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Skill India Mission Operation Document of THE WORLD BANK FOR OFFICIAL USE ONLY Public Disclosure Authorized Report No.: 108668-IN INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT PROGRAM APPRAISAL DOCUMENT ON A PROPOSED LOAN Public Disclosure Authorized IN THE AMOUNT US$250 MILLION TO THE REPUBLIC OF INDIA FOR A SKILL INDIA MISSION OPERATION JUNE 1, 2017 Public Disclosure Authorized Education Global Practice South Asia 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 as of April 30, 2017) Currency Unit = Indian Rupee (INR) US$1= INR 64.32 FISCAL YEAR April 1 – March 31 ABBREVIATIONS AND ACRONYMS C&AG Comptroller and Auditor General CPD Continuous Professional Development CPS Country Partnership Strategy CSR Corporate Social Responsibility CSSDM Chhattisgarh State Skill Development Mission DBT Direct Benefit Transfer DDU-GKY Deen Dayal Upadhyaya Grameen Kaushalya Yojana DGT Directorate General of Training DLI Disbursement Linked Indicator DLR Disbursement Linked Result DSDP District Skills Development Plan EHS Environment, Health, and Safety ESSA Environmental and Social Systems Assessment FBS Selection under a Fixed Budget GDP Gross Domestic Product GoI Government of India GSDM Gujarat Skill Development Mission ICT Information and Communication Technology IFSA Integrated Fiduciary Systems Assessment IPF Investment Project Financing IRR Internal Rate of Return ITI Industrial Training Institute IUFR Interim Unaudited Financial Report IVA Independent Verification Agency JRM Joint Review Mission JSDM Jharkhand Skill Development Mission KASE Kerala Academy for Skills Excellence KPI Key Performance Indicators LCS Least-Cost Selection i LMIS Labor Market Information System LWE Left Wing Extremism M&E Monitoring and Evaluation MIS Management Information System MOOC Massive Open Online Course MSDE Ministry of Skill Development and Entrepreneurship MSME Ministry of Micro, Small, and Medium Enterprises NCB National Competitive Bidding NCVT National Council for Vocational Training NGO Nongovernmental Organization NSS National Sample Survey NOS National Occupational Standard NSCB National Skill Certification Board NSDA National Skill Development Agency NSDC National Skill Development Corporation NSDF National Skill Development Fund NSDM National Skill Development Mission NSQC National Skills Qualification Committee NSQF National Skills Qualifications Framework NSRD National Skill Research Division NQAF National Quality Assurance Framework PAP Program Action Plan PAB Program Appraisal Board PDO Program Development Objectives PFMS Public Financial Management System PforR Program for Results PMKK Pradhan Mantri Kaushal Kendra PMKVY Pradhan Mantri Kaushal Vikas Yojana PMU Program Management Unit PPP Public-Private Partnership PWD Persons with Disabilities QCBS Quality- and Cost-Based Selection QBS Quality-Based Selection QP Qualification Pack RFP Request for Proposal RTI Right to Information RSLDC Rajasthan Skill and Livelihoods Development Corporation S2J Skills-to-Jobs SC Scheduled Caste SD Skill Development ii SDIS Skill Development Initiative Scheme SDMS Skill Development Management System SES Socioeconomic Status SF PMT Skills Fund Project Management Team SIG State Incentive Grant SIMO Skill India Mission Operation SSC Sector Skills Council SSDM State Skill Development Mission ST Scheduled Tribe SSDP State Skill Development Plan STEP Systematic Tracking of Exchanges in Procurement STRIVE Skills Strengthening for Industrial Value Enhancement SORT Systematic Operations Risk-rating Tool TA Technical Assistance ToT Training of Trainer TNSDC Tamil Nadu Skill Development Corporation ToR Terms of Reference TP Training Provider TVET Technical and Vocational Education and Training UPSDM Uttar Pradesh Skill Development Mission VTIP Vocational Training Improvement Project Regional Vice President: Annette Dixon Global Practice Vice President: Keith E. Hansen Country Director: Junaid Kamal Ahmad Practice Manager: Keiko Miwa Task Team Leader(s): Shabnam Sinha John Blomquist iii INDIA Skill India Mission Operation Table of Contents I. STRATEGIC CONTEXT ..................................................................................................................................... 1 A. Country Context ............................................................................................................................................... 1 B. Sectoral and Institutional Context .................................................................................................................... 2 C. Relationship to the Country Partner Strategy (CPS) ........................................................................................ 9 D. Rationale for Choice of Financing Instruments ................................................................................................ 9 II. OPERATION DESCRIPTION ........................................................................................................................... 10 A. Operation Scope ............................................................................................................................................. 10 B. Operation Cost and Financing ........................................................................................................................ 11 C. Program Development Objectives and Key Results ....................................................................................... 12 D. SIMO .............................................................................................................................................................. 13 E. Capacity Building and Institutional Strengthening ......................................................................................... 18 III. OPERATION (PROGRAM AND PROJECT) IMPLEMENTATION .......................................................... 19 A. Institutional and Implementation Arrangements ............................................................................................ 19 B. Results Monitoring and Evaluation ................................................................................................................ 20 C. Independent Verification Protocols ................................................................................................................ 21 D. Disbursement Arrangements .......................................................................................................................... 21 IV. ASSESSMENT SUMMARY ......................................................................................................................... 22 A. Technical ........................................................................................................................................................ 22 B. Fiduciary ......................................................................................................................................................... 26 C. Environmental and Social Systems Assessment ............................................................................................. 28 D. Risk Assessment ............................................................................................................................................. 30 E. Program Action Plan ...................................................................................................................................... 31 Annex 1: Detailed Program Description ...................................................................................................................... 33 Annex 2: Results Framework Matrix........................................................................................................................... 53 Annex 3: Disbursement Linked Indicators, Disbursement Arrangements, and Verification Protocols ....................... 70 Annex 4: Technical Assessment ................................................................................................................................ 109 Annex 5: Integrated Fiduciary Systems Assessment ................................................................................................. 127 Annex 6: Summary Environmental and Social Systems Assessment ........................................................................ 140 Annex 7: Systematic Operations Risk Rating (SORT) .............................................................................................. 149 Annex 8: Program Action Plan .................................................................................................................................. 150 Annex 9: Technical Assistance Component .............................................................................................................. 152 Annex 10: Implementation Support Plan ................................................................................................................... 159 Annex 11: Skills India Mission LMIS Concept Note ................................................................................................ 161 iv PAD DATA SHEET REPUBLIC OF INDIA Skill India Mission Operation PROGRAM APPRAISAL DOCUMENT Report No.: 108668-IN Basic Information Date: June 1, 2017 Sectors: Vocational Training (80%); Adult literacy/ non-formal education (20%) Country Director: Junaid Kamal
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