Ghana: March 2017

Evaluation of the Bank's Country oftheBank'sCountry Evaluation Strategy andProgram Strategy Summary Report Summary 2002–2015 Ghana: March 2017

An IDEV Country Strategy Evaluation IDEV conducts different types of evaluations to achieve its strategic objectives

Evaluation Syntheses

Impact Evaluations Sector Evaluations

(Public Sector)

Project Performance Evaluations

Thematic Evaluations Project Cluster Evaluations

Project Performance Evaluations

(Private Sector)

Corporate Evaluations Regional Integration Strategy Evaluations

Country Strategy Evaluation

Country Strategy Evaluations Evaluation of the Bank's Country oftheBank'sCountry Evaluation Strategy andProgram Strategy Summary Report Summary 2002–2015 Ghana: March 2017

An IDEV Country Strategy Evaluation ACKNOWLEDGMENTS

Task manager Madhusoodhanan Mampuzhasseril, Principal Evaluation Officer Task team member Erika MacLaughlin, Evaluation Consultant Consultant(s) Derk Bienen, Enrico Giannotti, Daniel Kwagbenu, Emmanuel Baudelet, Valentin Gerold and Timothée Picarello, BKP-Economisti Consortium Internal Bank reference group Ghana Field Office: Marie-Laure Akin-Olugbade, Samuel Turay, Eline Okudzeto, Sheila Enyonam, Efua Amissah-Arthur, Moses Ayiemba, Nanette Derby (Private Sector Department), Tabi Karikari (Agriculture and Agro-industries Department), Wilberforce Aminiel Mariki (Regional Department for West Africa), Jonathan Nyamukapa (Procurement and Fiduciary Services Department), Mam Tut Wada (Transport & ICT Department); AfDB Headquarters: Patrick Agboma (Agriculture and Agro-industries Department), and Djamali Ibrahime (Energy, Environment and Climate Change Department) Knowledge management officer Jayne Musumba, Principal Knowledge Management Officer; Najade Lindsay, Junior Consultant, Knowledge Management and Communications

Other assistance/contributions Joseph Mouanda, Principal Evaluation Officer; Carla Felix Silva, Evaluation Consultant; Michel Tano Aka, Research and Data Analysis Consultant Special thanks to All Bank staff and in particular country team members for their contribution and good cooperation during the evaluation phases.

Division manager Samer Hachem Evaluator General Rakesh Nangia

Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report IDEV Country Strategy Evaluation, March 2017

Disclaimer Unless expressly stated otherwise, the findings, interpretations and conclusions expressed in this publication are those of the various authors of the publication and are not necessarily those of the Management of the African Development Bank (the “Bank”) and the African Development Fund (the “Fund”), Boards of Directors, Boards of Governors or the countries they represent. Use of this publication is at the reader’s sole risk. The content of this publication is provided without warranty of any kind, either express or implied, including without limitation warranties of merchantability, fitness for a particular purpose, and non- infringement of third-party rights. The Bank specifically does not make any warranties or representations as to the accuracy, completeness, reliability or current validity of any information contained in the publication. Under no circumstances including, but not limited to, negligence, shall the Bank be liable for any loss, damage, liability or expense incurred or suffered which is claimed to result directly or indirectly from use of this publication or reliance on its content. This publication may contain advice, opinions, and statements of various information and content providers. The Bank does not represent or endorse the accuracy, completeness, reliability or current validity of any advice, opinion, statement or other information provided by any information or content provider or other person or entity. Reliance upon any such opinion, advice, statement, or other information shall also be at the reader’s own risk.

About the AfDB The overarching objective of the African Development Bank Group is to spur sustainable economic development and social progress in its regional member countries (RMCs), thus contributing to poverty reduction. The Bank Group achieves this objective by mobilizing and allocating resources for investment in RMCs and providing policy advice and technical assistance to support development efforts.

About Independent Development Evaluation (IDEV) The mission of Independent Development Evaluation at the AfDB is to enhance the development effectiveness of the institution in its regional member countries through independent and instrumental evaluations and partnerships for sharing knowledge.

Independent Development Evaluation (IDEV) African Development Bank Group Avenue Joseph Anoma, 01 BP 1387, Abidjan 01, Côte d’Ivoire Phone: +225 20 26 20 41 E-mail: [email protected] idev.afdb.org

Design & layout: CRÉON – www.creondesign.net Original language: English – Translation: AfDB Language Services Department Contents

Acknowledgements ii Abbreviations and Acronyms v Executive Summary 1 Management Response 9

Introduction 23

Background 23 Economic Context 23 Development Context 24 Development Challenges 24

Overview of the Bank's Country Strategies and Program 26 Overview of Strategic Priorities 26 Project Portfolio 26

Evaluation Approach and Methodology 28 Evaluation Issues and Questions 28 Methodology 28

Evaluation Findings 29 Relevance 29 Effectiveness 30 Policy Dialogue and Knowledge Work 43 Achievement of Strategy Outcomes 43 Efficiency 52 Sustainability 55 Crosscutting Themes 60 Quality at Entry 61 Leveraging and Cofinancing 64 Supervision 64 Results Based Management 66

Conclusions 68

Recommendations 70 Annexes 73 Contents

List of figures Figure 1 Evaluation Findings by Issue 2 Figure 2 Effectiveness Ratings by Sector 3 Figure 3 Operations and Amount Approved (2002-2015) 27 Figure 4 Operations and Funds Approved by Sector (2002–2015) 27 Figure 5 Key Business Environment Indicators 33 Figure 6 Exports to ECOWAS Partners (USD Millions) 44 Figure 7 Exports of Foodstuffs and Vegetables (USD Millions) 45 Figure 8 Access to an Improved Water Source 47 Figure 9 Access to Sanitation Facilities 48 Figure 10 Gross and Net Primary School Enrolment 49 Figure 11 Gross and Net Secondary School Enrolment 49 Figure 12 Number of New Businesses Registered (2004-2012) 50 Figure 13 Domestic Credit to the Private Sector 51 Figure 14 Disbursement Rates (2004-2013) 54

List of tables Table 1 Scores for Key PEFA Indicators 35 Table 2 Crop Productivity and Yields (mt/ha) 36 Table 3 Vegetable Production (mt) 37 Table 4 Household incomes of horticultural crop farmers (USD) 37 Table 5 Transport Infrastructure - Network Condition 46 Table 6 Key Macroeconomic Indicators 52 Table 7 Average Time to First Disbursement (number of months/days) 53 Abbreviations and Acronyms v

Abbreviations and Acronyms

AADT Average Annual Daily Traffic GOG Government of Ghana

ASIP Accra Sewage Improvement Project GOPDC Ghana Oil Palm Development Company

APDADP Afram Plains District Agricultural GPRS Ghana Poverty Reduction Strategy Development Project GRF Ghana Road Fund BSP Bulk Supply Point ICT Information and Communication CFM Community Forestry Management Technology

CMMC Community Maintenance and Man- IDEV Independent Development Evaluation agement Committee IPP Independent Power Producer CSP Country Strategy Paper ISP Institutional Support Program CWSA Community Water Supply Agencies LGS Local Government Service DACF District Assemblies Common Fund LMIC Lower Middle Income Country DDF District Development Facility LOC Line of Credit DSIP Development of Skills for Industry Project MDA Ministries, Departments and Agencies

DSSEP Development of Senior Secondary MDBS Multi-Donor Budget Support Education Project Country Strategy Evaluation MIC Middle Income Country EBID ECOWAS Bank for Investment and

MMDA Metropolitan, Municipal and District An IDEV Development Assemblies ECG Electricity Company of Ghana MoFEP Ministry of Finance and Economic ECOWAS Economic Community of West African Planning States MPI Market Penetration Index EMQAP Export Market and Quality Awareness MSME Micro, Small and Medium Enterprise Project NHIS National Health Insurance Scheme FOAT Functional and Organization Assess- ment Tool NPL Non-Performing Loan

GHFO Ghana Field Office PBO Policy Based Operation

GHS Ghana Cedi PCR Project Completion Report

GIFMIS Ghana Integrated Financial Manage- PEFA Public Expenditure and Financial ment Information System Accountability vi Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

PIU Project Implementation Unit SMART Specific, Measurable, Assignable, Realistic, Time-bound PFM Public Financial Management SSSS Single Spine Salary System PPA Power Purchase Agreement STA Single Treasury Account RBESP Poverty Reduction and Business Environment Support Program STTEP Sustainable Tsetse Fly Eradication Program PRSL Poverty Reduction Support Loan TICO Takoradi International Company PSREP Power Systems Reinforcement and Extension Project RCDP Road Corridor Development Program

RBM Results-Based Measurement RWSSP Rural Water Supply and Sanitation Program RMC Regional Member Country SPEG Sea-Freight Pineapple Exporters of GSGDA Ghana Sustainable Growth and Ghana Development Agenda TSA Treasury Single Account HIPC Highly Indebted Poor Country TVET Technical and Vocational Education HSR Health Services Rehabilitation and Training

IFI International Financial Institution UPRP Urban Poverty Reduction Project

IAA Internal Audit Agency USD United States Dollar

IAU International Audit Unit VOC Vehicle Operating Costs SIT Social Inclusion Transfer Executive Summary 1

Executive Summary

This report presents a summary of findings, How did IDEV evaluate? conclusions and recommendations from an evaluation of the Bank's Country Strategies and The evaluation primarily addresses: (i) Program in Ghana over the period of 2002–2015. relevance; (ii) effectiveness; (iii) efficiency; This evaluation: (i) provides an evidence-based and (iv) sustainability. However, other strategic assessment of the relevance and performance of issues have also been considered, including the Bank's interventions in Ghana; and (ii) identifies crosscutting themes, quality at entry, leveraging findings, conclusions and recommendations to and co-financing, supervision and results- inform strategy and operations going forward. based management. Each issue was assessed through the triangulation of evidence from: (i) project documents and data; (ii) available What did IDEV evaluate? literature; (iii) stakeholder interviews; and (iv) site visits. In total, the evaluation reviewed over The evaluation covers three Country Strategy Papers 175 project documents and other literature, (CSPs) and all lending and non-lending activities collected feedback from over 250 stakeholders approved between 2002 and 2015. During this and conducted site visits of 17 projects (Annex F). time, the Bank has sought to promote sustainable, Each evaluation issue is assessed on a six-point private sector-led growth and poverty reduction in scale ranging from Highly Unsatisfactory to Highly Ghana through: (i) improving the business regulatory Satisfactory. environment; (ii) improving infrastructure and service delivery; and (iii) promoting good governance and sound An evaluation matrix and theory of change were macroeconomic management. At the sector level, developed to guide data collection and analysis Country Strategy Evaluation emphasis has shifted from agriculture and basic service (Annex A and C). Achievement of results are delivery to the development of energy infrastructure and assessed for each sector based on sector results provision of budget support. chains which reflect both the CSP objectives and An IDEV outcomes identified across individual projects. The portfolio under review comprises 44 projects, The evaluation also identifies the progress made four studies, one technical assistance grant and against four strategy level outcomes, namely: (i) one emergency operation and amounting to increased regional trade; (ii) increased access to UA 1330.1 million. Nearly 78% of Bank financing during basic services and infrastructure; (iii) creation this period has been done through the ADF window, of an enabling business environment; and (iv) with the ADB window accounting for about 19%. Loans improved transparency and accountability of represent 82% of the portfolio and grants represent public financial management (PFM). Although this 18%. The majority of the Bank's support by value section is not rated, IDEV identifies the Bank's has been in the transport, governance and agriculture contribution to changes in the national context, sectors (32.2%, 24.3% and 14.3% respectively). where possible. 2 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Has the Bank achieved its expected Transport Sector projects contributed to significant results? reductions in travel times and vehicle operating costs (VOCs) as well as increases in average annual Relevance of the Bank's CSPs and Project daily traffic (AADT). Travel times have reduced Portfolio was satisfactory. The Bank's CSPs over between 50% and 67% across projects, whereas the evaluation period were found to be well aligned VOCs reduced by an average of 43%. AADT with contemporary National Development Strategies. increased between 5.5% and 8.6% per year along Furthermore, the project portfolio is aligned with the major corridors, but has increased by 144% along Bank's CSPs, corporate and sector policies and the the Techiman-Kintampo road. Feedback from project needs of beneficiaries. However, further opportunities stakeholders confirmed that transport sector projects exist to address trade facilitation issues as identified have contributed to economic activities, including by the Regional Integration Strategy for West Africa new petrol stations and a pharmaceuticals factory, (2011–2015). as well as increasing access to basic services.

Effectiveness of the Bank's interventions has Whereas the Bank's interventions in Governance been moderately satisfactory. Across sectors, have contributed to improving the private sector 88% of planned outputs were delivered and, in regulatory environment, more modest progress several cases, targets for delivery of outputs were has been achieved with respect to decentralization, exceeded. However, some project components were strengthening of accountability functions and control over-delivered whereas other key project outputs of public sector wage expenditure. There have were under-delivered, impacting the achievement been reductions in the number of days required to of results. Progress has been achieved toward register a business, obtain a construction permit and the majority of project outcomes, but the extent of import and export goods. However, concerns have achievement varied across sectors (see figure 2). persisted with regard to procurement irregularities,

Figure 1: Evaluation Findings by Issue

Relevance

Crosscutting 3 Effectiveness 1 ighly nsatisfatory themes 2 2 nsatisfatory

1 oderately nsatisfatory oderately Satisfatory 5 Satisfatory ighly Satisfatory

Sustainability Ef ciency Evaluation Findings Executive Summary 3

Figure 2: Effectiveness Ratings by Sector

Finance/ Industry

5 Power Transport 4

3 2 1 ighly nsatisfatory 1 2 nsatisfatory WSS Agriculture oderately nsatisfatory oderately Satisfatory 5 Satisfatory ighly Satisfatory

Governance Social Rating

non-competitive procurement, payroll irregularities Despite the failure to complete some key infrastructure and levels of salary expenditure. Finally, despite works, Social Sector projects have contributed to the ongoing implementation of Ghana Integrated improving: (i) access to education; (ii) access to health Financial Management System (GIFMIS) and the services; (iii) capacity for pro-poor service delivery; and Single Treasury Account (STA), limited progress (iv) economic opportunities for the urban poor. However, has been achieved in reducing budget variance, because no data were available to assess the original strengthening commitment controls and containing project outcomes, the extent of achievement could not irregularities. be determined. Despite concerns regarding the quality Country Strategy Evaluation of work, infrastructure improvements at 25 Senior High Agriculture Sector interventions have contributed to Schools have contributed to increased enrolment and increased productivity as well as increased incomes. grade pass rates. With respect to health outcomes, An IDEV Across completed projects, productivity for key crops construction of a hospital in Tarkwa allowed beneficiaries and livestock increased between 2.5% and 564%. to access specialized health services previously Furthermore, annual incomes were found to have unavailable in the district. Tarkwa now compares increased between 48% and 608%, attributed to favorably to the rest of the Western region in terms of improved access to inputs and markets as well as its doctor to population ratio, but non-completion of a reduced disease burden. Moreover, interventions district hospital in Bekwai has had a negative impact funded through the private sector window have on the surrounding community. The Bank has also created 276 permanent jobs, 2,724 contract jobs increased the capacity of 14 beneficiary districts and and market opportunities for 10,000 out-grower municipalities for pro-poor development planning and farmers. However, some key assets such as markets revenue mobilization. Finally, improvements to social and pack houses have not been used as intended to infrastructure, including schools, health centers and promote access to markets and increase agricultural markets, have created jobs for 4,980 contractors and exports. contributed to increased incomes for traders. 4 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Power Sector projects contributed to increased cost of implementation as well as a mismatch of the generation and transmission capacity, carbon available sanitation models with the preferences of emission savings and job creation. The Takoradi II beneficiaries. extension added 110 MW of installed generation capacity with no additional emissions, and is With respect to strategy-level outcomes, the Bank estimated to result in savings of 430,600 tons of has made tangible contributions to increasing trade

CO2 each year. Furthermore, the Power Systems with ECOWAS countries through the rehabilitation of Reinforcement and Extension Project (PSREP) international corridors, particularly for agricultural reduced transmission losses and improved the products. Furthermore, the Bank has contributed to reliability of the transmission network in the increasing access to transport, electricity, sanitation Kumasi area, including an additional 132 MVA of and water infrastructure. However, no tangible transmission capacity. impact can be identified in terms of access to health and education based on the limited scope of Financial Sector and Industry projects have the Bank's engagement in these sectors. Although contributed to job creation, government revenues, international indices demonstrate improvement in export earnings and the development of local Ghana's business environment and competitiveness supply chains. The Kempinski Hotel and Line of throughout much of the evaluation period, these Credit (LOC) to CAL Bank have directly created over gains have recently been eroded by macroeconomic 1,400 temporary and permanent jobs and have challenges and infrastructure gaps. Limited progress contributed to the creation of 3,434 indirect jobs has been achieved in promoting transparent and through the development of local supply chains. accountable public financial management, as The LOC to CAL Bank has yielded government evidenced by rising public debt and significant revenues of USD 172 million and export earnings of irregularities identified by the Ghana Audit Service USD 428 million. The Kempinski Hotel has not yet in 2013 and 2014, attributed to poor compliance achieved its financial targets after starting operations with regulations for cash management and public on a soft open basis, but it has been profitable as of procurement. June 2016. Overall, Efficiency was rated as unsatisfactory. Finally, the Bank's Water Supply and Sanitation On average, 18 months elapsed between project Sector (WSS) projects have performed well in approval and first disbursement, exceeding the delivering water supply infrastructure but the delivery Bank's guidelines. Furthermore, delays were of sanitation facilities has not met targets. The Bank's noted between the original and actual completion interventions under the Rural Water Supply and dates, including average delays of 32 months for Sanitation Project reached 381,869 beneficiaries social sector projects, 39 months for transport and increased access to water among targeted projects and 37 months for WSS projects. The main communities by 40%, whereas access to sanitation sources of delay included: (i) delays in meeting increased by just 14%. However, concerns were conditions precedent for first disbursement; and raised over the reliability and use of the facilities (ii) procurement issues. Annual disbursement provided - some water points were found to break rates, excluding Policy Based Operations, fell down frequently, whereas others are not regularly below the Bank-wide average by an average of patronized due to beneficiaries' preference for 7.68 percentage points each year and fell below private water vendors. Low uptake of household the Bank's target of 25% by an average of 10.56 sanitation interventions was attributed to the high percentage points annually. Executive Summary 5

Sustainability of outcomes varied across sectors, mainstreamed into almost all projects, gender but is moderately unsatisfactory overall. Risks to impacts were assumed but were often not measured sustainability were diverse, stemming from sector- against gender-disaggregated outcomes. wide challenges and exogenous shocks as well as project design and implementation issues. Social The Quality at Entry of CSPs was found to have and WSS projects encountered risks due to the improved over the evaluation period. Each CSP quality of works implemented and well as limited provides a detailed assessment of the country capacity and resources for long-term maintenance. context, with clear linkages made to the strategic The sustainability of agriculture projects has been priorities. Furthermore, each CSP was developed limited by a lack of concrete management plans through a consultative process involving the for key project assets and limited engagement Government of Ghana (GoG), civil society, private of the private sector. Power and transport sector sector and development partners (DPs). Clarity and projects face sector-wide risks pertaining to realism of the intervention logic has also improved the sufficiency of national tariff and collection over the evaluation period with a greater emphasis schemes as well as maintenance funds. Finance on measurable strategy outcomes linked to specific and industry sector projects faced risks caused project activities. Until recently, the selectivity of the by financial institutions’ modest risk management portfolio had improved in terms of the number of capacity as well as the recent macroeconomic projects approved and sectors implicated. However, crisis. Finally, the effectiveness and sustainability the portfolio has become more coherent with projects of governance projects have been impacted by low across multiple sectors addressing different facets of levels of ownership for public financial management each CSP pillar. reforms. This was exacerbated by an increasing lack of cohesion among Multi-donor Budget Support For the Quality at Entry of projects, issues were (MDBS) partners and concerns regarding the identified with regard to: (i) realism of the project underlying principles, culminating in the dissolution design and logic; (ii) adequacy of consultations and of the MDBS Group. feasibility studies; and (iii) complexity of project

design. These weaknesses often contributed to Country Strategy Evaluation delays, cancelation of funds, under delivery of How has the Bank positioned itself for outputs and under use of projects assets and the achievement of results? services which, in turn, negatively impacted the An IDEV achievement of results. Mainstreaming of crosscutting themes into CSPs, including gender, inclusive growth and green Leveraging and cofinancing has taken increasing growth, was satisfactory. Each CSP acknowledged strategic importance, especially given Ghana's persistent gender-based and urban/rural disparities transition to LMIC status. Approximately one third of with respect to poverty, service delivery and access projects approved across the evaluation period have to services and infrastructure. Particular emphasis been cofinanced with other donors. However, no has been placed on green growth among agriculture strategic distinction was made between leveraging projects, including the management of forestry and and cofinancing and no example could be identified water resources. At the project level, mainstreaming where the Bank has played a catalytic role. Use of of inclusive and green growth was satisfactory, the ADB window to engage the private sector has whereas mainstreaming of gender was moderately increased, accounting for 34% of commitments by satisfactory. Although crosscutting themes were value between 2012 and 2015. 6 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

The frequency of supervision has improved over Ghana's transition to LMIC status. The portfolio has the course of the evaluation period, with all projects been increasingly selective and coherent and the approved after the opening of the Ghana Field Bank is making increasing use of ADB resources in Office (GHFO) supervised at least once annually. Ghana. However, there is little evidence of strategic Furthermore, supervision has been inclusive, with the leveraging across the portfolio. majority of missions conducted in cooperation with the GoG and cofinancers as well as the majority of Although the majority of project outputs have been reports identifying lessons learned. Across sectors, delivered across each sector, there have been supervision teams have reflected an appropriate instances where some project components were over skills mix, including sector, gender, procurement and delivered while other core components were under financial management experts. However, projects delivered. The achievement of outcomes, although funded under the private sector window tend to moderately satisfactory, has been limited by project only be supervised by staff from the private sector design weaknesses. Project design weaknesses department. Increased supervision has corresponded identified include: (i) complex and unrealistic designs; with an improvement in average Implementation (ii) poor alignment with beneficiary preferences; (iii) Progress Ratings as well as a reduction in Problematic failure to identify arrangements for the management Projects. Yet decisions made in the course of project of project assets. Furthermore, these weaknesses, supervision have sometimes adversely affected in addition to the failure to address institutional the achievement of results, particularly in the social weaknesses in financial intermediaries and sector, when they focused predominantly on the timely governance challenges, such as poor cost recovery completion of projects. in the energy sector, have posed risks to the sustainability of the Bank's projects. The timeliness With respect to Results-based Management (RBM), of implementation has also been unsatisfactory the majority of project log frames was found to be in terms of project start-up and implementation, problematic with respect to: (i) clarity of the intervention including: (i) delays in meeting conditions precedent logic; (ii) the soundness of the distinction between for first disbursement; and (ii) procurement delays. outputs and outcomes; (iii) the use of "SMART" indicators; and/or (iv) the availability of baseline data. Crosscutting themes, including gender, inclusive Furthermore, sufficient data were often not available growth and green growth, have been mainstreamed to assess the achievement of project outcomes. appropriately across the Bank's CSPs and projects, However, the quality of log frames has improved over but are not addressed sufficiently in results the evaluation period with just 25% of project log frameworks at the outcome level. frames being identified as problematic among projects approved after 2011. GHFO has also sought to improve More generally, managing for results continues to be a the quality of RBM by identifying a focal point to advise concern in terms of the quality of results frameworks, the task managers on monitoring and evaluation issues. identification of suitable indicators and the availability of data to assess results. Improved project supervision over the evaluation period has corresponded with improved What did IDEV conclude portfolio performance against key indicators. However, and recommend? decisions made in the course of project supervision have sometimes limited the achievement of outcomes. At the The Bank's CSPs have been responsive to evolving same time, the Bank has demonstrated leadership in national priorities and beneficiary needs but have not the donor coordination architecture and has become integrated trade facilitation elements identified in the increasingly active in the delivery of knowledge work, 2011–2015 Regional Integration Strategy for West using these products to support policy dialogue and Africa. The CSP priorities remain relevant in light of project development. Executive Summary 7

In view of these conclusions, it is recommended that opportunities exist to promote trade and the Bank: reduce the time required to import and export through the implementation of one-stop border ❙❙ Propose a mix of instruments to support further posts and streamlining of customs processes private sector regulatory reform, improve the business environment and strengthen ❙❙ Address weaknesses in project design which accountability functions, particularly audit impact both effectiveness and sustainability and procurement. In view of the IMF Program, through enhanced scrutiny prior to approval, reduced aid inflows and disengagement of DPs including: (i) the extent of consultation with project from MDBS operations, there is a continued need beneficiaries; (ii) quality of feasibility studies; to address governance challenges which frustrate (iii) project implementation capacity; (iv) realism of project implementation, including private sector project scope and timeframes; and (v) mitigation of regulatory constraints and audit and procurement risks to sustainability; and (vi) clear arrangements capacity gaps. for the collection of implementation data.

❙❙ Identify opportunities to engage the private ❙❙ Address obstacles to timely implementation sector in addressing a broader range of by limiting requirements for counterpart CSP objectives. The Kempinksi Hotel and funds and ensuring that all stakeholders are LOC projects have contributed to both skills made aware of conditions precedent. Given development and the development of local supply the macroeconomic context, means of promoting chains whereas agriculture projects could have ownership of projects other than provision of benefitted from a value-chain approach. Such counterpart funds should be identified, including initiatives will become increasingly relevant participatory project designs and implementation as Ghana transitions to ADB-only status. Use arrangements. of knowledge work to identify new areas for cooperation should continue. ❙❙ Ensure that crosscutting themes are

included in project log frames and Country Strategy Evaluation ❙❙ Encourage private investment in the disaggregated at the outcome level. energy sector by promoting cost-reflective Clear data collection arrangements should tariffs and providing guarantees for power be identified among stakeholders at An IDEV purchase agreements. The ongoing energy appraisal to ensure that data are sufficient crisis poses a serious risk to macroeconomic to assess the achievement of outcomes stability and increases the cost of doing business. pertaining to crosscutting themes. Discontinuation of government guarantees will discourage needed investment in the sector. ❙❙ Strengthen supervision by ensuring that all The Bank could address these concerns through elements of the project logic are addressed tools such as policy dialogue, knowledge work, or that credible alternatives are identified technical assistance and guarantees. and improving the skills mix of supervision teams for private sector operations. ❙❙ Improve support to regional trade by Explicit consideration should be given to the continuing to address infrastructure potential impact on beneficiaries and the constraints while also incorporating trade achievement of results when addressing facilitation considerations. Additional implementation delays and challenges.

Management Response 9

Management Response

Management welcomes the Independent Development Evaluation’s (IDEV) report on the Bank’s development assistance to Ghana during the period 2002–2015, covering three Country Strategy Papers (CSPs): 2002–2004; 2005-2009 (extended to 2011); and, 2012–2016. The Evaluation provides a timely assessment of the CSPs’ relevance, effectiveness, efficiency, and sustainability in the key areas of support to infrastructure, governance, social sectors, finance, and agriculture and rural development. The IDEV evaluation has also assessed the performance of the CSPs in crosscutting themes, including gender, inclusive growth and green growth. The Report acknowledges that the CSPs have over the evaluation period been responsive to evolving national development priorities and beneficiary needs in addition to remaining relevant during Ghana's transition to Lower Middle Income Country (LMIC) status. The portfolio was noted as being increasingly selective and coherent while addressing multiple facets of each strategic priorities through interventions across different sectors. The report also noted the Bank’s leadership in Ghana’s donor architecture and knowledge work undertaken to support policy dialogue and project development. Management agrees with the key findings and recom¬mendations of the evaluation to address weaknesses in project design, obstacles in timely implementation of projects, and infrastructure bottlenecks to improve and support regional trade. Management acknowledges that rollout of the Bank’s new Development and Business Delivery Model (DBDM) would make the Bank a more nimble partner that can better deliver on its comparative advantage and be more competitive with its funding instruments. The recommendations provide useful lessons which will inform the design and implementation of the Bank’s next CSP for Ghana covering the period 2017–2021. Country Strategy Evaluation Relevance Development Plan, as well as other relevant sector development priorities. Management acknowledges Management agrees with IDEV’s findings that the the evaluation findings that the alignment of the An IDEV three CSPs were fully aligned with the Bank’s priorities project portfolio with the Bank's sector and corporate and Ghana’s development strategies. The Bank Group strategies has also been ‘satisfactory’. Regarding operations in Ghana undertaken in the evaluation the need to explore further opportunities to address period (2002–2015) were relevant to the country’s trade facilitation issues, the Bank has through its development goals and objectives. Management private sector funded the Ghana Airports Company also agrees that the CSPs have been responsive Limited Infrastructure Project aimed at expanding to beneficiary needs while remaining relevant to the international airport in Accra with the aim of Ghana's transition to LMIC status. In addition, the enhancing Accra’s statute as a regional hub. In report notes the portfolio became increasingly addition, the Bank has started engaging Government selective and coherent, addressing multiple facets of on the development of regional corridors including each strategic priorities through interventions across the coastal Abidjan-Lagos corridor, North-South different sectors. The next CSP (2017–2021) will connecting the sea ports of Tema and Takoradi continue to be aligned with the country’s National with (Ghana’s landlocked neighbour) Burkina Faso 10 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

and transit to Mali. These would be developed important role in the country’s development of its within the framework of encouraging private sector “Home Grown program” which formed the bases of partnerships to effectively drive these projects whilst the current IMF program. exploring the Bank’s innovative financing to leverage resources. Management acknowledges IDEV’s findings with respect to the social sector projects, specifically, the Health Sector Operations. The Bank’s financing Effectiveness of the construction of the Bekwai Hospital, as originally planned, ended up being insufficient due Management concurs with IDEV’s ‘satisfactory’ to two main issues: (i) the Government’s decision rating for the effectiveness of the transport sector to upgrade the status of the hospital from a district operations. The Fufulso-Sawla Road Project is a prime to a municipal hospital; and, (ii) the currency example of the Bank’s effectiveness in delivering depreciated by over 40%. It is worth noting that impact to beneficiaries of transport projects. The the Bank agreed with Government to meet the project built 150 km of roads with ancillary works of financing gap with funds from the ECOWAS Bank schools, a water treatment plant, and health centers, for International Development. To ensure that the which together improved the lives of over 45,000 project’s development objectives would be met people along the project area. despite the change in the scope, the Bank should have continued to engage with Government post Management concurs with IDEV’s findings that the project implementation to ensure the financing Bank’s intervention in Governance has contributed to process was completed and implemented. improving the private sector regulatory environment. Management also acknowledges that uneven progress was made in regards to decentralization, Efficiency governance, strengthening of accountability functions and control of public sector wage expenditure. It Management acknowledges IDEV’s findings that the is important to note that ongoing programs such efficiency of implementing Bank interventions during as the fiscal decentralization, implementation of the evaluation period was affected by delays in Ghana Integrated Financial Management Information concluding design drawings, bottlenecks in contract System and the Treasury single account have led execution and delays in payment of counterpart to improvements in these areas post the Bank’s funds for work done. Management has initiated programs. several measures to address the challenges. These include hiring of qualified project staff particularly Even though the evaluation report concludes that with expertise in project financial management to the withdrawal of some members of the Multi donor buttress the mainstream staff of Government, signing Budget Support members will change the value of performance based contracts with project staff, of the policy based operations, it is worth noting as well as improving the capacity of project staff that the Banks’ engagement with the Government and government officials through fiduciary clinics in collaboration with the International Monetary to enhance accountability and project delivery. In Fund and World Bank has assisted Ghana in the addition, Bank interventions under the new CSP will implementation of the ongoing fiscal consolidation focus on a few sectors to deal with implementation program. It was through this dialogue that the Minister capacity challenges and maximise development of Finance acknowledged that the Bank played an impact. Management Response 11

Addressing start-up delays Urban Transport Project was signed in less than 2 months after approval. Management acknowledges that implementation of transport projects between 2002 and 2009 It is important to know that untimely and inadequate experienced delays in loan effectiveness, first government counterpart funds to projects has been disbursement and procurement. These challenges amplified due to the current fiscal challenges the negatively affected the overall implementation country is experiencing. In some instances where performance which resulted in extension of the the counterpart fund forms a significant proportion duration of the projects and therefore contributed to of capital expenditure whose payment would delay cost overruns. To address these challenges, the Bank implementation (such as the Awoshie Pokuasi Road has improved the quality at entry of projects through and the development for skills project), the Bank adherence to stringent project readiness criteria and has requested counterpart funding to be explicitly validation by a design review team led by the sector included in the budget allocation of the sector ministry. This has significantly reduced start-up ministry. This has resulted in the timely payments of delays and improved rate of implementation. some of the outstanding counterpart contributions.

It is important to note that Government delays in obtaining Parliament’s ratification of loans/grants Addressing procurement delays approved by the Bank affected execution of some of operations. The Government’s moratorium on Management appreciates IDEV’s findings with contracting new loans (starting in 2013), coupled regard to procurement delays. The Bank has played with the tight fiscal situation in the country, has a major role in supporting and shaping procurement caused numerous start-up delays and has also reforms in Ghana through knowledge work, dialogue resulted in delays in paying contractors. These issues and direct support, such as the ongoing Ghana have affected commencement and implementation Institutional Support Project and indirectly through of the Rural Enterprise Program III (which has been the entire project cycle of other Bank operations. delayed by 17 months) and Electricity Distribution The efforts have to a large extent improved the Country Strategy Evaluation System and Reinforcement and Extension Project capacity of the procurement capacity of government (which has been delayed by 30 months). agencies, reduced irregularities and instances of lack of competition in the general public procurement An IDEV Management wishes to point out that there has system. been remarkable improvements in timelines for the effectiveness of projects during the 2015/2016 It is important to note that procurement delays period. This has been due to the lifting of the are caused by inadequate procurement package moratorium on new loans as well as the Government cataloguing and costing at appraisal, and the number taking proactive measures such as submission of Bank’s processing steps required to ensure of memoranda on ratification of loan proposals to compliance and correction of any irregularities. The Cabinet for consideration immediately after loan delays also emanate from cases where the Bank negotiations. This has facilitated swift ratification by is requested to re-launch the entire procurement Parliament and Government approval and signature process owing to irregularities in the initial process. of negotiated loans/grants. For example, the General In addition, staff capacity and institutional bottlenecks Budget Support Operation Phase 1 was signed and within executing agencies, as well as institutional became effective within one month, while the Accra overlaps affect the speed of procurement processes. 12 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Management acknowledges that some delays have private sector involvement in the management of occurred due to the time it takes for the Bank to the Rural Technology Facilities within Government’s grant its no-objections, further delaying finalisation Public Private Partnership framework. A similar study of the procurement process. To address the capacity is being undertaken for the management of the Bank issues, the Bank has been providing technical and facilities funding under the Norther Rural Growth advisory services such as the quarterly portfolio program. review meetings with the Ministry of Finance and Project staff to discuss project related issues Regarding social sector operations, Management and come up with solutions to address potential is in accord with IDEV’s findings relating to the bottlenecks to implementation. In addition, the Bank sustainability of project outcomes. Both the Senior conducts regular fiduciary clinics for project staff Secondary Education III Project and the Urban Poverty to improve procurement, disbursement and audit Reduction Project had significant impacts in the aspects. The Bank’s decentralized has ensured areas covered, and made substantial modi¬fications that the Country Office has the necessary expertise to the Government’s maintenance culture of its to reduce the turnaround time for responding to physical assets during the life of the projects. ‘no-objection’ requests. With respect to the transport sector, Management would like to highlight that the Government Sustainability established a dedicated road fund for maintenance, and increased the fuel levy by more than 400% Management agrees with IDEV’s evaluation that to clear the backlog of maintenance needs (from risk to sustainability was diverse stemming from 70% in 2014 to under 55% in 2016). This is a sector wide challenges and exogenous shocks as major step towards addressing the sustainability well as project design and implementation issues. aspects within the transport sector. The Bank will Management concurs with IDEV’s evaluation findings continue to engage with the Government to develop that there has been a major challenge with regards sound and lasting solutions for the sustainability of to the sub-optimal use of production/processing transport projects. Examples of additional steps that facilities established by the agriculture projects such could be adopted include the nationwide adoption as Export Marketing and Quality Assurance project of the ECOWAS protocol on axle load control, and Afram Plains District Agriculture Development the use of medium-term framework agreements Project. The approval of the Feed Africa Strategy for or performance-based contracts for periodic Agricultural Transformation in Africa 2012–2025 maintenance, alternative funding mechanisms which promotes a value chain approach that (including tolling of strategic roads and PPPs) to includes intervention activities for all actors along cover the maintenance funding gap. the value chain. This will assist in ensuring that sustainability issues encountered-bordering on the involvement of value chain actors aside farmers (e.g. Cross Cutting Isues managers of bulking facilities) in project design and implementation. Further, to intensify the dialogue with Management agrees with IDEV’s evaluation findings Government on the management of the facilities, the that gender, inclusive growth and green growth have Bank has funded a study Sustainability of the rural been mainstreamed appropriately across the Bank’s technology facilities. The study recommended the CSPs and projects. Management also welcomes Management Response 13

the suggestion to better address these cross cutting Empowerment and Gender Equality, the design and issues in the projects’ results frameworks at the implementation of all operations in the new CSP will outcome level. pay added attention to gender equality and women’s empowerment. The CSP results framework will ensure quantifiable gender indicators at both output Gender and outcome levels.

Management would like to point out that the contribution of transport sector operations Inclusive growth and Green Growth in mainstreaming gender aspects is not well documented in the report. Both the Fufulso- Management is particularly encouraged by the Sawla Road Project and Awoshie-Pokuase Road evaluation findings that inclusive and green growth Construction and Community Development Project have been treated systematically in CSPs over the have made significant efforts in mainstreaming period under review. Management also applauds gender aspects, yielding socio-economic benefits, IDEV’s findings on the priority accorded to this area particularly to women through the provisions of in the design of Bank operations in the country employment during the road and ancillary works across its portfolio. Management concurs with construction, promotion of education of girls and the observation that operations in the portfolio easy access to health care. In addition, the provision addressed inclusive growth by increasing access of potable water in the project area positively to basic services and infrastructure and enhanced impacted women who are responsible for fetching economic opportunities. Bank support to green water for the family. growth is also evidenced through two active projects; Engaging Local Communities in Reducing In addition to strong gender mainstreaming measures Deforestation and Forest Degradation Project and, in all recent Bank funded projects in Ghana, Bank Form Ghana Reforestation Project aimed at reducing operations have mainstreamed gender issues in deforestation and forest degradation. These initiatives project activities. These include, gender-focused also promote sustainable forest management that Country Strategy Evaluation interventions which pay special attention to women results in reductions in Green House Gas (GHG) and girls. Examples include: (i) Bursary Scheme emissions and enhancement of forest carbon stocks. under the Development of Skills for Industry Project; Management will continue to put stronger emphasis An IDEV (ii) provision of a Trust Funds totalling USD 250,000 on systematically measuring and tracking access to as Technical Assistance to the Ministry of Gender, services and opportunities in ongoing projects for Children and Social Protection; and, (iii) Support to reporting purposes. Women’s Groups Component under the recently approved Accra Urban Transport Project. Support to these specialised Gender activities is aimed at Quality at Entry of CSPs creating employment for youth and women. Management agrees with IDEV’s findings that the In line with the new Gender Strategy 2014–2018: quality at entry of CSPs has been improving over the Investing in Gender Equality for Africa’s evaluation period. The use of results-based logical Transformation and the Government’s National frameworks for CSPs has enabled sector level Gender Policy 2015, which underscores Women’s outcomes to be clearly linked to project activities 14 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

and outputs. Management also agrees with IDEV’s status calls for a greater role in leveraging funds findings that Bank’s selectivity of interventions has from the private sector. improved over the evaluation period with a reduced number of priority sectors. Management will ensure Management agrees with the evaluation findings that projects included in the indicative pipeline are that operations funded under the non-sovereign ready to be implemented during the CSP period. loans window have increased in terms of the number and volume of overall loans. In fact, during the period 2012–2016 a third of Bank approvals in Ghana Quality at Entry of Projects financed non-sovereign operations compared to only 7% during the 2005–2011 period. Management Management agrees with the issues raised in the also acknowledges the evaluation findings on the evaluation report with regards to the quality at entry progress made in engaging with private sector of projects, notably: the poor realism of project stakeholders. design; inadequate consultations and inadequate feasibility studies; and, the complexity of project designs. These shortcomings have resulted in Supervision changes to project designs during implementation with the associated cost overruns. Adherence to Management acknowledges IDEV’s findings that stringent project readiness criteria, government both the frequency and quality of supervision of leadership and ownership have improved quality at Bank operations has improved as a result of the entry. Management will continue to enforce strict ongoing decentralisation. Decentralisation of project readiness including availability of designs key staff to Ghana Country Office has resulted in for construction projects, advance contracting intensive dialogue with the authorities and increased for procurement, setting up of project teams and frequency and improved quality of supervision of provision of evidence of counterpart funding by projects. More specifically, Ghana Country Office the Government before a project is approved through its interactions with the authorities and by the Board. frequent meetings with Project Coordinators and Government officials continues to play the pivotal role in project implementation support. Overall, Leveraging and Co-financing decentralisation has brought about closer contact with Project Management Units/Executing Agencies, Management concurs with IDEV’s finding that providing useful support and efficient delivery in the the proportion of co-financed projects has execution of project activities. For non-sovereign remained relatively stable over the evaluation operations, the presence of a private sector staff period. Management is of the view that the CSPs in the office has resulted in the Bank’s increased made a clear and strategic distinction between involved in outreach activities and collaboration leveraging and co-financing. This issue was with potential borrowers. Furthermore, the Country raised and discussed within the context of the Office has been organising annual fiduciary clinics, 2012–2016 CSP and during the CSP Mid-Term annual audit quality and disbursement workshops Review. The Bank is continually playing a catalytic and regular portfolio review meetings as part of the role in attracting additional finance to complement measures to improve portfolio performance. The Bank-financed projects, especially as the country field presence will be further strengthened with transitions to Lower Middle Income Country (LMIC) the rollout of the new Development and Business Management Response 15

Delivery Model which will bring even more experts IDEV’s findings on Governance targets confusing closer to the clients. disbursement triggers with project outputs. In the next CSP (which is under preparation) Management will identify achievable targets that enable Results Based Management (RBM) the quantification of socioeconomic benefits. Management is also taking steps to improve the Management welcomes IDEV’s findings that the results focus of projects, in line with the 2016–2025 managing for results approach for projects has Bank Group’s Results Measurement Framework. improved during the CSP evaluation period. The report notes that “the share of problematic results The Bank’s next CSP for Ghana covering the based frameworks fell from 92% between 2002 period 2017–2021 will benefit from the evaluation and 2004 to 67% between 2005 and 2011, findings and recommendations. Key lessons and and further to 25% between 2012 and 2015”. recommendations will be fully integrated into the Management acknowledges IDEV’s findings on the new CSP and will also inform all future project challenges of the logical sequence between outputs designs. Specific actions and lessons taken by and outcomes, as well as the identification of Management are highlighted in the Management ‘SMART’ indicators. Management also agrees with Action Record. Country Strategy Evaluation An IDEV 16 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

MANAGEMENT ACTION RECORD The next CSP for Ghana for the period 2017–2021 will be presented to the Board of Directors for consideration during second quarter of 2017. The CSP will benefit from IDEV’s findings and recommendations. Key lessons will be fully integrated into the next CSP. Specific actions and lessons taken by Management are highlighted in the following Management Action Record.

Recommendation Management response Recommendation 1: Propose a mix of instruments to further support private sector regulatory reform, improve the business environment and strengthen accountability functions, particularly audit and procurement. Comment— In view of the ongoing Agreed: The series of constraints outlined in the report affecting the business IMF Program, reduced aid inflows and environment and the need to strengthen the governance accountability functions, disengagement of development partners particularly audit and procurement. The findings have been collaborated in ongoing from multi-donor budget support interventions. Bank interventions to address the constraints will be fully demonstrated operations, there is a continued need in the next CSP for the period 2017–2021. Governance issues will be a cross cutting to address governance challenges theme in the next CSP and will be supported by Policy Based Operations, policy which frustrate project implementation. dialogue and knowledge work. These challenges include private sector Further Actions regulatory constraints and audit and procurement capacity gaps. Opportunities The Bank is addressing the constraints through the ongoing Policy Based Operation should be examined to address these which will continue though the next CSP. In addition the Bank will address governance constraints through Policy Based issues through enhanced policy dialogue, technical assistance, knowledge work and Operations, technical assistance grants, institutional capacity support. policy dialogue and/or knowledge work ❙❙ These interventions would build on the Bank’s past achievements and areas of the while considering the high likelihood of Bank’s comparative advantage (leveraging resources, development of an integrated reduced ADF allocations; including private approach in project design, development of synergies between lending and non- sector regulatory constraints and audit lending operations). and procurement capacity gaps.Initiate ❙❙ Proposed interventions will continue to include a component of capacity development steps to ensure that the next CSP is based in the project activities that would address both private sector issues and governance on a more detailed analysis of the Bank’s and accountability functions in the relevant sector ministries. comparative advantage and constraints in ❙❙ As part of measures to address fiduciary challenges, the country office will continue Ghana and of the resources required to to undertake fiduciary clinics to improve procurement, disbursement and audit deliver in selected areas of focus, and on aspects. providing them. The following initiatives (some achieved with funding and technical advisory services from the Bank) are expected to help improve the public procurement system in Ghana: ❙❙ Amendments and legislative instruments to Public Procurement Act (Act 914, 2016) as well as the new Bank Policy Framework that allows the use of country system. ❙❙ The development and dissemination of a contract management manual by the Public Procurement Authority (PPA). ❙❙ The establishment of a procurement cadre in Government and the improved process of recruitment of procurement professionals by the Public Sector Commission. ❙❙ PPA to improve its enforcement structures including establishment of the procurement audit system as well as the operationalisation of the sanctions regime. Management Response 17

Recommendation Management response Recommendation 2: Identify opportunities to engage the private sector in addressing a broader range of CSP objectives. Comment—Experience from past Agreed: Most of the private sector operations in the portfolio are aligned to the initiatives demonstrate that finance sector relevant CSPs in the period in which the projects were approved. However, there is and industry operations, including the a need for a shift from the single transaction approach, which provides catalytic but Kempinski Accra Hotel and Lines of Credit, fragmented investment in a particular sector, to sector-wide interventions which offer have made significant contributions to both deeper solutions for more sustainable development. Public Private Partnerships will be skills development and the development encouraged as an alternative to the public sector funding for prospective infrastructure of local supply chains. Furthermore, projects. agriculture projects such as the Export Implementation of projects such as the Rural Enterprise project (REP) has enabled the Marketing and Quality Assurance Project strategic leveraging of private sector in project activities through the promotion and could have benefitted from increased creation of enterprises including rural enterprises. Ongoing evaluation of the Fulfulso- cooperation with the private sector by Sawla Road project indicate project beneficiaries have voluntarily resorted to the implementing a value-chain approach payment of service fees for access to social amenities such as water pumps in order to with regard to the management and ensure the maintenance of the infrastructure. These experiences will be incorporated operation of project assets and linking into interventions approved during the next CSPs. farmers to markets. Such initiatives will become increasingly important as Ghana It is worth noting that the value chain approach has been incorporated in the transitions to an ADB-only status and development of the pipeline agriculture value chain projects to support Ghana implementation of knowledge work to Agriculture Transformation Agenda, which will successfully build the capacity of identify new opportunities for cooperation individual farmers and other value chain actors to improve their productivity and should continue. profitability. Further Actions ❙❙ The Bank will continue to develop public sector operations that have an embedded cooperation with private sector. The strategic orientation of the next CSP is being designed with a value chain approach in one of its key interventions. ❙❙ The next CSP will develop knowledge work on sector related issues especially as they relate to improving productivity of the private sector, improving financial resources for the private sector and address challenges that constrain Public Private Partnerships. Country Strategy Evaluation An IDEV 18 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Recommendation Management response Recommendation 3: Encourage private investment in the energy sector by promoting cost-reflective tariffs and providing guarantees for power purchase agreements. Comment—The ongoing energy crisis Partially Agreed: The ongoing energy crisis poses a serious risk to macroeconomic poses a serious risk to macroeconomic stability due to increased cost of doing business and energy sector subsidies. stability due to increased cost of doing Whereas increased investment is needed to address the rising demand, Government business and energy sector subsidies. has discontinued the use of government guarantees to reduce government burden Whereas increased investment is in a constrained fiscal environment and as a measure to improve the transparency needed to address rising demand, the of the sectors procurement process. This is intended to open up the sector to more discontinuation of government guarantees competitive investments from independent power producers with manageable will discourage private investment. Going government guarantee. Going forward, to encourage private sector investments, forward, the Bank could address these the Bank’s new CSP will address these concerns through instruments such as concerns through tools such as policy policy dialogue, knowledge work (such as briefs on energy outlook and energy dialogue, knowledge work, technical security), technical assistance to deal with policy environment, pricing and demand assistance and partial guarantee facilities. management. The Bank will also explore its various instruments such partial credit and risk guarantee facilities to attract private sector participation. Government presently only issues Put/Call Option Agreement (PCOA), which cover the obligations of an early termination of a Power Purchase Agreement upon specific breaches. This is the Government’s preferred choice because of the limited obligations compared with the heavy liabilities associated with the Government Consent and Support Agreement (GCSA). Under the PCOA, ongoing payments still need to be covered by credit enhancement instruments such as Partial Risk Guarantee (PRG). This offers unique opportunities to the Bank’s ADF PRG instrument which seeks to crowd in private financing for power generation and reduce the overall cost of capital to the project. Accordingly, the Bank will further develop synergy between its public and private sector operations through the combination of PRGs and traditional senior debt financing. In this regard, there is a pipeline project under consideration. The Bank will continue its engagement with the Government, development partners and other stakeholders in the dialogue in the Energy Sector Working Group that meets regularly to discuss policy issues affecting the sector, investment risks which affect private sector participation in energy projects, as well as impediments to the growth of the private sector.

Further Actions ❙❙ The Bank will target clean energy investments going forward, exploring opportunities in small size hydro power plants as well as in solar and wind power proposals in its pipeline of projects for Ghana. ❙❙ The Bank will prioritise “greening” of the Bank’s Energy Sector Operations to achieve low-carbon growth and reduce greenhouse gas emissions (Projects such as the Takoradi II Power Plant project). Management Response 19

Recommendation Management response Recommendation 4: Improve Support to regional trade by continuing to address infrastructure constraints while also incorporating trade facilitation considerations

Comment—The Bank has already made Agreed: The Bank will support construction of OSBPs where feasibility but would a tangible contribution to regional trade prioritise improving boarder processing efficiency in existing border posts. It is also through the rehabilitation of international worth noting that the Bank is funding the Ghana Airports Company Ltd. Infrastructure corridors, but additional opportunities exist Project which aims at expanding the international airport in Accra which will enhance to promote trade and reduce the time Accra’s status as a regional hub. In addition, the Bank has used (and will continue to required to import and export through the use) Policy based Operations to operationalised assistance and dialogue to support implementation of one-stop border posts reforms that aim at improving trade facilitation such as reducing cost of doing (OSBPs) and improvement of customs business. processes. The Bank’s support for regional trade though road construction such as the Fulfulo- Sawla Road project has also contributed to improving access seaports, particularly for landlocked countries, thereby facilitating movement of transit traffic. In addition, the Bank has supported efforts to improve access for landlocked countries through implementation of a range of interventions along the entire corridor including inter- modal connectivity, development of integrated management systems through use of ICT for efficiency of the logistics chain, support social development through inclusive transport to enhance local development along the corridors and help unlock the economic potential of areas along the corridors. Further Actions ❙❙ The Bank is engaging with the Government on the development of regional corridors including coastal Abidjan-Lagos corridor, North-South connecting the sea ports of Tema and Takoradi with Ghana’s landlocked neighbours in the north. ❙❙ Within the context of dialogue for the development of the next CSP for Ghana, COGH would engage Ghanaian authorities on other regional trade facilitation infrastructure to facilitate movement of goods and services including transit of goods to neighbouring countries. These would be developed within the framework of encouraging private sector partnerships to effectively drive these projects whilst exploring Bank developed innovative financing to leverage resources. Country Strategy Evaluation An IDEV 20 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Recommendation Management response Recommendation 5: Address weaknesses in project design which impact both effectiveness and sustainability though enhanced scrutiny prior to approval, including: (i) extent of consultations with project beneficiaries; (ii) quality of feasibility studies; (iii) project implementation capacity; (iv) realism of project scope and timeframes; (v) mitigation of risks to sustainability; and (vi) clear arrangements for the collection of data to support Results Based Management. Comment—Project design weaknesses Agreed: Weak project design and frequent changes in scope during project contribute to unnecessary delays and implementation have been identified in the IDEV report as well as project PCRs to have frustrate the achievement of outcomes led to implementation delays and cost overruns. Stringent project readiness criteria is and measurement of results. Greater use being implemented and will continue to be strictly applied. In addition, the Bank has of Trust Funds may allow for additional been providing training during project launching As part of the internal project approval Technical Assistance to strengthen design process, enhanced upstream work including improved quality of feasibility studies and implementation capacity. and detailed designs for civil works will ensure that project costs and implementation timelines are firmed up before appraisal. Going forward, Trust Fund resources will be fully utilised to build the capacity of project staff and fund project preparation to improve quality of feasibility studies. In addition, the Bank will solicit the views of stakeholders through participatory meetings (during concept stage, appraisal and at implementation) to ensure that the views of beneficiaries and executing agencies are reflected in the design/implementation of projects, thereby benefitting from local knowledge and enhancing ownership by the beneficiaries. The new Development Business and Delivery Model (DBDM) as well as the decentralization of staff would ensure a ready cadre of professionals dedicated to specific regions or country offices to assist in meeting the above objectives. In addition, DBDM process is expected to facilitate improvements in the capacity to engage with Governments during the design stage as well implementing stages of projects. This is expected to improve the final outcome of projects, as well as address sustainability and the effectiveness of Bank funded interventions. Indeed decentralisation to the Country Office has been noted in the 2016 Country Portfolio Performance Review (CPPR) to have led an improvement in portfolio performance. The availability of a pool of experts including financial management and procurement officers at country office has led to extensive consultations with both Government and project management teams. Currently, all project supervision missions are carried out by Task Managers (TMs) based in COGH with the exception of 4 projects whose TMs are based at Headquarters (HQs) but with backup TMs in the Country Office. Overall, decentralisation has brought about close contact with Project Management Units providing useful support and efficient delivery on the execution of project activities. The quarterly portfolio review meetings between the Bank, and the Ministry of Finance and Project staff have been provided technical support to project staff and also come up with solutions to implementation challenges facing projects. In addition, the Bank provides annual fiduciary clinics for Government and project staff on procurement, disbursement and audit.

Further Actions The Bank will continue to work with the counterpart project preparation teams and the Government with a view to strengthening project design and improving monitoring and collection of M&E data through the following measures: ❙❙ Ensure that all feasibility studies adhere to quality standards, and detailed designs and firm cost estimates are available before project appraisal to improve the effectiveness of evaluating project interventions. ❙❙ Ensure baseline data, design output and indicators are available at the time of appraisal to improve the effectiveness of project monitoring. ❙❙ Ensure the right skills mix during project preparation and appraisal. ❙❙ Stakeholder consultations will be conducted during project appraisals and project supervision visits to benefit from local knowledge. ❙❙ Ensure project team is composed of highly technical staff and sign performance based contracts. Management Response 21

Recommendation Management response Recommendation 6: Address obstacles to timely project implementation by rationalising the use of counterpart funds and ensuring that relevant stakeholders are made aware of conditions precedent. Comment—Whereas Ghana Country Agreed:The Government has taken measures to reduce delays linked to Parliament’s Office already applies a readiness filter project ratification. Lack of counterpart funds was a result of the challenging with respect to advance procurement macroeconomic environment that emerged. It was not due to absence of knowledge of of infrastructure works, the availability the conditions. Management will continue to hold extensive consultations during project of counterpart funds and fulfilment preparation with all stakeholders in the identification and selection of any conditions of conditions precedent continue to precedent. The entities responsible for implementation of the agreed precedent actions cause implementation delays. Given the will be made aware well ahead of time. In spite of this and the depth of sensitisation macroeconomic context, Country Office carried out, some delays still occur, including those relating to legislative approval of should identify other means of ensuring any new borrowings as is required by the constitution. timeliness, sustainability and ownership of projects. Furthermore, measures Further Actions should be taken to ensure that all relevant The Bank will dialogue with relevant stakeholders on conditions precedent to first stakeholders, including the PIU, are disbursement at participatory stakeholder consultation workshops during project aware of conditions precedent to first appraisal missions to solicit their inputs on the realism as well as to gauge the disbursement as early as possible and estimated timeline to meet the said conditions as a part of project readiness that progress in addressing conditions assessment. precedent is tracked systematically. Taking into consideration the country’s current challenging macroeconomic environment, the Bank will explore other options of providing beneficiary contribution. In special instances, especially in high impact development projects, exemptions will be sort until the economic situations stabilizes. Recommendation 7: Ensure that cross cutting themes, including gender and green growth, are included within project log-frames and that clear data collection arrangements are identified at appraisal. Comment—While mainstreaming of Agreed: Mainstreaming cross cutting issues of gender and green growth as noted gender and green growth has been by the IDEV report have been incorporated in all recent Bank-funded projects in satisfactory, additional work is needed to the country. In addition, the Country Offices is working with the Bank’s Statistics assess results for cross-cutting themes. Department to improve collection of gender-disaggregated data. For project related In particular, this may be addressed data, data collection is captured using surveys during project completion missions. through technical assistance to build the capacity of the GoG to collect gender- Further Actions

disaggregated data, increased scrutiny of Going forward, projects under the next CSP will ensure that: Country Strategy Evaluation projects results frameworks at appraisal ❙❙ Projects results frameworks have measureable gender disaggregated data-and data and arrangements for data collection collection arrangements are agreed during project appraisal. agreed among implementing partners. ❙❙ The Bank’s Statistics Department will support implementing partners build the An IDEV capacity to collect gender disaggregated data. 22 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Recommendation Management response Recommendation 8: Further strengthen supervision by ensuring that all elements of the project logic are addressed or that credible alternatives are identified and improving the skills mix of supervision teams for private sector operations. Comment—Explicit consideration should Agreed: All private sector operations in the Ghana portfolio were subjected to also be given to the potential impact of ADOA assessments. All supervisions of private sector operations not only ensure decisions on project beneficiaries as well accountability of the Bank’s resources but also reporting on development results. as the achievement of project outcomes It is also important to note that the current structures in the Bank separate project when determining how to address origination from implementation. As members of the Project Appraisal Team portfolio implementation. officers are marginally involved in the ADOA assessment process (which aims to strengthen development outcome analysis of private sector operations) and the development of the project logical framework. To the extent possible, some feedback is provided to fine tune the project logic during the processing of the project. However, in reality the portfolio team is only able to work with a project that has been originated, approved and subsequently transferred for implementation. Any Information that is made available by the borrower/client is collated for internal reporting. To ensure availability of the relevant skills mix during project supervision, the Ghana Country Offices has improved preparation of supervision missions. Supervision missions are open during one window in each quarter. All projects due for supervision during that quarter are supervised during one window which brings together all the required expertise. This not only ensures availability of the required skills during supervision, but also ensure availability of key staff from the executing agencies.

Further Actions With regards to the supervision of private sector operations, the identified challenge is to strengthen the coordination between the origination team (Project Appraisal Team) and portfolio management team to ensure better results formulation and monitoring. ❙❙ The Country Office will continue to improve preparation of supervision missions and ensure that the required skills mix are available. Introduction 23

Introduction

This report presents a summary of findings, of the Bank's strategic interventions in Ghana; and conclusions and recommendations from an (ii) conclusions and recommendations to inform evaluation of the Bank's Country Strategies and the development of the next Country Strategy for Program in Ghana over the period of 2002–2015. 2017–2021. The evaluation covers all lending This evaluation identifies: (i) evidence-based and non-lending operations approved between findings regarding the relevance and performance 2002 and 2015.

Background

Economic Context inflation remained high and volatile.4 These reforms were then derailed by an election-related public At independence in 1957, Ghana had the highest wage increase of 80% in 1992, resulting in structural per capita income on the continent.1 Growth was deficits.5 By the end of 2000, total government debt driven by the export of cocoa, which accounted for stock was estimated at USD 5.9 billion with 52% of 70% of foreign exchange earnings. Government this debt owed to multilateral creditors.6 Following intervention in the economy, fluctuations in cocoa a peaceful and democratic political transition in Country Strategy Evaluation prices and a series of coups resulted in alternating 2001, the government opted for debt relief under the periods of liberalization and state intervention as Highly Indebted Poor Countries (HIPC) Initiative. HIPC well as high levels of debt and inflation. Furthermore, participation saw Ghana's debt service payments An IDEV cocoa exports declined due to the poor quality of drop significantly, from 79.8% of annual revenue in infrastructure and shortages in agricultural inputs.2 2000 to 7.6% in 2003.7

In 1983, an Economic Recovery Program (ERP) was Over the course of the evaluation period, Ghana's introduced to stabilize and liberalize the economy. The macroeconomic context has been uneven. ERP was followed by a Structural Adjustment Program Non-oil GDP growth averaged 5.7% per annum (SAP), which sought to rehabilitate deteriorating and Ghana transitioned to Lower Middle Income ports, roads and railways. Both were implemented Country (LMIC) status in 2010.8 Oil production with substantial support from International Financial was expected to support public infrastructure Institutions (IFIs) and bilateral donors.3 Between and alleviate fiscal imbalances; however, the 1983 and 1999, GDP growth averaged 5% annually potential gains were offset by a rising wage bill and real income grew by 2% per capita; however, (35% in 2015) and large deficits in 2012 and 24 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

2013.9 Expenditure overruns were worsened levels have reduced from 31.9% in 2005 to 24.2% by recourse to domestic and external financing, in 2014 and the poverty gap has narrowed from including the issuance of Eurobonds. As a result, 11% to 7.8% over the same period. However, 8.4% gross government debt rose to an estimated 78% of people are considered extremely poor despite of GDP by the end of 2015 with the IMF indicating Ghana's transition to LMIC status.18 Furthermore, a high risk of debt distress.10 Moreover, interest the Gini Coefficient increased from 41.9% to 42.5% payments have risen to 24% of expenditure and over this period, suggesting that Ghanaians have not the cedi lost approximately 40% of its value benefitted equitably from the country's economic against the US dollar in 2015.11 In April 2015, boom.19 the IMF approved a three year USD 918 million facility to support an economic reform program Key indicators suggest that substantial gains in and improve debt sustainability.12 standard of living have been achieved. With respect to access to basic services and infrastructure, Ghana's economy is driven by the services 78% of households had access to electricity in sector, which accounted for 51.6% of GDP in 2014 compared to 45.3% in 2005.20 The Gross 2015. The Industrial sector accounted for 28.4%, Primary Enrolment Ratio (GPER) increased to 1.07 led by growth in the construction industry.13 in 2015, with net enrolment increasing to 89.3%.21 Agriculture accounted for just 20.1% of GDP in Overall, 88.7% of Ghanaians now have access to an 2015, but remains strategic in terms of economic improved water source, although access to unshared, diversification and poverty reduction, employing improved sanitation has increased more slowly at an estimated 41.5% of the population.14 Although 14.9%.22 An estimated 73% of births in 2014 were Ghana's non-oil GDP growth is expected to attended by skilled staff and infant mortality has accelerate in 2016 and 2017 to 4.5% and 5.5%, decreased from 77 deaths per 1000 live births in the macroeconomic context remains precarious.15 1988 to 41 in 2014.23 Finally, life expectancy has Projections for growth are dependent upon increased between 2000 and 2010 from 55 to 60 resolution of the ongoing energy crisis, reduction for men and 60 to 63 for women.24 Ghana's progress of public sector wage expenditure and fiscal against the MDGs is provided in Annex H. management surrounding national elections in 2016, against a history of election-related overspending. Development Challenges

Inclusive and Sustainable Growth. Ghana's Development Context development indicators continue to evidence gaps between urban and rural areas. The rural population Ghana has an estimated population of accounts for 78% of Ghana's poverty; there has 24.7 million people, growing at an annual rate of been only a small reduction in this proportion 2.3%.16 The population is predominantly urban, with since 2005.25 Poverty is particularly high within the proportion of Ghanaians living in cities increasing the Northern, Upper West and Upper East Regions, from 23% in 1960 to 54% in 2015. The population where 50%, 44% and 71% of the population is is also predominately young with 38% of Ghanaians poor, respectively. Whereas growth has primarily under the age of 15.17 Ghana has undergone occurred in the services and industrial sectors, transformative growth over the last decade: Poverty the majority of the rural population are farmers.26 Background 25

Rapid Urbanization. Migration to urban areas has sectors.33 These phenomena are being driven, in resulted in unplanned settlements and increased part, by low levels of education and skills training. It pressure on services and infrastructure. In 2014, is estimated that 26% of the population has had no 37.9% of the urban population lived in slums. formal education, with just 6.2% having completed Although levels of urban poverty have declined since secondary education. Gross enrolment in tertiary 2000, the rate of decline has slowed considerably.27 education is estimated to be just 3.3%.34 The increasing vulnerability of urban populations is evident across some key indicators - the UNDP notes Growth of Small and Medium Enterprises. SMEs that Greater Accra region has seen reductions in net are estimated to account for 92% of registered primary school enrolment in recent years and that companies and account for 70% of Ghana's GDP.35 access to improved water sources in urban areas SMEs are particularly active in the manufacturing has declined slightly since 2008, although other sector, accounting for 85% of formal employment. indices suggest modest improvements.28 Banks are increasingly targeting SMEs through "value chain financing," but continue to consider them Access to Reliable Electricity Services. Over the to be "high-risk borrowers" owing to high default past three years, Ghana has experienced an energy rates and poor corporate governance practices.36 crisis caused by a shortfall in generation linked to low These companies are "crowded out" of the limited water levels, resulting in widespread power rationing credit available by government and multi-national and daily outages. It is estimated that Ghana's corporations. SMEs in general, but particularly economy loses between 320 and 924 million USD those in the manufacturing sector, have also faced per annum as a result of these "dumsors."29 The considerable challenges due to the ongoing economic IMF and other Development Partners (DPs) have and energy crisis facing the country.37 identified the energy crisis as a major bottleneck to economic growth, which has fueled high inflation and Macroeconomic Stability and Vulnerability to raised production costs for the manufacturing sector. Exogenous Shocks. Despite Ghana's transition Resolving the energy crisis is a short-term priority of to LMIC status in 2011, the economy continues the GoG through the fast-tracking of private power to rely on cocoa, gold and oil for 79% of its Country Strategy Evaluation projects across a range of energy sources and export revenues. As such, Ghana's economy is restructuring of the energy sector.30 vulnerable to fluctuations in global commodities prices and this situation is exacerbated by poor An IDEV Skills Gaps and Vulnerable Employment. Despite fiscal management. Moreover, net aid inflows Ghana's LMIC Status, 68.6% of Ghanaians are have fallen 37.5% between 2011 and 2014 as engaged in vulnerable employment. Vulnerable development partners adapt their aid policies in employment is a proxy for "informal employment" light of Ghana's LMIC status. Given recent deficits, and is typically tied to poor working conditions, increasing debt service burdens and ongoing low incomes and limited social protection.31 Yet, infrastructure challenges, stakeholders note the although joblessness has increased in recent years, current macroeconomic context as Ghana's most particularly among youths,32 businesses report skills immediate challenge, threatening to derail the gaps for basic skills and a "talent crush" in key progress that has already been made. 26 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Overview of the Bank's Country Strategies and Program

Overview of Strategic Priorities for priority industries and improving the business regulatory environment. Over the course of the evaluation period, the Bank has sought to promote sustainable, private sector- led growth and poverty reduction through three Project Portfolio mechanisms: (i) improving the business regulatory environment; (ii) improving infrastructure The Bank approved a total of 50 operations in and service delivery; and (iii) promoting Ghana between 2002 and 2015 amounting to good governance and sound macroeconomic UA 1,330.1 million, excluding cancelations. The management. These three themes have remained portfolio under review comprises 44 projects, four constant across each CSP over the evaluation studies, one grant and one emergency operation. Four period but are expressed differently across the multinational operations totaling UA 107.62 million three strategies. were also approved. The evaluation focused on national projects, examining regional projects only The 2002-2004 CSP promoted sustainable where there was a tangible national component. poverty reduction through strengthening rural Overall, the portfolio has grown in projects and economic infrastructure, improving the business financing approved(figure 3). environment and promoting good governance. At the sector level, emphasis was placed Nearly 77.6% of the Bank's financing during this on agriculture and rural development, basic period has been done through the ADF window, infrastructure and social services. The 2005- followed by the ADB window at 18.7%. The 2009 CSP (extended to 2011) targeted pro- remaining funds have been provided through poor, gender-equitable growth through improved other sources including the Multilateral Debt Relief social service delivery and the development of Initiative, Strategic Climate Fund, Africa Water gender-equitable policies. However, this strategy Facility Fund, Nigeria Trust Fund, Fund for African also sought to improve the private sector Private Sector Assistance, and Special Relief Funds. regulatory environment through the provision Loans represent 82% of commitments whereas of budget support. The 2012-2016 CSP sought the remaining 18% are grants. The majority of the to: (i) remove constraints to the productivity of Bank's support by value has been in the transport, Ghanaian enterprises; and (ii) support economic governance, and agriculture sectors (32.2%, 24.3%, and structural reforms to improve the business 14.3% respectively). However, agriculture, transport, environment. Specific interventions emphasize governance and Water Supply and Sanitation (WSS) regional energy infrastructure, skills development are most prominent in numbers (figure 4). Overview of the Bank's Country Strategies and Program 27

Figure 3: Operations and Amount Approved (2002-2015)

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 n A n

Source: SAP

Figure 4: Operations and Funds Approved by Sector (2002–2015)

Ind/Mini/Quar

Water Sup/Sanit Country Strategy Evaluation

Finance An IDEV

Power

Social

Agriculture

Governance

Transport

n A n

Source: SAP 28 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Evaluation Approach and Methodology

Evaluation Issues and Questions Achievement of results are assessed for each sector based on sector results chains (Annex The evaluation primarily addresses four issues: C), which reflect both the CSP objectives and relevance, effectiveness, efficiency, and sustainability. outcomes identified across individual projects. However, other strategic issues relevant to the The evaluation also identifies the progress made Bank's operations are also examined, including: against four strategy level outcomes, namely: (i) crosscutting themes (gender, inclusive and green increased regional trade; (ii) increased access to growth); quality at entry; leveraging and cofinancing; basic services and infrastructure; (iii) creation of an supervision; and results-based management. A total enabling business environment; and (iv) improved of 29 evaluation questions were identified based on transparency and accountability of public financial these issues (Annex B). management (PFM). These outcomes are reflective of the Bank's CSP outcomes identified over the evaluation period (see Annex A). Although this section Methodology is not rated, IDEV identifies the Bank's contribution to changes in the national context, where possible. A theory of change and an evaluation matrix were developed to guide data collection and analysis There are some limitations to the evaluation and provide a transparent account of how IDEV methodology. It was often not possible to attribute has examined the achievement of results across and quantify the Bank's contribution to strategy each sector, including key indicators, judgment outcomes. Furthermore, challenges were noted criteria and rating scales (Annex C). regarding the quality and availability of project supervision data. Results frameworks were often Evaluation issues and questions were addressed found to lack baseline data or possess flaws in the through triangulation of evidence from four intervention logic, such that supervision did not different sources: (i) review of project documents; credibly report on outcomes. To account for these (ii) literature review; (iii) stakeholder interviews; challenges, the evaluation team sought to triangulate and (iv) site visits. In total, the evaluation reviewed supervision data with other evidence, including over 200 project documents and other literature, interviews, site visits, external literature and other collected feedback from over 250 stakeholders evaluations. A final challenge involves the timing of and conducted site visits of 17 projects (Annex F). implementation for the 2012–2016 CSP. Several Each evaluation issue is assessed on a six-point key interventions have only recently commenced scale ranging from Highly Unsatisfactory to Highly implementation due to parliamentary moratoriums Satisfactory (see Annex C). on new loan approvals in 2013 and 2015. Evaluation Findings 29

Evaluation Findings

Relevance reflects the GSGDA II's emphasis on optimizing revenue mobilization in light of declining aid inflows Alignment of the Bank's CSPs with National as a result of Ghana's transition to LMIC status.41 Development Strategies was found to be Alignment with National Development Strategies is satisfactory. Alignment of approved projects with illustrated further in Annex G. each CSP, Bank policies and beneficiary needs was also satisfactory. Alignment of Approved Projects with Country Strategies and Sector Policies Alignment with National Development Plans Alignment of the portfolio with the pillars and strategic Alignment of the Bank's CSPs over the period with priorities of each CSP has been satisfactory. The contemporary National Development Strategies, only exception has been some private sector projects including the Ghana Poverty Reduction Strategy approved between 2002 and 2011, reflecting the (GPRS), and GPRS II, Ghana Shared Growth and opportunistic nature of private sector operations. Development Agenda (GSGDA) and GSGDA II, has However, the Lines of Credit (LOCs) approved been satisfactory. Both the 2002–2004 and 2005– under the 2012-2016 CSP are consistent with the 2009 CSPs reflect the agriculture-centered focus CSP's two strategic objectives, namely: (i) to relieve in the GPRS and GPRS II as a means of promoting constraints for small business; and (ii) to improve the productivity and inclusive economic growth. These business environment. strategies also mirror the emphasis placed by the

Government of Ghana (GoG) on pro-poor, gender- Alignment of the project portfolio with the Bank's Country Strategy Evaluation inclusive service delivery, including access to WSS, sector and corporate strategies has also been basic education and quality health care. satisfactory. However, some limited exceptions were observed among transport and social sector An IDEV The 2012–2016 CSP heralds a shift in the Bank's projects. Whereas the Bank's transport sector Strategy, with increased emphasis on barriers to operations have placed increasing emphasis on private sector growth, including skills gaps, policy regional integration, the Bank's projects in Ghana and institutional barriers, and unreliable access have shifted focus from rehabilitation of regional to electricity. This shift reflects the priorities of the corridors to peri-urban roads linking urban and rural GSGDA and GSGDA II, which aim to promote the communities. Furthermore, additional opportunities competitiveness of the private sector by relieving exist to promote trade facilitation in terms of the infrastructure constraints, promoting human streamlining of customs regulations and processes resources development, creating jobs and ensuring and the promotion of cooperation between customs reliable access to energy. Furthermore, the emphasis agencies for efficient movement of goods across placed on private sector regulatory reform and borders. Such initiatives, including one stop border strengthening public financial management (PFM) posts, are identified in the 2011–2015 Regional 30 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Integration Strategy for West Africa.42 In the social in the Bank's 2015 Study on "Developing Science, sector, the Bank's education projects do not reflect Technology and Innovation," namely: ICT, agro- the Bank's contemporary focus on increasing access processing; mining; and oil and gas. to primary education, nor the current emphasis placed on higher education and skills development.43 However, project stakeholders indicated that these large-scale interventions have sometimes not fully reflected the needs and preferences of the ultimate Alignment of Projects with the Needs of beneficiaries. In the case of the Developing Senior Beneficiaries Secondary Education Project (DSSEP), stakeholders noted a lack of consultation and stated that the Alignment of the Bank's project portfolio with the works did not necessarily address their most needs of beneficiaries has beensatisfactory. critical needs in terms of teaching facilities. By Detailed feasibility studies were used to identify contrast, works implemented under the Urban targeted beneficiary groups in the WSS, agriculture Poverty Reduction Project (UPRP) were identified and social sectors. by Metropolitan, Municipal and District Assemblies (MMDAS) through a participatory process. This For example, the Rural Water Supply and Sanitation issue is discussed further below in the section that Program (RWSSP) prioritized the Ashanti Region addresses the quality at entry for project design. because it had: (i) the largest share of the total population; (ii) the second highest rate of growth; and (iii) the largest total population without access Effectiveness to a water or sanitation source. Four priority districts were selected based on population size, Achievement of project outputs has been poverty level and existing WSS coverage.44 In moderately satisfactory. Many output delivery the case of the Afram Plains District Agricultural targets were exceeded; however, project Development Program (APDADP), Afram Plains was components such as training were sometimes over- prioritized based on its low level of development delivered while larger project elements, such as civil relative to other regions. At project appraisal, 87% works, were under-delivered. Achievement of project of individuals in Afram Plains were estimated to live outcomes has also been moderately satisfactory, in poverty.45 with some progress demonstrated toward the majority of project outcomes. At the strategy level, Finally, the Bank has focused on Technical and the Bank has made a tangible contribution toward Vocational Education and Training (TVET) to promote increasing regional trade and improving access to human capital development and employment. The transport, electricity and WSS infrastructure. Limited Developing Skills for Industry Project (DISP) targets progress was made in strengthening PFM. Overall, welding, plant engineering and electronics, which effectiveness over the evaluation period is rated as are aligned with gaps in key industries identified moderately satisfactory.

Criteria Rating Delivery of Project Outputs Moderately Satisfactory Achievement of Outcomes Moderately Satisfactory Overall Rating for Effectiveness Moderately Satisfactory Evaluation Findings 31

Delivery of Outputs where delivery rates for different types of outcomes are averaged together.47 All hospital buildings at Delivery of outputs was moderately satisfactory Bekwai have remained partially completed for with 88% of planned outputs delivered across the past two years and exposure to the elements sectors. Over 95% of outputs were delivered across has resulted in degradation of the site. Evidence the transport, power and agriculture sectors; of wildlife living within the existing buildings was however, some challenges were noted among observed. Similarly, a teachers' hostel and training agriculture projects in delivering planned feeder facility at Saltpond, planned under the DSSEP, was roads with delivery estimated at 67%. Private left unfinished.48 sector, social sector and WSS sector projects also faced challenges in delivering some important Delivery of outputs for finance sector projects project components. Within Project Completion was limited by the fact that ongoing LOCs were Reports (PCRs), output targets were often revised not disbursed to the targeted number of SMEs. downward during implementation and PCR ratings The Second LOC to CAL Bank was disbursed to were sometimes misleading. Progress made toward three SMEs against a target of 30, whereas the the delivery of project outputs in selected sectors is Trade Finance Line of Credit to UT Bank has been discussed further below. disbursed to 15 SMEs against a target of 100.49 These two LOCs were meant to improve access Transport sector projects have recently integrated to finance, such that the number and size of the measures to improve access to basic services and sub-project SMEs is relevant to performance.50 infrastructure among beneficiary communities. As Whereas CAL Bank contends that lending to larger part of the Fufulso-Sawla project, 41 boreholes businesses has contributed to higher levels of job were installed at education and health facilities. creation and the development of supply chains, this Furthermore, nine basic schools and the Damongo approach does not necessarily promote access to Hospital were rehabilitated, including the finance across a broader range of businesses. construction of a fully-equipped accident center and procurement of two ambulances. Other works For WSS projects, water supply works were Country Strategy Evaluation included the construction of 8 community health over-delivered whereas chronic challenges centers, markets stalls with lorry parks and the were encountered in implementing sanitation establishment of the Mole Park Museum.46 infrastructure. Under the RWSSP, just 36% of An IDEV planned household latrines were constructed due to Social sector projects faced difficulties in terms of low uptake among project beneficiaries. In contrast, the completion and quality of infrastructure works. sensitization campaigns, training of artisans and In the case of the Health Services Rehabilitation delivery of hygiene education exceeded targets.51 Project (HSR III), works were completed for just one The original target for household sanitation facilities of two hospitals due to insufficient funds. Although was revised downward from 20,188 to 6,000 the hospital in Bekwai was deemed to be 75% during project implementation, whereas targets complete, the output execution rate for this project for institutional latrines was increased from 313 does not fully capture the consequences of non- to 400 and delivery of boreholes was increased completion of the hospital. In contrast, delivery of due to demand. The PCR notes these revisions, training for doctors and regional health staff under but performance is ultimately assessed against the the HSR III exceeded targets, at 120% and 225% revised targets. This approach does not necessarily respectively. This example demonstrates how reflect the original logic of the project, nor does project output execution ratios may be misleading it promote the identification of lessons from a 32 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

frank discussion of design and implementation and three supplementary loans amounting to challenges.52 UA 427.75 million. The Bank's completed projects in the transport sector primarily target the rehabilitation Sanitation markets were successfully implemented of international corridors, including the Trans-West under the Improved WSS Project with revolving African Highway which links Ghana to its ECOWAS credit funds established to support demand- trading partners. The Bank's interventions in driven installation; however, neither fund was the transport sector sought to: (i) reduce vehicle accessed and just 12 household latrines were operating costs; (ii) reduce travel time; (iii) increase constructed.53 Finally, the Accra Sewerage annual average daily traffic; and (iv) improve road Improvement Project (ASIP), still ongoing, has faced safety. Achievement of outcomes among transport considerable implementation delays and design sector projects has also been satisfactory, with challenges. Whereas the project initially foresaw progress achieved toward all project outcomes and the construction of two sewage treatment plants several project targets exceeded. and improved sewerage infrastructure, a failed procurement process led to the cancelation of Site visits and consultations with beneficiaries the treatment plant in Densu and the relocation of confirmed thattravel time along the Fufulso-Sawla planned sewerage improvements to North Accra.54 and Akatsi-Aflao roads each fell by more than 50%, whereas travel time for the Akatsi-Dzodze-Neope road is estimated to have been cut by 67%, exceeding Achievement of Outcomes appraisal targets.55 Vehicle Operating Costs were found to have reduced by an average of 43% Achievement of outcomes was assessed through across projects, again exceeding project targets.56 an in-depth review of closed, completed and All of the project sites demonstrated growth in daily near-completed projects. Progress has been traffic levels. For Akatsi-Aflao and Akatsi-Dzodze- achieved toward the majority of outcomes but Noepe road projects, average annual daily traffic the achievement of results has been uneven (AADT) increased at a rate of 8.6% and 5.5% per across sectors. Where possible, results were year, respectively, whereas AADT on the Techiman- assessed against targets identified at appraisal. Kitampo road increased by 144%.57 However, the evaluators sometimes relied on proxy indicators where appropriate data were not Feedback from stakeholders indicated that the available. Overall, this criterion was assessed as Bank's transport projects have also contributed moderately satisfactory. Additional information to socioeconomic benefits. Officials from multiple about project performance can be found in the districts assemblies noted that the Tema-Aflao Project Rating Table (Annex E) whereas additional road project has contributed to an increase in information on rating methodology can be found investment and economic activity, including a new in Annex C. pharmaceutical factory, new petrol stations and fruit and vegetable vendors. Ancillary works implemented as part of the Fufulso-Sawla road project have been Transport Sector identified by several stakeholders as a best practice and were noted to have contributed to increased The Bank's transport sector interventions over access to safe water, local economic activity, access the evaluation period consist of seven projects to health services, basic school enrolment and Evaluation Findings 33

teacher attendance. Moreover, the number of tourists included: (i) improved business regulatory visiting Mole National Park increased 17% between environment; (ii) financial and administrative 2009 and 2014.58 Whereas these design elements decentralization; (iii) strengthened accountability are well appreciated by the beneficiaries, the Ministry systems; (iv) reduced Public Sector wage of Health indicated the need for strengthened expenditure; and (v) reduced budget variance and consultation with other Ministries, Departments cash management. Achievement of outcomes was and Agencies (MDAs) whose operations could be moderately unsatisfactory with 52% of targeted implicated by ancillary works. outcomes across projects either fully or partially achieved.

Governance Improvements in the business regulatory environment were demonstrated by reductions in The Bank's governance sector interventions the number of days required to register a business, over the evaluation period consist of seven obtain a construction permit, enforce a contract, projects amounting to UA 323.4 million. and import and export (figure 5).59 These reductions The Bank's completed governance projects are attributed to reforms targeted under the Multi- consist of four Poverty Reduction Support Loans Donor Budget Support (MDBS) Program, including: (PRSL) implemented between 2003 and 2013. (i) computerization of land registration processes; These projects were to facilitate the implementation (ii) introduction of software to link import and of national development strategies while promoting export processes and agencies; and (iii) creation of key policy objectives and reforms. Key outcomes bankruptcy sections in commercial courts.

Figure 5: Key Business Environment Indicators

Country Strategy Evaluation

An IDEV

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

n E I Source: Doing business 34 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Progress made in decentralizing governance Progress in strengthening the internal and external was uneven. Between 2003 and 2013, resources audit functions was uneven. The Internal Audit transferred to MMDAs increased after the Agency (IAA) indicated that nearly 400 IAUs had establishment of the District Assemblies Common been established across MDAs and MMDAs by Fund (DACF), with allocations to the DACF increasing 2013. Implementation of audit recommendations from 5% of national tax revenues to 7.5%, in has risen from 15% in 2008 to 53% as of 2012 but accordance with MDBS targets. However, despite the IAA indicated that the rate of implementation the approval of a decentralization policy, efforts to continues to be inadequate.65 With respect to increase administrative decentralization faced delays external audit, the average execution rate for and challenges, including the staffing and resourcing annual audit plans has been variable, sitting at 55% of the Local Government Service, creation of human in 2012 and rising to 69% in 2014 before again resources (HR) units within MMDAs and development declining to 52% in 2015. The Ghana Audit Service of decentralized capacity in procurement, payroll (GAS) has noted that audit arrears may accumulate administration and revenue collection.60 Additional due to the reduction and untimely release of their progress made toward decentralization subsequent budget vote.66 Timeliness of external audit has also to the Bank's operations61 include the decentralization been an issue with a persistent three year lag in the of 16 MDAs.62 Furthermore, in October 2016, review of Public Accounts since 2012.67 the GoG introduced the Local Governance Bill, which: (i) harmonizes existing legislation on local With respect to public service wages 55 major governance; (ii) identifies three additional MDAs to be public service institutions had migrated to the decentralized; and (iii) establishes the Inter-Ministerial Single Spine Salary Structure (SSSS) by October Coordinating Committee on Decentralization, one of 2011, representing 97% of GoG employees. the outputs originally identified under the PRSL III However, the migration to SSSS came with a Project, approved in 2008.63 negotiated 11% increase in salaries68 and has not eliminated irregularities. Pay system irregularities Modest progress has been achieved in totaled over GHS 2.3 million between 2009 and strengthening accountability systems, including 201169 and, in 2012, the GAS found multiple audit and procurement. The use of competitive irregular payments to over 1,800 active and past procurement methods increased subsequent to employees. DPs confirmed that major abuse of the the creation of procurement and internal audit payroll system had been uncovered in 2012 and units (IAUs) in MDAs and MMDAs, rising from 2013, raising concern among the MDBS Group that less than 50% of relevant contracts in 2005 to the political environment was no longer conducive 97.5% in 2008. However, the 2009 and 2012 to budget support. More recent reports from the Public Expenditure and Financial Accountability GAS demonstrate that these irregularities have (PEFA) Reports noted continuing procurement persisted: In 2014, the Service prevented payment irregularities in excess of 29 million Ghanaian of unearned claims totaling GHS 16,015,200.70 Cedis (GHS), stemming from weaknesses in A payroll cleaning program is currently being contract administration, use of non-competitive implemented with support from the World Bank.71 procurement methods and a lack of systematic recordkeeping.64 Reports of continued Serious challenges were identified with respect irregularities were corroborated by feedback from to reducing budget variance and strengthening the MDBS group, which noted a lack of qualified commitment controls. Efforts to improve budget procurement staff (table 1). execution were "severely affected by large overall Evaluation Findings 35

Table 1: Scores for Key PEFA Indicators

Progress on key PEFA Indicators Indicator 2006 2009 2012 PI-1 (i) Budget Credibility B C C Aggregate expenditure out-turn PI-18 Effectiveness of payroll C+ C+ C+ management PI-19 (i) Use of open C B+ C competition for contract award PI-20 Effectiveness of internal C D+ D+ controls for non-salary expenditure PI-21 Effectiveness of Internal D+ D+ C+ Audit Source: PEFA Reports budget deviations," with variance for the 2011 internal control measures, ensure compliance fiscal year at 35.1%.72 PEFA Scores suggest with applicable laws and minimize the risk of a deterioration in budget deviation and annual irregularities," particularly for cash management outturn, falling from a grade of B in 2006 to C and procurement.77 These challenges were in 2009 and 2012.73 Furthermore, despite the corroborated by feedback from MDBS partners, implementation of Ghana Integrated Financial who expressed concern that changes to internal Management Information System (GIFMIS), PEFA controls have largely been procedural rather than scores for indicator 20 (Internal Controls) fell from substantive with few sanctions applied for misuse. a grade of C in 2006 to D+ in 2009 and 2012.74 Country Strategy Evaluation Persistent cash irregularities were observed, including wrongful payments, misapplication Agriculture Sector of funds and unaccounted for payments. Total An IDEV irregularities reached GHS 173.2 million in 2010.75 The Bank's agriculture sector interventions over the evaluation period consist of 11 projects and three Although a more recent PEFA Report is not available, grants amounting to UA 190.6 million. Achievement IMF documents indicate that the implementation of outcomes in the agriculture sector was assessed of GIFMIS and the Treasury Single Account in terms of: (i) agricultural productivity; (ii) incomes (TSA) has made progress, but is still ongoing.76 and job creation; and (iii) access to markets. Overall, However, evidence from the GAS indicates that 67% of project outcomes were fully achieved. In commitment controls are still not working as particular, the Bank has contributed to increasing intended. Irregularities of GHS 2.21 billion and agricultural productivity and beneficiary incomes. GHS 1.35 billion were identified by the Service in However, whereas feeder roads were effective in 2013 and 2014 respectively. These irregularities improving access to markets, other assets such as were attributed to a "failure to institutionalize pack houses, markets and fodder banks have not 36 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

been utilized as intended. Overall, achievement of populations increased by 7% for cattle, 17% for outcomes was rated moderately satisfactory sheep, and 24% for goats, with meat off-take increasing 24%, meeting project targets.79 Finally, The Export Market and Quality Awareness Project in Afram Plains, provision of rainwater harvesting (EMQAP), Sustainable Tsetse Fly Eradication technology, improved seed and training in farming Project (STTEP) and the APDADP all increased practices contributed to gains in productivity agricultural productivity for key crops and across several crops, ranging from 62% for tomato livestock. The EMQAP contributed to increased to 564% for okra (table 3). The only exception was productivity for all targeted crops with increases yields for cashew, which decreased by 32%.80 averaging 104% of project targets (table 2). Increased access to veterinary care and grazing Stakeholders at South Tongu, Dendo, Apesika, land contributed to a 150%, 234% and 206% Fotobi and Keta all confirmed that training increase in beef, mutton and poultry production provided under the project contributed to respectively,81 exceeding project targets by 15%. increases in crop yields of between 40% and 380%.78 The STTEP successfully reduced human The Bank also contributed to job creation and incidence of sleeping sickness and mortality increased incomes. Under the EMQAP, incomes in ruminant and pig production centers to zero. of farmers increased by an average of 358% across This decrease corresponded to increases in crop targeted crops, exceeding targets set at appraisal yields of maize (6%), millet (21%) and sorghum (table 4).82 Increased incomes were confirmed (24%), suggesting that good progress was made through consultations with beneficiaries, who toward the targeted increases of 21%. Livestock attributed the majority of the increase to the

Table 2: Crop Productivity and Yields (mt/ha)

Crop Baseline Yield Expected Yield Observed Yield Increase/ Progress to Target (decrease) Export Market and Quality Awareness Project Pineapple 50 75 55 10% 73% Mango 8 12 15 87.5% 125% Papaya 45 67.5 48 71% 71% Eggplant 8 12 10 25% 83% Bird's Eye Chilli 8 12 22 175% 183% Local Chilli 8 12 13 62.5% 108% Cassava 12.8 19.2 17 50% 89% Afram Plains District Agricultural Development Project Cassava 11 20 36 227% 180% Yam 13 24 24 85% 100% Maize 1.6 5 3 87.5% 60% Cashew 0.8 1.8 0.55 (32%) 31%

Source: Ministry of Food and Agriculture, AfDB PCR Evaluation Findings 37

Table 3: Vegetable Production (mt)

Crop Baseline Yield Expected Yield Observed Yield Increase/ Progress to Target (decrease) Afram Plains District Agricultural Development Project Pepper 6 300 17 400 19 110 203% 110% Tomato 2 900 5 800 4 704 62% 81% Okra 1 900 4 650 12 621 564% 271% Onion 1 160 3 500 3 882 234% 111% Source: Ministry of Food and Agriculture, AfDB PCR

Table 4: Household incomes of horticultural crop farmers (USD)

Crop Baseline Value (USD) Incomes at Project Close Increase (%) (USD) Pineapple 2,637 7,509 184% Mango (Manya) 844 7,354 771% Mango (South Tongu) 844 4,544 438% Papaya 3,165 6,350 100% Egg plant 1,266 2,110 67% Bird-eye chilli 844 5,977 608% Local chilli 844 1,779 111% Cassava 229 1,582 591%

Source: EMQAP PCR Country Strategy Evaluation training provided. Incomes of farmers in Afram The Ghana Oil Palm Development Company Plains increased from GHS 80 to GHS 480, but (GOPDC) Expansion Project, financed under the An IDEV fell short of a target of GHS 670.83 However, Bank's private sector window, contributed to job some groups of stakeholders, such as fishing creation and increased incomes by hiring new groups in Burben, indicated that the provision employees and creating new out-grower schemes. of new equipment and restocking of tilapia has In total, it is estimated that 276 permanent jobs and contributed to a fivefold increase in income 2,724 contract jobs were created and sustainable and has allowed the group to purchase new economic opportunities were generated for an cages and a smoker to preserve fish. Finally, the estimated 10,000 farmers, exceeding the project Community Forestry Management (CFM) project target of 1,500.85 enabled farmers to gain access to fertile land in degraded forest reserves to plant seedlings and Rehabilitation of feeder roads and construction other crops. Although no specific targets were of markets, storage and packaging facilities set for increased incomes, communities received were intended to improve opportunities to payments for seedlings averaging GHS 777.7 per market agricultural products both domestically hectare, increasing incomes by 48-69%.84 and internationally. EQMAP stakeholders in Keta 38 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

confirmed that the improved feeder road network As a result, the achievement of outcomes was has improved access to markets and increased assessed in terms of: (i) access to education; (ii) access incomes by improving the ease of haulage for to health services; (iii) capacity for pro-poor service farm inputs and products. Similarly, improvement delivery; and (iv) economic opportunity for MSMEs. of approximately 21% of the feeder road network Although some progress was observed against all of in the Afram Plains District were noted by district the targeted outcomes, it was not possible to quantify executives to have contributed to a modal shift the progress made toward project targets. In light of from walking and head-loading to motorized these challenges as well as the identification of some transport of agricultural goods. negative impacts, achievement of outcomes was rated moderately unsatisfactory. Other infrastructure, however, has not been utilized as intended to promote access to markets. A pack Field visits suggested that infrastructure upgrades house built in the Volta Region under the EMQAP has at 25 schools under the DSSEP contributed to been used only twice since completion. Similarly, increasing access to education by raising the two cold storage trucks procured have not been enrollment and educational achievement. All six used to create a holistic cold chain as expected. Senior High Schools visited by the evaluation team Five crop markets, a cattle market and a fodder noted that enrollment had increased over the project bank constructed under the APDADP have not period.86 This higher enrollment was attributed been handed over to district assemblies, limiting to improved facilities such as student dorms but their usage. In Kwahu Afram Plains South District, also improved teaching facilities, including science for example, the crop market is being used only labs, visual arts blocks, home economics blocks on a limited basis. Furthermore, cattle owners and and computer labs, which encouraged student district assemblies have been reluctant to use the enrollment in these subjects.87 However, given that fodder bank and cattle market due to their remote enrollment trends for each district were not tracked location. The inadequate usage of infrastructure during the course of project implementation, it was partly attributed to lack of engagement with the is not possible to determine the extent to which private sector in the course of project design and project targets were achieved. Five of the six implementation. Instead, it was expected that the schools visited also reported an increase in grade Ministry of Food and Agriculture, and subsequently pass rates.88 Improved educational performance beneficiary MMDAs, would manage these assets for was attributed by three schools to the availability the promotion of exports. of ICT facilities, which have allowed children to conduct research independently and gain practical experience in computer use. Science laboratories Social Sector were also noted as helping students to obtain practical laboratory experience in preparation for The Bank's social sector interventions over the national examinations. evaluation period consist of five projects amounting to UA 134.2 million. Evaluation of results in the social The UPRP contributed to access to education sector was frustrated by the poor quality of the results through infrastructure works and Social Inclusion frameworks and available data. IDEV also faced Transfers (SITs). In total, 42 classroom blocks challenges in aggregating results at the sector level and 15 early education centers were constructed due to the diverse nature of the Bank's interventions. across 14 MMDAs. As a result, enrollment in Evaluation Findings 39

early childhood education was estimated to have In contrast, non-completion of the hospital in increased by 60% in beneficiary communities.89 Bekwai has negatively impacted access to health Furthermore, SITs were provided to the families care. The existing hospital, originally conceived as of 4,815 children living in poverty who would a health clinic, now serves a population of four to otherwise not attend basic school to cover costs five times its capacity. Unlike the rest of the Ashanti for textbooks, school levies and feedings. SITs were region, the doctor-to-population ratio has worsened provided on a conditional basis, reducing truancy - in Bekwai from 1:7,323 in 2012 to 1:8,207 in recipients had an attendance rate of 100%, against 2014; however, the nurse-to-population ratio has a national attendance rate of 93%.90 Although improved from 1:902 in 2012 to 1:544 in 2014.94 all nine MMDAs visited noted that basic school The existing hospital has faced several challenges attendance had increased, official data were not due to non-functional equipment and inadequate available and it was not possible to determine the post-operation facilities. The hospital has also been extent to which project targets were achieved. unable to access funds for equipment maintenance due to the anticipated completion of the new Access to health care was addressed by the hospital. Serious cases requiring specialized HSR-III project. Construction of district hospitals facilities are referred to the teaching hospital at Tarkwa and Bekwai were expected to improve in Kumasi 37km away. Ambulance services are access to health services in these two underserved available but are not covered by the National Health areas. However, no baseline or implementation Insurance Scheme (NHIS). Doctors at the facility data were available to assess the original project noted four recent mortalities of patients who had targets. Because official data were not available been referred but chose not to travel to the hospital at the district level, access to health care was in Kumasi. assessed in terms of doctor-to-population ratio and nurse-to-population ratio. These indicators have Increased capacity for pro-poor service improved for both the Western and Ashanti regions delivery among urban and peri-urban districts over the evaluation period.91 However, site visits was addressed in the UPRP by: (i) increasing demonstrated that, whereas the hospital in Tarkwa MMDA planning capacity; and (ii) increasing district Country Strategy Evaluation has provided markedly improved facilities, failure to revenue mobilization. No verifiable indicators were complete the hospital in Bekwai has contributed to identified for planning capacity; however, each of the a deterioration of access to health care within the nine MMDAs visited have maintained a consultative An IDEV municipality. and participatory planning process through which community "zones" are engaged to identify The hospital at Tarkwa provides services which priorities. This feedback is corroborated by scores were previously unavailable in the municipality, from the Functional and Organization Assessment including a 24-hour operation theatre, a neonatal Tool (FOAT), used to allocate performance-based intensive care unit and ENT and ophthalmology funds from the District Development Facility (DDF). services. Stakeholders at Tarkwa credit the opening FOAT scores increased for all but one MMDA, of the hospital with a recent decrease in the number improving by an average of 21.7 percentage points of maternal deaths from eight in 2013 to one in (out of 100) across targeted districts.95 Furthermore, 2015.92 Furthermore, Tarkwa compares favorably tax revenue increased by an average of 152% to the rest of the Western region with doctor-to- across the 14 beneficiary MMDAs, ranging from population ratio and nurse-to-population ratios of 22.7% in Ho to 529% in Kumasi, due to the training 1:15,754 and 1:1,243 in 2014 respectively.93 of tax collectors and updated property valuations.96 40 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Ten of the 14 MMDAs achieved a project target of Members of these cooperatives noted that incomes 85% for increases in revenue mobilization. However, have increased so that they can now build a cold all MMDAs confirmed that property databases are storage unit to further expand their operations. not updated systematically, suggesting that revenue However, the impact of infrastructure improvements mobilization may not have kept pace with growth. on MSME incomes was not tracked systematically throughout project implementation. The UPRP also sought to increase economic opportunities for the urban poor. Baseline and implementation data were unavailable to Power Sector assess the project outcomes as originally framed. Accordingly, this outcome was assessed in terms The Bank's power sector interventions over of: (i) increased access to finance; (ii) number of the evaluation period consist of four projects jobs created; and (iii) increased incomes. amounting to UA 106.6 million. Among two power sector projects that have been commissioned, With respect to access to finance, just 205 out achievement of outcomes was assessed in terms of a targeted 600 MSMEs received medium term of: (i) increased power generation; (ii) reduced loans under the UPRP.97 Stakeholders attributed system losses and outages; (iii) carbon emissions these low numbers to weaknesses in project design, savings; (iv) increased access to electricity; and including: (i) capping interest rates at 20-27%; (ii) (v) job creation. The available evidence suggests financial institutions carried 100% of the risk; and that tangible progress has been achieved against (iii) the inability of beneficiaries to provide collateral. all of these outcomes, with achievement rated However, incomes increased by an average of satisfactory. One project, the Takoradi II extension, 92% among loan recipients, who subsequently was funded through the Bank's private sector hired 1,025 new staff, suggesting that the MSME window. financing resulted in economic benefits.98 Combined cycle operations commenced at the Improvement to social and economic infrastructure Takoradi II plant on October 17, 2015. Site visits contributed to both job creation and increased confirmed that the plant is now generating a total incomes within the beneficiary MMDAs. A total of 330 MW in accordance with the project outcomes of 184 community subprojects were completed, anticipated at appraisal. The project has also including schools, community health centers, public contributed to the creation of 453 jobs, including toilets, market facility upgrades and community 84 permanent staff, 69 staff from Kepco-Mitsui, waste disposal centers,99 creating jobs for and 300 other contractors, of which 40% were 4,980 individuals. Market infrastructure, including hired from the local community.101Furthermore, it lighting, pavement, sanitation facilities, and market is estimated that the project will result in annual

sheds, were upgraded in five different MMDAs. In CO2 savings of 430,600 tons over other generation Agona West, for example, expansion and paving of options.102 Progress achieved in increasing access the market facility has led to increased patronage, to electricity is more nuanced. Although additional with incomes of traders increasing by 60%.100 power is being generated, the Volta River Authority In Sekondi-Takoradi, a fish smoking enclosure (VRA) confirmed that Takoradi II will primarily supply has enabled fish smoking cooperatives to work mines in the Western Region and noted that this throughout the day and in all weather conditions. arrangement is desirable considering the cost of Evaluation Findings 41

Power Purchase Arrangements (PPAs) relative to USD 40 million. The achievement of outcomes was low national tariffs. assessed in terms of: (i) job creation; (ii) government revenues; (iii) increased export earnings and (iv) The original project targets identified at appraisal profitability of subprojects and investments. Overall, could not be assessed for the Power Systems achievement of outcomes was satisfactory with Reinforcement and Extension Project (PSREP) progress achieved toward all targeted outcomes. due the lack of available data at the municipal level. However, there is evidence that the project With respect to job creation, the Kempinski Hotel has improved the reliability of the power supply in and first LOC to CAL Bank have contributed to the the Kumasi area by reducing system losses and creation of over 1,400 jobs.104 The Kempinski Hotel outages. Prior to the implementation of the PSREP, created an estimated 500 temporary jobs during Kumasi and other towns within a 100 km radius construction with 400 employees hired during the were supported by a single Bulk Supply Point operations phase, reflecting targets set at appraisal. (BSP). Not only was this arrangement inadequate The LOC to CAL Bank contributed to 566 direct jobs, to address rising demand for electricity, but the exceeding a target of 400. These projects have also entire area was left without power when technical contributed to job creation indirectly through the issues arose. Furthermore, The Volta River Authority engagement of local contractors and suppliers. It (VRA) estimated that the distance between the BSP is estimated that the LOC to CAL Bank contributed and outlying communities resulted in high levels of to the creation of 3,434 indirect jobs, whereas the system loses from 220 kV down to approximately Kempinski Hotel has generated contracts with local 118 kV. suppliers worth USD 7.9 million.105 Furthermore, Kempinski intends to implement a local supplier VRA and GridCo both noted that reliability of the program to promote local value addition in the power supply has improved after the new BSP operation of the hotel. Ongoing LOC projects, was commissioned in August 2014. The project have thus far contributed to over 6,000 indirect has allowed VRA to shut down the old BSP for jobs through the engagement of contractors and maintenance and repairs without disrupting the suppliers in addition to total employment of 1,685 Country Strategy Evaluation power supply. Furthermore, reduced system among the sub-portfolio companies.106 losses have been observed for communities surrounding Kumasi. With the addition of the new With respect to economic outcomes, sub-projects An IDEV BSP, the transmission line distance to outlying under the first LOC to CAL Bank have been profitable, communities has been cut to 70km, with voltage generating both additional government revenues losses from 220 kV down to 200 kV.103 and export earnings. Eight of the ten sub-projects under the first LOC to CAL Bank report an average increase in profitabilityof 72% over the project Financial Sector and Industry period, an increase in government revenues of USD 172 million and export earnings of USD 428 The Bank's financial and industry sector portfolio million, far exceeding targets set at appraisal.107 over the evaluation period consists of six projects Subsequent to its soft open in November 2015, amounting to UA 87.4 million. Completed and the Kempinksi Hotel is now profitable, but has not ongoing projects include the construction of met its own targets in this regard. Room occupancy the Kempinski Hotel and three LOCs totaling rates for the Kempinski Hotel averaged just 25% 42 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

over the first four months of 2016 and EBITDA RWSSP, access to an improved water source over the period stood at a loss of USD 202,102.108 increased from an average of 40% across the However, over the second quarter of 2016, the six targeted districts to an average of 80.08%. Hotel retuned a modest profit of USD 635,616 These data compare favorably with overall levels with room occupancy at 33%, but average room of access in Ashanti Region (73.3%) at that time. rate and overall revenues continued to fall short of It is estimated that water supply interventions targets as of June 2016.109 Works are ongoing to under the RWSSP reached a total of 381,869 complete the spa, specialty restaurants and hotel people, exceeding the project target of 250,000.111 galleria prior to the full opening.110 A household survey of RWSSP beneficiaries indicated that improved access to a water source Outside of the original project outcomes, had resulted in some additional benefits, including Kempinski Hotel has also contributed to skills improved school attendance and reduced incidence development in the hospitality sector based on of waterborne diseases. However, reliability of the intensive training provided to new employees over water supply has been a challenge: pumps break a period of nine months prior to the soft open, down an average of six times per year, with an including two months for which the Hotel operated average repair time of 11 days. as a catering company called "Lobster Inc." Despite the growth of tourism, stakeholders noted No specific targets were identified for the that limited formal hospitality training is available Improved WSS Project with regard to the number in Ghana. of beneficiaries gaining access to improved water and sanitation sources; however, the water supply system implemented in Huni Valley was Water Supply and Sanitation Sector designed to cover 90% of the township.112 But site visits suggested that the water points are not The Bank's interventions in the WSS Sector being used optimally: first, the quantity of water consist of three projects and three studies available does not meet user demands, with totaling UA 60.1 million. Outcome achievement stakeholders noting that water flows continuously in the WSS sector was based on two completed for just two hours each day; secondly, only three projects, the RWSSP and the Improved Access of 22 points were found to be patronized regularly to WSS Tripartite Partnership Grant. Both as users in Huni Valley prefer to buy from private projects sought to: (i) increase access to an water vendors. improved water source; and (ii) increase access to an improved sanitation source. Although The RWSSP failed to meet initial targets for demonstrable progress has been achieved increasing access to sanitation and concerns toward both of these outcomes, serious issues were raised regarding the use of sanitation were identified with regard to the use of the facilities provided under the Improved Access to facilities by the project beneficiaries. Accordingly, WSS Project. For the RWSSP, sanitation coverage achievement of outcomes has been rated as increased by just 14% across the targeted moderately unsatisfactory. communities. Implementation of household toilets were estimated to have reached just The Bank's projects have contributed to increasing 27,940 people against a target of 380,000 set access to an improved water source. For the at appraisal.113 However, sensitization campaigns Evaluation Findings 43

appear to have contributed to use of sanitation Lead for Heads of Cooperation, Co-Chair of the facilities: open defecation has reduced from 40% MDBS Group, and Co-Lead in the Sector Working to 7% among survey respondents and reported Groups for Education, Agriculture, Transport and use of public toilets has increased. Energy.114

In the case of the Improved WSS Project, it was Strategic emphasis on knowledge work has similarly expected that 5,600 people in Huni Valley, 20,000 increased over the evaluation period. The 2005–09 in Ashaiman and 9,000 in Mankessim would gain CSP foresaw “a significant program of analytical access to an improved sanitation source. However, work is also planned over the CSP period to show the site visits revealed that some of the public latrines opportunities that gender-responsive policies create implemented under the project are not working for enhanced growth and poverty reduction."115 or have never been used. Two of five public Nine knowledge products were identified in the facilities implemented in Mankessim had ceased 2012–2016 CSP as part of the indicative non- to be operational due to the poor performance lending program, including "financing options for of private operators, whereas another facility MIC status" and "Oil and Gas downstream activities had low patronage. Furthermore, none of the in Ghana."116 hand washing stations in public facilities were operational due to unreliable water supply. Delivery of knowledge work over the period has not fully met expectations with seven works delivered and one additional work ongoing (table A1 in Policy Dialogue and Knowledge Work Annex G). However, there is evidence that existing knowledge work is being used to support policy The Bank has placed increasing strategic dialogue and project development. The Bank's study emphasis on policy dialogue and has on developing science, technology and innovation, demonstrated leadership within Ghana's donor identified through the appraisal process for the DISP, coordination framework. Delivery of knowledge has contributed to the development of the GoG's Ten- work has increased; however, several planned Year National Strategy for Technical and Vocational Country Strategy Evaluation products have not been delivered. GHFO is also Education and Training. Furthermore, the 2012 PEFA increasingly using knowledge work to inform assessment contributed to the development of the its policy dialogue and project development PFM and Private Sector Competitiveness Support An IDEV activities. Accordingly, this element was rated as Program in 2015 as well as national policy dialogue moderately satisfactory. on the subject.

Whereas policy dialogue issues identified between 2002 and 2009 centered on project implementation Achievement of Strategy Outcomes issues, the strategic emphasis placed on policy dialogue has increased across successive CSPs. The Bank's contribution to strategy outcomes Strategic policy issues identified after 2009 included: was assessed in terms of: (i) increased regional (i) the management of oil revenues; (ii) reducing trade, particularly for agricultural products; barriers to regional trade; and (iii) identifying (ii) increased access to basic services and resourcing alternatives as Ghana transitions to MIC infrastructure; (iii) creation of an enabling status. The Bank has also demonstrated leadership business environment; and (iv) increased within the existing donor coordination framework. transparency and accountability of PFM. Due Over the CSP 2012-16 period, the Bank has been to the confluence of factors which influence 44 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

national level statistics, this section is not rated. and Coastal corridors have largely been addressed, However, for each criterion, the extent of the improving transport linkages between Ghana, Bank's contribution is placed within the national Togo and Burkina Faso. However, rehabilitation the context. The available evidence suggests that Agona-Elubo road completing the Coastal corridor the Bank has made tangible contributions to into Côte d'Ivoire, originally planned under the increasing regional trade, improving the condition Bank's Road Infrastructure Project, is still ongoing. of international corridors and increasing access The Bank has contributed to the completion of the to both electricity and WSS. Progress achieved in RCDP, accounting for three of 18 tranches of road improving the business environment has recently work and feasibility studies for an additional two been offset by macroeconomic challenges and tranches. the energy crisis, whereas limited progress has been made in improving the transparency and It is not possible to assess the impact of these accountability of PFM. works in isolation of other trade initiatives. For example, the ECOWAS trade liberalization scheme, defined in January 2003, abolished customs duties Increased Regional Trade on imports and exports of certain goods, particularly regionally produced items such as agricultural The GoG has sought to increase regional trade products.117 by improving regional transport infrastructure, including the implementation of the International Nevertheless, the available evidence suggests Road Corridor Development Program (RCDP) that the rehabilitation of international corridors targeting the rehabilitation of the Central, Coastal, have contributed to increased exports to Togo Eastern and Western corridors. To date, the Central and Burkina Faso, particularly for agricultural

Figure 6: Exports to ECOWAS Partners (USD Millions)

2009 2010 2011 2012 2013 2014 2015

n DI

Source: OEC Evaluation Findings 45

Figure 7: Exports of Foodstuffs and Vegetables (USD Millions)

2010 2011 2012 2013 2014

n DI Source: WITS, OEC

products. Since 2009, the value of exports from across borders" have declined from 98 in 2012 Ghana to ECOWAS partners has increased by to 154 in 2017.120 This reduced competitiveness 479%. For Burkina Faso and Togo, export values further demonstrates the need to address the time have grown 283% and 682% respectively, with and cost of achieving customs compliance. Country Strategy Evaluation average annual increases of 96% and 76.5%. By contrast, exports to Côte d'Ivoire, subject to the ongoing works on the Agona-Elubo Road, have Increased Access to Basic Services and An IDEV increased by 86% with average annual growth in Infrastructure exports of 27.48% (excluding 2011; figure 6).118 Furthermore, foodstuffs and horticultural exports With respect to increased access to basic services to both Togo and Burkina Faso have increased and infrastructure, the Bank has made tangible both in value and as a proportion of overall exports contributions to: (i) increasing installed electrical (figure 7). For Côte d'Ivoire, however, exports of generation capacity; (ii) improving the condition of foodstuffs have increased slightly, but exports of international corridors; and (iii) increasing rural access horticultural products have decreased over the to WSS. However, the scope of the Bank's interventions period.119 in the health and education sectors have been too modest to identify impacts at the national level. Although the Bank has contributed to regional trade by improving regional transport networks, Access to electricity in Ghana has increased from Ghana's Doing Business rankings for "trading 45.3% of households in 2005 to 78% of households 46 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

in 2014 (91% urban and 63% rural).121 As of 2016, 67,291 km and the national priority for the sector Ghana currently has an installed capacity of 3,737 shifted to maintenance and rehabilitation. At this MW from all generation sources (2,546 available time, the condition of the National Transport Network capacity), up from 2,837 MW in 2012. However, fell far short of targets, with just 39% of roads in total electricity available for gross transmission "good" condition. By 2013, condition of the network declined in 2015 to 11,692 GWh from 13,071 GWh continued to fall short of established targets; however, in 2014 due to low water levels.122 The Ghana Energy after the completion of bank-supported works on Commission estimates that 18,185-18,737 GWh international corridors in 2012, the condition of these would be needed to support annual GDP growth over corridors exceeded national targets (table 5).126 4%. There is currently load shedding of between 400 and 700 MWh at peak demand, estimated to Access to improved water sources and sanitation be 2,500 MWh to 2,736 MWh against a total current facilities has increased over the evaluation period. delivery capacity of 2,118 MWh.123 Based on World Development Indicators (WDI) data, 88.7% of Ghanaians had access to an improved water The Bank's contribution to increasing generation source in 2015 (92.6% urban and 84% rural; figure 8) and transmission capacity has been relatively but just 14.9% of Ghanaians had access to improved modest to date - the Takoradi II extension has sanitation facilities (20.2% urban and 8.6% rural).127 added 110 MW installed capacity to the grid, The 2014 Demographic and Health Survey, whereas the PSERP has added 132 MVA of however, estimates that 54.7% of Ghanaians transmission capacity to the Kumasi area, have access to shared sanitation facilities reflecting an increase in the total current and (65.0% urban and 44.5% rural; figure ).9 128 voltage across the transmission network in the municipality.124 Rapid urbanization must also be considered. Although access grew at a faster rate across With respect to transport infrastructure, the Bank rural Ghana, the number of individuals gaining has constructed or rehabilitated a total of 329.2 km access was larger in urban areas. Based on WDI of road, whereas the Ghana road network has data an estimated 5,790,086 Ghanaians in urban grown from 37,000 km in 2000 to 71,489 km in areas gained access to an improved water source 2014.125 In 2008, the total network had grown to and 1,573,852 gained access to an improved

Table 5: Transport Infrastructure - Network Condition

Road Condition Year 2009 2010 2011 2012 2013 2013 (target) Total Road Good 40% 43% 42% 42% 45% 60% Network Fair 29% 28% 28% 28% 25% 20% Poor 31% 29% 30% 30% 30% 20% Transit Good 38% 38% 38% 60% 55% 52% Corridor Fair 42% 42% 42% 26% 39% 42% Highways Poor 20% 20% 20% 14% 6% 6% Source: Ministry of Roads and Highways Evaluation Findings 47

Figure 8: Access to an Improved Water Source

Urban Rural National

Source: WDI

sanitation source. By contrast, 3,255,044 the hospital in Tarkwa under the HSR III. By 2014, Ghanaians in rural areas gained access to an 34% of Ghanaians had active membership in the improved water source and 401,616 gained NHIS, meant to increase access to health care access to improved sanitation between 2002 and among the poor.129 Annual outpatient visits per 2015 (figure 9). capita have increased from 0.52 in 2004 to 1.15 in 2014, suggesting that use of the health care

Based on these data, the Bank's contribution system has increased over the evaluation period.130 Country Strategy Evaluation to increasing access to WSS in rural areas has Other indices of access to health care also suggest been moderate, accounting for up to 11% of improvement: the doctor-to-population ratio in the progress achieved for water and 27% of Ghana improved from 1:17,899 in 2005 to 1:9,043 An IDEV the progress achieved for sanitation. However, in 2014, whereas the nurse-to-population ration the Bank's contribution to improving access to improved from 1:1,508 to 1:959. However, these sanitation in urban areas has been limited to date. ratios continue to fall below levels recommended The Bank's Ashanti RWSSP subprogram provided by the WHO of 0.6 doctors and 0.77 nurses per 381,869 Ghanaians in predominantly rural areas 1000 population.131 with access to an improved water source and 107,640 Ghanaians with access to an improved Outside of contributing to the development of the sanitation source. NHIS, the Bank's contribution to increasing access to health care has been minimal based on the The Bank's projects in the governance and social limited scope of activities in the sector. In 2010, sectors have contributed to increasing access to Ghana possessed over 3,200 health care facilities, health services by supporting the establishment including over 350 hospitals and approximately of the NHIS, construction of community health 2,500 health centers and community health centers under the UPRP and the completion of posts.132 By comparison, the Bank has successfully 48 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Figure 9: Access to Sanitation Facilities

Urban Rural National

Source: WDI

completed one hospital and contributed to General and net enrollment in Secondary Education the construction of 12 hospital wards and five have also increased (figure 11). However, pass rates Community Health Centers. for the West African Senior School Certificate Exams have been uneven since 2009, and have decreased Increased access to education was to be by an average of 31% across core subjects since promoted by interventions in both the governance 2013.134 One possible cause of this fall is the and social sectors. Under the PRSL-II, primary modification and shortening of the curriculum school fees were abolished to increase enrolment in 2013. The Bank's contribution to increased among the Northern, Upper East and Upper West secondary school enrollment has been limited by Regions. The UPRP was expected to increase the scope of its involvement in the sector - whereas access to education through the construction 25 schools were rehabilitated with Bank funds, over of classroom blocks, whereas the DSSEP was 100 Senior Secondary Schools benefitted from the targeted secondary school enrollment and pass project. As of 2016, the total number of Senior rates. Secondary Schools in Ghana totaled 872, including 578 public and 294 private schools.135 Whereas the GPER has increased beyond 107%, the Net Primary Enrolment rate, which assesses the enrollment of age-appropriate children, reached Creation of an Enabling Business Environment 89.3% in 2013 (figure 10). Data available at the regional level indicate that substantial gains have been Creation of an enabling business environment achieved across the Northern, Upper East and Upper was assessed in terms of: (i) rate of new business West regions. However, trends are now revealing lower registration; (ii) access to finance; (iii) ease of net enrollment among the Greater Accra and Eastern doing business; and (iv) global competitiveness. Regions, consistent with increasing urban poverty.133 Although reforms implemented under the MDBS Evaluation Findings 49

Figure 10: Gross and Net Primary School Enrolment

2006 2007 2008 2009 2010 2011 2012 2013 2014 Enn Enn Source: UNDP, WDI

Figure 11: Gross and Net Secondary School Enrolment

Country Strategy Evaluation

An IDEV

2010 2011 2012 2013 2014 2015 Enn Enn

Source: Ministry of Education 50 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Program have contributed to an improvement in the 25 in 2016 in the Doing Business index for gaining business environment, Ghana's competitiveness access to credit, attributed to the creation of a has recently declined due to infrastructure gaps centralized collateral registry and private credit and macroeconomic challenges. bureau.138 However, stakeholders indicate that credit continues to be concentrated among a New business registration increased from 5,990 small group of large enterprises, with the low risk in 2004 to 15,600 in 2011, before declining to appetite of financial institutions and high cost of 13,200 in 2012 (figure 12). New business density credit limiting access to finance for SMEs. followed a similar trend, increasing to 1.09 per 1000 population in 2011 before declining to 0.89 Scores for indices of ease of doing business and in 2012.136 More recent data are not available; global competitiveness further suggest that Ghana however, MDBS stakeholders confirmed that has recently experienced challenges. Ghana's Doing growth has slowed. Nevertheless, increased Business ranking improved from 88 in 2006 to 67 business registration is partly attributed to the in 2014 before falling to 114 in 2016. Rankings on computerization and decentralization of business the Global Competitiveness Index have deteriorated registry services under the MDBS program. since 2008, falling from 102 in 2008 to 119 in 2015 due to weaknesses in transport and electricity Domestic credit to the private sector financed infrastructure, access to finance and macroeconomic by banks increased from 13.1% of GDP in 2004 challenges such as high inflation.139 This evidence to 19.3% of GDP in 2015 (figure 13). Furthermore, is corroborated by stakeholders who noted that an increasing proportion of businesses are using depreciation of the GHS, unreliability in the energy banks to finance investment, from 16% in 2007 supply and increased inflation have posed difficulties to 21.2% in 2013.137 In line with these increases, for businesses across the country, particularly SMEs Ghana improved from a ranking of 82 in 2013 to in the manufacturing and industrial sectors.

Figure 12: Number of New Businesses Registered (2004-2012)

2004 2005 2006 2007 2008 2009 2010 2011 2012 Source: WDI Evaluation Findings 51

Figure 13: Domestic Credit to the Private Sector

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Source: WDI

A more detailed examination of Doing Business governance indices. Improved salary structures, indices demonstrates that, despite improvements commitment controls, reduced expenditure in the overall time required to register a business, variance and improved accountability functions obtain a construction permit and register a property were to contribute to: (i) sustainable levels of gross over the evaluation period, a failure to achieve public debt and annual deficits; (ii) sustainable further reductions beyond 2012 has resulted in public wage expenditure; and (iii) improved Country Strategy Evaluation stagnation or decline in overall competitiveness. macroeconomic governance. Ghana has become more competitive with respect to ease of "obtaining a construction permit," with Limited progress has been made toward An IDEV rankings improving from 160 in 2012 to 112 in transparentand accountable PFM in Ghana. Gross 2016. However, rankings for "starting a business" debt has increased steadily since 2006, reaching have declined from 93 in 2014 to 103 in 2016 and an estimated 77.9% of GDP in 2015 (see table 6). rankings for "registering property" have declined Whereas small annual deficits were recorded in from 37 in 2012 to 76 in 2016.140 Overall, although the early years of the evaluation period, deficits the business regulatory environment has improved, gradually worsened, reaching 10.6% and 10.5% Ghana has recently not kept pace with its global of GDP in 2012 and 2013 respectively. Finally, competitors. public sector wages have accounted for at least 30% of expenditures since 2009 and reached 40% in 2013. This deterioration corresponds Improved Transparency and Accountability of with trends for key indices of macroeconomic Public Financial Management management. CPIA scores across the Economic Management Cluster, including sub-indices of Transparency and accountability of PFM fiscal, monetary and debt policy, all deteriorated was assessed in terms of: (i) key indicators of after 2013 (table A2 in Annex G). However, macroeconomic stability; and (ii) international scores for the Quality of Budgetary and Financial 52 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Table 6: Key Macroeconomic Indicators

Year Public Debt (%GDP) Budget Balance (%GDP) Public Sector Wages (%Expenditure) 2004 35.3 -0.4 26.3 2005 27.8 -2.7 27.7 2006 26.2 -4.7 28.4 2007 31 -5.6 27.1 2008 33.6 -8.5 27.5 2009 36 -5.8 33 2010 38.9 -7.7 30 2011 42.8 -4.7 38 2012 42.4 -10.6 39 2013 55.6 -10.5 40 2014 67.6 -7.3 33 2015 77.9 -7.1 35 Source: IMF

Management showed modest improvement. Considering the extent of the delays, timeliness is Accordingly, the Bank's overall contribution to rated as unsatisfactory (table 7). Of note, these transparent and accountable Public Financial data represent projects which were completed prior Management has been limited. to the end of the evaluation period, excluding two transport sector projects which were completed in 2016 within a 12-month extension granted by the Efficiency Bank due to additional scope of work.

The efficiency of the Bank's portfolio is On average, a total of 18 months (549.24 days) rated as unsatisfactory due to considerable elapsed between project approval and first project implementation delays and portfolio disbursement. Whereas the average time from disbursement ratios which have consistently project approval and loan signature (3.57 months) fallen below the Bank-wide average. and project effectiveness (5.18 months) are reflective of the Bank's Guidelines, time to first disbursement (9.25 months) exceeded these Timeliness guidelines by over six months. Furthermore, delays between original and actual project completion Timeliness was assessed in terms of: (i) time from dates were considerable, with average delays project approval to loan signature; (ii) time from of 14.26 months for agriculture projects, 26.06 loan signature to effectiveness; (iii) time from months for power sector projects, 32.5 months for effectiveness to first disbursement; and (iv) time social sector projects, 39.31 months for transport from expected to actual project completion date. sector projects and 37.50 months for WSS projects. Evaluation Findings 53

Table 7: Average Time to First Disbursement (number of months/days)

Sector Loan Signature Effectiveness First Disbursement Total Agriculture 3.24 / 99 7.67 / 234 4.72 / 144 15.64 / 477 Private 2.95 / 90 1.61 / 49 1.64 / 50 6.20 / 189 Governance 3.11 / 95 0.95 / 29 3.34 / 102 7.41 / 226 Power 4.56 / 139 4.16 / 127 18.49 / 564 27.21 / 830 Social 4.75 / 145 5.83 / 178 7.31 / 223 17.90 / 546 Transport 3.90 / 119 5.70 / 174 25.54 / 779 35.15 / 1072 WSS 3.15 / 96 4.26 / 130 5.25 / 160 12.65 / 386 Average (Projects) 3.57 / 109 5.18 / 158 9.25 / 282 18 / 549

Source: SAP.

Analysis of project timelines by year of approval The PSREP faced a two-year delay caused by the indicated that time to loan effectiveness and time to compensation of Project Affected Persons. The disbursement have decreased over the evaluation process of identifying affected persons, addressing period, despite some fluctuations. However, administrative requirements for land valuation and time to loan signature has recently increased for resolving subsequent legal challenges requires projects approved since 2013 due to parliamentary significant time. The condition that land is handed moratoriums on the approval of new loans. over to the contractor prior to first disbursement delayed the implementation of the project by two Project documents indicate that delays have years. For the Tema Aflao Road Project, a condition been caused by two issues: (i) procurement precedent to disbursement requiring that the GoG challenges; and (ii) delays in meeting conditions pay arrears owed to contractors in the transport Country Strategy Evaluation precedent for first disbursement. This finding is sector delayed the implementation of the project consistent with Portfolio and Mid-Term Strategy by four years. The project subsequently needed to Reviews produced in 2009 and 2014, each of be redesigned and the financing allocated was no An IDEV which identify procurement issues and delays in longer sufficient. Finally, inadequate provision of meeting conditions precedent as challenges for the counterpart funding was noted to be problematic implementation of projects.141 across multiple projects. In the case of the UPRP, MMDAs were expected to provide contributions Issues identified with respect to conditions for social and economic infrastructure projects precedent for first disbursement include: (i) in the form of financing, labor or equipment. compensation of project affected persons; (ii) payment Project stakeholders and beneficiaries questioned of arrears; and (iv) delays in releases of counterpart the need for counterpart funding considering funds. Stakeholders from both the GoG and Project that: (i) the works had already been identified Implementation Units (PIUs) suggested that all project through participatory planning processes; and stakeholders should be consulted in identifying (ii) the project was intended to address financial conditions precedent in order to avoid such delays. constraints. 54 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Figure 14: Disbursement Rates (2004-2013)

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 n A n n Source: SAP

The implementation of projects was also delayed The Bank's annual disbursement rates in Ghana by procurement challenges, including: (i) failed (excluding PBOs) provide further evidence of procurement processes; (ii) complaints against implementation-related challenges. Over the course contract awards; and (iii) frequent changes of of the evaluation period, the disbursement rate for task managers. In the case of the ASIP, project non-PBOs in Ghana fell below the Bank-wide rate implementation was delayed due to the failure of by an average of 7.68 percentage points each year. the initial procurement process for the construction Furthermore, the disbursement rate fell below the of two sewage treatment plants and the project Bank-wide target of 25% by an average of 10.56 was subsequently restructured. Complaints posed percentage points (figure 14). particular challenges for the GRS Project, resulting in the eventual cancellation of rehabilitation works for 25 TVET institutions. The complainants alleged Financial and Economic Performance that suppliers and the equipment proposed did not meet the technical specifications of the bid. Lastly, Data available on the economic performance of stakeholders across several projects noted that projects was deemed insufficient to assess the multiple changes in task managers contributed to economic performance of the portfolio. As such, this delays in receiving a notice of no objection from the criterion was not rated. Pre and post assessments Bank. This concern has been addressed by ensuring for Economic Rate of Return were available for just that backup task managers are in place at GHFO to five projects. Among these projects, the ERR at conduct regular supervision and address day-to-day completion largely reflected estimates at appraisal implementation issues. with an average ratio of 1:1.10. Evaluation Findings 55

Sustainability of public roads. The major source of the GRF revenues is the fuel levy (90.4%), which is The sustainability of the Bank's interventions complemented by road and bridge tolls (5.4%), was assessed based on the extent to which risks vehicle registration fees (4.1%), road user fees have been addressed in the project design and (0.2%), and international transit fees (0.5%). the likelihood that these risks will impact the Whereas the total revenue accrued to the GRF achievement of outcomes. Sustainability was has increased over time, funds have not kept pace found to be moderately unsatisfactory overall, with maintenance costs. There is a persistent meaning that the sustainability of Bank projects gap between maintenance requirements and is not assured. funds disbursed, as well as a sizable backlog of works. In 2014, the GRF revenues covered just Diverse risks to sustainability were noted across 30% of annual maintenance needs. In 2015, road sectors, reflecting sector-wide challenges, maintenance needs were estimated at more than exogenous shocks and project design and twice the value of the GRF. Furthermore, arrears implementation issues. Projects in the social, owed to contractors for maintenance work are in WSS and agriculture sectors faced project-level excess of GHS 323 million.142 The GoG, in its efforts challenges stemming from design flaws, poor to explore options to meet the maintenance backlog, quality of works and insufficient provisions for increased the fuel levy in January 2016 from 7.3 maintenance. Power, transport, finance, industry pesewas per litre (p/ltr) to 40p/ltr; however it is not and governance projects faced challenges yet clear whether this increase will be sufficient.143 stemming from sector-wide issues, including financial sustainability of tariff and maintenance schemes, ownership of government-wide reforms, Governance and exogenous shocks. The sustainability of the Bank's governance projects was limited by: (i) weaknesses in institutional

Transport sector capacity; (ii) lack of ownership of reforms; and (iii) Country Strategy Evaluation a lack of coherence among the MDBS group. These Weigh stations implemented under the national challenges have both limited the effectiveness axle load control program are meant to improve the of the MDBS Program and contributed to the An IDEV longevity of road works and reduce maintenance disbandment of the MDBS Group. Accordingly, costs. Site visits confirmed that weigh stations have sustainability is rated as unsatisfactory. contributed to the sustainability of the Tema-Aflao road, which remains in good condition four years Capacity limitations among MDAs was identified after its completion. However, transport projects by DPs as a major implementation challenge, in Ghana continue to face serious sustainability particularly with regard to RBM capacity. For challenges due to a lack of sufficient funds for example, the National Development Planning maintenance and it is likely that this shortfall will Committee, responsible for the production of Annual eventually affect the sustainability of the Bank's Performance Reports, was unable to collect data projects. Accordingly, sustainability is rated as for 42% of GSGDA indicators.144 Concerns were moderately unsatisfactory. also noted regarding the capacity of the MDBS Secretariat to collect baseline data to support The Ghana Road Fund (GRF) was established in the annual assessment of performance against 1985 to finance routine and periodic maintenance the PAF.145 An unsuccessful attempt was made to 56 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

address these concerns through a demand-driven controls in some MDAs, election overspending in technical assistance fund under the PRSL I, which 2012 and resurfacing of "ghosts" on the payroll was never utilized.146 system.150 Inadequate ownership for government- wide reforms among some MDAs continue to Furthermore, DPs indicated that there was an be evident in the continued irregularities linked increasing lack of coherence among the MDBS to the weak application of commitment controls. partners. The MOU between the MDBS group was Furthermore, the implementation of payroll control superseded by bilateral agreements between each reforms under the IMF Extended Credit Facility have donor and the GoG. When the GoG failed to meet been delayed due to resistance by some agencies a trigger under PRSL III, MDBS partners decided which would prefer to retain their fiscal autonomy.151 individually whether or not to disburse.147 Faced MDBS partners have emphasized that fostering an with macroeconomic imbalances in 2012 and organizational culture of accountability will require 2013, unilateral decisions were taken by donors not just software implementation, but respect for on disbursement and measures such as audits. financial regulations and sanctions applied for Stakeholders at MoFEP indicated that this lack of noncompliance.152 Furthermore, these challenges unity created a perception of "changing goal posts" demonstrate that, although budget support is and eroded trust between the GoG and the MDBS primarily negotiated with the MoFEP, an appropriate Group. level of ownership must also be present among the ministries and agencies implicated by proposed The MDBS Group was unable to finalize a new PAF for reforms. 2014 due to concerns regarding the deterioration of the underlying principles and planned budget support released were rolled over to 2015.148 Whereas the Agriculture Sector AfDB, World Bank and Switzerland are continuing to provide budget support, the MDBS Group was Agriculture sector projects have contributed to discontinued in 2015 by mutual agreement with improving farming, animal husbandry and irrigation the GoG. The five other MDBS members indicated practices; however, projects in this sector have faced that, since Ghana's transition to LMIC status, it has challenges pertaining to the ongoing management become increasingly difficult to justify providing of project assets. Key assets and infrastructure budget support and donors are scaling down their implemented under the EMQAP were not officially aid programs within the country. Withdrawal of some handed over to intended beneficiaries and were partners from multi-donor budget support, such as found not to be in use. For example, cold storage DfID and the EU, will change the value proposition of trucks have not yet been handed over to export this activity. Under the MDBS Program, donors were associations such as the Sea-Freight Pineapple expected to pool resources to reduce transaction Exporters of Ghana (SPEG) and the Vegetable costs while gaining policy leverage regarding Producers and Exporters Association of Ghana targeted reforms and objective through the ability to (VEPEAG) such that a continuous cold chain has speak to the government with one voice.149 not been established. Furthermore, demonstration gardens established under the project have ceased Finally, MDBS partners have questioned the extent to operate. Similar challenges were seen for the of ownership by the GoG for technical reforms APDADP. Several structures including markets, such as GIFMIS, as evidenced by conflict between slaughterhouses and fodder banks have not yet been MoFEP and line ministries, relaxation of commitment handed over to the intended beneficiaries and are Evaluation Findings 57

being used only on a limited basis. If these structures activities. Whereas the creation of a maintenance are not being used, it is not possible for the Bank's fund was planned as part of the UPRP, the fund interventions to increase access to domestic and was not established due to a lack of buy-in international markets as intended. among the beneficiaries. Identifying sufficient maintenance funds has been a challenge. MMDAs Management arrangements are now being rely on DACF disbursements or this purpose; established for assets implemented under the EMQAP however, DACF disbursements are unpredictable, through engagement with trade associations and with delays as long as six months for payments private sector entities. In particular, a management which can fall short of forecasts by more than arrangement is being identified for the Vapko pack 30%. Beneficiaries consulted under the DSSEP house, demonstration center and greenhouse facility. and HSR III noted similar issues. Specific funds While this development is promising, more work is have been established for maintenance purposes necessary to ensure the appropriate management within the GoG; however, the quantum and timing of other project assets. Overall, sustainability was of releases are too unpredictable to be useful. For assessed as moderately unsatisfactory example, staff at Tarkwa Hospital noted delayed releases of funds under the NHIS. As of December 2015, NHIS-related releases were only paid up to Social Sector May 2015.

The sustainability of social sector projects has been For some projects, it was expected that maintenance limited by the quality of works and lack of sufficient would partly be performed by the beneficiaries. Under arrangements for maintenance. These risks have the DSSEP, beneficiary schools were to receive tools posed challenges for the ongoing maintenance and and worksheds to support routine maintenance, use of the existing structures. As such, sustainability whereas maintenance was to be performed was rated as moderately unsatisfactory. by Community Maintenance and Management Committees under the UPRP. Three Senior High

Nonfunctional structures were a particular Schools reported issues related to the maintenance Country Strategy Evaluation challenge for the DSSEP. Issues included shed, including non-completion of works, non- washrooms which became unusable months provision of tools and failure to connect the shed after the work was completed, electrical issues, to local utilities. Furthermore, approximately half of An IDEV poor weatherproofing of structures and lack of the MMDAs supported under the UPRP reported that connection to local utilities. The PCR confirmed CMMCs were no longer functional. that "no cadastral or topographic drawings were prepared to inform site planning and designs" and "no geotechnical investigations were undertaken Power Sector to inform the structural designs."153 Standard drawings were sometimes applied regardless of The most immediate risk to the sustainability of their suitability to the site. For example, waterborne the Bank's power sector projects is the precarious toilets were provided at one school which did not financial sustainability of the sector. Responsibilities have access to a reliable water source. for power generation, transmission and distribution are separated among government bodies which are Furthermore, all social sector projects faced somewhat financially dependent on one another. challenges regarding the financing of maintenance Distribution of electricity to the regulated market 58 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

in southern Ghana is the responsibility of the macroeconomic challenges, creating a potential Electricity Company of Ghana (ECG). VRA both disincentive for private investment in the power generates and purchases power from IPPs, which sector. However, there have recently been some is subsequently purchased by ECG. ECG is then positive developments. VRA has restructured expected to recoup these costs through the its debt, improving liquidity.158 Furthermore, a collection of tariffs. plan was formulated to pay off arrears owed by the GoG to the Electricity Company of Ghana.159 Historically, the lack of cost-reflective tariffs, high But financial sustainability of the sector is still levels of system losses and poor collection ratios, dependent on the implementation of planned have placed strain on the financial health of ECG. reforms as well as the consistent application the Collection losses of up to 25% of purchases include tariff adjustment mechanism and the ongoing arrears from government institutions, estimated to improvement of collection ratios at ECG. Moreover, stand at GHS 700 million in 2015.154 Furthermore, these proposed reforms are the newest in a series although a quarterly review mechanism for tariffs of reform initiatives dating back beyond the was established in 2013 to address currency evaluation period such that their potential impact fluctuations against the US dollar, the Ministry of must be assessed with caution. Energy reported that application of the mechanism has not been consistent. A review of tariff gazettes There is potential for the financial sustainability confirmed that the adjustment mechanism was of the sector to improve but the present situation applied four times up to the end of 2015, but had is already posing material risks to the Bank's not kept pace with the depreciation of the GHS projects. Accordingly, sustainability is rated as over that period.155 The mechanism has not been moderately unsatisfactory. applied since another major tariff review was completed in December 2015; however, the GHS has become less volatile. Finance Sector and Industry

The resulting arrears have created liquidity Risks to the sustainability of the Bank's finance challenges throughout the power sector. The sector and industry projects include: (i) weak Takoradi International Company (TICO) faced liquidity risk management capacity among beneficiary challenges in the first quarter of 2016 due to arrears intermediaries; and (ii) exogenous factors such as owed by VRA.156 By the end of Q2, the situation had the economic crisis and power shortages. Overall, the worsened with no cash payments received from the sustainability of these interventions is moderately offtaker. This situation prompted TICO to withdraw satisfactory. USD 9 million from VRA's Letter of Credit provided as security under the PPA. As of June 30th, USD 35.2 The sustainability of the Bank's LOC projects has million was overdue to TICO. As a result, TICO been variable. Whereas CAL Bank has demonstrated partially defaulted on its debt service obligations in ongoing profitability and low levels of nonperforming June 2016, but managed to withdraw funds from its loans (NPLs; 6.9% in 2015 against a national debt service reserve account. This issue has delayed average of 14.7%),160 UT Bank has faced challenges technical completion of the project, which was due to the ongoing economic crisis. NPLs have conditional on no ongoing or continuing default.157 increased from 12.27% in 2013 to 35.89% in 2015, with a decline of 34.8% in interest income.161 This Until recently, PPAs were backed by a guarantee deterioration has left UT Bank with an acute shortage from the GoG. Stakeholders note that this practice of liquidity, necessitating expensive borrowing from has since been discontinued due to Ghana's the interbank market. Evaluation Findings 59

Stakeholders at CAL Bank credit the Technical well as additional costs due to power outages. Assistance it received from the Bank with the Although the hotel is now profitable, supervision strengthening of its risk management systems, documents suggest that it is being outperformed including the updating of loan assessment by competitors with respect to indicators such systems and changes to governance structure as market penetration (MPI), average room rates of the institution. Whereas UT Bank has (ARI) and revenue per available room (RevPAR).164 demonstrated weaknesses in its risk management Kempinski is also anticipating additional practices and loan underwriting, these risks were competition from the Marriott Hotel, which broke not addressed at project appraisal. UT Bank has ground in 2006 and has not yet opened. However, since requested Technical Assistance to address the hotel has benefitted from its ability to operate these challenges and stakeholders report that the as a luxury conference and events center, with Bank is responding. revenues exceeding projections.165

The construction of the Kempinski Hotel faced a number of challenges which have nearly doubled Water Supply and Sanitation Sector the time and resources required for completion of the project. Initial delays were experienced due Each of the Bank's WSS projects made provisions to unanticipated delays for customs clearance for the sustainability of projects through: (i) of materials, a national shortage of cement and selection of standardized technology; and (ii) governance challenges, including a three-month establishment of tariff and maintenance schemes. stoppage of work by the National Security Council. However, these measures have not worked as Customs processes, including obtaining permits intended. As such, sustainability was rated as and exemptions, tariff classification, goods moderately unsatisfactory for the sector. valuation and physical examination, are known to be a source of considerable delays at ports which It was originally planned that project technologies impact the business environment.162 Furthermore, would be standardized and simple to repair. in view of a decision by the GoG to build a wall In the case of the RWSSP, water points were Country Strategy Evaluation bisecting the land bordering the investment implemented in line with technical standards set limiting access to a national convention center as by Community Water Supply Agencies (CWSAs) well as rapidly increasing land value, the project such that spare parts would be readily available. An IDEV was partially redesigned to make more profitable Although a regional spare parts distribution use of the land. Space originally designated for a network has been established, parts are not car park was transitioned to a commercial center, always available in a timely manner. As a result, a including parking spaces, shops and restaurants, high percentage of nonfunctioning pumps (40%) adding to the time needed to complete was observed. In the case of the ASIP, simple construction.163 and easily maintained technology such as waste stabilization ponds were to be used for sewerage The hotel has now opened on a soft open basis works. But the second batch of works implemented but in a less favorable operating environment. used complex, underground technology which will Stakeholders note that, since 2013, there has been be more difficult to maintain in future. The design an industry-wide drop in hotel booking volumes of the Improved WSS Project also failed to identify and room rate growth. More recently, the hotel arrangements for desludging, which will pose has faced large increases in electricity tariffs as challenges once the latrine pits are full. 60 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Challenges were also noted with respect to tariff In assessing gender mainstreaming across schemes. Most MMDAs were found not to have the portfolio, the evaluation team considered: (i) specific plans or funds for maintenance of the water incorporation of gender into the project design; (ii) points and many community WSS teams were no presence of credible project mechanisms to address longer functional. For the ASIP, the tariff structure gender issues; and (iii) identification of gender- for sewage treatment has not been updated to disaggregated targets, outcomes and indicators. ensure cost-recovery. Furthermore, recordkeeping Gender mainstreaming across the project portfolio of new connections to the network is poor, which has been moderately satisfactory overall, but has will contribute to unpaid tariffs. decreased over the evaluation period.

Gender-related impacts were most apparent Crosscutting Themes among social sector projects, many of which sought directly to address gender disparities in Coverage of crosscutting themes, including service delivery, policy development and economic gender, inclusive growth and green growth has opportunities. Gender mainstreaming was also been satisfactory over the evaluation period. frequently addressed in agriculture and transport projects with respect to training as well as ensuring representation of women among farmers' Mainstreaming of Gender group executives. However, whereas gender considerations had been mainstreamed into the Throughout the evaluation, coverage of gender within majority of projects, outcomes are rarely framed CSPs as a crosscutting theme has been satisfactory. in gender disaggregated terms. In particular, Each CSP: (i) identifies gender-related constraints to disaggregated data at the outcome level would be development; (ii) commits to incorporating gender into important to determine whether men and women the project portfolio; and (iii) identifies how gender has benefit from Bank projects to the same extent, as is been incorporated into the CSP objectives. currently assumed.

For the 2002–2004 CSP, gender-related Mainstreaming of gender in power sector projects objectives were identified for each major stream of has been particularly challenging. None of the programming. Agricultural projects were to address project outputs specifically targeted gender gender by improving economic opportunities for challenges, nor were benefits to women tracked women in rural areas, whereas transport and at the outcome level. As the power sector gains WSS projects were to improve access to services increasing importance among the Bank's strategic and reduce domestic workloads. Under the objectives in Ghana, there is a need to think about 2005–2009 CSP, reduction of gender disparities in how these projects can better leverage opportunities service delivery was identified as a key strategic for gender inclusiveness. outcome. Under the 2012–2016 CSP, gender has been targeted through job creation for women and the inclusion of gender clauses in civil works Mainstreaming of Inclusive and Green Growth contracts.166 Finally, the Bank has increased emphasis on gender-focused policy dialogue by Mainstreaming of inclusive and green growth assuming leadership of the sector working group in CSPs over the evaluation period has been for gender. satisfactory. Each CSP acknowledges persistent Evaluation Findings 61

geographic disparities with respect to poverty and Social, WSS, transport and finance sector projects access to basic services and infrastructure. Inclusive primarily addressed green growth through: (i) and green growth has been particularly central community sensitization campaigns; and (ii) to the Bank's agricultural sector interventions, mitigating potential social and environmental through which the Bank has sought to promote impacts. In contrast, agriculture and power the sustainable management of forest and water sector projects addressed green growth as resources. Furthermore, social and governance part of the core project outcomes, including: (i) interventions have played an important role in sustainable management of forestry resources; ensuring service delivery is equitable by promoting (ii) use of climate resilient agricultural practices; decentralization of governance. The 2012–2016 CSP (iii) improving the supply and distribution of addresses green growth directly with emphasis on efficient energy sources; and (iv) reducing the efficient, cost-effective and environmentally-friendly use of generators and charcoal. However, these energy generation. outcomes have not always been adequately quantified. In the case of the Takoradi II extension,

Mainstreaming of inclusive and green growth CO2 savings for power generation involving the across the portfolio has also been satisfactory. steam turbine could be estimated, but carbon These themes have been addressed in terms of: savings through new electricity connections have (i) mitigating potential environmental impacts; (ii) not been measured systematically. ensuring that local communities are consulted and benefit economically from infrastructure works; (iii) promoting sustainable agricultural practices; and (iv) Quality at Entry promoting efficient energy generation. This criterion was assessed in terms of the Projects across the social, WSS, agriculture quality at entry for the Bank's CSPs as well as and governance sectors directly addressed quality and realism of project design but was not disparities in access to basic services among rural rated. Quality at entry for CSPs was assessed in communities and unplanned developments. Social terms of: (i) understanding of the country context; Country Strategy Evaluation sector projects addressed the decentralization (ii) clarity of the intervention logic; and (iii) of administrative and financial governance and selectivity and coherence of the project portfolio. increased institutional capacity for pro-poor, pro- Quality at entry of project design was assessed An IDEV gender development planning. Agriculture projects through a portfolio review of 21 closed projects. promoted the economic empowerment of rural communities by increasing productivity and access to markets. Transport, power sector and industry Quality at Entry for CSPs projects addressed inclusive growth by increasing access to basic infrastructure and services and Each CSP over the evaluation period contains enhancing economic opportunities. For example, a detailed assessment of the country context, the Kempinski Hotel has created approximately including dimensions of poverty, constraints to 400 jobs, along with intensive hospitality training growth, and lessons learned. In particular, the provided to new staff.167 Among transport and 2012–2016 CSP notes that it may be necessary power sector projects, however, increased access to reexamine the Bank Group's strategy should to services and economic opportunities has not Ghana transition to ADB-only status and identified been measured or tracked systematically. relevant knowledge work products to help identify 62 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

"Financing Options for Ghana's MIC Status."168 2005–2009 CSP, promotion of pro-poor, pro-gender Furthermore, the development of each CSP service delivery was addressed by complementary was supported by an increasingly inclusive and projects in the social and governance sectors. For participatory consultation process involving example, whereas budget support interventions the GoG, civil society, private sector and DPs. helped establish the DACF to promote the transfer Consultations were held with over 100 participants of resources to MMDAs, the UPRP strengthened from NGOs, women's groups, the private sector the capacity of MMDAs to implement pro-poor and district assemblies to inform the development planning processes and access additional funds on of the 2005–2009 and 2012–2016 Strategies.169 a performance basis. Under the 2012–2016 CSP, Under the 2012–2016 CSP, these consultations "improving the productivity of Ghanaian enterprises" were undertaken to both inform and validate is addressed through projects under the social, the selection of CSP pillars as well as ensure power, agriculture and finance sectors. alignment with national priorities and identify areas for further collaboration.170 Quality at Entry of Projects The clarity and realism of the intervention logic for each CSP improved over the evaluation Issues identified with respect to the quality at entry period. Under the 2002–2004 CSP, sector-level of projects included: (i) poor realism of the project outcomes were identified in silos and were not design; (ii) inadequate consultations and feasibility clearly linked to the outputs and outcomes of studies; and (iii) complexity of project design. projects. Outcomes were also not expressed in terms of specific and measurable changes. By Poor realism of project design was a particular contrast, the 2012–2016 CSP contained a limited challenge among agriculture and finance sector number of measurable outcomes which were projects. In the case of the EMQAP, it was clearly linked to projects’ outputs and activities. assumed that infrastructure upgrades and capacity Emphasis on measurable indicators agreed by all development would be sufficient to promote parties is consistent with the recommendations of commercialization and exports among farmers. the 2009 Country Portfolio Improvement Plan.171 No strategy was developed to integrate the private sector into the operation of assets such as the Vakpo The strategic selectivity of the Bank's pack house and cold storage trucks. Furthermore, interventions has improved with a reduced limited attention was paid to training beneficiaries number of priority sectors identified for the in entrepreneurial skills and marketing. As such, 2012–2016 period. Until recently, the project few farmers possessed the required bookkeeping portfolio had also become more selective in skills or collateral to access credit as expected. terms of the number of projects approved and the number of sectors implicated (table A3, Annex G). It was expected that the Second LOC to CAL A large transport sector project approved in 2015 Bank would be disbursed to 30 SMEs but was does not strictly align with the outputs identified instead provided to three profitable, medium-sized under the first strategic pillar; however, it remains businesses. In the absence of specific contractual consistent with the original pillar objectives. terms identifying how these funds can be used, it cannot be assumed that financial intermediaries The portfolio has also become increasingly coherent will assign LOCs differently to that of other funds at in that projects across different sectors now address their disposal. Stakeholders at CAL Bank contend, various facets of the CSP priorities. Under the however, that by lending to larger, more profitable Evaluation Findings 63

firms, they have been able to create more jobs than of the target population and the Ministry of Health if they had supported smaller SMEs. increased the size of the planned hospitals to 120 beds in view of these changes. The adequacy of feasibility studies was a concern for the WSS, transport and social sector projects. The Instead of funding the additional costs, the Bank ASIP was hampered by inadequate implementation chose to fund 100% of the hospital in Tarkwa and arrangements and an underestimation of costs, 35% of the hospital in Bekwai.174 Additional funds resulting in failed procurement processes and were subsequently sourced from the ECOWAS cancelation of the treatment station at Densu. The Bank for Investment and Development (EBID) Accra Municipal Assembly (AMA) was identified but were ultimately insufficient to complete the as the PIU in order to promote decentralization, hospital. Although Bank staff characterized this but no assessment was undertaken of AMA's situation as a unilateral change in project design by implementing capacity. AMA was found to lack the the GoG, insisting that the project be implemented necessary staff to manage the project efficiently as originally planned would have both frustrated with weaknesses identified for core capacities, the project objective of improving access to health notably procurement. In the case of the RIP, gender, services and the MoH would have been required to environmental, socio-economic and feasibility implement a hospital which did not meet its own studies for the Agona Junction - Elubo Road were policies. Population growth over a period of several deemed to be of substandard quality. Revisions years is a natural phenomenon which should required significant time such that the scope of the have been anticipated in the project design. By Bank's support was downgraded and works on the contrast, three supplementary loans were provided road have only recently made progress, now under to support the completion of the Tema-Aflao Road World Bank funding. GHFO noted the absence of after a four-year delay in project implementation technical assistance to improve the design of road led to cost overruns.175 projects as an ongoing challenge. In the absence of trust funds and grants, the GoG finds that funds are Limitations in project consultations were noted better used for hard infrastructure works. among agriculture and WSS projects. For the EMQAP, Country Strategy Evaluation land for demonstration centers was not identified The HSR-III project, approved in 2002, was based at appraisal, resulting in considerable delays. on feasibility studies and an appraisal conducted Subsequent to the award of contracts for works in the An IDEV in 1999. As it was originally appraised, the project Central Region, the community resorted to litigation identified the construction of two 50 bed hospitals to stop implementation. Although the APDADP was in the Amansie East and Wassa West Districts, now supported by detailed feasibility studies, elements of Bekwai and Tarkwa municipalities.172 Feedback the project were cancelled or altered due to limited from the Ministry of Health indicates that, by the uptake from beneficiaries. M.Sc. degree training for time implementation of the project had started staff at a rural banking association was cancelled implementation in 2005, the population of these due to indifference on the part of the beneficiaries. areas had grown considerably. Furthermore, standard Similarly, onion, tomato and cashew cultivation was designs for district hospitals now identified a range abandoned due to lack of interest from farmers.176 of 60–120 beds.173 New standards had also been Whereas feasibility studies provided information on developed requiring the provision of mental health soil analyses, potential crops and detailed plans for and traditional medicine services in district hospitals. potential road works, the studies did not demonstrate Ultimately, by the time project implementation had consultation with the intended beneficiaries, nor with started, the original designs no longer met the needs potential private sector stakeholders.177 64 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

In the case of the RWSSP, some target communities through the use of instruments such as the partial were selected because they were thought to be risk guarantee will also be actively explored."178 water-stressed even though they were not rural communities. The technologies provided, including The proportion of cofinanced projects has remained VIP latrines and boreholes, were generally not relatively stable across the evaluation period: about accepted by these beneficiaries. Furthermore, one third of projects approved over each CSP period low implementation of household sanitation was were cofinanced with other donors.179 These projects attributed to a mismatch between the chosen include the recently approved support to Ghana technology and the preferences of intended Airports Company Limited, which will be implemented users. In the case of the Improved WSS Project, with co-financing from nine other donors.180 However, the preference of beneficiary communities for none of the CSPs in Ghana make a strategic distinction private water vendors limited the patronage of between leveraging and cofinancing; and no instance water points implemented as part of the project. was identified where the Bank had played a catalytic role in attracting additional finance to projects. For the Complexity of the project design was noted to Bank's cofinanced projects in the transport sector, the be an issue among the EMQAP and UPRP. These Bank was invited to participate in the Awoshie-Pokuase projects involved too many components, given the Road Project by AFD, whereas the Bank stepped in to time and financial resources allocated, resulting participate in the Tema-Aflao Road Project after KfW in the cancellation or abbreviation of some withdrew from the transport sector. Similarly, the Bank components. For example, the UPRP composed was invited to finance the Takoradi II extension and the of three separate pillars, including: (i) capacity Kempinski Hotel by FMO and Amalgamated Bank of building for pro-poor governance; (ii) social South Africa (ABSA).181 inclusion and improvement of socioeconomic infrastructure; and (iii) entrepreneurial training Finally, operations funded under the ADB window have and access to credit for MSMEs. Nutritional indeed increased across each strategy period in terms sensitization was cancelled and skills training did of the number of operations as well as the proportion not reach the targeted number of beneficiaries of overall loans. ADB-funded operations accounted for due to time constraints. 4.4% of commitments by value between 2002 and 2004, to 34% of commitments by value between 2012 and 2015. While good progress has been Leveraging and Cofinancing achieved in increasing engagement with the private sector, stakeholders at GHFO note that identifying Given Ghana's transition to LMIC status in 2010 potential operations remains challenging given the and its transition to blend country status within fact that, considering the predominance of SMEs, few the Bank in 2012, leveraging and cofinancing investment proposals qualify for Bank support. have taken on increasing strategic importance in the country. In particular, the 2012–2016 CSP foresaw a greater role for leveraging of funds Supervision from the private sector, given the transition to LMIC status, stating that: “the Bank will also seek A portfolio review of available documents to catalyze private sector investments through a indicated that 91% of projects have been variety of instruments of support on non-sovereign supervised at least annually, including 100% terms. Opportunities for leveraging Ghana’s ADF of projects approved since the opening of the allocation for increasing...private investments GHFO. The frequency of supervision missions Evaluation Findings 65

has improved, increasing from an average partners to monitor and address day-to-day of one supervision every two years between implementation issues. 2002 and 2004, and one supervision every 1.5 years between 2005 and 2009, to at least one Regular, in-depth supervision is intended to monitor supervision annually between 2012 and 2014.182 and guide project implementation and thereby Supervision missions have tended to be inclusive enhance the achievement of results. Yet the evaluation with 67% of missions conducted in cooperation noted instances in the social sector where decisions with the GoG or other cofinancers. Lessons made in the course of project supervision limited the learned had been identified in 67% of supervision achievement of results. reports. However, follow up on recommendations and lessons learned was reported for just 20% of In the case of the HSR-III, construction of the hospital projects. in Bekwai faced several challenges, including an unforeseen increase in the scope of earthworks, a The skills mix of supervision teams demonstrated national three month shortage in the supply of cement, both cooperation with other donors as well as an increase in cement prices and a 25% depreciation coverage of multiple areas of expertise. Supervision of the GHS.184 Successive supervision reports noted of budget support operations was largely that the Bank had requested an expedited construction conducted through regular reviews by the MDBS plan from the contractor in view of the project closure Group and Sector Working Groups in cooperation date, including the hiring of additional sub-workers.185 with MoFEP. Supervision teams for projects in other Although the Bank was awaiting a variation order from sectors generally included sector experts as well the PIU for additional costs incurred,186 this request was as gender, procurement and financial management subsequently rejected.187 Stakeholders expressed the specialists. However, supervision of projects view that this decision may also have been influenced financed through the private sector window were by an IACD investigation into the project; however, this generally conducted by staff from the private sector investigation pertained to a separate project activity department alone. As the private sector window is implemented prior to the hospital construction. increasingly used to finance projects outside the Country Strategy Evaluation finance and industry sectors, it may be necessary Reasons provided for this rejection include: (i) the to incorporate expertise from other sectors (for initial contract did not allow for price adjustment; example, power) in order to address sector-specific (ii) the contract price had been increased by 5.46% An IDEV implementation risks. prior to signature; (iii) there was no contractual basis for an adjustment if delays were attributed Improved supervision corresponded with better to the contractor; and (iv) there was limited time performance against portfolio KPIs. Average to complete the works in view of the project Implementation Progress Ratings improved from closing date. The evaluation team found that, with 1.7 in 2009 to 2.3 in 2014. Furthermore, the the exception of the impending closing date, these share of Projects at Risk decreased from 21% reasons did not adequately reflect the circumstances in 2009 to 11% in 2014. However, whereas of the project. While the timely completion of projects problematic projects were eliminated between should be encouraged, "the Bank, being both a 2009 and 2013, the number of potentially development and a financial institution, must ensure problematic projects increased again in 2014.183 that Bank funds are meeting the objectives set forth Feedback from GHFO staff indicates that the at project appraisal."188 Furthermore, with respect to presence of task managers at GHFO has allowed financing cost overruns, "the Bank shall give priority for regular interaction with the GoG and other to financing cost overruns of those projects that 66 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

are in an advanced stage of implementation and project but a subsequent project was not supported can, therefore, be completed and expected to yield by the Bank.196 benefits to the borrowing Regional Member Country (RMC) in a relatively short period."189 Whereas the timely completion of projects is an important objective, decisions regarding project The decision to cancel project funds for social implementation, including those pertaining to sector projects has sometimes frustrated the variation orders and cancellation of funds, need to achievement of project objectives. As noted in be made with due consideration to the importance Bank guidelines in force at the time, "cancellation of achieving the project outcomes identified at of approved loans and/or grants should be the last appraisal as well as the potential impact on project resort, used only when other measures have failed beneficiaries. to yield the desired adjustment in performance and development impact."190 Furthermore, "the development impact of the operation will be Results Based Management weighed judiciously against the need to improve portfolio performance".191 These provisions suggest RBM at the project level was assessed through that flexibility in view of implementation challenges a review of appraisal reports. The majority is desirable if the project will likely achieve its of project results frameworks were found to targeted outcomes. However, the UPRP, HSR-III and be problematic but the quality of frameworks GRS projects were either closed prior to full project has improved over the evaluation period. completion or funds were cancelled in ways which The poor quality of result frameworks posed limited or delayed the achievement of development challenges for the evaluators: the majority of results.192 frameworks needed to be rationalized to assess performance. In the case of the Gender Responsive Skills Project (GRS), planned infrastructure improvements to 25 The quality of results frameworks was assessed Community Develop and Technical and Vocational in terms of: (i) clarity of the intervention logic; (ii) institutes (CDTVI) were delayed due to allegations sound distinction between outputs and outcomes; of fraud and corruption in the procurement process (iii) use of "SMART" indicators;197 and (iv) availability for civil works. This component, accounting for 42% of baseline data. In total, 66% of frameworks were of the project's ADF allocation, was subsequently problematic for at least one of these dimensions. cancelled.193 After an investigation by IACD and However, the quality of results frameworks has confirmation from the Bank to proceed with a new improved: 92% of frameworks for projects approved procurement process in May 2013, the PIU did not between 2002 and 2004 were problematic against make progress as anticipated. The GoG contends that 67% approved between 2005 and 2011, and 25% this confirmation was not received in due time for approved between 2012 and 2015. the PIU to act upon. In view of these delays and the impending closure of the project, it was recommended Challenges were noted with respect to the logical that the works be suspended in October 2013.194 It sequence between project outputs and outcomes should be noted that this activity had already been as well as the identification of SMART indicators. scaled back after the mid-term review of the project Governance projects tended to confuse disbursement from rehabilitation of 25 to 15 CDTVIs "maximize the targets with project outputs, which meant that limited quality" of the works and "ensure they are completed information was available on the actual reforms in good time."195 It was recommended that the implemented. Social sector projects often confused cancelled funds be directed to a second phase of the outcomes and targets. Furthermore, outcomes were Evaluation Findings 67

identified at the national level, with limited data on GHFO has recently taken steps to improve the quality benefits among the direct beneficiaries. Issues were of RBM among the Bank's projects. The Bank has also noted for power sector and transport sector been an active participant in Ghana's Monitoring and projects with respect to quantifying socioeconomic Evaluation sector working group and one member of benefits. Whereas these interventions are thought to staff has been identified as a focal point to advise increase economic activity and access to services, task managers on monitoring and evaluation issues. data to support these assumptions are often Furthermore, staff at GHFO report that country unavailable. The collection of such data must be experts are increasingly being used to collect coordinated among stakeholders at appraisal. baseline data for projects. Country Strategy Evaluation An IDEV 68 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Conclusions

Based on all the findings above, the evaluation by project design weaknesses, including: proposes the following broad conclusions with (i) complex and unrealistic designs; (ii) respect to the performance of the Bank in designing poor alignment with the preferences of and implementing its strategies and program in beneficiaries; and (iii) failure to identify Ghana over 2002–2015: arrangements for the management of infrastructure works. Whereas the Bank 1. The Bank's CSPs have been responsive to has contributed to increasing trade with evolving national development priorities and ECOWAS partners and increasing access beneficiary needs. Furthermore, the CSP to basic services and infrastructure, such priorities remain relevant in light of Ghana's as electricity, water and transport, progress transition to LMIC status. The portfolio has achieved in improving the business become increasingly selective and coherent, environment has recently been eroded due to addressing multiple facets of each strategic macroeconomic challenges and the ongoing priority through interventions across different energy crisis. Limited progress has been sectors. Although the Bank is increasing its made in increasing the transparency and use of ADB resources in Ghana, there is little accountability of PFM. evidence of strategic leveraging across the portfolio. 5. The sustainability of outcomes has been limited by project design weaknesses and 2. The Bank has demonstrated leadership in governance factors. Several avoidable project Ghana's donor cooperation architecture and design issues were observed, including: (i) has been increasingly active in the delivery absent management strategies for agricultural of knowledge work. Although not all planned assets; (ii) poor alignment with beneficiary knowledge work has been delivered, the Bank preferences; and (iii) failure to identify and is using knowledge work strategically to support address institutional weaknesses. However, for policy dialogue and project development. transport and power sector projects, political and governance factors are the main risks to 3. While the majority of project outputs have been sustainability, including the sufficiency of road delivered across each sector, there have been maintenance funds and poor cost recovery in instances where some project components are the power sector. over-delivered while other core components are under-delivered. This practice does not respect 6. Timeliness of implementation has been the original project logic and has limited the unsatisfactory with multiple delays experienced achievement of outcomes across social, WSS in both the initial start-up and ongoing and agriculture projects. implementation of projects. These delays are largely attributable to delays in meeting conditions 4. The achievement of outcomes, although precedent as well as procurement delays. Many moderately satisfactory, has been limited of these delays, including the requirement for Conclusions 69

counterpart funding and frequent changes in task 8. Improved project supervision over the evaluation managers, can be avoided. period has corresponded to an improvement in portfolio key performance indicators. However, 7. Crosscutting themes, including gender, inclusive decisions made in the course of project growth and green growth have been mainstreamed supervision and management have sometimes appropriately across the Bank's CSPs and projects but limited the achievement of outcomes or have are often not addressed in project results frameworks. had negative impacts on project beneficiaries. Consequently, these outcomes cannot be quantified RBM continues to be a concern in terms of the and it is often not possible to examine assumptions quality of results frameworks, the identification pertaining to the gender and environmental benefits of suitable indicators and the availability of of projects. relevant data to assess results. Country Strategy Evaluation An IDEV 70 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Recommendations

1. Propose a mix of instruments to support 3. Encourage private investment in the further private sector regulatory reform, energy sector by promoting cost-reflective improve the business environment and tariffs and providing guarantees for power strengthen accountability functions, purchase agreements. The ongoing energy particularly audit and procurement. In view crisis poses a serious risk to macroeconomic of the ongoing IMF Program, reduced aid stability due to increased cost of doing business inflows and disengagement of DPs from MDBS and energy sector subsidies. Whereas increased operations, there is a continued need to address investment is needed to address rising governance challenges which frustrate project demand, the discontinuation of government implementation. These challenges include guarantees will discourage private investment. private sector regulatory constraints and audit Going forward, the Bank could address these and procurement capacity gaps. Opportunities concerns through tools such as policy dialogue, should be examined to address these knowledge work, technical assistance and constraints through Policy Based Operations, partial guarantee facilities. technical assistance grants, policy dialogue and/or knowledge work while considering the 4. Improve support to regional trade by high likelihood of reduced ADF allocations. continuing to address infrastructure constraints while also incorporating trade 2. Identify opportunities to engage the private facilitation considerations. The Bank has sector in addressing a broader range of CSP already made a tangible contribution to regional objectives. Experience from past initiatives trade through the rehabilitation of international demonstrate that finance sector and industry corridors. Yet additional opportunities exist to operations, including the Kempinski Hotel promote trade and reduce the time required to and Lines of Credit, have made significant import and export through the implementation contributions to both skills development and the of one-stop border posts and improvement of development of local supply chains. Furthermore, customs processes. agriculture projects, such as the EMQAP could have benefitted from increased cooperation with 5. Address weaknesses in project design the private sector. This could have been achieved which impact both effectiveness and through implementing a value-chain approach sustainability through enhanced scrutiny with regard to the management and operation prior to approval, including: (i) extent of of project assets and linking farmers to markets. consultation with project beneficiaries; (ii) Such initiatives will become increasingly quality of feasibility studies; (iii) project important as Ghana transitions to ADB-only implementation capacity; (iv) realism status and implementation of knowledge work to of project scope and timeframes; (iv) identify new opportunities for cooperation should mitigation of risks to sustainability; and (vi) continue. clear arrangements for the collection of data Recommendations 71

to support RBM. Project design weaknesses 7. Ensure that crosscutting themes, including contribute to unnecessary delays and frustrate gender and green growth, are included the achievement of outcomes and measurement within project logframes and that clear data of results. Greater use of trust funds may allow collection arrangements are identified at for additional Technical Assistance to strengthen appraisal. Whereas mainstreaming of gender design and implementation capacity. and green growth has been satisfactory, additional work is needed to assess results for 6. Address obstacles to timely project crosscutting themes. In particular, this need implementation by rationalizing the use may be addressed through technical assistance of counterpart funds and ensuring that to build the capacity of the GoG to collect relevant stakeholders are made aware gender-disaggregated data, increased scrutiny of conditions precedent. Whereas GHFO of project results frameworks at appraisal and already applies a readiness filter with respect arrangements for data collection agreed among to advance procurement of infrastructure implementing partners. works, the availability of counterpart funds and the fulfillment of conditions precedent 8. Further strengthen supervision by ensuring continue to cause implementation delays. Given that all elements of the project logic are the macroeconomic context, GHFO should addressed or that credible alternatives identify other means of ensuring timeliness, are identified and improving the skills mix sustainability and ownership of projects. of supervision teams for private sector Furthermore, measures should be taken to operations. Explicit consideration should ensure that all relevant stakeholders, including also be given to the potential impact of the PIU, are aware of conditions precedent to decisions on project beneficiaries as well as first disbursement as early as possible and that the achievement of project outcomes when progress in addressing conditions precedent is determining how to address implementation tracked systematically. delays and challenges. Country Strategy Evaluation An IDEV

Annexes 74 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Annex A. — Evaluation Theory of Change and Mapping of Strategy-level Outcomes

Activities / Outputs Immediate Outcomes

Delivery of training and inputs Increased use of good agricultural practices Rehabilitation of feeder roads Increased agricultural pruductivity Establishment of market and agro processing facilities Increased access to markets Business development services Reduced disease burden Tsetse fly eradication

Works for international corridors Improved road conditions Works for trunk roads Reduced VOC and travel time Increased Daily Traffic Construction of power generation infrastructure Improved transmission infrastructure Increased generation and transmission capacity Provisions of Lines of Credit Reduced system losses and outages Construction of Kempinski Hotel Increased SME finance Delivery of risk management training Job Creation Implementation of new PFM systems Creation of local value chains

Staffing Pay Systems implemented Reduced budget variance Internal audit and procurement authorities strengthened Increased audit coverage and use of competitive procurement Business regulatory reforms Reduced time to start a business Abolition of user fees for services and creation of NHIS Reduced time to import and export Establishment of district fund sources Increased funding and staff to MMDAS

Increased enrolment

Refurbished schools, TVET institutes and health clinics Increased grade pass rates Training of service providers Increased Enrollment in TVET TVET Curricula developed Increased performance-based district funding Training of MMDA staff Increased revenue mobilization Development of social infrastructure Job creation Business development training Increased access to health care Training of revenue collectors and property valuations Increased Access to improved water sources New / refurbished water sources Increased access to improved sanitation sources New / refurbished sewage and sanitation infrastructure Increased volumes of treated water Provision of WASHE training Annexes 75

Intermediate Outcomes Ultimate Outcomes

Increased Agricultural Exports

Increased Access to Good quality Road Infrastructure Inclusive and Sustainable Growth Poverty Reduction Increased Access to reliable electricity

Increased incomes Increased Regional Trade Increased government revenues Enhanced Business Environment Business development and expansion Increased access to finance Accountable and transparent PFM

Increased Access to Basic Services and Improved Macroeconomic Management Infrastructure Decentralized Service Delivery

Improved Net and Gross enrolment and completion rates (for basic and SS) Reduced Skills Gaps Reduced Unemployment Increased Outpatient Visits Country Strategy Evaluation

Reduced Incidence of Water-borne Diseases Increased Use of Improved Water and Sanitation Sources An IDEV

Infrastructure Governance Water Supply and Sanitation Agriculture Social Private Sector 76 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Mapping of Strategy-level Outcomes to CSP Objectives

❙❙ In order to assess the Bank's contribution toward strategy level objectives, four strategy-level outcomes were identified based on the objectives identified in each CSP over the evaluation period, namely: (i) increased regional trade (particularly for agricultural products); (ii) increased access to basic services and infrastructure; (iii) creation of a business enabling environment; and (iv) improved transparency and accountability of PFM.

❙❙ This exercise was conducted not only to simplify the strategy-level assessment but also to rationalize strategy outcomes given the variable structure and quality of CSP results frameworks. Annexes 77

Increased access to Creation of an enabling Improved transparency Increased regional trade basic services and business environment and accountability of PFM infrastructure

2002-2004 CSP 2005-2011 CSP 2012-2016 CSP

Strategy Objective: Main- Pillar 1: Improving the Invest- Pillar 1: Supporting Economic tain Sound Macroeconomic ment Environment and Structural Reforms Framework Increase transparency and ac- Improve private sector compet- Improve revenue mobilization countability and reduce corruption itiveness Reduce domestic and external in Public Financial Management debt burden Increase business registration Improve transparency, timeli- Contain expenditures and improve ness and realism of the national Reduce the time and number of efficiency budgeting process procedures to start a business, Decentralize power and man- obtain a construction permit, agement Improved ability of parliament import and export. and other institutions to perform oversight. Promote transparency, accountability and integrity in the Agriculture Sector and Rural Growth conducive to macroeco- management of public resources nomic stability Development Objectives Improve budget credibility Vigorously encourage and support Reduced business registration costs Improve value for money and agro industries targeted at both competition in procurement the domestic and export markets Improve effectiveness of inter- Reduce unemployment in rural nal and external audit areas Pillar 2: Supporting Pro-Poor and Pro-Gender Equity Policies Increase the contribution of the agriculture sector to GDP Improve Access to Productive Assets such as land and services Pillar 2: Improving the Produc- Increase foreign exchange earnings such as education and health. through greater production of tivity of Ghanaian Enterprises Country Strategy Evaluation tradition al export crops and diver- Increase basic literacy and Ensure adequate, reliable, effi- sification into non-traditional crops numeracy. cient, cost-effective, environmen- Increased access to basic edu- tally friendly and fully integrated cation in deprived districts infrastructure to promote econom- An IDEV Infrastructure Sector Objectives ic and social development Access to safe drinking water and Construct three major highways sanitation. Increase % Ghanaians with access to electricity Construct a major road to a pro- Increased access to a safe and ductive area in every region sustainable water supply Reduce total power system Increase the availability of energy losses Accelerate rural water provision Make available appropriate but Address water management in cost-effective technology to urban areas improve productivity 50,000 jobs created in agribusiness sector Social Sector Objectives Develop Priority Skills for Industry Reduce disparity in access to (not assessed due to implemen- quality senior secondary education tation status of projects) Improve the health status of the poor through the provision of safe water and sanitation and improving access to direct health care 78 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Annex B. — Evaluation Questions

Evaluation Issue Specific Evaluation Questions

1. Relevance 1.1: To what extent are the Bank's Country Strategies and operations for Ghana aligned with the development needs, challenges and priorities of the country as well as the needs of the expected beneficiaries? 1.2: To what extent are the Bank's Country Strategies for Ghana aligned with the Bank's own strategies, priorities and policies? 1.3: To what extent are the Bank's interventions in Ghana aligned with the Bank's Country Strategies for Ghana? 2. Effectiveness 2.1: To what extent have the Bank's interventions achieved their objectives in terms of the delivery of outputs? 2.2: To what extent have the Bank's interventions contributed to the achievement of development results in terms of expected outcomes? 2.3: To what extent have the Bank's interventions contributed to the achievement of development results for the country, including intended and unintended impacts? 2.4: To what extent have the Bank's interventions benefitted target group members? 2.5: To what extent has the Bank engaged in strategic dialogue with the Government of Ghana and other Development Partners? 2.6: To what extent has the Bank delivered knowledge products and used knowledge work to inform project design and policy? 3. Efficiency 3.1: To what extent were the Bank's interventions delivered in an efficient and economical manner (were resources economically converted into outputs)? 3.2: To what extent are the Bank's interventions implemented in a timely manner which is consistent with best practices? 3.3: To what extent did the Bank's intervention achieve good value for money (cost-benefit)?

4. Sustainability 4.1: To what extent are the results achieved likely to continue once the Bank's interventions are completed? 4.2: To what extent has the Bank sought to mitigate risks to the sustainability of results as part of the project design process?

Evaluation Issue Specific Evaluation Questions

5. Crosscutting 5.1: To what extent do the Bank's CSPs incorporate the crosscutting themes of gender, inclusiveness and green Themes growth? 5.2: To what extent are the Bank's interventions inclusive in terms of geography, age and gender? 5.3: To what extent are the Bank's interventions environmentally sustainable and support the transition to green growth? 6. Design and 6.1: To what extent has the Quality at Entry of CSPs been satisfactory? Delivery 6.2: To what extent have the Bank's interventions been selective, strategic and coherent? 6.3: To what extent has the quality and realism of project design been conducive to project implementation and the achievement of results? 6.4: How has the Bank adapted its interventions to implementation challenges within the country? 6.5: How well has the Bank leveraged its financial resources within the country through mechanisms such as partnerships and co-financing? 7. Management 7.1: To what extent has the Bank's supervision of its interventions been effective? for Results 7.2: How has the Bank used supervision and results information to guide the management of its interventions? 7.3: To what extent has the Bank successfully implemented a performance measurement strategy which focuses on the achievement of outputs, outcomes and impacts? Annexes 79

Annex C. — Evaluation Matrix and Rating Criteria

1. Relevance Evaluation Question Judgment Criteria Data Sources 1.1: To what extent are the Bank's Country ❙❙ Thematic consistency of the Bank's CSPs with the ❙❙ National and Sector- Strategies and operations for Ghana aligned GOG's strategic framework for development and level Development with the development needs, challenges and priorities. Strategies priorities of the country as well as the needs ❙❙ Consistency between Bank strategies and country ❙❙ Bank CSPs for Ghana of the expected beneficiaries? development needs among RMC stakeholders. ❙❙ Interviews with RMC ❙❙ Degree of consistency between the Bank's strategies stakeholders and development needs identified in the available ❙❙ Available literature literature. 1.2: To what extent are the Bank's Country ❙❙ Degree of consistency between the Ghana Country ❙❙ Bank Policy and Strategies for Ghana aligned with the Bank's Strategies and the strategic priorities of the Bank. Strategy documents own strategies, priorities and policies? ❙❙ Degree of consistency between the Bank's ❙❙ Bank CSPs for Ghana interventions and its strategic priorities at the sector ❙❙ Interviews with Bank level. staff 1.3: To what extent are the Bank's ❙❙ Degree to which project approvals over each CSP ❙❙ File Review of project interventions in Ghana aligned with the Bank's period reflect contemporary CSPs. information Country Strategies? ❙❙ Bank CSPs for Ghana ❙❙ Interviews with Bank staff Rationale and Approach The relevance of the Bank's assistance was assessed at both the project and country levels along three dimensions: (i) alignment of projects and the CSP with demonstrable development needs; (ii) alignment of the CSP with the Bank's corporate and sector-level strategies; and (iii) alignment of projects with the CSP and with Regional Integration Strategies. Evidence from each of the evaluation

questions will be triangulated to provide an overall rating on a six-point scale from Highly Satisfactory to Highly Unsatisfactory, as Country Strategy Evaluation provided below. 6. Highly Satisfactory: It is demonstrated that the strategy/project objectives don’t have any shortcoming in their alignment with:

i) the Bank’s CSP, ii) applicable Bank sector strategies, iii) the country’s development strategies, and iv) the beneficiary needs (as An IDEV applicable). 5. Satisfactory: It is demonstrated that the strategy/project objectives have minor shortcomings in the alignment with: i) the Bank’s CSP, ii) applicable Bank sector strategies, iii) the country’s development strategies, and iv) the beneficiary needs (as applicable). 4. Moderately Satisfactory: It is demonstrated that the strategy/project objectives have moderate shortcomings in the alignment with: i) the Bank’s CSP, ii) applicable Bank sector strategies, iii) the country’s development strategies, and iv) the beneficiary needs (as applicable). 3. Moderately Unsatisfactory: It is demonstrated that the strategy/project objectives have significant shortcomings in the alignment with one of the following: i) the Bank’s CSP, ii) applicable Bank sector strategies, iii) the country’s development strategies, and iv) the beneficiary needs (as applicable). 2. Unsatisfactory: It is demonstrated that the strategy/project objectives have major shortcomings in the alignment with two of the following: i) the Bank’s CSP, ii) applicable Bank sector strategies, iii) the country’s development strategies, and iv) the beneficiary needs (as applicable). 1. Highly Unsatisfactory: It is demonstrated that the strategy/project objectives have severe shortcomings in the alignment with all of the following: i) the Bank’s CSP, ii) applicable Bank sector strategies, iii) the country’s development strategies, and iv) the beneficiary needs (as applicable). 80 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

2. Effectiveness Evaluation Question Data Sources 2.1: To what extent have the Bank's interventions achieved their objectives in terms ❙❙ Review of supervision reports and project of the delivery of outputs? monitoring information 2.2: To what extent have the Bank's interventions contributed to the achievement of ❙❙ PCRs, XSRs, BTORs and mid-term reviews development results in terms of expected outcomes? ❙❙ Available country statistics for key 2.3: To what extent have the Bank's interventions contributed to the achievement of indicators development results for the country, including intended and unintended impacts ❙❙ Interviews with project stakeholders (Bank staff, implementing partners, GOG) 2.4: To what extent have the Bank's interventions benefitted target group members? ❙❙ Interviews and/or surveys of beneficiaries as possible ❙❙ Field visits Judgment Criteria and Rationale Effectiveness will be examined at the project, sector and strategy levels and will center on the achievement of both outputs and immediate outcomes. The achievement of intermediate outcomes will be considered where credible data are available. This examination of the Bank's effectiveness will be based on a triangulation of qualitative a quantitative evidence from both primary and secondary sources to inform a robust and credible assessment. First, each project will be rated on a six-point scale ranging from Highly Satisfactory to Highly Unsatisfactory. Next, a rating will be provided for each sector based on the extent to which the collection of projects are found to have contributed to sector-level outcomes, identified below. Finally, a global rating will be provided based on the extent to which the projects are found to have contributed to country-level outcomes identified in the underlying Theory of Change for the CSP. The rating scale for the assessment of outputs is provided below. 6. Highly Satisfactory: Based on the output execution ratio all the project output targets were reached or are considered on track to be reached by the end of the project in accordance with quality standards. 5. Satisfactory: Based on the output execution ratio between 90 % and 99 % of the project output targets were reached or are considered on track to be reached by the end of the project. Corrective actions for off track indicators were implemented in a timely manner to ensure that the end of project targets could be achieved in accordance with quality standards. 4. Moderately Satisfactory: Based on the output execution ratio between 75 % and 89 % of the project output targets were reached or are considered on track to be reached by the end of the project. Corrective actions for off track indicators were implemented in a timely manner to ensure that the end of project targets could be achieved in accordance with quality standards. 3. Moderately Unsatisfactory: Based on the output execution ratio between 50 % and 74 % of the project output targets were reached or are considered on track to be reached by the end of the project. Corrective actions for off track indicators were not implemented in a timely manner to ensure that the end of project targets could be achieved. 2. Unsatisfactory: Based on the output execution ratio between 35 % and 49 % of the project output targets were reached or are considered on track to be reached by the end of the project. Corrective actions were not implemented and closely monitored for off track indicators. Poor performance jeopardized the achievement of one or more outcomes of the project. 1. Highly Unsatisfactory: Based on the output execution ratio less than 35 % of the project output targets were reached or are considered on track to be reached by the end of the project. Poor performance jeopardized the achievement of most expected outcomes and the possibility of stopping or suspending the project was considered. Annexes 81

Judgment Criteria and Rationale The rating scale for the assessment of outcomes at the project and sector level will be applied as follows: 6. Highly Satisfactory: Taking into account the latest value of the outcome indicators and the analysis of other relevant exogenous risks/factors and assumptions, it is plausible to expect that all intended project outcomes were achieved or are likely to be achieved. 5. Satisfactory: Taking into account the latest value of the outcome indicators and the analysis of other relevant exogenous risks/ factors and assumptions, it is plausible to expect that most (75 %) intended project outcomes were achieved or are likely to be achieved. 4. Moderately Satisfactory: Taking into account the latest value of the outcome indicators and the analysis of other relevant exogenous risks/factors and assumptions, it is plausible to expect that a substantial (50 %-74 %) intended project outcomes were achieved or are likely to be achieved. 3. Moderately Unsatisfactory: Taking into account the latest value of the outcome indicators and the analysis of other relevant exogenous risks/factors and assumptions, it is plausible to expect that few (25-49 %) intended project outcomes were achieved or are likely to be achieved. 2. Unsatisfactory: Taking into account the latest value of the outcome indicators and the analysis of other relevant exogenous risks/ factors and assumptions, it is plausible to expect that few (5-24 %) intended project outcomes were achieved or are likely to be achieved. For completed projects, IDEV will conduct an in-depth assessment of the results chain consistent with the approach recommended in the Evaluation Cooperation Group's "Big Book on Evaluation Good Practice Standards," including: ❙❙ An assessment of the causal chain in relation to the needs of the target population in collaboration with stakeholders and experts; ❙❙ Examination of the critical assumptions and expectations inherent in the project's design; ❙❙ Use of available research evidence and practical experience to compare the project with projects based on similar concepts; and ❙❙ Observation of the project in operation, focusing on interactions that were expected to produce the intended outcomes. ❙❙ Special note will be taken of challenges and enabling factors within the implementation context for each project in order to test the Bank's Theory of Change for its operations in Ghana. Country Strategy Evaluation An IDEV 82 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Sector Indicative Results Chain and Potential Indicators

Agriculture Ultimate outcomes ❙❙ Economic growth and diversification ❙❙ Reduced poverty and enhance food security in rural communities Intermediate outcomes ❙❙ Increase income for farmers ❙❙ Increased regional trade of agriculture products Immediate outcomes ❙❙ Increased farm land under cultivation ❙❙ Increased use of sustainable farming practices ❙❙ Increased use of irrigation technology and equipment ❙❙ Increased access to markets ❙❙ Increased agricultural productivity Outputs ❙❙ Development of new assets (demonstration centers, pack houses, fodder banks, markets) ❙❙ Rehabilitation of feeder road networks ❙❙ Provision of training and improved inputs ❙❙ Establishment of tsetse fly suppression systems ❙❙ Hectares of seedlings planted ❙❙ Outgrower arrangements established Sample Indicators ❙❙ Productivity per hectare ❙❙ Hectares of irrigated land ❙❙ Average income for farmers in target area ❙❙ Number of training recipients ❙❙ Human and animal prevalence of trypanosomiasis Annexes 83

Sector Indicative Results Chain and Potential Indicators

Water Ultimate outcomes Supply and ❙❙ Improved health and standard of living Sanitation ❙❙ Poverty reduction Intermediate outcomes ❙❙ Increased use to improved water supply and sanitation facilities ❙❙ Reduced incidence of water borne disease Immediate outcomes ❙❙ Increased proportion of target population with access to water and sanitation sources ❙❙ Increased volume of treated water ❙❙ Hours of water service/day ❙❙ Reduced distance to water/sanitation facilities ❙❙ Reduced reported practice of open defecation Outputs ❙❙ Number of water points and sanitation facilities constructed or rehabilitated ❙❙ Number of sanitation facilities provided in public institutions (schools, health center and markets) ❙❙ Number of household sanitation facilities provided ❙❙ Delivery of Sanitation and hygiene promotion training ❙❙ Implementation of sewerage and treatment infrastructure ❙❙ Arrangements for the forward use of waste materials Indicators ❙❙ Number of people with access to safe water and sanitation facilities ❙❙ Number of cubic meters of water supplied annually ❙❙ Water supply and sanitation facilities constructed ❙❙ Number of water points rehabilitated ❙❙ Number of hours of water service per day

❙❙ Sewage treatment rate by area Country Strategy Evaluation ❙❙ Incidence of waterborne diseases An IDEV 84 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Sector Indicative Results Chain and Potential Indicators Governance Ultimate goal ❙❙ Transparent and accountable public financial management ❙❙ Creation of a business enabling environment ❙❙ Increased access to pro-poor social services Intermediate outcomes ❙❙ Improved access to health and education services ❙❙ Increased competitiveness ❙❙ Sustainable budget implementation and public debt ❙❙ Increased access to finance for the private sector ❙❙ Increased business registration Immediate outcomes ❙❙ Increased financial and administrative decentralization for service delivery ❙❙ Improved budget credibility and commitment controls ❙❙ Strengthened procurement and audit functions ❙❙ Reduced time to register property and obtain a construction permit ❙❙ Reduced time to import and export Outputs ❙❙ Establishment of procurement, HR and audit units in MMDA ❙❙ Decentralization of Business Registration Offices ❙❙ Implementation of the Private Sector Development Strategy ❙❙ Implementation of the Single Spine Salary Structure ❙❙ Implementation of IFMIS and Single Treasury Account ❙❙ Establishment of the DACF and Local Government Service ❙❙ Establishment of the NHIS ❙❙ Abolition of Basic School Fees in underserved districts Indicators ❙❙ Doing Business Scores ❙❙ CPIA Scores ❙❙ PEFA Scores ❙❙ World Development Indicators - businesses registered, number of days to register a business, etc. ❙❙ Percentage of budget released to district boards ❙❙ % Implementation of Audit Recommendations ❙❙ % Audit Coverage ❙❙ % Use of competitive procurement processes ❙❙ Salary and wage expenditure (% GDP) ❙❙ Expenditure variance Annexes 85

Sector Indicative Results Chain and Potential Indicators

Social Ultimate goal Sector ❙❙ Sustainable and inclusive poverty reduction Intermediate outcomes ❙❙ Improved access to basic services ❙❙ Reduced unemployment and urban poverty ❙❙ Business creation and expansion ❙❙ Improved WASSCE pass rates ❙❙ Improved use of health services Immediate outcomes ❙❙ Increased senior high school, basic school and TVET enrolment ❙❙ Improved grade pass rates ❙❙ Improved doctor to population / nurse to population ratios ❙❙ Increased incomes for small businesses ❙❙ Job creation ❙❙ Increased revenue for targeted MMDAs ❙❙ Improved community outreach and participatory planning Outputs ❙❙ Provision of planned training and equipment ❙❙ Provision of Social Inclusion Transfers ❙❙ Property Valuation in beneficiary MMDAs ❙❙ Implementation of planned social infrastructure in MMDAs ❙❙ Infrastructure upgrades to 25 Senior High Schools ❙❙ Provision of textbooks ❙❙ Provision of loans to SMSEs ❙❙ Construction of two district hospitals

❙❙ Provision of furniture and medical equipment Country Strategy Evaluation ❙❙ Infrastructure and equipment upgrades to 25 TVET institutes ❙❙ Gender training provided to key GoG stakeholders

❙❙ Development of TVET training curricula An IDEV Indicators ❙❙ Senior High School and Basic School Enrolment rates ❙❙ Grade Pass rates ❙❙ WASSCE Pass rates ❙❙ FOAT Scores and DACF allocations ❙❙ Doctor to population ratios ❙❙ Nurse to population ratios ❙❙ Incomes of targeted MSMEs, market traders ❙❙ Number of jobs created 86 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Sector Indicative Results Chain and Potential Indicators

Private Ultimate Outcomes Sector / ❙❙ Economic growth and diversification Finance ❙❙ Creation of an enabling business environment ❙❙ Intermediate outcomes ❙❙ Increased profitability of beneficiary companies ❙❙ Increased access to finance ❙❙ Increased government tax revenues ❙❙ Immediate outcomes ❙❙ Job creation (direct and indirect) ❙❙ Increased SME lending ❙❙ Creation of local supply chains ❙❙ Increased access to training Outputs ❙❙ Provision of LOC to financial institutions ❙❙ Construction of a hotel and associated amenities ❙❙ Implementation of ESMP ❙❙ SME Linkages Study ❙❙ On-lending of funds to SMEs Indicators ❙❙ Number of jobs created (local jobs and jobs for women) ❙❙ % increase in SME lending portfolio among target institutions ❙❙ Number of SMEs financed ❙❙ % of projects in compliance with Environmental and Social standard ❙❙ Annual tax revenues ❙❙ Annual EBITDA ❙❙ % NPLs ❙❙ Provision of technical assistance Transport Ultimate Outcomes ❙❙ Inclusive growth and poverty reduction Intermediate Outcomes ❙❙ Increased access to markets and social services ❙❙ Job creation and increased incomes ❙❙ Increased regional trade volumes Immediate Outcomes ❙❙ Reduced vehicle operating costs and transport costs ❙❙ Improved road safety ❙❙ Reduced travel time ❙❙ Increased average annual daily traffic Outputs ❙❙ Delivery of project design plans and specifications, estimates and tender documents for planned infrastructure installations ❙❙ Provision of HIV/AIDS sensitization training Annexes 87

Sector Indicative Results Chain and Potential Indicators

Energy Ultimate Outcomes ❙❙ Increased access to basic services and infrastructure ❙❙ Creation of an business enabling environment Intermediate Outcomes ❙❙ Increased access to and use of electricity ❙❙ Reduced carbon emissions ❙❙ Improved reliability of power supply Immediate Outcomes ❙❙ Increased electricity generation capacity ❙❙ Job creation (for women and local population) ❙❙ Increased transmission capacity ❙❙ Reduced system losses ❙❙ Reduced system outages Outputs ❙❙ Power stations / extensions built ❙❙ Transmission lines built ❙❙ Sub-stations built and/or extended ❙❙ Implementation of proposed ESMP/RAP activities Indicators ❙❙ Installed capacity in MW ❙❙ Number of new connections ❙❙ Annual hours of outage ❙❙ National electrification rate ❙❙ Transmission Capacity in MVA ❙❙ Number of jobs created during construction and operation (for women, youths and local population)

❙❙ Length of transmission line built Country Strategy Evaluation ❙❙ Number of substations built or extended ❙❙ Number of ESMP/RAP activities implemented ❙❙ Net tons of carbon emissions equivalents avoided each year An IDEV

Effectiveness - Knowledge Work and Policy Dialogue

2.5: To what extent has the Bank engaged ❙❙ Extent to which strategic objectives for ❙❙ Review of CSPs and CPPRs in strategic dialogue with the Government policy dialogue have been expressed ❙❙ Interviews with Key Stakeholders of Ghana and other Development in CSPs Partners? ❙❙ Evidence of participation in the existing country dialogue architecture ❙❙ Evidence of leadership within the existing country dialogue architecture. 88 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Effectiveness - Knowledge Work and Policy Dialogue 2.6: To what extent has the Bank ❙❙ Evidence of strategic emphasis on ❙❙ Review of CSPs and CPPRs delivered knowledge products and used knowledge work within CSPs ❙❙ Review of completed knowledge work knowledge work to inform project design ❙❙ Extent to which planned knowledge ❙❙ Interviews with key stakeholders and policy work has been delivered ❙❙ Evidence of use of knowledge work to inform project design and policy dialogue

Judgment Criteria Delivery of Policy Dialogue and Knowledge Work will be assessed on a six-point scale ranging from Highly Satisfactory to Highly Unsatisfactory, as provided below. 6. Highly Satisfactory: The Bank has delivered significant knowledge work in all sectors selected for its interventions that has been recognized by all other development partners including the government, allowed the Bank for positioning itself as leader in policy dialogue in these areas, and has triggered change in the policy and/regulatory framework of the country.

5. Satisfactory: The Bank has delivered significant knowledge work in most sectors selected for its interventions that has been recognized by all other development partners including the government, allowed the Bank for positioning itself as leader in policy dialogue in these areas, and has triggered change in the policy and/regulatory framework of the country.

4. Moderately Satisfactory: The Bank has delivered knowledge work in few sectors selected for its interventions that has been recognized by all other development partners including the government, and allowed the Bank to contribute to policy dialogue in these areas.

3. Moderately Unsatisfactory: The Bank has delivered limited knowledge work in a few sector selected for its interventions that has been recognized by all other development partners including the government, and is contributing to policy dialogue, but with no linkage between the two aspects.

2. Unsatisfactory: The Bank has delivered minimal knowledge work in a few sectors selected for its interventions with no recognition by / influence on other development partners and government. The Bank is routinely involved in policy dialogue.

1. Highly Unsatisfactory: The Bank has not delivered any significant piece of knowledge work. It is seen as one actor among many in the development landscape of the country by most stakeholders.

3. Efficiency Evaluation Question Indicators Data Sources 3.1: To what extent were the Bank's ❙❙ Perceived timeliness and economy of ❙❙ Project Completion Reports interventions delivered in an efficient project implementation ❙❙ Interviews with Task Managers and and economical manner (were resources economically converted into outputs)? ❙❙ Disbursement Ratios relative to Bank- implementation partners wide averages and targets ❙❙ SAP data

3.2: To what extent are the Bank's ❙❙ Ratio of planned versus actual ❙❙ Project Completion Reports interventions implemented in a timely implementation time at the project level ❙❙ Interviews with Task Managers and manner which is consistent with best practices? ❙❙ Number of days between approval, implementation partners loan signature, effectiveness and first ❙❙ SAP data disbursement 3.3: To what extent did the Bank's ❙❙ Extent to which the chosen project ❙❙ File review of project documents intervention achieve good value for money approach has yielded results at ❙❙ Project completion reports (cost-benefit)? less cost relative to other potential approaches. ❙❙ Interviews with task managers and implementation partners ❙❙ Economic Internal Rate of Return ❙❙ Review of available literature ❙❙ Financial Internal Rate of Return Annexes 89

3. Efficiency Judgment Criteria and Rationale The assessment of efficiency will involve three components, namely: (i) the effective use of resources for the delivery of planned outputs; (ii) implementation timeliness; and (iii) extent of the results achieved relative to cost and implementation time (cost-benefit). The assessment will be informed by a triangulation of qualitative and quantitative evidence from project supervision and completion reports, as well as a review of the available literature. A rating will be provided for each dimension using a six-point rating scale from Highly Satisfactory to Highly Unsatisfactory, depending on the availability of adequate data. In addition, a global rating will be provided for efficiency of the Bank's operations in Ghana over the evaluation period. With respect to timeliness, the following rating scale will be applied: 6. Highly Satisfactory: The ratio of planned implementation time (as per PAR) and actual implementation time from the date of approval is expected to be <1. 5. Satisfactory: The ratio of planned implementation time (as per PAR) and actual implementation time from the date of approval is expected to be 1.0-1.1. 4. Moderately Satisfactory: The ratio of planned implementation time (as per PAR) from the date of approval and actual implementation time from the date of effectiveness is expected to be 1.11-1.2. 3. Moderately Unsatisfactory: The ratio of planned implementation time (as per PAR) from the date of effectiveness and actual implementation time from the date of effectiveness is expected to be 1.21-1.3. 2. Unsatisfactory: The ratio of planned implementation time (as per PAR) from the date of effectiveness and actual implementation time from the date of effectiveness is expected to be 1.31-1.4. 1. Highly Unsatisfactory: The ratio of planned implementation time (as per PAR) from the date of effectiveness and actual project implementation time from the date of effectiveness is expected to be 1.41-1.5. With respect to economic efficiency, the following rating scale will be applied: Disbursement Rates 6. Highly Satisfactory: Annual disbursement rate exceed the Bank-wide average and meet the Bank-wide target. 5. Satisfactory: Annual disbursement rates meet the Bank-wide average. 4. Moderately Satisfactory: Annual disbursement rates fall an average of less than 2 percentage points below the Bank-wide average. 3. Moderately Unsatisfactory: Annual disbursement rates fall an average of between 2.1 and 5 percentage points the Bank-wide average. Country Strategy Evaluation 2. Unsatisfactory: Annual disbursement rates fall an average of between 5.1 and 10 percentage points below the Bank-wide average. 1. Highly Unsatisfactory: Annual disbursement rates fall more than 10 percentage points below the Bank-wide average. An IDEV EIRR/FIRR 6. Highly Satisfactory: If EIRR is equal or above the opportunity cost of capital. 5. Satisfactory: If (90 % of the opportunity cost of capital ≤ EIRR < the opportunity cost of capital). 4. Moderately Satisfactory: If (80 % of the opportunity cost of capital ≤ EIRR < 90 % of the opportunity cost of capital). 3. Moderately Unsatisfactory: If (60% of the opportunity cost of capital ≤ EIRR < 80 % of the opportunity cost of capital). 2. Unsatisfactory: If (40 % of the opportunity cost of capital ≤ EIRR < 60 % of the opportunity cost of capital). 1. Highly Unsatisfactory: If EIRR is less than 40 % of the opportunity cost of capital. 90 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

4. Sustainability Evaluation Question Data Sources 4.1: To what extent has the Bank ❙❙ File review of project documents sought to mitigate risks to the ❙❙ Readiness Reviews sustainability of results as part of the project design process? ❙❙ Interviews with Bank staff, government and local stakeholders and implementation units ❙❙ Site visits Criteria Indicators Technical Soundness ❙❙ Extent to which the technical design of the project was supported by feasibility studies and appropriate consultations. ❙❙ Extent to which maintenance requirements and operational risks have been identified in the project design. ❙❙ Extent to which the technical design of the project is based on mechanisms and methods which have a demonstrated track record of success. Financial and Economic Viability ❙❙ Extent to which adequate public resources or user fees are available to support the continued operation and maintenance of the investment. ❙❙ Extent to which private sector operations demonstrate long-term profitability. ❙❙ Extent to which long-term financial and technical support has been secured from partners and cofinancers. Institutional Sustainability ❙❙ Use of country systems for implementation (where feasible). ❙❙ Identification and implementation of necessary institutional reforms and mechanisms. ❙❙ Extent to which institutional capacity gaps have been addressed. ❙❙ Extent of policy dialogue and national ownership in implementing necessary policy and institutional reforms. Ownership and Partnerships ❙❙ Extent to which interventions have been implemented in consultation and partnership with local authorities, CSOs, other donors and the private sector. ❙❙ Extent to which necessary partnerships are in place to facilitate the sustainability of project infrastructure and activities. Resilience ❙❙ Degree of project resilience to exogenous factors, including climate and economic shocks ❙❙ Likelihood that exogenous factors will impact the achievement of results 4.2: To what extent are the results ❙❙ File review of project documents achieved likely to continue once the ❙❙ Interviews with Bank staff, government and local stakeholders and implementation units Bank's interventions are completed? ❙❙ National Statistics (where available) ❙❙ Site visits Sector Indicators Agriculture and Environment ❙❙ Evidence of regular maintenance conducted for infrastructure investments (for example rural roads, irrigation schemes, storage facilities) ❙❙ Implementation of identified agricultural sector reforms ❙❙ Maintenance of activities and infrastructure by farmers groups and/or district assemblies Water Supply and Sanitation ❙❙ Share of infrastructure investments appropriately maintained and still operational ❙❙ Share of water-supply schemes which are financially self-sustainable ❙❙ Technical and financial capacity for maintenance and operation among local officials. ❙❙ Ownership for maintenance among community groups and district assemblies Transport ❙❙ Evidence of regular maintenance for infrastructure investments ❙❙ Long-term financial sustainability of maintenance schemes ❙❙ Implementation of identified policy reforms such as axle load controls Annexes 91

4. Sustainability Social ❙❙ Share of targeted institutions and training facilities operational and maintained ❙❙ Evidence that implemented works are of appropriate quality ❙❙ Evidence of sustainable use of new systems and practices ❙❙ Retention of specialized faculty and trained staff ❙❙ Financial sustainability of maintenance schemes for targeted training and educational facilities Finance / Private Sector ❙❙ Economic and financial performance of selected projects (profitability) Development ❙❙ Retention rate of trained staff ❙❙ Repayment rate for financial support to SMEs ❙❙ Growth of loans to MSMEs ❙❙ Profitability of financial institutions and levels of NPLs Governance ❙❙ Extent of implementation of targeted reforms ❙❙ Extent of reforms appropriately supported by public funds ❙❙ Retention of trained staff ❙❙ Demonstrated use and maintenance of improved systems Power ❙❙ Evidence of regular maintenance for infrastructure investments ❙❙ Share of electrical distribution systems and transmission lines properly functioning ❙❙ Long-term financial sustainability of maintenance schemes ❙❙ Technical and financial capacity for maintenance and operation among local officials ❙❙ Implementation of identified policy reforms ❙❙ The extent of line losses (technical and non-technical) ❙❙ Deviation between generation cost and average tariff Judgment Criteria and Rationale The assessment of sustainability will be conducted via two streams of analysis: (i) the extent to which the project design has adequately examined and addressed critical elements to promote the long-term sustainability of the project; and (ii) the

demonstrated long-term viability and sustainability of project outputs and outcomes. The assessment will primarily focus on the first Country Strategy Evaluation stream of analysis. The second stream of analysis will be used to inform sector-level and global ratings depending on the availability and credibility of relevant data.

A rating for sustainability will be provided at both the project and programme levels against a six-point scale from Highly Satisfactory An IDEV to Highly Unsatisfactory, as provided below. Project Ratings across the individual criteria (for example, technical complexity) will not be averaged - each criteria will be assessed in terms of major risks which are relevant to the sustainability of outcomes. Ratings will be determined based on the likelihood that identified risks to sustainability will impact project outcomes. 6. Highly Satisfactory: The project is not technically complex or complexities have been mitigated appropriately. The project does not depend on exogenous factors, or risks to the achievement of results are limited. The project design has involved relevant stakeholders who remain engaged in project implementation. There are few political or governance risks which could impact the implementation of the project. Relevant institutional capacity needs have been identified and addressed. Arrangements have been made for the continued financial sustainability of the project. Identification and mitigation of risks to the achievement and sustainability of results has been comprehensive, contributing the achievement of results. 5. Satisfactory: Identification and mitigation of risks to sustainability have been adequate, but not comprehensive. Omissions have had no impact on the achievement of results. 4. Moderately Satisfactory: Identification and mitigation of risks to sustainability have been adequate, but not comprehensive. Some impacts on the achievement of results have been observed. 3. Moderately Unsatisfactory: Identification and mitigation of risks to sustainability has overlooked some key risks. Results have been achieved, but achievement has been influenced by uncontrolled risks. 2. Unsatisfactory: Mitigation of identified risks to sustainability has been inadequate with a material impact on the achievement of results. 1. Highly Unsatisfactory: Limited consideration has been given to risks to sustainability, with substantial limitations to the achievement of intended results. 92 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

5. Crosscutting themes Evaluation Question Indicators Data Sources 5.1 To what extent do the Bank's CSPs incorporate ❙❙ Degree and depth of analysis in the design of the CSP ❙❙ File Review the crosscutting themes of gender, inclusiveness with respect to gender, inclusiveness and green growth. of CSPs and and green growth? ❙❙ Evidence of planned interventions addressing concerns Performance pertaining to gender, inclusive and green growth Reports ❙❙ Evidence of incorporation of gender, inclusive and ❙❙ Interviews with key green growth in strategy results frameworks as well as stakeholders appropriate indicators 5.2: To what extent do the Bank's interventions ❙❙ Degree and depth of gender analysis in the design and ❙❙ File review inclusive in terms of geography and gender? delivery of projects of project ❙❙ Share of interventions with specific components documentation addressing gender inequality ❙❙ Review of available ❙❙ Extent of institutional capacity development support PCRs/XSRs provided for the identification and management of gender ❙❙ Interviews with disparities. task managers, ❙❙ Geographical distribution of operations local government ❙❙ Share of bank interventions which explicitly consider or stakeholders and address regional disparities implementing partners ❙❙ Share of interventions which incorporate mechanisms to assess impact on gender and geographic disparities. ❙❙ Site visits

5.3: To what extent are the Bank's interventions ❙❙ Share of infrastructure projects which integrate environmentally sustainable and support the environmental protection measures transition to green growth? ❙❙ Existence of mechanisms for monitoring and addressing environmental impact ❙❙ Extent of support provided for institutional capacity development surrounding environmental management and climate change

Judgment Criteria and Rationale Each CSP and project (by sector) will be rated on a six-point scale ranging from Highly Satisfactory to Highly Unsatisfactory. The rating scale for the assessment of outputs is provided below. 6. Highly Satisfactory: Country Strategies address crosscutting themes within the analysis of context and identify how existing challenges will be addressed within the project portfolio. All strategies and projects have identified means of addressing gender, inclusive and green growth through concrete interventions. Crosscutting themes are reflected in the project Logframe at the output and outcome level and are supported with relevant data. 5. Satisfactory: Country Strategies address crosscutting themes within the analysis of context and identify how existing challenges will be addressed within the project portfolio. Nearly all strategies and projects have identified means of addressing gender, inclusive and green growth through concrete interventions. Crosscutting themes are reflected in the project Logframe at the output level and outcome with some supporting data available. 4. Moderately Satisfactory: Country Strategies address crosscutting themes within the analysis of context. Links between challenges the country strategy and project portfolio are present, but not explained. Most strategies and projects have identified means of addressing gender, inclusive and green growth through concrete interventions. Crosscutting themes are reflected in the project Logframe at the output level, but are not assessed at the outcome level. 3. Moderately Unsatisfactory: Country Strategies address crosscutting themes within the analysis of context, but are not clearly linked to the identification of strategic pillars and priorities. Most projects have identified means of addressing gender, inclusive and green growth through concrete interventions; however, some opportunities have been missed. Crosscutting themes have not been incorporated into the project Logframe for some projects. 2. Unsatisfactory: Both CSPs and projects lack a fulsome examination of challenges pertaining to gender and inclusive growth. Some projects consider and address crosscutting themes, but crosscutting themes are not reflected in the project Logframe. 1. Highly Unsatisfactory: Crosscutting themes are not considered in the CSPs or the majority of the projects. Crosscutting themes are not apparent among project outputs or Logframes. Annexes 93

6. Design and Delivery

Evaluation Question Indicators Data Sources 6.1: To what extent has ❙❙ Evidence of use of a consultative process for development of ❙❙ CSP documents the quality at entry of CSPs ❙❙ Government Development CSPs been satisfactory? ❙❙ Evidence of a fulsome consideration of country context Strategies ❙❙ Extent of clarity of the CSP intervention logic ❙❙ Available literature ❙❙ Extent to which risks to CSP iplementation have been ❙❙ Reviews of Quality at Entry addressed. ❙❙ Readiness Reviews 6.2: To what extent have ❙❙ Degree of concentration of the Bank's activities in selected ❙❙ Review of ESWs and knowledg the Bank's interventions focus areas products been selective, strategic and coherent? ❙❙ Alignment of project portfolio with CSP priorities ❙❙ File review of project documents ❙❙ Evidence of demonstrated expertise and comparative ❙❙ Interviews with Country Team, advantage within selected focus areas GOG ❙❙ Extent of complementarity with the activities of other donors ❙❙ Stakeholders, partners and co- and partners financers ❙❙ Evidence of coherence and linkages across sectors 6.3 To what extent has ❙❙ Extent of realism for project objectives given project scope and the quality and realism context. of project design been conducive to project ❙❙ Extent to which necessary implementation arrangements were implementation and the identified in project design. achievement of results? ❙❙ Extent to which project design was informed by consultations with stakeholders and beneficiaries. ❙❙ Extent to which project implementation responded to changing circumstances. 6.4: How has the Bank ❙❙ Evidence of ongoing analysis of implementation challenges adapted its interventions and limitations to implementation challenges within the ❙❙ Share of projects utilizing innovative design approaches and country? instruments

❙❙ Share of projects addressing emerging development needs Country Strategy Evaluation 6.5: How well has the ❙❙ Share of projects which utilize co-financing Bank leveraged its ❙❙ Evidence of strategic engagement with partners to identify

financial resources within An IDEV the country through opportunities for co-financing mechanisms such as ❙❙ Evidence of strategic selection of projects as candidates for productive partnerships partnership and co-financing and co-financing? ❙❙ Share of funding from the ADB/ADF windows Judgment Criteria and Rationale Unlike other criteria, Quality at Entry will not be rated, in keeping with practice among other evaluations. The report will identify key strengths and weaknesses noted in this regard, with emphasis on how these issues have impacted the achievement of results. 94 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

7. Supervision and Results Based Management

Evaluation Question Indicators Data Sources 7.1: To what extent has the Bank's ❙❙ Extent to which projects have been ❙❙ CSP documents supervision of its interventions been supervised on an annual basis ❙❙ Government Development Strategies effective? ❙❙ Extent to which supervision has been ❙❙ Available literature supported by field offices ❙❙ Reviews of Quality at Entry ❙❙ Share of projects which underwent a mid-term review of progress ❙❙ Readiness Reviews ❙❙ Share of supervisions which have been ❙❙ Review of ESWs and knowledg products conducted in cooperation with other ❙❙ File review of project documents stakeholders. ❙❙ Interviews with Country Team, OG 7.2: How has the Bank used supervision ❙❙ Share of projects which identify and ❙❙ Stakeholders, partners and co-financers and results information to guide the respond to lessons learned management of its interventions? ❙❙ Evidence that supervision reports have been used to inform ongoing implementation 7.3: To what extent has the Bank ❙❙ Share of projects with an appropriate successfully implemented a performance results measurement framework, measurement strategy which focuses on including clear targets the achievement of outputs, outcomes ❙❙ Share of projects possessing and impacts? appropriate baseline data ❙❙ Evidence of regular data collection against established results indicators 7.4: To what extent has the Bank ❙❙ Evidence of identified implementation identified, monitored and addressed risks and mitigation measures potential implementation risks? ❙❙ Evidence of ongoing risk monitoring ❙❙ Use of risk monitoring information to inform project design and implementation Judgment Criteria and Rationale Unlike other criteria, Quality at Entry will not be rated, in keeping with practice among other evaluations. The report will identify key strengths and weaknesses noted in this regard, with emphasis on how these issues have impacted the achievement of results. Annexes 95

Annex D. Project Portfolio (2002-2015)

Long name Nat/Multi Window Status of Sector Year Net loan (UA) Project Name Approved LINE OF CREDIT TO CAL MERCHANT BANK National ADB CLSD Finance 2002 3,527,860 GHANA OIL PALM DEVELOPMENT COMPANY National ADB CLSD Agriculture 2002 5,708,803 RURAL ENTERPRISES PROJECT National ADF/ COMP Agriculture 2002 7,571,101 MDRF COMMUNITY FORESTRY MANAGEMENT PROJECT National c CLSD Agriculture 2002 7,653,240 AKATSI-DZODZE-NOEPE ROAD UPGRADING National ADF COMP Transport 2002 9,958,141 PROJECT TEMA-AFLAO ROAD REHABILITATION PROJECT National ADF COMP Transport 2002 12,384,096 HEALTH SERVICES REHABILITATION PROJECT III National ADF COMP Social 2002 16,938,577 (HSRP III) WAEMU/GHANA-ROAD PROGRAMME I Multina- ADF COMP Transport 2003 68,000,000 tional NERICA DISSEMINATION PROJECT - GHANA National ADF COMP Agriculture 2003 2,580,175 ROAD INFRASTRUCTURE PROJECT 2003 National ADF/ NTF COMP Transport 2003 15,043,562 DEVELOPMENT OF SENIOR SECONDARY National ADF/ CLSD Social 2003 24,380,074 EDUCATION PROJECT (EDUCATION MDRF POVERTY REDUCTION SUPPORT LOAN National ADF CLSD Govern- 2003 69,092,046 ance STATISTICAL CAPACITY BUILDING FOR Multina- ADF COMP Govern- 2004 14,750,000 INTERNATIONAL COMPARISON PROGRAMME tional ance (ICP)

INVASIVE AQUATIC WEEDS - GHANA National ADF COMP Agriculture 2004 1,367,843 Country Strategy Evaluation GHANA - CREATION OF SUSTAINABLE TSETSE National ADF COMP Agriculture 2004 6,639,395 ERADICATION PROGRAM

RURAL WATER AND SANITATION PROGRAMME National ADF COMP Water Sup/ 2004 9,818,540 An IDEV Sanit EXPORT MARKET AND QUALITY AWARENESS National ADF CLSD Agriculture 2005 14,994,377 PROGRAM URBAN POVERTY REDUCTION PROJECT National ADF COMP Social 2005 19,301,517 POVERTY REDUCTION SUPPORT LOAN II National ADF COMP Govern- 2005 43,983,522 ance AVIAN FLU EMERGENCY ASSISTANCE National ADB COMP Agriculture 2006 352,786 AFRAM PLAINS DISTRICT AGRICULTURAL National ADF COMP Agriculture 2006 19,133,396 DEVELOPMENT PROJECT ACCRA SEWERAGE IMPROVEMENT PROJECT National ADF OnGo Water Sup/ 2006 46,000,000 (ASIP) Sanit GHANA - TOGO - BENIN POWER INTERCONNECT Multina- ADF COMP Power 2007 14,870,000 tiona GENDER RESPONSIVE SKILLS & COMMUNITY National ADF COMP Social 2007 3,589,790 DEVELOPMENT PROJECT 96 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Long name Nat/Multi Window Status of Sector Year Net loan (UA) Project Name Approved POWER SYSTEM REINFORCEMENT PROJECT National ADF COMP Power 2007 27,600,000 NORTHERN RURAL GROWTH PROGRAM National ADF OnGo Agriculture 2007 40,000,000 SUPPLEMENTARY LOAN FOR LOT 2 OF GHANA National ADF COMP Transport 2008 4,275,661 SECTION OF UEMOA GH RP SUPPLEMENTARY LOAN FOR LOT 2 OF AKATSI National ADF COMP Transport 2008 10,527,843 AKANU ROAD (DZODZE-AK CAL BANK LOC II National ADB CLSD Finance 2008 10,583,579 SUPPLEMENTARY LOAN FOR LOT 2 OF TEMA National ADF COMP Transport 2008 24,249,323 AFLAO PROJECT (AGBOZUM POVERTY REDUCTION SUPPORT LOAN - PRSL National ADF COMP Govern- 2008 90,000,000 III ance IMPROVED SANITATION AND WATER SUPPLY National AWFF COMP Water 2009 1,582,314 SER Sup/Sanit COCOBOD National ADB CLSD Agriculture 2009 24,695,017 AWOSHIE-POKUASE ROAD PROJECT National ADF OnGo Transport 2009 53,590,000 DESIGN FOR RE-USE National AWFF COMP c 2010 398,177 REOPTIMIZATION STUDY OF AKOSOMBO &KP National AWFF COMP Water 2010 1,463,828 DAM Sup/Sanit KEMPINSKI HOTEL PROJECT National ADB OnGo Ind/Mini/ 2010 12,700,294 Quar FUFULSO-SAWLA ROAD PROJECT National ADF OnGo Transport 2010 109,720,000 ENGAGING LOCAL COMMUNITIES IN REDD+/ National SCF OnGo Agriculture 2011 176,393 ENHANCING CARBON STOCKS POVERTY REDUCTION AND BUSINESS National ADF COMP Govern- 2011 70,000,000 ENVIRONMENT SUPPORT PROGRAM ance GHANA INSTITUTIONAL SUPPORT PROGRAM National ADF OnGo Govern- 2012 9,590,000 TO OVERSIGHT AND PRIVATE ance TAKORADI II EXPANSION POWER PROJECT National ADB OnGo Power 2012 15,663,696 RURAL ENTERPRISES PROJECT III National ADF OnGo Agriculture 2012 49,690,000 DEVELOPMENT OF SKILLS FOR INDUSTRY National ADF OnGo Social 2012 70,000,000 PROJECT (DSIP) A BUSINESS APPROACH FOR IMPROVED National AWFF OnGo Water 2013 867,114 SANITATION IN GHANA – ORGAN Sup/Sanit UT BANK GHANA TRADE FINANCE LINE OF National ADB OnGo Finance 2013 14,111,438 CREDIT STATISTICAL CAPACITY BUILDING FOR Multina- ADF APVD Govern- 2014 10,000,000 MANAGING FOR DEVELOPMENT RESULTS tional ance (MFDR) GHANA MSME BUSINESS LINKAGE PROGRAM National FAPA OnGo Govern- 2014 705,572 ance ENGAGING LOCAL COMMUNITIES IN REDD+/ National ADF/ OnGo Agriculture 2014 10,079,326 ENHANCING CARBON STOCKS SCF Annexes 97

Long name Nat/Multi Window Status of Sector Year Net loan (UA) Project Name Approved ELECTRICITY DISTRIBUTION SYSTEM National ADF OnGo Power 2014 48,460,000 REINFORCEMENT AND EXTENSION UNIBANK TFLOC National ADB APVD Finance 2015 10,583,579 STANBIC BANK GHANA LIMITED National ADB APVD Finance 2015 35,883,966 PUBLIC FINANCIAL MANAGEMENT AND National ADF COMP Govern- 2015 40,000,000 PRIVATE SECTOR COMPETITIVENE ance GHANA AIRPORTS COMPANY LTD National ADB APVD Transport 2015 120,000,000 Country Strategy Evaluation An IDEV 98 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Annex E. Individual Project Ratings

Sector Project Site Relevance Effectiveness Efficiency Sustainability Project Comments (ratings less than satisfactory) Visit Alignment Alignment with Delivery Achievement of Project ERR Major Rating with CSP the needs of of Outcomes Timeliness Ratio risks and National beneficiaries Outputs Identified Priorities Agriculture Export Market and Quality Y S MS S MS HU 0.84 Ownership & MU ❙❙ Issues identified with the use of some assets implemented under the projects Awareness Project Partnerships which have not been used as intended to promote access to markets and increase / Financial exports. Sustaina- ❙❙ Some communities were not consulted in advance of the implementation of major bility works, resulting in legal challenges. ❙❙ Completion delays of 720 days. ❙❙ The evaluation team noted that failure to hand over assets to intended users resulted in disuse and degradation of assets. Restructuring of MoFA has made continued funding for maintenance uncertain. Maintenance is not currently covered within MMDA budgets. Some communities rejected planned interventions and resorted to litigation to stop project implementation. Afram Plains District Y S S S MS U 1.14 Ownership & MU ❙❙ Issues identified with the use of some assets implemented under the projects Agricultural Development Partnerships which have not been used as intended to promote access to markets and increase Program / Financial exports. Sustaina- ❙❙ Completion delays of 630 days. bility ❙❙ The evaluation team noted that failure to hand over assets to intended users resulted in disuse and degradation of assets. Restructuring of MoFA has made continued funding for maintenance uncertain. Maintenance is not currently covered within MMDA budgets Sustainable Tsetse Fly Y S S S S HS N/A Ownership & MU ❙❙ Inability to secure additional funds and address tsetse populations in cote d'ivoire Eradication Program Partnerships has resulted in the discontinuation of the project and the re-emergence of tsetse / Financial flies despite community efforts.discontinuation of the project and the re-emergence Sustaina- of tsetse flies despite community efforts. bility Ghana Oil Palm N S S MS MS U 0.498 N/A N/A ❙❙ Under-delivery of new plantations for smallholder farmers. Although out-grower Development Company schemes were meant to increase incomes, schemes were not completed and Expansion incomes were not tracked. Community Forestry N S S S S HU 1.7 N/A N/A ❙❙ Completion delays of 1170 days Management Northern Rural Growth N S S N/A N/A N/A N/A N/A N/A ❙❙ Project is ongoing. Program Finance First LOC to CAL Y MS MS S S S N/A Exogenous S ❙❙ Project does not align directly with CSP pillars but supports the creation of an and Merchant Bank Shocks enabling business environment. Project targets export creation, but not increased Industry access to finance for SMEs, as stated in National Development Plans. Sector ❙❙ Sustainability has been demonstrated through low levels of NPLs despite the macroeconomic crisis, credited to technical assistance provided to strengthen processes. Annexes 99

Development Company schemes were meant to increase incomes, schemes were not completed and An IDEV Expansion incomes were not tracked. Community Forestry N S S S S HU 1.7 N/A N/A ❙❙ Completion delays of 1170 days Management Northern Rural Growth N S S N/A N/A N/A N/A N/A N/A ❙❙ Project is ongoing. Program Finance First LOC to CAL Y MS MS S S S N/A Exogenous S ❙❙ Project does not align directly with CSP pillars but supports the creation of an and Merchant Bank Shocks enabling business environment. Project targets export creation, but not increased Industry access to finance for SMEs, as stated in National Development Plans. Sector ❙❙ Sustainability has been demonstrated through low levels of NPLs despite the macroeconomic crisis, credited to technical assistance provided to strengthen processes. 100 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Sector Project Site Relevance Effectiveness Efficiency Sustainability Project Comments (ratings less than satisfactory) Visit Alignment Alignment with Delivery Achievement of Project ERR Major Rating with CSP the needs of of Outcomes Timeliness Ratio risks and National beneficiaries Outputs Identified Priorities Kempinski Accra Hotel Y MS MS S MS U N/A Exogenous MS ❙❙ Project does not align with CSP pillars but partly reflects national development Shocks plans with respect to promotion of tourism. Potential development additionality was underestimated at appraisal. ❙❙ The Hotel has yet to meet financial targets as well as targets for room occupancy rates. ❙❙ Delays of over three years observed for completion of the Hotel. ❙❙ Kempinski faces unplanned competition from the Movenpick and Marriot Hotels due to late entry on the market, but has an added advantage from the quality of staff training and the ability to function as a luxury caterer. Second LOC to CAL N MS MS MU N/A N/A N/A Exogenous S ❙❙ Project is ongoing. Merchant Bank Shocks ❙❙ Project does not align directly with CSP pillars, but supports the creation of an enabling business environment. Project targets export creation, but not increased access to finance for SMEs, as stated in National Development Plans. ❙❙ The LOC has been dispersed to three companies out of a target of 30. ❙❙ Sustainability has been demonstrated through low levels of NPLs despite the macroeconomic crisis, credited to technical assistance provided to strengthen processes. Trade Finance LOC to N S S MU N/A N/A N/A Exogenous MU ❙❙ Project is ongoing. UT Bank Shocks / ❙ Institutional ❙ The LOC has been disbursed to 15 companies out of a target of 100. Capacity ❙❙ NPLS have risen as high as 35% due to the Macroeconomic crisis and institutional weaknesses for underwriting. Power Power Systems Y S S S S HU N/A Financial MS ❙❙ Completion delays of 1020 days observed due to time taken in addressing Sector Reinforcement and Sustaina- resettlement as a CP. Extension Project bility ❙❙ Financial sustainability of the sector is impacted by the lack of cost-reflective tariffs which pose financial challenges for VRA. GridCO does not face the same financial challenges, but the growing financial instability of the energy sector, coupled with the macroeconomic crisis, may impact the maintenance and sustainability of the project. Takoradi II Expansion Y S S S S U N/A Financial MU ❙❙ Completion delays of 586 days observed. Substantial completion delayed due to Project Sustaina- damage to the marine works caused by weather events. bility ❙❙ The financial situation of VRA (caused by lack of cost-reflective tariffs and collection issues) has already impacted the cash flow of the company in 2016 due to non- payments. Should the financial health of the energy sector worsen, it is likely that the project will be affected negatively. Ghana-Togo-Benin Power N S S S N/A HU N/A Financial N/A ❙❙ Although the works in Ghana are complete, the transmission line has not been Interconnect Sustain- electrified because works are still ongoing for components in Togo and Benin. ability / Partnerships Electricity Distribution N S S N/A N/A N/A N/A N/A N/A ❙❙ This project is ongoing and implementation has not started. Reinforcement and Extension Annexes 101

Sector Project Site Relevance Effectiveness Efficiency Sustainability Project Comments (ratings less than satisfactory) Visit Alignment Alignment with Delivery Achievement of Project ERR Major Rating with CSP the needs of of Outcomes Timeliness Ratio risks and National beneficiaries Outputs Identified Priorities Kempinski Accra Hotel Y MS MS S MS U N/A Exogenous MS ❙❙ Project does not align with CSP pillars but partly reflects national development Shocks plans with respect to promotion of tourism. Potential development additionality was underestimated at appraisal. ❙❙ The Hotel has yet to meet financial targets as well as targets for room occupancy rates. ❙❙ Delays of over three years observed for completion of the Hotel. ❙❙ Kempinski faces unplanned competition from the Movenpick and Marriot Hotels due to late entry on the market, but has an added advantage from the quality of staff training and the ability to function as a luxury caterer. Second LOC to CAL N MS MS MU N/A N/A N/A Exogenous S ❙❙ Project is ongoing. Merchant Bank Shocks ❙❙ Project does not align directly with CSP pillars, but supports the creation of an enabling business environment. Project targets export creation, but not increased access to finance for SMEs, as stated in National Development Plans. ❙❙ The LOC has been dispersed to three companies out of a target of 30. ❙❙ Sustainability has been demonstrated through low levels of NPLs despite the macroeconomic crisis, credited to technical assistance provided to strengthen processes. Trade Finance LOC to N S S MU N/A N/A N/A Exogenous MU ❙❙ Project is ongoing. UT Bank Shocks / ❙ Institutional ❙ The LOC has been disbursed to 15 companies out of a target of 100. Capacity ❙❙ NPLS have risen as high as 35% due to the Macroeconomic crisis and institutional weaknesses for underwriting. Power Power Systems Y S S S S HU N/A Financial MS ❙❙ Completion delays of 1020 days observed due to time taken in addressing Sector Reinforcement and Sustaina- resettlement as a CP. Country Strategy Evaluation Extension Project bility ❙❙ Financial sustainability of the sector is impacted by the lack of cost-reflective tariffs which pose financial challenges for VRA. GridCO does not face the same financial challenges, but the growing financial instability of the energy sector, coupled with An IDEV the macroeconomic crisis, may impact the maintenance and sustainability of the project. Takoradi II Expansion Y S S S S U N/A Financial MU ❙❙ Completion delays of 586 days observed. Substantial completion delayed due to Project Sustaina- damage to the marine works caused by weather events. bility ❙❙ The financial situation of VRA (caused by lack of cost-reflective tariffs and collection issues) has already impacted the cash flow of the company in 2016 due to non- payments. Should the financial health of the energy sector worsen, it is likely that the project will be affected negatively. Ghana-Togo-Benin Power N S S S N/A HU N/A Financial N/A ❙❙ Although the works in Ghana are complete, the transmission line has not been Interconnect Sustain- electrified because works are still ongoing for components in Togo and Benin. ability / Partnerships Electricity Distribution N S S N/A N/A N/A N/A N/A N/A ❙❙ This project is ongoing and implementation has not started. Reinforcement and Extension 102 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Sector Project Site Relevance Effectiveness Efficiency Sustainability Project Comments (ratings less than satisfactory) Visit Alignment Alignment with Delivery Achievement of Project ERR Major Rating with CSP the needs of of Outcomes Timeliness Ratio risks and National beneficiaries Outputs Identified Priorities Social Developing Senior Y MS MS MS MS HU N/A Technical MU ❙❙ The Project does not reflect the contemporary education sector focus on primary Sector Secondary Education Complexity education, nor the Bank's current emphasis on TVET and skills development. Some / Financial schools noted a lack of consultation such that works did not address their most Sustaina- pressing needs. bility ❙❙ Ongoing works were largely implemented as planned, but over-delivery of training and textbooks compensated for under-delivery of planned works. Five of six schools visited noted concerns with the quality of works which had left some structures unusable. A teachers' hotel at Saltpond was left incomplete. ❙❙ No data was available to assess the original project indicators and targets. However, some contribution has been made to increased enrolment and educational achievement based on site visits and stakeholder input. Increased achievement was credited to improved teaching facilities which allow for practical education and ICT labs. ❙❙ Completion delays of 1080 days observed. ❙❙ Sustainability issues were noted with regard to the quality of works implemented several structures were noted to be unusable or in need of major repairs. Furthermore, issues were noted with regard to maintenance sheds to facilitate minor repairs - some were unfinished or not equipped. Furthermore, schools reported a lack of reliable funds from the MoE for maintenance, relying on internal initiatives for major repairs.. Health Service Y S S MU U HU N/A Financial MU ❙❙ Although training was over-delivered, the hospital in Bekwai was left unfinished due Rehabilitation - III Sustaina- to lack of funds. The site is sitting unused, with containers of equipment out in the bility sun, degradation of works and landscaping and wildlife living within the structures. ❙❙ Failure to complete the hospital in Bekwai has resulted in negative impacts on the surrounding community. The existing hospital now serves a population 4-5x its intended capacity. Unlike the rest of the region, doctor to population ratio has worsened and the existing hospital now has difficulty accessing funds for basic repairs (including the sterilization machine) due to the "new hospital". ❙❙ Completion delays of 1530 days were observed sue to the need to establish the PIU as a CP. ❙❙ Aside from the degradation of the site at Bekwai, stakeholders at Tarkwa note that they have difficulty accessing funds for maintenance due to delayed released from the NHIS. As of December 2015, NHIS releases had only been disbursed up to May 2015. This situation has created financial difficulties for the hospital. Annexes 103

❙❙ Failure to complete the hospital in Bekwai has resulted in negative impacts on Country Strategy Evaluation the surrounding community. The existing hospital now serves a population 4-5x its intended capacity. Unlike the rest of the region, doctor to population ratio has

worsened and the existing hospital now has difficulty accessing funds for basic An IDEV repairs (including the sterilization machine) due to the "new hospital". ❙❙ Completion delays of 1530 days were observed sue to the need to establish the PIU as a CP. ❙❙ Aside from the degradation of the site at Bekwai, stakeholders at Tarkwa note that they have difficulty accessing funds for maintenance due to delayed released from the NHIS. As of December 2015, NHIS releases had only been disbursed up to May 2015. This situation has created financial difficulties for the hospital. 104 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Sector Project Site Relevance Effectiveness Efficiency Sustainability Project Comments (ratings less than satisfactory) Visit Alignment Alignment with Delivery Achievement of Project ERR Major Rating with CSP the needs of of Outcomes Timeliness Ratio risks and National beneficiaries Outputs Identified Priorities Social Urban Poverty Reduction Y S S MS MS MU N/A Financial MS ❙❙ Although most project outputs were delivered, some components were canceled Sector Project Sustain- due to project design complexity and short timelines. The nutritional component ability / was canceled whereas skills and business development training was abbreviated, Institutional reaching fewer beneficiaries than expected. Capacity ❙❙ Data were not available to assess most project outcomes and targets as originally framed. However the project was found to have contributed to increasing planning and revenue mobilization capacity among MMDAs, increase access to basic education, job creation and increased incomes. It was not possible to assess the achievement of project targets. ❙❙ The project was implemented with a delay of 360 days. Counterpart funding was noted as a particular source of delay, seen as unnecessary by project stakeholders and the GoG. ❙❙ Although originally planned, efforts to identify a maintenance fund for infrastructure were unsuccessful with maintenance funded mostly from the DACF disbursements, which are often late and unreliable. Furthermore, although MMDAs have maintained the participatory planning process implemented through the project, many Community Maintenance and Management Committees are no longer functional. Gender Responsive Skills N S S MU N/A N/A N/A N/A N/A ❙❙ Civil works to rehabilitate and equip 25 TVET Institutions were canceled due to allegations of fraud in the procurement process. These cancelations accounted for 42% of the ADF allocation for the project. Developing Skills for N S MS N/A N/A N/A N/A N/A N/A ❙❙ Project is still ongoing. Industry ❙❙ The trades identified are not necessarily linked to industries found to demonstrate skills gaps in the 2015 TVET study. Not clear how linkages with the private sector have been established. Govern- PRSL I Y S S MS MU MS N/A Ownership & MU ❙❙ Whereas progress was made toward the implementation of most reforms, ance Partnerships the Multi-donor Technical Assistance Fund was not established and capacity / Institutional development needs in MDAs were not assessed. This omission would have Capacity / an impact on the ability of the GoG to implement planned reforms for later Technical initiatives. Furthermore, implementation of BPEMS did not commence despite the delivery of an implementation plan. ❙❙ The second tranche was delayed by seven months. ❙❙ Throughout the PRSL Program, concerns were noted regarding the ownership of PFM reforms. Although ownership of reforms was strong at the Ministry of Finance, reforms were not well accepted among MDAs ❙❙ In the early stages of the Program, BPEMS was implemented as a means of controlling commitments. However, the system was technically complex, with some donors determining that GoG did not have the technical expertise necessary to implement the system, which was subsequently scrapped for GIFMIS. Annexes 105

/ Institutional development needs in MDAs were not assessed. This omission would have An IDEV Capacity / an impact on the ability of the GoG to implement planned reforms for later Technical initiatives. Furthermore, implementation of BPEMS did not commence despite the delivery of an implementation plan. ❙❙ The second tranche was delayed by seven months. ❙❙ Throughout the PRSL Program, concerns were noted regarding the ownership of PFM reforms. Although ownership of reforms was strong at the Ministry of Finance, reforms were not well accepted among MDAs ❙❙ In the early stages of the Program, BPEMS was implemented as a means of controlling commitments. However, the system was technically complex, with some donors determining that GoG did not have the technical expertise necessary to implement the system, which was subsequently scrapped for GIFMIS. 106 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Govern- PRSL III Y S S MS U MS N/A Ownership & U ❙❙ Delivery of outputs was estimated at 83.5%. No financial recovery plan or ance Partnerships framework were developed for the energy sector. Although the Decentralization / Institutional Policy and Framework were delivered and the Local Government Service was Capacity established, there was little implementation of the HR Policy and Framework or staffing of the LGS. Finally, reconciliation of the IPPD2 payroll system subsequent to the headcount exercise was delayed. ❙❙ Despite electricity tariff increases of 42% in 2009 and 97.8% in 2013 and implementation of a quarterly adjustment mechanism, tariffs have been unable to keep pace with depreciation of the cedi. In 2009, VRA required transfers of 200 million UD to cover debt servicing and other losses, whereas in 2012 VRA and ECG required USD 339 million in subsidies. ❙❙ Although the quantum of financial releases to MMDAs increased, predictability in terms of timing and quantum remained problematic. ❙❙ Increased access to women for resources, business opportunities and services was not evaluable due to a lack of systematic data collection as well as a lack of measurable indicators. ❙❙ Continued budget deviations and rising public sector wages were observed over the period with reductions in PEFA scores for commitment controls, and public sector wage administration. Payroll irregularities continued to arise despite implementation of the IPPD2. ❙❙ Delayed production of the final report by GoG delayed the second disbursement by nine months. ❙❙ No mechanisms were proposed to address institutional capacity gaps and ownership remained questionable regarding both energy sector reforms, payroll reforms and implementation of GIFMIS. Annexes 107

keep pace with depreciation of the cedi. In 2009, VRA required transfers of 200 Country Strategy Evaluation million UD to cover debt servicing and other losses, whereas in 2012 VRA and ECG required USD 339 million in subsidies.

❙❙ Although the quantum of financial releases to MMDAs increased, predictability in An IDEV terms of timing and quantum remained problematic. ❙❙ Increased access to women for resources, business opportunities and services was not evaluable due to a lack of systematic data collection as well as a lack of measurable indicators. ❙❙ Continued budget deviations and rising public sector wages were observed over the period with reductions in PEFA scores for commitment controls, and public sector wage administration. Payroll irregularities continued to arise despite implementation of the IPPD2. ❙❙ Delayed production of the final report by GoG delayed the second disbursement by nine months. ❙❙ No mechanisms were proposed to address institutional capacity gaps and ownership remained questionable regarding both energy sector reforms, payroll reforms and implementation of GIFMIS. 108 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Sector Project Site Relevance Effectiveness Efficiency Sustainability Project Comments (ratings less than satisfactory) Visit Alignment Alignment with Delivery Achievement of Project ERR Major Rating with CSP the needs of of Outcomes Timeliness Ratio risks and National beneficiaries Outputs Identified Priorities Govern- PRBESP Y S S MS MU HS N/A Ownership & U ❙❙ In total, 88% of outputs were estimated to be achieved. Discrepancies resulted ance Partnerships from inadequate coverage of GIFMIS and delayed implementation on the Treasury / Institutional Single Account as well as ongoing implementation of the Total Revenue Integrated Capacity Processing System. Furthermore, just 46% of implemented Audit Recommendation Implementation Committees were found to be functional. ❙❙ With respect to outcomes, limited progress was achieved over the period with respect to improving the business environment: time to register a business increased from12 to 14 days, whereas time to export rose from 37 to 42 days, despite overall improvement over the program period. ❙❙ With regard to PFM, new arrears and high levels of budget variance suggested that limited progress was achieved in improving budget credibility or strengthening commitment controls. ❙❙ Whereas an Institutional Support Program was implemented to build the capacities of certain private sector and accountability organizations, this ISP was not implemented until after the closure of the PRBESP. Other identified capacity constraints within MDAs and MMDAs, particularly for procurement and financial management, were not addressed. ❙❙ This project faced particular challenges with regard to ownership and partnerships. MDBS partners note that implementation of the PFM components was frustrated by the relaxation of commitment controls within two key MDAs. Furthermore, election-related overspending in 2012 and 2013 combined with systemic payroll irregularities contributed to large fiscal deficits. Subsequent to the PRBESP, the MDBS group disbanded with the GoG favoring bilateral agreements. Water Rural Water Supply and Y S S MS MU HU 1.35 Technical MU ❙❙ Whereas water supply infrastructure, training and community sensitization Supply Sanitation Program Complexity / were over-delivered, delivery of household sanitation infrastructure fell far and Financial below targets. Sanitation Sustaina- ❙❙ Targets were exceeded for improving access to water sources, targets for Sector bility sanitation fell below expectations. Issues were noted with respect to the / Institution- reliability of water supply infrastructure, with frequent break downs for water al Capacity pumps and long repair delays. ❙❙ Completion delays of 900 days were noted. ❙❙ Issues were noted regarding the availability of spare parts for maintenance. Furthermore, some communities have not established a pay as you fetch system to support maintenance, which also has not been integrated into the budgets of MMDAs. Community WATSAN Committees were found to have reduced in membership, with inefficiencies noted due to their voluntary nature. Improved Water Supply Y S S MS MU U N/A Technical MU ❙❙ Whereas demonstration centers and revolving funds were established to support and Sanitation Complexity the implementation of household technology, these funds were not accessed and / Ownership just 12 household units had been constructed at project completion. and Part- nerships ❙❙ Serious issues were noted with regard to the use of implemented infrastructure, including poor patronage of water points and non-functioning sanitation facilities. ❙❙ Completion delays of 615 days were noted. ❙❙ Sustainability of the initiative was threatened by a mismatch of the chosen technology and preferences of the beneficiaries. Furthermore, no plans had been established for the desludging of sanitation infrastructure. A lack of ownership was noted among MMDAs which allowed for closed facilities to be used instead of the new pay facilities for political purposes. Some facilities are no longer functional due to poor performance of management firms. Annexes 109

Supply Sanitation Program Complexity / were over-delivered, delivery of household sanitation infrastructure fell far Country Strategy Evaluation and Financial below targets. Sanitation Sustaina- ❙❙ Targets were exceeded for improving access to water sources, targets for Sector bility sanitation fell below expectations. Issues were noted with respect to the / Institution- reliability of water supply infrastructure, with frequent break downs for water An IDEV al Capacity pumps and long repair delays. ❙❙ Completion delays of 900 days were noted. ❙❙ Issues were noted regarding the availability of spare parts for maintenance. Furthermore, some communities have not established a pay as you fetch system to support maintenance, which also has not been integrated into the budgets of MMDAs. Community WATSAN Committees were found to have reduced in membership, with inefficiencies noted due to their voluntary nature. Improved Water Supply Y S S MS MU U N/A Technical MU ❙❙ Whereas demonstration centers and revolving funds were established to support and Sanitation Complexity the implementation of household technology, these funds were not accessed and / Ownership just 12 household units had been constructed at project completion. and Part- nerships ❙❙ Serious issues were noted with regard to the use of implemented infrastructure, including poor patronage of water points and non-functioning sanitation facilities. ❙❙ Completion delays of 615 days were noted. ❙❙ Sustainability of the initiative was threatened by a mismatch of the chosen technology and preferences of the beneficiaries. Furthermore, no plans had been established for the desludging of sanitation infrastructure. A lack of ownership was noted among MMDAs which allowed for closed facilities to be used instead of the new pay facilities for political purposes. Some facilities are no longer functional due to poor performance of management firms. 110 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Transport Tema-Aflao Road Project Y S S HS S HU N/A Institutional MS ❙❙ Completion delays of 2160 observed, due in part to delays in meeting first Sector Capacity / disbursement over arrears owed to contractors. Financial Sustaina- ❙❙ Absence of technical assistance to develop design and implementation bility capacity noted by stakeholders as a sector-wide problem. ❙❙ Furthermore, although the introduction of weigh stations have helped preserve the condition of the road, there is a sector-wide problem regarding the sufficiency of the Ghana Road Fund to cover required maintenance. Considering the macroeconomic context and the continued shortfall, there is a high likelihood that this issue will eventually impact the condition of works implemented by the Bank and therefore outcomes.

Akatsi-Dzodze-Noepe Y S S S S HU N/A Institutional MU ❙❙ Completion delays of 1800 observed. Capacity / ❙ Financial ❙ See sector-wide sustainability concerns, above. Sustaina- bility Road Infrastructure N S S U N/A HU N/A Institutional MU ❙❙ Planned works were downgraded due to implementation problems such that Project Capacity / only 9.3/41 planned km of works were implemented. Financial Sustaina- ❙❙ Completion delays of 1080 observed. bility ❙❙ See sector-wide sustainability concerns noted above. Absence of technical assistance was particularly relevant for the RIP. Works were downgraded due to the poor quality of supporting studies and the time required to address these concerns. As a result, work on the Agona Junction - Elubo Road section are just now underway. UEMOA (Ghana) Y S S S S HU N/A Institutional MU ❙❙ Completion delays of 1440 observed. Capacity / ❙ Financial ❙ See sector-wide sustainability concerns noted above. Sustaina- bility Annexes 111

Akatsi-Dzodze-Noepe Y S S S S HU N/A Institutional MU ❙❙ Completion delays of 1800 observed. Capacity / ❙ Financial ❙ See sector-wide sustainability concerns, above. Country Strategy Evaluation Sustaina- bility

Road Infrastructure N S S U N/A HU N/A Institutional MU ❙❙ Planned works were downgraded due to implementation problems such that An IDEV Project Capacity / only 9.3/41 planned km of works were implemented. Financial Sustaina- ❙❙ Completion delays of 1080 observed. bility ❙❙ See sector-wide sustainability concerns noted above. Absence of technical assistance was particularly relevant for the RIP. Works were downgraded due to the poor quality of supporting studies and the time required to address these concerns. As a result, work on the Agona Junction - Elubo Road section are just now underway. UEMOA (Ghana) Y S S S S HU N/A Institutional MU ❙❙ Completion delays of 1440 observed. Capacity / ❙ Financial ❙ See sector-wide sustainability concerns noted above. Sustaina- bility 112 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Fufulso-Sawla Road N S MS S S U N/A Institutional MS ❙❙ Although providing a needed benefit in connecting peri-urban communities to Project Capacity / major urban corridors, this project does not address sector-wide priorities such Financial as promoting regional integration. Sustaina- bility ❙❙ Completion delays of 359 days observed. ❙❙ See sector-wide sustainability concerns noted above. However, sustainability was promoted through the delivery of a wide range of ancillary works, including consultation with beneficiary communities. Maintenance for ancillary works has been integrated in the budgets of MMDAs.

Overall Sector Rating S S S S U NR Institutional MU Capacity / Financial Sustaina- bility Annexes 113

Overall Sector Rating S S S S U NR Institutional MU Capacity / Financial Sustaina- bility Country Strategy Evaluation An IDEV 114 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Annex F. — Sources of Evidence

Documents Reviewed

1. Abor, Joshua and Peter Quartey (2010) "Issues in SME Development in Ghana and South Africa," International Research Journal of Finance and Economics, Issue 39.

2. Adam, Yahaya (2012) "Bovine Trypanosomiasis in the Upper West Region of Ghana".

3. Adam, Yahaya (2014) "Evaluation of Risk Factors of Animal Trypanosomiasis in Ghana and the Monitoring of the Impact of Disease and Vector Eradication Interventions in the Upper West Region of Ghana".

4. African Centre for Economic Transformation (2015) "Skills Development for Economic Transformation in Ghana".

5. African Centre for Energy Policy (2016) "Commentary: Ghana's IMF Program - The Risk of Fiscal Consolidation without Strong Fiscal Rules".

6. African Development Bank Group (1997) "Bank Group Policy and Procedures for Supplementary Financing".

7. African Development Bank Group (1999a) "Education Sector Policy Paper".

8. African Development Bank Group (1999b) "Bank Group Policy on Good Governance".

9. African Development Bank Group (2001) "Tema-Aflao Road Rehabilitation Project (Akatsi-Aflao Section)".

10. African Development Bank Group (2002a) "Multi-national - Ghana-Togo: Proposal for an ADF Loan of UA 12.72 million to fund the Akatsi-Dzodze- Noepe Road Upgrading Project".

11. African Development Bank Group (2002b) "Multinational - Akatsi-Dzodze-Noepe Road Upgrading Project - Ghana".

12. African Development Bank Group (2002c) "Ghana: Proposal for an ADB Loan of Euro 7.14 Million to Finance the GOPDC Oil Palm Expansion Project".

13. African Development Bank Group (2002d) "Ghana: Proposal for an ADF Loan of UA 7.5 Million to Finance the Agri-based Enterprises Project".

14. African Development Bank Group (2002e) "Ghana: Proposal for an ADF Loan of UA 17.63 Million and a TAF Grant of UA 1 million to finance the Health Services Rehabilitation Project III".

15. African Development Bank Group (2003a) "Ghana: Proposal for an ADF Grant of UA 12.80 Million to Finance the RWSSI Rural Water Supply and Sanitation Program".

16. African Development Bank Group (2003b) "Ghana Country Strategy Paper 2002-2004".

17. African Development Bank Group (2003c) "Ghana Proposal for an ADF Loan of UA 18 million, a NTF Loan of UA 3 million and an ADF Grant of UA 0.80 million to fund the Road Infrastructure Project.".

18. African Development Bank Group (2003d) "Ghana: Poverty Reduction Support Loan - Appraisal Report".

19. African Development Bank Group (2003e) "Strategic Plan 2003-2007".

20. African Development Bank Group (2003f) "Ghana Road Infrastructure Project - Appraisal Report (Eastern and Western Regions)".

21. African Development Bank Group (2003g) "Project Appraisal Report - Road Programme 1 - UEMOA/Ghana Multinational Commission".

22. African Development Bank Group (2003h) "Development of Senior Secondary Education Project (Education - III) - Appraisal Report".

23. African Development Bank Group (2004a) "Bank Group Policy on Poverty Reduction".

24. African Development Bank Group (2004b) "Multinational Project - Creation of Sustainable Tsetse and Trypanosomiasis Free Areas in East and West Africa".

25. African Development Bank Group (2004c) "Multinational: Eradication of Tsetse and Trypanosomiasis in Sub-Saharan Africa - Summary of the ESIA Study in Sub-Saharan Africa".

26. African Development Bank Group (2005a) "Ghana Country Strategy Paper 2005-2009".

27. African Development Bank Group (2005b) "Ghana: Second Poverty Reduction Support Loan - Appraisal Report".

28. African Development Bank Group (2005c) "Urban Poverty Reduction Project - Appraisal Report". Annexes 115

29. African Development Bank Group (2005d) "Export Market and Quality Awareness Project - Appraisal Report".

30. African Development Bank Group (2005e) "Afram Plains District Agricultural Development Project - Final Feasibility Report - Volume II, Annex 1-11".

31. African Development Bank Group (2005f) "Afram Plains District Agricultural Development Project - Feasibility Report - Volume III, Annex 12-23".

32. African Development Bank Group (2006a) "Ghana: Proposal for an ADF Loan of UA 1997 Million to Finance the Afram Plains Agricultural Development Project".

33. African Development Bank Group (2006b) "Health Services Rehabilitation Project (HSR-III) Supervision Mission Aide Memoire (March 20-30)".

34. African Development Bank Group (2007a) "Ghana: Poverty Reduction Support Loan (GPRSL I) - Project Completion Report".

35. African Development Bank Group (2007b) "Ghana: Proposal for an ADF Loan of US 40 Million to Finance the Northern Rural Growth Programme".

36. African Development Bank Group (2007c) "Multinational: System D'echanges d'energieelectrique Ouest African-Proposition visant l'octroi d'un pret FAD de 32,260,000 US destine a financer le projet d'interconnection electrique Ghana-Togo-Benin".

37. African Development Bank Group (2007d) "Ghana: Proposal for an ADF Loan of US 27.60 Million to Finance the Energy Development and Access Program - Power System Reinforcement Project".

38. African Development Bank Group (2008a) "Ghana Multi-Donor Budget Support - Aide Memoire of the 2008 Annual Review".

39. African Development Bank Group (2008b) "PRSL II - Project Completion Report".

40. African Development Bank Group (2008c) "Ghana - Third Poverty Reduction Support Loan - Appraisal Report".

41. African Development Bank Group (2008d) "Medium-term Strategy 2008-2012".

42. African Development Bank Group (2008e) "Ghana: Board Memorandum - Supplementary Loans for Three (3) Ongoing Road Projects".

43. African Development Bank Group (2008f) "Ghana: Proposal for a USD 16 Million Senior Loan to Finance the Kempinski Accra Hotel".

44. African Development Bank Group (2008g) "Ghana: Proposal for an ADB Loan of USD 15 million for the Financing of a Line of Credit to CAL Merchant Bank Ltd".

45. African Development Bank Group (2009a) "Ghana Multi-Donor Budget Support - Aide Memoire of the 2009 Annual Review".

46. African Development Bank Group (2009b) "Ghana: CAL Bank Limited - Expanded Supervision Report".

47. African Development Bank Group (2009c) "Ghana Portfolio Performance Review Report".

48. African Development Bank Group (2009d) "Awoshi-Pokuase Road and Community Development Project - Appraisal Report".

49. African Development Bank Group (2009e) "Awoshie-Pokuase Road Project - Summary of the Resettlement Action Plan". Country Strategy Evaluation 50. African Development Bank Group (2009f) "Improved Sanitation, Water Supply and Hygiene Services Delivery to the Urban Poor in Ghana through Tripartite Partnerships - Appraisal Report".

51. African Development Bank Group (2009g) "Ghana - COCBOD (the Ghana Cocoa Board) - ADOA Rating". An IDEV

52. African Development Bank Group (2009h) "Ghana: Health Services Rehabilitation Project III: Loan No. 2100150006975 Funding Arrangement for Bekwai Hospital".

53. African Development Bank Group (2009i) "Ghana: Health Services Rehabilitation Project III: Loan No. 2100150006975 Funding Arrangement for Bekwai Hospital".

54. African Development Bank Group (2009j) "Supplementary Loan Agreement between the Republic of Ghana and the African Development Fund: Tema-Aflao Rehabilitation Road Project".

55. African Development Bank Group (2010a) "Ghana: Community Forestry Management Project - Project Completion Report".

56. African Development Bank Group (2010b) "Ghana: GOPDC Oil Palm Expansion Project - Expanded Supervision Report".

57. African Development Bank Group (2010c) "Ghana: Proposal to Award an ADF Grant of UA to Finance the Fufulso-Sawla Road Project".

58. African Development Bank Group (2010d) "Ghana: 2010 Update of the 2005-2009 Country Strategy Paper and Request to Extend Validity to 2011".

59. African Development Bank Group (2010e) "Request to Front-Load the Second Tranche of the Third Poverty Reduction Support Loan".

60. African Development Bank Group (2010f) "Ghana: Proposal for an Increase of the Loan Previously Approved in Favor of the Kempinski Accra Hotel Project from USD 16 million to USD 18 million and modification of the financing terms - ADOA Rating". 116 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

61. African Development Bank Group (2010g) "Developing Senior Secondary Education Project - Supervision Mission Aid Memoire (August 2010)".

62. African Development Bank Group (2010h) "Project Appraisal Report: Fufulso-Sawla Road Project - Ghana".

63. African Development Bank Group (2011a) "Regional Integration Strategy Paper for West Africa 2011-2015".

64. African Development Bank Group (2011b) "Ghana: Poverty Reduction and Business Environment Support Program - Appraisal Report".

65. African Development Bank Group (2012a) "Border Posts, Checkpoints and Intra-African Trade: Challenges and Solutions".

66. African Development Bank Group (2012b) "Multinational: Project for the Creation of Sustainable Tsetse and Trypanosomiasis Free Areas in East and West Africa - Ghana Component Project Completion Report".

67. African Development Bank Group (2012c) "Development of Senior Secondary Education - Education III - Project Completion Report".

68. African Development Bank Group (2012d) "Urban Poverty Reduction Project - Project Completion Report".

69. African Development Bank Group (2012e) "Ghana Country Strategy Paper 2012-2016".

70. African Development Bank Group (2012f) "Ghana: Institutional Support Project to Oversight and Private Sector Development Institutions (GISP) - Project Appraisal Report".

71. African Development Bank Group (2012g) "Ghana Rural Enterprises Programme III - Appraisal Report".

72. African Development Bank Group (2012h) "Aide Memoire to the 2012 Annual Review - MDBS".

73. African Development Bank Group (2012i) "Ghana: Development of Senior Secondary Education Project - BTOR for Project Completion Mission".

74. African Development Bank Group (2012j) "Ghana: Development of Skills for Industry Project (DISP) - Appraisal Report".

75. African Development Bank Group (2012k) "Ghana: Takoradi ii Power Extension Project - Senior Loan Not Exceeding USD 60 Million".

76. African Development Bank Group (2012l) "Ghana: Takoradi II Power Expansion Project - ADOA Summary".

77. African Development Bank Group (2012m) "Ghana: Health Services Rehabilitation Project - III - Loan No. 2100150006975 and Grant No. 2100155001868 - Follow up actions for June 2012 Supervision Mission".

78. African Development Bank Group (2012n) "Revised Guidelines on Cancellation of approved Loans, Grants and Guarantees".

79. African Development Bank Group (2012o) "Letter to the Government of Ghana - Health Services Rehabilitation Project III - Supervision Mission (13-18 June)".

80. African Development Bank Group (2012p) Health Services Rehabilitation Project - III Aide Memoire Supervision Mission December 2011".

81. African Development Bank Group (2012q) "Project Completion Report - Health Services Rehabilitation Project (HSR-III)".

82. African Development Bank Group (2012r) "Health Services Rehabilitation Project - III Aide Memoire Supervision Mission, August 2012".

83. African Development Bank Group (2012s) " Ghana: Gender responsive Skills and Community Development Project - Mid Term Review Mission".

84. African Development Bank Group (2013a) "Ghana - Third Poverty Reduction Support Loan (PRSL -III) Project Completion Report".

85. African Development Bank Group (2013b) "Gender Responsive Skills and Community Development Project - Supervision Mission 21-31 October 2013".

86. African Development Bank Group (2013c) "Ghana Rural Water Supply and Sanitation Program - Project Completion Report".

87. African Development Bank Group (2013d) "Accra Sewerage Improvement Project Mid-term Review Mission - Aide Memoire".

88. African Development Bank Group (2013e) "Aide Memoire of the 2013 Annual Review, Accra, June 2013".

89. African Development Bank Group (2013f) "Ghana: Poverty Reduction and Business Environment Support Program - Project Completion Report".

90. African Development Bank Group (2013g) "Ten Year Strategy for the African Development Bank Group".

91. African Development Bank Group (2013h) "Project Appraisal Report - UTB Ghana Trade Finance Line of Credit".

92. African Development Bank Group (2014a) "The Bank's Human Resource Capital Strategy for Africa".

93. African Development Bank Group (2014b) "Back to Office Report - CAL Bank Ltd".

94. African Development Bank Group (2014c) "Afram Plains District Agricultural Development Project - Project Completion Report".

95. African Development Bank Group (2014d) "Project Completion Report - Improved Sanitation, Water Supply and Hygiene Services Delivery to the Urban Poor in Ghana through Tripartite Partnerships".

96. African Development Bank Group (2014e) "BTOR: Kempinski Hotel Project Supervision Mission (25/04/2014)". Annexes 117

97. African Development Bank Group (2014f) "(DRAFT) Project Completion Report - UEMOA Road Programme 1 - (Corridor Bamako-Ougadougou- Accra)".

98. African Development Bank Group (2014h) "Second Line of Credit to CAL Merchant Bank - Supervision Report BTOR".

99. African Development Bank Group (2014i) "Developing Science Technology and Innovation: The Case of Ghana".

100. African Development Bank Group (2014j) "Ghana: Electricity Distribution System Reinforcement and Extension - Appraisal Report".

101. African Development Bank Group (2014k) Back to Office Report: Kempinski Hotel Project - Supervision Mission (24-25/04/2014).

102. African Development Bank Group (2015a) "Project Status Report - CAL Bank Limited".

103. African Development Bank Group (2015b) "Ghana: Combined Mid-term Review Country Strategy Paper 2012-2016 and Country Portfolio Performance Review 2014".

104. African Development Bank Group (2015c) "Inter-Office Memorandum - UT Bank Trade Finance LOC".

105. African Development Bank Group (2015d) "Kempinski Accra Hotel - Risk Based Supervision BTOR".

106. African Development Bank Group (2015e) "Trade Finance LOC to UT Bank - Project Status Report".

107. African Development Bank Group (2015f) "Ghana - Ghana Airports Company Ltd. (GACL) - Loan of USD 120 million".

108. African Development Bank Group (2015g) "Ghana Airports Company Ltd. (GACL) - Capital Investment Program- Corporate Loan of USD 120 Million - ADOA Rating".

109. African Development Bank Group (2015h) "Kempinski Accra Hotel Project - Rescheduling of Principal Repayment".

110. African Development Bank Group (2016a) "Kempinski Accra Hotel - Risk Based Supervision May 2016".

111. African Development Bank Group (2016b) "Back to Officer Report - UT Bank Ltd".

112. African Development Bank Group (2016c) "(Draft) Project Completion Report - Power System Reinforcement Project".

113. African Development Bank Group (2016d) "Risk Based Supervision BTOR - Takoradi ii Expansion Project".

114. African Development Bank Group, DANIDA, SiDA (2012) "Evaluation of Public Financial Management Reform in Ghana (2001-2010) - Final Country Case Study Report".

115. Alatinga, K and Williams, JJ (2015) "Towards Universal Health Coverage: Exploring the Determinants of Household Enrolment into National Health Insurance in the Kassena Nankana District, Ghana," Journal of Development Studies, Volume 12, 88-102.

116. Asare, Andy Ohemeng (2014) "Challenges Affecting SMEs' Growth in Ghana," OIDA International Journal of Sustainable Development, 07:06. Country Strategy Evaluation 117. Bank of Ghana (2005) "The effect of HIPC debt relief on external debt repayments" https://www.bog.gov.gh/privatecontent/Research/Sector%20 Studies/HIPC%20Paper2005%20final-main.pdf.

118. Bekwai Municipal Assembly (2009) "Annual Progress Report - Bekwai Municipality". An IDEV 119. Bugbilla, D and Asamoah, E.O. (2016) "An Analysis of Trade Facilitation at the Ports and Borders of Ghana: Implications on the Mobilization of Government Revenue," International Journal of Business and Social Science, 7,3.

120. DfID, World Bank, KfW (2006) "Ghana - Public Financial Management Performance Report and Performance Indicators Vol II - 2006 External Review of PfM".

121. Ecorys (2010) "Republic of Ghana Public Expenditure and Financial Accountability 2009. Public Financial Management Performance Assessment Report".

122. Ecorys (2013) "Ghana: Public Expenditure & Financial Accountability (PEFA) Performance Review. Final Report".

123. Eshun, M.E. and "Amoako-Tuffour, J" (2016) "A Review of the Trends in Ghana's Power Sector," Energy, Sustainability and Society, 6:9.Frederick, D. and Selase, A. (2014) "The Effect of Electric Power Fluctuations on the Profitability and Competitiveness of SMEs: A Study of SMEs within the Accra Business District of Ghana," Journal of Competitiveness, 6:3.

124. Food And Agriculture Organization (2014) "Public Sector Support for Inclusive Agribusiness Development - An Appraisal of Institutional Models in Ghana"

125. General Electric (2015) "Reports - Sub-Saharan Africa: Tackling Ghana's Skill Shortage Head On".

126. Government of Ghana (2003) "Ghana Poverty Reduction Strategy (2003-2005)".

127. Ghana Audit Service (2014) "Medium-Term Expenditure Framework (MTEF) for 2014-2016 - Program Based Budget Estimates".

128. Ghana Audit Service (2015) "Medium-Term Expenditure Framework (MTEF) for 2015-2017 - Program Based Budget Estimates". 118 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

129. Ghana Audit Service (2016) "Medium-Term Expenditure Framework (MTEF) for 2016-2018 - Program Based Budget Estimates".

130. Ghana Community Water Services Association (2011) "Community Water and Sanitation Agency Regulations".

131. Ghana Energy Commission (2016) "2016 Energy Outlook for Ghana"

132. Ghana Health Service (2005) "Hospital Standard".

133. Ghana Health Service (2006a) "2006 Ashanti Region Report".

134. Ghana Health Service (2006b) "Ghana Health Service Western Region Annual Report 2005".

135. Ghana Health Service (2010) "The Health Sector in Ghana - Facts and Figures".

136. Ghana Health Service (2015) "2014 Annual Report".

137. Ghana Highway Authority (2013a) "Project Completion Report - Reconstruction of the Akatsi-Dzodze-Akane Trunk Road (Lot 2)".

138. Ghana Highway Authority (2013b) "Rehabilitation of the Akatsi-Aflao Road Project (Lot 1)".

139. Ghana Highway Authority (2014) "Project Completion Report - Rehabilitation of the Techiman-Kimtampo Trunk Road".

140. Ghana Highway Authority (2015a) "Taking Over (Substantial Completion) Report - Lot 1 Fufulso -Larabanga".

141. Ghana Highway Authority (2015b) "Taking Over (Substantial Completion Report - Lot 2 Larabanga - Sawla.

142. Ghana Ministry of Education (2016) "Ghana Education Sector - Performance Report 2015".

143. Ghana Ministry of Energy and Petroleum (2014) "Ghana Energy Development Access Project - Third Quarter Report".

144. Ghana Ministry of Food and Agriculture (2007) "Food and Agriculture Development Policy (FASDEP II).

145. Ghana Ministry of Food and Agriculture (2010a) "Medium-Term Agriculture Sector Investment Plan (METASIP)".

146. Ghana Ministry of Food and Agriculture (2010b) "MTR of the Fishery Component of APDADP".

147. Ghana Ministry of Food and Agriculture (2010c) "MTR of the APDADP - Mission Aide Memoire".

148. Ghana Ministry of Food and Agriculture (2014a) "Ghana: Project Completion Report for Export Marketing and Quality Awareness Project".

149. Ghana Ministry of Food and Agriculture (2014b) "Impact Assessment of the Afram Plains District Agricultural Development Project - Final Report".

150. Ghana Ministry of Gender, Children and Social Protection (2013) "Gender Responsive Skills and Community Development Project - Project Completion Report".

151. Ghana Ministry of Health (2012) "Health Services Rehabilitation Project - III Quarterly Progress Report 29".

152. Ghana Ministry of Local Government and Rural Development (2012) "Key Inputs for the Preparation of the UPRP Project Completion Report".

153. Ghana Ministry of Local Government and Rural Development (2014) "Bekwai Municipal Assembly - Annual Composite Progress Report 2014".

154. Ghana Ministry of Roads and Highways (2009) "Sector Medium Term Development Plan (SMTDP) 2010-2013".

155. Ghana Ministry of Roads and Highways (2014) "(Draft) Sector Medium-Term Development Plan".

156. Ghana Ministry of Roads and Highways (2015a) "Ghana Road Fund Board - Brief on the State of The Ghana Road Fund - 7th December 2015".

157. Ghana Ministry of Roads and Highways (2015b) "Request for Increment to the Road Fund Component of the Levy on Petroleum Products".

158. Ghana Ministry of Water Resource Works and Housing (2014) "Water Sector Strategic Development Plan (2012-2015)".

159. Ghana Ministry of Roads and Transport (2015) "2011-2015 Transport Sector Review Report".

160. Ghana National Development Planning Commission (2005) "Second Growth and Poverty Reduction Strategy - GPRS II (2006-2009)".

161. Ghana National Development Planning Commission (2009) "Implementation of the Ghana Poverty Reduction Strategy II (2006-2009) - 2008 Annual Progress Report".

162. Ghana National Development Planning Commission (2010) "Ghana Shared Growth and Development Agenda (2010-2013)".

163. Ghana National Development Planning Commission (2012) "The Implementation of the Ghana Shared Growth and Development Agenda (2010- 2013) Annual Progress Report 2011".

164. Ghana National Development Planning Commission (2013) "The Implementation of the Ghana Shared Growth and Development Agenda (2010- 2013) Annual Progress Report 2012".

165. Ghana National Development Planning Commission (2014) "The Implementation of the Ghana Shared Growth and Development Agenda (2010- Annexes 119

2013) Annual Progress Report 2013".

166. Ghana National Development Planning Commission (2014) "Ghana Shared Growth and Development Agenda II (2014-2017)".

167. Ghana Statistical Service (2004) "Ghana Demographic and Health Survey 2003".

168. Ghana Statistical Service (2013) "2010 Population and Housing Census".

169. Ghana Statistical Service (2014a) "Ghana Living Standards Survey Round 6 (GLSS6) - Poverty Profile in Ghana 2005-2013".

170. Ghana Statistical Service (2014b) "Digest of International Merchandise Trade Statistics (2009-2013)".

171. Ghana Statistical Service (2014c) "Ghana Living Standards Survey 6 - Main Report".

172. Ghana Statistical Service (2015) "Ghana Demographic and Health Survey - 2014".

173. Ghana Statistical Service (2016) "Digest of International Merchandise Trade Statistics (2011-2015)".

174. Human Africa Trypanosomiasis Team (2008) "Final Report Screening for HAT in the Upper West Region of Ghana".

175. International Monetary Fund (2001) "Enhanced Highly Indebted Poor Countries (HIPC) Initiative - Preliminary Document".

176. International Monetary Fund (2002) "Ghana - Enhanced Structural Adjustment Facility Economic and Financial Policy Framework Paper 1998- 2000".

177. International Monetary Fund (2015a) "Request for a Three Year Arrangement under the Extended Credit Facility - Debt Sustainability Analysis".

178. International Monetary Fund (2015b) "Request for a Three Year Arrangement under the Extended Credit Facility".

179. International Monetary Fund (2015c) "Press Release: IMF Approves US $918 Million Extended Credit Facility Arrangement to help Ghana Boost Growth, Jobs and Stability.

180. International Monetary Fund (2015d) "First Review Under the Extended Credit Facility Arrangement and Request for Waiver for Non-Observance of Performance Criterion".

181. IMF (2015e) "Press Release: IMF Approves US $918 Million Extended Credit Facility Arrangement to Help Ghana Boost Growth, Jobs and Stability".

182. International Monetary Fund (2016a) "Second Review Under the Extended Credit Facility Arrangement and Request for Waiver for Non-Observance of Performance Criterion - Debt Sustainability Analysis".

183. International Monetary Fund (2016b) "Second Review Under the Extended Credit Facility Arrangement and Request for Waiver for Non-Observance of Performance Criterion".

184. International Monetary Fund (2016c) "Third Review Under the Extended Credit Facility Arrangement and Request for a Waiver for Non-observance

of Performance Criteria and Modification of Performance Criteria. Country Strategy Evaluation

185. International Monetary Fund (2016d) "IMF Fact Sheet: Debt Relief Under the HIPC Initiative" http://www.imf.org/en/About/Factsheets/ Sheets/2016/08/01/16/11/Debt-Relief-Under-the-Heavily-Indebted-Poor-Countries-Initiative.

186. Jedwab, R and Osei, R (2002) "Structural Change in Ghana 1960 to 2010". An IDEV

187. Kavalsky and Hartman (2010) "Poverty Reduction Support Credits: Ghana Country Study, IEG Working Paper".

188. Kempinski Accra Hotel (2016) "Quarterly Report of Operations - Year 2016 Q2".

189. MASDAR (2014) "Impact Assessment of the Afram Plains District Agricultural Development Project".

190. Nyarko, Dwumfour-Asare, Moriarty, Appiah-Effah and Obu Obuobisa-Darko (2011) "Functionality of Rural Water Point Systems".

191. ODI (2007) "Joint Evaluation of Multi-Donor Budget Support to Ghana - Report to the Government of Ghana and to the MDBS Partners".

192. OECD (2011) "Progress in implementing the Paris Declaration - Ghana Chapter".

193. OECD (2012) "Evaluation of Public Financial Management Reform - Burkina Faso, Ghana and Malawi (2001-2010) Final Synthesis Report".

194. Okuru, M. and Armah-Attoh, D. (2015) "Afrobarometer: Ghana's Decentralization: Locally Centralized Decision Making ill Serves its Public," No 23, April.

195. Oxfam (2013) "Health for All: Towards Free Universal Health Care in Ghana - End of Campaign Evaluation Report".

196. PATTEC (2015) "Tse tse Control Impact Assessment: Target Replacement and Life-Baiting Field Surveys".

197. Price Waterhouse Coopers (2013) "2013 Ghana Banking Survey - Harnessing the SME Potential".

198. Public Utilities Regulatory Commission (2013) "Major Tariff Review, October 2013".

199. Public Utilities Regulatory Commission (2014a) "Publication of Electricity Tariffs - February 2014". 120 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

200. Public Utilities Regulatory Commission (2014b) "Publication of Electricity Tariffs - June 2014".

201. Public Utilities Regulatory Commission (2014c) "Publication of Electricity Tariffs - July 2014".

202. Public Utilities Regulatory Commission (2014d) "Publication of Electricity Tariffs - October 2014".

203. Public Utilities Regulatory Commission (2015a) "Publication of Electricity Tariffs - April-June 2015".

204. Public Utilities Regulatory Commission (2015b) "Publication of Electricity Tariffs - July-September 2015".

205. Public Utilities Regulatory Commission (2015c) "Major Tariff Review - December 2015".

206. Public Utilities Regulatory Commission (2016a) "Publication of Electricity Tariffs - June 2016".

207. Public Utilities Regulatory Commission (2016b) "Publication of Electricity Tariffs - August 2016".

208. Takoradi International Company (2016) "T2 Expansion Project - 2015 Annual Environmental and Social Monitoring Report".

209. Takoradi International Company (2016a) "Quarterly Operations Report - Quarter Ended March 31, 2016".

210. Takoradi International Company (2016b) "Quarterly Operations Report - Quarter Ended June 30, 2016".

211. Tarkwa-Nsuaem Municipal Assembly (2015) "Medium Term Development Plan (2014-2017)".

212. TRANSTEC (2015) "Ghana National TVET Strategic Plan (2015-2025)".

213. UNESCO (2012) "Youth and Skills: Putting Education to Work - Report on Skills Gaps".

214. United Nations Development Programme (2015) "Ghana Millennium Development Goals - 2015 Report".

215. USAID (2008) "Ghana - Assessment of the Trade and Investment Program for Competitive Export".

216. USAID (2014) "Power Africa - Investment Brief for the Electricity Sector in Ghana".

217. USAID (2014b) "Memorandum of Understanding between the Government of Ghana and the Government of the United States of America Regarding Power Africa".

218. UT Bank (2015) "2015 Half-Year Investor Presentation".

219. World Bank (2011) "Horticultural Exports from Ghana - A Strategic Study, Agriculture and Rural Development and Africa Region".

220. World Bank Group (2013) "Doing Business 2013 - Smarter Regulations for Small and Medium-Sized Enterprises - Ghana Economy Profile".

221. World Bank Group (2015) "Doing Business 2015 - Going Beyond Efficiency - Economy Profile Ghana".

222. World Bank Group (2016) "Doing Business 2016 - Measuring Regulatory Quality and Efficiency - Economy Profile for Ghana".

223. World Bank Group (2017) "Doing Business 2017 - Equal Opportunity for All - Ghana Economy Profile".

224. World Economic Forum (2016)"The Global Competitiveness Report 2015-2016 - Ghana Country Profile," http://reports.weforum.org/global- competitiveness-report-2015-2016/.

225. World Economic Forum (2016b) "The Global Competitiveness Report 2015-2016".

226. World Health Organization (2015) "WHO Country Office for Ghana - Annual Report 2014

Databases Consulted

❙❙ World Development Indicators (WDI).

❙❙ Observatory of Economic Complexity (OEC).

❙❙ World Integrated Trade Solution (WITS).

❙❙ DACF Quarterly Press Releases.

❙❙ World Bank Doing Business. Annexes 121

Stakeholders Consulted

Organization Number of Interviewees African Development Bank Group Ghana Field Office and HQ Staff 15 Government of Ghana District Assemblies Common Fund Secretariat 3 Ministry of Gender, Children and Social Protection 3 Ministry of Local Government and Rural Development 1 National Development Planning Commission 4 National Board of Small Scale Enterprises 2 Ministry of Finance and Economic Planning 3 Public Procurement Authority 1 Ghana Audit Service 1 Ministry of Energy 1 Ministry of Education 4 Ministry of Education 1 Electricity Company of Ghana 3 Ministry of Health 5 Internal Audit Agency 4 Volta River Authority 3 Ministry of Roads and Highways 1 Ghana Road Fund Secretariat 2

Ministry of Labor and Employment 1 Country Strategy Evaluation Council for Technical and Vocational Education and Training 1 Databases Consulted An IDEV 122 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

StakeholdersOrganization Consulted Number of Interviewees National Technical and Vocational Institute 7 Ministry of Agriculture and Food 5 Project PIU - Tse Tse Fly Project 2 Ministry of Agriculture - South Tongu Directorate 3 Ministry of Agriculture - Keta Directorate 2 Ministry of Agriculture - Nsawam Directorate 3 Ministry of Agriculture - Afram Directorate 3 Ghana Standards Authority 3 Ghana Export Promotion Agency 3 Community Water Services Association 5 District Assemblies Kwabre 3 Atwima Nwabiagya 4 Atwima Mponua 2 Sekyere South 4 Accra Metro 5

Agona Swedru 2 Apam 16 Ho 6 Kasoa 8 Kumasi 7 New Juaben 6 Sekondi-Takoradi 3 Tema 5 Tema 2 Kwahu Afram Plains South 3 Bekwai 3 West Gonja 1 Central Gonja 1 Sawla-Tuna-Kalba 1 Akatsi 1 Aflao 2 Annexes 123

Organization Number of Interviewees Development Partners IMF 1 KfW 2 DfID 1 USAID 1 EU 1 World Bank 5 Canada 3 UNICEF 2 Civil Society and Private Sector Ghana Stock Exchange 1 Pentax Management Consultancy 1 Social Investment Fund 13 Private Enterprise Foundation 1 TICO 3 Federation of Associations of Ghanaian Exporters 1 COCOBOD 2 Afram Plains Development Organization 1 Vegetable Producers and Exporters of Ghana 2 Kempinski Accra Hotel 1 Zakhem Construction UK 2 CAL Merchant Bank 4

UT Bank 2 Country Strategy Evaluation An IDEV 124 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Organization Number of Interviewees Other Beneficiary Groups Apesika Cooperative and Pineapple Marketing Society 6 Fotobo Pineapple and Marketing Society 1 South Tongu Cooperative Mango Farmers 7 Loloya Fishing Group 15 Atiwulame Vegetable Farmers Association 25 Alvany Gameli Women's Group 25 Anloga Agricultural Inputs Retailers and Processors 2 Vakpo Pack House and Demonstration Centre 1 Wawse Cattle Owners Association 3 Agona Nyakrom Senior High School 1 Bompata Presbyterian Senior High School 2 Tema Senior Secondary School 3 Nkwawkaw Senior High School 1 Peki Senior High School 4 Bole Senior High School 3 Tarkwa Municipal Hospital 2 Bekwai District Hospital 3 Damongo Community Hospital 1 Nasoyiri Health Centre 1 Jonokponto Primary School 1 Fufulso Health Centre 1 Annexes 125

Annex G. — Additional Tables and Figures

Figure A1: Alignment of Bank CSPs with National Development Strategies

Bank Strategy National Development Strategies

2002-2004 Country Strategy Paper 2002 Strategic Objective Ghana Poverty Reduction Strategy (GPRS) 2003-2005

Poverty reduction and Sustainable development Strategic Objective Areas of Emphasis 2003 To ensure sustainable equitable growth, ❙❙PBO: Maintain Sound Macroeconomic Framework, accelerated poverty reduction and the protection Structural reforms, and governance; of the vulnerable and excluded within a decentralized, democratic environment. ❙❙Agriculture and rural development; 2004 Areas of emphasis ❙❙Basic infrastructure development (esp. roads, water and sanitation), also energy; ❙❙Infrastructure development; ❙❙Social sector (education and health); ❙❙Modernised agriculture based on rural ❙❙Private sector development. development; 2005 ❙❙Enhanced social services with emphasis on 2005-2009 Country Strategy Paper health and education;

Strategic Objective ❙❙Good governance; Poverty reduction through growth 2006 ❙❙Private sector development. Areas of Emphasis GPRS II 2006-2009 ❙❙Improvement of the investment environment: Country Strategy Evaluation Strategic Objective ❙❙expand road network, enhance power, water and 2007 telecommunications infrastructure, institutional To attain middle income status by 2015 within An IDEV reform in the agricultural sector; a decentralized, democratic environment, complemented with sustained poverty reduction. ❙❙Promotion of pro-poor and gender equitable policies: Areas of Emphasis ❙❙access to health and education services. 2008 ❙❙Growth-inducing policies and programmers: ❙❙Continued macroeconomic stability; ❙❙Accelerated private sector-led growth (develop 2009 private sector, diversify export base and increase agricultural productivity and rural incomes); ❙❙Human resource development; ❙❙Good governance and civic responsibilitty. 126 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

2005-2009 Country Strategy extension 2010-2011 2010 Ghana Shared Growth and Development Agenda Strategic Objective (GSGDA) 2010-2013

See above Strategic Objective Areas of Emphasis 2011 Poverty reduction through shared economic ❙❙See above growth, employment creation, attainment of the MDGs and social protection. 2012-2016 Country Strategy paper Areas of emphasis 2012 Strategic Objective ❙❙Ensuring and sustaining macroeconomic stability; Inclusive growth with job creation ❙❙Enhanced private sector competitiveness; Areas of Emphasis ❙❙Accelerated agricultural modernisation and natural resource management; ❙❙Improved productivity of Ghanaian businesses 2013 through development of energy and road ❙❙Oil and gas development; infrastructure, as well as development of skills and ❙❙Infrastructure, energy and human settlements dev.; technology; ❙❙Human development, employment & productivity; 2014 ❙❙Transparent and accountable governance. ❙❙Improved business environment through GSGDA-II 2014-2017 strengthening of key economic policy orriented and oversight institutions. 2015 Strategic Objective To leverage Ghana's natural resource endowments, agricultural potential and the human resource base for accelerated economic growth and job creation through value addition, especially manufacturing. 2016 Areas of Emphasis ❙❙See GSGDA 2010-2013

Table A1: Planned and Delivered Knowledge Work

CSP Planned ESW Delivered ESW 2002-2004 None None 2005-2011 ❙❙ Country Gender Profile ❙❙ Ghana Country Gender Profile ❙❙ Social Sector Expenditure Review ❙❙ PEFA Report (2006) ❙❙ Governance Profile ❙❙ PEFA Report (2009) ❙❙ Social and Economic Impacts of Improved WSS 2012-2016 ❙❙ Oil and Gas Downstream Activities ❙❙ Oil and Gas Downstream Activities ❙❙ Improving Linkages Between Community ❙❙ Improving Linkages Between Community Development Development and Vocational and Technical Institutes and Vocational and Technical Institutes ❙❙ Health Impact Assessment of the Oil and Gas Sector ❙❙ African Economic Outlook ❙❙ African Economic Outlook ❙❙ PEFA Report (2012) ❙❙ Health Labour Market Analysis ❙❙ Study on Developing Science, Technology and Innovation ❙❙ PEFA Assessment ❙❙ Study on Enhancing the Performance of Urban Sanitation in ❙❙ Promotion of Youth Employment in Agriculture Ghana ❙❙ Sustainability of Rural Technical Facilities ❙❙ Technical Assistance to Ghana Infrastructure Investment Fund (ongoing). Source: 2012-2016 MTR, 2009 CPPR, 2010-2011 CSP Extension Annexes 127

Table A2: CPIA Scores - Economic Management Cluster

Year Fiscal Policy Monetary Policy Debt Policy Economic Management 2004 4.0 4.0 4.0 4.0

2005 4.0 4.0 4.5 4.17 2006 4.0 4.0 4.0 4.0 2007 3.5 4.0 4.0 3.83 2008 3.5 4.0 3.5 3.67 2009 4.0 4.0 3.5 3.83 2010 4.0 4.0 3.5 3.83 2011 4.5 4.0 3.5 4.0 2012 4.0 4.0 4.0 4.0 2013 4.0 4.0 4.0 4.0 2014 3.5 3.0 3.5 3.33 2015 3.5 3.0 3.5 3.33 Source: CPIA

Table A3: Selectivity of the Project Portfolio in Ghana

CSP Period 2002-2004 2005-2011 2012-2016 Strategic "Sustainable poverty reduction through (i) Improving the investment environment; (i) Improve the productivity of Pillars/ improved infrastructure and an (ii) Promoting pro-poor, pro-gender policy Ghanaian enterprises; Objectives enabling environment for the private (ii) Improve the business sector" environment Priority Sectors Agriculture, Social, Transport, WSS Agriculture, Transport, Multi-Sector, Power, Social, Agriculture, Private Sector, Power, Social, WSS Multi-Sector Country Strategy Evaluation Sectors # of operations # of # of operations % of total # of % of total operations funds operations funds Transport 4 38% 5 31% 1 28% An IDEV Agriculture 6 11% 6 15% 2 14% Private 1 1% 2 4% 3 14% Multi 2 30% 3 32% 3 14% Power 0 0% 2 7% 2 15% Social 2 16% 2 4% 1 16% WSS 1 4% 4 8% 1 0% Total 16 100% 24 100% 13 100% Source: SAP 128 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Annex H. — Progress Toward the MDGs in Ghana

Progress Against Selected MDG Indicators in Ghana (UNDP 2015) Year 1 Value1 Year 2 Value 2 Tar- Status get Goal 1. Eradicate Extreme Hunger and Poverty Indicator 1.1 Proportion of Individuals living in extreme poverty Proportion 1991 36.5 2013 8 18.2 Achieved Indicator 1.2 Proportion of Individuals living below the poverty line Proportion 1991 51.7 2013 24 25.5 Achieved Goal 2. Achieve Universal Primary Education Indicator 2.1 Complete Full-course Primary Schooling Net Enrolment 2003 55.6 2013 89.3 100 Significance Progress Achieved Gross Enrolment 2000 79.5 2014 107.3 100 Achieved Indicator 2.2 Basic Education Completion Rates Completion All 2008 86.3 2013 97.5 100 Significant Progress Achieved Completion Girls 2008 83.2 2013 99.0 100 Completion Boys 2008 89.3 2013 95.9 100 Indicator 2.3 Youth Literacy Rates All 1991 16.7 2012 84.4 100 Significant Progress Achieved Female 1991 15.5 2012 86.5 100 Male 1991 18.0 2012 76.9 100 Goal 3. Promote Gender Equality and the Empowerment of Women Indicator 3.1 Eliminate Gender Disparities in Primary and Secondary Education GPI Primary 2008 0.96 2013 0.99 1.00 Significant Progress for Primary Education, GPI JHS 2008 0.92 2013 0.95 1.00 but unlikely for JHS, SHS. GPI SHS 2008 0.84 2013 0.91 1.00 Indicator 3.2 Share of women in productive (non-agriculture) employment (%) women 1990 29.8 2015 30.5 40.0 Virtually no progress Goal 4. Reduce Child and Infant Mortality Indicator 4.1 Infant and Child mortality Deaths per 100 2003 64 2014 41 22 Significant Progress live births (infants) Achieved Annexes 129

Progress Against Selected MDG Indicators in Ghana (UNDP 2015) Deaths per 100 2003 57 2014 19 19 Achieved live births (children 1-5) Goal 5. Improve Maternal Health Indicator 5.1 Maternal Mortality

Deaths per 100,000 1990 760 2014 380 185 Unlikely to be Achieved births Indicator 5.2 Ante-natal Care Coverage

% 1-4 ante-natal 1988 82 2014 97 100 Significant Progress visits Achieved Goal 6. Combat HIV/AIDS and other Diseases Indicator 6.1 People living with HIV/AIDS

Number of People 2009 267,069 2012 235,982 n/a Significant Progress Achieved New Infections 2009 25,531 2012 7,812 n/a (annual) Goal 7. Ensure Environmental Sustainability Indicator 7.1 Halve Population without access to drinking water

% Pop with access to 1993 67 2008 84 84 Achieved drinking water Indicator 7.2 Halve population without access to sanitation

% households with 1993 4 2012 16 52 Not achieved access to sanitation Goal 8. Develop a Global Partnership for Development Indicator 8.1 Focus on the needs of least developed countries

ODA inflows (USD 2000 1243.2 2013 1330.5 n/a Since 2012, ODA inflows Country Strategy Evaluation millions) have decreased from a high of USD 1810.2 ODA inflows (% GDP) 2000 6.1 2013 2.8 n/a million after Ghana's transition to LMIC status. An IDEV 130 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

Annex I. — Endnotes

1. Jedwab and Osei (2012) "Structural Change in Ghana 1960-2010" at 6.

2. Ibid. at 7.

3. Ibid. at 8; International Monetary Fund (2002) "Ghana - Enhanced Structural Adjustment Facility Economic and Financial Policy Framework Paper 1998-2000" at 2.

4. Ibid; International Monetary Fund (2001) "Enhanced Heavily Indebted Poor Countries (HIPC) Initiative - Preliminary Document" at 11.

5. International Monetary Fund (2002) at 3.

6. International Monetary Fund (2001) at 20.

7. Bank of Ghana (2005) "The effect of HIPC debt relief on external debt repayments" at 15.

8. Data from the World Development Indicators (non-oil GDP growth); (IMF 2015b) "Request for a Three Year Arrangement under the Extended Credit Facility Staff Report" at 2; OECD (2011) "Progress in implementing the Paris Declaration - Ghana Chapter," at 1.

9. IMF (2015b) at 3; IMF (2015d) "First Review under the Extended Credit Facility Arrangement and Request for Waiver for Non-Observance of Performance Criterion" at 1.

10. IMF (2016a) "Second Review under the Extended Credit Facility Arrangement and Request for a Waiver for Non-Observance of Performance Criterion - Debt Sustainability Analysis" at Table 2; (IMF (2015a) "Request for a Three Year Arrangement under the Extended Credit Facility Staff Report - Debt Sustainability Analysis" at 16.

11. IMF (2016b) "Second Review under the Extended Credit Facility Arrangement and Request for a Waiver for Non-observance of Performance Criterion," at 3.

12. The main pillars of the program include: (i) a frontloading fiscal adjustment to restore debt sustainability, including measures to control wage expenditure and limit net hiring as well as measures to mobilize additional revenue; (ii) structural reforms to strengthen public finances and fiscal discipline; (iii) restoring the inflation targeting framework; and (iv) preserving financial sector sustainability. See IMF (2015a); IMF (2015e) "Press Release: IMF Approves US $918 Million Extended Credit Facility Arrangement to Help Ghana Boost Growth, Jobs and Stability."

13. African Development Bank Group (2016a) "African Economic Outlook - Ghana Chapter" at 3; IMF (2016a).

14. African Development Bank Group (2016a) at 4.

15. IMF (2015d) at Annex 1; IMF (2016a) at 1.

16. Data from WDI Database.

17. Ghana Statistical Service (2015) "Ghana Demographic and Health Survey - 2014" at 3; 2015 data from WDI.

18. Ghana Statistical Service (2014a) "Ghana Living Standards Survey Round 6 (GLSS6) - Poverty Profile in Ghana 2005-2013" at 9-10.

19. Ibid. at 21.

20. Ibid. at 32; Ghana Statistical Service (2015) at 14.

21. Data from WDI; United Nations Development Programme (2015) "Ghana Millennium Development Goals - 2015 Report" at 28-29.

22. Data from WDI (access to sanitation - national).

23. Ghana Statistical Service (2015a) at xxi.

24. Ibid. at 3.

25. Ghana Statistical Service (2014a) at 10.

26. Ibid.

27. Data from WDI (% urban population living in slums).

28. UNDP (2015) at 57; data conflicts with that from the WDI (% population with access to water and sanitation).

29. The ISSER Report is not published publically; cited in Eshun, M.E. and Maoako-Tuffour, J. (2016) "A Review of the Trends in Ghana's Power Sector," Energy, Sustainability and Society, 6:9 at 3. Annexes 131

30. IMF (2016b) - Statement by the Executive Director at 4.

31. UNDP (2015) at 22.

32. African Centre for Economic Transformation (2015) "Skills Development for Economic Transformation in Ghana," at 6; UNDP (2015) at 74.

33. UNESCO (2012) "Youth and Skills: Putting Education to Work - Report on Skills Gaps," at 7; General Electric (2015) "Reports - Sub-Saharan Africa: Tackling Ghana's Skill Shortage Head On;" African Development Bank Group (2014i) "Developing Science, Technology and Innovation: The Case of Ghana," at 2.4.1 and 3.2; TRANSTEC (2015) "Ghana National TVET Strategic Plan (2015-2025)," at 2.3.4.

34. ACET (2015) at 7; Ghana Statistical Service (2014c) "Ghana Living Standards Survey 6 - Main Report," at 14.

35. Asare, Andy Ohemeng (2014) "Challenges Affecting SMEs' Growth in Ghana," OIDA International Journal of Sustainable Development, 07:06, at 24; Abor, Joshua and Peter Quartey (2010) "Issues in SME Development in Ghana and South Africa," International Research Journal of Finance and Economics, Issue 39; http://www.eservices.gov.gh/Pages/Empowering-SMEs-in-Ghana-for-Global-Competitiveness.aspx.

36. Asare (2014) at 26; Price Waterhouse Coopers (2013) "2013 Ghana Banking Survey - Harnessing the SME Potential," at 10.

37. Price Waterhouse Coopers (2013) at 11; Eshun, M.E. and Maoako-Tuffour, J. (2016) "A Review of the Trends in Ghana's Power Sector," Energy, Sustainability and Society, 6:9, at 6; Frederick, D. and Selase, A. (2014) "The Effect of Electric Power Fluctuations on the Profitability and Competitiveness of SMEs: A Study of SMEs within the Accra Business District of Ghana," Journal of Competitiveness, 6:3, at 36.

38. Data from the Observatory of Economic Complexity.

39. Africa Centre for Energy Policy (2016) "Commentary: Ghana's IMF Program - The Risk of Fiscal Consolidation without Strong Fiscal Rules," at 1.

40. UNDP (2015) at 64.

41. Ghana National Development Planning Commission (2010) "Ghana Shared Growth and Development Agenda (2010-2013) xiv; Ghana National Development Planning Commission (2014) "Ghana Shared growth and Development Agenda II" at xv, xvi.

42. African Development Bank Group (2011a) "Regional Integration Strategy Paper for West Africa 2011-2015," at 4.2.2.1; African Development Bank Group (2012a) "Border Posts, Checkpoints and Intra-African Trade: Challenges and Solutions," at 7 and 10.

43. African Development Bank Group (1999a) "Education Sector Policy Paper" at 5; African Development Bank Group (2014a) "The Bank's Human Resource Capital Strategy for Africa," at 26-28.

44. African Development Bank Group (2003a) "Ghana: Proposal for an ADF Grant of UA 12.80 Million to Finance the RWSSI Rural Water Supply and Sanitation Program," at 4.13.

45. African Development Bank Group (2006a) "Ghana: Proposal for an ADF Loan of UA 1997 Million to Finance the Afram Plains Agricultural Development Project," at 4.2.1.

46. See African Development Bank Group (2010h) "Project Appraisal Report: Fufulso-Sawla Road Project - Ghana". Country Strategy Evaluation

47. African Development Bank Group (2012q) "Project Completion Report - Health Services Rehabilitation Project (HSR-III)" at B.

48. African Development Bank Group (2012c) "Development of Senior Secondary Education - Education III - Project Completion Report," at DI; African Development Bank Group (2012h) "Ghana: Development of Senior Secondary Education Project - BTOR for Project Completion Mission" at 2.2.1; An IDEV African Development Bank Group (2010g) "DSSEP - Supervision Mission Aide Memoire" at 3.3.3.

49. African Development Bank Group (2016b) "Back to Office Report - UT Bank Ltd." This target is broken down into 50 initial trade finance facilities and 50 revolving trade finance facilities.

50. African Development Bank Group (2013h) "Project Appraisal Report - UTB Ghana Trade Finance Line of Credit," at 1.1; African Development Bank Group (2008g) "Ghana: Proposal for an ADB Loan of USD 15 million for the financing of a LOC to CAL Merchant Bank Ltd" at 3.2.

51. African Development Bank Group (2013c) "Ghana Rural Water Supply and Sanitation Program - Project Completion Report," at B3.

52. Ibid.

53. African Development Bank Group (2014d) "Project Completion Report - Improved Sanitation, Water Supply and Hygiene Services Delivery to the Urban Poor in Ghana through Tripartite Partnerships," at 14-17.

54. African Development Bank Group (2013d) "Accra Sewerage Improvement Project Mid-term Review Mission - Aide Memoire," at 5.

55. Ghana Highway Authority (2013a) "Project Completion Report - Reconstruction of the Akatsi-Dzodze-Akane Trunk Road (Lot 2);" Ghana Highway Authority (2013b) "Rehabilitation of the Akatsi-Aflao Road Project (Lot 1);" Ghana Highway Authority (2015a) "Taking Over (Substantial Completion) Report - Lot 1 Fufulso -Larabanga;" Ghana Highway Authority (2015b) "Taking Over (Substantial Completion Report - Lot 2 Larabanga - Sawla; Preliminary data from PCR preparation. 132 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

56. Ibid; VOC values were computed through the Highway Design and Maintenance Standards Model (HDM), using roughness indexes before and after project based on standard factor for surface dressed road pavement after visual inspection.

57. Ghana Highway Authority (2014) "Project Completion Report - Rehabilitation of the Techiman-Kimtampo Trunk Road;" Preliminary data from PCR Preparation.

58. Feedback from the Park Manager at Mole National Park.

59. World Bank "Doing Business" Indicators (www.doingbusiness.org) - All data query for Ghana.

60. African Development Bank Group (2008a) "Ghana Multi-Donor Budget Support - Aide Memoire of the 2008 Annual Review," at 38; African Development Bank Group (2009a) "Ghana Multi-Donor Budget Support - Aide Memoire of the 2009 Annual Review," at 34, 51, 60, and Annex 5.

61. Decentralization was addressed directly as a project objective by the Bank for PRSL I, II and III (2003-2008) in terms of variance in budget releases to districts, establishment of the decentralization policy and framework and establishment of the Local Government Service.

62. Okuru, M. and Armah-Attoh, D. (2015) "Afrobarometer: Ghana's Decentralization: Locally Centralized Decision Making ill Serves its Public," No 23, April at 1.

63. http://lgs.gov.gh/local-governance-bill-act-2016-passed/.

64. DfID, World Bank, KfW (2006) "Ghana - Public Financial Management Performance Report and Performance Indicators Vol II - 2006 External Review of PfM," at 23-25; Ecorys (2010) "Republic of Ghana Public Expenditure and Financial Accountability 2009 - Public Financial Management Performance Assessment Report," at 111-113; Ecorys (2013) "Ghana: Public Expenditure & Financial Accountability (PEFA) Performance Review. Final Report," at 110-112.

65. Ecorys (2010) at 110-111.

66. Ghana Audit Service (2014) "Medium-Term Expenditure Framework (MTEF) for 2014-2016 - Program Based Budget Estimates" at 5; Ghana Audit Service (2015) "Medium-Term Expenditure Framework (MTEF) for 2015-2017 - Program Based Budget Estimates" at 5.

67. Ecorys (2013) at 121; Public Accounts of Ghana.

68. Ecorys (2010) at 108; African Development Bank Group (2013a) "Ghana - Third Poverty Reduction Support Loan (PRSL -III) Project Completion Report," at DI.

69. Ecorys (2013) at 107.

70. Ghana Audit Service (2015) "Medium-Term Expenditure Framework (MTEF) for 2015-2017 - Program Based Budget Estimates" at 5

71. IMF Third Review at 55

72. Ecorys (2013) at 41.

73. DfID, World Bank, KfW (2006) "Ghana - Public Financial Management Performance Report and Performance Indicators Vol II - 2006 External Review of PfM," at vii; Ecorys (2010) at 36; Ecorys (2013) at 41.

74. Ibid.

75. Ecorys (2013) at 109.

76. GIFMIS is expected to be rolled out to all MDAs with Internally Generated Funds before the end of 2016. Work is also being undertaken to strengthen the usage of the system at seven pilot MDAs before GIFMIS is rolled out to an additional 53 MMDAs. See International Monetary Fund (2016).

77. Ghana Audit Service (2014) "Medium-Term Expenditure Framework (MTEF) for 2014-2016 - Program Based Budget Estimates" at 5; Ghana Audit Service (2015) "Medium-Term Expenditure Framework (MTEF) for 2015-2017 - Program Based Budget Estimates" at 5.

78. Increased yields confirmed through consultations with project beneficiaries.

79. African Development Bank Group (2012b) "Multinational: Project for the Creation of Sustainable Tsetse and Trypanosomiasis Free Areas in East and West Africa - Ghana Component Project Completion Report," at II.1.

80. African Development Bank Group (2006a); African Development Bank Group (2014c) "Afram Plains District Agricultural Development Project - Project Completion Report," at 3.

81. African Development Bank Group (2014c) at 3.

82. Ghana Ministry of Food and Agriculture (2014a) "Ghana: Project Completion Report for Export Marketing and Quality Awareness Project," at 52-53; Targets are identified in cedi, but achievement was reported in USD. Nevertheless, the value of the increases exceeded project targets. Annexes 133

83. African Development Bank Group (2014c) at 2.

84. African Development Bank Group (2010a) "Ghana: Community Forestry Management Project - Project Completion Report," at Annex 2.

85. African Development Bank Group (2010b) "Ghana: GOPDC Oil Palm Expansion Project - Expanded Supervision Report," at 3.1.2; African Development Bank Group (2002c) "Ghana: Proposal for an ADB Loan of Euro 7.14 Million to Finance the GOPDC Oil Palm Expansion Project," at 6.1.1.

86. For example, staff at Bompata Presbyterian Senior High School stated that enrollment had increased 150% between 2007 and 2014. Similarly, annual intake increased by 100% for Peki Senior High School over this period.

87. African Development Bank Group (2012c) at 27.

88. At Bompata Senior High School, pass rates increased from 74.8% in 2007 to 98.6% in 2012.

89. African Development Bank Group (2012d) "Urban Poverty Reduction Project - Project Completion Report," at DII; Ghana Ministry of Local Government and Rural Development (2012) "Key Inputs for the Preparation of the UPRP Project Completion Report," at 53.

90. Ghana Ministry of Local Government and Rural Development (2012) at 53.

91. Ghana Health Service (2006a) "2006 Ashanti Region Report," at 129; Ghana Health Service (2010) at 19; Ghana Health Service (2015) at 32.

92. Feedback from chief doctor at Tarkwa Hospital.

93. Tarkwa-Nsuaem Municipal Assembly (2015) "Medium Term Development Plan (2014-2017)" at 30.

94. Ghana Ministry of Local Government and Rural Development (2014) "Bekwai Municipal Assembly - Annual Composite Progress Report 2014" at 36.

95. Data from the Ministry of Local Government and Rural Development and the DACF Press Releases (2012-2016), http://www.commonfund.gov.gh/ index.php?option=com_content&view=article&id=301&Itemid=398

96. Ghana Ministry of Local Government and Rural Development (2012) at 48.

97. Ibid. at 57.

98. Ibid. at 59.

99. African Development Bank Group (2012d) at DI; Ghana Ministry of Local Government and Rural Development (2012) at 42-46, 52-60, Appendix 9.

100. Ibid. at 55. For example, a new butchery facility in this area has improved sanitary conditions, encouraging residents to come to the market to purchase meat.

101. Takoradi International Company (2016) "T2 Expansion Project - 2015 Annual Environmental and Social Monitoring Report," at 6. Country Strategy Evaluation 102. Ibid. at 8.

103. Estimates provided by Volta River Authority.

104. African Development Bank Group (2009a) at 10 and 3.1.2; African Development Bank Group (2016a) at 3. An IDEV

105. African Development Bank Group (2016a) at 3.

106. African Development Bank Group (2015a) "Project Status Report - CAL Bank Limited;" African Development Bank Group (2014b) "Back to Office Report - CAL Bank Ltd," at C and E.

107. African Development Bank Group (2009a) at 10.

108. African Development Bank Group (2016a) at 3.

109. Kempinski Accra Hotel (2016) "Quarterly Report of Operations - Year 2016 Q2" at 2.2

110. African Development Bank Group (2016a) "Kempinski Accra Hotel - Risk Based Supervision May 2016," at 2.

111. African Development Bank Group (2013c) at B2.

112. African Development Bank Group (2014d) at 14-17.

113. African Development Bank Group (2013c) at B2.

114. African Development Bank Group (2015b) "Ghana: Combined Mid-term Review Country Strategy Paper 2012-2016 and Country Portfolio Performance Review 2014," at 12. 134 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

115. African Development Bank Group (2005) "Ghana Country Strategy Paper 2005-2009," at 5.

116. African Development Bank Group (2012e) "Ghana Country Strategy Paper 2012-2016," at Annex 9.

117. For more information: http://www.etls.ecowas.int/

118. Data from the Observatory of Economic Complexity (OEC) and World Integrated Trade Solution (WITS).

119. Ibid.

120. World Bank Group (2013) "Doing Business 2013 - Smarter Regulations for Small and Medium-Sized Enterprises - Ghana Economy Profile;" World Bank Group (2015) "Doing Business 2015 - Going Beyond Efficiency - Economy Profile Ghana;" World Bank Group (2016) "Doing Business 2016 - Measuring Regulatory Quality and Efficiency - Economy Profile for Ghana;" World Bank Group (2017) "Doing Business 2017 - Equal Opportunity for All - Ghana Economy Profile."

121. Ghana Statistical Service (2015) at 15.

122. Ghana Energy Commission (2016) "2016 Energy Outlook for Ghana," at 17; USAID (2014) "Power Africa - Investment Brief for the Electricity Sector in Ghana".

123. Ghana Energy Commission (2016) at 2.

124. African Development Bank Group (2016c) "(Draft) Project Completion Report - Power System Reinforcement Project".

125. Ghana Ministry of Roads and Transport (2015) "2011-2015 Transport Sector Review Report".

126. Ghana Ministry of Roads and Highways (2014).

127. Data from WDI (% population with access to improved sanitation - national / urban / rura.

128. Ghana Statistical Service (2015) at 14.

129. Although initial data indicated enrolment of 67%, an Oxfam-funded report put the figure as low as 18%, which prompted the government to do additional research and revise the figure to 34% (http://edition.myjoyonline.com/pages/news/201303/102239.php). See also Oxfam (2013) "Health for All: Towards Free Universal Health Care in Ghana - End of Campaign Evaluation Report" at 3.

130. World Health Organization (2015) "WHO Country Office for Ghana - Annual Report 2014," at 9.

131. Ibid; Ghana Health Service (2010) at 18.

132. Ghana Ministry of Local Government and Rural Development (2012) at Annex 9.

133. UNDP (2015) at 82.

134. Ghana Ministry of Education (2016) "Ghana Education Sector - Performance Report 2015," at 27.

135. Ibid. at 23.

136. Data from WDI (# new businesses registered / business density per 1000 people).

137. Data from WDI (% domestic credit to private sector / % firms using banks to finance investment).

138. World Bank (2016) "Doing Business 2016 - Measuring Regulatory Quality and Efficiency - Economy Profile for Ghana," at 56.

139. World Economic Forum (2016) "The Global Competitiveness Report 2015-2016 - Ghana Country Profile," http://reports.weforum.org/global- competitiveness-report-2015-2016; World Economic Forum (2016b) "The Global Competitiveness Report 2015-2016," at xv and 180.

140. World Bank Group (2013); World Bank Group (2015); World Bank Group (2016); World Bank Group (2017).

141. African Development Bank Group (2009c) "Ghana Portfolio Performance Review Report," at 5.3, 5.9 and 6.2; African Development Bank Group (2015b) at Annex III.

142. Ghana Ministry of Roads and Highways (2015) at 48.

143. Ibid.

144. African Development Bank Group (2013e) "Aide Memoire of the 2013 Annual Review, Accra, June 2013" at II.

145. African Development Bank Group (2013f) "Ghana: Poverty Reduction and Business Environment Support Program - Program Completion Report" at 5.

146. African Development Bank Group (2007a) "Ghana: Poverty Reduction Support Loan (GPRSL I) - Project Completion Report," at 4.5. Annexes 135

147. African Development Bank Group (2015h) "Ghana: The Public Financial Management and Private Sector Competitiveness Support Programme Phase 1 - Appraisal Report," at 4.3.2.

148. Ibid.

149. African Development Bank Group (2003d) at 1.1.5.

150. African Development Bank (2013e) at 10 and 13; Ecorys (2013) at 101.

151. International Monetary Fund (2016c) at 2 and 16.

152. African Development Bank Group (2013e) at 2.

153. African Development Bank Group (2012c) at Annex 6.

154. USAID (2014b) "Memorandum of Understanding between the Government of Ghana and the Government of the United States of America Regarding Power Africa," at 3(a)ii; International Monetary Fund (2016) "Third Review Under the Extended Credit Facility Arrangement and Request for a Waiver for Non-observance of Performance Criteria and Modification of Performance Criteria," at 38.

155. Public Utilities Regulatory Commission (2013) "Major Tariff Review, October 2013"; Public Utilities Regulatory Commission (2014a) "Publication of Electricity Tariffs - February 2014"; Public Utilities Regulatory Commission (2014b) "Publication of Electricity Tariffs - June 2014"; Public Utilities Regulatory Commission (2014c) "Publication of Electricity Tariffs - July 2014"; Public Utilities Regulatory Commission (2014d) "Publication of Electricity Tariffs - October 2014"; Public Utilities Regulatory Commission (2015a) "Publication of Electricity Tariffs - April-June 2015"; Public Utilities Regulatory Commission (2015b) "Publication of Electricity Tariffs - July-September 2015"; Public Utilities Regulatory Commission (2015c) "Major Tariff Review - December 2015"; Public Utilities Regulatory Commission (2016a) "Publication of Electricity Tariffs - June 2016"; Public Utilities Regulatory Commission (2016b) "Publication of Electricity Tariffs - August 2016.;" International Monetary Fund (2016) at 38.

156. Takoradi International Company (2016a) "Quarterly Operations Report - Quarter Ended Mar 31, 2016," at 1.

157. Takoradi International Company (2016b) "Quarterly Operations Report - Quarter Ended June 30, 2016" at 1.

158. http://www.mofep.gov.gh/?q=news/press-release/2016-07-14/financial-restructuring-of-VRA-approaches-successful-conclusion.

159. International Monetary Fund (2016c) at 40.

160. Data from WDI (% Non-performing Loans); African Development Bank Group (2015a); Corroborated by feedback from stakeholders at CAL Bank.

161. Calculated from African Development Bank Group (2016b) "Back to Officer Report - UT Bank Ltd;" African Development Bank Group (2015c) "Inter- Office Memorandum - UT Bank Trade Finance LOC" African Development Bank Group (2015c) "Inter-Office Memorandum - UT Bank Trade Finance LOC," at 3.2.

162. Bugbilla and Asamoah (2016) "An Analysis of Trade Facilitation at the Ports and Borders of Ghana: Implications on the Mobilization of Government Revenue," International Journal of Business and Social Science, 7,3. Country Strategy Evaluation 163. African Development Bank Group (2014k) Back to Office Report: Kempinski Hotel Project - Supervision Mission (24-25/04/2014) at 3.1; African Development Bank Group (2015h) "Kempinski Accra Hotel Project - Rescheduling of Principal Repayment" at 5.

164. Kempinski Accra Hotel (2016) at 3.2. An IDEV 165. Ibid. at 2.2.

166. For examples, see: African Development Bank Group (2003c) "Ghana Proposal for an ADF Loan of UA 18 million, a NTF Loan of UA 3 million and an ADF Grant of UA 0.80 million to fund the Road Infrastructure Project," at 3.2.5 and 4.7.3; African Development Bank Group (2002) "Multi-national - Ghana-Togo: Proposal for an ADF Loan of UA 12.72 million to fund the Akatsi-Dzodze-Noepe Road Upgrading Project," at 4.7.3; and African Development Bank Group (2010c) "Ghana: Proposal to Award an ADF Grant of UA 109.72 million to Finance the Fufulso-Sawla Road Project," at 2.6.6.

167. African Development Bank Group (2014e) "BTOR: Kempinski Hotel Project Supervision Mission (25/04/2014)," at 3.2; African Development Bank Group (2015d) "Kempinski Accra Hotel - Risk Based Supervision BTOR," at 2.

168. African Development Bank Group (2012e) at 3.2.8.

169. African Development Bank Group (2003b) "Ghana Country Strategy Paper 2002-2004 at 14 and 2.0;" African Development Bank Group (2005) at 4.1.2;" African Development Bank Group (2012e) at 3.1.2.

170. African Development Bank Group (2012e) at 4.3.2.

171. African Development Bank Group (2009c) at 6.2. 136 Ghana: Evaluation of the Bank's Country Strategy and Program 2002–2015 - Summary Report

172. African Development Bank Group (2002e) "Ghana: Proposal for an ADF Loan of UA 17.63 Million and a TAF Grant of UA 1 million to finance the Health Services Rehabilitation Project III" at 4.1.3.

173. Ghana Health Service (2005) "Hospital Standard" at 1.2.

174. African Development Bank Group (2013i) "Health Services Rehabilitation - III - Project Completion Report," at C.

175. African Development Bank Group (2009j) "Supplementary Loan Agreement between the Republic of Ghana and the African Development Fund: Tema-Aflao Rehabilitation Road Project" at 2.02.

176. Ghana Ministry of Food and Agriculture (2014b) "Impact Assessment of the Afram Plains District Agricultural Development Project - Final Report" at 13, 55 and 2.14.

177. See: African Development Bank Group (2005e) "Afram Plains District Agricultural Development Project - Final Feasibility Report - Volume II, Annex 1-11" and African Development Bank Group (2005f) "Afram Plains District Agricultural Development Project - Feasibility Report - Volume III, Annex 12-23".

178. African Development Bank Group (2012e) at 17.

179. Identified through data from SAP and a review of project appraisal reports.

180. African Development Bank Group (2015f) "Ghana Airports Company Limited (GACL) - Loan of USD 120 million.

181. African Development Bank Group (2008f) and African Development Bank Group (2012k).

182. Data from a portfolio review of projects; supported by African Development Bank Group (2009c) at 6; African Development Bank Group (2015b) at 4.3.2 .African Development Bank Group (2015b) at Table 4.

183. African Development Bank Group (2015b) at Table 4.

184. African Development Bank Group (2012p) "Health Services Rehabilitation Project - III Aide Memoire Supervision Mission December 2011" at 5; African Development Bank Group (2012r) "Health Services Rehabilitation Project - III Aide Memoire Supervision Mission, August 2012" at 2; Ghana Ministry of Health (2012) "Health Services Rehabilitation Project - III Quarterly Progress Report 29" at 6.02.

185. Ibid.

186. Ibid.

187. African Development Bank Group (2012m) "Ghana: Health Services Rehabilitation Project - III - Loan No. 2100150006975 and Grant No. 2100155001868 - Follow up actions for June 2012 Supervision Mission

188. African Development Bank Group (1997) "Bank Group Policy and Procedures for Supplementary Financing" at 4.6

189. Ibid. at 4.8.

190. African Development Bank Group (2012n) "Revised Guidelines on Cancellation of Approved Loans, Grants and Guarantees" at 2.1.1.

191. Ibid. at 2.3.3.

192. Stakeholders for the UPRP confirmed that the project was closed before some funds intended to support infrastructure improvements in MMDAs could be disbursed. Some MMDAs had to complete the planned works with their own limited funds, which frustrated the objective of the project to relieve financial constraints. Stakeholders at Tarkwa Hospital noted that the HSR-III project was closed before funds for furniture and equipment could be utilized subsequent to a procurement dispute. As a result, stakeholders reported that the hospital sat unused for over one year until staff forced entry into the building, furnishing it with their own funds as well as funds from the MMDA.

193. Ibid. at 14; African Development Bank Group (2013b) "Gender Responsive Skills and Community Development Project - Supervision Mission 21-31 October 2013," at 4.1.2.

194. African Development Bank Group (2013b) "Gender Responsive Skills and Community Development Project - Supervision Mission 21-31 October" at 5.4.

195. African Development Bank group (2012s) "Ghana: Gender Responsive Skills and Community Development Project - Mid-Term Review Mission" at 2.

196. African Development Bank Group (2013b) at 7.8.

197. "Specific, Measurable, Assignable, Realistic, Time-bound.

Innn Dn En African Development Bank

forward. findings, conclusionsandrecommendations toinformstrategyandoperations going inGhana;and(ii)identifies relevance andperformanceoftheBank'sinterventions 2002 and2015. The evaluation: (i)provides anevidence-basedassessmentofthe Strategy Papers and all lending and non-lending activities approved between Country StrategiesandPrograminGhanaovertheperiodof2002–2015.Country Itcoversthree reportpresentstheresultsofanindependentevaluationBank's This summary About thisEvaluation E-mail: [email protected] Phone: +22520 26 2041 Avenue Joseph Anoma, 01BP1387, Abidjan 01, Côted’Ivoire African DevelopmentBankGroup An IDEV idev.afdb.org Country Strategy EvaluationCountry

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