DATA SHEET Lesotho Second Private Sector Competitiveness and Economic Diversification Prj (P144933) AFRICA Trade & Competitiveness . Report No: RES22453 . Basic Information Project ID: P144933 Lending Instrument: Investment Project Financing Regional Vice President: Makhtar Diop Original EA Category: Partial Assessment (B) Country Director: Guang Zhe Chen Current EA Category: Partial Assessment (B) Senior Global Practice Director: Anabel Gonzalez Original Approval Date: 31-Oct-2013 Practice Manager/Manager: David Bridgman Current Closing Date: 30-Apr-2019 Team Leader(s): Maria Paulina Mogollon . Borrower: Ministry of Development Planning Responsible Agency: Ministry of Trade and Industry . Restructuring Type Form Type: Full Restructuring Paper Decision Authority: Country Director Approval Restructuring Level 2 . Financing ( as of 05-Feb-2016 ) Key Dates Project Ln/Cr/TF Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date P144933 IDA-53090 Effective 31-Oct-2013 21-Nov-2013 09-Jan-2014 30-Apr-2019 30-Apr-2019 Disbursements (in Millions) Project Ln/Cr/TF Status Currency Original Revised % P144933 IDA-53090 Effective XDR 8.70 8.70 0.00 4.10 4.60 47 . Policy Waivers
Results and Monitoring Framework Project Development Objective (PDO): To contribute to the development of selected non-textile sectors resulting in increased private sector investment, firm growth and job creation. PDO Level Results Indicators* Core Unit of Measure / Change in indicator Baseline Cumulative Values (thru Dec.31) Frequency Data Source/ Methodology Responsibility for Data Collection Description (indicator definition, etc.) Actual Target YR 1 (2014) YR 2 (2015) YR3 (2016) YR 4 (2017) YR5 (2018) Indicator One:* Number of non-textile investment projects facilitated over the project duration. Number NEW 0 3 3 6 Twice during project LNDC PMU M&E Specialist This indicator measures the number of non-textile investment projects facilitated over the 5-year project duration. Indicator Two:* Number of jobs in selected non-textile sectors Number REVISED 6,058 5,816 6,906 6,967 7,088 Twice during project LNDC, MTEC and Surveys conducted for the horticulture PMU M&E Specialist Jobs will be defined as full-time, part time and seasonal workers. This will include people directly employed by the project (not consultants, not PMU, but everybody else), jobs created in new foreign and domestic firms attracted in the industrial estates, and jobs created under the horticulture and tourism sub-components. Indicator Three:* Increase in domestic enterprises registered and operational in non-textile sectors Percentage REVISED 11,402 39% 52% 55% 60% during project OBFC MTICM, PMU M&E Specialist, LNDC. This is an indicator for components 1 and 2. It includes both companies and sole traders. implement
Intermediate Result indicator Five: Revenue generated by commercial horticulture farms. Maloti NEW 38,606 122,935 300,000 600,000 1,000,000 Annual Field reporting and data collection system PMU (Horticulture Manager) w/Farm Management Company This indicator is measured in real and not nominal terms. It will be controlled for inflation. It covers specifically the area under the Likhothola Fruit Farm Company. Baseline revenue is derived from the sale of maize from the equivalent total area. Year 1 of the harvest refers to the season. Year 2 to Year 3 to 2016-2017, Year 4 to 2017-2018, and Year 5 to 2018-2019. Intermediate Result indicator Five: Increased incomes of participating farmers. Percentage DELETED TBD via baseline survey site selection 10% 25% 30% Annual Field reporting and data collection system PMU (Horticulture Manager) w/Farm Management Company This indicator is measured in real terms and not nominal terms. Will be controlled for inflation. Intermediate Result indicator Six: Percentage increase in sales of LEAP supported firms Percentage REVISED 0% 15% 17% 10% Annual LEAP Unit PMU M&E Specialist This indicator will the performance of the firms starting one year after they receive support. It is not cumulative.
industry 27. Arrange consultations between key stakeholders and Ministry of Finance on possible incentives to encourage development of leasing market. TWG, MoF, Stakeholders, PMU August 2016 Insolvency Reform 28 Master’s Office to Cabinet Memorandum for approval of insolvency reform and circulate to Ministries of Trade, Labor, Finance and Law Master’s Office of the High Court Drafted by February 25 and comments received by March 7, 2016 29. Master’s Office to submit proposal regarding capacity building PMU and WB March 24, 2016 30. Master’s Office to provide policy advice to Parliamentary Counsel of the Attorney General’s Office regarding drafting the law and associated secondary regulations Master’s Office of the High Court March 24, 2016 31. Parliamentary Counsel to complete first draft of Insolvency Bill Parliamentary Counsel of AGO June 3, 2016 32. Comments from drafting team on first draft of Insolvency Bill and regulations MTI, Master’s Office, WB, PMU June 20, 2016 33. Revised Draft Insolvency Bill and regulations Parliamentary Counsel of AGO July 25, 2016 34. Comments from drafting team on second draft of Insolvency Bill and regulations MTI, Master’s Office, WB, Consultant August 5, 2016 35. Circulation of draft Insolvency Bill and regulations to all stakeholders Master’s Office August 8, 2016 36. Stakeholder Workshop to discuss Insolvency Bill and regulations Master’s Office, MTI, WB, Consultant September 12, 2016 37. Final draft Insolvency Bill Master’s Office, Parliamentary Counsel of AGO October 10, 2016 Subcomponent 2A: Supporting investment promotion and increasing linkages 38. Finalize the ToR for organisational review of LNDC Industrial Estates division and advertise EoI. WB and PMU February 29, 2016 39. Undertake Mauritius study tour LNDC and PMU July 31, 2016 40. Recruit investment incentives consultants LNDC 30 , 2016 41. Recruit investment linkages consultant LNDC April 30,2016 42. Recruit consultant for the automotive and footwear mini chains LNDC April 30, 2016 43. Conduct a preliminary ICT Capacity WBG October 31, 2016
Annex 2. Results and Monitoring Framework Project Development Objective (PDO): To contribute to the development of selected non-textile sectors resulting in increased private sector investment, firm growth and job creation. PDO Level Results Indicators* Core Unit of Measure Baseline Cumulative Values (thru Dec.31) Data Source/ for Data Collection Description (indicator definition, etc.) Actual Target YR 1 (2014) YR 2 (2015) YR3 (2016) YR 4 YR5 (2018) Indicator One:* Number of non-textile investment projects facilitated over the project duration. Number 0 3 3 6 during project LNDC PMU M&E Specialist This indicator measures the number of non-textile investment projects facilitated over the 5-year project duration. Indicator Two:* Number of jobs in selected non-textile sectors Number 6,058 5,816 6,906 6,967 7,088 during project LNDC, MTEC and Surveys conducted for the horticulture PMU M&E Specialist Jobs will be defined as part time and seasonal workers. This will include people directly employed by the project (not consultants, not PMU, but everybody else), jobs created in new foreign and domestic firms attracted in the industrial estates, and jobs created under the horticulture and tourism sub-components.
Indicator Three:* Increase in domestic enterprises registered and operational in sectors 11,402 39% 52% 55% 60% Twice during project OBFC MTICM, PMU M&E Specialist, LNDC. This is an indicator for components 1 and 2. It includes both companies and sole traders. Core Indicator One: Number of direct project beneficiaries Number 0 5,105 119,850 120,000 Annual OBFC, CBL, LNDC, MTEC, Project M&E. PMU M&E Specialist This will include people directly employed by the project (not consultants, not PMU, but everybody else) , all the enterprises that benefit from streamlined business regulations, SMEs (manager and firm employees) that are able to access loans with movable collateral, individuals that are covered under the credit bureau, artisans, hotel establishments benefiting from the tourism sub-component and the small holder farmers benefiting under commercial horticulture, and LEAP beneficiaries. Of which female 0 19% 3% 15% 30% This indicator to be tracked once Home Affairs has provided Credit Bureau with data to disaggregate Credit Bureau records by gender. Intermediate Result (Component One): Business Environment
Intermediate Result indicator One: Number of days required to obtain a construction permit from the Maseru City Council Number 106 106 106 106 85 Twice during project Doing Business Report, MCC, Project M&E PMU M&E Specialist This indicator does not include acquiring a fixed line which is included in the process of receiving a construction permit in the Doing Business indicator methodology. Intermediate Result indicator Two: Percentage of adult population covered by the Credit Bureau 0% 0% 1.4% 2.5% 5% Twice during project Doing Business Report, CBL, Project M&E PMU M&E Specialist As per Doing Business methodology. Intermediate Result (Component Two): Supporting Economic Diversification Intermediate Result indicator Three: Number of registered lodging operations the star grading system. Number 7 12 14 15 40 Twice during project LTDC, LHAA, Project M&E PMU M&E Specialist This indicator measures the fact that registered lodging operations will be adhering to the Star Grading System of accommodations that will be rolled out during the project. Intermediate Result indicator Four: Tourism information center established and operational Yes/No No No No Yes Post Yr3 of Project MTEC, PMU PMU M&E Specialist
Intermediate Result indicator Five: Revenue generated by commercial horticulture farms. Maloti 38,606 300,000 Annual Field reporting and data collection system PMU (Horticulture Manager) w/Farm Management Company This indicator is measured in real and not nominal terms. It will be controlled for inflation. It covers specifically the area under the Likhothola Fruit Farm Company. Baseline revenue is derived from the sale of maize from the equivalent total area. Year 1 of the harvest refers to the 2014-2015 season. Year 2 to 2015-2016. Year 3 to 2016-2017, Year 4 to and Year 5 to Intermediate Result indicator Six: Percentage increase in sales of LEAP supported firms 0% 15% 17% 10% Annual LEAP Unit PMU M&E Specialist This indicator will track the performance of the firms starting one year after they receive support. It is not cumulative.
62 Mrs V Matiea Master of the High Court Law Law and Constitutional Affairs 63 Mrs M Vilakazi Deputy Master of the High Court Law Law and Constitutional Affairs 64 Mrs M Tau-Thabane Attorney Mofolo Tau-Thabane 65 Mrs N Sekokotoana Senior Assistant Parliamentary Counsel Law Law and Constitutional Affairs 66 Ms L Hlasoa Deputy Principal Secretary Ministry of Small Business Development, Cooperatives and Marketing 67 Mr L Makhate Director of Marketing Ministry of Small Business Development, Cooperatives and Marketing 68 Mr S Monaheng Commercial Officer Ministry of Small Business Development, Cooperatives and Marketing 69 Ms M Mohapeloa Senior Economic Planner Ministry of Small Business Development, Cooperatives and Marketing 70 Mrs P Senior Planner Development Control Maseru City Council 71 Mrs N Senior Planner Development Control Maseru City Council 72 Mr M Setsábi IT Officer Maseru City Council 73 Mr D Kobayashi Political & Economic Officer US Embassy 74 Mr M Mofuoa Economic Specialist US Embassy 75 Mr J Torni European Union 76 Mr J Dos Santos Managing Director Vodacom Lesotho 77 Mr T Ntaopane Executive Head Corporate Affairs Vodacom Lesotho 78 Mr M Brown Vodacom Foundation & Corporate Communications Manager Vodacom Lesotho 79 Mr S Phafane Immediate Past President Lesotho Chamber of Commerce and Industry 80 Mr B Molelle Youth President Lesotho Chamber of Commerce and Industry