The World Bank The Gambia - Growth & Competitiveness (P114240)
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1 Public Disclosure Authorized AFRICA Gambia, The Financial and Private Sector Development Global Practice IBRD/IDA Specific Investment Loan FY 2011 Seq No: 8 ARCHIVED on 23-Dec-2014 ISR17317 Implementing Agencies: Gambia Tourism Board, The Investment & Export Promotion Agency Public Disclosure Authorized Key Dates Key Project Dates Board Approval date:30-sep-2010 Planned Mid Term Review Date:17-Jun-2013 Original Closing Date:15-Dec-2015 Project Development Objectives Effectiveness Date:12-Jan-2011 Actual Mid-Term Review Date:24-Jun-2013 Revised Closing Date:15-Dec-2015 Public Disclosure Authorized Project Development Objective (from Project Appraisal Document) The Project Development Objective (PDO) is to improve the investment climate and strengthen the competitiveness of key sectors of the Gambian economy. Has the Project Development Objective been changed since Board Approval of the Project Objective? No PHRPDODEL Components Name A. Improving the Business Environment:(Cost $2.60 M) Public Disclosure Authorized B. Strengthening Economic Clusters:(Cost $7.50 M) C. Project Implementation:(Cost $1.90 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Satisfactory Overall Risk Rating -- Substantial 12/23/2014 Page 1 of 8
2 Implementation Status and Key Decisions This ISR reflects the findings of a reverse mission conducted from August 2014 and the 3rd quarterly project progress report. Total disbursement is 65%, with an additional 10% of the funds committed. Overall, project implementation is showing good progress.. (1) Under the Improving Business Environment Component; recent improvement in implementation progress include: The one-stop enterprise registration shop is operational and registration can also take place on-line. The revisions to the enterprise registration legislative regime have led to an improved ranking for the Gambia on the 2015 Ease of Doing business rankings. From July through end September, three hundred and fifty six (356) businesses were registered; five thousand five hundred and one (5,501) individual enterprises have been registered since February 2014, in addition to ten (10) companies majority financed by foreign investors and twenty six (26) Partnerships. Other support provided has ensured the system can now function without power interruptions; The construction of a new and easier to access premises to house the business registration center is now progressing after some delays. (ii) The Movable Collateral Registry Bill has been passed by Parliament and is waiting Presidential assent, the system is already installed within the premises of the Central Bank, and is expected to go live once its signed into an Act. (iii) The Gambia Investment & Export Promotion Agency continues to show good implementation progress and will require additional resources to complete their work plans. Three investments applications to be provided special investment certificates are being processed by the agency - these proposed investments have the potential to add over 140 jobs on initial investment amounts of about $5.5 Million. 2: Under the Competitiveness Program, very good progress is being made: Due to a reported case of fruit-fly incidence in France, as a precautionary measure, mangoes for export were stopped in July, however, the season has recorded significant increases in the purchase and export of mangoes, collectively the two Investor firms bought 352 tonnes of mangoes from 237 outgrowers. Plans for certification to GlobalGap Option II are underway. Seventy (70) SMEs have benefitted from business development services support under the project. Investor firms have now been identified under the 2 new windows under the Matching Grant scheme which were introduced when the project was restructured, these windows have now become operational. The Tourism sub-component which had seen very good progress is now being derailed by the Ebola tragedy in the sub-region. The goal of all year round tourism has suffered a major hit: Tour operators are reporting sales of around 50% leading to cancellation of up to 8 flights to the Gambia from just one operator; others have followed suit, including new non-traditional tourist markets which had been recently signed up, cruise lines have also totally cancelled scheduled cruises to the Gambia, etc. For example, 1. Thomas Cook, UK; one of Gambia s largest tour operators reported 51% for seat sales and 52% for package sales; leading to cancellation of three of their eight flights to Banjul. 2. Gambia Experience has recorded over 200 cancellations to date leading to cancellation of one of their two flights. 3. For Correndon, sales are down by 20%, resulting in cancellation of one of their three flights to Banjul. 4. TUI Holland: Sales are down by 25% so far, as a result their regular Sundays shared flight with Dakar has been cancelled, and one of the direct flights to Banjul is now being shared with Cape Verde, leaving only three out of five flights. 5. Rainbow Tours of Poland which started operations last winter season with record sales had planned for two flights this season instead of one. As at now, due to low sales, the company has suspended the planned second flight for this winter season, and deferring their start date for 2 months. 6. Gambia Bird airlines has already lost 50% of their schedule, their U.K. schedule reduced to one instead of two flights per week. This airline was also a good connection and served as a feeder to the sub-region, resulting in a "disaster" for sub-regional tourism goals. 7. Brussels Airlines recorded 60% decline in sales since the Ebola threat was publicized, resulting in the cancellation of one flight out of four per week in August and this could further be reduced should sales not increase. 8. Variety Cruise, Fred Olsson cruises and two more cruise liners have cancelled their programs to the Gambia in their entirety. 9. Thomas cook Northern Europe has cancelled all four of their flights. While mitigation measures are being implemented through joint marketing promotions, public relations, and writing of favorable articles in popular journals, the impact of the Ebola tragedy is going to be significant, in a negative way. The Gambia Tourism & Hospitality Institute continues to operate on a satisfactory basis - five hundred and forty seven (547) were enrolled for the 2013/24 academic year. Project Management, including and Monitoring & Evaluation continues to show good progress, and the procurement and financial management functions are rated satisfactory. 12/23/2014 Page 2 of 8
3 Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance Substantial Macroeconomic Substantial Sector Strategies and Policies Moderate Technical Design of Project or Program Moderate Institutional Capacity for Implementation and Sustainability Moderate Fiduciary Moderate Environment and Social Low Stakeholders Low Other Overall Substantial Results Project Development Objective Indicators 12/23/2014 Page 3 of 8
4 PHINDPDOTBL Cost of registering a business (Percentage, Custom) Value Date 12-Jan Mar Nov Dec-2015 PHINDPDOTBL Incremental percentage increase in horticulture sales (Percentage, Custom) Value Date 12-Jan Jun Nov Dec-2015 PHINDPDOTBL Percent increase in the number of tourist arrivals from non-traditional markets (Percentage, Custom) Value Overall Comments Intermediate Results Indicators Time to receive a business licence (Number, Custom) Value /23/2014 Page 4 of 8
5 Percent increase in the value of new investments attributed to GIEPA (Percentage, Custom) Value Percent increase in the number of new investments attributed to GIEPA (Percentage, Custom Supplement) Value Date 12-Jan Jun Apr Dec-2015 Direct project beneficiaries (Number, Core) Value Date 12-Jan Mar Nov Dec-2015 Female beneficiaries (Percentage, Core Supplement) Value Date 12-Jan Jun Mar Dec /23/2014 Page 5 of 8
6 Increase in average annual sales growth of assisted firms compared to non-assisted firms (Percentage, Custom) Value Date 12-Jan Jun Nov Dec-2015 Participating farmers in the out-grower scheme (Number, Custom) Value Number of full time graduates from the Gambia Tourism and Hospitality Institute (Number, Custom) Value Date 12-Jan Mar Nov Dec-2015 Number of continuing professional development training hours delivered (Number, Custom) Value /23/2014 Page 6 of 8
7 Percent increase in the incomes of farmer groups participating in vegetable out-grower scheme (Percentage, Custom) Value Date 01-Aug Nov Dec-2015 Income of famer groups participating in the poultry out-grower scheme increased (Percentage, Custom) Value Date 01-Aug Nov Dec-2015 Overall Comments Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P IDA-H6140 Effective XDR % Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P IDA-H6140 Effective 30-Sep Oct Jan Dec Dec-2015 Cumulative Disbursements 12/23/2014 Page 7 of 8
8 Restructuring History Level 2 Approved on 16-Jan-2014 Related Project(s) There are no related projects. 12/23/2014 Page 8 of 8
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