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The World Bank for OFFICIAL USE ONLY Public Disclosure Authorized Report No: ICR00004798

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The World Bank for OFFICIAL USE ONLY Public Disclosure Authorized Report No: ICR00004798 Document of The World Bank FOR OFFICIAL USE ONLY Public Disclosure Authorized Report No: ICR00004798 IMPLEMENTATION COMPLETION AND RESULTS REPORT <Credit Number 5140-KE> ON A CREDIT Public Disclosure Authorized IN THE AMOUNT OF SDR 43.96 MILLION (US$ 92.53 MILLION EQUIVALENT) TO THE Republic of Kenya FOR THE Public Disclosure Authorized KENYA: NATIONAL URBAN TRANSPORT IMPROVEMENT PROJECT June 26, 2019 Transport Global Practice Africa Region Public Disclosure Authorized CURRENCY EQUIVALENTS (Exchange Rate Effective {December 28, 2018}) Currency Unit = KES US$ 1.00 = KES 101.77885 SDR 1.00 = US$ 1.39064 FISCAL YEAR July 1 - June 30 Regional Vice President: Hafez M. H. Ghanem Country Director: Carlos Felipe Jaramillo Senior Global Practice Director: Guangzhe Chen Practice Manager: Benedictus Eijbergen Task Team Leader(s): Josphat O. Sasia ICR Main Contributor: Akiko Kishiue ABBREVIATIONS AND ACRONYMS AF Additional Financing BRT Bus Rapid Transit CBD Central Business District CPS Country Partnership Strategy EASA East African School of Aviation EBK Engineering Board of Kenya EIRR Economic Internal Rate of Return ESIA Environmental and Social Impact Assessments EU European Union FM Financial Management GoK Government of Kenya ICAO International Civil Aviation Organization ICT Information and Communication Technology IDA International Development Association INTP Integrated National Transport Policy ITS Intelligent Transportation System JKIA Jomo Kenyatta International Airport KeNHA Kenya National Highways Authority KRC Kenya Railways Corporation KTSSP Kenya Transport Sector Support Project KURA Kenya Urban Roads Authority M&E Monitoring and Evaluation MoR Ministry of Roads MoT Ministry of Transport MoTIHUD&PW Ministry of Transport, Infrastructure, Housing, Urban Development and Public Works MRTS Mass Rapid Transit System NaMATA Nairobi Metropolitan Area Transport Authority NCA National Construction Authority NCTIP Norther Corridor Transport Improvement Project NMA Nairobi Metropolitan Area NPV Net Present Value NTSA National Transport and Safety Authority NUTRIP National Urban Transport Improvement Project PAD Project Appraisal Document PAP Project Affected Person PDO Project Development Objective PPP Public-Private Partnership RAP Resettlement Action Plan SDoI State Department of Infrastructure SDoT State Department of Transport SDR Special Drawing Rights ToR Terms of Reference TABLE OF CONTENTS DATA SHEET .......................................................................................................................... 1 I. PROJECT CONTEXT AND DEVELOPMENT OBJECTIVES ....................................................... 5 A. CONTEXT AT APPRAISAL .........................................................................................................5 B. SIGNIFICANT CHANGES DURING IMPLEMENTATION ................................................................7 II. OUTCOME .................................................................................................................... 10 A. RELEVANCE OF PDOs ............................................................................................................ 10 B. ACHIEVEMENT OF PDOs (EFFICACY) ...................................................................................... 10 C. EFFICIENCY ........................................................................................................................... 14 D. JUSTIFICATION OF OVERALL OUTCOME RATING- Unsatisfactory ............................................ 15 E. OTHER OUTCOMES AND IMPACTS ......................................................................................... 15 III. KEY FACTORS THAT AFFECTED IMPLEMENTATION AND OUTCOME ................................ 16 A. KEY FACTORS DURING PREPARATION ................................................................................... 16 B. KEY FACTORS DURING IMPLEMENTATION ............................................................................. 17 IV. BANK PERFORMANCE, COMPLIANCE ISSUES, AND RISK TO DEVELOPMENT OUTCOME .. 19 A. QUALITY OF MONITORING AND EVALUATION (M&E) ............................................................ 19 B. ENVIRONMENTAL, SOCIAL, AND FIDUCIARY COMPLIANCE ..................................................... 20 C. BANK PERFORMANCE ........................................................................................................... 23 D. RISK TO DEVELOPMENT OUTCOME ....................................................................................... 24 V. LESSONS AND RECOMMENDATIONS ............................................................................. 25 ANNEX 1. RESULTS FRAMEWORK AND KEY OUTPUTS ........................................................... 27 ANNEX 2. BANK LENDING AND IMPLEMENTATION SUPPORT/SUPERVISION ......................... 37 ANNEX 3. PROJECT COST BY COMPONENT (IDA, GOK) .......................................................... 38 ANNEX 4. EFFICIENCY ANALYSIS ........................................................................................... 39 ANNEX 5. BORROWER, CO-FINANCIER AND OTHER PARTNER/STAKEHOLDER COMMENTS ... 47 ANNEX 6. SUPPORTING DOCUMENTS (IF ANY) ..................................................................... 51 MAP .................................................................................................................................... 67 The World Bank KENYA: NATIONAL URBAN TRANSPORT IMPROVEMENT PROJECT (P126321) DATA SHEET BASIC INFORMATION Product Information Project ID Project Name KENYA: NATIONAL URBAN TRANSPORT IMPROVEMENT P126321 PROJECT Country Financing Instrument Kenya Investment Project Financing Original EA Category Revised EA Category Partial Assessment (B) Partial Assessment (B) Organizations Borrower Implementing Agency Kenya National Highways Authority, Kenya Urban Roads Kenya National Treasury Authority, Ministry of Transport, Infrastructure, Housing and Urban Development, Kenya Railways Corporation Project Development Objective (PDO) Original PDO The Project Development Objectives (PDO) are to: (a) improve the efficiency of road transport along the northern corridor; (b) improve the institutional capacity and arrangements in the urban transport sub sector; and (c) promote the private sector participation in the operation, financing and management of transport systems. Page 1 of 67 The World Bank KENYA: NATIONAL URBAN TRANSPORT IMPROVEMENT PROJECT (P126321) FINANCING Original Amount (US$) Revised Amount (US$) Actual Disbursed (US$) World Bank Financing 300,000,000 92,531,367 61,868,482 IDA-51400 Total 300,000,000 92,531,367 61,868,482 Non-World Bank Financing 0 0 0 Borrower/Recipient 39 0 0 Total 39 0 0 Total Project Cost 300,000,039 92,531,367 61,868,482 KEY DATES Approval Effectiveness MTR Review Original Closing Actual Closing 02-Aug-2012 24-Dec-2012 31-Dec-2018 31-Dec-2018 RESTRUCTURING AND/OR ADDITIONAL FINANCING Date(s) Amount Disbursed (US$M) Key Revisions 27-Dec-2018 62.01 Change in Components and Cost Cancellation of Financing Change in Financing Plan KEY RATINGS Outcome Bank Performance M&E Quality Unsatisfactory Unsatisfactory Negligible RATINGS OF PROJECT PERFORMANCE IN ISRs Actual No. Date ISR Archived DO Rating IP Rating Disbursements (US$M) 01 30-Mar-2013 Satisfactory Satisfactory 0 Page 2 of 67 The World Bank KENYA: NATIONAL URBAN TRANSPORT IMPROVEMENT PROJECT (P126321) 02 22-Oct-2013 Satisfactory Moderately Satisfactory 3.90 03 02-Jun-2014 Satisfactory Moderately Unsatisfactory 8.91 04 23-Jan-2015 Moderately Satisfactory Moderately Unsatisfactory 12.05 05 14-Dec-2015 Moderately Satisfactory Moderately Satisfactory 15.68 06 30-Jun-2016 Moderately Satisfactory Moderately Unsatisfactory 18.33 07 01-Feb-2017 Moderately Satisfactory Moderately Unsatisfactory 34.58 08 18-May-2017 Moderately Satisfactory Moderately Unsatisfactory 36.87 09 15-Feb-2018 Moderately Satisfactory Moderately Satisfactory 44.84 10 07-Sep-2018 Moderately Satisfactory Moderately Unsatisfactory 54.64 SECTORS AND THEMES Sectors Major Sector/Sector (%) Transportation 100 Urban Transport 79 Public Administration - Transportation 21 Themes Major Theme/ Theme (Level 2)/ Theme (Level 3) (%) Economic Policy 1 Trade 1 Trade Facilitation 1 Private Sector Development 25 Jobs 15 Job Creation 15 Public Private Partnerships 10 Page 3 of 67 The World Bank KENYA: NATIONAL URBAN TRANSPORT IMPROVEMENT PROJECT (P126321) Public Sector Management 1 Public Administration 1 Administrative and Civil Service Reform 0 Municipal Institution Building 1 Human Development and Gender 6 Disease Control 6 HIV/AIDS 6 Urban and Rural Development 76 Urban Development 61 Urban Infrastructure and Service Delivery 61 Rural Development 15 Rural Infrastructure and service delivery 15 ADM STAFF Role At Approval At ICR Regional Vice President: Makhtar Diop Hafez M. H. Ghanem Country Director: Johannes C.M. Zutt Carlos Felipe Jaramillo Senior Global Practice Director: Jamal Saghir Guangzhe Chen Practice Manager: Supee Teravaninthorn Benedictus Eijbergen Task Team Leader(s): Josphat O. Sasia Josphat O. Sasia ICR Contributing Author: Akiko Kishiue Page 4 of 67 The World Bank KENYA: NATIONAL URBAN TRANSPORT IMPROVEMENT PROJECT (P126321) I. PROJECT CONTEXT AND DEVELOPMENT OBJECTIVES A. CONTEXT AT APPRAISAL Country Context 1. At appraisal, Kenya was urbanizing rapidly and experiencing relatively strong economic growth, which reached 5.7 percent in 2010, mainly attributed to productive activities in urban areas1 For instance, while Kenya’s overall population grew from 31.5 million
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