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Report No: ICR00002755 Document of The World Bank Report No: ICR00002755 Public Disclosure Authorized IMPLEMENTATION COMPLETION AND RESULTS REPORT (IDA-43140) ON A CREDIT IN THE AMOUNT OF SDR 10 MILLION Public Disclosure Authorized (US$ 15 MILLION EQUIVALENT) TO THE REPUBLIC OF TAJIKISTAN FOR A COTTON SECTOR RECOVERY PROJECT Public Disclosure Authorized September 25, 2013 Sustainable Development Department Central Asia Country Unit Public Disclosure Authorized Europe and Central Asia Region CURRENCY EQUIVALENTS (Exchange Rate Effective August 21, 2013) Currency Unit = Somoni US$ 1.00 = 4.7665 Tajikistan Somoni (TJS) FISCAL YEAR January 1 – December 31 ABBREVIATIONS AND ACRONYMS ADB Asian Development Bank AIB Agroinvestbank CSRP Cotton Sector Recovery Project DAT Debt analysis team DF Dehkan Farm DFID Department for Foreign International Development DLC District Land Committee DRA Debt restructuring agency FSP Farmer Support Program FPA Final Project Assessment IC Independent Commission JDC Jamoat Development Council JPIU Joint Project Implementation Unit KI Kredit Invest LRCSSAP Land Registration and Cadaster System for Sustainable Agriculture Project M&E Monitoring and Evaluation MoA Ministry of Agriculture MoF Ministry of Finance NBT National Bank of Tajikistan NGO Non-governmental organization PFI Participating Financial Institution PRSP Poverty Reduction Strategy Paper RRS Raions of Republic Subordination SCLRM State Committee for Land Resources and Management SCSSP Sustainable Cotton Sub-Sector Project (Asian Development Bank) SIDA Swedish International Development Association SMP Staff Monitored Program TIC Training and Information Center TSBLSS Tojiksodirotbank Acting Vice President: Laura Tuck Country Director: Saroj Kumar Jha Sector Manager: Dina Umali-Deininger Project/ICR Team Leader: Bobojon Yatimov ICR Author: Malathi Jayawickrama ii TAJIKISTAN COTTON SECTOR RECOVERY PROJECT CONTENTS 1. Project Context, Development Objectives and Design ....................................................................................1 2. Key Factors Affecting Implementation and Outcomes ................................................................................4 3. Assessment of Outcomes ..............................................................................................................................8 4. Assessment of Risk to Development Outcome ...........................................................................................20 5. Assessment of Bank and Borrower Performance .......................................................................................21 6. Lessons Learned..........................................................................................................................................23 7. Comments on Issues Raised by Borrower/Implementing Agencies/Partners.............................................43 MAP ...................................................................................................................................................................48 ANNEXES Annex 1. Project Costs and Financing............................................................................................................ 25 Annex 2. Outputs by Component ................................................................................................................... 26 Annex 3. Economic and Financial Analysis ................................................................................................... 31 Annex 4. Bank Lending and Implementation Support/Supervision Processes .............................................. 39 Annex 5. Beneficiary Survey Results ............................................................................................................. 41 Annex 6. Stakeholder Workshop Report and Results .................................................................................... 42 Annex 7. Summary of Borrower's ICR and/or Comments on Draft ICR ....................................................... 43 Annex 8. Comments of Cofinanciers and Other Partners/Stakeholders ......................................................... 46 Annex 9. List of Supporting Documents ........................................................................................................ 47 iii A. Basic Information Cotton Sector Recovery Country: Tajikistan Project Name: Project Project ID: P098889 L/C/TF Number(s): IDA-43140 ICR Date: 10/07/2013 ICR Type: Core ICR REPUBLIC OF Lending Instrument: SIL Borrower: TAJIKISTAN Original Total Commitment: XDR 10.00M Disbursed Amount: XDR 9.45M Revised Amount: XDR 9.45M Environmental Category: B Implementing Agencies: Joint Project Implementation Unit, Office of the President Cofinanciers and Other External Partners: B. Key Dates Revised / Actual Process Date Process Original Date Date(s) Concept Review: 03/23/2006 Effectiveness: 09/28/2007 09/28/2007 Appraisal: 02/08/2007 Restructuring(s): 02/09/2010 Approval: 05/30/2007 Mid-term Review: 04/18/2011 04/25/2011 Closing: 03/31/2013 03/31/2013 C. Ratings Summary C.1 Performance Rating by ICR Outcomes: Satisfactory Risk to Development Outcome: Moderate Bank Performance: Satisfactory Borrower Performance: Moderately Satisfactory C.2 Detailed Ratings of Bank and Borrower Performance (by ICR) Bank Ratings Borrower Ratings Quality at Entry: Satisfactory Government: Moderately Satisfactory Implementing Quality of Supervision: Satisfactory Satisfactory Agency/Agencies: Overall Borrower Overall Bank Performance: Satisfactory Moderately Satisfactory Performance: C.3 Quality at Entry and Implementation Performance Indicators QAG Assessments (if Implementation Performance Indicators Rating any) Potential Problem Project at any No Quality at Entry (QEA): None time (Yes/No): iv Problem Project at any time Quality of Supervision Yes None (Yes/No): (QSA): DO rating before Moderately Satisfactory Closing/Inactive status: D. Sector and Theme Codes Original Actual Sector Code (as % of total Bank financing) Agricultural extension and research 2 2 Agro-industry, marketing, and trade 52 52 Central government administration 34 34 Crops 7 7 Other social services 5 5 Theme Code (as % of total Bank financing) Other rural development 33 33 Rural markets 17 17 Rural policies and institutions 33 33 Rural services and infrastructure 17 17 E. Bank Staff Positions At ICR At Approval Vice President: Laura Tuck Shigeo Katsu Country Director: Saroj Kumar Jha Annette Dixon Sector Manager: Dina Umali-Deininger Juergen Voegele Project Team Leader: Bobojon Yatimov Bekzod Shamsiev ICR Team Leader: Bobojon Yatimov ICR Primary Author: Malathi S. Jayawickrama F. Results Framework Analysis Project Development Objectives (from Project Appraisal Document) To improve the livelihood of cotton farmers and create the conditions for sustainable growth of cotton production in selected, low income areas of Tajikistan, through debt resolution, an improved policy environment, and increased cotton output and profitability. Revised Project Development Objectives (as approved by original approving authority) To benefit cotton farmers and create the conditions for sustainable growth of cotton production in low income areas of Tajikistan through an improved policy environment and better finance. v (a) PDO Indicator(s) Original Target Formally Actual Value Achieved Indicator Baseline Value Values (from Revised Target at Completion or approval documents) Values Target Years Policy measures conducive to producer choice rather than public coercion, and competitive markets Indicator 1 : for buying and processing cotton. Value Heavy intervention in cotton High level of None (revised High level of quantitative or production, marketing, competition is in indicator) competition is in place Qualitative) production decisions place Date achieved 05/31/2007 05/31/2007 02/09/2010 03/31/2013 Comments The Project achieved elimination of export licenses, writing off farmers' debts, elimination of direct (incl. % intervention by local authoritieis, freedom to farm and high level of competition achievement) Indicator 2 : 20,000 farmers receiving at least 80% of the world market price Value None (revised quantitative or 3000 20,000 22,000-25,000 indicator) Qualitative) Date achieved 05/31/2007 05/31/2007 02/09/2010 03/31/2013 Comments Two methods of calculation showed 22,000 and about 25,000 farmers achieving prices greater than (incl. % 80% of the world market price. achievement) Indicator 3 : 75% of cotton output sold at 80% of comparable world market levels Value quantitative or 25% None revised indicator) 75% 95.2% Qualitative) Date achieved 05/31/2007 05/31/2007 02/09/2010 03/31/2013 Comments (incl. % achievement) Indicator 4 : Number of cotton farmers with access to the newly-established revolving fund Value None (revised quantitative or 0 2,200 2,300 indicator) Qualitative) Date achieved 05/31/2007 05/31/2007 02/09/2010 03/31/2013 Comments (incl. % achievement) (b) Intermediate Outcome Indicator(s) Original Target Actual Value Achieved Formally Revised Indicator Baseline Value Values (from at Completion or Target Values approval documents) Target Years Indicator 1 : Policy Advisor in place, collaborating actively with staff of President’s Office Value None (revised Policy Advisor in (quantitative No Policy Advisor Policy Advisor in place indicator) place or Qualitative) Date achieved 05/31/2007 05/31/2007 02/09/2010 03/31/2013 Comments The International Policy Advisor was hired and actively and successfully worked with members of vi (incl. % the President's
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