Senegal Virtual University Support Project (Pauvs)

AFRICAN DEVELOPMENT FUND

SENEGAL VIRTUAL UNIVERSITY SUPPORT PROJECT (PAUVS)

COUNTRY : REPUBLIC OF SENEGAL

PROJECT APPRAISAL REPORT

OSHD DEPARTMENT

November 2013

Translated Document

TABLE OF CONTENTS

Currency Equivalents, Fiscal Year, Weights and Measures, Acronyms and Abbreviations, Project Brief, Results-Based Logical Framework, Implementation Schedule…………………… i - viii

I. STRATEGIC THRUST AND RATIONALE...... 1

1.1 PROJECT LINKAGES WITH COUNTRY STRATEGY AND OBJECTIVES ...... 1 1.2 RATIONALE FOR BANK’S INVOLVEMENT ...... 1 1.3. AID COORDINATION ...... 2 II. PROJECT DESCRIPTION ...... 3

2.1 PROJECT COMPONENTS ...... 3 2.2 TECHNICAL SOLUTIONS ADOPTED AND ALTERNATIVES EXPLORED ...... 4 2.3. PROJECT TYPE ...... 5 2.4. PROJECT COST AND FINANCING ARRANGEMENT ...... 5 2.5. PROJECT TARGET AREA AND BENEFICIARIES ...... 6 2.6. PARTICIPATORY APPROACH IN PROJECT IDENTIFICATION, DESIGN AND IMPLEMENTATION ...... 7 2.7. BANK GROUP EXPERIENCE AND LESSONS REFLECTED IN PROJECT DESIGN ...... 7 2.8. KEY PERFORMANCE INDICATORS...... 8 III. PROJECT FEASIBILITY ...... 8

3.1. ECONOMIC AND FINANCIAL PERFORMANCE ...... 8 3.2 ENVIRONMENTAL AND SOCIAL IMPACT ...... 9 IV. IMPLEMENTATION ...... 12

4.1. IMPLEMENTATION ARRANGEMENTS ...... 12 4.2 MONITORING ...... 13 4.3 GOVERNANCE ...... 14 4.4 SUSTAINABILITY ...... 15 4.5 RISK MANAGEMENT...... 15 4.6 KNOWLEDGE BUILDING ...... 16 V. LEGAL FRAMEWORK ...... 16

5.1 LEGAL INSTRUMENT ...... 16 5.2 CONDITIONS ASSOCIATED WITH BANK INTERVENTION ...... 16 5.3 COMPLIANCE WITH BANK POLICIES ...... 17 VI. RECOMMENDATION ...... 17

Currency Equivalents (October 2013)

Currency Unit = CFAF UA 1 = CFAF 754.231 UA 1 = USD 1.53481 UA 1 = EUR 1.18190

Fiscal Year 1 January – 31 December

Weights and Measures

1 metric tonne = 2204 pounds 1 kilogramme (kg) = 2.200 pounds 1 metre (m) = 3.28 feet 1 millimetre (mm) = 0.03937 inch 1 kilometre (km) = 0.62 mile 1 hectare (ha) = 2.471 acres

ACRONYMS AND ABBREVIATIONS

ADF African Development Fund AfDB African Development Bank ADIE State Computer Technology Agency AFD French Development Agency ANAQ-Sup National Quality Assurance for Higher Education Authority ANSD National Statistics and Demography Agency APR Annual Performance Report ARTP Post and Telecommunications Regulatory Authority BD Bidding Documents BoD Board of Directors CCB Consolidated Capital Budget CNAES National Consultation on the Future of Higher Education CSP Country Strategy Paper DEEC Directorate of the Environment and Classified Establishments DGES General Directorate of Higher Education DWSS Drinking Water Supply and Sanitation EES Higher Education Institution ENO Open Digital Space ESMP Environmental and Social Management Plan GAFSP Food Safety Support Project in the Louga, Matam and Kaffrine Regions ICT Information and Communication Technologies ICTE Information and Communication Technologies for Education IDB Islamic Development Bank IMF International Monetary Fund KOICA Korea International Cooperation Agency LCB Local Competitive Bidding M&E Monitoring and Evaluation MEF Ministry of Economy and Finance MESR Ministry of Higher Education and Research

PACICE Inclusive Growth and Economic Competitiveness Support Programme PADERCA Project to Support Rural Development in Casamance

PADTICE Project to Support ICT Development for Capacity-Building to Implement the Bachelors-Masters- PhD Reform in WAEMU-based Higher Education Institutions Project to Support Skills Development and Women’s and Youth Entrepreneurship for Employment PAPEJF Promotion PAPIL Small Local Irrigation Support Project PAPSP Private Sector Promotion Support Project PATS Technical Administrative and Service Personnel PAUVS Senegal Virtual University Support Project PCMU Project Coordination and Monitoring Unit PDESR Higher Education and Research Development Plan PEPAM Millennium Drinking Water and Sanitation Programme PER Teaching and Research Staff PGF-Sup Results-Based Higher Education Governance and Financing Project PNPM National Procurement Procedures PP Procurement Plan PPC/PNDL Community Roads Project in Support of the National Local Development Programme PREFELAC Project to Restore the Ecological and Economic Functions of Lake Guiers SADC Southern African Development Community SNDES National Economic and Social Development Strategy TFP Technical and Financial Partner UA Unit of Account UADB Alioune Diop University of Bambey UASZ Assane Seck University of Ziguinchor UCAD Cheikh Anta Diop University of Dakar UGB Gaston Berger University of Saint Louis UNESCO United Nations Educational, Scientific and Cultural Organization USAID United States Agency for International Development USSK Sine Saloum University of Kaolack UT University of Thiès UVA African Virtual University UVS Senegal Virtual University VPN Virtual Private Network VSME Very Small- and Medium-Sized Enterprise WAEMU West African Economic and Economic Union WB World Bank

Project Brief

Client______

BORROWER : Republic of Senegal

EXECUTING AGENCY : Ministry of Higher Education and Research

Financing Plan______Source Amount (UA) Instrument

ADF 3,380,000 Loan Government 1,100,000 Counterpart contribution TOTAL COST 4,480,000

Important ADF Financial Information______

Loan Currency: UA Type of Interest: NA Interest Rate Margin: NA Commitment Fee: 0.50% Service Fee: 0.75% Maturity: 50 years Grace Period: 10 years ERR; NPV (baseline scenario) :

Time Frame – Key Milestones (expected)______

Concept Note Approval October 2013 Negotiations November 2013 Project Approval December 2013 Effectiveness January 2014 Completion December 2016

iii

PROJECT SUMMARY

Project Overview

The Senegal Virtual University Support Project (UVS) aims to promote the equitable access of young GCE ‘A’ Level holders of both sexes to higher education in Senegal and foster their professional integration. The UVS technology-based approach rests on the intensive use of ICTs. The five (5) Open Digital Spaces (ENO) planned in this phase will make it possible to reach youth in the Dakar suburbs, Saint Louis, Thiès, Kaolack and Ziguinchor. Scheduled to span three years, this project will help to establish a technological platform (UVS head office and five ENOs), continue the design of training modules and train trainers. Its total cost is UA 4.48 million, financed by an ADF loan (UA 3.38 million) and a counterpart contribution by the Government of Senegal (UA 1.10 million). A total of 6,000 students can be admitted yearly as soon as the infrastructure is in place. Project support measures will enable 5,000 students to have laptop computers through the “one student, one PC” programme. Student’s access to the Internet will be facilitated by conventions with private telecommunication service providers and the State’s Computer Technology Agency (ADIE).

Needs Assessment

State-sponsored higher education in Senegal faces a two-fold challenge: regional and gender-based disparities in access and a high rate of unemployment among graduates, standing at around 15.9%. Regions that are home to GCE “A” Level holders lack sufficient higher education structures to accommodate all of them. Women represent only 33.23% of student enrolments whereas they constitute 52% of the total population. Public higher education institutions are saturated and the recent policy of transferring GCE ‘A’ level holders to private establishments has not helped to satisfy growing needs. In this context, and faced with the problem of unemployed graduates, alternatives must be found urgently to not only increase higher education offer but also ensure its adequacy with job market needs. Created by Decree No. 2013-1294 of 25 September 2013, UVS bases itself on the national ICT-friendly context to propose alternatives.

Bank’s Value Added

The Bank has several education sector interventions whose useful lessons are reflected in this operation. The project supplements the four projects already financed by the Bank in the education/training sector in Senegal (Education Projects I, II, III and IV) and which contributed to improving primary and secondary access and quality. The Bank’s portfolio performance in Senegal was deemed satisfactory overall (scoring 2.49 on a scale from 0 to 3). The main lessons reflected in this project’s design concern the need to not only tailor curricula to real job market needs, but to also strengthen the quality and relevance of the training of trainers and emphasize the need to monitor construction works. Further, the project’s design also benefited from experience acquired regionally through various projects designed to support the African Virtual University (AVU), Higher Education in WAEMU countries and the development of distance training in Southern African countries (SADC), all of which have virtual education components. The national context is conducive since Senegal has good international connectivity and solid network infrastructure nationally. This project also supplements the Youth and Women’s Employment Promotion Support Project (PAPEJF) approved in 2013, since UVS contributes to the employability of youths and women who, as project developers, can also be eligible to PAPEJF financing.

Knowledge Building

The project design process offers a source of knowledge for the Bank in terms of setting up a virtual university in a national context. This experience supplements the one acquired through regional operations (UVA projects and SADC Project). This operation, undertaken in a country that is doing much to implement the ICTs, will be of help in adapting similar interventions to less favourable contexts. Information on this experience will be put at the disposal of the public via the Bank’s communication channels.

Senegal: Senegal Virtual University Support Project (PAUVS) Results-Based Logical Framework

Country and Project Name: Senegal Virtual University Support Project Project Goal: To contribute to the development of human capital through certificate-based and efficient training that favours better integration of young graduates Results Chain PERFORMANCE INDICATORS MEANS OF RISKS/ Indicator (including CSIs) Baseline Target VERIFICATION MITIGATION MEASURES Situation

1.Unemployment rate of higher 15.9% in 2011 - Higher Education Statistical Improvement of the socio- education graduates 12% in 2020 Directory professional integration of young - Employment study and survey

graduates 2. Integration rate of UVS graduates three 80% of graduates in 2020 reports IMPACT years on NA* in 2013 (85% among girls) - Surveys on graduates 1. 8% (including 40% of Risk: Inadequacy between training and Admission of freshmen into EES 1. Proportion of new students enrolled in 0 in 2013 girls) in 2016 Higher Education Statistical job market needs increases UVS (including % of girls) Directory Mitigation measure: Selection of 2. Number of higher education students 1,414 students for 100,000 training streams with high employability per 100,000 people 906 students /100,000 people in 2018 potential

TS people in 2012 C 2. Non-existent in

Young UVS graduates are better 1.Pass rate among UVS final year students 2013 75% in 2018, or 77% Higher Education Statistical EFFE integrated in professional life (Bachelors Y3) among girls in 2018 Directory

2. Percentage of UVS graduates having 50% of graduates in 2018 found employment 12 months after NA in 2013 (60% among girls) graduation (including percentage of girls) Component 1: Establishment of the UVS Platform 1. 1 Central structure of 1. Non-existent in Risk: Delays in building the ENOs and UVS and 5 ENOs are 1. Central structure operational 2013 1. 01 in 2014 UVS progress reports the central structure established 2. 05 in 2015 Mitigation measure: Early design of

2. ENOs operational 2. 0 in 2013 BDs for selection of a specialized

3. Non-existent in consulting firm and control bureau for 3. UVS strategic plan finalized 3. 01 in 2014 2013 construction works

1..2. Creation of digital 1) Number of FO digital libraries 1) 0 in 2014 1) 01 in 2016 Risk: An unstable electricity network library 2) Percentage of UVS students having a 2) 0 in 2013 may prevent permanent access to good laptop computer (including % of girls) 2) 100% (including 40% connection of girls) in 2016 Higher Education Statistical Directory Mitigation measure: There are plans by

OUTCOMES ENO to procure a power generator

Component 2: Capacity-Building 2.1. Legal framework Adoption of instruments on UVS Decree adopted All implementing Official Gazette in 2013 instruments of the

decree in 2014

1. Percentage of UVS PER (including % Risk: Teachers are slow/reticent to of women) having participated in at least 3 adjust to new approaches 2.2. The capacity of higher seminars on distance education 1) 0% in 2013 1) 100% (including 40% Mitigation measure: UGP progress reports, education staff is 2. Percentage of UVS PAT (including of women) in 2016; ANSD surveys Sensitization and training strengthened percentage of women) trained in the 2) 0% in 2013 2) 60% (40% women) in design of distance education modules 2016

2.3. Access to electronic 1. Percentage of students in public and 1) 0% in 2013 resources is facilitated for private universities using the electronic 1. 30% in 2016 various socio-professional resources of UVS; 2) 0% in 2013 groups in regional Progress reports; surveys development poles 2. Percentage of socio-economic 3. 30% in 2016 groupings of ENO-based localities using UVS’s electronic resources Component 3: Management and Coordination 3.1. Project coordination 1. Contract staff recruited 1. NA in 2013 In 2014 Progress and audit reports and management 2. Equipment procured 1. 100% contract staff 3. Periodic reports produced 2. NA in 2013 2. 100% of equipment 4. Audit reports produced 3. NA in 2013 3. 4 reports yearly 4. NA in 2013 4. 1 report yearly

COMPONENTS RESOURCES Component 1: Establishment of UVS platform ADF: UA 3.38 million: Government: UA 1.10 million Component 2: Capacity-building Comp.1: 3.82 Component 3: Project coordination and management Comp.2: 0.22 Comp. 3: 0.44 *NA = Not Applicable

vii

Project Implementation Schedule

viii

REPORT AND RECOMMENDATION OF MANAGEMENT CONCERNING A PROPOSAL TO GRANT A LOAN TO THE REPUBLIC OF SENEGAL TO FINANCE THE SENEGAL VIRTUAL UNIVERSITY SUPPORT PROJECT

Management hereby submits this report and recommendations concerning a proposal to grant an ADF loan of UA 3.38 million to the Republic of Senegal, to finance the Senegal Virtual University Support Project (PAUVS).

I STRATEGIC THRUST AND RATIONALE

1.1 Project Linkages with Country Strategy and Objectives

1.1.1 The project is consistent with Government’s objective of making higher education the main lever for socio-economic development. It is based on Priority I (“employment, SME/SMI development, infrastructure and food security”) of the National Economic and Social Development Strategy (SNDES, 2013-2017) centred on growth, productivity and wealth-creation, Priority 2 of same (“human capital, social protection and sustainable development”) and Pillar I of CSP 2010-2015 (“support for inclusive growth through diversification and economic integration”), revised at mid-term. It is against this backdrop that Senegal in April 2013 organized a National Consultation on the Future of Higher Education (CNAES), which led to the Higher Education and Research Development Programme (PDESR 2013-2017). The Presidential Decisions on higher education and research give precise guidelines on the implementation of PDESR, focusing particularly on practical training better tailored to employment.

1.1.2 Disparities at the level of higher education 5 access and the high unemployment rate of Figure 1: The more educated, the higher the unemployment4 rate, 2011 (ANSD and calculations) graduates are the two main worries of higher 70,0% 3 Combined unemployment education in Senegal. Current student enrolments are 60,0% and under-employment estimated at over ninety thousand (90,000 of which 2 rate 33.23% women) in the public sector and about 35,000 50,0% 1 in the private sector, with a rapid increase in the 40,0% current number of GCE “A” Level holders from 30,0% secondary education eligible for higher education. 15,9% 20,0% 13,9%12,7% 11,8% Higher education offer is unevenly distributed #DIV/0! 8,6% nationwide. With regard to gender, women are under- 10,0% represented in public universities (33.23% of 0,0% enrolments on average) whereas they constitute close to 52% of the country’s population. Besides, the rate of unemployment of higher education graduates (close to 16%) is the highest in the education and training system. UVS aims to contribute to the solution of these two thorny issues. Source: ANSD et calculs des auteurs, à partir des données de l'ESPS de 2011.

1.2 Rationale for Bank’s Involvement

1.2.1 UVS constitutes a key link in the operationalization of PDESR as far as fairer access and professionalization are concerned. The current situation stems from the poor diversification of offer, which leaves young ‘A’ Level holders with few options and limits their employability after school. Public offer of education is mainly based on long-duration general training (BA/Masters) in general streams, with very few short-duration professional

and technical training courses1. In most public universities in the country, the traditional method of teaching and training is based on physical presence, despite the clear benefits of the virtual approach. UVS’s action is underpinned by several levers, including: (i) the opening of short-duration professional training streams2; and (ii) the creation of para- scientific courses that will receive students from the arts series and train them in technical/scientific trades. Additional information on training streams is attached as Technical Annex B1.2.

1.2.2 The national context is favourable to the development of e-learning. Senegal has good international connectivity and solid networking infrastructure nationally. As part of UVS, a partnership agreement was signed with the State Computer Technology Agency, (ADIE), which manages Government intranet whose optic fibre network covers 75% of the country and will offer its services to UVS. The country also has a good number of private telecommunication service providers, including mobile services, which can offer quality services to UVS. It also has experience in distance education: (i) through its cooperation with Agence Universitaire de la Francophone (Francophone University Association - AUF); (ii) at UGB where the African Virtual University Centre is established; and (iii) with the African Distance Education Network (RESEFAD) by using e-learning to improve the quality of continuing training of lecturers, and several initiatives at the level of UCAD, Ecole des Bibiliothécaires et des Archivistes [Institute of Librarians and Archivists] (EBAD) and CESAG. Lessons from these experiences were reflected in the design of PAUVS.

1.2.3 The project is in line with the Bank’s strategies and strengthens its role as the country’s key stakeholder in skills development. UVS seeks to impart life skills to the youths – which is consistent with the “Skills and technology” operational priority of the Bank’s Long-Term Strategy 2013-2022. This project also supplements PAPEJF since UVS contributes to the employability of youths and women who, as project developers, can become eligible for PAPEJF financing. The Bank plays an essential catalytic role by supporting the establishment of UVS’s central structure and the first 5 ENOs.

1.3 Aid Coordination

Several development partners are involved in education – particularly higher education and training. Dialogue with Government is within the enlarged G-50 Group that the Bank currently co-chairs with USAID. The Bank also regularly takes part in the Education Thematic Group, chaired by USAID and comprising the Government and technical and financial partners (TFPs). Several on-going operations financed by TFPs offer a potential of synergy with UVS. The Results-Based Higher Education Governance and Financing Project (PGF-Sup) financed by the World Bank supports governance reforms, quality assurance, greater access, the upgrading of existing networks, the establishment of a centralized information system and balancing of the budget for universities. The same is true of Canada’s budget support operation to implement new reforms in the sector. Further, the Education and Agriculture Research Project (ERA) financed by USAID centres on agriculture-based higher education training, research and governance. The following table presents the main amounts currently committed in higher education in Senegal.

1 National Consultation on the Development of Higher Education in Senegal (April 2013) 2 Several training streams were defined based on the needs identified. These are short-duration training courses (professional BA) aimed at giving basic notions in sustained streams for the development of skills corresponding to job market needs (cf. Technical Annex B.1.2).

Table 1 Development Partners’ Contribution Scope Sector or sub-sector* GDP Exports Labour Higher educ. sub-sector 7.2% 19% (2011) Approx. 70% Stakeholders – Public Expenditure (on-going programmes or projects) Government Donors Amounts (CFAF billion) Period

CFAF 102.5 to 141 billion AfDB 20 Active Portfolio (2014-2017) 2009-2013 WB 50 Portfolio 2012-2016

Other TFPs Active Portfolio (Canada, IDB, 78.7 2014-2018 Commodity Aid, KOIKA)

Level of Aid Coordination Existence of thematic working groups Yes Existence of a comprehensive sector-based programme Yes, PAQUET prepared

II. PROJECT DESCRIPTION

2.1 Project Components

2.1.1 The overall objective of the project is to contribute to human capital development through efficient training that leads to qualification, to foster better integration of young graduates. Specifically, the project aims to establish the UVS, its physical terminals and the ENOs so as to increase access to higher education and strengthen the professionalization of teaching and training.

2.1.2 Project implementation will span three years. Its components and activities are summarized in the following table.

Table 2:1 : Project Components Component Cost Description 1. Establishment UA 3.824 million This component seeks to build and equip the UVS head office and the 5 Open of the UVS Digital Spaces (ENOs). The main activity areas are: construction and platform equipment of the UVS head office; construction and equipment of the ENOs; opening of a digital library to facilitate access of public and private university students to electronic resources.

2. Capacity UA 0.22 million The concern here is to put in place the UVS institutional and pedagogic building framework, pursuant to the decree establishing the UVS adopted on 23/09/2013. The main activity areas are: draft instruments governing these new degrees; design new curricula and training benchmarks; train teaching and research staff (PER) and technical administrative and service staff (PATS) in distance education; sensitize and train socio-economic groups on the use of ENO resources (men and women).

3. Project This component seeks to establish an appropriate arrangement to coordinate coordination UA 0.44 million and monitor project implementation and ensure its sound operation. The main and activity areas for project implementation are: staff recruitment; equipment; management technical assistance; monitoring/evaluation; audit; operation of the executing agency; capacity-building of the executing agency and other stakeholders involved; communication. 3

2.1.3 The UVS head office will be constructed in Cité du Savoir (“City of Knowledge”) at Diamniadio (30 km from Dakar). UVS is a public university created by decree and enjoys the same advantages as other State universities. Its programmes are aligned on the national BMD programmes. The Cité du Savoir3 will accommodate public and private institutions. The new General Directorate of Higher Education (DGES) and the National Authority for Quality Assurance in Higher Education (ANAQ-Sup) are expected to be constructed there in 2014 with PGF-Sup financing (World Bank). The UVS head office will benefit from a State intranet connection managed by ADIE (covering over 75% of the country), facilitating its link with the ENOs.

2.1.4 The location of the first ENOs to be constructed primarily considers the geographic distribution of most GCE “A” Level holders having UVS as their first choice. Further, State intranet is available in these zones. Measures are being taken to extend Intranet coverage to virtually the whole country in 2014. The platform of national private operators is expected to be used in zones not covered by Intranet.

2.1.5 The UVS technological platform operates on the basis of the following general principles:

 Pedagogic content produced at the UVS head office is dispatched via the ADIE Data Centre where the UVS infrastructure is hosted. The UVS head office and the ENOs are linked by ADIE’s Virtual Private Network (VPN).

 Students access the UVS data platform through their laptop computers connected by 3G key to the ADIE network. The specificity of this network is that it does not depend on the Internet. It involves ADIE’s high-speed Intranet network and guarantees the free flow of communication. Students can also occasionally go to their ENOs to work.

 ADIE is connected to the Internet via SONATEL, meaning that through their 3G key, students’ Internet access requests will be properly routed. In this way, they can access digital libraries and other resources not hosted on the ADIE Data Centre.

2.2 Technical Solutions Adopted and Alternatives Explored

The technical solution adopted aims to increase and diversify the public offer of higher education (mostly for GCE “A” Level holders). The planned diversification is underpinned by training courses that can improve the employability of youths through identified value chains. The following table presents alternatives explored and reasons for their rejection.

3 A Smart City that is eco-friendly and sustainable, combining ICTs and renewable energies 4

Table 2.2 Project Alternatives Explored and Reasons for their Rejection Alternative Solution Brief Description Reason for Rejection Continuation of Confronted by Although conducive to private sector development, this Government’s policy saturated public approach is not viable since it is very costly and hampers of transferring GCE universities, the the development of public universities. Further, since “A” Level holders to State has recently most private establishments are located in Dakar and its private higher been transferring environs, this option does not favour social inclusion education institutions new “A” Level because it does not facilitate access to higher education holders to private for GCE “A” level holders from distant areas. institutions, paying their fees along with scholarships like all others. Increase the higher Construct new This option does not consider the worldwide revolutions education offer universities and underway in terms of higher education offer and the role generally offer training using of ICTs in improving access, effectiveness and the traditional efficiency. method

2.3 Project Type

This is an autonomous investment project. This method was adopted (instead of budget support, for instance) due to the project’s innovative and specific nature, and the specific activities to be implemented (contracts to be awarded) over an average duration with private sector involvement - which calls for pro-activeness and strict monitoring.

2.4 Project Cost and Financing Arrangement

2.4.1 The total cost of the project, net of taxes and customs duties, is estimated at UA 4.48 million, of which UA 2.24 million (50%) in foreign exchange and UA 2.24 million (50%) in local currency. This cost is financed by an ADF loan of UA 3.38 million (75.4%) and by the Government of Senegal for UA 1.10 million (24.6%). The ADF financing includes UA 1.94 million from the ADF 12 country allocation and UA 1.44 million from cancelled loans.

2.4.2 Costs were determined based on information obtained from official structures, various national procurement stakeholders and ICT operators. A price escalation provision of 1.5% and 3% was made for foreign exchange and local currency costs, respectively, as well as for physical contingencies ranging from 3 to 4%, depending on the category. Tables 2.3, 2.4 and 2.5 below present the project costs by component, source of financing and expenditure category, and Table 2.6, the expenditure schedule by component. The detailed costs are attached as Technical Annex B.2.

Table 2.3 Project Cost by Component COMPONENTS (CFAF Million) (UA Million) % For. For. L.C. For. Exch. Total L.C. Exch. Total Exch. Establishment of the UVS technological platform 1,187.13 1,470.24 2,657.37 1.59 1.97 3.57 55 Capacity building 126.60 30.40 157.00 0.17 0.04 0.21 19 Project coordination and management 249.24 56.06 305.30 0.33 0.08 0.41 18 Total Base Cost 1,562.97 1,556.70 3,119.67 2.10 2.09 4.19 50 Physical contingencies 53.10 56.94 110.04 0.07 0.08 0.15 52 Price escalation 53.89 56.25 110.15 0.07 0.08 0.15 51 Total Cost 1,669.96 1,669.90 3,339.86 2.24 2.24 4.48 50

Table 2.4 Source of Financing (UA Million) % Sources of Financing L.C. For. Exch. Total of Total ADF 2.24 1.14 3.38 75.4 Government 0.00 1.10 1.10 24.6 Total Cost 2.24 2.24 4.48 100.0

Table 2.5 Project Cost by Expenditure Category (UA Million)* % For. For. Exch. L.C. Total Exch. 1. WORKS 1.00 1.30 2.30 44 2. GOODS 0.96 0.27 1.23 78 3. SERVICES 0.08 0.31 0.39 20 4. OPERATING COST 0.05 0.21 0.27 20 Base Cost 2.09 2.10 4.19 50 Physical contingencies 0.08 0.07 0.15 52 Price escalation 0.08 0.07 0.15 51 Total Cost 2.24 2.24 4.48 50

Table 2.6 Expenditure Schedule by Component (UA Million) COMPONENTS 2014 2015 2016 Total Establishment of UVS technological platform 1.36 2.31 0.15 3.82 Capacity building 0.08 0.07 0.07 0.22 Project coordination and management 0.17 0.14 0.13 0.44 Total Cost 1.62 2.51 0.35 4.48

2.4.4 The ADF will finance all foreign exchange costs and participate in funding all expenditure categories, while the Government will partly finance goods (vehicles), works and operating costs. Table B.2.2.6 (Technical Annex B.2) summarizes activities by expenditure category and source of financing.

2.5 Project Target Area and Beneficiaries

2.5.1 The zones of implantation of the five ENOs are: Dakar suburbs, Saint-Louis, Thiès, Kaolack and Ziguinchor. The UVS head office (central administration) will be inside the Cité du Savoir at Diamniadio (30 km from Dakar). The zones of implantation of the ENOs were defined based on the strategic guidelines of the steering committee set up during the National Consultations on the Future of Higher Education in Senegal and discussions 6

with interested stakeholders. A total of 6,000 students could be admitted therein yearly as soon as the infrastructure is in place. The project support measures will allow for providing laptop computers to 5,000 students through the SAMA PC (“My PC”) Programme

2.5.2 While targeting young GCE “A” Level holders essentially, the project offers the opportunity of higher education access to several socio-economic categories. In fact, the university map currently comprises 5 public universities. Baccalauréat examination results for the 2000-2012 period have shown that GCE A Level holders are mainly concentrated in the West of the country in Dakar, Thiès, Ziguinchor, Saint-Louis and Kaolack regions. It is noteworthy that 37.89 % of students come from the Dakar region and 85% of students from public schools attend UCAD, whose intake capacity has already been exceeded. The other beneficiary socio-economic categories are: (i) educated women who see in UVS a model that can receive and maintain them in higher education; (ii) GCE A Level holders (admission in L1) and “A” Level+2 certificate holders wishing to further their studies (admission in L3); (iii) professionals in active service, either on a private basis or as part of training contracts based on multiple modalities: certifying or certificate-based training; development of experience acquired; validation of professional and personal achievements; (iv) special categories of persons with difficulties in being physically present in school: people with disabilities (mobility impairment, etc.), people far from large urban centres; people who are subject to high geographic mobility; and (v) the international public, as part of training or capacity-building programmes. In the medium term, the UVS aims to be a regional training establishment.

2.6 Participatory Approach in Project Identification, Design and Implementation

The project design benefited from the fruits of the consultative process that culminated in the PDESR, the 23 September 2013 decree and the results of the Presidential Council of October 2013. The UVS concept was adopted after the national consultations that led to PDESR 2013-2017 in April 2013. Bank missions consulted key stakeholders, namely: ministries, the Chairperson of the UVS Steering Committee, higher education institutions already involved in e-learning, private higher education, ICT and development partners. These consultations allowed for understanding stakeholders’ expectations, past experiences, successes obtained, difficulties encountered and best practices. They also helped to identify possible synergies with the interventions of other TFPs that support higher education (the World Bank, USAID, IDB, Indian Cooperation) or hope to do so, such as Korean Cooperation (KOICA) and private sector interests (SONATEL, Korean Telecom) interested in accompanying the Government in implementing the UVS project.

2.7 Bank Group Experience and Lessons Reflected in Project Design

2.7.1 The Bank already had a number of education sector interventions whose implementation provided useful lessons for this operation. The project supplements the four projects already financed by the Bank in the education/training sector in Senegal (Education Project I, II, III and IV) and that contributed to improving primary and secondary education access and quality. The performance of the Bank’s portfolio in Senegal is deemed satisfactory overall. Lessons from these operations that will be reflected in this project concern the need to adapt curricula to real employment needs, strengthen the quality and relevance of trainers’ training and emphasize the monitoring of construction works.

2.7.2 The Bank also has experience in the design, financing and monitoring of higher education projects, particularly in ICT-based distance education. The following on-going regional projects can be mentioned in that regard: Support for the African Virtual University 7

(AVU), Support for Higher Education in WAEMU Countries and Development of Distance Training in Southern African Countries (SADC), which all have virtual education components. These were reflected in this project’s design. Besides, Senegal builds on experience garnered in distance and virtual education as summarized in paragraph 1.2.2 of this report. Lessons from these experiences, reflected in this project’s design, include: (i) effectiveness of ICTs in improving access to higher education; (ii) impact of such an ICT- driven project on the design and adoption of national ICT policies; and (iii) existence of an untapped potential of African university lecturers in designing content and applying distance training methods.

2.7.3 The experience of other partners supporting higher education was also useful in the project design. Worthy of note is the PGF-Sup Project already presented above, which provides comprehensive higher education support in Senegal. The main lesson here is the importance of institutionalizing project implementation in the relevant technical directorate of MESR (DGES) and involving national institutions in implementing activities concerning them at the local level. Further, all past and recent experiences accumulated by other partners involved in distance education/training projects in Senegal were explored and lessons learned were reflected in the project design.

2.8 Key Performance Indicators

The logical framework specifies the project’s performance indicators in light of the objectives of SNDES and PDESR 2013-2017. Impact indicator: (i) unemployment rate of higher education graduates; (ii) rate of integration of UVS graduates three years after their graduation. Effect indicator: (i) proportion of new GCE “A” Level holders enrolled in the UVS (including percentage of girls); (ii) number of higher education students for 100,000 people; (iii) success rate of final year UVS students; (iv) number of UVS graduates who find employment within 12 months of graduation (including percentage of girls). Outcome indicators: (i) central structure operational; (ii) ENOs operational; (iii) strategic plan of the UVS finalized; (iv) number of FO digital libraries; (v) percentage of UVS students with a PC; (including percentage of girls); (vi) adoption of texts on the UVS; (vii) percentage of PER (including percentage of women) intervening on behalf of the UVS having participated in at least 3 seminars on distance education; (viii) percentage of UVS’s PAT (including percentage of women) trained in the design of distance education modules; (ix) percentage of public and private university students using the electronic resources of the UVS; and (x) percentage of socio-economic groupings of ENO localities using the electronic resources of the UVS Implementation monitoring will be based on an effective monitoring and evaluation system (MES), which will facilitate decision-taking in critical cases for sound project management.

III. PROJECT FEASIBILITY

3.1 Economic and Financial Performance

3.1.1 The project will have a significant impact on the development of Senegal since it will offer a diversified and efficient alternative to the traditional approach to training human resources at the higher level. Due to the nature of this project, the analysis of development prospects were adopted over standard quantitative methods (updated net value, internal economic rate of return). This approach stems from the difficulties involved in assessing project benefits since the unit costs of all students trained (graduates) will be homogenous for training in each ENO. However, the graduates can enter different job markets. Calculations made using data obtained from a study conducted in Senegal in 2007 indicate that in the formal sector, workers having undergone higher education earn 58% times 8

more than those limited to secondary education, and that in the informal sector, the difference is slightly more pronounced and stands at 60%4. The social and economic benefits are presented in paragraphs 3.2.3 to 3.2.8.

3.1.2 The preliminary Fig 2 : Comparison of Unit Operating Costs feasibility analyses indicate that 1 200 000 1 009 471 the UVS is more viable 1 000 000 850 000 compared to other university 800 000 600 000 models. The UVS is a public 600 000 420 000 university created by decree and, 400 000 242 764 like all other universities, benefits 200 000 from State subsidies based on a 0 performance contract. According National UGB UADB EPES (Private) Simulation of average the UVS to forecasts, State subsidies to the operating UVS will rapidly stabilize in budget 2015, then fall as from 2016/2017. Equity resources (coming from miscellaneous services) are expected to represent 68% of the UVS sources of financing as from 2016/2017. Its unit costs are projected to be relatively low initially (almost two times lower than the national average, and nearly four times less than UGB or UADB - see Figure 2). Later, the trend will be downward (nearly 34% in 2014/2015). The difference between the unit costs of 2013/2014 and those of succeeding years stems from the weight of start-up costs (those borne during the first fiscal year).

3.2 Environmental and Social Impact

Environment

3.2.1 The project is classified in Environmental Category 2, pursuant to Bank’s conservation policies. An environmental assessment was conducted, which clearly identified the negative impacts of works and proposed mitigation measures. During the construction phase, these measures include: (i) ensuring materials and rubble management, and tackling possible nuisances (dust, noise); (ii) making arrangements for appropriate facilities (ramps, board) to facilitate access to buildings for blind people or those with impaired mobility; and (iii) using eco-friendly technologies that can improve the energy efficiency of the ENOs. In the operation phase of the ENOs, the concern will also be to keep the premises clean by putting in place an adequate arrangement for collection and elimination of garbage and liquid wastes. The ENOs will be equipped with security arrangements comprising an emergency evacuation plan and first intervention equipment (fire extinguishers, other tools and first aid box). ENO staff will be trained to activate the evacuation plan and use intervention tools. All advocated measures and means for implementing them are detailed in the Environmental and Social Management Plan whose summary is attached to this report as Technical Annex B.8. The Directorate of the Environment and Establishments (DEEC) will support the project by supervising the ESMP implementation. The financial impact of ESMP implementation was estimated at CFAF 10,000,000 (ten million) and incorporated in the project cost under monitoring and evaluation cost.

4 Senegal: Research and Employment – Path to Prosperity , Country Economic Memorandum, (World Bank, PREM 4 Africa Region, September 2007)

Climate Change

3.2.2 The small surface areas of the UVS and the ENOs will not significantly raise Senegal’s greenhouse gas emissions. According to official reports, per capita CO2 emission levels in Senegal are the lowest in the world. Changes in CO2 emissions therein will normally be very slow and, with the implementation of this project, impact on climate change will not be significant. For IT and communication equipment, thin clients which consume less energy and can use solar power are expected, alongside laptop computers. In the same vein, cloud computing will allow for limiting to the minimum the use of heavy equipment (servers). It will be recalled that the UVS head office will be built in Cité du Savoir (a smart, eco-friendly and sustainable city combining ICTs with renewable energies).

Gender

3.2.3 The project will foster the access of over 40% of young female “A” Level holders to higher education and contribute to greater inclusion. Women constitute 52% of the total population and 48% of the labour force, most of whom live below the poverty line, especially in rural areas. About 28% of households headed by a woman are extremely poor, against 25% for households headed by a man. There are wide regional disparities, except for the Dakar region where there are more girl “A” level holders than boys. Girls are also under- represented in public universities (33.23% of enrolments on average). The UVS takes into account some major constraints confronting women in the pursuit of their studies and which explain their poor representation in higher education. In particular, these include constraints linked to long distances and the absence of accommodation for those having to go to town where they have no one (not to mention married women and/or those raising children).

3.2.4 Therefore, the project will help to widen girls’ access to higher education through several incentive measures. These measures include the granting of scholarships to girls from underprivileged social backgrounds and the provision of appropriate pedagogic and digital equipment. The UVS will offer flexible study spaces and the possibility for married girls to study at home or in an ENO situated in their locality of residence. Since girls in Senegal are more inclined to vocational training (3 years at most after the “A” level), the UVS training programmes will attract them, with opportunities for acquiring skills to improve their employability. These measures will be implemented concurrently with a series of actions geared towards improving the upstream information and guidance system for steering girls towards the more promising science, technology and professional streams. With regard to quality, the UVS will establish a gender-sensitive quality assurance arrangement in institutional and academic practices. The training plan of lecturers and trainers will include gender modules. An internal assessment will be conducted every two years to measure the effectiveness of the system.

3.2.5 Further, the UVS will negotiate corporate internship positions during training in partnership with the private sector, the priority being to integrate female graduates. The latter will in turn contribute to sensitize and mentor other girls wishing to enrol in the UVS. In the long run, the system will help to ensure a higher integration rate for girls. Lastly, by offering training to female students and female workers wishing to upgrade their level of qualification, the UVS will catalyse access to opportunities for women’s social inclusion.

Social and Economic Impact

3.2.6 The project will allow for fairer access to higher education. As indicated above, the implantation zones of the ENOs are those with the greatest number of “A” Level holders. The 5 ENOs will contribute to address the growing demand, allowing at the outset for the yearly admission of 5,000 high school leavers into the public higher education system. Hence, the project will help to keep youths in their regions of origin by promoting income- generating activities and the creation of VSME, on the one hand, and mitigate student demands and frequent social tensions caused by the non-guidance of new “A” level holders for want of space, on the other. The project will also contribute to the quantitative and qualitative development of higher education in Senegal, making it possible to open up, decentralize and diversify the supply of training. The UVS will absorb close to 20,000 students by 2018, thus helping to standardize university enrolments and improve the quality of pedagogic supervision. It will also lessen pressure on traditional public universities whose intake capacity has stretched to saturation point. In view of the country’s economic fabric that does not allow for offering sufficient quality jobs to higher education graduates, the project is based on the promotion of entrepreneurship as a sure lever for innovation, competiveness and self-employment. This thrust will help to boost the internal and external efficiency, especially by raising the quality of teaching and relations with the labour community.

3.2.7 Through the promotion of ICTs, the UVS will contribute to Senegal’s transition to the information society. In fact, the information society opens untold prospects in many fields of daily life. For this to materialize, access to the digital culture must be widespread. Schools, in general, and universities, in particular, as basis of the “information society”, can make a decisive contribution in this regard. The concern for education and training is not only inclusion in the information society (e-inclusion) but also consideration of new skills needs – essential for competitiveness – and the innovative capacity of national economies, notably the mastery of the use of ICT in the professional context. The UVS provides such a context since it allows for: (i) devising a public strategy of support to innovation and assistance to digital development; (ii) providing an appropriate response to the challenge posed to higher education by the new digital environment, and geared toward the production of digital skills; (iii) proposing an appropriate and relevant establishment model for the “digital native” generation; (iv) proposing a tool for training quality human resources; (v) tackling the demographic pressure suffered by standard higher education establishments; and (vi) having a regional development tool.

3.2.8 The project contributes to the country’s economic development by strengthening the professionalization of higher education and its accessibility to various segments of society. Diversifying higher education offer through short- and medium- duration (3 years) certificate-based training courses accessible to the public and in streams responding to market needs will strengthen the employability of youths and improve the quality of human capital needed to achieve the production objectives assigned in the SNDES. The capacity of higher education staff will be strengthened for 100% of PER (40% of them women) as well as for 60% of PATs (40% of them women). The ENOs will also be open spaces, user-friendly work places that will offer their resources to students and other society stakeholders. Technical Annex B.1.2 presents the list of streams and the corresponding trades.

3.2.9 The UVS offers Senegal an efficient model that can be replicated for skills development in higher education. The innovative university model proposed by the project will also enable the Government to standardize this approach which will ultimately make it possible to obtain substantial savings on expenditure items related to heavy infrastructure 11

(faculties, libraries…). As a flexible, hands-on and economical solution for accessing knowledge and opportunities for skills development, the UVS will enable thousands of young Senegalese to develop their know-how, strengthen their employability and find a job.

Forceful Resettlement

3.2.10. The project activities will not lead to any forceful population displacement. They will have no impact or restrict access to goods or to means of livelihood.

IV. IMPLEMENTATION

4.1 Implementation Arrangement

Executing Agency

4.1.1 The project will be supervised by the Ministry of Higher Education and Research (MESR) and implemented by the General Directorate of Higher Education (DGES), which coordinates higher education projects, including the PGF-Sup project (World Bank). DGES’s capacity in the technical and financial management of projects was assessed. This assessment, details of which are attached as Technical Annex B5.3, indicates that DGES has experience in implementing sector projects and that it can satisfactorily coordinate the implementation of this project. However, to enable it cope with the additional specific tasks under this new project, it will be strengthened with a light team led by a coordinator whose appointment must be submitted for Bank approval. The project coordinator will establish an adequate fiduciary framework and operational arrangement and will be responsible for monitoring and evaluation. He/she will benefit from the support of an accountant and procurement expert to be recruited on a competitive basis.

Steering Committee

4.1.2 The Government will set up a steering committee to conduct the UVS design phase. The committee will be chaired by the Minister of Higher Education and comprise representatives of the private higher education sector, employers, representatives of ministries, universities and higher education institutions as well as institutions responsible for ICT regulation and management. This steering committee will ensure compliance with the general orientation of the project and facilitate consultations. It will validate annual work plans and the corresponding budget, and approve the technical and financial reports of each year.

Procurement Arrangement

4.1.3 Procurements financed by Bank resources will be done pursuant to national procedures for local competitive bidding (goods and works), in accordance with Decree No. 2011-1048 of 27 July 2011 instituting the Public Procurement Code. This provision arises from the conclusions of the assessment of Senegal’s national procurement procedures conducted by the Bank in March 2010. Procurements will comply with Bank Rules and Procedures (May 2008 edition, revised in July 2012) and will use standard Bank documents for international competitive bidding (goods and works) and consultations by shortlist (services). The project’s procurement plan (PP) was drafted for a period of 18 months based on the Bank’s model. A summary of procurement methods is given in Annex IV, while the details and the PP are attached as Technical Annex 5.

Disbursement Arrangements and Financial Management

4.1.4 Loan resources will be disbursed using three methods: special account, direct payment and reimbursement. The Government will open: (i) a special account in the name of the project to receive the ADF loan resources meant to finance recurrent operating and training expenses; and (ii) an account bearing the project’s name into which counterpart funds are transferred. The Letter of Disbursement will specify additional instructions and detailed procedures to be complied with for the withdrawal of funds. The Bank reserves the right to take precautionary measures pursuant to the General Conditions for, among other things, the suspension of disbursement of funds in case of non-compliance with its fiduciary requirements.

Financial Management

4.1.5 An accounting system will be put in place. It must at least comprise modules of budgetary accounting, general accounting and cost accounting. The executing agency will keep project books and accounts, in conformity with the principles of double entry commitment accounting, while taking into account the specificities of development projects. As soon as the financing is approved, the Ministry of Higher Education and Research will engage the following actions: (i) establishment of the project management team within the General Directorate of Higher Education (DGES) and appointment of the unit coordinator; (ii) recruitment of financial management and procurement experts; (iii) design of the administrative, financial and accounting procedures manual; (iv) procurement of the accounting software (multi-projects), configuration of the software and training of staff; (v) recruitment of an external auditor; and (vi) opening of a special account in a commercial bank acceptable to the Bank. Detailed data on financial management and disbursement are provided in Annex B.6.

Audit

4.1.6 Annual financial statements prepared by the executing agency as well as the internal control system will be audited by an audit firm in line with terms of reference approved by the Bank. The executing agency must submit accounts audit and internal control reports to the Bank within six months of the end of the financial year.

4.2 Monitoring

4.2.1 Project activities and indicators defined in the project logical framework will be monitored internally by the Project Manager, who should have monitoring/evaluation skills. The executing agency shall draft quarterly progress and annual reports, and submit same to the Bank. All reports must be compliant with the Bank’s formats. On project completion, the executing agency will, with the support of a consultant, draft and forward a completion report to the Bank. Quarterly and annual reports will be prepared pursuant to the relevant Bank guidelines. Gender-disaggregated data will be provided in the reports. Complementary basic data will be collected where applicable, according to the performance indicators adopted for the project. Monitoring of the ESMP will be included in quarterly and annual reports.

4.2.2 The external monitoring/evaluation system will be designed based on the output and outcome indicators defined in the logical framework. The Bank will undertake at least two (2) supervision missions each year. The Banks’ Field Office in Senegal (SNFO) will

coordinate monitoring missions and also closely oversee the project implementation. After fifteen (15) months of implementation, the project will be subject to a mid-term review that will consider the progress achieved in relation to the logical framework indicators and annual activity plans.

4.2.3 Impact assessment will be an integral part of monitoring/evaluation through surveys scheduled as a means of verifying the indicators. In this regard, the project will support the establishment of a system to help collect relevant data as activities are implemented. Impact will also be measured by comparing performance in terms of academic results, on the one hand, and the employability (integration rate) of graduates of traditional universities and the UVS, on the other. The project completion report will be prepared jointly by the Borrower and the Bank. The implementation schedule of the main activities is summarized as follows.

Table 4.2 Implementation Schedule of Main Monitoring Activities

Activitie s Period Responsibility Loan Approval December 2013 ADF General Procurement Note December 2013 ADF Signature of Loan Agreement January 2014 ADF/GOV Loan Effectiveness January 2014 ADF Start-up of Project Mission February 2014 ADF/GOV/PROJECT TEAM Mid-term Review Mission July 2015 ADF/GOV/PROJECT TEAM Recruitment of CF for UVS and ENO Studies March 2014 PROJECT TEAM Design Studies and BD May 2014 PROJECT TEAM Publication of Works Pre-selection Notice June 2014 PROJECT TEAM BETWEEN../FIRMS/PROJECT Implementation of Works Nov. 2014 – May 2016 TEAM Design BD for equipment of UVS Head Office and the ENOs March 2014 PROJECT TEAM Publication of BDs June 2014 PROJECT TEAM Submission, Evaluation of Bids and Contract Award August 2014 PROJECT TEAM Equipment Delivery December 2014 SUPPLIERS/ PROJECT TEAM PER and PATS Training April 2014 – June 2015 SPECIALIZED INSTITUTIONS Annual Audit Missions From March 2015 AUDIT FIRM

4.3 Governance

4.3.1 Since the advent of the second changeover in March 2012, the State of Senegal has been working in earnest to clean up public finances and gradually put in place institutional mechanisms to improve political, economic and financial governance. This enabled the country to improve its ranking on the Corruption Perception Index 2012, moving from the 124th position in 2011 to 94th in 2012. The Bank also notes that the management of projects has improved and that control mechanisms in force are deemed satisfactory overall. The overall score of the Bank portfolio rose from 2.01 in 2009 to 2.49 in 2012 on a scale of 0 to 3. The assessment of the national procurement system conducted by the Bank in 2011 led to the conclusion that Senegal’s national procurement procedures are generally satisfactory.

4.3.2 In the specific area of higher education, profound reforms are being implemented under PDESR with World Bank support. PGF-Sup supports reforms dealing with the following and other aspects: quality assurance; wider access; upgrading of existing ICT networks; installation of a centralized information system and balancing of university budgets. Established in 2013, the CampuSen platform allows for the online registration of students (after the GCE A Level), and an efficient centralized management of flows including scholarships, making stricter and more transparent monitoring possible. All these reforms contribute to strengthening governance in the sector. 14

4.4 Sustainability

4.4.1 The sustainability of the UVS rests on the fact that the technological platform is based on a well-established national network and on the contributory potential of national and international partners. Government made the UVS an integral part of the national public higher education system and the higher education reform programme. Moreover, through ADIE and SONATEL, the national infrastructure in place facilitates students’ and lecturers’ access to UVS’s digital resources. The memorandum of understanding signed with Korean Telecom offers bright prospects for consolidating the technology platform and training of trainers.

4.4.2 The involvement of private stakeholders at various levels contributes to the relevance and sustainability of the UVS. The UVS design is the fruit of collaboration between national stakeholders from higher education, ICT and production sectors with a high job-creating potential (represented by employers). All these stakeholders are part of the Steering Committee put in place by the Government to define the institutional and academic framework of the UVS (including identification of trades and hence, the necessary skills and streams). Private telecommunication operators are indispensable partners for the development of the UVS for which ICTs are the backbone. The partnership with private stakeholders will be continued through their involvement in the steering committee, their participation in periodic needs reviews and training programmes, the organization of industrial internships, assistance in setting up incubators, and the offer of scholarships and equipment. This partnership will also be extended to all production stakeholders wishing to contribute to and benefit from local skills development.

4.4.3 Support measures are implemented by the Government to back the UVS approach. One of these measures with a decisive impact on the sustainability of the UVS is the “one student, one PC” programme put in place by universities with Government support. This will enable students to easily procure a subsidized laptop. The PC is subsidizes 50% by the State and the remaining 50% balance is reimbursed by instalment by students over 24 months. There are plans to strengthen this national programme called “one student, one PC”, which will facilitate students’ access to the internet and the UVS programme. Further, the Government will exceptionally grant scholarships to students from poor backgrounds alongside a special reduction of registration fees for girls. These social benefits will help to boost access to the UVS and encourage the target categories to remain in the training system until they obtain their certificates.

4.4.4 After initial capital costs, the UVS unit costs will be lower than those of traditional universities. As indicated earlier (paragraph 3.1.2), forecasts and comparisons of unit costs show that costs at the UVS are by far lower than in current universities. In addition to allowing for greater access to higher education, UVS represents a less costly approach.

4.5 Risk Management

To ensure the success of the project, mitigation measures are planned to address the risks identified. The main risks presented in the following table are indicated in the results-based logical framework matrix.

Table 4.5 Risks and Mitigation Measures Risk Level Mitigation Measure Inadequacy between training and Moderate Selection of training streams with a high employment needs potential in terms of employability Delay in the construction of the Moderate Early design of BDs for the selection of a ENOs and the central structure specialized consulting firm to monitor the construction works Unstable electricity network Moderate There are plans by the ENO to procure a preventing permanent access to power generator; the students are good connection provided with PCs with extensive battery autonomy Lecturers are slow/unwilling to Moderate Sensitization and training adapt

4.6 Knowledge Building

This project design process offers the Bank a source of knowledge on putting in place a virtual university in a national context. This experience supplements those acquired through regional operations (AVU projects and the SADC Project). Undertaken in a country where efforts are being made in the ICT sector, this operation could help to adapt similar interventions in a less favourable context. Information on this experience will be available to the public via the Bank’s communication channels.

V. LEGAL FRAMEWORK

5.1 Legal Instrument

The project will be financed by an ADF (the Fund) loan of UA 3.38 million and a UA 1.10 million counterpart contribution from the Republic of Senegal (the Borrower). The project’s legal framework will be a Loan Agreement to be concluded between the Republic of Senegal and the Bank.

5.2 Conditions Associated with the Bank’s Intervention

5.2.1 Conditions precedent to effectiveness. Effectiveness of the Loan Agreement shall be subject to fulfilment by the Borrower of the conditions defined in Section 12.01 of the General Conditions Applicable to Loan Agreements and Guarantee Agreements (sovereign entities).

5.2.2 Conditions precedent to first disbursement of loan resources. The obligation for the Fund to effect the first disbursement of the loan shall be subject to effectiveness of the Loan Agreement, pursuant to the provisions of paragraph 5.2.1 above, and to evidence of fulfilment, to the satisfaction of the Bank both in form and substance, of the following specific conditions:

i) Submit to the Fund evidence of opening an account in a bank or banks deemed acceptable by the Fund, meant to receive a part of loan resources intended to finance operating costs.

5.2.3 Other conditions: The Borrower shall also submit to the Fund:

i) At most three (3) months after first disbursement of the loan, the project administrative and financial procedures manual; and

ii) Not later than three (3) months following effectiveness, evidence of recruiting senior staff of the project team, comprising a Project Coordinator, an Accountant and a Procurement Specialist whose qualifications and experience shall be approved beforehand by the Fund. (4.1.1).

5.2.4 Commitments. In addition, the Borrower undertakes to:

(i) Implement the Environmental and Social Management Plan (ESMP), and submit in a form acceptable to the Fund, quarterly reports on the implementation progress of this plan.

5.3 Compliance with Bank Policies

This project complies with all applicable Bank policies. It will be implemented as part of the Bank’s intervention strategy in Senegal defined in the CSP (2010-2015), reviewed at mid-term and approved by the Board in April 2013 as well as the Bank’s (2013-2022) Ten- Year Strategy.

VI. RECOMMENDATION

By contributing to improving the access of youths (girls and boys) to higher education through the use of ICTs at the national level and by strengthening their employability through training adapted to market needs, the project constitutes a major support to Senegal as it strives to build a knowledge-based economy and greater social inclusion. Management hereby recommends that the Board of Directors approve the proposal to grant a loan of UA 3.38 million to the Government of Senegal for the purpose and under the terms defined in this report.

Annex I Country’s Comparative Socio-Economic Indicators Senegal COMPARATIVE SOCIO-ECONOMIC INDICATORS

Develo- Develo- Year Senegal Africa ping ped Countries Countries Basic Indicators GNI Per Capita US $ Area ( '000 Km²) 2011 197 30 323 98 458 35 811 Total Population (millions) 2012 13,7 1 070,1 0,0 0,0 1800 1600 Urban Population (% of Total) 2012 42,8 40,8 47,1 78,0 1400 Population Density (per Km²) 2012 64,9 34,5 69,8 23,5 1200 1000 GNI per Capita (US $) 2012 1 040 1 604 3 795 37 653 800 Labor Force Participation - Total (%) 2012 40,5 37,8 68,7 72,0 600 400 Labor Force Participation - Female (%) 2012 43,9 42,5 38,9 44,5 200

Gender -Related Dev elopment Index Value 0

2003 2006 2010 2005 2007 2008 2009 2011 2007-2011 0,457 0,525 0,694 0,911 2004 Human Dev elop. Index (Rank among 187 countries)2008-2012 154 ...... Popul. Liv ing Below $ 1.25 a Day (% of Population)2009-2011 29,6 40,0 20,6 ... Senegal Africa Demographic Indicators Population Grow th Rate - Total (%) 2012 2,9 2,3 1,3 0,3 Population Grow th Rate - Urban (%) 2012 3,6 3,4 2,6 0,7 Population < 15 y ears (%) 2012 43,5 40,0 28,5 16,4 Population >= 65 y ears (%) 2012 3,0 3,6 6,0 16,6 Population Growth Rate (%) Dependency Ratio (%) 2012 84,3 77,3 52,6 49,2 3,5 Sex Ratio (per 100 female) 2012 96,1 100,0 103,3 94,3 3,0 Female Population 15-49 y ears (% of total population) 2012 24,4 49,8 53,3 45,6 2,5 Life Ex pectancy at Birth - Total (y ears) 2012 63,3 58,1 68,2 77,7 2,0 1,5 Life Ex pectancy at Birth - Female (y ears) 2012 64,7 59,1 70,1 81,1 1,0 Crude Birth Rate (per 1,000) 2012 38,1 33,3 21,4 11,3 0,5

0,0

2007 2008 2009 2010 2011 2012 2005 2006 Crude Death Rate (per 1,000) 2012 7,7 10,9 7,6 10,3 2004 Infant Mortality Rate (per 1,000) 2012 49,6 71,4 40,9 5,6 Child Mortality Rate (per 1,000) 2012 74,3 111,3 57,7 6,7 Total Fertility Rate (per w oman) 2012 5,0 4,2 2,6 1,7 Senegal Africa Maternal Mortality Rate (per 100,000) 2006-2010 370,0 415,3 240,0 16,0 Women Using Contraception (%) 2012 13,9 34,5 62,4 71,4

Health & Nutrition Indicators Phy sicians (per 100,000 people) 2004-2010 5,9 49,2 103,7 291,9 Life Expectancy at Birth Nurses (per 100,000 people)* 2004-2009 42,0 133,0 168,7 734,3 (years) Births attended by Trained Health Personnel (%) 2006-2010 65,1 53,7 64,3 ... Access to Safe Water (% of Population) 2011 73,4 67,8 86,5 99,1 71 61 Access to Health Serv ices (% of Population) 2000 90,0 65,2 80,0 100,0 51 Access to Sanitation (% of Population) 2011 51,4 40,2 56,8 96,1 41 31 Percent. of Adults (aged 15-49) Liv ing w ith HIV/AIDS 2011 0,7 4,6 0,9 0,5 21 Incidence of Tuberculosis (per 100,000) 2011 136,0 234,6 146,0 23,0 11

2007 2011 2012 2005 2006 2008 2009 2010 Child Immunization Against Tuberculosis (%) 2011 95,0 81,6 83,9 95,4 2004 Child Immunization Against Measles (%) 2011 82,0 76,5 83,7 93,5

Underw eight Children (% of children under 5 y ears) 2006-2011 19,2 19,8 17,0 1,4 Senegal Africa Daily Calorie Supply per Capita 2009 2 479 2 481 2 675 3 285 Public Ex penditure on Health (as % of GDP) 2010-2011 3,5 5,9 2,9 7,4

Education Indicators Gross Enrolment Ratio (%) Primary School - Total 2009-2012 86,2 107,0 107,8 102,7 Infant Mortality Rate Primary School - Female 2009-2012 89,0 103,1 106,2 102,3 ( Per 1000 ) Secondary School - Total 2009-2012 42,1 46,3 66,4 100,4 Secondary School - Female 90 2009-2012 40,3 41,9 65,1 100,0 80 Primary School Female Teaching Staff (% of Total) 2009-2012 30,6 39,2 58,6 81,3 70 60 Adult literacy Rate - Total (%) 2009 49,7 71,5 80,2 … 50 40 Adult literacy Rate - Male (%) 2009 61,8 78,4 85,9 … 30 20 Adult literacy Rate - Female (%) 2009 38,7 64,9 74,8 … 10

2005 2007 2009 2012 2006 2008 2010 2011 Percentage of GDP Spent on Education 2008-2010 5,6 5,3 4,5 5,5 2004

Environmental Indicators Land Use (Arable Land as % of Total Land Area) 2011 20,0 7,6 10,7 10,8 Senegal Africa Annual Rate of Deforestation (%) 2000-2009 0,7 0,6 0,4 -0,2 Forest (As % of Land Area) 2011 43,8 23,0 28,7 40,4 Per Capita CO2 Emissions (metric tons) 2009 0,4 1,2 3,0 11,6

Sources : AfDB Statistics Department Databases; World Bank: World Development Indicators; last update : october 2013 UNAIDS; UNSD; WHO, UNICEF, WRI, UNDP; Country Reports. Note : n.a. : Not Applicable ; … : Data Not Available.

Annex II Table of the Bank’s Public Sector Portfolio in Senegal (Portfolio of Active National Projects as at 23 October 2013) Sector Approval Amount Disbursement Type Classification* Project Name Date (UA) Rate

1 TRANSPORT ADF 15/07/2009 45,000,000 96.9 Non PP/Non PPP Dakar – Diamniadio Highway Loan

WATER AND SANITATION ADF 2 Second Rural DWSS Sub-programme 18/02/2009 30,000,000 71.9 Non PP/Non PPP Loan (PEPAM II)

AWF 3 Project to Improve the Management and 23/04/2013 1,395,086 - - Grant Value of Sludge in Ziguinchor

AGRICULTURE ADF Small Local Irrigation Support Project 31/01/2011 8,400,000 4 Loan 59.4 Non PP/Non PPP (PAPIL) – supplementary loan

5 Rural Development Support Project in ADF 75.2 Non PP/Non PPP 19/10/2005 20,000,000 Casamance (PADERCA) Loan

Food Security Support Project in the

6 Louga, Matam and Kaffrine Regions ADF - - 26/04/2013 2,000,000 (GAFSP) Loan

Community Roads Project in Support of

7 the National Local Development ADF - - 17/07/2013 15,000,000 Programme (PPC/PNDL) Loan

Project to Restore the Ecological and

8 Economic Functions of Lake Guiers ADF - - 04/09/2013 15,000,000 (PREFELAC) Loan

ADF ENERGY 13/10/2004 9,580,000 38.3 PPP Loan 9 Rural Electrification Project

SOCIAL 10 Project to Support Skills Development ADF 23/10/2013 21,190,000 - - and Youth and Women’s Loan Entrepreneurship for the Promotion of Employment (PAPJEF) GOVERNANCE

Private Sector Promotion Support Project ADF 11 (PAPSP) 10/09/2012 4,040,000 Loan 5.0 Non PP/ Non PPP

Inclusive Growth and Economic

12 Competitiveness Support Programme 19/06/2013 25,540,000 ADF - (PACICE) Non PP/ Non PPP Loan

TOTAL 197,145,087 45.2 1 ARP / 12 * Classification (extracted from SAP): PP Problematic Project PPP Potentially Problematic Project ARP At-Risk Project (project classified as PP or PPP)

Annex III

Key Interventions of the State and Development Partners in Higher Education Relevant to the UVS

Partners Project or Amounts Spheres of Activity Period Document (CFAF) State of Senegal CCB 800 million Project counterpart with AfDB 1.2 billion For UVS equipment 400 million Interconnection (UVS will benefit from this just as other the universities) 1.5 billion Cité du savoir (UVS will benefit from this just like other universities) 2014 1 billion One Student - One Computer Project (UVS will benefit from this just like the other universities) 200 million New budget chapter for the recruitment of a consulting or assistance firm (UVS will benefit from this just like the other universities) World Bank PGF-Sup 50 billion UVS will also benefit from the 2012- following activities : 2016 – Higher education governance and financing – Interconnection – ICT development IDB Request 2,500,000,000 Construction of ENO From submitted 2014 KOICA Request - Construction of ENO From … submitted Korean telecom MOU - Support for the establishment of a As from Cloud Computing Centre 2014 Construction of Cité du savoir – City of Knowledge Construction of ENO Seoul Cyber University - Pedagogic support 2014 Capacity-building Commodity Aid (ITALY) Financing 500,000,000 Construction of ENO 2014 Agreement China (Huawei) Technical support - Construction of ENO India - - Provision of professional training 2014 courses in diverse fields Sonatel, Tigo, Expresso - - Interconnection - ADIE - - Technical support + - interconnection ARTP Agreement - Technical support - UVA - - Support - UNESCO (Project to Support ICT - - Technical support and equipment - Development in Higher Education (UVS will benefit from this just Institutions of WAEMU countries - like the other universities) PADTICE)

Annex IV Diagram of UVS Technological Platform

Annex V Summary of Procurement Modalities

Project Expenditure Categories UA Million Use of National Use of Bank Contracts Total Procurement Rules and Financed by Arrangements Procedures the Bank

WORKS Construction of the UVS Head Office and the ENOs 2.46 (1.40) 2.46 (1.40) GOODS IT Equipment 1.1 (1.1) 1.1 (1.1)

Office Furniture and Equipment 0.23 (0.23) 0.23 (0.23) SERVICES Study and Works Control 0.07 0.07) 0.07 (0.07)

Strategic Plan and Business Plan 0.03 (0.03) 0.03 (0.03)

Individual Consultants 0.23 0.23) 0.23 (0.23)

Monitoring/Evaluation 0.03 (0.03) 0.03 (0.03)

Audit (0.05) 0.05 (0.05)

Operating Costs 0.28 (0.28) 0.28 (0.28)

Total 2.97 (1.91) 1.51 (1.51) 4.48 (3.38)

Note: Figures in parenthesis ( ) concern amounts financed by ADF

Annex VI Administrative Map of Senegal with Intervention Zones

This map is provided by the African Development Bank exclusively for the use of the readers of the report to which it is attached. The names used and the borders shown do not imply on the part of the Bank and its members any judgment concerning the legal status of the territory nor any approval or acceptance of these borders.