The World Bank Report No: ISR13912

Implementation Status & Results Second Rural Investment Project (P122944)

Operation Name: Second Rural Investment Project (P122944) Project Stage: Implementation Seq.No: 5 Status: ARCHIVED Archive Date: 22-Mar-2014 Country: Azerbaijan Approval FY: 2013

Public Disclosure Authorized Product Line:IBRD/IDA Region: EUROPE AND CENTRAL ASIA Lending Instrument: Specific Investment Loan Implementing Agency(ies): Key Dates Board Approval Date 05-Jul-2012 Original Closing Date 30-Sep-2017 Planned Mid Term Review Date Last Archived ISR Date 27-Oct-2013 Public Disclosure Copy Effectiveness Date 04-Dec-2012 Revised Closing Date 30-Sep-2017 Actual Mid Term Review Date

Project Development Objectives Project Development Objective (from Project Appraisal Document) The Project Development Objective is to improve access to and use of community-driven rural infrastructure and expand economic activities for rural households. This would be achieved through: (i) the provision of grants to finance eligible demand-driven micro-projects in rural infrastructure; (ii) the provision of training and consultants’ services to support micro-project development by enhancing the capacity of engaged local stakeholders in all aspects of micro-project program development; (iii) building opportunities for rural employment and livelihood support services through the provision of training and consultants’ services to carry out pilot livelihood support services in six communities; and, (iv) supporting project management capacity at the Project Management Unit and its Regional Operations Public Disclosure Authorized Offices for the purposes of effective management, implementation and monitoring and evaluation of Project activities. Has the Project Development Objective been changed since Board Approval of the Project?

Yes No

Component(s)

Component Name Component Cost Rural Community Infrastructure 18.90 Technical Assistance for Rural Infrastructure 4.73 Project Management and Results Monitoring 6.37

Overall Ratings

Public Disclosure Authorized Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Satisfactory Overall Implementation Progress (IP) Highly Satisfactory Highly Satisfactory Overall Risk Rating Low Low Public Disclosure Copy Implementation Status Overview Project performance has been very satisfactory and implementation has proceeded at an advanced pace. In a little over a year since project effectiveness, over 300 community

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projects representing over 50% of the planned rural infrastructure micro-projects under AzRIP-2 have been completed or are under implementation, reaching a total of over 880,000 beneficiaries, half of whom are female. Disbursements under the IBRD loan have surpassed 50%. An official request from the Government for Additional Financing for AzRIP was received at the end of January, 2014 and preparation has been initiated. Appraisal of the AF is planned for March, 2014 with a scheduled Board date of May, 2014.

Locations Country First Administrative Division Location Planned Actual Azerbaijan Beylaqan Rayonu Rayon ✔

Azerbaijan Yardimli Rayonu Yardymli Rayon ✔

Azerbaijan Salyan Rayonu Salyan Rayon ✔

Public Disclosure Copy Azerbaijan Rayonu Sabirabad Rayon ✔

Azerbaijan Saatli Rayonu Saatly Rayon ✔

Azerbaijan Bilasuvar Rayonu Bilasuvar Rayon ✔

Azerbaijan Neftcala Rayonu Neftchala Rayon ✔

Azerbaijan Masalli Rayonu Masally Rayon ✔

Azerbaijan Lerik Rayonu Lerik Rayon ✔

Azerbaijan Rayonu Lankaran Rayon ✔

Azerbaijan Imisli Rayonu Rayon ✔

Azerbaijan Calilabad Rayonu Jalilabad Rayon ✔

Azerbaijan Astara Rayonu Astara Rayon ✔

Azerbaijan Agcabadi Rayonu Rayon ✔

Azerbaijan Rayonu Tartar Rayon ✔

Azerbaijan Rayonu Zardab Rayon ✔

Azerbaijan Rayonu Zaqatala Rayon ✔

Azerbaijan Yevlax Rayonu Rayon ✔

Azerbaijan Oguz Rayonu Oghuz Rayon ✔

Azerbaijan Ucar Rayonu Ujar Rayon ✔

Public Disclosure Copy Azerbaijan Tovuz Rayonu Tovuz Rayon ✔

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Country First Administrative Division Location Planned Actual Azerbaijan Samaxi Rayonu Rayon ✔

Azerbaijan Saki Rayonu Shaki Rayon ✔

Azerbaijan Samkir Rayonu Rayon ✔

Azerbaijan Rayonu Kurdamir Rayon ✔

Azerbaijan Rayonu Qabala Rayon ✔

Azerbaijan Rayonu Qusar Rayon ✔

Public Disclosure Copy Azerbaijan Rayonu Quba Rayon ✔

Azerbaijan Xacmaz Rayonu Rayon ✔

Azerbaijan Rayonu Qazakh Rayon ✔

Azerbaijan Rayonu Goranboy Rayon ✔

Azerbaijan Qax Rayonu Rayon ✔

Azerbaijan Rayonu Ismayilli Rayon ✔

Azerbaijan Goycay Rayonu Rayon ✔

Azerbaijan Daskasan Rayonu Rayon ✔

Azerbaijan Balakan Rayonu Balakan Rayon ✔

Azerbaijan Barda Rayonu Barda Rayon ✔

Azerbaijan Abseron Rayonu Absheron Rayon ✔

Azerbaijan Rayonu Aghsu Rayon ✔

Azerbaijan Agdas Rayonu Aghdash Rayon ✔

Azerbaijan Gadabay Rayonu Gadabay Rayon ✔

Azerbaijan Rayonu Aghstafa Rayon ✔

Azerbaijan Qobustan Rayonu Rayon ✔

Azerbaijan Samux Rayonu Samukh Rayon ✔

Public Disclosure Copy Azerbaijan Rayonu Siazan Rayon ✔

Azerbaijan Xizi Rayonu Rayon ✔

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Azerbaijan Haciqabul Rayonu Hajigabul Rayon ✔

Results

Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Percentage increase in access to and use of Percentage Value 0.00 7.00 20.00 rural infrastructure Date 11-Feb-2013 25-Feb-2014 Comments Calculation of this indicator This 7% increase preliminarily was based on the average was calculated based on Public Disclosure Copy rating of infrastructure PMU, Regional Office (ROO) facilities (in total 15 facilities) and Project Assistance rating by respondents during Teams (PAT) project the baseline survey. monitoring. The exact calculations will be carried out during the Mid-term survey. Percentage of households that are satisfied Percentage Value 10.00 18.00 20.00 with the quality of basic rural infrastructure Date 11-Feb-2013 25-Feb-2014 Comments Calculation of this indicator 8% increase calculated based was based on the overall on PMU, ROOs and PAT average rating of basic project monitoring. Exact infrastructure facilities (road calculations will be carried out and water supply) during the Mid-term survey. byrespondents during the baseline survey. Percentage reduction intravel time to market, Percentage Value 0.00 10.00 48.00 hospital, school, safewater source Date 11-Feb-2013 25-Feb-2014 Comments Calculation of this indicator 10% reduction calculated based on the overall average based on PMU, ROOs and time and distance taken to PAT observations. Precise reach infrastructure facilities calculations will be carried out by respondents during the during the Mid-term survey. baseline survey. Percentage change inincome from household Percentage Value 0.00 0.00 23.00 economic activity Date 11-Feb-2013 25-Feb-2014 Comments Majority of respondents Awaiting livelihood project indicated that their monthly operations. salary is AZN 125-225. Public Disclosure Copy

Intermediate Results Indicators

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Indicator Name Core Unit of Measure Baseline Current End Target Number of microprojects Number Value 0.00 215.00 600.00 Date 04-Dec-2012 25-Feb-2014 Comments Completed sub-projects 215: of which 139 roads, 10 drainage, 3 electricity system rehabilitation, 20 potable water supply, 12 irrigation system rehabilitation, 7 health clinics, 4 kindergartens and 20 community renovations

Public Disclosure Copy Direct project beneficiaries Number Value 0.00 817043.00 1500000.00 Date 04-Dec-2012 25-Feb-2014 Comments Potable water 57,099 Irrigation 37,439 Electricity 3,165 Road 582,183 Health 21,688 Drainage 48,871 Kindergarten 11,988 Community renovation 52,986 Female beneficiaries Percentage Value 0.00 52.00 50.00 Sub Type Supplemental Participants in consultation activities during Number Value 0.00 4340.00 5600.00 project implementation Date 25-Feb-2014 Comments Intended beneficiaries that are aware of project Number Value 53.00 65.00 75.00 information and project supported investments Date 11-Feb-2013 25-Feb-2014 Comments EXPRESSED AS EXPRESSED AS PERCENTAGE. PERCENTAGE. An average 53% of the 22% increase calculated sample respondents of the based on PMU, ROOs and baseline had heard about PAT observations.

Public Disclosure Copy AZRIP

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Number of women in Community Project Number Value 0.00 927.00 1200.00 Committees Date 25-Feb-2014 Comments Percentage of subprojects where necessary Percentage Value 0.00 100.00 100.00 maintenance operations are taking place with Date 25-Feb-2014 community engagement Comments Grievances registered related to delivery of Percentage Value 0.00 100.00 100.00 project benefits addressed (%) Date 11-Feb-2013 15-Oct-2013 Comments Comments, suggestions or queries, appreciation and Public Disclosure Copy gratitude - 271 Related to performance of community projects - 3 Related to project staff or community groups - 0 Related to corruption and violation practices - 0 Questions on technical implementation - 4 Grievances related to delivery of project Number Value 0.00 3.00 12.00 benefits that are addressed-(number) Sub Type Supplemental Change in community members who feel they Percentage Value 0.00 7.00 40.00 have some influence in community decision Date 25-Feb-2014 making processes (male/female) Comments 69-74 absolute change (7% increase) Change in degree of people's trust in Percentage Value 0.00 5.00 15.00 community groups Date 25-Feb-2014 Comments 75% to 78% change - 5% increase. Change in people's willingness to contribute to Percentage Value 0.00 3.00 15.00 community project costs Date 25-Feb-2014 Comments 74% to 77% change - 3% increase. Trainees in capacity building activities by kind Number Value 0.00 6368.00 17000.00 of activity (male/female/youth/minorities/IDPs/ Date 25-Feb-2014

Public Disclosure Copy municipal/ExComm) community training; cross visits; seminars; conferences Comments Community trainings- 2715 Cross visits - 2181

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Seminars- 770 Conferences- 812 TOTAL 6368 illages which hold community-wide meetings Number Value 0.00 99.00 120.00 organized by Community Group to discuss Date 25-Feb-2014 public matters after project completion Comments Communities with new projects implemented Number Value 0.00 25.00 400.00 with internal resources (including activities with Date 25-Feb-2014 municipality and ExComm) Comments 25 communities have launched new project initiatives with internal Public Disclosure Copy resources out of current completed project set of 215. Communities with projects implemented with Number Value 0.00 35.00 120.00 external resources Date 25-Feb-2014 Comments 35 communities have launched new project initiatives with external resources out of current completed project set of 215.

Data on Financial Performance (as of 21-Feb-2014)

Financial Agreement(s) Key Dates Project Ln/Cr/Tf Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date P122944 IBRD-81890 Effective 05-Jul-2012 19-Oct-2012 04-Dec-2012 30-Sep-2017 30-Sep-2017

Disbursements (in Millions) Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P122944 IBRD-81890 Effective USD 30.00 30.00 0.00 16.02 13.98 53.00

Disbursement Graph Public Disclosure Copy

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Key Decisions Regarding Implementation Project implementation is advancing at an accelerated pace, with 215 community infrastructure sub-projects completed (over 50% associated with rural road rehabilitation) and 104 further community projects under preparation. Audit and ex-post evaluations of completed projects show strong operation and maintenance and sustainability ratings. Preparation has been initiated on concept and design for an Additional Financing for AzRIP-2 which will expand and extend delivery of community rural infrastructure, scale up the livelihoods initiatives currently being piloted under the current project and launch a pilot initiative on local connector roads.

Restructuring History There has been no restructuring to date.

Related Projects P147861-Second Rural Investment Project Additional Financing Public Disclosure Copy

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