PROGRAM INFORMATION DOCUMENT (PID) Appraisal Stage November 1, 2016 Report No.: 110038 Operation Name State Consolidation Development Program Region AFRICA Country Central African Republic Sector General public administration sector (60%);Public administration- Agriculture, fishing and forestry (10%);Public administration- Energy and mining (10%);Public administration- Health (10%);Public administration- Education (10%) Operation ID P160123 Lending Instrument Development Policy Lending Borrower(s) MINISTRY OF FINANCE Implementing Agency Date PID Prepared November 1, 2016 Estimated Date of Appraisal Estimated Date of Board December 1, 2016 Approval Corporate Review Decision Following Appraisal, it was decided to continue with negotiations of the operation Key development issues and rationale for Bank involvement 1 The RPBA finds that the deep-rooted causes of the country's fragility include the lack of social cohesion manifested by distrust and recurrent conflict among communities; the weak social compact between the state and the population, stemming in part from the poor quality of social services, particularly in education, and a weak justice, defense and security system; disparities between Bangui and the interior and between the eastern regions and the rest of the country; poor natural resource management and the growing scarcity of grazing lands; unresolved past traumas and impunity; and longstanding insecurity in certain regions. 1 2 Cf. World Bank, Policy Note, Poverty, 2016 3 For the purpose of the exceptional Turn-Around regime, a “turn-around” situation is defined as a critical juncture in a country’s development trajectory, providing a significant opportunity for building stability and resilience marked by: (i) the cessation of an ongoing conflict; and (ii)the commitment to a major change in the policy environment following (a) a prolonged period of disengagement from Bank lending; or (b) a major shift in a country’s policy priorities addressing critical elements of fragil ity. 2 3 4 Proposed Objective(s) Preliminary Description 5 6 4 The last UN Security Council Resolution on CAR - S/RES/2301 (2016): “The Security Council […] encourages the CAR Authorities, with the support of the international community, in particular with International Financial Institutions (IFI) leading international efforts, and based on critical peace and State building goals, to continue consolidating public financial management and accountability, including revenue collection, expenditure controls, public procurement and concession practices building on relevant international experiences and in a manner that allows it to meet the expenses related to the functioning of the State, implement early recovery plans, and revitalize the economy, and fosters national ownership and respects the sovereignty of the CAR”. 7 8 Poverty and Social Impacts and Environment Aspects Tentative financing 9 Source: ($m.) BORROWER/RECIPIENT 0.00 IDA Grant 20.00 Borrower/Recipient IBRD Others (specifiy) Total 20.00 Contact point World Bank Contact: Michel Ragnvald Mallberg Title: Senior Public Sector Specialist Tel: + 1 202 458 1511 Email: mmallberg@worldbank.org Borrower Contact: Gervais Doungoupou Title: Coordinator CS-REF Tel: +236 75 04 61 05 Email: gm_doungoupou@yahoo.fr For more information contact: The InfoShop The World Bank 1818 H Street, NW Washington, D.C. 20433 Telephone: (202) 458-4500 Fax: (202) 522-1500 Web: http://www.worldbank.org/infoshop 10