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World Bank Document Document of The World Bank FOR OFFICIAL USE ONLY Public Disclosure Authorized Report No: PAD1589 INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT PROJECT APPRAISAL DOCUMENT ON A PROPOSED LOAN Public Disclosure Authorized IN THE AMOUNT OF US$50 MILLION TO THE PEOPLE’S REPUBLIC OF CHINA FOR A YUNNAN EARLY CHILDHOOD EDUCATION INNOVATION PROJECT (YECEIP) November 16, 2016 Public Disclosure Authorized Education Global Practice East Asia and Pacific Region Public Disclosure Authorized This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization. CURRENCY EQUIVALENTS (Exchange Rate Effective: November 3, 2016) Currency Unit = Chinese Yuan (CNY or RMB) 6.7625 = US$1 FISCAL YEAR January 1 – December 31 ABBREVIATIONS AND ACRONYMS GDP Gross Domestic Product NCB National Competitive Bidding BCR Benefit Cost Ratio NPV Net Present Value BOE Bureau of Education NGO Non-government Organization CPS Country Partnership Strategy OP/BP Operation Policy/Bank Policy CQS Consultants’ Qualifications PAD Project Appraisal Document Selection procedures CRC Convention on the Rights of PDO Project Development Objective the Child CRPD Convention on the Rights of PET Provincial Expert Team People with Disabilities DA Designated Account PIP Project Implementation Plan EA Environmental Assessment PISA Program for International Student Assessment ECD Early Childhood Development PIU Project Implementation Unit ECE Early Childhood Education PPMO Provincial Project Management Office EMDP Ethnic Minority Development PPP Public-Private Partnership Plan EMIS Education Management PSC Project Steering Committee Information System EMP Environmental Management QBS Quality-Based Selection Plan FM Financial Management QCBS Quality- and Cost-Based Selection GER Gross Enrollment Ratio RMB Ren Min Bi (Chinese currency) GRS Grievance Redress Service RPF Resettlement Plan Framework IBRD International Bank of SA Social Assessment Reconstruction and Development IC Individual Consultant SOE Statement of Expenditures ICB International Competitive SORT Systematic Operations Risk- Bidding Rating Tool ICT Information and SSS Single Source Selection Communications Technology IFC International Finance USD United States Dollar Corporation ISM Implementation Support WA Withdrawal Application Mission ISR Implementation Status and WB World Bank Results Report IRR Internal Rate of Return YECEIP Yunnan Early Childhood Education Innovation Project M&E Monitoring and Evaluation YPAO Yunnan Provincial Audit Office MOF Ministry of Finance YPDE Yunnan Provincial Department of Education MTR Mid-Term Review YPFD Yunnan Provincial Finance Department Regional Vice President: Victoria Kwakwa Country Director: Bert Hofman Senior Global Practice Director: Amit Dar Practice Manager: Harry Anthony Patrinos Task Team Leader: Xiaoyan Liang CHINA Yunnan Early Childhood Education Innovation Project (YECEIP) TABLE OF CONTENTS Page I. STRATEGIC CONTEXT .................................................................................................1 A. Country Context ............................................................................................................ 1 B. Sectoral and Institutional Context ................................................................................. 2 C. Higher-level Objectives to which the Project Contributes ........................................... 5 II. PROJECT DEVELOPMENT OBJECTIVE ..................................................................6 A. PDO............................................................................................................................... 6 B. Project Beneficiaries ..................................................................................................... 6 C. PDO-level Results Indicators ........................................................................................ 7 III. PROJECT DESCRIPTION ..............................................................................................8 A. Project Components ...................................................................................................... 8 B. Project Financing ........................................................................................................ 13 Project Cost and Financing ............................................................................................... 13 C. Lessons Learned and Reflected in the Project Design ................................................ 14 IV. IMPLEMENTATION .....................................................................................................16 A. Institutional and Implementation Arrangements ........................................................ 16 B. Results Monitoring and Evaluation (M&E) ................................................................ 17 C. Sustainability............................................................................................................... 19 V. KEY RISKS ......................................................................................................................20 A. Overall Risk Rating and Explanation of Key Risks .................................................... 20 VI. APPRAISAL SUMMARY ..............................................................................................21 A. Economic and Financial Analysis ............................................................................... 21 B. Technical ..................................................................................................................... 23 C. Financial Management ................................................................................................ 23 D. Procurement ................................................................................................................ 24 E. Social (including Safeguards) ..................................................................................... 24 F. Environment (including Safeguards) .......................................................................... 25 G. World Bank Grievance Redress .................................................................................. 26 Annex 2: Detailed Project Description .......................................................................................31 Annex 3: Implementation Arrangements ..................................................................................39 Annex 4: Implementation Support Plan ....................................................................................48 Annex 5: Economic and Financial Analysis ..............................................................................50 . PAD DATA SHEET China Yunnan Early Childhood Education Innovation Project (YECEIP) (P152860) PROJECT APPRAISAL DOCUMENT . EAST ASIA AND PACIFIC 0000009251 Report No.: PAD1589 . Basic Information Project ID EA Category Team Leader(s) P152860 B - Partial Assessment Xiaoyan Liang Lending Instrument Fragile and/or Capacity Constraints [ ] Investment Project Financing Financial Intermediaries [ ] Series of Projects [ ] Project Implementation Start Date Project Implementation End Date 09-Dec-2016 31-Dec-2021 Expected Effectiveness Date Expected Closing Date 31-May-2017 31-Dec-2021 Joint IFC No Practice Interim Senior Global Country Director Regional Vice President Manager/Manager Practice Director Harry Anthony Patrinos Amit Dar Bert Hofman Victoria Kwakwa . Borrower: PEOPLE'S REPUBLIC OF CHINA Responsible Agency: Yunnan Provincial Department of Education Contact: Yu Zhang (Ms.) Title: Deputy Director, Project Management Office Telephone No.: 86 871-65155013 Email: [email protected] . Project Financing Data (in USD Million) [ X ] Loan [ ] IDA Grant [ ] Guarantee [ ] Credit [ ] Grant [ ] Other Total Project Cost: 74.62 Total Bank Financing: 50.00 Financing Gap: 0.00 . Financing Source Amount Borrower 24.62 International Bank for Reconstruction and 50.00 Development Total 74.62 . Expected Disbursements (in USD Million) Fiscal 2017 2018 2019 2020 2021 2022 0000 0000 0000 0000 Year Annual 5.00 10.00 20.00 10.00 5.00 0.00 0.00 0.00 0.00 0.00 Cumulati 5.00 15.00 35.00 45.00 50.00 50.00 0.00 0.00 0.00 0.00 ve . Institutional Data Practice Area (Lead) Education Contributing Practice Areas Proposed Development Objective(s) The Project Development Objective is to improve the access and quality of ECE provision in the Project counties in Yunnan Province. Components Component Name Cost (USD Millions) Component 1: Increasing access to ECE programs 42.41 Component 2: Improving ECE quality 28.06 Component 3: Creating an ECE enabling environment 0.33 Component 4: Project management and monitoring and 0.61 evaluation . Systematic Operations Risk- Rating Tool (SORT) Risk Category Rating 1. Political and Governance Low 2. Macroeconomic Low 3. Sector Strategies and Policies Low 4. Technical Design of Project or Program Moderate 5. Institutional Capacity for Implementation and Sustainability Moderate 6. Fiduciary Moderate 7. Environment and Social Moderate 8. Stakeholders Moderate 9. Other OVERALL Moderate . Compliance Policy Does the project depart from the CAS in content or in other significant Yes [ ] No [ X ] respects? . Does the project require any waivers of Bank policies? Yes [ ] No [ X ] Have these been approved by Bank management? Yes [ ] No [ ] Is approval for any policy waiver sought from the Board? Yes [ ] No [ X ] Does the project meet the Regional
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