Public Disclosure Authorized
REPORT ON THE IBRD LOAN ACCOUNT
OF THE MINISTRY OF EDUCATION AND RESEARCH Public Disclosure Authorized LOAN (8481 - RO) FOR THE SECONDARY EDUCATION PROJECT
FOR THE PERIOD STARTING FROM JANUARY 1V, 2019 UP TO DECEMBER 31', 2019 Public Disclosure Authorized Public Disclosure Authorized MINISTRY OF EDUCATION AND RESEARCH LOAN (8481 - RO) FOR THE SECONDARY EDUCATION PROJECT 31 DECEMBER 2019 - all the amounts are expressed in EUR, unless otherwise stated
Contents
IN D EPEN DENT A U D ITO R'S REPO RT ...... 2 LIST O F A BBREV IAT IO NS...... LI..ST.BB,..,,.N G EN EERA A.N. L IN FO RMAT1 ...... ,EN ..... 9 1. STATEMENT OF RESOURCES AND USES OF FUNDS...... 14 2. STATEM ENT O F EXPEN D ITU RES ...... - . -...... 17 3. FINANCIAL STATEMENT OF THE LOAN...... 17 4. PROJECT COMMITMENTS AS AT 31 DECEMBER 2019...... 19 5. ACCOUNTING POLICIES AND RECORDS...... 22 6. BANK ACCOUNTS UTILIZED WITHIN THE PROJECT, STATEMENT OF DESIGNATED ACCOUNT...... 23 NOTES TO THE PROJECT FINANCIAL STATEMENTS ...... 26 MOORE
MOORE STEPHENS K5C ASSURANCE SRL 175 Calea Floreasca, Floreasca Tower Building, 13th floor, District 1 Bucharest - Romania T +4 0374 490 074 F +4 0374 094 191 E [email protected] www.rmoorestephens-ksc.ro
We have audited the accompanying financial statements of the Secondary Education Project which comprise the Project Sources and Uses of Funds for the period January 01, 2019 - December 31, 2019 ('the Financial Schedules"). The project is financed by the International Bank for Reconstruction and Development (IBRD) through the Loan no. 8481 - RO signed on April 17, 2015. We have assessed 10% of the beneficiaries of the Project as required within contract. as detailed in Appendix 1 accompanying the report. In our opinion, the accompanying Financial Schedules for the period 1 January 2019 to 31 December 2019 are prepared, in all material respects, in accordance with the generally accepted accounting principles and practices and relevant World Bank guidelines.
We conducted our audit in accordance with International Standards on Auditing (ISAs) including ISA 800 "Special Considerations - Audits of Financial Statements Prepared in Accordance with Special Purpose Frameworks" and according to the corresponding requirements of the World Bank. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Project Financial Statements section of our report. We are independent of the Project in accordance with ethical requirements that are relevant to our audit of the financial statements in Romania, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
We draw attention to Note 5 to the Financial Schedules which describes the going concern basis of preparation. Financing has been reduced compared to planned budget for the project. The objectives of the project are delayed due to the aforementioned issue. Our opinion is not modified in respect of this matter.
We draw attention to Point 5 to the Financial Schedules which describes the basis of accounting. The Financial Schedules are prepared to assist the Project in complying with the financial reporting provisions of the contract referred to above. As a result, the Financial Schedules may MOORE not be suitable for another purpose. Our report is intended solely for the UMEFP and IBRD. Our opinion is not modified in respect of this matter.
Management is responsible for the preparation of the Project Financial Statements in accordance with cash basis of accounting and the General Conditions for the loans issued by IBRD and for such internal control as management determines is necessary to enable the preparation of the Financial Schedules that are free from material misstatement, whether due to fraud or error. In preparing the Financial Schedules, management is responsible for assessing the UMEFP's ability to continue as a going concern, disclosing, as applicable matters relating to going concern and using the going concern basis of accounting unless management either intends to liquidate the UMEFP or to cease operations, or has no realistic alternative but to do so. Those charged with governance are responsible for overseeing the UMEFP's financial reporting process.
Our objectives are to obtain reasonable assurance about whether the Financial Schedules as a whole are free from material misstatement, whether due to fraud or error, and to issue and auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on a basis of these Financial Schedules. As part of an audit in accordance with ISAs. we exercise professional judgement and maintain professional skepticism throughout the audit. We also:
* Identify and assess the risks of material misstatement of the Financial Schedules, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion. forgery. intentional omissions. misrepresentations. or the override of internal control. * Obtain and understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Project's internal control. * Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management. * Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Project's ability to continue as a going concern. If we conclude that a material uncertainty exists. we are required to draw attention in our auditor's report to the related disclosures in the Financial Schedules or, if such disclosures are inadequate, to modify our opinion. Our conclusion are based on the audit evidence obtained up to the date of our auditor's report. However. future events or conditions may cause the Project to cease to continue as a going concern. MOORE
We communicate with those charged with governance regarding, among other matters. the planned scope and timing of the audit and significant audit findings. including any significant deficiencies in internal control that we identify during our audit.
The Project accounting policy is to prepare the Financial Schedules on cash basis of accounting principle as described in Note 4 to Financial Schedules. On this basis revenue is recognized when received rather than when earned, and expenses are recognized when paid rather than when incurred. This report relates only to the Financial Schedules as specified above and does not extend to any Financial Schedules of Project Management Unit for the period 1 January 2019 to 31 December 2019 or any other period taken as a whole.
MAMAS KOUTSOYIANNIS
registered on the Romanian Chamber of Financi@ Auditors no. 1515/25.09.2003 registered with the Authority for the Publio Ovtrsight of the Statutory Audit Activity (ASPAAS) with the number 117573 / 23.01.2020/ MOORE STEPHENS KSC ASSURANCE
On behalf of MOOR STEPHENS KSC ASSURANCE S.R.L.:
registered with the Chamber of Financial Auditors in Romania with number 1266 /07.09.2015 registered with the Authority for the Public Oversight of the Statutory Audit Activity (ASPAAS) with the number 117794/ 06.02.2020
Bucharest, 31 July 2020 MOORE
Appendix 1
No Beneficiaries Grant No./approval date Approved Grant Amount
1 Colegiul Tehnic de Posta *i Telecomunicatii "Gheorghe SGUR 1/35/27 06.2017 686.324 Airinei"
2 LICEUL TEHNOLOGIC "GRIGORE MOISIL"BRAILA SGL56/27.06.2017 450.000
3 LICEUL TEORETIC MURFATLAR SGL/RI119/27.06.2017 450.050
4 Liceul Tehnologic "Birsesti" SGUR/137/27.06.2017 686.250
5 LICEUL TEHNOLOGIC "AUREL VLAICU" GALATI SGLR1/142127.06.2017 686.326
6 Colegiul Tehnic,,Matei Basarab"Caracal SGU212/27.06.2017 685.800
LICEUL TEORETIC "PETRE PANDREA" BALS, SGUR11213127.06.2017 450.050 JUD.OLT
8 Liceul Teoretic "lonita Asan" Caracal SGURI/214/27.06.2017 656.326
9 Liceul Tehnologic "Ion Popescu"-Cilieni SGLRI/215/27.06.2017 450.050
10 LICEUL TEHNOLOGIC NR.1 GILGAU SGLIR1/223/27.06 2017 315000
11 Liceul Tehnologic "Gheorghe Pop de Basesti" Cehu SGL/R1/224/27.06.2017 450.050 Silvaniei, Salaj
12 Colegiul Agricol "Dimitrie Cantemir" Husi SGL/R/269/27.06.2017 686 250
13 LICEUL "HOREA, CLO$CA $1 CRI$AN" ABRUD, jud. SGUR1/278/27.06 2017 451.290 ALBA
14 Liceul Tehnologic, Constantin Brincufi" Piteqti SGUR1l/314/01.10.2018 688.217
15 Colegiul Tehnic Gheorghe Asachi SGLR/131W01. 10.2018 688.217
16 Colegiul Tehnic "Costin D. Nenitescu" Braila SGLR1l/324/01 10.2018 688.217
17 Liceul Tehnologic "Constantin Brancoveanu" SGLR1I/356(01.10.2018 688.217
18 LICEUL TEHNOLOGIC 'ORDACHE GOLESCU" SGURI/1359/01.10.2018 688.217
19 Liceul Teoretic "Ion Ghica" Racari, Dambovita SGLR1l/364/01 10.2018 451.108
20 Liceul Tehnologic "Goga lonescu" Titu SGLR1I/36Y01. 10.2018 685 929
21 LICEUL TEHNOLOGIC "STEFAN ANGHEL" SGURl/368101.10 2018 688.216
22 COLEGIUL TEHNIC ENERGETIC CRAIOVA SGLIR1l/372101.10.2018 451.290
23 Liceul Tehnologic "Transporturi Cai Ferate" Craiova SGUR1l/375401. 10.2018 688.216
24 LICEUL TEHNOLOGIC SPECIAL "BEETHOVEN" SGUR111376101.10.2018 451.290 CRAIOVA
25 Liceul Tehnologic "Horia Vintila" Segarcea SGUR1/383101.10 2018 451.290
26 Liceul Tehnologic Turceni SGL/R/l/396(01.10 2018 688.216
27 Liceul Tehnologic de Transport Feroviar "Anghel SGL/R1l/424/01.10 2018 450.000 Saligny" Simeria
28 Liceul Tehnologic "Al. loan Cuza" Slobozia SGL/R1l/428101 102018 688.216 MOORE
No Beneficiaries Grant No./approval date Approved Grant Amount
29 Liceul Tehnologic "Anghel Saligny" Fetesti SGLRiI/437/01.10.2018 450.000
30 Colegiul Tehnologic "ioan C Stefanescu" lasi SGURII/440/01 10.2018 688 217
31 Liceul Teoretic "Mihail Kogainiceanu" SGURII/45301. 10.2018 688.217
32 LICEUL TEHNOLOGIC "BARBU A STIRBEYBUFTEA SGLRIl/457/01.10.2018 451290
33 Colegiul National Pedagogic "Stefan Odobleja" SGURII/479/01.10.2018 688 217
34 LICEUL TEHNOLOGIC "TUDOR VLADIMIRESCU" SGLRII/480/01 10.2018 688.217
35 Liceul Tehnologic "Domnul Tudor" SGLRII/481/01.10.2018 686.326
36 Liceul Tehnologic "Halinga" SGLRII/483101.10 2018 688 217
37 Liceul Teoretic "Dr. Victor Gomoiu" SGURII/485é01 10 2018 451.290
38 Liceul de Transporturi Auto SGURII/487/01.10.2018 688.217
39 Colegiul Tehnic,,Gheorghe Cartianu" Piatra Neamt SGURIl/500/01.10.2018 688.217
40 Colegiul Tehnic "Miron Costin" SGLRII/501/01.10.2018 688.217
41 LICEUL ECONOMICALEXANDRU IOAN CUZA, SGURII/503/01.10.2018 688 217 PIATRA NEAMT
42 Colegiul Tehnic "Petru Poni" Roman SGLRII/504/01.10.2018 688.217
43 COLEGIUL TEHNIC "FORESTIER" PIA TRA NEAMT SGLRII/505'01 10.2018 451 290
44 Colegiul Tehnic de Transporturi SGLRII/506101.10.2018 451.290
45 COLEGIUL TEHNIC DANUBIANA SGLRII/511/01.10.2018 688.180
46 LICEUL TEHNOLOGIC NR.1 BALS SGLIRII/515'01.10.2018 451.290
47 Liceul Tehnoiogic "Izvoareie" SGUR/517/01.10.2018 451.290
48 Liceul Tehnologic "Danublus" SGURI/51/01. 10.2018 688.217
49 LICEUL TEHNOLOGIC "ALEXE MARIN" SGURII/520/01.10 2018 688.200
50 LICEUL STEFAN DIA CONESCU SGLRII/522/01.10.2018 451.290
51 Colegiul Tehnic "Independenta" Sibiu SGLRII/527/01.10.2018 688.216
52 LICEUL TEHNOLOGIC "AUTOMECANICA" MEDIAS SGUR11/53W01.10.2018 688.217
53 COLEGIUL ENERGETIC RM. VALCEA SGURI/547/01.10.2018 450.300
54 Colegiul de Sivicultura si Protectia Mediului SGLRII/549/01 10.2018 688 216
55 Liceul "Preda Buzescu" Berbesti SGLRII/550/01.10.2018 688.200
56 Liceul Tehnologic "Ferdinand 1" Rm. Vaicea SGL/Rii/558101.10 2018 451.288
57 LICEUL ,,CONSTANTIN BRANCOVEANU" HOREZU SGLRII/560101.10.2018 688.216
58 Colegiul Tehnic Auto 'Traian Vuia" Focýani SGURiI/564/01.10.2018 451.290
59 LICEUL PEDAGOGIC "NICOLAE IORGA"BOTOSANI SGURI/628101.10.2018 688.216
60 Colegiul Tehnic luliu Maniu SGLRII/658101.10.2018 688.612 MOORE
No Beneficiaries Grant No./approval date Approved Grant Amount
61 Colegiul Comercial, Carol I" Constanta SGUR1l/679/01.10.2018 451.290
62 LICEUL TEHNOLOGIC "POARTA ALBA" SGUR1l/685'01 10.2018 451.290
63 Liceul Tehnologic Nicolae Titulescu Medgidia SGL/R1l/693101.10.2018 451 290
64 LICEUL ENERGETIC CONSTANTA SGUR/695/01.10.2018 451.290
65 LICEUL TEHNOLOGIC "ANGHEL SALIGNY" GALA T SGLR1l/700/02.10.2018 688 217
66 LICEUL CU PROGRAM SPORTIV GALA TI SGL/R1l/701/02.10.2018 451.290
67 Colegiul National de Agricultura si Economie Tecuci SGUR1l/703/02 10.2018 688.217
68 LICEUL TEHNOLOGIC,,ELENA CARAGIANI" TECUCI SGUR1l/704/02.10.2018 688 217
69 LICEUL TEHNOLOGIC "1 MAI' MUNICIPIUL PLOIESTI SGLR1l/719/02.10.2018 688 190
70 Liceul tehnologic Toma Socolescu Ploiesti SGURIl/721/02.10 2018 688.216
71 Liceul Tehnologic "Tama Mare" SGURil/734/02.10.2018 451 289
72 Liceul Tehnologic "Tasnad" SGUR1l/737/02.10.2018 451.290
73 Colegiul Silvic "Bucovina" Campulung Moldovenesc SGUR1/76002.10.2018 688.217
74 Colegiul National de Informatics,Spiru Haret" Suceava SGLIR1l/764/02.10.2018 451.290
LICEUL TEHNOLOGIC "VASILE DEAC" VATRA SGUR111765102.10.2018 451290 DORNEI
76 Colegiul Economic Francesco Saverio Nitti SGLR1l/767/02 10.2018 450.000
77 Uceul Tehnologic,.Valeriu Braniste" SGUR1l/771/02.10.2018 688.217
78 Liceul Tehnologic TransporturiAuto SGLRIl/777/02.10.2018 688.217
79 Universitatea Stefan cel Mare din Suceava SGU/107/PV/ll/24.09.2019 560.412
80 UNIVERSITA TEA DIN CRAIOVA /Facultatea de Drept SGU/108/P VI /24.09.2019 560.370
81 Universitatea,Alexandni loan Cuza" din la§i SGU/110/PVIl/24.09.2019 510.800
82 UnIversitatea "Babef-Bolyai" SGU/116/PV/I/U/ Ob 2019 b60 412
83 Universitatea Tehnica "Gheorghe Asachi" din lasi SGU/1 19/PV11l07.05 2019 552.597
84 UNIVERSITA TEA ALEXANDRU lOAN CUZA IASI SGU/1 22/PVII/07.05.2019 441 380
85 Universitatea,,Al.l. Cuza" din lasi SGU/125/PV/ll/07.05.2019 500.000
86 Universitatea din Oradea,Facultatea de Stiinte SGU126/P V111109.05.2019 560412 Economice
87 UMF,Gr. T. Popa" Iasi SGU/1 30/PV/Il/09.05.2019 560.412
88 UMF,Gr. T Popa"lasi SGU/135/PV/ll/09.05.2019 560.370
89 Universitatea din Oradea SGU/136/P V/1/09.05.2019 551.750
90 UNIVERSITATEA DIN CRAIOVA SGU/138/PV/II/13.05.2019 560.361
91 Universitatea Babes-Bolyai -Facultatea de Psihologie si SGU1401PVIII3.05.2019 560.412 92 Stiintea Educte d SGU/140/PV/ll/13.05.2019 150.589
92 Universitatea POLITEHNICA din Bucuresti SGU/144/PV/ll/13.05.2019 1.304.589 MOORE
No Beneficiaries Grant No./approval date Approved Grant Amount
93 Universitatea din Bucuresti SGU/1451PV/1/1i 305.2019 373.604
Facultatea de Transporturi, Universitatea POLITEHNICA SGU/149/PV/II/10 09.2019 697.532 94 din Bucuresti
95 Facultatea de Inginerie Industriala si Robotica SGU/1501PV/II/02.09.2019 697.532 96 Universitatea,,Alexandru loan Cuza" din la§i SGU/1561PV/II10.09.2019 699.300
97 Universitatea ,Alexandru loan Cuza" din la§i SGU/157/PV//10.09 2019 699 500
98 Universitatea,,Alexandru loan Cuza" din Ia§i SGU/161PV/II/I10.09.2019 698.500
99 UNIVERSITATEA BABES-BOLYAI CLUJ SGU/162/PV/II/10 09 2019 351.191
100 Universitatea Babes-Bolyai, Facultatea de Geografie SGU/163/PV/l/10. 09.2019 700.165
101 Universitatea Babes-Bolyai SGU/1 651PV/1/1 0.09.2019 700.515
102 Academia de Studii Economice din Bucurejti SGU/1741PV/l/10.09 2019 700.463
103 UNIVERSITATEA DIN PITESTI, FACULTATEA DE SGU/179/PVII1.09.2019 698225 MECANICA SI TEHNOLOGIE
104 FizicaUniversitatea si Sport Babes-Bolyai-Facultatea de Educatie SGU/182PV///1.09.2019 351 192
105 Facultatea deStiinte, Universitatea "Vasile Alecsandri" SGU/191/PVI/12.09.2019 666.430 din Bacaii
106 Universitatea Tehnica "Gheorghe Asachi" din lasi, SGU/1961PV/II/12.09 2019 700.515 Facultatea de Stiinta si Ingineria Materialelor
107 Universitatea din Oradea SGU/204/PV/l/16 09.2019 700.284
108 VeterinaraUniversitatea din de BucureSti, Stiinte Agronomice Facultatea SiM.D.R. Medicina SGU/2131PV/II/18 09.2019 646.341 I I I MINISTRY OF EDUCATION AND RESEARCH LOAN (8481 - RO) FOR THE SECONDARY EDUCATION PROJECT 31 DECEMBER 2019 - all the amounts are expressed in EUR, unless otherwise stated
LIST OF ABBREVIATIONS
MoER - Ministry of Education and Research
UMEFP - Unit for the Management of Externally Financed Projects, which ensures the implementation of the Romania Secondary Education Project
ROSE - Romania Secondary Education Project
IBRD - International Bank for Reconstruction and Development
Loan - the Loan Agreement (8481 - RO) for the Romania Secondary Education Project
MoPF - Ministry of Public Finance
GoR - Government of Romania MINISTRY OF EDUCATION AND RESEARCH LOAN (8481 - RO) FOR THE SECONDARY EDUCATION PROJECT 31 DECEMBER 2019 - all the amounts are expressed in EUR, unless otherwise stated
GENERAL INFORMATION
Reporting entity
The Loan Agreement is implemented by the Ministry of Education and Research of Romania by means of the UMEFP within the entity.
Loan Agreement Romania has received the loan no. 8481-RO in amount of 200 million Euros from the International Bank for Reconstruction and Development (IBRD) to support the implementation of the Secondary Education Project. The Loan agreement no. 8481 RO between Romania and IBRD was signed at Washington on April 17, 2015 and ratified by law 234/08 October 2015. The subsidiary agreement between Ministry of Public Finance (MoPF) and Ministry of Education and Research (MoER) was signed on December 24, 2015. The project will be implemented by the UMEFP within the Ministry of Education and Research.
The Project expenditures are initially pre-financed from State Budget funds and, later, the eligible expenditures are reimbursed from the loan. MoER would use pre-financing from State Budget funds and then the MoPF would disburse funds from the loan using the reimbursement method for Project eligible payments. The Treasury makes the monthly budgetary openings as requested, and the Project would receive its allocations in the Treasury system. IBRD loan funds would reimburse the Project eligible expenses pre-financed from the State Budget funds. The Borrower would submit withdrawal applications for the eligible expenditures. The supporting documentation for disbursements would include summary sheets and statement of expenditures. No designated account would be used.
The Project Development Objectives (PDO) are to improve the transition from upper secondary into tertiary education and increase the retention in the first year of tertiary education in project-supported education institutions. It is structured in three components, as described below.
The Project was declared effective on October 14, 2015, and will be implemented by MoER until 22 December 2022, through the UMEFP.
Destination of Borrowed Funds
The Project is structured in three components, as described below: Component 1 - School-based and Systemic Interventions This component finances supply-side interventions at the school and system levels to address the academic and personal factors hindering Romanian students from transitioning from upper secondary to tertiary education, including dropping out, declining to take the Baccalaureate, or scoring a low mark on the Baccalaureate.
Sub-component 1.1 - School-based Interventions This sub-component supports the transition of students from upper secondary into tertiary education using a decentralized approach based on non-competitive grants to low-performing public high schools. MINISTRY OF EDUCATION AND RESEARCH LOAN (8481 - RO) FOR THE SECONDARY EDUCATION PROJECT 31 DECEMBER 2019 - all the amounts are expressed in EUR, unless otherwise stated
GENERAL INFORMATION (CONTINUED)
Sub-component 1.2 - Systemic Interventions
This sub-component finances: (i) revision of the upper secondary education curriculum, with specific consideration for the needs of disadvantaged students including Roma; (ii) training of teachers and public school directors on implementing the revised curriculum, on adapting the curriculum to the needs and abilities of different students (inclusive education), student-centered teaching approaches, intercultural competence and on formative assessment; (iii) improving teaching conditions within Teachers Houses through provision of goods; (iv) revising and updating Grade 8 and Baccalaureate exam banks of items, and providing training and improvement of existing information and technologies platform; (v) development and implementation of a Grade 10 learning assessment, to be administered at the end of the compulsory education cycle; (vi) development of digital teaching and learning materials; (vii) development and implementation of campaigns to raise student and teacher awareness, including, when applicable, for Roma students; (viii) strengthening of MoNE's capacity to use educational information to monitor upper secondary education and the transition of students into tertiary education and (ix) supporting the participation of Romanian students at international assessments through financing of associated costs including management, administration, participation fees.
This sub-component will also finance the development and evaluation of interventions aimed at improving socio-emotional skills of students in high schools supported by the ROSE Project in order to increase retention and promotion to post-secondary education.
Component 2 - University-Level Interventions and Bridge Programs This component supports activities designed to address the needs of students who are at risk of dropping out of faculties in the first year of study in tertiary education, as well as summer bridge programs for high school students to familiarize them with the university context. It finances three grant schemes - one non-competitive and two competitive - for public faculties/universities that serve these at-risk students. Approximately 85 percent of Romanian public faculties would benefit from this component.
Component 3 - Proiect Management, Monitoring and Evaluation This component finances day-to-day project management activities, Monitoring and Evaluation (M&E) activities, as well as incremental operational and staffing costs of the MoER's UMEFP. This component also finances the carrying out of: (i) surveys concerning high school students attending bridge programs; (ii) an impact evaluation of the high school grants program to assess improvements in student outcomes and school management processes; (iii) a revision of the existing student loan scheme developed for tertiary education students; (iv) an analysis of existing demand-side programs addressing the needs of disadvantaged upper secondary students that are currently under implementation; and (v) other M&E studies, as needed.
This component is also financing the costs of the ROSE Project audits.
The following table sets forth the Categories of items to be financed out of the proceeds of the Loan, the allocation of the amounts of the Loan to each Category and the percentage of expenditure for items so to be financed in each Category: MINISTRY OF EDUCATION AND RESEARCH LOAN (8481 - RO) FOR THE SECONDARY EDUCATION PROJECT 31 DECEMBER 2019 - all the amounts are expressed in EUR, unless otherwise stated
GENERAL INFORMATION (CONTINUED)
Loan allocation
In compliance with the Loan Agreement, the categories of expenditures financed through IBRD loan proceeds comprise of the following:
Component Component Description Amount allocated from the loan (EUR)
1 School-based and Systemic Interventions 143.689.597 2 University-Level Interventions and Bridge 49.057.500 Programs 3 Project Management, Monitoring and 7.252.903 Evaluation
Total project financing 200.000.000
The Project is financed from the State Budget through the State Treasury. The MoPF makes withdrawals from the Loan based on the statement of expenditures (SOEs). All expenditures are 100% eligible from the Loan.
For the purposes of this Schedule: a) the term "foreign expenditures" means: expenditures in the currency of any country other than that of the Borrower for goods or services supplied from the territory of any country other than that of the Borrower; b) the term "local expenditures" means: expenditures in the currency of the Borrower or for goods or services supplied from the territory of the Borrower;
c) the term "Operating Costs" means: expenditures incurred by the UMEFP, on account of Project implementation, including: * salaries of the staff (other than civil servants) of the UMEFP; * office furniture and equipment (rent for offices, equipment and furniture, refurbishment of offices, office supplies, office equipment); * fuel costs for vehicles; * communication expenditures and travel expenditures of the UMEFP staff (including mobile phones, telephone lines, fax, internet); * domestic and abroad travel expenditures including daily allowance and accommodation; * office software; * advertising and translation services; * bank charges; * operating, maintenance and insurance costs for vehicles and office equipment; * rent of office spaces; MINISTRY OF EDUCATION AND RESEARCH LOAN (8481 - RO) FOR THE SECONDARY EDUCATION PROJECT 31 DECEMBER 2019 - all the amounts are expressed in EUR, unless otherwise stated
GENERAL INFORMATION (CONTINUED) d) the term "Statement of Expenditures" means: expense reports used by the Borrower to forward to the IBRD the application for reimbursement of payments already made. e) the term "State Treasury Account" means: a bank account opened at the State Treasury of Bucharest where MoER is receiving the requested money from the Ministry of Public Finances. The Ministry of Public Finance advances the required amounts for the implementation of the Project and withdraws amounts from the IBRD based on application for disbursement of payments already made. MINISTRY OF EDUCATION AND RESEARCH LOAN (8481 - RO) FOR THE SECONDARY EDUCATION PROJECT 31 DECEMBER 2019 - all the amounts are expressed in EUR, unless otherwise stated
GOVERNMENT OF ROMANIA - MINISTRY OF EDUCATION AND RESEARCH IBRD LOAN (8481-RO) FOR THE SECONDARY EDUCATION PROJECT
Project Financial Statements
for the period starting from January 0 1st 2019 up to December 3 1st 2019 MINISTRY OF EDUCATION AND RESEARCH LOAN (8481 - RO) FOR THE SECONDARY EDUCATION PROJECT 31 DECEMBER 2019 - all the amounts are expressed in EUR, unless otherwise stated
1. STATEMENT OF RESOURCES AND USES OF FUNDS
1.1 Statement of the IBRD Loan Account of the Ministry of Education and Research as of 31 December 2019
Loan No 8481 RO - The Secondary Education Project
31 decembrie, 31 decembrie, 31 decembrie, 2017 2018 2019 Loan amount approved 200.000.000 200.000.000 200.000.000 Less: Total drawings from loan 3.396.025 5.836.681 19.661.833 Loan amount not disbursed 196.603.975 194.163.319 180.338.167
31 decembrie, 31 decembrie, 31 decembrie, IBRD loan 2017 2018 2019
Opening disbursed amounts 107.740 3.396.025 5,836.681 Disbursements 3.288.285 2.440.656 13.825.153 Closing disbursed amounts 3.396.025 5.836.681 19.661.833
Net amounts 200.000.000 200.000.000 200.000.000 Not disbursed amounts in balance 196.603.975 194.163.319 180.338.167
1.2 Statement of the IBRD Loan Account of the Ministry of Education and Research as of 31 December 2019
Transferred Transferred Transferred Cumulated Sources - IBRD Sources Sources Sources Sources contribution January 01, 2016 January 01, 2018 January 01, until per component 2019 December 31, December 31, 2018 December 31, December 31, 2017 2019 2019
Component 1 2.226.875 87.902 6.527.973 8.842.750 Component 2 598.640 2.200.076 6.620.019 9.418.734 Component 3 570.510 152.678 677.161 1.400.349
TOTAL 3,396.025 2.440.656 13.825.153 19.661.833
During the year 2019, the withdrawal application no. 7 for the period 01.01.2018-30.06.2018, for annexes 4a and 4c, and 27.06.2017- 21.06.2018, for annex 4b, in amount of Euro 2,018.223 was MINISTRY OF EDUCATION AND RESEARCH LOAN (8481 - RO) FOR THE SECONDARY EDUCATION PROJECT 31 DECEMBER 2019 - all the amounts are expressed in EUR, unless otherwise stated disbursed, the withdrawal application no. 8, for the period 01.07.2018 - 30.09. 2018, for annexes 4a and 4c, and 27.06.2017 - 20.08.2018, for annex 4b, in amount of Euro 1.322.451,05, the withdrawal application no. 9, for period 01.10.2018 - 30.12.2018, for annexes 4a and 4c, and 27.06.2017- 15.11.2018 for annex 4b, in amount of Euro 4.535.226,52, the withdrawal application no. 10, for the period 01.01.2019 - 31.03.2019,for annexes 4a and 4c, and 27.06.2017 - 31.12.2018, for annex 4b, in amount of Euro 1.301.700,47, the withdrawal application no. 11, for the period 01.04.2019 - 20.05.2019, for annexes 4a and 4c, and 27.06.2017- 28.02.2019, for annex 4b, in amount of Euro 2.987.166,93, the withdrawal application no. 12, for the period 21.05.2019 - 30.05.2019, for annexes 4a and 4c, and 27.06.2017- 30.04.2019, for annex 4b, in amount of Euro 1.660.384,44. MINISTRY OF EDUCATION AND RESEARCH LOAN (8481 - RO) FOR THE SECONDARY EDUCATION PROJECT 31 DECEMBER 2019 - all the amounts are expressed in EUR, unless otherwise stated
1. STATEMENT OF RESOURCES AND APPLICATION OF FUNDS (CONTINUED)
1.3 Summary of Funds Received and Uses of Funds as at 31 December 1.4 2019 January 1, January 01, January 01, Description 2016 - 2018 - 2019- Cumulative at December December31, December 31, December31, 31,2017 2018 2019 2019 Opening cash balance - - -
Add: cash receipts 5,836.681 7.875.901 12.219.990 25.932.572 Funds pre-financed by MoPF and 107.740 - - 107.740 disbursed by IBRD in 2016 Funds pre-financed by MoPF and 3.288.285 - 3.288.285 disbursed by IBRD in 2017 Funds pre-financed by MoPF and 2.440.656 - 2.440.656 disbursed by IBRD in 2018 Funds pre-financed by MoPF and - 7.875.901 5.949.252 13.825.153 disbursed by IBRD in 2019 Funds pre-financed by MoPF and - 6.270.738 6.270.738 disbursed by IBRD in 2020 Less: project expenditures related to: 5,836,681 7.875.901 12.219.990 25.932.572 Component 1 - School-based and 2.301.404 3.451.670 7.159.084 12.912.158 Systemic Interventions Component 2 - University-Level 2.810.887 3.962.640 4.539.038 11.312.565 Interventions and Bridge Programs Component 3 - Project Management, 724.390 461.591 521.868 1.707.849 Monitoring and Evaluation Closing cash and cash equivalents - - - - balance
Note: The total payments for 2019 are 80.677.266 lei, equivalent of EUR 17.001.868. Comparative to the funds received and uses of funds as of 31 December 2019 - expenses incurred in SOEs, in amount of EUR 12.219.990, the project execution includes also expenses incurred by High Schools (Component 1) as of the end of 2019, but not yet included in SOE, in an amount of EUR 4.781.878. The total payments from project funds, from 15.10.2015 till 31.12.2019, are RON 172.317.362, equivalent of EUR 36.314.036. The amounts in RON are translated into EUR using the annual average rate of 4.7452, published by the National Bank of Romania. MINISTRY OF EDUCATION AND RESEARCH LOAN (8481 - RO) FOR THE SECONDARY EDUCATION PROJECT 31 DECEMBER 2019 - all the amounts are expressed in EUR, unless otherwise stated
2. STATEMENT OF EXPENDITURES
2.1 Uses of funds - IBRD contribution
Using of funds - IBRD Period end at Period end at Period end at December31, December31, December31, contributions 2016-2017 2018 2019
Payments through treasury account 5.836.681 7.875.901 12.219.990
Total 5.836.681 7.875.901 12.219.990
2.2 Uses of funds - IBRD contribution
Using of funds - IBRD Period end at Period end at Period end at contributions per component December31, December31, December 2016-2017 2018 31, 2019
Payments through Treasury account Component 1 2.301.404 3.451.670 7.159.084 Component 2 2.810.887 3.962.640 4.539.038 Component 3 724.390 461.591 521.868
Total 5,836.681 7.875.901 12.219.990
3. FINANCIAL STATEMENT OF THE LOAN Total disbursements as at 31 December 2019 Loan IBRD 8481 - RO December31, December 31, December 31, 2016-2017 2018 2019 Opening disbursed amounts - 3.396.025 5.836.681 Total Opening disbursed - amounts 3.396.025 5.836.681
Disbursements 3.396.025 2.440.656 13.825.153
Total Disbursements 3.396.025 2.440.656 13.825.153
Closing disbursed amounts 3.396.025 5.836.681 19.661.833
Total closing disbursed amounts 3.396.025 5.836.681 19.661.833
Net amount - loan amount 200.000.000 200.000.000 200.000.000
Unused loan account 196.603.975 194.163.319 180.338.167 MINISTRY OF EDUCATION AND RESEARCH LOAN (8481 - RO) FOR THE SECONDARY EDUCATION PROJECT 31 DECEMBER 2019 - all the amounts are expressed in EUR, unless otherwise stated
During the year 2019, the withdrawal application no. 7 for the period 01.01.2018-30.06.2018, for annexes 4a and 4c, and 27.06.2017- 21.06.2018, for annex 4b, in amount of Euro 2,018,223.18 was disbursed, the withdrawal application no. 8, for the period 01.07.2018 - 30.09. 2018, for annexes 4a and 4c, and 27.06.2017 - 20.08.2018, for annex 4b, in amount of Euro 1.322.451,05, the withdrawal application no. 9, for period 01.10.2018 - 30.12.2018, for annexes 4a and 4c, and 27.06.2017- 15.11.2018 for annex 4b, in amount of Euro 4.535.226,52, the withdrawal application no. 10, for the period 01.01.2019 - 31.03.2019,for annexes 4a and 4c, and 27.06.2017 - 31.12.2018, for annex 4b, in amount of Euro 1.301.700,47, the withdrawal application no. 11, for the period 01.04.2019 - 20.05.2019, for annexes 4a and 4c, and 27.06.2017- 28.02.2019, for annex 4b, in amount of Euro 2.987.166,93, the withdrawal application no. 12, for the period 21.05.2019 - 30.05.2019, for annexes 4a and 4c, and 27.06.2017- 30.04.2019, for annex 4b, in amount of Euro 1.660.384,44. о о о о о о о ¸ о ¸.-i о¸о о  о о о _ о о о о о о о о о о о о о П% S2 > _£È . . rn ³V ,-i ³ .=Á ; ;I Q Q а ¼ ° о °Á  о .1 ¸ .1 оо ³v ³Â ³ о¸о ¸ ¸Â ¸n Âо оо  ¼ Е о ¹ о Âоо ¸¹ оо . ³n оо о ¹ о¼ ¸ t оо ¼¹ ¸оо а - ´ ¸ i ¸ ¸ оо о rn rn ¸ о ¸ ´ о о ¼ .-i .-i .-i о ¿i а° >° È = Gc `-' ¸ М О --1 00 N N N lfl N М 01 О 00 О1 ¡ М О --1 ¸ ³-1 о0 .--1 о0 01 М 01 01 О'1 о0 1 t . ° ¹ О 00 ¹ О tF  .--1 1 --1 М l0 00 l0 00 f0 01 О М l0 00 .-I М N l0 01 О ¸ 00 М Q1 N à о -1 ¸ lC1 00 Â-1 1 О О l0 01 1 --1 1 О V1 _°` О М a-i --1 01 i--1 l0 N °. ' ci > È ` w -¡ -- - ³ È о . о ¸ ¸ о о ¸ о о о ° оо о .- ¸ rn ³  » ³ о t ¸ о о ³ È - ^ ³¿ о оо ¹ ¸ ¸ ³ ai ¿i , о  ri о U 7 Н ci О М О ¸ Q1 N l0 N 00 О 1 N l0 ¸ ¡ 3 Q ` ¸ l0 .-1 00 М 00 Á -1 00 а--1 1 М l0 1 \% О М N 1 ° V -1 U> а М N _.+ о N ` " о а¹ ` Á U ¡ ¡ ° Z р Z Z Z Z Z Z Z Z Z Z Z Z Z È ° о о о о о о о о о о о о о о О V ¸ È È оÁ оÁ оÁ о о о о I оÁ оÁ z оÁ о aW N z = ' о о о о О а рÈр ¸ о о о о о о о о о о о¡ ° о¡ оÁ о¡ о¡ о¡ о¡ z U à U ¡ È О Q È ° N = О _О lb J ¡ 7 7 7 И È Q О , о » о ra ¹ ° = И ¸ V ¹ ³о ¨ z Q ´ ° ` È ¸ ¸ v Á U о И ¨ Q v ¹ `n Á = Á Á > °_° ¥ > о È z 7 О j Á È ¹ а È È ¨ ¸ Q р о о о ' о а '_ ¤ ¸ ' ' ¸ ++ ¹ £ р_ 1-=- ~ È È о ³а Á È È е0 rn ³`°-' Á ` '-'-'° ° о ' . U È° Á° о Е Н Ã È ¸ оÁ ¸ ¸ ³¸ ³о ³ О ¸ ¸ Á) Â È ³ ¸ а Q ¸  ¸ È а U р О Á U 0 о °Á I- `È _, rn ¸ ¸ rn rn ¸  rn rn rn rn  rn rn rn rn W U à о о о о о о о о о о о о о о о о È È ¸ , N N ³¸ N ³¸ ³v N N N N N N N N ³ ³v  = V 0 " о,--i о¿ i оni о¼ о¿ i о¿i о¿i о о о о о о о ri tOо оÈ U а U i--1 О О О О -1 О О О О N N --1 О О М i ¸ Q 0 о ¸ t оо ¸ ° » » » » » » ¼ U Q ¡ ) Z ° `- rv ¼ ¸ о о о о о о о о о . о о о о о о о о о à о о о о о о о о о  о о о о о о о о t à о о о о о о о о о о о о о о о о о ¸ > È 'а ¸о Âо  \' Е .-i ¹ ri .=¡ ¿ Q Q