CAMEROON, CHAD, CENTRAL AFRICAN REPUBLIC, SÃO TOMÉ AND PRÍNCIPE Internet and Mobile Connectivity: Central African BackBone Program (APL 1A and APL 2) Report No. 126034 JUNE 4, 2018 © 2018 International Bank for Reconstruction This work is a product of the staff of The World RIGHTS AND PERMISSIONS and Development / The World Bank Bank with external contributions. The findings, The material in this work is subject to copyright. 1818 H Street NW interpretations, and conclusions expressed in Because The World Bank encourages Washington DC 20433 this work do not necessarily reflect the views of dissemination of its knowledge, this work may be Telephone: 202-473-1000 The World Bank, its Board of Executive reproduced, in whole or in part, for Internet: www.worldbank.org Directors, or the governments they represent. noncommercial purposes as long as full attribution to this work is given. Attribution—Please cite the work as follows: The World Bank does not guarantee the World Bank. 2018. 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Report No.: 126034 PROJECT PERFORMANCE ASSESSMENT REPORT Cameroon, Chad, Central African Republic, CENTRAL AFRICAN BACKBONE PROGRAM (APL 1A) (IDA-46470, IDAH5150, IDA-H5160) São Tomé and Príncipe CENTRAL AFRICAN BACKBONE PROGRAM (APL 2) (IDA-H6420) June 4, 2018 Financial, Private Sector, and Sustainable Development Independent Evaluation Group ii Currency Equivalents (annual averages) Currency Unit = Central African Franc (CFAF) 2009 US$1.00 CFAF 467 2010 US$1.00 CFAF 508 2011 US$1.00 CFAF 454 2012 US$1.00 CFAF 520 2013 US$1.00 CFAF 504 2014 US$1.00 CFAF 490 2015 US$1.00 CFAF 590 2016 US$1.00 CFAF 590 2017 US$1.00 CFAF 580 2018 US$1.00 CFAF 530 Currency Unit = São Tomé and Príncipe Dobra (Db) 2010 US$1.00 Db 18568 2011 US$1.00 Db 17160 2012 US$1.00 Db 19570 2013 US$1.00 Db 18850 2014 US$1.00 Db 19669 2015 US$1.00 Db 22450 2016 US$1.00 Db 21902 2017 US$1.00 Db 20538 2018 US$1.00 Db 19857 Fiscal Year Central African Republic Government: January 1 - December 31 Cameroon Government: January 1 - December 31 São Tomé and Príncipe Government: January 1 - December 31 Chad Government: January 1 - December 31 iii Abbreviations and Acronyms ACE Africa Coast to Europe Optical Fiber Submarine Cable AFAP Agência Fiduciária de Administração de Projecto (Fiduciary Agency for Project Administration) AfDB African Development Bank ADETIC Agence de Développement des Technologies de l’Information et de la Communication (Agency for the Development of ICT, Chad) AGER General Regulation Agency ANTIC Agence Nationale des Technologies de l’Information et de la Communication (National Agency for Information and Communications Technologies, Cameroon) APL Adaptable Program Loan ARCEP Autorité de Régulation des Communications Electroniques et des Postes (Regulatory Authority for Electronic Communications and Posts, Chad) ART Agence de Régulation des Télécommunications (Telecommunications Regulatory Agency, Cameroon and Central African Republic) CAB Central Africa Backbone CAMTEL Cameroon Telecommunications CAS Country Assistance Strategy CEMAC Communauté Economique et Monétaire des Etats de l’Afrique Centrale (Central African Economic and Monetary Community) CST Companhia São Tomense de Telecomunicações DSL digital subscriber line GDP gross domestic product GNI gross national income ICR Implementation Completion and Results Report ICT information and communication technology IDA International Development Association INIC National Institute of Innovation and Knowledge IRR internal rate of return ISR Implementation Status and Results ITU International Telecommunications Union IXP Internet Exchange Point Mbps megabits per second M&E monitoring and evaluation MINPOSTEL Ministère des Postes et Télécommunications (Ministry of Posts and Telecommunications, Cameroon) MoPWNR Minister of Public Works and Natural Resource MTR Mid-term Review PCU Project Coordination Unit PDO project development objective PPP public-private partnership RIAS Regional Integration Assistance Strategy for Africa SOCATEL Société Centrafricaine de Télécommunications (Central African Telecommunications Company) SOTEL Société des Télécommunications du Tchad (Telecommunications Company of Chad) SPV Special Purpose Vehicle UNITEL UNITEL International Holding BV USF Universal Service Fund WARCIP West Africa Regional Connectivity Infrastructure Program v Contents Principal Ratings ............................................................................................................... vii Key Staff Responsible ....................................................................................................... vii Preface ................................................................................................................................ ix Summary ............................................................................................................................ xi 1. Background and Context............................................................................................... 18 Project Context on CAB APL 1 .................................................................................... 19 2. Central Africa Backbone APL 1A (Cameroon, Chad, and Central African Republic) 22 Key sector issues ........................................................................................................... 22 Implementation ............................................................................................................. 26 Monitoring and Evaluation ........................................................................................... 28 Achievement of the Objectives ..................................................................................... 29 Efficiency ...................................................................................................................... 37 Ratings .......................................................................................................................... 38 Outcome .................................................................................................................... 38 Risk to Development Outcome ................................................................................. 39 Bank Performance ..................................................................................................... 39 Borrower Performance .............................................................................................. 41 3. Central Africa Backbone APL 2 (São Tomé and Príncipe) .......................................... 42 Country context ............................................................................................................. 42 Key sector issues ........................................................................................................... 42 Objectives, Design, and Relevance ............................................................................... 43 Implementation ............................................................................................................. 45 Monitoring and Evaluation ........................................................................................... 48 Achievement of the Objectives ..................................................................................... 49 Efficiency ...................................................................................................................... 54 Ratings .......................................................................................................................... 55 Outcome .................................................................................................................... 55 Risk to Development Outcome ................................................................................. 56 World Bank Performance ......................................................................................... 56 Borrower Performance .............................................................................................. 58 4. Lessons .......................................................................................................................... 59 Bibliography ..................................................................................................................... 61 vi Tables Table 2.1. Project Indicators ............................................................................................. 34 Table 3.1. Number of People Using the Telecenters ........................................................ 52 Figure Figure 3.1. Mobile Cellular Telephone Subscriptions ...................................................... 52 Boxes Box 1.1. The ICT Value Chain ......................................................................................... 21 Box 2.1. Situation