The World Bank Report No: ISR3854 Implementation Status & Results Serbia Public Disclosure Copy Consolidated Collection & Pension Administration Reform Project (Serbia) (P090418) Operation Name: Consolidated Collection & Pension Administration Reform Project Stage: Implementation Seq.No: 11 Status: ARCHIVED Last Modified Date: 28-Jun-2011 Project (Serbia) (P090418) Country: Serbia Approval FY: 2005 Product Line: IBRD/IDA Region: EUROPE AND CENTRAL ASIA Lending Instrument: Specific Investment Loan Implementing Agency(ies): Key Dates Board Approval Date 31-May-2005 Original Closing Date 30-Sep-2010 Planned Mid Term Review Date Last Archived ISR Date 01-Dec-2010 Effectiveness Date 20-Dec-2005 Revised Closing Date 30-Sep-2011 Actual Mid Term Review Date Project Development Objectives Project Development Objective (from Project Appraisal Document) The development objective of the proposed project would be to improve the effectiveness and efficiency of the pension system through the modernization and streamlining of the institutional capacity in the pension system, improved pension system administration, dev eloped capacity for policy identification, analysis andmonitoring and increased public understanding of the system. Has the Project Development Objective been changed since Board Approval of the Project? Yes No Component(s) Component Name Component Cost Consolidation of Collection and Reporting 11.42 Consolidation and Institutional Strengthening of the PAYGO Pension Funds 11.18 Pension Policy Analysis and Development 1.45 Public Disclosure Copy Project Coordination and Management 0.25 Overall Ratings Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Implementation Status Overview In spite of evident progress in project-supported reforms in all beneficiary institutions, the previous concerns about the finalization of all project activities by the closing date of the project remain. Moreover, it is now clear that, despite the one-year project extension, some project activities will not be completed by the Project Closing Date. This primarily refers Page 1 of 5 The World Bank Report No: ISR3854 to the activities related to the development of the Central Registry, where the selection process for the development of the CRIS system is currently on-going, but it might also include some activities in the Pension and Disability Insurance Fund (PDIF) and possibly the Tax Department. The Government and the World Bank teams reviewed the progress in Public Disclosure Copy implementation against the milestones established in the action plan, discussed delays in the implementation of remaining project activities, and agreed upon actions that would facilitate further implementation and improve the likelihood of finalization of most project activities within the current Project Closing Date. The Government team confirmed its commitment to the project and the plan to ensure the continuation of an intensified implementation schedule, and its intention to request an extension of the closing date of the project. While there is no certainty that the second extension of the closing date of the project would be granted, it is certain that any possible consideration of extension would definitely be based on progress in implementation over the remaining Project implementation period. Such progress will be measured based on the milestones set in the Action Plan. Results Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target effectiveness of administration improved Text Value 4% 1.7% 2.5% measured by administrative costs/pension expenditures Date 02-May-2005 31-Mar-2011 30-Sep-2011 Comments progress in administrative consolidation of the Text Value 0% administrative 100% administrative and 100% administrative and three PIOs consolidation financial consolidation financial consolidation Date 02-May-2005 31-Mar-2011 30-Sep-2011 Comments regular monthly reporting on pension Text Value no monthly reporting on no monthly reporting on monthly reporting on contributions paid on individual basis individual basis; no individual individual basis; no individual individual basis introduced and individual pension accounts accounts accounts established; Date 02-May-2005 31-Mar-2011 30-Sep-2011 Comments reduced employers' reporting burden, Text Value 28 types of forms submitted 25 types of forms submitted 20 types of forms submitted measured by fewer reporting forms required annually annually annually Date 02-May-2005 31-Jan-2010 30-Sep-2010 Public Disclosure Copy Comments improved client service in the pension system Text Value 220 320 measured by number of resolved cases / employee Date 02-May-2005 31-Jan-2010 30-Sep-2010 Comments Page 2 of 5 The World Bank Report No: ISR3854 Indicator Name Core Unit of Measure Baseline Current End Target the MLESP policy analysis capacities built; Text Value LT model developed, no ST MLESP Pension Department LT and ST models Public Disclosure Copy long- and short-term actuarial models of the model; no capacity employs 13 people; both LT operational, regularly updated pension system developed in MLESP and the and ST models developed; and used as a basis forpolicy MLESP, PIO and MOF staff trained in using ST model used regularly; 8 developments them staff members from the MLESP, PDIF and MOF trained in using the models Date 02-May-2005 31-Jan-2010 30-Sep-2010 Comments web publication containing updated monthly Text Value web publication not designed web publication established web publication established data available; Date 02-May-2005 31-Mar-2011 30-Sep-2010 Comments further pension reform measures to improve Text Value Total pension expenditures to Total pension expenditures to Total pension expenditures to long-term sustainability, adequacy and GDP ratio 15% GDP ratio 15.5% GDP ratio 12% transparency of the pension system identified; Date 02-May-2005 31-Mar-2010 30-Sep-2010 Comments increased public information on pension Text Value 15% of the population 45% of the population 60% of the population system due to the public better informed confirms to be informed on confirms to be informed on confirms to be informed on pension system pension system pension system Date 02-May-2005 31-Jan-2010 30-Sep-2010 Comments improvement in the rate of collection of pension Text Value n/a collection rate in 2010 collection rate improved 10% contributions. improved by 0.1% compared to 2009 Date 02-May-2005 31-Mar-2011 30-Sep-2010 Public Disclosure Copy Comments Intermediate Results Indicators Page 3 of 5 The World Bank Report No: ISR3854 Indicator Name Core Unit of Measure Baseline Current End Target Feasibility study completed and the institutional Text Value No decision on the Central Registry establilshed New system fully Public Disclosure Copy framework for the new system identified institutional and implemented organizational setting of the new reporting and record- keeping system for individual contributions and PIT Date 02-May-2005 31-Mar-2011 30-Sep-2011 Comments Data on Financial Performance (as of 23-Jun-2011) Financial Agreement(s) Key Dates Project Loan No. Status Approval Date Signing Date Effectiveness Date Closing Date P090418 IDA-40710 Effective 31-May-2005 22-Jun-2005 20-Dec-2005 30-Sep-2011 Disbursements (in Millions) Project Loan No. Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P090418 IDA-40710 Effective XDR 16.60 16.60 0.00 9.42 7.18 57.00 Disbursement Graph Public Disclosure Copy Page 4 of 5 The World Bank Report No: ISR3854 Key Decisions Regarding Implementation The Government and the World Bank need to make a decision on possible extension of the Project Closing Date Public Disclosure Copy Restructuring History Level two Approved on 27-Apr-2010, Level two Approved on 30-Aug-2010 Related Projects There are no related projects. 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