FOR OFFICIAL USE ONLY Public Disclosure Authorized Report No: PAD3949 INTERNATIONAL DEVELOPMENT ASSOCIATION PROJECT APPRAISAL DOCUMENT ON A PROPOSED GRANT Public Disclosure Authorized IN THE AMOUNT OF SDR 112.7 MILLION (US$ 155 MILLION EQUIVALENT) AND A PROPOSED GRANT FROM THE AFGHANISTAN RECONSTRUCTION TRUST FUND IN THE AMOUNT OF US$ 125 MILLION TO THE Public Disclosure Authorized ISLAMIC REPUBLIC OF AFGHANISTAN FOR THE COVID-19 RELIEF EFFORT FOR AFGHAN COMMUNITIES AND HOUSEHOLDS (REACH) July 24, 2020 Social Development Global Practice South Asia Region Public Disclosure Authorized This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization. The World Bank CURRENCY EQUIVALENTS (Exchange Rate Effective {June 30, 2020}) Currency Units AFN 77 = US$1 US$ 1 = SDR 0.7269 FISCAL YEAR December 21 - December 20 Regional Vice President: Hartwig Schafer Country Director: Henry G. R. Kerali Regional Director: John A. Roome Practice Manager: David Seth Warren Task Team Leader(s): Janamejay Singh, Andras Bodor ABBREVIATIONS AND ACRONYMS AHF Afghanistan Humanitarian Fund ALCS Afghanistan Living Conditions Survey ARTF Afghanistan Reconstruction Trust Fund CASA CSP CASA-1000 Community Support Project CCAP Citizens’ Charter Afghanistan Project CDC Community Development Council CDD Community Driven Development CE Citizen Engagement CIP Cities Investment Project COVID-19 Corona Virus Disease 2019 CWG Community Working Groups DABS Da Afghanistan Breshna Sherkat ENETAWF Early Warning, Finance, and Action project ESCP Environmental and Social Commitment Plan ESRS Environmental and Social Review Summary ESMF Environmental and Social Management Framework EZ-Kar Eshteghal Zaee Karmondena FHH Female-Headed Households FMM Financial Management Manual FP Facilitating Partners FY Fiscal Year GBV Gender-based violence GDP Gross Domestic Product GoIRA Government of the Islamic Republic of Afghanistan GRM Grievance Redress Mechanism GRS Grievance Redress Services HCT Humanitarian Country Team HH Household HRP Humanitarian Response Plan IDA International Development Association IDLG Independent Directorate of Local Governance IPC Integrated Food Security Phase Classification IOM International Organization for Migration KM Kabul Municipality KMDP Kabul Municipal Development Project KYC Know Your Customer LMP Labor Management Plan MHH Male-Headed Household MIS Management Information System MMO Mobile Money Operator MNO Mobile Network Operators MOF Ministry of Finance MOPH Ministry of Public Health MRRD Ministry of Rural Rehabilitation and Development NGO Non-Governmental Organization NHSP National Human Security Program NPA National Procurement Authority NSIA National Statistics and Information Agency NSP National Solidarity Program OHS Occupational Health and Safety OM Operations Manual PAISA Payments Automation and Integration of Salaries in Afghanistan PIU Project Implementation Unit PMU Provincial Management Unit PP Procurement Plan PPSD Project Procurement Strategy for Development SEA Sexual Exploitation and Abuse SEP Stakeholder Engagement Plan SIG Social Inclusion Grant SIM Subscriber Identification Modules (SIM Card) STEP Systematic Tracking of Procurement TPMA Third-Party Monitoring Agents VGD Vulnerable Group Development WB World Bank WEE-RDP Women’s Economic Empowerment Rural Development Project WFP World Food Programme The World Bank COVID-19 Relief Effort for Afghan Communities and Households (REACH) (P174119) TABLE OF CONTENTS DATASHEET ............................................................................................................................ 1 I. STRATEGIC CONTEXT ...................................................................................................... 7 A. Country Context................................................................................................................................ 7 B. Sectoral and Institutional Context .................................................................................................... 8 C. Relevance to Higher Level Objectives ............................................................................................. 10 II. PROJECT DESCRIPTION .................................................................................................. 13 A. Project Development Objective ..................................................................................................... 13 B. Project Components ....................................................................................................................... 14 C. Project Beneficiaries ....................................................................................................................... 22 D. Results Chain .................................................................................................................................. 23 E. Rationale for Bank Involvement and Role of Partners ................................................................... 23 F. Lessons Learned and Reflected in the Project Design .................................................................... 24 III. IMPLEMENTATION ARRANGEMENTS ............................................................................ 27 A. Institutional and Implementation Arrangements .......................................................................... 27 B. Results Monitoring and Evaluation Arrangements......................................................................... 28 C. Sustainability ................................................................................................................................... 30 IV. PROJECT APPRAISAL SUMMARY ................................................................................... 30 A. Technical, Economic and Financial Analysis ................................................................................... 30 B. Fiduciary .......................................................................................................................................... 31 C. Legal Operational Policies ............................................................................................................... 32 D. Environmental and Social ............................................................................................................... 33 E. Gender ............................................................................................................................................ 35 V. GRIEVANCE REDRESS SERVICES ..................................................................................... 36 VI. KEY RISKS ..................................................................................................................... 36 VII. RESULTS FRAMEWORK AND MONITORING ................................................................... 39 ANNEX 1: Detailed Description of Components ............................................................. 47 ANNEX 2: Enhanced Accountability and Fiduciary Framework for the REACH Project ..... 57 The World Bank COVID-19 Relief Effort for Afghan Communities and Households (REACH) (P174119) ANNEX 3: Safeguards .................................................................................................... 70 ANNEX 4: Gender .......................................................................................................... 73 ANNEX 5: Mobile Money Modality for Components 2 and 3 .......................................... 76 ANNEX 6: Government Relief Effort in CCAP Areas ........................................................ 84 ANNEX 7: Geographical Coverage of CCAP versus REACH projects ................................. 88 ANNEX 8: Complementary relief measures from other ARTF projects ............................ 90 ANNEX 9: Prospective plans for the recovery phase ....................................................... 92 ANNEX 10: Bank Task Team Members ........................................................................... 95 The World Bank COVID-19 Relief Effort for Afghan Communities and Households (REACH) (P174119) DATASHEET BASIC INFORMATION BASIC_INFO_TABLE Country(ies) Project Name Afghanistan COVID-19 Relief Effort for Afghan Communities and Households (REACH) Environmental and Social Risk Project ID Financing Instrument Process Classification Urgent Need or Investment Project P174119 Substantial Capacity Constraints Financing (FCC) Financing & Implementation Modalities [ ] Multiphase Programmatic Approach (MPA) [ ] Contingent Emergency Response Component (CERC) [ ] Series of Projects (SOP) [✓] Fragile State(s) [ ] Performance-Based Conditions (PBCs) [ ] Small State(s) [ ] Financial Intermediaries (FI) [ ] Fragile within a non-fragile Country [ ] Project-Based Guarantee [✓] Conflict [ ] Deferred Drawdown [✓] Responding to Natural or Man-made Disaster [ ] Alternate Procurement Arrangements (APA) [ ] Hands-on Enhanced Implementation Support (HEIS) Expected Approval Date Expected Closing Date 07-Aug-2020 31-Dec-2021 Bank/IFC Collaboration No Page 1 of 96 The World Bank COVID-19 Relief Effort for Afghan Communities and Households (REACH) (P174119) Proposed Development Objective(s) To provide emergency support to selected households through communities in project areas during the COVID-19 outbreak. Components Component Name Cost (US$, millions) REACH Rural: Household Support in Rural and Peri-urban Areas 136.00 REACH Urban: Household Support