[left intentionally blank] Global Challenge Programs (GCPs) A One World Bank Group Initiative An Overview I. Summary 1. The Global Challenge Programs (GCPs) aim to help countries tackle key global challenges with greater scale, speed, impact, and with a line of sight to the Sustainable Development Goals. The GCPs are joint World Bank Group (WBG) offerings, bringing together our public and private sector arms through a coordinated approach to more effectively crowd-in public and private sector solutions and financing. The GCPs will be delivered through our country-based development model, leveraging partnerships with other development actors, and using the full suite of WBG financing instruments and knowledge to support innovation and learning. 2. The six GCPs were selected for their potential to scale delivery as One WBG and their contribution to the respective SDGs.1 They were chosen based on proposals from across the organization that were evaluated by WBG Management against a set of seven criteria,2 with the possibility to scale the program and address additional global challenges in the future. Across GCPs, particular emphasis is placed on solutions that address World Bank Group priorities for Fragility, Conflict and Violence (FCV), Climate Mitigation and Adaptation, Gender Equality and Inclusion. The GCPs recognize that public resources and other development financing will not suffice to address the scale of global challenges and are structured to enable the effective use of private capital to address these challenges. The GCPs will build and leverage knowledge internally and externally, through partnerships, to facilitate scale, speed and quality of delivery. The following six GCPs were selected to test this approach: i. Forests for Development, Climate, and Biodiversity: to build a sustainable forest economy in critical forest biomes. ii. Energy Access and Transition: to increase access to affordable, reliable, sustainable, and modern energy, by scaling up clean energy and phasing down fossil fuel use. iii. Accelerating Digitalization: to accelerate digitalization at scale to enable innovation and adoption of technology. iv. Food and Nutrition Security: to help break the cycle of food and nutrition insecurity by 2030. v. Enhanced Health Emergency Prevention, Preparedness and Response: to enhance capacity to prevent and prepare for health emergencies by strengthening health systems at country, regional, and global levels. vi. Fast-Track Water Security and Climate Adaptation: to strengthen water security in client countries through systems change and scaling-up more sustainable water management and disaster risk reduction solutions. 1 Please refer to each of the six GCP Approach Papers for details on their links to specific SDGs. 2 World Bank Evolution Process, Global Priority Programs (GPPs): Selection and Operationalization of GPPs. Paper discussed in a Board/Management Seminar on September 11, 2023. The seven criteria were: (i) Line of sight toward global challenges and One WBG approach; (ii) Standardized measurable outcomes and targets; (iii) Country demand; (iv) Well-defined set of interventions that are replicable and scalable with speed; (v) Ability to mobilize and deploy public and private financing and solutions; (vi) Program support and knowledge; and (vii) Incentives and partnerships. 3 II. What are GCPs? 3. GCPs are a new initiative that accelerate and scale our public and private sector solutions as one World Bank Group to support client countries to respond to global challenges. This is done through a focus on designing integrated public-private sector solutions that are replicable across countries and can be delivered at scale. For the WBG and its staff, GCPs bring teams together across the World Bank Group in a coordinated fashion. GCPs can be implemented through sequential, joint, or parallel efforts by IBRD/IDA, IFC, or MIGA. They have a clear development objective with line of sight to the WBG Scorecard outcomes, leverage partnerships with other development actors, and use the suite of WBG financing instruments and knowledge to support innovation and adaptive management, including through impact evaluations that inform future operations. GCPs are not sector strategies. Instead, they represent a subset of the overall WBG engagement in an area that is critical for supporting one or more SDGs. The value- added of a GCP is not in a simple aggregation of the existing pipeline, but in helping to shape the deployment and focus of World Bank Group instruments and approaches, working as One WBG, for delivering impact at scale. 4. The design of each GCP is context-dependent and will be determined by the nature of the global challenge, the level of development of a country, the scope and/or readiness for public and private sector solutions. The nature of the global challenge will determine the geographic focus of the GCP (e.g. the world’s most important biospheres, or food insecurity hotspots). The level of development of a country/region in a specific area will have an impact on the type of interventions and range of instruments deployed. And each GCP has the potential for a different entry point (in different countries) to scaling impact, which can translate into scaling proven concepts in traditional focus areas, new ways of doings things in traditional focus areas, or entering new spaces altogether, building-in the time needed to test and adapt the approach to maximize impact. Likewise, the One WBG approach will differ across GCPs and/or solutions, based on the enabling environment for private sector engagement, readiness of the market and maturity of the sector. i. GCPs are an integrated and complementary service offering from IBRD/IDA, IFC, and MIGA. For client countries, the value of GCPs comes from a holistic One WBG ‘delivery package’ that encompasses a suite of public and private sector solutions that leverage our respective institutional strengths for scale, speed and impact. The GCPs provide a platform to pull in a suite of instruments, targeted knowledge and partnerships. We are launching GCP initiatives across a range of countries and intend to learn by doing. This will create network and learning effects and allow us to channel and leverage lessons learned across country clients. It will also allow us to accelerate public and private sector lending and ensure that policy engagements are also geared towards enabling private capital mobilization. ii. For private sector clients, the GCPs provide an opportunity to invest in untapped markets through innovative approaches that help accelerate and maximize financing for development, while leveraging the deep knowledge and tools available within the WBG and other multilateral institutions. Through the coordinated public and private solutions embedded into the GCPs, private sector clients can benefit from direct engagements with the public arm of the institution, helping solidify the enabling environment through regulatory reforms that can help the private sector thrive in these priority sectors. iii. For partners, the GCPs represent a platform for engagement and coordination with the WBG as one single entity to leverage potential synergies and minimize the duplication of efforts in tackling the global challenges. Through cohesive partnerships, multilateral institutions and other development actors can engage with clients through a “single voice” that illustrate the incentives 4 and benefits for clients to tackle the global challenges, for example, through improved access to emerging best practices and knowledge or through added financial support from the private sector or other philanthropic partners. iv. For WBG staff, the GCPs provide an operating structure to come together to design and implement comprehensive solutions to help address some of the most intractable challenges facing our client countries. The GCPs present an opportunity to rally our institutional experience to address global challenges that cannot be solved by one actor alone. They will enable the use of the broad One WBG knowledge and our collective suite of instruments. We have already seen this in the development of the Approach Papers, where teams have come together to collectively ‘problem-solve.’ III. How are GCP activities selected? 5. GCP activities need to meet the following criteria. These criteria are considered binding in the implementation of GCP-related interventions and projects: • Client demand: Proposed activities will be driven by the WBG country engagement, with clear demand from one or multiple client countries, with the potential for private sector participation. • Replicability and scalability: Formulate a well-defined set of coordinated interventions that are replicable and scalable, with scale defined in terms of projected outcomes. • One WBG approach that demonstrates public and private sector solutions: Have a well- articulated theory of change that lays out (i) the complementary role of public and private financing, with a clear line of sight towards WBG Scorecard indicators and (ii) an entry point, as relevant for the country and sector, for a minimum of two WBG institutions (i.e., illustrating how IBRD/IDA, IFC, and/or MIGA will be leveraged). The approach does not systematically have to include interventions from all three institutions at the same time, but the narrative needs to highlight ex-ante conversations across all three and uphold a continued dialogue including around future / sequenced entry points as the project/program gets implemented. • Clear line of sight to the new WBG Scorecard: Set clear, quantifiable, and standardized indicators relevant to all WBG institutions, with results disaggregated by demographic group and client segments where feasible and relevant, in line with the new WBG Scorecard. • Crucial role of knowledge: GCPs will take a systematized and structured approach to knowledge through strengthened data, learning, diagnostics, and technical support to clients and teams. Systematized use of data and analytics will be emphasized throughout the GCP to: (i) optimize project design; (ii) test and adopt delivery strategies that generate the largest development impacts, including engagement that drive synergies between the public and private sectors; (iii) facilitate course correction in projects during implementation; and (iv) facilitate learning across projects to strengthen knowledge exchanges between countries. An adaptive learning approach across the World Bank Group and also involving other multilateral and local organizations will ensure that lessons learned inform the design of new operations, helping shape global agendas and strengthening our operational engagements over time. IV. GCP implementation 6. GCPs are conceived and implemented as “program-of-programs” to achieve impact at scale, amplified through a One WBG approach. A “program-of-programs” represents the potential for a combination of national, regional and/or global WBG projects, investments, and programs that come together in a holistic and sequenced fashion in a GCP. The various projects, investments, and programs subsumed under the GCP program collectively achieve results that are greater than the sum of the parts. 5 They will leverage partnerships and knowledge along the way to maximize impact. To illustrate: In the Forests & Biodiversity GCP, this entails a regional program that targets the largest tropical forest biomes (i.e. Amazon Incubator) while the global program focuses on developing deforestation-free supply chains, bio-economy, and economic diversification. In the Energy GCP, national programs foster collaboration between the government, development partners, civil society, and the private sector to support the preparation and implementation of government-owned strategy. Regional programs are aligned to horizontal MPAs to target specific results areas of the GCP (i.e. ASCENT MPA in providing energy access in Eastern and Southern Africa). Global programs work to accelerate the deployment of successful solutions through standardization. 7. The initial design and development structure of the GCPs is set-up around three layers of responsibility and accountability. There is a Steering Group at the World Bank Group Managing Director (MD) level, responsible for the overall guidance and direction of the GCP approaches and engaging with relevant World Bank Group staff involved in developing the GCPs. There are six GCP teams led by Sponsor VPs from IBRD/IDA, IFC, MIGA (see Annex 2). The leadership teams of each GCP consist of Directors, Managers, Technical Specialists across IBRD/IDA, IFC, MIGA and across matrices. Finally, there is a GCP Secretariat (consisting of corporate WBG VPs, Directors and technical staff), facilitating the set-up of the initiative, coordinating communication and engagements across internal stakeholders, and providing guidance to the teams on content and process. Through its monitoring and reporting functions, the Secretariat will facilitate consistency and cross-linkages across the GCPs, at least in the initial year. 8. GCPs will be delivered through the country-based development model as part of each country’s strategic priorities that are planned and programmed in the Country Partnership Frameworks. A country portfolio will consist of a mix of interventions, some of which may fall under one or more GCPs, and many others which will be tailor-made interventions to deliver on country priorities outside the realm of GCPs. By definition, not all of the WBG activities in a country can fall under the GCP criteria. Utilizing support through a GCP will be a national choice, discussed as an option as part of country engagement and as relevant in country context. The key incentives for staff preparing GCP operations is the ability to add value to client offerings through the One World Bank Group approach that leverages knowledge, partnerships, and financing across World Bank Group in a coordinated way. It allows for greater efficiencies by delivering standard scalable solutions to clients through cross-cutting virtual teams, increased speed through the use of simplified processes and approaches, and for learning to dynamically inform operations. 9. Financing for GCPs draws upon strengthened financial resources mobilized through the Evolution process. The process and criteria developed under the Framework for Financial Incentives (FFI) will apply to GCP projects as much as they apply to any other project. Projects that are tagged as GCPs and that create positive cross-border externalities can potentially benefit from the volume and/or price- linked incentives under the FFI. In line with the approach, projects will be considered for volume incentives, and if these are seen as insufficient, they will also be considered for price incentives depending on the availability of resources in the Livable Planet Fund. The GCP teams will also leverage carbon markets, existing trust funds, financial intermediary funds and blended financing through IDA and the Private Sector Window. Budgetary needs for the implementation of GCPs will be regularly assessed and included into the Evolution-related expenses for each budget cycle. 10. Governance: Accountability and Decision Making (ADM) framework. As the GCPs move into implementation, GCP leadership teams will be responsible for designing and putting forward project proposals that meet the GCP criteria. They will recommend projects for ‘tagging’ under the GCP at an early 6 stage of project preparation. Until the process is fully institutionalized, the tagging of GCP projects will be done by the Secretariat (or an alternate) to ensure compliance with the GCP criteria and jointly decided by the corporate and GCP Sponsor VPs. After an initial trial period, a decision on a more formalized governance structure will be made based on the varied experience across the six GCP teams and with the objective to embed GCP decision making into existing structures and processes as much as possible. Once selected, GCP-related projects will follow existing ADM processes based on the institution and product type. IT enhancements are under consideration to aid this process. For the time being and as long as needed, the Secretariat will maintain a regular cadence of check-ins with GCP teams to help push the program towards a “steady state”. V. Monitoring and reporting 11. Monitoring: Each GCP will have a results framework, using existing and new data sources, to monitor progress on the global challenge being addressed. Depending on the GCP, the proposed intervention, and the country context, results will be disaggregated by demographic group and client segments to measure the extent of GCP delivery in IDA, FCV and other high-risk context and across other priority areas for the WBG (gender, youth, etc.). Specific GCP programs and projects may have a results framework that track outcomes against established targets (e.g., AIMM for investment projects, MPAs, etc.). In addition, GCP contributions to the WBG Scorecard will be aggregated by constituent programs and projects. In line with the Knowledge Compact, the increased use of impact evaluations for adaptive management and implementation is envisioned as part of the GCP delivery. To build in learning and feedback loops into each GCP, the teams will develop their own set of criteria to trigger and standardize the use of impact evaluations. 12. Reporting: A progress report on GCP delivery will be discussed with the Board after one full year of implementation and henceforth annually. The report will briefly summarize the status of implementation of each GCP along their pillars/focus areas, looking back at the past 12 months and the anticipated results for the programs that were approved over that period. A consistent reporting template will be used to best illustrate the current implementation status of the GCPs, their portfolio, pipeline, expected impact, and in time, achieved impact. Data used for this will come from the ‘tagging’ of projects (discussed in paragraph 11). The annual report will also have a forward-looking element to preview the program pipeline and its anticipated results over the next 12 months (as applicable). Since projects under each GCP will be approved by the Board, there is also an opportunity for periodic updates at the time of relevant project discussions. VI. Conclusion 13. The Global Challenge Programs are a central element of our new playbook to achieve impact at scale and move the needle on the eight global challenges, and by extension on one or more SDGs. They are ambitious in their approach, bringing together the One WBG, where client demand is relevant and strong. The GCPs deliver solutions in a sequenced intervention logic with speed and impact, leveraging partnerships, WBG financing instruments and knowledge to support innovation and learning. The GCPs are intentionally selective, representing a subset of the overall WBG engagement in an area to maximize impact. They clearly define a set of Scorecard indicators that they contribute to and the line of sight to one or more SDGs. They fast track the WBG’s contribution to make a bigger difference and to narrow the gap to those goals. The GCPs are a departure from an incremental approach towards disruptive innovation and improvement at scale for the benefit of our clients and the world. 7 Annex 1: Frequently Asked Questions I. GCP – Structure, Scope, and Characteristics 1. What is the objective and rationale of a GCP? • Definition [what]: GCPs are a new initiative that accelerate and scale our public and private sector solutions as One World Bank Group to support client countries to respond to key global challenges with greater scale, speed, and impact. They have a clear development objective with line of sight to the Corporate Scorecard. • Purpose and objective [why]: To move the needle on addressing global challenges within the country-driven development model. • Means of delivery through [how]: a. Integrated public-private sector solutions that are replicable across countries and can be delivered at scale. b. For the WBG and its staff, GCPs bring teams together across the World Bank Group in a coordinated fashion. c. GCPs can be implemented through sequential, joint, or parallel efforts by IBRD/IDA, IFC or MIGA, while upholding a continued dialogue between all three institutions including around future / sequenced entry points as the project/program gets implemented. d. Leverage partnerships with other development actors and use the suite of WBG financing instruments and knowledge to support innovation and adaptive management, including through impact evaluations that inform future operations. 2. What is different about GCPs from ‘Business as Usual’ (BAU)? • Through the GCPs, IFC, MIGA and IBRD/IDA teams are jointly working in a deliberate and continuous way to find solutions to achieve common objectives. The Approach Papers are a first start where we see colleagues from all levels across the WBG sit together and jointly think through solutions to address some of the biggest challenges of our time. This entails a significant change in our business models, allowing for new programs, tools and approaches to be developed together over time. • For interventions to qualify under a GCP program, a refined set of “must-meet” project or program criteria is being developed. These include: (i) client demand from one or multiple countries, with the proposed activities embedded into the country engagement model; (ii) a focus on programmatic solutions that can be replicated and scaled; (iii) one World Bank Group approach to programming and delivery that should be well-articulated in a logical theory of change that illustrates clear entry points for a minimum of two WBG institutions in a sequential, joint or parallel way, while upholding a continued dialogue between all three institutions including around future/sequenced entry points as the project/program gets implemented; (iv) clear line of sight to the standardized and outcome-oriented indicators of new WBG Scorecard; and (v) illustrating a systemized and structured approach to knowledge—through strengthened data, learning, diagnostics and technical support—and to partnerships with other development actors. • GCPs are expected to bring additional value to clients beyond what each institution can deliver on its own by reaping benefits of complementarity through sequenced and targeted public and private solutions and financing. Emphasis is placed on enabling and mobilizing private sector participation, with this as a key consideration in supporting regulatory reform–essentially emphasizing the importance of comprehensive WBG engagement in working to address the global challenges. 8 3. What will the proposed approach look like across the GCPs? • Approaches across GCPs will vary depending on the country and/or regional context and the nature of the specific global challenge. The level of development, enabling environment/readiness of the private sector to come in, and WBG experience in the relevant space will determine the sequencing and coordination of IBRD/IDA, IFC and MIGA interventions and the range of instruments to be deployed. a. Global challenges differ in nature. This, along with country demand, will dictate the geographic focus of interventions. For example, food security and nutrition and water security will have more focus on IDA/FCS countries whilst the challenge of energy transition will focus on middle-income countries while energy access has a strong focus on Africa. b. Interventions will also depend on the level of development in a country – namely, focus on getting the basics right first in low-income economies (e.g. creating broadband infrastructure and affordability of devices vs. with data hosting, digital public infrastructure or green economy transition for countries further up the development ladder). c. Enabling environment and constraints to private investment: Depending on the strength of the enabling environment, early interventions under the GCP may have to focus on interventions that have a strong enabling angle. What sets the GCP apart is the strong upfront coordination and collaboration across institutions that is developed to target a common set of expected results (e.g. PCM), which ensures integrated programming and design even if specific interventions remain the prerogative of only one institution. 4. What does “program-of-programs” mean? • “Program-of-programs” represents the potential for a combination of national, regional and/or global WBG projects, investments and programs that come together in a GCP. Based on the needs and proposed approach of each GCP, various programs will use different approaches to meet their objectives, and collectively achieve results that are greater than the sum of the parts. They will leverage partnerships and knowledge along the way to maximize impact. 5. Will GCPs aim for specific targets in their areas and how are they formulated? Will PCM be relevant for all GCPs? • GCP teams have identified relevant scorecard indicators in each Approach Paper. Anticipated results will be included if already attributed to the GCP through operations that are either approved in FY24 or later. It is important to note also that targets are a combination of the supply and demand. As country client demand evolves and delivery of the GCP progresses, targets will be updated and adjusted. • In line with WBG Scorecard indicators, private capital mobilized and enabled will be included as a cross-cutting indicator that applies to all GCPs. 6. From a country’s perspective, what is different? How does the GCP approach link to country engagement and the Country Partnership Frameworks? • Each country’s strategic priorities are planned and programmed through the country-based development model as part of each country’s strategic priorities that are planned and programmed in the Country Partnership Frameworks. GCPs are one vehicle to deliver on identified country priorities. With the GCPs delivering impact at scale that is based on a one WBG planning and implementation, GCPs are an attractive but by no means the only vehicle to deliver on country priorities. A country portfolio will be consisting of a mix of interventions, some of which may fall under one or more GCPs, and many others which will be tailor-made interventions 9 to deliver on country priorities outside the realm of GCPs. By definition, not all of what the WBG is doing to support a country can fall under the GCP criteria. 7. Can you provide some illustrative examples of the differences across GCPs? • Energy GCP: There is a deep level of WBG understanding and experience of what is needed and what works to accelerate the energy transition. The innovation lies in a program-of-programs approach to achieve scale, amplified through a stronger One WBG approach. • Food Security and Nutrition: This GCP is focused on exploring how to do things differently in existing areas of WBG involvement. For example, new approaches to accelerate crisis response for food security, a re-focus on the first 1,000 days to prevent stunting. At the same time, it is exploring new areas altogether, such as Low-Emissions and Climate-Resilient Food Systems. This includes a collaboration of IBRD and IDA in EAP to develop a Low Emissions Rice (LER) MPA to curb high emissions from rice production, and increase private sector investments in LER production, working with large suppliers, farmers, aggregators, and processors of rice and with banks to reach low- and mid-tier rice producers. • GCP-Forests & Biodiversity/ GCP-Digitalization: Some areas are unchartered territory for the WBG altogether, such as the approach to forest-based economies (GCP-Forest & Biodiversity), or data hosting (GCP-Digitalization). As such, a more sequenced approach will be needed, for example, where early engagements are more heavily focused on IBRD/IDA to establish the institutional framework and regulatory environment required for private sector participation. 8. Can you elaborate how cross-cutting themes, such as FCV, Gender, and Climate will be tackled through GCPs? • Across the GCPs, particular emphasis will be placed on themes that are cross-cutting in nature such as FCV and Gender. Climate adaptation and mitigation also runs across many of the GCPs core goals in areas such as energy transition, forest and biodiversity, water and food and nutrition security. The GCPs’ focus on outcomes, as reflected in the Scorecard, will ensure due consideration of cross-cutting themes. Many of the Scorecard indicators used in GCPs can be disaggregated by gender and youth (where relevant), as well as FCV dimensions, allowing for the monitoring of trends to ensure that support is provided where it is most needed. 9. Can existing projects, even if approved months or years ago, be counted towards the GCPs? • The GCP criteria (see question 2) will be operationalized more concretely to identify whether a project or program falls under a GCP or not. These criteria are not all new, but they express a systematic approach to collaborate and leverage the most relevant instruments to address global challenges based on client demand. • “GCP-thinking” has already found its way to varying degrees into program and project development since GCP areas were selected in July/August 2023. Programs and projects designed since then and the existing pipeline can be included under the GCP umbrella depending on the extent to which they fit. The GCP portfolio of projects is also expected to gradually change over time as new knowledge and learning is operationalized into the GCP’s implementation. 10. How do the GCPs fit into the Evolution process and the operational reforms under the new playbook? • At its core, the GCPs are an operational response to deliver on aspects of the evolution process, such as delivering at scale to move the needle in global challenge areas. This requires the 10 identification of the right projects and investments, supported by appropriate financing envelopes to deliver impact. GCPs are an integral part of the new playbook. • The GCPs will contribute to the WBG Scorecard indicators, will leverage partnerships, the Knowledge Compact for Action to reinforce the complementarity between knowledge and financing, and will use streamlined and simplified internal processes. These will be aligned through a country-focused approach in line with our Enhanced Country Engagement, championing programmatic approaches, and drawing on the increased resources mobilized through the evolution process. • In line with priorities set as part of the Evolution process, private sector solutions are an integral part of the GCPs, with a focus on enabling reforms that support private capital mobilization. • GCPs need to leverage partnerships and knowledge, and they are designed to do that. Learning from implementation is as critical. Capacity building is embedded in many of the GCP activities, drawing on the Knowledge Compact, and this capacity development is both geared toward external and internal audiences. 11. How did we go from eight global challenges to six GCPs and how are they related? • The Evolution process identified eight (8) global challenges and emphasized the urgent need to address them. These are: (i) Climate change adaptation and mitigation, (ii) Fragility and conflict, (iii) Energy access, (iv) Protecting biodiversity and nature, (v) Enabling digitalization, (vi) Food & Nutrition security, (vii) Water security & access, and (viii) Pandemic prevention and preparedness. • The six (6) GCPs were selected after the first EDs seminar held in September and include: (i) Energy Transition, Efficiency & Access, (ii) Forests for Development, Climate & Biodiversity, (iii) Accelerating Digitalization, (iv) Food & Nutrition Security, (v) Fast-Track Water Security & Climate Adaptation, (vi) Enhanced Health Emergency, Preparedness & Response. The two global challenges that are not directly captured as GCPs—(i) Climate change adaptation & mitigation and (ii) fragility and conflict—are embedded and considered cross-cutting along all six GCPs. • The GCPs have a line of sight to the identified global challenges. Several of them relate to climate change (e.g. energy and water). Across GCPs, as these six programs are implemented, particular emphasis will be placed on Fragility, Conflict, and Violence. This will include a focus on implementation of GCPs in FCV countries, helping to address the interlinkages between FCV and global challenges such as food security and water access. 12. How are the GCPs and the Knowledge Compact linked? • GCPs will take a systematized and structured approach to knowledge through strengthened data, learning, diagnostics, and technical support to clients and teams. The lessons emerging from the GCPs will shape global agendas and strengthen our operational engagements over time. Knowledge will be embedded in the GCPs in four ways: 11 • First, learning from early/ongoing interventions through process and impact evaluations will provide information about effective interventions that can be replicated and scaled. • Second, research will be aimed at building effective diagnostics and appropriate solutions in line with cutting-edge knowledge in GCP related areas. • Third, the GCPs will leverage the Knowledge Academies to expand learning opportunities for public and private sector clients and staff, with a focus on capacity building for clients. • Fourth, partnerships in the areas of knowledge, financing and implementation support will be a crucial component of GCPs. II. GCP Implementation 13. How will GCPs approach Impact Evaluations differently to scale up their use and impact on the design and implementation? • Learning will be a key feature of the GCPs and will include rigorous impact evaluations integrated into the GCP design. The objective will be to use data and analytics throughout the implementation cycle to: (i) help rationalize project designs; (ii) test and adopt delivery strategies that generate the largest development impacts, including engagements that drive synergies between the public and private sectors; (iii) facilitate course correction in projects during implementation; and (iv) facilitate learning across projects to strengthen knowledge exchanges between countries. Lessons will continuously inform the design of new operations. • At the initial stages, some of the GCPs will integrate the ‘Trial and Adopt’ impact evaluations. These are typically carried out in the early stages of project design and implementation and help redefine project particulars to make them better suited for local contexts and improve impact. They are also a useful input to assess replicability and scalability of projects, a critical feature of GCPs. Trial and Adopt impact evaluations will also be very helpful in implementing GCPs in FCV contexts. • Thereafter, impact evaluations will be carried out for selected projects in each GCP to assess their effectiveness, replicability/scalability, and impact. • These results will feed into the design and implementation aspects of all WBG operations, within and outside of GCPs. They will also be a repository for knowledge exchange among clients and other development partners. 14. How will the GCPs be financed? What is the link to the Framework for Financial Incentives (FFI)? • Financing for GCPs draws upon strengthened financial resources mobilized through the Evolution process geared toward stepping up support for the new vision and mission and the eight global challenges. The rules and approaches discussed under the FFI for IBRD countries will apply to GCP projects. And these same criteria are also relevant for projects that are not tagged as GCPs. Therefore, those projects that are tagged as GCPs and which address global challenges to generate positive cross-border externalities, can potentially benefit from the volume and/or price linked incentives under the FFI. • Several aspects will factor into scaling up resources to achieve impact at scale. a. First, to start with, for IBRD/IDA GCPs will be financed from existing country allocations for IBRD/IDA. Given the criteria that will define whether the project qualifies as a GCP, these programmatic approaches will account for only a fraction of the total financing envelope for the sectors in different countries. b. Second, World Bank Group wide initiatives like the Balance Sheet Optimization measures (BSO) and the Framework for Financial Incentives will be another avenue for increased 12 financing for the challenges identified in the Evolution process. And GCP activities will be able to draw on them given their line of sight to these challenges, and the new vision and mission more broadly. c. Third, where appropriate, GCPs could leverage current TFs and FIFs, and reach out to partners for mobilizing additional resources. Nevertheless, the availability of concessional resources will be limited for GCPs and will depend on the sector/country context. d. Fourth, private sector mobilization is expected to provide a substantial source of financing to address global challenges, but with variations among GCPs. For example, energy and digital GCPs would likely be able to mobilize more from the private sector than the health emergency preparedness and response GCP. 15. How will partnerships be taken into account in the implementation of the GCPs? • The GCPs represent a platform for engagement and coordination with the WBG as one single entity to leverage potential synergies and minimize the duplication of efforts in tackling the global challenges. Through cohesive partnerships, multilateral institutions and other development actors can engage with clients through a "single voice" that illustrate the incentives and benefits for clients to tackle the global challenges, for example, through improved access to emerging best practices and knowledge or through added financial support from the private sector or other philanthropic partners. • The GCPs can inform and be linked to existing partnerships where the objectives align with the scope of the GCP. For example, in the case of Energy and ESMAP, under the new ESMAP business plan, it is adapting to better support energy access and transition with larger and longer-term commitments through technical assistance for preparatory support, institutional strengthening, and implementation support. ESMAP will play a central role in the scale-up of the Bank's energy pipeline and its new business plan will reflect the level of donor grant support to deliver the GCP- E. The GCP-E will help ESMAP do better work with connecting clients with knowledge, trying new things, and leveraging donor funding to bring more money into the sector. 16. How will GCPs be implemented? • Thus far, the cross-institutional collaboration experience has been positive, but the intent is to continue adapting the structure and learning by doing. The WBG GCP Secretariat will continue to play a facilitation and coordination role. The WBG GCP operational teams will drive implementation and will be responsible for delivery. Each GCP team is sponsored by VPs and directors from across IBRD/IDA, IFC and MIGA. • We envisage an administrative model, where the GCP Secretariat would be a One WBG team to provide centrally managed key functions that have been identified across all GCPs and require consistency. This GCP Secretariat is envisaged at least for the initial year of implementation, and its role will be reassessed after that. In line with the country-based development approach of WBG engagement with clients, GCPs will be implemented by the operational teams in close collaboration with the IBRD/IDA verticals, IFC industries and MIGA. GCP pipeline development and implementation will follow standard reporting lines and rest with the WBG delivery teams, embedded into regional, industry and practice groups within IBRD/IDA and their equivalent functions in IFC and MIGA. • Each GCP team will continue to adapt through a ‘sandbox approach’ – innovating and trying different methods that will guide future implementation. The GCP Secretariat will collect, and share the lessons learned in the process. 13 17. How does each GCP map to the WBG Scorecard? WBG Scorecard Indicator Energy Forests & Digital Food & Water Health Biodiversity Nutrition People Mil. of beneficiaries of social safety net programs Mil. of students supported with better education Mil. of people receiving quality health, nutrition x x and population services Mil. of people benefitting from strengthened capacity to prevent, detect, and respond to health x emergencies Prosperity Countries at high risk or in debt distress that implemented reforms towards debt sustainability Countries with tax revenues-to-GDP ratio at or below 15% that have increased collections Planet Net GHG emissions per year x x x Mil. of people with enhanced resilience to climate x x x risks Mil. of hectares of terrestrial and aquatic areas x x under enhanced conservation and management Mil. of people provided with water, sanitation, and x hygiene, of which (%) is safely managed Mil. of people with strengthened food and x x nutrition security Infrastructure Mil. of people that benefit from improved access to sustainable transport infrastructure and services Mil. of people provided with access to electricity x GW of renewable energy capacity enabled x Digital Mil. of people using broadband internet x Mil. of people using digitally enabled services x x x Cross-Cutting Themes Mil. of people benefitting from greater gender equality, of which (5) from actions that expand x x and enable economic opportunities Mil. of new or better jobs, of which (%) for women x and youth Mil. of displaced people and people in host communities provided with services and x livelihoods $ billions in total private capital enabled x x x x x x $ billions total private capital mobilized x x x x x x * In line with the WBG Scorecard, where feasible and relevant, indicators will be disaggregated by sex, youth, FCS, disability inclusive, country income groups, regions, Small States/Small Island Developing States/LDS, IDA/IBRD/IFC/MIGA and WBG Joint Programming. 14 18. How will GCP delivery be monitored and reported? • We are currently still looking into the best way to monitor and report on the GCPs to minimize the reporting burden for implementing teams and to streamline processes to the extent possible across the three institutions, taking into account other ongoing initiatives (i.e. WBG Scorecard, Knowledge Compact, Financial Incentives Framework, etc.). It is likely that a system will have to be put into place to determine whether particular programs or projects fit under a GCP. • GCP contributions to the WBG Scorecard will be aggregated up by constituent programs and projects. In addition, programs/ projects may have a specific framework that tracks outcomes against targets (e.g. AIMM for investment projects, MPAs). Where relevant and feasible, results will also be disaggregated by demographic group and client segments in line with the new WBG Scorecard • Increased use of impact assessments is envisioned as part of the GCP delivery. • An annual progress report on GCP delivery will be shared with the Board. 19. What are the budgetary implications of GCPs? • Budgetary needs for the implementation of GCPs will be regularly assessed and included into the Evolution-related expenses for each budget cycle. • The budgetary resources allocated to GCPs in FY25 are needed to design and launch the programs, training, support to pipeline development and implementation, developing monitoring and evaluation tools, disseminating knowledge, and reporting progress. Separately, funds have been allocated to elevating data quality and availability across the organization, including speeding up the gathering, processing, and sharing of data, and securing new sources of data. 15 Annex 2: List of Sponsor VPs by GCP GCP Sponsor VPs Energy Transition, Efficiency and Guangzhe Chen (GGIVP), Junaid Ahmad (MIGCO), Riccardo Puliti Access (IFC), Victoria Kwakwa (AFEVP), Manuela Ferro (EAPVP) Accelerating Digitalization Guangzhe Chen (GGIVP), Pablo Saavedra (GGEVP), Ethiopis Tafara (MIGCS), Mohamed Gouled (IFC), Antonella Bassani (ECAVP) Enhanced Health Emergency Mamta Murthi (GGHVP), Juergen Voegele (GGSVP), Junaid Ahmad Prevention, Preparedness and (MIGCO), Hela Cheikhrouhou (IFC), Ousmane Dione (MNAVP) Response Food and Nutrition Security Juergen Voegele (GGSVP), Mamta Murthi (GGHVP), Junaid Ahmad (MIGCO), Sergio Pimenta (IFC), Ousmane Diagana (AFWVP) Forests for Development, Climate, Juergen Voegele (GGSVP), Ethiopis Tafara (MIGCS), Alfonso Mora and Biodiversity (IFC), Felipe Jaramillo (LCRVP) Fast-Track Water Security and Juergen Voegele (GGSVP), Junaid Ahmad (MIGCO), Mohamed Climate Adaptation Gouled (IFC), Martin Raiser (SARVP) 16