster Screening
Yes, it has been screened and the results are discussed in the Operation Document
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SYSTEMATIC OPERATIONS RISK- RATING TOOL (SORT)
Risk Category Rating
1. Political and Governance ⚫ Substantial
2. Macroeconomic ⚫ Substantial
3. Sector Strategies and Policies ⚫ Substantial
4. Technical Design of Project or Program ⚫ Substantial
5. Institutional Capacity for Implementation and Sustainability ⚫ Moderate
6. Fiduciary
No Fiduciary risk rating under Preparation Phase has been completed in
Financial Management System to date. ⚫ Substantial
No Procurement rating under Preparation Phase has been completed in
PRAMS to date.
7. Environment and Social
Environment Risk rating from Specialist:
⚫Moderate as of 2024-05-03T18:48:15Z ⚫ Moderate
Social Risk rating from Specialist:
⚫Moderate as of 2024-05-03T18:48:15Z
8. Stakeholders ⚫ Moderate
9. Other ⚫ Low
10. Overall ⚫ Substantial
Overall MPA Program Risk ⚫
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POLICY COMPLIANCE
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Policy
Does the project depart from the CPF in content or in other significant respects?
[ ] Yes [✓] No
Does the project require any waivers of Bank policies?
[ ] Yes [✓] No
ENVIRONMENTAL AND SOCIAL
Environmental and Social Standards Relevance Given its Context at the Time of Appraisal
E & S Standards Relevance
ESS 1: Assessment and Management of Environmental and Social Risks and
Relevant
Impacts
ESS 10: Stakeholder Engagement and Information Disclosure Relevant
ESS 2: Labor and Working Conditions Relevant
ESS 3: Resource Efficiency and Pollution Prevention and Management Relevant
ESS 4: Community Health and Safety Relevant
ESS 5: Land Acquisition, Restrictions on Land Use and Involuntary Resettlement Relevant
ESS 6: Biodiversity Conservation and Sustainable Management of Living Natural
Relevant
Resources
ESS 7: Indigenous Peoples/Sub-Saharan African Historically Underserved
Relevant
Traditional Local Communities
ESS 8: Cultural Heritage Relevant
ESS 9: Financial Intermediaries Not Currently Relevant
NOTE: For further information regarding the World Bank’s due diligence assessment of the Project’s potential
environmental and social risks and impacts, please refer to the Project’s Appraisal Environmental and Social Review
Summary (ESRS).
@#&OPS~Doctype~OPS^dynamics@padlegalcovenants#doctemplate
LEGAL
Legal Covenants
Sections and Description
Not later than thirty (30) days after the Effectiveness Date, the Borrower has hired an environmental specialist and
social specialist on a full-time basis, and has adopted the Labor Management Procedures (LMP). Not later than one
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hundred and twenty (120) days after the Effectiveness Date, the Borrower shall prepare the following environmental
and social framework documents: Environmental and Social Management Framework (ESMF) to include Resettlement
Policy Framework (RPF); Chapter on Indigenous People risks assessment Plan (IPP); Code of practice for electronic
waste management; Entitlement Matrix for the project affected people (PAP); Sexual Exploitation and Abuse / Sexual
Harassment Risk Assessment (SEA/SH) and code of practice for electronic waste management.
@#&OPS~Doctype~OPS^dynamics@padconditions#doctemplate
Conditions
Type Citation Description Financing Source
The Borrower has
established the PIU with a
mandate, terms of
reference and resources,
Satisfactory to the Bank,
and has appointed to said
Effectiveness Article V IBRD/IDA
PIU a Project coordinator,
and recruited an adjunct
coordinator, and a
procurement specialist, all
in accordance with the
Procurement Regulations.
The Borrower has
established the Project
Effectiveness Article V Steering Committee, with IBRD/IDA
composition and mandate
acceptable to the Bank.
The Borrower has prepared
and adopted the Project
Effectiveness Article V Implementation Manual, in IBRD/IDA
form and substance
satisfactory to the Bank.
The Subsidiary Agreement
has been executed on
behalf of the Borrower and
the Project Implementing
Effectiveness Article V IBRD/IDA
Entity and all conditions
precedent to its
effectiveness shall have
been met.
No withdrawal shall be
Disbursement Schedule 2 made under Category (1) IBRD/IDA
unless the Broadband
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Connectivity Program
Memorandum of
Understanding has, been
executed on behalf of the
Project Implementing
Entity and the relevant
MDA, in form and
substance satisfactory to
the Bank.
No withdrawal shall be
made under Category (2)
unless the Borrower has, in
form and substance
satisfactory to the Bank: (i)
prepared, adopted, and
submitted to the Bank the
Digital Inclusion Program
Disbursement Schedule 2 IBRD/IDA
Manual; and (ii) the Digital
Inclusion Program
Memorandum of
Understanding has been
executed on behalf of the
Project Implementing
Entity and the relevant
MDA.
No withdrawal shall be
made under Category (4)
unless the Borrower has: (i)
adopted an ID enabling
legal framework,
acceptable to the Bank,
that aligns with the
Principles on Identification
Disbursement Schedule 2 for Sustainable IBRD/IDA
Development; and (ii) a
Memorandum of
understanding on Digital
Identification has been
executed on behalf of the
Project Implementing
Entity and the relevant
MDA.
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No withdrawal shall be
made under Category (5)(a)
unless the Borrower has, in
form and substance
satisfactory to the Bank: (i)
prepared, adopted, and
submitted to the Bank the
Disbursement Schedule 2 IBRD/IDA
Digital Entrepreneurship
Support Manual; and (ii)
INAPEM Implementation
Agreement has been
executed on behalf of the
Project Implementing
Entity and INAPEM.
No withdrawal shall be
made under Category (6)
unless the Borrower has, in
form and substance
satisfactory to the Bank,
prepared, adopted, and
submitted to the Bank the
Disbursement Schedule 2 IBRD/IDA
Digital Entrepreneurship
Support Manual; and (ii)
INAPEM Implementation
Agreement has been
executed on behalf of the
Project Implementing
Entity and INAPEM.
A. Sector Context
1. Growing a vibrant digital economy has become a prerequisite for Angola’s intention to transition from an oil
economy to a more diversified economy that can benefit all parts of the society. Angola’s oil-export economic model
has recently shown severe limitations to ensuring inclusive growth. Of the estimated population of 36.1 million, almost a
third (31.1 percent) live below the international poverty line with less than US$2.15 per day.48 This division is also reflected
in the percentage of unique subscribers for mobile broadband service, which was only 39 percent at the end of 2023.49
Only 5 percent of households have subscription to fixed internet,50 and only 39 percent of the population in 2022 were
thought to be accessing or using the internet. 51 These figures are well below other lower-middle-income countries and
48 World Bank. 2024. Angola Economic Update. October.
49 GSMA Intelligence. This indicator takes into account that mobile phone owners in Angola on average own two SIM cards.
50 Telegeography; ITU World Telecommunication/ICT Indicators Database.
51 ITU World Telecommunication/ICT Indicators Database.
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digital exclusion becomes even more pronounced when considering access and usage by traditionally marginalized groups
such as women: women are 25 percent less likely to use mobile internet.
2. The Government of Angola (GoA), recognizing the need to accelerate uptake of digital infrastructure and
services as inputs to economic and human development, has highlighted the role of digital solutions in key initiatives
under the 2023–2027 National Development Plan. And while Angola has some of the building blocks of a digital economy,
further reforms and investments are needed for it to become a solid foundation for Angola’s growth. One of the key
building blocks is the telecommunications industry, one that Angola has made notable advancements in but with sole
reliance on public and external debt financing, which is fast dwindling. Future investments will need to be designed to
crowd in private investment for Angola to achieve universal access by 2030, a target set out by the United Nations and
African Union. State intervention in the supply side, coupled with state ownership of telecom operators, has hindered real
competition, hampered entry of new operators and therefore private and foreign investments, and produced a number
of unprofitable operators that pose a fiscal burden for the GoA. This situation ultimately keeps prices for broadband
services unaffordable for the majority of the population and stifles innovation. Steps have been taken to prepare the
ground for significant reforms, as the GoA has included the state-owned telecom operators on its privatization list, Angolan
Privatisation Programme (PROPRIV), approved by Presidential Decree no. 250/19 of August 5, 2019. In 2021 the GoA
passed the Basic Law of Independent Administrative Entities, Law 27/21, to increase the independence of sector
regulators, including the telecom regulator, Instituto Angolano das Comunicações (INACOM), which when implemented
will help with promoting a more competitive broadband internet market. The GoA has been engaged with a joint IFC-
World Bank team to pursue a more comprehensive approach to reducing state ownership in the telecom market to
address market structure issues.To start, GoA has signed a mandate with the IFC Transaction Advisory Services team to
support the partial privatization of Unitel. Following through with pro-competition reforms in the next few years will be
critical to ensure a vibrant telecom industry, which will have direct implications on how vibrant Angola’s digital economy
will be.
3. A groundswell of support is forming for another key building block, the DPI, the “digital rails and roads of the
21st century.” On the public sector front, the GoA’s efforts to digitalize its public sector have been siloed, leading to
duplication of efforts and inefficiencies. The country lacks a whole-of-government approach to digitalization and many of
the GoA’s administrative and public services are delivered offline. The country’s foundational ID coverage is limited at
around 46 percent of the population, due in large part to the country’s complex and antiquated legal framework and non-
standardized procedures for civil registration, as a birth certificate is a core requirement to obtain an ID (Bilhete de
Identidade, BI). There is no data exchange layer to allow government entities to share data.Recent developments include
simplification of birth registration and BI procedures through Presidential Dispatch 232/22, unique ID numbers in new
birth certificates, the pilot interoperability of the civil registry and ID databases, approval of an interoperability framework,
and de-bureaucratization and digitalization of high-impact services through the Simplifica initiative. The ID4D Ecosystem
Diagnostic Report and the companion piece, the ID Enabling Environment Assessment (IDEEA), conducted by the World
Bank is informing the Government’s deliberation on the selection of high-impact use cases for its digital ID, for example,
in the following:
• In social protection, with the expansion of the Kwenda cash transfer program (supported through the
Strengthening the National Social Protection System Project (P169779)).—and the introduction of cash
transfers in emergency situations—a unique ID system with a digitally verifiable ID could help identify eligible
beneficiaries, authenticate their identity to ensure beneficiary uniqueness, and verify their identity as they
receive payments.
• In the financial sector, one of the key reasons limiting the growth of DFS is the difficulties that providers
have satisfying KYC requirements. If digital IDs were rolled out, the more than 50 percent of the population
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excluded from the banking sector would be able to open low-value mobile money or bank accounts using
these Government-issued IDs.
• In education, digital IDs could increase student completion of primary education: one barrier to completion
is the requirement for students to present legal identification to continue studying past the Grade 6.
Additionally, digital IDs could help reduce fraud associated with the World Bank-financed secondary
scholarships program.
4. To ensure sustainable and productive uptake of the internet and digital services, focus on demand-side
interventions, particularly for the burgeoning youth population; entrepreneurs; and micro, small, and medium
enterprises (MSMEs), will be as critical to ensure digital inclusion. Of the active population, 11 million are employed or
carry out some paid activity, with 80 percent working in the informal sector. The numbers are even more concerning for
youth, since the unemployment rate for 15- to 24-year-olds is 52.9 percent. This is the highest unemployment rate by age
group, an indication of the economy’s inability to create economic opportunities for the growing population. Mor eover,
lack of job opportunities and low skill levels also disproportionately affect women in Angola.52 The overall ecosystem for
start-ups in Angola is in a nascent stage of development, with fewer than 1,000 start-ups currently operating.53 The
number of technology-based/technology-enabled start-ups is only 125. The existing Diversifica+ Project (P178035), and
additional activities led by the IFC, address the needs of MSMEs that are adopting digital models and legal and regulatory
barriers for start-ups. But gaps still exist in supporting digital start-ups, including early-stage financing. Increasing digital
access will be particularly important in the Lobito Economic Corridor, given its growing importance for Angola’s economic
diversification. Additionally, the limited availability of skilled professionals in digital and IT remains among the main
constraints for digital businesses in Angola. Firms report shortage of qualified software developers and engineers as one
of their key challenges. This is due to the low number of specialized professionals available. For example, in 2014, Angola
had only 596 graduates in IT.54
5. As uptake of the internet and digital services increases across Angola, the GoA will need to strengthen
cybersecurity and data protection capabilities to ensure that the digital space is safe for Angolans. According to the 2021
Global Cybersecurity Index, Angola ranked 31 out of 43 countries in Africa, with a score of 12.99 out of 100. The country
still needs to define its foundational policies, laws, and strategies, as well as institutions with the capabilities to detect,
respond to, and mitigate incidents. Angola’s recently established Data Protection Agency (Agência de Protecção de Dados,
APD) is updating its data protection law to be more in line with the Malabo Convention. The Cybersecurity Directorate
under the Ministério das Telecomunicações, Tecnologias de Informação e Comunicação Social (MINTTICS) is also working
to increase its capacity. Capacity building of these agencies is needed to ensure implementation of the legal frameworks.
B. Relevance to Higher-Level Objective
6. The proposed project is fully consistent with Angola’s recently approved 2023–2027 National Development
Plan, which is centered on human capital, infrastructure, and economic diversification. The project interventions will
directly support key programs under the National Development Plan including the promotion of digital literacy (Program
13) and digital entrepreneurship (17), the expansion of digital inclusion and connectivity (28), and the digitalization of the
public sector (28). The project is aligned with the World Bank’s Gender Strategy, with its focus on bridging gender gaps for
increased digital inclusion. The project is aligned with key pan-African and regional government initiatives, such as the
AU’s ‘Agenda 2063,’ and the World Bank’s DE4A Initiative.55
52 World Bank. 2020. Angola Poverty Assessment.
53 IFC and Startup Genome. 2023. Angola Startup Ecosystem Assessment.
54 UNESCO (United Nations Educational, Scientific and Cultural Organization). Angola Education and Literacy. http://uis.unesco.org/country/AO.
55 https://www.worldbank.org/en/programs/all-africa-digital-transformation.
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7. The project will support mobilization of private capital for digital infrastructure investments. The project will
contribute to the MFD agenda by promoting the participation of the private sector in the development of national
broadband networks, data infrastructure, and digital skills programs. The project will strategically leverage public funds to
directly support PCM, via investments in broadband network expansion through competitive tendering processes. The
project will also address key bottlenecks to commercial investments by developing enabling legal and regulatory
frameworks and demand stimulus that helps create markets, addressing identified market failures, in line with the cascade
approach.
8. The project is consistent with Angola’s NDC and will contribute to country’s efforts on climate change mitigation
and adaptation. Angola aims to reduce GHG emissions up to 24 percent by 2025 compared to the base year (2015).56 The
services sector, including telecommunications, is growing rapidly, accounting for over 40 percent of GDP.57 By integrating
low-carbon measures in telecom network activities, the project will contribute to reducing GHG emissions from the
growing telecommunications sector, such as by replacing copper cables with higher efficiency and energy-saving fiber
optic cables and supporting adoption of climate-informed guidelines and regulations in broadband connectivity
infrastructure. Angola’s NDC has also prioritized renewable energy solutions, to which the project will contribute, for
instance, by replacing diesel generator cellular base stations with solar powered cables. While Angola is yet to finalize its
National Adaptation Plan, the NDC outlines the need to build resilience in the national infrastructure and communities
vulnerable to climate disasters to which the project will contribute by integrating climate resilience measures in digital
connectivity infrastructure and provision of digitally enable services such as digital ID and emergency communication
response solutions for communities in climate hot spots.
C. Project Description
9. The PDO is to accelerate digital inclusion, increase access to digitally enabled services, and unleash digital
opportunities for the advancement of Angola’s digital economy, measured through the indicators shown in table 4.1.
Table 4.1. Results Framework for Angola
Indicators Baseline End Target
(June/2024) (October/2029)
PDO level indicators
People using broadband internet (number of people) 0 13,500,000
• of which female (number of people) 6,750,000
People with digitally verifiable identification (number of people) 0 10,000,000
• of which female (number of people) 5,000,000
People using digitally enabled services (number of people) 0 8,000,000
• of which female (number of people) 4,000,000
Firms that adopt or enhance digital technologies to offer digital services (additional number) 0 400
• of which female-led (number) 100
Volume of international data traffic: used international bandwidth in kbit/s per capita (number) 5.5 10
Intermediate results indicators
Private capital mobilized (US$, million) 0 80
Retail price of a standard package of mobile data services per month, as a share of GNI per capita 2.7 2
(percentage)
Number of adopted reforms (number) 0 10
People trained through digital literacy programs (number) 0 100,000,
50,000
56 https://unfccc.int/sites/default/files/NDC/2022-06/NDC%20Angola.pdf.
57 https://unfccc.int/sites/default/files/NDC/2022-06/NDC%20Angola.pdf.
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Graduates of advanced digital skills training programs (number) 0 5,000
• of which female 2,500
Available digital enabled services (number) 0 30
Proportion of users of digital public services who report being satisfied with service (percentage) 0 75
Completed transactions requiring digital authentication (number) 0 500,000
National CIRT established and operational (number) 0 1
Increased sales for beneficiary firms (percentage) 0 50
Firms that receive support from BDS/incubators that receive project support (number) 0 400
• of which female-owned 100
• of which youth-owned 100
Survival rate of beneficiary start-ups (Percentage) 0 25
• of which female-owned and -managed firms (Percentage) 25
Citizen engagement: Grievances registered that receive an adequate response within 30 days 0 100
(percentage)
Climate-related: National standard bidding documents for broadband deployment updated with 0 5
new climate resilience standards
10. The following paragraphs provide a brief description of the project’s components, the details of which are found
in the Financing Agreement, Technical Project Document, and Project Implementation Manual. The proposed project is
an IPF operation comprising five components (table 4.2).
Table 4.2. Proposed Project Components and Funds Allocation
Component Corresponding IBRD (US$, PCM
MPA Sub-pillar millions)
Component 1: Affordable Broadband Connectivity and Inclusion 100.0 —
1.1: Broadband Connectivity Program 1.1 75.9 30.0
1.2: Digital Inclusion Program 1.2 15.0 —
1.3: Broadband Internet Market Regulatory Reform 1.4 9.1 —
Component 2: Scaling-up Inclusive and Safe Digital Public Infrastructure 122.7 —
2.1: Foundations for Digital Governance 2.1, 2.2, 3.1 55.0 —
2.2: Digital ID 2.1 45.0 —
2.3: Re- and Up-skilling the Public Sector 3.2 10.0 —
2.4: Strengthening the Cybersecurity and Data Protection Foundations 2.2, 2.3 12.7 —
Component 3: Productive Digital Usage for Economic Opportunities 54.0 —
3.1: Digital Entrepreneurship Support Program 3.3 34.0 50.0
3.2: Boosting Digital Skills 3.2 20.0 —
Component 4: Project Management 22.6 —
Component 5: CERC 0.0 —
TOTAL 300.0a 80.0
Note: a. Includes 0.25 percent IBRD front-end fee (US$750,000).
11. Component 1: Affordable Broadband Connectivity and Inclusion. This component will increase access to
affordable and quality internet service, establish digitally enabled community spaces (that is, computer labs that offer
digital literacy training), and digital literacy programs for first-time users of digital devices and services. Financing through
the Broadband Connectivity Program is expected to catalyze a PCM ratio of 2.5:1 (US$75 million: US$30 million). This
estimation reflects consultations with private sector providers and government counterparts, binding constraints in terms
of available financing for network expansion including continued currency devaluation and declining oil revenue, as well
as the levels of development (GDP and Human Development Index), market size (population and revenue generated by
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users), and private sector interest. This component will have links to other development initiatives on developing the
Lobito Economic Corridor to ensure that broadband internet connectivity inputs are available for those initiatives. It will
also strengthen the legal and regulatory framework to dynamize competition in the broadband internet market. More
specifically it would finance the following activities:
• Subcomponent 1.1 will support(a) a broadband connectivity gap assessment to identify and prioritize
unserved or underserved geographic lots and public institutions such as schools, and cross-border
connectivity needs with neighboring countries to inform the design of the Broadband Connectivity Program;
(b) TA for the design and implementation of a competitive tendering process to be adopted by the Broadband
Connectivity Program; and (c) financing of the Broadband Connectivity Program that will, through
competitive tenders, award catalytic gap financing to extend broadband networks to enable inclusive
coverage through provision catalytic financing to private operators under a call for competitive tenders that
will cover CapEx costs for new construction, repair, and upgrade of the national backbone network
infrastructure (for example, copper to fiber cables) and last-mile access networks by following international
best practices for energy efficiency. It is envisioned for the Broadband Connectivity Program to provide
catalytic gap financing for the private sector, leveraging tender processes, such as the reverse auction or
other methods, which will ensure private sector financing is optimized and public financing minimized.
• Subcomponent 1.2 will support the design, establishment, and implementation of a grant mechanism for
nongovernmental organizations, community groups, and social associations to establish and manage
digitally enabled community spaces (such as computer labs) to increase digital inclusion (to be informed by
the broadband gap analysis under Subcomponent 1.1). A grant manual will be prepared before disbursement
of this activity. Support will be provided for the following: (a) financing of computer lab refurbishment; wiring
of offices and buildings for internet connectivity; hardware such as computers, printers, and scanners;
software for use of computer and the internet; and furniture and office supplies; (b) aggregated prepurchase
of internet bandwidth capacity for 10–15 years; and (c) assessment, design, and implementation of a
community-level, digital literacy program utilizing digital ‘agents’ or ambassadors, trained and supervised by
Fundo de Apoio Social (FAS), to impart a mobile-first approach, basic digital literacy, and digital financial
literacy skills (and other skills with tangible benefits) to underserved communities, based on the national
digital skills strategy to be developed under Subcomponent 3.2(b). Digital literacy programs will be tailored
to the needs of women, such as tying the digital literacy training to their livelihood and vocation, and
considering the appropriate time of day the training would be held, both at the computer labs and also within
the communities themselves, to ensure maximum inclusion. Trainings will focus on targeting underserved
communities.
• Subcomponent 1.3 will support strengthening of INACOM through (a) review and update of the telecom
sector legal and regulatory framework; (b) TA for telecom SOE reform potentially supporting activities such
as industrial cost accounting, revision of company statutes for telecom SOEs, and staff planning and
strategies, to reconcile SOE arears between telecom SOEs and public administration; (c) development of
secondary regulatory instruments following Presidential Decree no. 42/22 on infrastructure sharing,
including significant market power assessments, pricing guidelines, model contracts, and dispute resolution
mechanisms, and establishment of a live broadband infrastructure asset registry; (d) development of other
regulations such as number portability, national roaming, rights-of-way and interconnection regulations,
among others; (e) procurement of hardware and software for spectrum monitoring and management and
QoS monitoring; (f) development of guidelines and national protocols for climate-smart digital infrastructure
that will introduce tighter standards for energy efficiency and climate resilience in broadband infrastructure
and to be applied to infrastructure deployment under Subcomponent 1.1; and (g) capacity-building training,
workshops, and study tours to visit other regulators.
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12. Component 2: Scaling-up Inclusive and Safe Digital Public Infrastructure. This component will unleash innovation
in government and the private sector so that citizens can more easily access public and private services online. It will build
Angola’s DPI to put in place the framework and enabling environment for the growth of the country’s digital economy. It
will do this through four mutually reinforcing subcomponents aimed at (a) institutionalizing a whole-of-government
approach to digitalizing the public sector, (b) introducing a digital identification solution to enable Angola’s citizens to
digitally access public and private services, (c) sustainably building the next generation of the public sector workforce to
support the GoA’s adoption of digital solutions, and (d) creating a secure and trustworthy online space for economic and
social activities. Activities will focus on accessibility and inclusion and follow a mobile-first approach.
• Subcomponent 2.1 will support (a) update of the legal and regulatory framework to build the enabling
environment for the digital economy (including updating the ID, cybersecurity, cybercrime, and data
protection enabling legal and regulatory frameworks); (b) whole-of-government and citizen-centric Digital
Transformation Strategy; (c) TA to assess current and planned data hosting and data management needs; (d)
digitalization of high-impact public services; (e) interoperability platform (piloted through the Single Trade
Facilitation Window, financed through the Diversifica+ Project, P178035) and centralized GoA services
portal; (f) expansion of access to services portal through design, piloting, and rollout of kiosks in government
and community buildings; (g) PKI and e-signature platform; and (h) the GoA open data portal.
• Subcomponent 2.2 will support (a) design of the digital identity policy and strategy; (b) development of a of
a digital identity management system (using open standards); (c) implementation, piloting, and rollout of
the digital identity management system, including integration with the automated biometric identification
system and data protection by design aspects; (d) deployment of an online authentication platform that
enables integration with existing functional IDs within key public sectors and thus the layering of services
and support packages, as well as development of digital authentication and verifiable credentials for the
public sector, including soft and hard copy credentials (that is, ‘phygital’ approach) to help minimize
exclusion due to the digital divide; (e) provision of digital ID verification services for private sectors entities
to facilitate the offering of digital services, including those requiring proof of vital events; (f) development of
digital verifiable credentials; and (g) issuance of digital ID credentials for all existing BI holders, alongside
issuance of credentials and enrollment of traditionally marginalized groups such as PWDs to avoid
exclusionary risks. Dedicated registration events will be planned to ease access for women and their children,
and registration would be coupled with information on public services that they would be eligible for with
their new ID.
• Subcomponent 2.3 will support (a) a methodology to assess and monitor the digital skills level of the public
sector; (b) design and implementation of a public sector digital skills policy based on national digital skills
strategy to be developed under Subcomponent 3.2(b); (c) transition of the National School of Administration
and Public Policy (ENAPP) to offer online courses; (d) design, piloting, and scaling up of hybrid digital skills
programs and courses for ENAPP; and (e) scaling up of ENAPP’s collaboration with ADP and MINTTICS on
data protection and cybersecurity trainings and sensibilization for public servants and the general public.
Tailored courses will be designed for women to include awareness raising of how to protect oneself from on
extortion, fraud, and SH targeting women and children online.
• Subcomponent 2.4 will support (a) assessment of the current national cybersecurity maturity and
development of a National Cybersecurity Strategy and Implementation Plan; (b) establishment of a CIIP
framework; (c) establishment of incident response capabilities including designing and establishing a
CIRT/Security Operations Center; (d) capacity-building training; (e) design and delivery of cybersecurity skills
and awareness raising programs; (f) development of internal APD regulations and standards, guidelines,
codes of conduct, and certification schemes; (g) TA for the establishment of budget, staffing, capacity
building, and training plans; (h) TA for the establishment of M&E activities and development of simplified
and automated processes; and (i) support for twinning/partnerships opportunities with other regulators.
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13. Component 3: Productive Digital Usage for Economic Opportunities. Finally, the project will create more digital
opportunities for Angolans by leveraging economic opportunities of getting online and supporting their entrepreneurial
efforts as well as boosting digital skills adoption. This component will support the development of digital businesses and
entrepreneurs, including existing traditional businesses with the potential for digital adoption. The digital
entrepreneurship subcomponent will increase institutional capacity to support digital businesses, strengthen firm
capabilities through TA and funding, improve the product offer of incubators and business service providers, and increase
early-stage financing for digital entrepreneurs through acceleration programs. Financing through the acceleration
programs is expected to catalyze a PCM ratio of approximately 5.5:1 (US$50 million:US$9 million). This estimation reflects
calculations based on similar work in other countries and consultations with accelerators. It will also support the business
environment by building the country’s supply of digital skills and linking it to private sector demand. More specifically it
will finance the following:
• Subcomponent 3.1 will focus on strengthening the digital entrepreneur ecosystem by providing (a) TA to
strengthen the National Institute for the Support of Micro, Small, and Medium Enterprises (INAPEM),
including strengthening the existing one-stop-shop portal for business development, developing a
sustainable strategy for start-up support, and implementing key activities through the development of a
Start-up Angola Program, greater links with university programs to develop digital entrepreneurs, and
strengthening the start-up culture by organizing networking and learning events; (b) support to start-ups
and businesses developing digital products to diagnose needs, provide vouchers to select firms to purchase
TA from business service providers, and provide matching grants for select firms with innovative ‘proof of
concept’ ideas to implement; (c) TA for various incubators and business service providers to strengthen their
service offerings for digital start-ups and firms developing digital products and encourage new digital start-
ups; and (d) establishment of acceleration programs focusing on digital start-ups. The matching grant
program will include priority amounts/windows for women-, PWD-, and youth-owned or youth-managed
businesses. A dedicated grant window for women will tailor criteria to their needs. A manual for this
subcomponent, including the matching grants, will be prepared before disbursement of this activity. Similar
to the Diversifica+ Project, the subcomponent will include a focus on firms and business service providers in
the Lobito Economic Corridor.
• Subcomponent 3.2 will support the GoA in developing and implementing a national strategy for the provision
of basic, intermediate, and advanced digital skills training that is focused on empowering the youth and
underemployed so they can obtain better jobs, and to ensure supply of human capital needed to grow the
digital economy. Activities would include (a) a needs assessment to determine demand and supply of basic,
intermediate, and advanced digital skills required by the public and private sectors; (b) national digital skills
strategy and implementation plan to inform Subcomponents 1.2, 2.3, and 3.2; (c) design and implementation
of a digital skills development program to tackle youth unemployment based on findings from the needs
assessment; (d) TA with a gender lens to the design of dedicated programs for the development of IT
capabilities focused on women; (e) financing, designing, and expanding basic, intermediate, and advanced
digital skills courses/programs working with relevant government agencies, private providers, entrepreneur
support organizations, TVETs, and neighborhood associations; and (f) internet connectivity and hardware
and software such as computers to the National Labour and Professional Training Institute . The training
programs will include specific targets to encourage maximum participation of women and girls, to promote
greater opportunities for them in digitally enabled professions and businesses, and PWDs.
14. Component 4: Project Management and Implementation Support. This component will finance project
management and implementation of project-associated activities, including staffing and operating costs of the PIU,
independent audits and quality assurance, and M&E to support implementation and ESF compliance.
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15. Component 5: Contingency Emergency Response Component (CERC). In recognition of Angola’s vulnerability to
shocks, a CERC is included to help respond swiftly to eligible crises and emergencies.
D. Project Beneficiaries
16. The proposed project aims to benefit the entire Angolan population, particularly the digitally excluded. These
include women, PWDs, and people in low-income areas. Citizens and businesses in peri-urban and rural areas underserved
by the digital economy will benefit from increased access to affordable and quality internet. They will also be able to
leverage digital ID to access public and private services in a more secure digital marketplace owing to robust cybersecurity
and data protection institutions and frameworks in place. Public servants and digital entrepreneurs will benefit from
upskilling and reskilling and support to productively leverage digital solutions.
E. Institutional and Implementation Arrangements
17. The GoA selected the Instituto de Modernização Administrativa (IMA) to implement and coordinate the project,
as well as house the PIU, due to its central position in the Government and coordination role in implementing the
Government’s digital transformation agenda. IMA sits under the Minister of State and Chief of Staff Office, within the
Presidency. Two committees will be formed through a Presidential Decree to ensure interministerial coordination and
coordination with the rest of the World Bank country portfolio: (a) a Steering Committee to be chaired by the minister
and will comprise ministers from participating ministries for strategic direction and (b) a Technical Committee, chaired by
IMA’s director and composed of directors from the project’s implementing ministries and agencies. The Technical
Committee will convene relevant government MDAs on a more regular basis to support key technical-level decisions that
require broader agreement, escalating issues to the Steering Committee, where needed. Both the Steering Committee
and Technical Committees will provide a continuous platform for cross-sectoral coordination, building on the government
working group established during the project preparation phase. Related arrangements will be further detailed in the PIM.
The Steering Committee’s mandate will also include sustainability of implementation arrangements beyond the project
life cycle and ensuring coordination between all digital transformation initiatives.
Figure 4.1. Project Implementation Arrangements
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F. Appraisal Summary
18. Implementation readiness. The GoA is ready to implement the project. A PPA was signed on January 8, 2024, to
finance the hiring of PIU staff and commence preparatory and key feasibility studies. As of May 2024, the A-ESRS has been
cleared, the client has prepared and disclosed the SEP and ESCP, and the PPSD was approved. Other Environmental and
Social Framework (ESF)_instruments and manuals are being developed and should be finalized within the next few
months.
19. The project is aligned with the Paris Agreement on both mitigation and adaptation goals.
• Assessment and reduction of mitigation risks. The project will contribute to the country’s low-carbon
development goals by prioritizing renewable energy to power the digital connectivity infrastructure and
integrating energy efficiency requirements. A site-specific preliminary assessment will be conducted to
identify energy efficiency measures for the refurbishment of computer labs and best-possible lower
GHG/energy efficiency measures (that are economically and technically feasible) will be incorporated. Where
there is no grid connection available for computer labs in rural areas, renewable energy or hybrid-powered
energy systems would be utilized. The IT equipment (computers, printers, and scanners) and other electrical
equipment such as air conditioning units will be energy efficiency certified. These measures will ensure
project activities are considered aligned with mitigation goals in that the carbon lock-in and transition risks
associated with the project are low.
• Assessment and reduction of adaptation risks. The main climate risks likely to affect project investments
are intense rainfall and floods (for example, flooding can damage terrestrial cables, see annex 6 for more
information on climate risks). To manage these risks, the project will finance climate-informed guidelines
and accordingly integrate adaptation measures to strengthen climate resilience of digital connectivity
infrastructure (see annex 6 for details). The refurbishment of computer lab rooms will include site-specific
climate risk assessments to determine the need for adaptation measures, and adequate measures will be
integrated to ensure the adaptation risks are reduced to an ‘acceptable’ level.
20. FM. The project’s FM arrangements were assessed in line with the guidelines in the World Bank Directive Financial
Management Manual for World Bank Investment Project Financing (IPF) Operations issued September 7, 2021 (OPS5.05-
GUID.180), and effective on March 1, 2010, to determine if the project has acceptable FM arrangements in place that
satisfy the World Bank’s minimum requirements. Based on this assessment, the overall FM arrangements of the project
were assessed as adequate, with Substantial residual FM risk. The following actions need to be taken to ensure that
acceptable FM arrangements are in place: (a) appoint two finance staff from IMA to be fully dedicated to the project
during implementation; (b) recruit an internal auditor to work as a staff of IMA and appoint a staff to be fully dedicated
to project implementation, no later than three months after project effectiveness; (c) World Bank shall conduct an FM
and disbursement training on bank requirements and procedures for the FM staff and other officials in the project, (d)
adopt the PIM, which includes administrative, accounting, and financial procedures; (e) Use the Sistema Integrado de
Gestão Financeira do Estado accounting module to generate financial information in Excel and populate the reports in a
format agreed upon with the World Bank; and (d) recruit the external auditors no later than six months after project
effectiveness.
21. Procurement. Procurement of input-based (procurable) items under the project will be carried out in accordance
with the World Bank Procurement Regulations for Borrowers under Investment Project Financing, dated September 2023;
Guidelines on Preventing and Combating Fraud and Corruption in Projects Financed by IBRD Loans and IDA Credits and
Grants, revised July 1, 2016; and the provisions stipulated in the Financing Agreement. The PPSD has been prepared by
the client and cleared by the World Bank on May 6, 2024. The PPSD, prepared by IMA, sets out market approaches and
selection methods to be followed during project implementation. Optimum procurement strategies on how fit-for-
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purpose procurement of activities will support project operations for the achievement of PDOs and deliver value for
money. Based on the PPSD findings, the Procurement Plan for the first 18 months was prepared, setting the selection
methods to be used by the borrower for main contracts under the project. The Procurement Plan will be updated at least
every 12 months, or as required, to reflect the actual project implementation needs. Each update shall require World Bank
approval and will be publicly disclosed in accordance with the World Bank disclosure policy. The procurement activities
for the project will be managed by IMA, where the PIU will be located. IMA presides under the Ministro de Estado e Chefe
de Casa Civil. Procurement activities under IMA are implemented in accordance with the Angolan Procurement Law IMA.
The PIU established under IMA will have the full responsibility to undertake procurement activities according to the World
Bank’s Procurement Regulations. The Procurement Plan for the activities will be managed through the World Bank’s
tracking tool, STEP.
22. Environment and social. The environmental and social risk rating is Moderate at appraisal owing to activities that
may involve small civil works associated with excavation and ground works due to network and power lines installation,
demolition, drilling, or rehabilitation of buildings and installation of power backup stations. Key environmental and social
risks and impacts expected are associated with occupational health and safety concerns, including (a) physical hazards,
injuries, and accidents; (b) community health and safety issues, noise, and vibration; (c) electronic waste management
issues; (d) involuntary resettlement due to land acquisition and physical and economic displacement during the expansion
of connectivity works; (e) possible SEA/SH risks resulting from conditional benefits access, due to limited availability of
places on digital entrepreneurship initiatives and other training vacancies in the project activities; (f) minor labor influx
risks, including sexually transmitted infections, teenage pregnancies, and early marriage; and (g) risks of social conflicts
and population discontent resulting from limited access to new digital services, especially for those who do not have
devices or internet access to benefit from the services provided by the project. During project implementation, there will
be occupational health and safety risks specific to optical fiber cables. Subcomponent 2.3 also plans to support
procurement of hardware and software, which could result in an increase in e-waste. To address these risks and impacts,
IMA will prepare an ESCP, SEP, ESMF, LMP, RFP, Indigenous Peoples Plan (IPP), and Entitlement Matrix and Resettlement
Plans or Livelihood Restoration Plans, as needed, proportional to the affected areas. IMA will hire and maintain at least
one dedicated environmental specialist and one social specialist, whose skills and experience will be determined as part
of the Environmental and Social Assessment. These specialists will be complemented with other relevant experts and will
be responsible for the oversight of environmental and social aspects of the project, including the drafting of the
environmental and social risk management instruments.
23. Stakeholder engagement. The project conducted a series of consultations for development of the SEP, which
outlines both institutional and citizen engagement strategies for the project life cycle. It includes dialogue mechanisms for
project stakeholders and project-affected people, including surveys, public meetings, focus group discussions, radio
debates, and so on. Additionally, a grievance redress mechanism will be established, with capabilities for stakeholders to
submit complaints and suggestions through the project's communications platform. This will be complemented by
satisfaction surveys, which will be integrated into the overall monitoring process to flag opportunities and challenges
related to the project activities and improve approaches throughout the project life cycle and ensure that the project is in
line with the expectations and needs of the population, particularly, minority populations and/or disadvantaged groups.
24. Economic and financial analysis. Overall results indicate that the project design and planned interventions should
produce economic and financial returns for the country, highlighted by positive NPVs and IRRs, except in the pessimistic
scenario. The NPV in the neutral scenario is estimated at US$18.19 million, with an IRR of 29 percent over a 10-year period.
For the optimistic and pessimistic scenarios, the NPVs and IRRs were US$48.66 million and 37 percent, and –US$8.03
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million and 21 percent, respectively. The model was discounted at 23 percent,58 and according to the results from the
neutral and optimistic scenarios, the project is feasible, with positive NPVs and IRRs above the discount rate. Although the
parallel exchange rate can is high (up to 20 percent) in Angola, the grand majority of project expenditures are in US dollars,
and thus the impact is negligible. The project impacts may go beyond the calculated estimated results, since there are
some activities, especially those related to cybersecurity and data protection, that could produce economic and social
gains. These gains may come from the increase of online services and transactions that could occur from the improvement
of safety and trust of the digital workspace. But these impacts are hard to measure not just due to their nature but also
because the country lacks data on the losses that were incurred from the multiple cyberattacks59 over the years.
G. Key Risks
25. The overall risk for the project in Angola is Substantial. The following paragraphs provide information on risks
rated Substantial.
(a) Political and governance risk is rated Substantial. Risks associated with significant state ownership and
vested interests in the supply side of the telecoms market, hampering real market competition, is significant
and could pose risks to achieving the development outcomes of the project if the reforms are not carried
out. The GoA has already taken steps to address this, including preparations for privatization of SOEs and
award of a new license in 2022. Mitigation measures to ensure good governance of the sector would include
(i using open and competitive tendering for deployment of infrastructure, (ii) strengthening regulatory
oversight to enhance competition, and (iii) providing support through a joint World Bank -IFC team to
telecom sector reforms. Another potential political risk is low trust around the digital ID solution, given the
challenges associated with the GoA’s foundational ID. To mitigate this risk, the team has conducted in-depth
analytical work to identify legal, regulatory, and institutional reforms necessary and front-loaded these
activities within the project before launching the digital ID. The team is supporting APD with TA and updates
to the country’s data protection law, and has planned as one of the project’s first activities the strengthening
and modernization of the enabling legal and regulatory environment.
(b) Macroeconomic risks are Substantial. The country remains dependent on oil and drops in price can still
cause economic shocks to the country, which could lead to alterations to the cautious current fiscal policy
and debt weight percentage of the GDP. This, together with continued currency depreciation, could increase
the cost of importing telecom hardware and equipment. To mitigate this, the project expects to collaborate
closely with telecommunications operators and digital start-ups, to leverage private and foreign investments
when possible.
(c) Sector strategies and policies risk are Substantial. There are overlaps in mandate between IMA and the
other technical MDAs and some of the implementation arrangements, in particular for broadband
infrastructure deployment need to be clarified further. For example, the leadership and implementation
arrangements for the Broadband Connectivity and Digital Inclusion Programs remain unclear, as it needs to
address the needs of the project and national objectives, which still need to be discussed at the Steering
Committee level (to be established by a Presidential Decree and which will oversee the GoA’s digital agenda
more broadly and include the proposed project). Another example is in the area of cybersecurity, the decree
that creates IMA gives it a broad mandate over the digital systems and platforms of public administration,
including ensuring their cybersecurity. MINTTICS’s Cybersecurity Directorate, on the other hand, holds the
58 The discount rate used for the calculations is 23.3 percent, which was derived from adding lending interest rate in Angola in 2023, plus a spread
reflecting the project risk and nuances. The rate is in line with Angolan Central Bank reference lending rates.
59 According to INACOM, Angola was the second African country with the most cyberattacks. https://inacom.gov.ao/ao/noticias/angola-e-o-
segundo-pais-em-africa-com-maior-registo-de-ciberataques/.
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policy and operational mandate over cybersecurity, meaning that responsibility for the cybersecurity of the
public administration’s digital platforms and systems is unclear. To mitigate the coordination risk, the
Steering Committee, once established, will be tasked with determining how to delineate responsibilities and
ensure coordination for both cybersecurity and broadband/digital inclusion programs, as well as other key
activities under the project. Memoranda of Understanding will also be signed between IMA and the relevant
MDA for subcomponents 1.1, 1.2, 1.3, 2.2 and Implementation Agreement to be signed by IMA and the
relevant MDAs for subcomponent 3.1. The national telecom regulator, INACOM, requires further autonomy
and capacity to oversee an increasingly dynamic broadband sector. To mitigate this risk, the project will build
INACOM’s capacity to enforce its regulations.
(d) FM risk is rated Substantial. The FM assessment was carried out in accordance with the World Bank Directive
Financial Management Manual for World Bank Investment Project Financing (IPF) Operations, issued on
September 7, 2021, determined that IMA, the implementing agency, can provide reasonable assurance that
financing proceeds will be used for their intended purposes, adhering to the principles of economy,
efficiency, effectiveness, transparency, and accountability. Regardless, substantial residual risk remains.
Mitigating factors were detailed under the Appraisal Summary section.
(e) Procurement risk is rated Substantial. A procurement capacity risk assessment was carried out in
accordance with the World Bank’s Procurement Regulations for Borrowers under Investment Project
Financing, dated September 2023 and as amended over the time. The project will be subject to the World
Bank ’s Anticorruption Guidelines, dated October 15, 2006, revised in January 2011, and July 1, 2016, and
other provisions stipulated in the Financing Agreement. The project will use the STEP tool to plan, record,
and track procurement transactions. During project preparation, a PPSD will be prepared by the borrower,
with the World Bank’s support. Capacity of the implementing agency will be assessed during appraisal and
adequate measures will be proposed to ensure that the project has strong procurement arrangements in
place with adequate staff and procedures. Since this is the first World Bank operation to be managed by IMA,
significant mitigation measures must be taken to address residual risk (see above, under Appraisal
Summary).
(f) Climate and disaster risk is rated Substantial. The country is exposed to high risk of flood, which may
adversely affect digital infrastructure by damaging fiber optic networks and microwave networks, for which
the project will be financing deployment. Soft components such as TA for developing climate-resilient and
low-carbon digital network connectivity will help mitigate the risk. Additionally, support for digital skills
training will allow vulnerable populations to receive emergency alerts and weather information on devices,
which will help improve their resilience (see Annex 6 for more details on adaptation and mitigation).
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ANNEX 5: Republic of Malawi
Task Team Leaders: Luda Bujoreanu and Tim Kelly (IDD04)
Core Team: Paul Ndungutse, (IDD04), Justina Kajange (IDD04), Komana Rejoice Lubinda (EAERU ), Anthony Aggrey Msendema (EAERU),
Davies Madalitso Luhanga (SAES2), Mercy Chimpokosera-Mseu (SAEE2), Trust Chamukuwa Chimaliro (EAEG1); Alex Twinomugisha
(HEDGE) and Efrem Chilima (EAEF1); Thea Hilhorst (DECSI); Thibault Foucher (IFC), Chipo Msowoya (HAES1), Esther Lozo (AEMMW);
Elizabeth Mangani (AEMMW); George da Silva, Sandra Kuwaza (WFACS), and Edith Ruguru Mwenda (LEGAM).
@#&OPS~Doctype~OPS^dynamics@padbasicinformation#doctemplate
DATASHEET
BASIC INFORMATION
Project
Operation Name
Beneficiary(ies)
Malawi Digital Malawi Acceleration Project (DMAP)
Environmental and Social Risk
Operation ID Financing Instrument
Classification
Investment Project
P505095 Substantial
Financing (IPF)
@#&OPS~Doctype~OPS^dynamics@padmpaprocessing#doctemplate
Financing & Implementation Modalities
[✓] Multiphase Programmatic Approach (MPA) [ ] Contingent Emergency Response Component (CERC)
[ ] Series of Projects (SOP) [ ] Fragile State(s)
[ ] Performance-Based Conditions (PBCs) [ ] Small State(s)
[ ] Financial Intermediaries (FI) [ ] Fragile within a non-fragile Country
[ ] Project-Based Guarantee [ ] Conflict
[ ] Deferred Drawdown [ ] Responding to Natural or Man-made Disaster
[ ] Alternative Procurement Arrangements (APA) [ ] Hands-on Expanded Implementation Support (HEIS)
Expected Approval Date Expected Closing Date Expected Program Closing Date
27-Jun-2024 31-Oct-2030 31-Oct-2032
Bank/IFC Collaboration Joint Level
Yes Complementary or Interdependent project requiring active coordination
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@#&OPS~Doctype~OPS^dynamics@padmpa#doctemplate
MPA Program Development Objective
MPA FINANCING DATA (US$, Millions)
MPA Program Financing Envelope 2,480.00
with an additional request to IBRD 5.28
with an additional request to IDA 86.00
Proposed Development Objective(s)
Increase access to, and inclusive use of, the internet and improve the Government's capacity to deliver digitally enabled
services.
Components
Component Name Cost (US$)
1. Affordable broadband and secure data hosting 110,000,000.00
2. Interoperable and secure data platforms 45,000,000.00
3. High-impact digital services and productive digital usage 35,000,000.00
4. Program management 10,000,000.00
Organizations
Borrower: Republic of Malawi
Implementing Agency: Public Private Partnership Commission
MPA FINANCING DETAILS (US$, Millions)
Board Approved MPA Financing Envelope 0.00
MPA Financing Envelope: 2,480.00
of which Bank Financing (IBRD): 440.00
of which Bank Financing (IDA): 2,040.00
of which Other Financing sources: 0.00
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@#&OPS~Doctype~OPS^dynamics@padfinancingsummary#doctemplate
PROJECT FINANCING DATA (US$, Millions)
Maximizing Finance for Development
Is this an MFD-Enabling Project (MFD-EP)? Yes
Is this project Private Capital Enabling (PCE)? Yes
SUMMARY
Total Operation Cost 90.00
Total Financing 90.00
of which IBRD/IDA 70.00
Financing Gap 0.00
DETAILS
World Bank Group Financing
International Development Association (IDA) 70.00
IDA Grant 70.00
Non-World Bank Group Financing
Commercial Financing 20.00
Unguaranteed Commercial Financing 20.00
IDA Resources (US$, Millions)
Guarantee
Credit Amount Grant Amount SML Amount Total Amount
Amount
National
Performance-Based 0.00 70.00 0.00 0.00 70.00
Allocations (PBA)
Total 0.00 70.00 0.00 0.00 70.00
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Expected Disbursements (US$, Millions)
WB Fiscal
Year 2024 2025 2026 2027 2028 2029 2030
Annual 0.00 11.00 15.00 15.00 10.00 10.00 9.00
Cumulative 0.00 11.00 26.00 41.00 51.00 61.00 70.00
@#&OPS~Doctype~OPS^dynamics@padclimatechange#doctemplate
PRACTICE AREA(S)
Practice Area (Lead) Contributing Practice Areas
Social Protection & Jobs; Finance, Competitiveness and
Digital Development
Innovation; Education; Urban, Resilience and Land
CLIMATE
Climate Change and Disaster Screening
Yes, it has been screened and the results are discussed in the Operation Document
@#&OPS~Doctype~OPS^dynamics@padrisk#doctemplate
SYSTEMATIC OPERATIONS RISK- RATING TOOL (SORT)
Risk Category Rating
1. Political and Governance ⚫ Moderate
2. Macroeconomic ⚫ Moderate
3. Sector Strategies and Policies ⚫ Moderate
4. Technical Design of Project or Program ⚫ Moderate
5. Institutional Capacity for Implementation and Sustainability ⚫ Moderate
6. Fiduciary
No Fiduciary risk rating under Preparation Phase has been completed in
Financial Management System to date. ⚫ Moderate
Procurement Risk rating from Specialist:
⚫Moderate as of 2024-05-30T00:00:00Z
7. Environment and Social
Environment Risk rating from Specialist: ⚫ Substantial
⚫Moderate as of 2024-05-20T11:44:14Z
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Social Risk rating from Specialist:
⚫Substantial as of 2024-05-20T11:44:14Z
8. Stakeholders ⚫ Substantial
9. Other ⚫ Substantial
10. Overall ⚫ Substantial
Overall MPA Program Risk ⚫
@#&OPS~Doctype~OPS^dynamics@padcompliance#doctemplate
POLICY COMPLIANCE
Policy
Does the project depart from the CPF in content or in other significant respects?
[ ] Yes [✓] No
Does the project require any waivers of Bank policies?
[ ] Yes [✓] No
ENVIRONMENTAL AND SOCIAL
Environmental and Social Standards Relevance Given its Context at the Time of Appraisal
E & S Standards Relevance
ESS 1: Assessment and Management of Environmental and Social Risks and
Relevant
Impacts
ESS 10: Stakeholder Engagement and Information Disclosure Relevant
ESS 2: Labor and Working Conditions Relevant
ESS 3: Resource Efficiency and Pollution Prevention and Management Relevant
ESS 4: Community Health and Safety Relevant
ESS 5: Land Acquisition, Restrictions on Land Use and Involuntary Resettlement Relevant
ESS 6: Biodiversity Conservation and Sustainable Management of Living Natural
Relevant
Resources
ESS 7: Indigenous Peoples/Sub-Saharan African Historically Underserved
Not Currently Relevant
Traditional Local Communities
ESS 8: Cultural Heritage Relevant
ESS 9: Financial Intermediaries Not Currently Relevant
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NOTE: For further information regarding the World Bank’s due diligence assessment of the Project’s potential
environmental and social risks and impacts, please refer to the Project’s Appraisal Environmental and Social Review
Summary (ESRS).
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LEGAL
Legal Covenants
Sections and Description
The Recipient shall establish, not later than sixty (60) days after the Effective Date, and thereafter maintain throughout
the implementation of the Project, a Project steering committee with composition, functions, and resources
satisfactory to the Association, to be responsible for, inter alia, providing overall strategic guidance on the
implementation of the Project (“Project Steering Committee” or “PSC”
The Recipient shall establish, not later than sixty (60) days after the Effective Date, and thereafter maintain throughout
the implementation of the Project, a Project technical committee, with composition, functions, and resources
satisfactory to the Association, to be responsible for, providing inputs to the PSC and Project Implementing Unit (PIU)
on technical issues including major investments such as for connectivity, digital ID, and allocation of grants to tech hubs
(“Project Technical Committee” or “PTC”)
The Recipient shall cause PPPC to, not later than ninety (90) days after the Effective Date, enter into separate legal
arrangements acceptable to the Association, with MAREN, National Registration Bureau, and MACRA, respectively,
setting out the respective roles and responsibilities of the PPPC and each of MAREN, the National Registration Bureau,
and MACRA, respectively, as may be further provided in the PIM
The Recipient shall cause the PPPC to not later than sixty (60) days after the Effective Date, appoint to the PIU and
thereafter maintain throughout the implementation of the Project, an environmental specialist and a social specialist
with qualifications, experience and under terms of reference satisfactory to the Association.
@#&OPS~Doctype~OPS^dynamics@padconditions#doctemplate
Conditions
Type Citation Description Financing Source
The Recipient has prepared
and adopted the Project
Implementation Manual in
Effectiveness 5.01 (a) accordance with the IBRD/IDA
provisions of Section I.C(1)
of Schedule 2 to this
Agreement.
The Recipient has prepared
and executed a Subsidiary
Agreement with PPPC, in
Effectiveness 5.01 (b) IBRD/IDA
form and substance
satisfactory to the
Association.
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The Recipient has
prepared, consulted on,
adopted, and disclosed an
Environmental and Social
Management Framework
including the following
annexes: (i) a GBV/Sexual
Exploitation and
Abuse/Sexual Harassment
Prevention and Response
Action Plan; (ii) E-Waste
Effectiveness 5.01 (c) Management Plan; and (iii) IBRD/IDA
Occupational Health and
Safety Plan; and (b)
Resettlement Policy
Framework, and (c) the
Labor Management
Procedures - all in form and
substance satisfactory to
the Association and in
accordance with the
Environmental and Social
Commitment Plan
the Recipient has updated
and disclosed the grievance
mechanism for the Project,
Effectiveness 5.01 (d) IBRD/IDA
in form and substance
satisfactory to the
Association.
No withdrawal shall be
made under Category (2)
unless and until the
Association has received
the Commercial
Transactions Manual
including: (i) the template
Disbursement B. 1. (b) IBRD/IDA
form of a Sub-Project
Agreement duly adopted
by the Recipient, detailing
the modalities for Sub-
Projects; and (ii) draft
bidding documents and
proposed safeguards to
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ensure competitive
tendering - all in form and
substance satisfactory to
the Association.
No withdrawal shall be
made under Category (3)
unless and until the
Association has received
the Grants Manual,
including: (i) draft call for
expressions of interest
from tech hubs, specifying
Disbursement B. 1. (c) IBRD/IDA
expectations for their
performance; and (ii) draft
call for expressions of
interest from digital start-
ups and high-growth firms,
to receive matching grants,
specifying expectations for
their performance.
No withdrawal shall be
made under category (4)
unless and until the
Recipient has an
information technology
Disbursement B. 1. (d) authority law, acceptable IBRD/IDA
to the Association, as part
of its information,
technology, and
communication legal
framework.
A. Sector Context
1. Malawi has a relatively competitive telecommunications market, with three licensed mobile operators (Airtel,
TMN, and ACL), at least six ISPs, and an experienced regulatory authority, Malawi Communications Regulatory Authority
(MACRA). However, the growth of the market is constrained by low incomes and relatively high prices, compounded by
high excise duties on imported ICT equipment. Internet penetration, at around 24 users for every 100 inhabitants, is below
the AFE regional average of 28 percent. During the implementation period of the Digital Malawi Foundations Project SOP-
1 (P160433; 2017–2024), the wholesale price of international internet bandwidth was reduced to below 10 percent of its
previous level, but at around US$35 per Mbit/s, it is still well above the typical price of below US$5 experienced in coastal
countries such as Kenya. A monthly data bundle of 2 GB costs almost 10 percent of the annual GNI per capita. However,
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the market entry of LEO satellite operator, StarLink, in October 2022, may bring greater price competition and provide
new connectivity options in rural areas.
2. Digitalization can be a powerful tool for development in Malawi, transforming service delivery in key sectors
and creating employment opportunities as well as assisting in tackling challenges such as climate vulnerability and
health emergencies. Given the importance of the digital economy for increased productivity and efficiency, its potential
benefits are amplified in the context of addressing natural disasters and health pandemics, as demonstrated during the
COVID-19 pandemic. Malawi will increasingly need to rely on digital technologies to ensure that public services,
businesses, and individuals are able to withstand current and future hazards and develop a set of resilience measures, to
ensure business continuity of government and avoid interruptions in service delivery. Under Digital Malawi, an emergency
program of over 100 public WiFi hotspots was rolled out in schools, post offices, markets, community centers, and airports
as well as internet connectivity to over 80 HEIs, which allowed continued learning during the pandemic, when on-site
access was limited due to lockdowns. A combination of widespread access to broadband, digitally enabled services, and
payments can offer a powerful platform to remove barriers of distance, lower costs and improve efficiencies in the delivery
of services, and create new job opportunities and improve human development, while also contributing to economic
growth and reduced poverty.
3. Malawi is included in the first phase of countries in the IDEA MPA, with an appraisal amount of US$150 million60
in national and regional IDA, plus a further US$50 million expected to be leveraged in UCF from the private sector. The
project design follows a One World Bank approach with close coordination between the IDA team, IFC and MIGA. The
Government of Malawi, by a letter of December 18, 2023, requested that Malawi be included in this new regional program.
B. Relevance to Higher-Level Objective
4. The project is fully aligned with the World Bank’s CPF for Malawi FY21–25,61and will support all three pillars of
bolstering the foundations for growth and accountability, promoting private sector-led jobs and livelihoods, and
strengthening human capital development. The project also responds to the AU’s Digital Transformation Strategy, which
calls for achieving universal access by 2030. In line with UN Sustainable Development Goal 9, the 2022 Dakar Call to Action,
and Agenda 2063, IDEA will advance the ‘Single Digital Market Framework’ for East Africa,62 reducing barriers for regional
telecom infrastructure and digital services across borders. It will also aid in narrowing gender gaps in alignment with the
upcoming World Bank Gender Strategy (FY24–30).
5. The project is consistent with Malawi’s NDCs and will contribute to country’s efforts on climate change
mitigation and adaptation. Malawi aims to reduce GHG emissions by up to 51 percent by 2040 as compared to a business-
as-usual scenario.63 Emissions from the digital sector are low but will grow as Malawi becomes increasingly digitized. By
integrating low-carbon measures in telecom network investment, as specified in annex 6, the project will contribute to
reducing GHG emissions from the growing digital sector. On adaptation, the NDC focuses on: (a) developing climate-
proofed infrastructure, buildings, and energy systems; (b) advancing an effective early warning system and integrating
disaster risk management in all sectors and programs; and (c) flood, drought, and integrated watershed management.
Malawi’s CCDR identifies the need to build infrastructure to withstand climate shocks and stressors as one of the three
60
The country is committed to expanding the Program's scope in the near future. Thus, the overall investment in Malawi is split into two
operations commensurate to the existing implementation capacity (US$70 million in the first operation and US$80 million in the second, thus
totaling the US$150 million appraised amount). This approach is deemed necessary to ensure the successful implementation of the Program in the
country.
61 Malawi - Country Partnership Framework for the Period FY21–FY25 (English). Report No. 154505-MW. Washington, DC: World Bank Group.
62 World Bank. 2019. Single Digital Market for East Africa. Report 136699. Washington, DC.
63 Under its updated NDC, Malawi adopted economy-wide targets for cutting GHG emissions 6 percent unconditional, plus a further 45 percent
conditional on support by 2040. https://unfccc.int/sites/default/files/NDC/2022-
06/Malawi%20Updated%20NDC%20July%202021%20submitted.pdf.
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top priorities.64 The project directly supports and enables Government’s adaptation priorities, by integrating climate
resilience measures in digital connectivity infrastructure and providing access to digital connectivity and hence digitally
enabled services such as digital ID and emergency communication response facilities for communities in climate hot spots.
C. Project Description
6. The PDO is to increase access to, and inclusive use of, the internet and improve the government's capacity to
deliver digitally enabled services. The Results Framework is aligned with the overall IDEA MPA and is set out in table 5.1.
Table 5.1. Results Framework for DMAP
Indicators Baseline End Target
(2022) (Oct 2030)
PDO-level indicators
People using broadband internet (number of people) 0 7,500,000
- of which female 0 3,750,000
People with digitally-verifiable identification (number of people) 0 2,000,000
- of which female 0 1,000,000
People using digitally enabled services (number of people) 0 2,000,000
- of which female 0 1,000,000
Volume of international data traffic: used international bandwidth in kbit/s per capita (number) 9.5 25
Intermediate results indicators
Component 1: Affordable broadband and secure data hosting
Kilometers of fiber optic network added (number) 0 2,000
- Of, which, climate resilient and energy efficient 0 1,600
Public institutions provided with new or improved access to broadband (additional, number): 0 2,500
- Of, which, educational institutions 0 2,000
- Of which, other Government institutions 0 500
Government data governance frameworks, including data classification and cloud policies, enacted 0 3
and mandated for use (number)
Number of entities hosting their data in the national data center 0 25
- Of which public entities 0 20
of which private entities (through colocation) 0 5
Component 2: Interoperable and safe data platforms
Number of entities on-boarded onto the government exchange platform 9 25
- Of which, public entities 9 25
- Of which, private entities 0 5
Retail price of a standard package of mobile data services per month, as a share of GNI per capita 9.4 4
(percentage)
Component 3: High impact digital services and productive digital use
People enrolled in digital skills training programs supported by the project (number) 0 10,000
- Of which, female 0 5,000
Graduates of advanced digital skills training programs (number) 0 1,000
- Of which, female 0 500
Successful digital authentications in the context of service delivery (number) 0 5,000,000
People using digital payments (additional number, millions, age 15+) 0 3
- Of which, female 0 1.2
Component 4:
Private capital mobilized (US$, millions) 0 50
64 World Bank. 2022. Malawi Country Climate and Development Report. CCDR Series. Washington, DC: http://hdl.handle.net/10986/38217.
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Indicators Baseline End Target
(2022) (Oct 2030)
Citizen engagement indicator: Grievances registered that receive an adequate response within 30 0 80
days (percentage)
7. This project is an integral part of the regional IDEA MPA. The following is an overview of the project’s components
(table 5.2). More details can be found in the Financing Agreement, the project’s Technical Document, and the Project
Implementation Manual.
Table 5.2. Project Components and Funds Allocation
Component Regional IDA National PCM Total (US$, Total (US$,
(US$, IDA (US$, (US$, millions) millions)
millions) millions) millions) Phase 1 Phase 2
Component 1: Affordable broadband and secure data hosting (US$110 million; US$35 million in Phase 1 and US$85 million in
Phase 2)
1.1 Rural Connectivity 0 20 10 10 10
1.2 Connecting schools and HEIs 15 30 10 0 45
1.3 Regional connectivity and climate resilience 10 0 5 5 5
1.4 Enhancing data hosting capacity and transition to cloud 0 5 5 5 0
computing
Component 2: Interoperable and secure data platforms (US$45 million, all in Phase 1)
2.1 Next generation digital ID, identity verification, including 10 15 7 20 5
for eKYC and PKI
2.2 Extending the Bomalathu data exchange platform for 0 5 3 5 0
Government and Financial Institutions
2.3 Enhancing policy and regulatory frameworks, 5 0 0 3 2
operationalizing the Data Protection Agency and supporting
the Government CIRT
Component 3: High impact digital services and productive digital usage (US$45 million; US$10 million in Phase 1 and US$25
million in Phase 2)
3.1 Support to tech hubs and sub-grants for digital start-ups 0 10 5 5 5
3.2 Participation in regional program on device affordability 5 0 5 1 4
3.3 Sectoral deep dives, including social protection, disaster 0 1065 0 10 0
and emergency response, financial inclusion and land
management
Component 4: Project management (US$10 million; US$6 million in Phase 1 and US$4 million in Phase 2)
4.1 Establishment of MITA 2.5 2.5 0 3 2
4.2 Program coordination and management 2.5 2.5 0 3 2
Total (US$70 million IDA in Phase 1 and US$80 million IDA in 50 100 50 70 80
Phase 2)
Note: Phase 1 will be implemented starting in FY25. Phase 2 will commence based on availability of IDA funds. For Phase 2 activities,
feasibility studies will already be initiated in Phase 1. Phase 1 and 2 totals include only IDA (not PCM). PCM levels are estimated but
are expected to be higher under Phase 2 (US$30m) than Phase 1 (US$20m). The actual levels of PCM will be an outcome of the
competitive tendering processes.
8. The DMAP is structured around four components that are aligned with the IDEA Program, as follows:
Component 1: Affordable broadband and secure data hosting. This component will cover the following activities:
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This will be supplemented through funding from other sectoral programs.
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Sub-component 1.1: Rural connectivity
a) Expand broadband coverage in rural areas with the aim of achieving universal coverage of mobile broadband,
including for traditionally marginalized and climate-vulnerable communities and climate hotspots that are unserved
or underserved by affordable and quality internet services. The project will provide matching investments (‘catalytic
gap financing’) to incentivize private sector investment in the areas where private sector would not go otherwise. This
investment will be used to support the private sector in rolling out mobile broadband coverage (4G/5G cellular and/or
LEO satellite) and upgrading 2G cell sites to more energy efficient 4G/5G cellular technologies, as well as installing
additional IXPs and data caches, at a local level, to improve latency.66 The matching investments will be awarded based
on a competitive tendering process, subject to the provisions of a commercial transaction manual to be developed.
Other methods such as reverse auctions; PPPs; and build, transfer, operate may also be considered. This
subcomponent is expected to leverage private sector investments, roughly in the ratio of 2:1 public versus private.
b) Closing last-mile connectivity gaps for government institutions (offices, hospitals, and post offices) in rural areas.
Under Digital Malawi Phase 1, around 530 institutions were provided with access to high-speed internet through the
provision of last-mile fiber, and the pre-purchase of international internet capacity under long-term supply
agreements. Under DMAP, an additional 500 institutions will be targeted, including sites of new beneficiaries, such as
Ministry of Lands, the National Statistical Office and the National Registration Bureau (NRB), to improve government
efficiency, resilience, and ability to sustain operations even in the face of natural disasters. A variety of technologies
will be used, such as last-mile fiber as well as LEO satellite. Every effort will be made to increase energy efficiency and
climate-smart solutions following international standards and best practices.
Sub-component 1.2: Education sector connectivity
a) Universal school connectivity, building upon Phase 1, which connected 80+ HEIs, the project will aim to connect up
to 2,000 schools under DMAP. This will be done through Malawi Research and Education Network (MAREN), which
proved to be an able partner under Phase 1, and use the existing connected HEIs under a hub-and-spoke model to
reach the surrounding schools. The expected PCM ratio, at 2.33:1, is slightly lower than for Subcomponent 1.1. The
attraction for the private sector is the possibility of having an anchor tenant (school or HEI) to cover their base
investment, so they can then reach out to other clients in each locality on the principle of ‘build once, use by all’. An
‘ecosystem approach’ will be followed in which provision of connectivity will be coordinated with the supply of
renewable energy, computer labs, digital skills training, and O&M to the same schools.
b) Sponsoring Malawi’s participation in the EU Africa Connect 4 program, in partnership with the UbuntuNet Alliance.
This will enable the program to leverage additional EU funding. This activity will also include pre-purchase of internet
capacity for Malawi’s schools and HEIs, which may be coordinated at the regional level, drawing upon the resources
of the planned regional financing facility, to leverage cost savings through economies of scale.
Sub-component 1.3: Regional connectivity
a) Addressing gaps in missing cross-border broadband links, possibly drawing upon a regional financing facility. To this
end, a survey of missing broadband links has been commissioned. Investments will be coordinated with IDEA Programs
in neighboring countries (for example, DRC and Zambia) and with other development partners, to ensure that there
is end-to-end connectivity and efficient route planning.
b) Integrated infrastructure planning of ‘digital corridors’ for Southern Africa. At the 2023 Transform Africa Summit,
hosted at Victoria Falls, in April 2023, Heads of State from four countries—Botswana, Malawi, Zambia, and
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World Bank. 2024. Green Digital Transformation: How to Sustainably Close the Digital Divide and Harness Digital Tools for Climate Action .
Climate Change and Development Series.
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Zimbabwe—came together to commit to build ‘digital corridors’ that would facilitate the growth of trade in the region.
The project can support this initiative by further integrated regional planning of investments.
c) Demand aggregation at the regional level for internet connectivity for education, health, and government. The
planned regional facility under IDEA can play a role in administering a framework contract for bandwidth suppliers to
bid for competitively awarded connectivity contracts, to serve the region’s users and serve as an i ncentive for the
private sector to establish cross-border links.
d) Climate resilience TA, including development of regionally harmonized standards and guidelines for development of
climate resilient digital infrastructure.
Sub-component 1.4: Enhancing data hosting capacity and transition to cloud computing
a) Provide ongoing support to the national data center and enabling cloud services at the national and regional levels.
In the late stages of Phase 1 of Digital Malawi, project funds were used to establish a national data center in Lilongwe.
But additional TA will be required to oversee the development of a sustainability plan, including looking at options for
leasing co-location space to the private sector, and handling the transition to a cloud-first national data strategy.
b) Ensure safe hosting of government data: this will be done by supporting migration of government data from various
MDAs, currently located in server rooms that were not purpose-built and are currently in a deteriorated condition,
presenting a high risk to critical government data. The project will support the migration of data to the newly built
data center in Lilongwe and put in place various back up and disaster recovery options, including by establishing fiber
links with a datacenter in Blantyre. Support will also be provided to introduce a government cloud.
c) Providing managed IT services and a help desk to ensure smooth functioning of the national data center to keep
government data and applications safe.
d) Development of a National Data Strategy to ensure a well-structure framework for data governance and sharing
protocols.
Component 2: Interoperable and secure data platforms. This component will cover the following activities:
Sub-component 2.1: Next Generation Digital ID and identity verification services, including for eKYC and PKI
a) The rollout of first-generation national ID was implemented by the NRB and supported by UNDP. However, the
limitations of the physical ID with a smart chip, are now apparent, with millions of ID cards expiring and too expensive
to replace. Moreover, the chip technology was never used, and more advanced solutions have emerged over the
years, such as QR codes. Project funds will support the Government to transition to a next-generation cost-effective
digital ID, introduction of a choice of credentials (such as Mobile ID), support for streamlined identity verification to
needed by multiple sectors, enabling secure digital authentication services, including for electronic Know-Your-
Customer (eKYC). Support will also be provided for the development of cross border mutual recognition mechanisms
of IDs in SADC.
b) Develop e-Signatures capability for e-services that require a higher level of assurance. This will include development
of PKI which may also be developed based on a PPP arrangement and based on “buy it as a service” model.
Sub-component 2.2: Extending the Bomalathu data exchange platform for Government and Financial Institutions
a) The Digital Malawi Foundations Project supported the development of a government data exchange platform, now
known as Bomalathu (‘my Government’), which has onboarded seven Government agencies so far and has developed
an e-services portal, as a pilot. However, much more needs to be done to extend the data exchange platform and on-
board more government agencies, as well as expand the e-services portal to offer more e-services in key sectors. This
will require investment in the development of Application Programming Interfaces (APIs) for up to 30 MDAs, additional
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consultancy services, and capacity building among the newly onboarded government institutions to experience full
benefits from seamless data exchange, identify verification and ability to pay for services digitally.
b) To become truly transformational, it will be necessary to extend functionality of Bomalathu to the private sector,
by developing APIs for the financial institutions that have a requirement for eKYC and seamless identity verification.
It is expected that this extension will also generate revenue for the Government from identity verification fees, to help
with sustainability. The e-Government department, which runs Bomalathu, may require additional TA to develop a
competitive price structure for these services and support effective operation of this new data exchange platform.
c) Expansion of e-services portal: The Digital Malawi Foundations Project also supported the development of the e-
services portal that benefits from the data exchange platform. However, only a few e-services have thus far been
tested with many more expected to go live under this project.
Sub-component 2.3: Enhancing policy and regulatory frameworks, operationalization of the Data Protection Authority
and supporting the MCERT
a) Regional policy and regulatory harmonization to support digital integration, cross-border digital services, and data
flows, with the goal of increasing digital trade. This will cover, for instance, guidelines on data classification (in
conjunction with the e-Government department, NRB, and other stakeholders), e-commerce, taxation of cross-border
digital services, modernization of the relevant legal and regulatory framework for e-transactions/e-commerce, and so
on. Under EARDIP, regulatory harmonization work is under way at the EAC, and a coordination agreement will be
developed between ECA and COMESA under this new MPA. Extending this work also to COMESA, and potentially also
SADC, will greatly increase the number of countries that will benefit.
b) Operationalization of the Data Protection Authority (DPA), for which the Data Protection Bill was approved by
Parliament on December 7, 2023,67 as well as support for MACRA, the regulatory authority, which currently hosts the
DPA. TA for the DPA will include provision of expert consultant services, study tours, capacity building, and support
for the development of various data protection regulations.
c) The project will support Malawi in enhancing cybersecurity resilience by, among other things, supporting the Malawi
Computer Emergency Response Team (MCERT), including support for Government emergency response.
Component 3: High impact digital services and productive digital usage. This will cover the following activities:
Sub-component 3.1: Digital skills and digital literacy
a) The Digital Malawi Project SOP-1 provided seed funding to 10 tech hubs across the country and trained over 19,000
youth in digital literacy, advanced digital skills (such as AI and drones), digital entrepreneurship, and supported
internship and other activities. Under DMAP, it is planned to expand support to the tech hubs through a further round
of competitively awarded performance-based grants, disbursed in tranches, with agreed targets for offering higher-
level ICT skills, digital entrepreneurship and development of the digitally enabled solutions that contribute to climate
change mitigation and adaptation.
b) DMAP will also initiate a sub-grants program for digital entrepreneurs of up to US$100,000 for around 20 grants to
digitally enabled start-ups and high-growth firms, including those that work in the area of addressing climate change
induced disasters. The program will be administered by the tech hubs under overall supervision of the World Bank
and will use matching grants to leverage private sector investment while the focus on the digital sector will ensure
continuity with other aspects of DMAP. Those firms receiving grants will be tracked over time to identify what factors
67
The text of the bill can be found at https://parliament.gov.mw/uploads/doc_bills/doc_bills_87718172-12d2-4a15-a397-
9ec52ec079b81701965503149.pdf.
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contribute to their success, so that these learnings can be built into future phases, and the number of jobs created
will be closely monitored.
c) Provide TA to facilitate the establishment of tech entrepreneur associations, the development of the necessary
policies, strategies, and implementation plans, and the provision of seed financing to start-ups.
Sub-component 3.2 Participation in regional program on device affordabilit
a) Malawi, one of the world’s poorest markets, is too small to attract major device manufacturers to invest. Yet, the
excise duty on some imported ICT devices is close to 35 percent. Thus, device affordability is a major barrier to further
market development, particularly, for higher-end devices such as smartphones and laptops. The project will support
a variety of schemes to decrease the cost of device for end users and improve the ability of the poorest to acquire a
mobile phone. Some of these schemes may involve working through a financial intermediary such as IFC. Malawi may
also participate in a planned regional device affordability program that will offer a de-risking platform to organizations
(such as mobile operators, banks, micro-lenders, and so on), which provide ‘pay-as-you go’ lending for devices. Digital
start-ups that support innovative device affordability activities in the energy and digital sectors, such as Yellow,68 can
also be supported through the digital start-ups program in Subcomponent 3.1.
b) The device affordability program will be complemented by an e-waste initiative for recycling and resale or safe
disposal of laptops and phones. This will be carried out in conjunction with the tech hubs, with a focus on skills
development and job creation for young people and PWDs. This activity will also include development of a national e-
waste strategy, capacity building, and TA to support drafting of the necessary e-waste-related regulations.
Sub-component 3.3. Sectoral deep dives: social protection, disaster and emergency response, financial inclusion, and
lands management
a) In line with national priorities, and in coordination with other projects in the World Bank portfolio in Malawi, four
key priority sectors have been selected for deep dives in digitalization: (a) social protection, with a focus on
facilitating identity verification needed for proper functioning of the dynamic social registries as well as digitalization
of safety nets and disaster emergency payments, including through a choice model, such as via mobile money. This
(b) financial sector, including implementation of eKYC, activities related to credit reference system, upgrade of
collateral registry, and support for the deposit insurance system; (c) disaster and emergency response, which may
include support for establishing early warning systems and addressing the urgent needs arising when disaster strikes
(including climate disasters); and (d) to ensure better land management, support will be provided to improve
connectivity for land registries, identity verification, capacity building for full use of new LIMS capabilities related to
the use of GIS for planning and disaster response, the use of LIMS dashboard for performance and efficiency tracking,
development of technical capability to estimate climate and hazard risks, and trainings focused on the use of geo-
spatial data for forest preservation. The project will also support integration of LIMS with ePayment gateway,
digitization of paper records and certain aspects of rolling out the existing lands information management system
launched by Government in 2024. Seed funding provided under this component will complement the financing already
made available to Malawi in these sectors through sector specific World Bank projects. The support to update the
legal and regulatory framework will be provided under Subcomponent 1.5.
68http://Yellow.africa, a company active in Malawi, is an example of a new generation of micro-lenders that provide pay-as-you-go support for
both solar-powered devices and smartphones.
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Component 4: Project management. This component will cover the following activities:
Sub-component 4.1. Establishment of MITA
a) DMAP will provide funding for the establishment and operationalization of the newly created Malawi Information
Technology Authority (MITA), including support for selected consultants to be embedded in MITA. It is expected that
some of the staff of the existing e-Government department will transition into MITA, on a competitive selection basis.
b) Until MITA is established, the project will continue to support the existing eGovernment department of MID, including
through support for internships and teams of ICT professionals.
Sub-component 4.2. Program management and coordination
Coordination and program management, including procurement, FM, and adherence to the ESF. Other standard project
management functions include communications, M&E, security, and gender awareness.
D. Project Beneficiaries
9. The project will benefit all households (especially low-income), climate-vulnerable populations, disadvantaged
women and girls (especially in remote areas), digital entrepreneurs, and users of public facilities. The beneficiaries will
gain from enhanced access to affordable, high-quality broadband, more affordable devices, enhanced data protection and
cybersecurity, and e-services in key sectors and job opportunities created in sectors requiring higher skill levels. The
project design is aligned with the World Bank’s corporate commitments. Gender parity is tracked in five indicators, of
which three are PDO indicators (internet access, digital ID, and digitally enabled services [see annex 7]). Climate change is
tracked in three indicators (see annex 6). Citizen engagement is tracked in four indicators, while PCM is tracked in five
indicators and PCE in two indicators.
E. Institutional and Implementation Arrangements
10. The project will utilize the implementation arrangements of the ongoing Digital Malawi Project (P160533), with
the Public Private Partnership Commission (PPPC) again hosting the PIU. The functions of the PIU will cover project
coordination, procurement, FM, ESS, M&E, communications and gender. There will be other improvements, building on
the lessons from the current project, notably a bigger role for MAREN as an implementing partner for the ‘internet in
schools’ initiative, as well as a central role for the Ministry of Information and Digitalization. The project will introduce
additional beneficiaries, such as the NRB, and newly created organizations, such as DPA and MITA, planned to be
operationalized under this project. The implementing partners and beneficiaries will be represented on the PSC, to be
chaired by the Principal Secretary of the Ministry of Information and Digitalization, with the PIU providing secretariat
services. They will also be represented in a Technical Committee, reporting to the PSC, which shall additionally include
representation from the private sector and civil society.
11. Implementation readiness. Although Malawi joined the IDEA Program relatively late, the PIU was able to catch
up. This is because the existing Digital Malawi Foundations Project (P160533), which is due to end in June 2024, was
designed as an SOP, and intensive discussions on the shape of any future program had already taken place with the
Government. Working with the same PIU and scaling up existing operations will facilitate a rapid start to implementation.
As of April 2024, the A-ESRS has been cleared, and the client has prepared advanced drafts of the PPSD and has prepared
and disclosed the SEP and ESCP. Other ESF instruments, and manuals, will be effectiveness conditions.
F. Appraisal Summary
12. Paris alignment. The project is aligned with the Paris Agreement on both mitigation and adaptation goals.
a) Assessment and reduction of mitigation risks. The project will contribute to the country’s low-carbon development
goals by prioritizing renewable energy to power the digital connectivity infrastructure and integrating energy
efficiency requirements in all project components. This project will not finance data centers and will only support
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migration of data from old servers of various MDAs, currently housed in an old server room, by financing consultancy
services. The project’s activities are considered universally aligned with mitigation goals since the integrated low-
carbon measures will ensure that the carbon lock-in and transition risks associated with the project are low.
b) Assessment and reduction of adaptation risks. The main climate risks likely to have an adverse impact on project
investments, as identified in the CDRS tool, are intense rainfall and floods. They can damage telecommunication cables
causing network failure in affected areas and inundating telecom equipment. The project has included activities to
reduce adaptation risks to an ‘acceptable’ level by (a) integrating projected increase in risk and intensity of flood
events, temperatures, and other climate hazards identified in site-specific climate risk assessments in the design of
digital connectivity infrastructure; (b) following structural climate adaptation measures for climate-resilient digital
connectivity; and (c) complying with disaster response requirements. Additionally, the project will contribute to
adaptation goals by financing disaster recovery site to prevent data loss resulting from climate-related damage to
existing data storage facilities (see annex 6 for details).
13. FM. The FM risk of the project is assessed as Moderate. The PPPC has a good FM track record, including under
several previous World Bank-financed projects: Digital Malawi Phase 1 (closing date is June 2024); its predecessor, the
Regional Communications Infrastructure Project, which closed in Malawi on June 30, 2016; and the Business Environment
Strengthening and Technical Assistance Project (BESTAP), which closed on December 31, 2012. The PPPC has well-qualified
and experienced FM staff who have worked in the projects noted above. It has a computerized system that is used for
transaction processing and reporting. IFRs under the previous project have been submitted on time and were considered
to be of good quality. The audited financial statements with clean audit opinions were always submitted before due dates
and the Management Letters did not have serious control and accountability issues.
14. Procurement: procurement procedures. Procurement activities under the proposed project will be carried out in
accordance with the World Bank’s Procurement Regulations for IPF Borrowers (Procurement Regulations), fifth edition
(September 2023); World Bank ‘Guidelines on Preventing and Combating Fraud and Corruption in Projects Financed by
IBRD Loans and IDA Credits and Grants’, dated October 15, 2006, and revised in January 2011, and July 1, 2016 (Anti -
Corruption Guidelines); and other provisions stipulated in the Financing Agreements. Procurement procedures will be
reflected in the procurement section of the PIM.
15. PPSD. The main procurable activities comprise (a) ICT equipment; (b) prepurchase of internet and last-mile
connectivity; (c) consulting services to identify sites to be connected in uncommercial rural areas, government institutions,
and schools; (d) consulting services for ESS assessments; (e) development of regional resilience activities; and (f) several
consulting services to conduct different studies. Similar activities have already been implemented under the ongoing
Digital Malawi (P160533) and do not present any major challenge to the PIU. Traditional market approaches such as open,
national, and limited will be used. A few procurement packages will use the open international market approach. The
PPPC has approved a PPSD which defines, in detail, the market approaches and selection methods for the major contracts,
and the Procurement Plan, for the first 18 months has been prepared and approved. The PPPC will use the STEP tool to
prepare, submit, review, and clear all Procurement Plans; conduct all procurement transactions for the implementing
agency of the MPA program; monitor delays; and measure procurement performance.
16. Procurement capacity assessment for the project. Procurement activities will be carried out by an existing PIU
hosted at the PPPC. The assessment concluded that the PPPC has good experience in implementing World Bank-financed
projects including the ongoing Digital Malawi (P160533). The PIU has three procurement staff (a senior procurement
specialist, a procurement specialist, and an assistant procurement specialist), all with acceptable experience. The PIU’s
procurement performance under the existing project has been rated Moderately Satisfactory. The current staffing is
considered adequate to implement the new project. The above assessments rated the overall residual procurement risk
‘Moderate’ including the procurement organization within the PIU.
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17. National procurement procedures. National open competitive procurement procedures may be used while
approaching the national market. National open competitive procurement will observe the requirements stipulated in the
Procurement Regulations on National Procurement Procedures. Other national procurement arrangements (other than
national open competitive procurement), which may be applied by the borrower (such as limited/restricted competitive
bidding, request for quotations/shopping, and direct selection), shall be consistent with the World Bank’s Core
Procurement Principles and ensure that the World Bank’s Anti-Corruption Guidelines and Sanctions Framework and
contractual remedies set out in its Legal Agreement apply.
18. ESS. The possible ESS risks and impacts related to the project during the construction and operation/maintenance
phases are diverse and are expected to have both positive and negative impacts on the environment, as well as potential
health and safety risks to workers and communities if not managed properly. To mitigate these risks, the client is
preparing, and plans to disclose, appropriate ESF instruments. Site-specific instruments for some activities, including the
ESIA/ESMF, Resettlement Action Plan, and Occupational Health and Safety Plan will also be prepared before
commencement of the project activities. These instruments will guide project implementation, in accordance with the
ESF. The ESS risk is Substantial.
19. Economic and financial analysis. DMAP is expected to contribute to sustainable economic growth, through long-
term cost-savings, efficiency, and productivity gains, fueled by greater digital adoption by citizens, businesses, and
government.69 The economic and financial analysis undertaken follows a standard CBA approach and relies on available
secondary data and reasonable assumptions, based on experience and studies. Cashflows are calculated for three different
scenarios (pessimistic, optimistic, and neutral), with results derived primarily from economic impact in GDP growth due
to broadband penetration increase, economic impact due to digital services, reduced KYC costsand fraud, and economic
impact from digital skills trainings and innovation. Discounted at 25 percent,70 the neutral scenario NPV reaches US$1.43
million and yields an IRR of 26 percent. For the optimistic and pessimistic scenarios, the NPVs and IRRs are US$18.15
million and 34 percent and –US$14.31 million and 17 percent respectively. Although Malawi has experienced an unstable
exchange rate in recent years, this is not expected to impact these results as most contracts will be bid in US dollars.
20. The project’s impact may go beyond these estimated results, since there are some activities, especially those
related to cybersecurity and improved data hosting capability, that could produce additional economic and social gains
from greater security and safer handling of government data. The additional positive impact is expected from the increase
of digitally enabled services and online transactions that would result in greater efficiencies and improved safety and trust
on the digital workspace. Furthermore, it is expected that sectoral deep dives in social protection will result in better use
of government resources by avoiding double-dipping and eliminating ‘ghost’ recipients of safety nets, which, as observed
in other countries, may result in considerable savings.
G. Key Risks
21. The overall risk for the Project in Malawi is Moderate. The risks rated Substantial are elaborated below:
(a) The ESS risks are Substantial. For social standards, the rating considers the likely social risks and impacts
resulting from project activities related to support national ID, scale-up of the data exchange platform, and
development of e-services that require safe handling and protection of personal data. There will also be risks
associated with the rollout of the broadband infrastructure, which may include temporary displacement of
people or land acquisition. There could also be possible inherited risk of social exclusion due to lack of
affordable devices in the country. These are mitigated through support to the DPA; strict adherence to World
Bank ESS guidelines; and measures intended to promote inclusion, such as the device affordability program.
69World Bank 2016; World Development Report: Digital Dividends.
70
The discount rate used for the calculations is 25 percent, which was derived from adding lending interest rate in Malawi in 2023, plus a spread
reflecting the project risk and nuances. Source: Data World Bank https://data.worldbank.org/.
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The environmental risks are associated with the e-waste management, which is being supported by the
project.
(b) Other risks are rated Substantial. The country is exposed to a high risk of flood, which may adversely affect
digital infrastructure by damaging fiber optic networks and microwave networks, for which the project will
deploy financing. Soft components such as TA for developing climate-resilient and low-carbon digital
network connectivity will help mitigate the risk (see annex 6 for more details on adaptation and mitigation
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ANNEX 6: Climate Action Supported by the IDEA MPA
Regional Activities under the MPA
Climate Adaptation and Mitigation Activities under COMESA US$, millions
Component 1 COMESA: Regional Harmonization and Planning Platform 4.0
Activities under this component include the following: 1.5
• Developing regionally harmonized frameworks, guidelines, and standards to promote digital access and usage;
applying inclusive, climate-resilient, and energy efficient approaches; and incorporating measures on e-waste
management (adaptation/mitigation).
• Developing guidelines, standards, and policy and regulatory recommendations, including the use of emerging
technologies for climate change adaptation and mitigation (adaptation/mitigation).
• Supporting integrated infrastructure planning to cover digital infrastructure, with dedicated focus on climate
adaptation/resilience and demand for internet connectivity; developing least-cost options to connect cross-
border areas and priority public entities, such as schools and health clinics; and enhancing cross utility
coordination for energy and digital, including promoting access to and use of renewable energy resources for
connectivity for schools, clinics, and other beneficiaries (adaptation/mitigation).
Component 2: Regional Knowledge and Capacity Building 2.4
Activities under this component include the following:
• Developing practical tools and providing trainings for participating countries to enhance and accelerate program 1.0
implementation, such as sample TOR for procurement, (including green procurement principles, for example,
factoring resilience of infrastructure and energy efficiency requirements), model ESS instruments, and so on.
Angola
Climate vulnerability profile. Climate change poses a serious risk to Angola’s sustainable development trajectory. Angola ranks 159
out of 185 countries in the 2021 Notre Dame Global Adaptation Index, illustrating its high vulnerability to climate change. Among
climate risks, flooding is a recurring natural hazard throughout Angola. The 2022 CCDR for Angola “indicates that the country could
become warmer between 1.5 to 2.5° by 2040 to 2060, potentially aggravating impacts such as water availability, drought severity,
extreme heat, and rainfall variability.”71 An estimated 3.8 million people in the six southern provinces were reported to have
insufficient food. Direct economic losses in agriculture from climate impacts represents as much as US$100 million per year
nationwide. The country is at high risk of river floods, urban floods, and coastal floods and is also exposed to earthquakes and
landslides. Damage to infrastructure, especially from floods, disrupts electricity service, broadband connectivity, travel, and
business operations and imposes large costs for repairs and rebuilding, diverting scarce resources from other development needs.
Without adaptation measures, climate change impacts could reduce Angola’s GDP by up to 6% by 2025. Achieving Angola’s
economic diversification and development is inextricably linked to climate resilience. The CDDR calls for green and climate-resilient
cities and infrastructure and to bolster human capital and culture of climate-preparedness.
Climate adaptation and mitigation activities under the Angola project US$, millions
1: Affordable Broadband Connectivity and Inclusion 100.0
1.1: Broadband Connectivity Program 75.9
1.1a: This TA will conduct a country-wide identification assessments of traditionally marginalized and climate- 0.4
vulnerable communities/climate hotspots that are unserved or underserved by affordable and quality broadband
internet services. This will inform the design and financing of the Broadband Connectivity Program to address the
coverage and financing gap and deliver broadband internet coverage in the identified areas 72 and include
71 World Bank Group. 2022. Angola Country Climate and Development Report. CCDR Series. Washington, DC: World Bank.
http://hdl.handle.net/10986/38361 License: CC BY-NC-ND.
72 Areas to be covered by the Broadband Extension Program will specifically target areas most severely and frequently affected by high
levels of climate shocks, including provinces of Luanda, Namibe, Lunda Norte, Lunda Sul, Malanje, Cuanza Norte, and Moxico, and areas where
digitally enabled responses to climate events are limited both by a lack of climate-resilient digital infrastructure and poor digital
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identification of beneficiaries and areas covered by the Social Safety Nets for Resilience and Opportunities Project
(P181495) to increase effective targeting and efficiencies in cash transfer programs through the use of mobile
payments. The project also focuses on targeting climate-vulnerable people and areas expansion of affordable and
resilient broadband networks in rural and peri-urban areas, with prioritized routes to cover unconnected climate
hotspots to expand high-quality digital connectivity access to digital services, allowing for access to extreme
weather alerts and remote delivery of basic services, for example, emergency cash transfers through mobile
money and so on (Adaptation).
0.5
1.1b: This activity will ensure that mandatory requirements to deploy climate-resilient and optimized energy
efficient broadband infrastructure are embedded into the national Broadband Connectivity Program, which will
set the standards for the sector beyond the project duration. The requirements will be informed by Angola’s NDC
and CCDR as well as TA on climate-smart/informed broadband infrastructure under Subcomponent 1.3. Technical
design specifications for the competitive tenders to telecom operators and the service-level agreements (SLAs)
with winning operators for infrastructure deployment will include these climate data, climate risks, and resilience
requirements and measures that will be monitored throughout the project duration. These will account for
projected increases in flooding, sea level rise, storms, and other extreme climate hazards, as indicated by site-
specific climate risk assessments to be conducted before deployment of a particular route
(Adaptation/Mitigation).
1.1c: Financing (through the Broadband Connectivity Program) for new construction, repair, and upgrade of the
national backbone, backhaul and last-mile network infrastructure design will include the following adaptation and 75.0
mitigation measures:
(Adaptation)
• Climate resilience measures for the broadband connectivity infrastructure (backbone, backhaul, and last-mile
networks) will follow recommendations from the ITU Standardization Sector on adaptation 73 to determine
the choice of technology, such as between microwave, underground, and aerial fiber optic cables; deploy
weather-resistant fiber optic, weather-proofing ducts, poles, switches, sockets, and appliances in the
network; and embed elevation in the communication towers to prevent damage from floods and heavy
precipitation.
• A site-specific climate risk assessment will be conducted to determine the choice of underground or aerial
electrical lines/cables so that they are less likely to be affected by adverse climate events.
• Features to reduce the disruptions to network operations due to flooding and other extreme climate events
through appropriate standards for network infrastructure such as reinforcing existing towers will be
embedded into supervision of infrastructure deployment as per the contracts and SLAs designed under
Subcomponent 1.1b.
• The backbone and last-mile access will specifically target/prioritize unconnected climate hot spots to expand
quality and access to ICT services as per the findings of the identification conducted under Subcomponent
1.1 above.
(Mitigation)
• The procurement of all telecommunications network equipment under this component will leverage the use
of energy efficient technologies and measures to support energy conservation and reduce GHG emissions
such as optimized network topology, optimized processor use, smart network management (switch off core
nodes), and backbone network virtualization and will be in accordance with international best practices such
connectivity. Connecting vulnerable communities to digital infrastructure in these regions would allow people to have connectivity during and after
extreme climate events, thus helping them receive early warning/weather forecast in time and immediate response/relief through electronic cash
transfers.
73 For example, Recommendation ITU L.1502: Adapting information and communication technology infrastructure to the effects of climate change;
and ETSI ETS 300 019-1-3 standard concerned with environmental conditions and environmental tests for telecommunications equipment and
specifies different standardized environmental classes.
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as Green ICT Standards74 and/or recommendations from the European Commission’s Joint Resea rch Centre
report Best Environmental Management Practice in the Telecommunications and ICT Services Sector. The SLA
developed under Subcomponent 1.1b will ensure that these requirements are included in the contracts with
the infrastructure providers.
• Existing copper cables will be upgraded to energy efficient fiber optic cables. The migration from a copper to
a fiber optic-based network is expected to significantly reduce energy consumption and CO 2 emissions.75
• Extending fiber backbone coverage will help to reduce the size of the microwave backhauling network for
backbone connectivity and last mile and will result in a significant reduction in GHG emissions associated with
the data traffic, as optical fiber is two to three times more efficient than microwaves for backhauling, allowing
power savings from 54 to 94 percent on the backhaul deployment in a 4G scenario. 76 The new construction
of national backbone and last-mile network will also deploy energy efficient fiber optic technology, which is
the best available (that is, most energy efficient) technology in Angola and also significantly more energy
efficient than the copper cables, which still exist in the country.
• Furthermore, Angola currently does not have a national power grid. Once outside the urban centers, the rural
and even the peri-urban areas that have significant populations have limited to no access to electricity. The
SLA developed under Subcomponent 1.1b will include mandatory requirements for using renewable (solar)
to the extent possible in these rural and peri-urban areas for powering base transceiver stations or other
equipment transmitting mobile radio frequency services. This includes adoption of green (low-carbon)
routing, for example, using power generated by renewable energy sources and switching off routers and
selective interfaces during low demand and so on.
1.2: Digital inclusion program 15.0
1.2a-b: Expand access to and use of the internet by climate vulnerable people, PWDs, and women through the 7.2
development of digitally enabled community spaces and computer labs with access to the internet and online
services. Climate-vulnerable populations will largely include subsistence farmers especially in the south of the
country,77 for whom mobile phone capabilities would equip them with digital solutions to address climate-related
challenges. These would include information services for climate/weather; access to AgTech solutions, equipping
them with capabilities to receive cash transfers in times of climate-induced crisis (drought and flooding are
frequent in Angola); and access to micro-finance and insurance services (an initiative being implemented by the
United States Agency for International Development [USAID] and others).78 (Adaptation)
Furthermore, centralized financing to ensure procurement of certified energy efficient equipment. These would
include US$1.5 million of computer lab refurbishment; wiring of offices and buildings for internet connectivity; 1.5
hardware such as computers, printers, and scanners; software for use of computer and the internet; and furniture
and office supplies. The IT equipment (computers, printers, and scanners) and other electrical equipment such as
74 Relevant energy efficiency strategies or best practices/international standards on energy efficiency, such as those on compliance with green ICT
standards (ITU-T, Green ICT Standards and Supplements, IEEE 802.3az Energy Efficient Ethernet standard, ISO 14001 v2015: Environmental
Management Standard, ISO 50001 v2011: Energy Management Standard, ISO/TR 14062 v2002 : Environmental Management); Operational Energy
Efficiency for Users (OEU); Technical Global KPIs for Fixed Access Networks (ETSI), (2017-04); Environmental Engineering (EE).
75 The country has legacy copper cables that will be replaced with fiber optic cables under this project. Research has shown that coaxial cables
consume more energy than fiber optic cables; copper networks consume about 3.5 W at full 100 m reach capability while fiber networks may use
less than 1 W to transmit the 10 GbE signal over 300 m. See How Fiber Can Help Make the Network Greener.
It is estimated that fiber optic networks save 40–60 percent of energy consumption compared to traditional copper-based networks;
see Godlovitch, Ilsa, Peter Kroon, Sonia Strube Martins, and Fabian Eltges. 2019. “Copper Switch-off, A European Benchmark.” FTTH Council Europe
Conference, Amsterdam, page 8.
76 https://europacable.eu/wp-content/uploads/2022/07/Politecnico-di-Milano-for-Europacable-Energy-efficiency-of-fiber-on-mobile-networks-
December-2021-2.pdf.
77 Southern Angola has experienced a severe and protracted drought over the past decade. In 2021, an estimated 3.81 million people in the six
southern provinces were reported to have insufficient food, and 1.32 million faced high levels of acute food insecurity. World Bank, Country
Climate Development
Report.https://documents1.worldbank.org/curated/en/099150012022242096/pdf/P1769170f457c3010098d30b375aaddd937.pdf.
78 For example, https://www.state.gov/embassy-luanda-launches-the-dinheiro-digital-e-melhor-project-to-increase-financial-inclusion/ and
https://itweb.africa/content/LPwQ5Mlbm9LvNgkj.
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air conditioning units will be energy efficiency certified at levels that surpass the country’s existing energy
efficiency levels for similar equipment (in line with internationally recognized certifications such as Energy Star 79).
When needed, such as in rural or peri-urban areas that are off-grid, or areas where the electricity supply is
vulnerable to climate events, the upgrade will also include solar-powered back up energy supply/generator
(Mitigation).
A site-specific climate risk assessment for individual rooms will be conducted to determine the need for 0.5
adaptation measures, and adequate measures will be integrated to ensure that the risks are reduced to a low
level. There is limited grid connection, so renewable energy or hybrid-powered energy systems will be utilized.
When needed, such as in rural or peri-urban areas that are off-grid, the upgrade will also include solar-powered
back up energy supply/generator. (Adaptation/Mitigation)
1.2c: Design and implementation of mobile digital literacy program prioritizing women, PWDs, and climate- 6.3
vulnerable populations at the computer labs so that people who are not familiar with how to use a computer, the
internet, and mobile device have the training they need on how to protect themselves online (data privacy).
Training will include awareness raising on information and services available online including those that will
enable subsistence farmers to diversify into less climate-vulnerable streams; identify AgTech applications, for
example, to identify drought-resistant seeds; and apply for micro-credit/micro-insurance for when crops fail.
(Adaptation)
1.3: Broadband Internet Market Regulatory Reform 9.1
1.3f: Development of guidelines and national protocols for climate-smart digital infrastructure to be applied to 0.2
infrastructure deployment under Subcomponent 1.1a, b, c, and Subcomponent 1.2 a –b. This subcomponent will
introduce tighter standards for energy efficiency, including renewable energy resources (such as solar energy) for
low-carbon telecom infrastructure, energy conservation measures and technologies, and development of e-waste
management plans (that will contribute to reduction in GHG emissions by addressing e-waste collection,
dismantling, refurbishing, and recycling which will greatly reduce the demand for virgin raw materials). Guidelines
on embedding climate resilience will include mandatory site-specific climate risk assessment infrastructure and
embedding adequate climate resilience measures. (Adaptation/Mitigation)
2 Scaling-up Inclusive and Safe Digital Public Infrastructure 122.7
2.1: Foundations of Digital Governance 55.0
2.1c: TA to assess current and planned data hosting (including adoption of cloud-based services and with climate
risk and low-carbon considerations standards) and data management needs, looking at demand and supply, 0.35
regional demand aggregation, and the need for disaster recovery sites in climate-safe locations; cloud services
will also include energy efficiency considerations guided by international best practices such as ITU-T
recommendations for green ICT infrastructure. Increased use of cloud services for data storage will also avoid the
need for the Government to build its own data center, which would reduce GHG emissions. Without the World
Bank’s intervention and in a non-project scenario, the Government would be constructing more data centers.
(Adaptation/Mitigation)
1.0
2.1h: GoA open data portal, including Government climate and geospatial data. (Adaptation)
20.0
2.1d-f: Digitalization of public services and deployment of e-services platform, including US$20 million of front-
and back-office ICT equipment certified energy efficient at levels that surpass the country’s existing energy
efficiency levels for similar equipment (in line with internationally recognized certifications such as Energy Star).
(Mitigation)
79There are no national energy efficiency performance standards or energy labeling systems in Angola. Source:
https://rise.esmap.org/country/angola.
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2.2: Digital ID 45.0
2.2a-d: Deployment of a digital authentication platform integrating digital IDs with existing siloed functional IDs 25.0
(health, citizen, and so on) enabling enhanced services and social protection packages to more citizens, including
response to climate change. Specific applications include enabling shock-responsive cash transfers through the
‘Kwenda’ Cash Transfer Project (Social Safety Nets for Resilience and Opportunities Project, P181495). The activity
will improve the Government’s ability to target beneficiaries and enable digital ID verification for cash transfers
that require proof of vital events (following a flood or drought80). The issuance of digital ID credentials will include
a focus on enrollment of vulnerable groups, including targeted outreach to climate-vulnerable populations into
digital ID systems. The identification of at-risk populations will be based on geographic climate vulnerability data
informing P181495. (Adaptation)
20.0
Centralized procurement of all ICT equipment for the ID system (financing cost is US$20 million), including
registration equipment, will be certified energy efficient that would surpass the existing energy efficiency level in
the country (as described under component 1). (Mitigation)
2.3: Re- and Up-skilling the Public Sector 10.0
2.3a-e: Design and implementation of digital skills programs and courses for the public sector (for example, 10.0
municipal offices in climate-vulnerable regions), including geospatial/GIS skills to relevant government staff
including to better identify and map adaptation needs and priorities in counties and/or to identify areas
vulnerable to high-climate risks in relation to public investment management. Support to enable ENAPP to
transition to e-learning to allow for training of public staff in remote and difficult-to-access areas, such as during
rainy seasons in the flood-prone provinces of Luanda, Cunene, Huila, Huambo, Cuanza Sul, Benguela, Malanje,
and Moxico. (Adaptation)
3. Productive Digital Usage for Economic Opportunities 54.0
3.1: Digital Entrepreneurship Support Program 34.0
3.1b: Funding digital businesses and start-ups with priority amounts/windows for women-owned, PWD-owned, 16.0
and youth-owned firms through competitions/hackathons that can also increase public knowledge of climate
threats and encourage collective thinking. Priority windows would also be included for businesses adopting digital
models for climate adaptation and mitigation. These will link with the Diversifica+ Project that has similar
objectives. (Adaptation).
Democratic Republic of Congo
Climate vulnerability profile. Climate change poses a serious risk to DRC’s sustainable development trajectory. DRC ranks 182 out
of 185 countries in the 2020 Notre Dame Global Adaptation Index, illustrating its high vulnerability to climate change. Climate-
related shocks in DRC include floods, droughts, and extreme heat, among others. Seasonally, more rainfall is expected during the
wet season, increasing the incidence of flooding, with longer dry periods in between increasing the severity and frequency of
droughts and heatwaves. Floods and heavy rainfall events can adversely affect digital infrastructure by damaging cables and
inundating ICT equipment and communication towers, while heat stress can accelerate degradation of network equipment or cause
malfunctioning. These climate risks are likely to result in network failure and service outages, disrupting connectivity and business
continuity for government offices, private sector businesses, training institutions, and secondary schools located in hazard-prone
regions. Ensuring that any digital infrastructure deployed can withstand climate events will thus be important. Lower-income
populations tend to reside in more hazard-prone locations, with high potential for significantly increased climate change exposure
to already vulnerable populations. Many of these locations are currently not adequately served by digital infrastructure, which also
makes scaling digital services that can build resilience a challenge. Digital infrastructure, platforms and tools thus hold huge
untapped potential in supporting DRC’s national climate adaptation and mitigation goals, among others, by strengthening the
climate resilience of local communities exposed to climate risks.
80The pipeline Social Safety Nets for Resilience and Opportunities Project (P181495) aims to introduce a shock-responsive cash transfer program
prioritizing drought response in those areas that experienced more frequent and intense droughts in the last decade (that is, southern pastoralist
areas of Cunene and Namibe; central highlands of Huambo, Huila, and Cuanza Sul; and the transitional maize and cassava growing regions in
Benguela and Cuanza Sul).
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Climate adaptation and mitigation activities under the DRC project US$, millions
IDA only
Component 1. Expanding digital access and inclusion 302.0
Adaptation and mitigation measures for Subcomponents 1.2 and 1.3 (approximately 95% for 290.2
infrastructure and equipment procurement)
Adaptation
• Financing for backbone, cross-border network links, and rural broadband will implement a network design
with prioritized routes and zones that cover unconnected climate hot-spots (as identified under
Subcomponent 1.1 through GIS mapping) to expand high-quality digital connectivity access to ICT services,
allowing for access to extreme weather alerts and remote delivery of basic services for example,
emergency cash transfers through mobile money and so on. The project will target areas where other
World Bank projects in DRC are providing services that support resilience but that currently are unable to
extend use of digital payments and other services due to weak network coverage. 81
• The network design and network configuration for digital connectivity under Component 1 will be
informed by site-specific climate risks. The design of digital connectivity infrastructure will consider
projected increase in risk and intensity of flood events, temperatures, and other climate hazards identified
in the climate risk assessments (to be conducted by the operator and built into the tender) and adequate
adaptation measures will be embedded accordingly to make the infrastructure climate resilient.
Mitigation
•
All telecommunications network equipment to be procured under this component will have energy
efficiency levels that will surpass country’s current energy efficiency levels and equipment procured for
similar expansion projects. These will follow the good practice energy efficiency guidelines developed in
Subcomponent 1.1, guided by relevant international standards.82 There are no mandatory minimum
energy performance standards and energy labeling system in DRC for network equipment and
connectivity deployment.83
•
Extending fiber backbone coverage will help reduce the size of the microwave backhauling network
(currently, microwaves are prevalent in DRC for backbone connectivity and last mile), which will result in
a significant reduction in GHG emissions associated with the data traffic as optical fiber is two to three
times more efficient than microwaves for backhauling, allowing power savings from 54 to 94 percent on
the backhaul deployment in a 4G scenario. 84 The backbone and cross-border networks and last-mile
infrastructure will thus have energy efficiency levels that meet best international practices such as the
European Commission's Joint Research Centre report Best Environmental Management Practice in the
telecommunications and ICT Services Sector 85 and Green ICT standards86 to the extent technically and
financially feasible. This includes adoption of green (low-carbon) routing, for example, using power
generated by renewable energy sources, switching off routers and selective interfaces during low
demand, and so on.
81 For example, P175834 - Stabilization and Recovery in Eastern DRC; P172292 - Kananga Emergency Urban Resilience; National Agriculture
Development Program - P169021 (payment to farmers); DRC Eastern Recovery Project - P145196 (social protection payments).
82 Canfora, P., P. Gaudillat, I. Antonopoulos, and M. Dri., 2020. “Best Environmental Management Practice in the Telecommunications and ICT
Services Sector.” EUR 30365 EN, Publications Office of the European Union, Luxembourg, 2020, ISBN 978-92-76-21574-5, doi:10.2760/354984,
JRC121781 and ITU-T, Green ICT Standards and Supplements (https://www.itu.int/net/ITU-T/lists/standards.aspx?Group=5&Domain=28).
83 https://rise.esmap.org/country/congo-dem-rep.
84 https://europacable.eu/wp-content/uploads/2022/07/Politecnico-di-Milano-for-Europacable-Energy-efficiency-of-fiber-on-mobile-networks-
December-2021-2.pdf
85
Canfora, P., P. Gaudillat, I. Antonopoulos, and M. Dri., 2020. “Best Environmental Management Practice in the Telecommunications and ICT
Services Sector.” EUR 30365 EN, Publications Office of the European Union, Luxembourg, 2020, ISBN 978-92-76-21574-5, doi:10.2760/354984,
JRC121781.
86 ITU-T, Green ICT Standards and Supplements (https://www.itu.int/net/ITU-T/lists/standards.aspx?Group=5&Domain=28).
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1.1: Introducing frameworks and enablers for digital access and inclusion 11.8
• A mapping atlas and geographic information system (GIS) will be purchased for the telecoms regulator,
which will be used to better map existing and planned network infrastructure deployed, identify areas 1.1
exposed to high-climate risks when designing the network, and prioritize network coverage to these
unconnected climate hot spots under Subcomponent 1.2. This GIS would also be used to log and track
network outages due to extreme climate events to reduce network downtime through rapid repairs and
timely maintenance. (Adaptation) 0.16
• TA will be provided to the telecoms regulator to enable Government to push out emergency weather
alerts through operators’ networks. (Adaptation)
• TA will be provided to Ministry of Telecoms and other MDAs to define a Digital and Climate Strategy, with 0.12
support for a dedicated interministerial committee, which will detail how the government will leverage
digital to support climate adaptation and mitigation efforts. (Adaptation/Mitigation)
• TA will be provided to the telecoms regulator to develop guidelines/standards for climate-informed
network deployment to ensure integration of climate adaptation measures by operators to minimize 0.16
network downtime due to extreme climate events and ensure application of international best practice
recommendations for energy efficiency for telecom infrastructure. (Adaptation / Mitigation) 0.4
• TA, training, and financial support will also be provided to the Government to ensure that the forthcoming
e-waste policy, that integrates the principles of reuse, repair, and recycle, is implemented for Government
IT equipment purchased for MDAs and so on, with plans developed for IT maintenance to prolong the life
of IT equipment deployed by the project, including IT equipment purchased for the Government under
Component 2. (Mitigation)
1.2: Extending core networks to enable inclusive coverage 149.0
Adaptation
• Climate resilience measures for the digital network infrastructure will include deployment of weather-
resistant fiber optic cables and choosing underground or aerial electrical lines/cables (based on site-
specific climate risk assessment) so that they are less likely to be affected by adverse climate events.
Integration of design measures to climate-proof core networks will be included in tender documents and
technical specifications (such as water blocking material and enhanced reinforcement in fiber optic cables
to prevent damage from floods).
• Digital infrastructure to be built will be subject to quality standards for climate resilience and disaster
response. These include sufficient bandwidth for peaks in demand; the ability to restore service access;
good management of network congestion; contingency plans for service continuity during extreme
climate events; and factoring in network redundancy by minimizing single points of failure in digital
networks due to possible disruptions from extreme weather event (for example, cable ducts, and shelters
for equipment).
Mitigation
• For backbone deployment, preparation of specifications and tenders (design, equipment, and operational
modes) will include requirements for energy efficient hardware/software (such as network standby
modes, power feeding solutions, and others).
1.3: Connecting citizens, universities and selected public institutions (mix of fiber, mobile and satellite) 141.2
(i) Extend mobile connectivity: (57.7) + (ii) Connecting MDAs: (82.3). All financing is for last-mile
connectivity. Remaining financing under this subcomponent is TA, which includes supervision of
infrastructure deployment to ensure that both backbone and last-mile infrastructure finance adheres to
standards/specifications set, including those related to climate adaptation and mitigation.
Adaptation
• (i) and (ii) Adaptation measures will include weather-proofing the ducts, poles, switches, sockets, and
appliances in the network, embedding elevation in the communication towers to withstand floods).
• (i) Share of 1.3 financing dedicated to extending mobile in rural and peri-urban areas will prioritize
unconnected sites in climate hotspots. Upstream TA will be provided to identify geographic zone to
targeted, which will include this as a prioritization criterion.
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• (ii) Share of 1.3 financing dedicated to providing new and improved connectivity to government
offices and training institutions will prioritize unconnected sites in climate hotspots, allowing for
uninterrupted service delivery in case of climate events. Upstream TA will be provided to identify sites
to be connected, which will include this as a prioritization criterion. By connecting training
institutions, the Government can also continue to offer e-education in connection with climate events
(to be detailed in bidding documents), via the DRC Girls Learning and Empowerment Project
(P178684). Expanding connectivity to government MDAs and local government offices will aid
deployment of emergency management services provided at the sectoral level: examples include
connecting hospitals and health MDA where access to connectivity will enable digital surveillance
system for transmittable diseases on the rise due to climate changes (Regional Disease Surveillance
Systems Enhancement Project, P167817) and forestry directorates where greater connectivity will
enable more effective use of digital surveillance and emergency response system related to forest
management and forest fires on the rise due to climate change (DRC Forest and Savanna Restoration,
P178642). These types of public offices currently either have limited or weak connectivity access.
Mitigation
• (i) and (ii) Similar to 1.2, the deployment of last-mile infrastructure (ii)/(ii) will have energy efficiency
levels that surpass the country’s current energy efficiency levels and equipment procured for similar
expansion projects (see above).
• (ii) Whenever possible, fiber will be used to connect MDAs, as it is the most energy efficient and best
available broadband technology in DRC.87 The deployment of over 7,000 km of fiber optic backbone
throughout the country will enable MDAs located close to the new backbone to be connected via
fiber optics (estimated 30 percent of financing). Outside the areas where the fiber optic backbone is
deployed, MDAs will continue to be connected via microwave or satellite for the most isolated
regions.
• (ii) Related network investments will also require operators to power equipment at targeted MDAs
as well as any cell towers and base stations deployed with solar power and battery storage, limiting
the use of diesel generators to minimize the GHG emissions stemming from related network
deployment, or where feasible leverage direct connections to central energy grid which minimize
energy use and reliance on generators.
• (ii) Any ICT equipment used for local area networks to connect government offices and training
institutions will leverage the use of energy efficient technologies and measures to support energy
conservation and reduce GHG emissions, where possible, such as by using equipment with automatic
switch-off mechanisms and those that conserve power when not in use. Similar to 1.2, equipment
procured will be energy efficiency certified, surpassing the current energy efficiency standards and
following international energy efficiency standards, such as IEEE 802.3az and ITU-T Recommendation
L. 1310.88
2. Introducing digital foundations for service delivery
2.1: Improving data sharing and management for integrated service delivery 18.0
• TA will be provided to develop an interoperability framework and data standards, including through 3.45
an overarching government enterprise architecture and data strategy that will be the starting point
for improving the Government’s ability to share data between MDAs’ management information
system, allowing for consolidated data analysis and forecasting and better climate emergency
response planning in line with the objectives in the Government’s climate strategy. Support though
87 Without the World Bank’s intervention and in a non-project scenario, the use of energy-intensive microwave (instead of the modern energy
efficient fiber optic cables) for broadband connectivity would be far more extensive in DRC.
88 IEEE Standard for Information technology - Local and metropolitan area networks - Specific requirements - Part 3: CSMA/CD Access Method and
Physical Layer Specifications Amendment 5: Media Access Control Parameters, Physical Layers, and Management Parameters for Energy-Efficient
Ethernet: https://standards.ieee.org/ieee/802.3az/4270/ & ITU Recommendation L.1310 on Energy efficiency metrics and measurement methods
for telecommunication equipment: https://www.itu.int/rec/T-REC-L.1310/en?.
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TA and training will also be provided to ensure implementation in several strategic sectors that
produce data relevant to climate change mapping or response services such as health, social
protection and jobs, and so on. These frameworks ad their implementation will also reduce
duplication of facilities that would reduce energy use. (Adaptation/ Mitigation) 5.7
• Financing for a consolidate Government data hosting solutions, which is likely to include a greenfield
physical data center will be deployed in a climate-safe location, with adequate redundancy and
automated backup and disaster recovery system to avoid loss of sensitive government data. Current
data management and hosting practices in DRC are vulnerable to floods and other extreme climate
events that could lead to large-scale data loss due to absence of adequate backup and fragmented
data hosting practices. A climate-risk assessment will be conducted to identify flood-safe location for
data hosting and technical and financial feasibility for embedding automated backup and disaster
recovery to avoid data loss in the event of climate calamities. The new data center will meet the
criteria for EDGE green building certification for green data center, requiring at least 20 percent 6.2
savings in energy, water, and embodied energy in materials.89 (Adaptation/ Mitigation)
• Financing of the GovNet (including intranet) will feature deployment of a central network operating
center, which will include climate risk considerations with the aim to identify climate risks and
associated mitigation measures that will be included design. The GovNet the network equipment and
other basic IT equipment deployed to allow MDAs to access and use the network will leverage energy
efficient technologies and measures to support energy conservation using the standards noted above
(under Component 1) (Adaptation/Mitigation)
2.2: Enabling trust in digital services 13.3
Mitigation
• Procurement of all ICT equipment for the CSIRT, data protection office, and e-signatures will be 6.3
certified by Energy Star or equivalent standards, which would surpass the energy efficiency levels of
equipment existing in the country.
2.3: Enhancing service delivery in key sectors using shared platforms
Adaptation
• Financing for e-archives will support digitalization of paper-based records to reduce the risks of 2.4
personal record loss in the event of flooding. Targeted sites exposed to higher climate risks will be
prioritized.
Mitigation 4.3
• Procurement of all ICT equipment required to operationalize the online e-services portal (Guichet
Unique) will be energy efficient (see description above).
3. Increasing access to industry-relevant digital skills and stimulating digital innovation
3.1: Developing advanced digital skills capabilities in HEIs and tech hubs 25.1
Adaptation
• Training of secondary school teachers in how to deliver the curricula using digital tools and platforms 3.9
will include modules on how to leverage e-education solutions to be used in the event of emergencies
such as extreme climate events, for example, flooding known to disrupt regular education delivery,
adversely affecting schools and students.90
• Advanced digital skills programs in data science launched via HIEs and tech hubs will include training 4.0
on using GIS, using geospatial and weather/health data available in the public domains focusing how
to use digital tools and data for climate preparedness, and directly applying skills to support climate
analytics as part of the program, to be shared with Government and with scope of subsequent job
placements with MDAs working on climate response.
89 EDGE certification is a green building certification system for emerging markets created by the IFC that targets data centers, enabling developers
to optimize design; promote sustainability; and create marketable, cost-effective projects. EDGE recognizes buildings whose design and infrastructure
use at least 20 percent less water and energy than conventionally designed buildings. https://edgebuildings.com/.
90 https://www.unicef.fr/article/la-rdc-connait-les-pires-inondations-de-ces-60-dernieres-annees/.
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Adaptation/Mitigation
• Advanced digital skills programs for network engineering will include modules on how to design
climate-resilient networks to withstand climate change risks and raise awareness around best 4.0
practices in energy conservation and energy efficiency measures for network infrastructure.
3.2: Supporting local content creation and innovation system
Adaptation
• At least one innovation challenge/hackathon will be focused on supporting digital climate adaptation 0.4
solutions, such as emergency apps.
4. Institutional Coordination and Project Management
Adaptation
• TA will be provided to conduct site-specific environmental assessments/plans, notably for large-scale 2.0
network deployment under Subcomponents 1.2 and 1.3 and data hosting investments under
Subcomponent 2.1 to identify climate risk mitigation measures to be implemented.
Mitigation
• TA to develop an e-waste management plan for equipment purchased under the project will be 0.08
provided, with related awareness raising.
Malawi
Climate vulnerability profile. Malawi is considered highly vulnerable to climate change, ranking 161 out of 185 countries included
for 2021 on the ND-GAIN Index. Climate-related disasters are already increasing in frequency and severity, with devastating
consequences exacerbating Malawi’s development challenges. This was recently highlighted by the President's declaration of a state
of disaster on March 23, 2024, since in 23 out of the country's 28 districts were affected by erratic rainfall, floods, and extended
periods of drought. Based on vulnerability assessment of telecommunication infrastructure from climate hazards in the Malawi CCDR
digital background note, Malawi’s network infrastructure is most vulnerable to riverine flooding, landslides, wildfires, and strong
winds.91 Among these risks, flooding is a recurring natural hazard throughout Malawi, particularly in the low-lying areas in the
southern part of Malawi. This region also suffers from poor coverage, and hence, limited network infrastructure. While damage may
be localized, the impact can be at the level of entire networks. Flooding can damage critical infrastructure, including disrupting the
country’s connectivity/broadband internet network for extended periods of time. Malawi’s economic diversification and
development is inextricably linked to climate resilience.
Climate Adaptation and Mitigation Activities under the Malawi Project US$, millions
Component 1: Affordable broadband and secure data hosting 80.0
1.1: Rural Connectivity 20.0
Adaptation
• Financing for expanded broadband coverage in rural areas will be based on a network design aimed at
achieving universal coverage of mobile broadband with focus on rural, traditionally marginalized and
climate-vulnerable communities/climate hotspots currently unserved or underserved by affordable and
quality internet services. Communities, especially in climate hotspots of the Lower Shire Valley (Chikwawa
and Nsanje), which are often subject to flooding, 92 have limited access to digital connectivity and digital
services, hampering the Government’s response to climate-related emergencies. Expanded connectivity
would allow these beneficiaries (notably schools, local government offices that host land management 10.0
registries and responsible for social protection administration) in the Lower Shire Valley to remain
91 World Bank Group. 2022. Malawi Country Climate and Development Report - Digital Sector Background Note. CCDR Series. Washington, DC:
World Bank.
92 World Bank. 2022. Malawi CCDR: Severe droughts also affect water levels in Lake Malawi, with implications not only for fisheries, but also for port
assets. Recurring floods, which increase the risks of subsidence, corrosion, and reduced stability of foundations and tower structures, also adversely
affect digital infrastructure. Floods, especially as seen in Lake Malawi, increase the risk of network infrastructure failure in the region, which would
in turn affect other critical infrastructure and services, such as power grids, railways, banking, and retail. Such a failure would exacerbate the impacts
of climate disasters. The Malawi Government announced a state of disaster for climate-related causes on March 23, 2024.
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connected during the time of crisis; have access to extreme weather alerts; and ensure digitally enabled
delivery of basic services, for example, emergency cash transfers through mobile money.
• Additional free Wifi hotspots planned under the project will be critical to ensuring that residents have
continued access to critical services. Being connected ensures business continuity and facilitates response
and recovery efforts after climate emergency. For example, under the Digital Malawi (P160533), an
emergency program of over 100 public WiFi hotspots was rolled out in schools, post offices, markets,
community centers, and airports, which was key during recent natural disasters such as cyclone Freddy.
• The final network design will be informed by site-specific climate risks identified in the climate risk
assessments (to be conducted by the operator and built into the tender). Adequate adaptation measures
will be embedded to make the new connectivity infrastructure is climate resilient.93
• Under the prepurchase of international internet capacity under long-term supply agreements to 500
government institutions using last-mile fiber or satellite, one of prioritization criteria will be to connect sites 10.0
that are in climate hotspots, to ensure uninterrupted service delivery in case of climate events.
Mitigation
• This investment will be used to roll out mobile broadband coverage in uncommercial rural areas, out of
which expectedly half (50 percent) will consist of new 4G/5G sites, while the remaining half (50 percent) will
be an upgrade of 2G cell sites to more energy efficient 4G/5G cellular technologies. 94
• For last-mile connectivity to institutions, expectations are that around half (50 percent) will be deployed
through energy efficient fiber optic cables,95 while the remaining will likely be a mix of LEO satellite and 4G
cellular, depending on the results of a competitive process.
• All connectivity-related activities financed will leverage the use of energy efficiency technologies and
measures to support energy conservation and GHG emissions that will surpass country’s current energy
efficiency levels and equipment procured for similar expansion projects and meet the best international
practices for environmental management96 and green ICT standards97 to the extent technically and
financially feasible. This includes adopting green (low-carbon) routing, using renewable (solar) energy
sources to power base transceiver stations or other equipment to the extent possible in rural and peri-urban
with limited or no access to grid electricity, and switching off routers and selective interfaces during low
demand.
a. Connecting schools and Higher Education Institutions 45.0
Adaptation 45.0
• Financing for broadband connectivity to 2,000 plus schools, will allow the Government to continue to offer
e-education, in case schools need to close in connection with climate events (to be detailed in bidding
documents). Under the Digital Malawi Project, for instance, connecting over 80 HEIs and over 100 public
93 Climate resilience measures for the broadband connectivity infrastructure will follow recommendations from ITU-T on adaptation
(Recommendation ITU L.1502) to determine the choice of technology, such as between underground and aerial fiber optic cables, and deploy
weather-resistant fiber optic, weather-proofing the ducts, poles, switches, sockets and appliances in the network, embedding elevation in the
communication towers to prevent damage from floods and heavy precipitation.
94 GSMA and World Bank report that energy efficiency improves severalfold from 2G/3G to 4G/5G, thus encouraging investments in and migration
from 2G/3G to 4G/5G to improve efficiency and reduce both energy consumption and carbon emissions per unit of data. GSMA. 2023. Going
Green: Benchmarking the Energy Efficiency of Mobile Networks (second edition) and World Bank. 2024. Green Digital Transformation: How to
Sustainably Close the Digital Divide and Harness Digital Tools for Climate Action. Climate Change and Development Series.
95 Without the World Bank’s intervention and in a non-project scenario, the use of energy-intensive microwave (instead of the modern energy
efficient fiber optic cables) for broadband connectivity would be far more extensive in Malawi.
96 Canfora, P., P. Gaudillat, I. Antonopoulos, and M. Dri., 2020. “Best Environmental Management Practice in the Telecommunications and ICT
Services Sector.” EUR 30365 EN, Publications Office of the European Union, Luxembourg
97 For instance, ITU-T, Green ICT Standards and Supplements (https://www.itu.int/net/ITU-T/lists/standards.aspx?Group=5&Domain=28).
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WiFi hotspots helped ensure business continuity during the COVID-19 pandemic as well as during recent
natural hazard events when students could not get to school. 98
• As noted above, the network design and network configuration for digital connectivity will be informed by
site-specific climate risks identified in the climate risk assessments.
Mitigation
• Similar to Subcomponent 1.1., expectations are that around half (50 percent) of last-mile connectivity
financed under Subcomponent 1.2. will be energy efficient fiber optic cables, and the remaining a mix of
LEO satellite and 4G cellular, depending on the result of a competitive process. All connectivity deployed
under this subcomponent will leverage the use of energy efficiency technologies and measures to support
energy conservation and GHG emissions that meet the best international practices for environmental
management99 and green ICT standards100 to the extent technically and financially feasible. This includes
adoption of green (low-carbon) routing, for example, using renewable (solar) energy sources to power base
transceiver stations or other equipment to the extent possible in rural and peri-urban with limited or no
access to grid electricity and switching off routers and selective interfaces during low demand periods.
1.3 Regional connectivity and climate resilience 10.0
Adaptation
• TA at the regional level will include development of regionally harmonized standards and guidelines for 5.0
climate-resilient infrastructure, for example, the network design and network configuration for digital
connectivity will be informed by site-specific climate risks (to be conducted by the operator and built into
the tender) and will require that adequate adaptation measures be embedded accordingly to make the
infrastructure financed under 1.1 and 2.1 climate resilient.
• Demand aggregation for internet capacity at the regional level will contribute to reduced cost of internet in
schools, health centers, and government departments that are located in climate hotspots and where 5.0
business continuity, facilitated by internet availability, in the aftermath of climate-related emergencies is
most essential.
1.4 Enhancing data hosting capacity and transition to cloud computing 5.0
Adaptation 5.0
• Current data hosting arrangements and infrastructure in Malawi (and the old server rooms) are vulnerable
to floods and other extreme climate events that could lead to large-scale data loss in the absence of
adequate backup and disaster recovery sites.101 The project will provide support to migrate government
data from the old server equipment located in multiple government agencies to the national data center
financed under previous Digital Malawi Phase 1 project, with the aim of preventing the loss of government
data, including due to heavy rain and cyclones. This will allow proper data hosting for strategic government
systems such as dynamic social registry and lands management (see 3.3. below). The project will also support
migration to enable cloud-based services at the national and regional levels, as well as backup options to
prevent data loss in the event of climate-related emergency, such as flooding. This will lead to improved
climate change resilience in digital government and data infrastructure, enabling improved government
business continuity and climate disaster response.
98 In 2023, tropical cyclone Freddy caused damage to 624 schools, 6 universities, and 3 colleges in Southern districts of Malawi. Over 700,000
learners were unable to attend school, and many were unable to access education for extended periods since schools were either destroyed or
being used as camps for displaced people. Tropical Cyclone Freddy, Emergency Response plan, Office of The President and Cabinet Departement of
Disaster Management Affairs March 2023, Malawi.
99 Canfora, P., P. Gaudillat, I. Antonopoulos, and M. Dri., 2020. “Best Environmental Management Practice in the Telecommunications and ICT
Services Sector.” EUR 30365 EN, Publications Office of the European Union, Luxembourg.
100 For instance, ITU-T, Green ICT Standards and Supplements (https://www.itu.int/net/ITU-T/lists/standards.aspx?Group=5&Domain=28).
101 The problem of water entering and causing damage to electrical parts in older server rooms during heavy rain events is already an issue. This
poses a significant and pressing risk of losing important data
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Component 2: Interoperable and secure data platforms 35.0
2.1 Next Generation Digital ID and ID verification capability 25.0
Mitigation
• Procurement of all ICT equipment for the upgraded digital ID system, including registration kits, laptops, and 15.0
printers will leverage high energy efficient technologies and measures to support energy conservation and
reduce GHG emissions using standards noted above, including Energy Star-certified ICT equipment and
solar-powered ID registration kits, which would surpass the energy efficiency levels of equipment existing
in the country.
• Older registration kits will be properly recycled in line with the e-waste initiative and strategy financed under
3.2.
• Physical and mobile ID enrollment sites will be powered with renewable energy solutions, to the degree 10.0
possible, reducing reliance on diesel-powered generators.
• Digital ID would allow for many services to be delivered digitally, thus eliminating the need to travel,
including by car, leading to significant reduction of CO2 emissions.
Adaptation
• In addition, investment in identity verification services will streamline the delivery of social protection
packages to more citizens, including response to climate change. The activity will improve the Government’s
ability to target beneficiaries and enable digital ID verification for cash transfer that requires proof of vital
events including in cases following floods or drought, for instance.
• The project also plans to support eKYC 102, which will support governments in making social safety net
payments and banks in processing mobile money transfers, both of which will help build resilience in the
event of climate-related emergencies.
• Component 2.1 will support climate related use cases in 3.3.
2.2 Extending the Bomalathu data exchange platform for Government and Financial Institutions 5.0
Adaptation 5.0
• Expansion of the data exchange platform Bomalathu by onboarding more MDAs, including government
agencies in charge of disaster risk management. This will facilitate identity verification for beneficiaries of
emergency payments, as well as timely exchange of data and quick development of e-services, including
those that support climate adaptation measures that are critical during natural disaster recovery, such as
emergency cash transfers.
• Investing in eKYC would lead to more people with bank accounts, which is key for beneficiaries of
compensation payments after extreme weather events.
• Expansion of e-services offered through the e-services portal being developed on the top of Bomalathu is
expected to improve business continuity and uninterrupted services delivery for government, citizens and
firms, when a natural disaster strikes.
• Component 2.2 will support climate related use cases in 3.3.
2.3 Enhancing policy and regulatory frameworks, and operationalizing the DPA 5.0
Adaptation 5.0
• Support to MACRA in developing guidelines for deployment of climate-resilient infrastructure and requiring
operators and broadcasters to provide capacity for emergency weather alerts, for example, by setting up
SMS capable of sending alerts to mobile users in the vicinity of mobile towers located in hazard exposure
areas.
Mitigation
102The use of manual Know Your Customer (KYC) processes by financial service providers and customers use of different forms of identification
makes it difficult and time-consuming to identify customers. To address these challenges and improve access to financial products and services,
electronic-KYC (e-KYC) and digital identity have been identified as potential solutions.
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• Procurement of all ICT equipment for data protection offices will be certified by Energy Star or equivalent
standards, which would surpass the energy efficiency levels of equipment existing in the country.103
Component 3: High impact digital services and productive digital usage 25.0
3.1 Support to Tech Hubs and Matching Grants for Digital Start-ups 10.0
Adaptation and mitigation: 10.0
• Seed funding to tech hubs across the country providing training to youth in digital literacy, advanced digital
skills, and digital entrepreneurship and sub-grants to digital entrepreneurs. One of prioritization criteria to
select the grantees, will be the focus of their work on climate resilience. The grants require that the
recipients focus on developing innovative solutions for climate change and the respective skills needed to
address climate related challenges.
• In addition, the grants will be awarded to deliver basic digital skills and training in the use of drones, AI, and
GIS for collection and use of geospatial and weather/health data available in the public domains, including
with the focus on how to use digital tools and data for climate change preparedness.
3.2 Participation in regional program on device affordability 5.0
Mitigation 5.0
• The device affordability program will be complemented by an e-waste initiative for recycling, repair, reuse
and resale, or safe disposal of laptops, phones, and solar panels that may be a product of this project and
other economic activities in the country.
• This activity will also include development of a national e-waste strategy (focusing on repair, recycle, and
reuse), capacity building, and TA to support drafting of the necessary regulations.
Adaptation
• This will be carried out in conjunction with the tech hubs, with a focus on skills development and jobs
creation for young people and PWDs, providing them with a better chance to earn income and reducing
their overall climate vulnerability.
3.3 Sectoral deep dives, including social protection, disaster and emergency response, financial inclusion, and 10.0
land management
Adaptation and mitigation 10.0
In line with national priorities, and in coordination with other projects in the World Bank portfolio in
Malawi104, seed funding provided under DMAP will complement the financing made available to Malawi in
sectors, namely social protection, climate and disaster management, financial inclusion, and land
management that all contribute to climate resilience in Malawi. This will include financial support for
streamlining safety nets and climate related emergency payments, digitization of these payments,
establishing early warning systems, as well as financial support for land management. In the latter case,
support will be provided to improve connectivity for land registries, identity verification, capacity building
for full use of new LIMS capabilities related to the use of GIS for planning and disaster response, the use of
LIMS dashboard for performance and efficiency tracking, development of technical capability to estimate
climate and hazard risks, and trainings focused on the use of geo-spatial data for forest preservation. The
project will also support integration of LIMS with e-Payment gateway, digitization of paper records and
certain aspects of rolling out the existing lands information management system launched by Government
in 2024. Improved management will also contribute to better management of flood related risks.
Component 4: Project Management 10.0
Mitigation
103 There are currently no national energy efficiency performance standards or energy labeling systems in Malawi. Source:
https://rise.esmap.org/country/malawi.
104 Sectoral projects that will benefit from support from DMAP include: Financial Inclusion and Entrepreneurship scaling project (P168577), Social
Support for Resilient livelihoods project (P169168), Social support for resilient livelihoods project second additional financing (P180152), and three
projects that are financing various aspects of land management, such as Food Systems Resilience Program for Eastern and Southern Africa (Phase
3) FSRP - (P177816) and Shire Valley Transformation Program – Phase 1 (P158805) and Phase 2 (P176575).
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Procurement of all ICT equipment for MITA and other government agencies such as the Ministry of Information
and Digitalization will be certified by Energy Star or equivalent standards, which would surpass the energy
efficiency levels of equipment existing in the country and follow international energy efficiency standards, such
as IEEE 802.3az and ITU-T Recommendation L. 1310.105
105 IEEEStandard for Information technology – local and metropolitan area networks – specific requirements - Part 3: CSMA/CD Access Method and
Physical Layer Specifications Amendment 5: Media Access Control Parameters, Physical Layers, and Management Parameters for Energy-Efficient
Ethernet: https://standards.ieee.org/ieee/802.3az/4270/ & ITU Recommendation L.1310 on Energy efficiency metrics and measurement methods
for telecommunication equipment: https://www.itu.int/rec/T-REC-L.1310/en?.
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ANNEX 7: Gender Equality
1. The IDEA project conforms to the World Bank’s upcoming Strategy to Accelerate Gender Equality for a
Sustainable, Resilient and Inclusive Future, 2024–2030, specifically its Pillar 2 that aims to expand and enable economic
opportunities for women. It adopts an integrated approach toward advancing women’s economic empowerment by
targeting systemic challenges and gender-specific barriers. For example, women face a gender gap in both internet access
and usage, as they not only have fewer opportunities to connect but also tend to use the internet less than their male
counterparts. Data from GSMA reveal that, in Sub-Saharan Africa,106 women are 37 percent less likely than men to use
mobile internet. Additionally, the significance of DPI in service delivery presents a specific challenge for women, creating
gender disparities in ID and access to services such as opening a bank account, or receiving social assistance payments. In
Kenya, 88.9 percent of women and 93.9 percent of men hold an ID, while in Zambia, the gender gap is more pronounced,
with 87.2 percent of women and 90.9 percent of men possessing IDs.107 Achieving meaningful participation of women in
these services requires ID verification and the possession of a bank or mobile money account. Third, women encounter
more pronounced obstacles in accessing enhanced employment opportunities, primarily stemming from significant
gender gaps in acquiring digital skills, among other contributing factors. As an example, in DRC, only 4 percent of females
and 13 percent of men ages 15–24 have digital skills.108 Additionally, while gender-disaggregated data on digital literacy
are limited at the national level, reports show that the region still displays low gender parity scores for digital skills.109
Several studies110 indicate that the internet, digital platforms, mobiles phones, and DFS provide opportunities to advance
and can contribute to reducing the gender divide by enabling women to earn supplementary income, broaden
employment options, and access knowledge and general information.
2. IDEA seeks to encourage the promotion of economic opportunities for women and foster gender equality in the
digital landscape. Hence it will be leveraged to narrow identified gender gaps in multiple ways. Through initiatives aiming
to provide additional connectivity support, affordable smart devices, and training for women and female-headed
households, the project will encourage women to participate in the digital economy. Inclusive enrollment strategies for
ID, including the simplification of application and registration procedures, awareness campaigns about the importance of
ID, and support for ID enrollment campaigns targeting women will contribute to an increased number of women and girls
possessing IDs. Moreover, to encourage productive digital usage, the project will support customized ICT and online safety
training dedicated to women, taking into consideration any constraints they may encounter.
3. Given the project’s strategic focus and targeted interventions to address the gender gaps identified, the
proposed project will include specific indicators to capture the impact of these interventions and a reduction in the
observed gender gaps. These measures will include a specific indicator tracking women’s access to and productive usage
of the internet as well as an indicator tracking the number of women who have received a digital ID. The collection of
gender-disaggregated data will be key to ensuring DPI is inclusive. Further, the Results Framework will include monitoring
of outcomes for female participants in digital skills training.
106 GSMA. 2021. The Mobile Gender Gap Report. https://www.gsma.com/r/wp-content/uploads/2021/06/The-Mobile-Gender-Gap-Report-
2021.pdf.
107 World Bank. 2021. ID4D Global Dataset.
https://documents1.worldbank.org/curated/en/099705012232226786/pdf/P176341132c1ef0b21adf11abad304425ef.pdf.
108 UNICEF. 2023. Bridging the Gender Digital Divide, Challenges and an Urgent Call for Action for Equitable Digital Skills Development .
109 ITU. 2022. Measuring Digital Development Facts and Figures.
110 OECD (Organisation for Economic Co-operation and Development). 2018. Bridging the Digital Gender Divide.
https://www.oecd.org/digital/bridging-the-digital-gender-divide.pdf.
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Summary Table
Analysis (identified gaps) Actions (Proposed intervention to Indicators (measures of
address gaps) progress in closing gaps)
Women face a gender gap in both internet access and Under Pillar 1, the project People using broadband
usage: they not only have fewer opportunities to encourages women to participate internet.
connect but also tend to use the internet less frequently in the digital economy through • Of which female
than their male counterparts. several initiatives, including
Why it matters: Lack of access to the internet can • The provision of affordable Target: to be adjusted per
severely limit opportunities for women. Without these devices for women and country
technologies, they are unable to reach crucial services • The provision of affordable Angola:
and information necessary to meet their basic life pricing models for devices • Baseline: 47%
needs.111 and smart devices for • Target: 2 million (40%)
• In Angola, for every 9 women using the internet, working women and mothers -
there are 10 men. Under Pillar 3, the project will DRC:
• In DRC, the ratio is 7.7 women for every 10 men develop training programs that • Baseline: 44%
when it comes to internet usage across all devices. target women and female-headed • Target: 15 million (50%)
• In Malawi, for every 3 women using the internet, households.
there are 10 men. Malawi:
Root causes: Sociodemographic, economic, and cultural • Baseline: 23%
factors as well as lack of basic skills have been shown to • Target: 1.5 million (50%)
be associated with gender gaps in internet access and
use.112
Women are less likely than men to own IDs, which Under Pillar 2, the project People with digitally verifiable
reduces their ability to take advantage of digital contributes to an increased identification.
services. number of women and girls • Of which female
Why it matters: Not having an ID can negatively affect possessing IDs by
women’s access to services and fulfillment of rights, such • Developing tailored Target: to be adjusted per
as obtaining a SIM card, benefiting from mobile phone awareness campaigns about country
services, using financial services, receiving financial the importance of ID; Angola:
support from the government, and so on.113 • Providing support to ID • Baseline: 0
• In Angola, while gender-disaggregated data on ID enrollment campaigns • Target: 5 million (50%)
possession are not available, reports indicate that a targeting women; and
birth certificate or a copy of a birth registry is • Designing inclusive Malawi:
required to apply for an ID card. Moreover, additional enrollment strategies for ID, • Baseline: 0
data show that a smaller proportion of women than including the simplification of • Target: 1.5 million (75%)
men are registered (56.3 % of men versus 50.8 % of application and registration Notes:
women). Except for the 2–14 age group, more men procedures. • Baseline is 0 for Malawi
than women are registered in all age groups.114 too, as the indicator refers
• In Malawi, 86.6 % of women and 83.3 % of men hold to digital ID.
an ID,115 but the difference is not statistically • DRC is not considered for
significant. this results chain
111 GSMA. 2021. The Mobile Gender Gap Report.
112 Kashyap, R., M. Fatehkia, R. A. Tamime, and I. Weber. 2020. “Monitoring Global Digital Gender Inequality Using the Online Populations of
Facebook and Google.” Demographic Research 43: 779–816. https://www.jstor.org/stable/26967824.
113 https://id4d.worldbank.org/global-dataset#highlights.
114 Data from 2024 ID4D Diagnostic of ID Systems in Angola, the World Bank. Data from 2014 was used for lack of more recent data.
115 Data from 2021 show that the difference found in the survey results is within the expected margin of error for the sample size, so there is not a
gender gap favoring men either–ownership is statistically equal.
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Analysis (identified gaps) Actions (Proposed intervention to Indicators (measures of
address gaps) progress in closing gaps)
Root causes: In addition to constrained mobility, and
financial hardships, limited literacy and burdensome
processes pose a significant challenge for women.116
Women frequently find themselves with less Under Pillar 3, the project Graduates of advanced digital
proficiency in digital skills compared to men, resulting encourages productive digital skills training programs
in limited access to improved job prospects and usage by women and girls and • Of which female
economic opportunities. economic empowerment via
Why it matters: Without digital skills, women face digital skills training by Target: to be adjusted per
significant barriers in advancing themselves, including • Providing customized and country
earning additional income, getting new employment certified digital skills and
opportunities, and acquiring knowledge.117 online safety training Angola:
• While gender-disaggregated data on digital literacy dedicated to women, taking • Baseline: 0
are limited at the national level, reports show that into consideration any • Target: 2,000 (50%)
the region still displays low gender parity scores for constraints they may
digital skills.118 encounter and DRC:
• As an example, the proportion of females and males • Developing certified training • Baseline: 0
who made or received a digital payment during the courses, including for • Target: 1,000 (33%)
survey year is as follows 138: women, and tailored to the
o Angola: 18 percent versus 32 percent private sector needs in HEIs People enrolled in digital skills
o DRC: 19 percent versus 32 percent and tech hubs. training program supported by
o Malawi: 36 percent versus 45 percent the project
• In DRC, alternative data from UN Women indicate
that while 6.7 percent of males can send email with DRC:
attached files, this proportion is as low as 1.6 • Baseline: 0
percent for females. Regarding advanced digital • Target: 2,000 (33%)
skills, while 0.5 percent of women can write a
computer program using a specialized programming Malawi:
language, this proportion is 1.0 percent for men. 119 • Baseline: 0
• In Angola and Malawi, although specific data on • Target: 5,000 (50%)
advanced digital skills are limited, there is clear
evidence indicating a gender gap in basic digital
competencies. About 58 percent of Angolan women
are literate—a low percentage compared to men (83
percent).120
• In Angola, during the survey year, only 15 percent of
women and 23 percent of men were recorded
making digital payments. In Malawi, during the
survey year, 6 percent of females and 9 percent of
males ages 15 and above made a digital in-store
116 Global ID Coverage, Barriers, and Use by the Numbers: Insights from the ID4D-Findex Survey, ID4D, the World
Bankhttps://documents1.worldbank.org/curated/en/953621531854471275/Global-ID-Coverage-Barriers-and-Use-by-the-Numbers-Insights-from-
the-ID4D-Findex-Survey.pdf; Achieving Universal Access to ID: Gender-based Legal Barriers Against Women and Good Practice Reforms, ID4D, the
World Bank https://documents1.worldbank.org/curated/en/606011569301719515/pdf/Achieving-Universal-Access-to-ID-Gender-based-Legal-
Barriers-Against-Women-and-Good-Practice-Reforms.pdf.
117 OECD. 2018. Bridging the Digital Gender Divide. https://www.oecd.org/digital/bridging-the-digital-gender-divide.pdf.
118 ITU. 2022. Measuring Digital Development Facts and Figures.
119 UN Women Data https://data.unwomen.org/.
120 GoA 2017.
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Analysis (identified gaps) Actions (Proposed intervention to Indicators (measures of
address gaps) progress in closing gaps)
merchant payment, using a mobile phone.
Additional data reveal that 1 percent of females and
2 percent of males have used a cell phone or the
internet to make online purchases.121
These statistics hint at the possibility of a continued
gender disparity extending into more complex digital
proficiencies.
Root causes: Among other factors, lack of education as
well as inherent biases and sociocultural norms curtail
women and girls’ ability to benefit from the opportunities
offered by the digital transformation.
Women are underrepresented among small and Under Pillar 3, the project will Firms and digital start-ups that
medium enterprise (SME) owners and leaders, encourage productive digital receive project support
especially in the digital field. usage by women and girls and (including from
Why it matters: This adversely impacts female economic economic empowerment via BDS/incubators, grant finance
empowerment but also the development of services and support for female-led schemes)
solutions that are attuned to women’s needs. businesses, including by • Of which are female-
• In Angola, while women play an active role in • Supporting accelerators, owned and -managed.
Angola's labor force, this segment is more likely to incubators, business
be employed by the informal sector and in low- development service Target: to be adjusted per
skilled jobs. Though not quantified, a gender gap in providers, and innovation country
skills (noted above) is noticeable in the centers to strengthen their Angola:
entrepreneurship ecosystem, where the tech start- ability to offer services for • Baseline: 0
ups are predominantly founded by men. Women digital start-ups and MSMEs • Target: 100 (25%)
have weaker access to finance: 14 percentage points (including female-owned
less likely than men to be financially included: 41% ones); DRC:
of women have access to an account, compared to • Scaling up financing for • Baseline: 0
55% of men (Findex). women-led and women- • Target: 30 (30%)
• In DRC, out of a sample of more than 2,000 MSMEs, 28% centered innovative solutions
of them were owned by women. This rate plummets to and pilot projects, including Survival rate of firms
16% for MSMEs in technology122. Women are less through grant financing and supported
involved in the labor market, with female participation at voucher schemes; • Of which are female-
60.7% (compared to 66.3% for men). Women are also • Networking and learning owned and -managed.
less likely to have skilled jobs, accounting for only 24.4% events and mentoring for
of professional and technical workers (75.6% are men). female entrepreneurs; Angola:
Root causes: Among other factors, sociocultural norms • Soft skills training for female • Baseline: 0
curtail women and girls’ ability to benefit from the entrepreneurs via tech hubs • Target: 7.5 (25%)
opportunities offered and weaker education attainment and business incubators.
has ripple effects on women’s participation in the • Awareness raising campaigns
entrepreneurship ecosystem. Available support services to ensure female
for start-ups and firms are often not tailored to women. participation in innovation
Weaker credit history and access to collateral also mean support programs.
that women tend to have weaker access to finance.
121 The Global Findex Database 2021.
122 Agapitova, N., Amah, M., and Tinsley, E. 2020. Social Entrepreneurship and inclusive growth in the DRC. World Bank.
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