WHAT IS THE STATE- AND PEACE-BUILDING FUND (SPF)? T he SPF is the World Bank’s global, multi-donor trust fund to Today the SPF occupies a unique position within the World Bank. support projects that contribute to prevention and recovery Several defining features embedded in the SPF mandate have from conflict and fragility. Created in 2008, the SPF is today contributed to this distinction. These include providing support to advancing the World Bank’s strategic approach to conflict, fragility countries with limited or no access to other sources of World Bank and violence, and has become an important entry point for early financing (for example countries in arrears and non-Members), its and catalytic financing for peace-building and state-building. The emphasis on piloting innovative projects, knowledge and learn- Fund has two principal objectives: ing, flexibility in implementing partners, and its ability to mobilize resources quickly. The SPF supports frontier initiatives that create §§ To support measures to improve governance and institutional a foothold for wider development efforts by the Bank and other de- performance in countries emerging from, or at risk of sliding velopment partners. Somalia is a case in point, where SPF grants into, crisis and arrears, and serve as an entry point for IDA engagement. In addition, the SPF §§ To support the reconstruction and development of countries also supports results in IBRD countries that would not borrow for prone to, in, or emerging from conflict. state- and peace-building and crisis-response activities—for ex- ample projects in Jordan and Lebanon to respond to the Syrian As of Mach 2014, the SPF has received a total of USD219.4 mil- refugee crisis. lion, including the World Bank contributions (USD166.7 million), donor contributions (USD49.3 million) and investment income Timeliness is another key feature of SPF grant making, and can (USD3.4 million). Contributors to the SPF include the World Bank provide a solid foundation for achieving longer-term results. Tran- and bilateral donors including Australia, Denmark, Germany, the sition processes seldom conform to the normal timetables for Netherlands, Norway, Sweden and the United Kingdom. The Fund development assistance, and because windows of opportunity promotes and contributes to harmonized multi‐donor approach- are often quite narrow, the SPF can play a key intermediate role. es whenever possible. It also seeks to capture and disseminate Strategically the SPF can also mobilize significant action outside the lessons of its activities to promote a better understanding of the World Bank, including at the global development level, through conflict-related issues, and develop effective strategic and opera- quick catalytic support in the aftermath of natural disasters or hu- tional approaches to engagement in fragile and conflict-affected manitarian emergencies and through robust partnerships with environments. governments, NGOs, the UN agencies and other international organizations. HOW GRANTMAKING WORKS ELIGIBILITY APPLICATION PROCESS AND SPF financing is available to all World Bank member countries - GRANT SELECTION IBRD and IDA-eligible countries as well as countries in arrears. Expressions of interest, proposals and requests for funding are Grants can also be provided to non-member countries on a case- received from Bank teams working across all regions and sectors. by-case basis. To ensure selectivity, however, priority is given to Applications are received by the Secretariat on a rolling basis, and countries with one or more of the following characteristics: are based on the emerging needs of different countries and re- §§ Arrears to IBRD and/or IDA; gions. Most applications are peer reviewed by country experts and technical specialists prior to their submission, and the Secretariat §§ Fragile situations, defined by a CPIA rating of 3.2 and lower works closely with all teams submitting requests throughout the (reflecting poor governance) or the presence of a UN/ region- application cycle. SPF grants are subject to the same due dili- al peacekeeping or political mission; gence procedures as all other Bank trust funds. §§ Ongoing conflict and/or violence; The SPF accepts two types of proposals: §§ Violent conflict within the past 10 years; §§ Strategic initiatives—packages of assistance in support of a transformative country, regional or thematic strategy that §§ Transition process where IDA funds are insufficient and needs tackles state- and/or peace-building challenges. SPF Stra- are high; and/or tegic Initiatives were introduced in FY12 in response to the 2011 World Development Report: Conflict, Security and De- §§ Deteriorating situations, including increasing violence and velopment and to improve the catalytic impact of SPF financ- risk of falling into conflict. ing; and Grants are provided to government counterparts, national and §§ Stand-alone projects—the SPF continues to accept stand- international non-governmental organizations, United Nations alone project applications that fulfill at least one of the follow- agencies and think tanks/ research organizations. In exceptional ing criteria: circumstances, the Bank will consider implementing projects on behalf of recipients at their request, e.g. where there is a signifi- ŸŸ Urgent need: the project responds to a need linked to cant lack of capacity or necessary technical expertise or in the active conflict, violence, disaster, or other urgent condi- absence of a functioning government. tion; ŸŸ Rare opportunity: the project responds to a rare window SPF GOVERNANCE AND of opportunity created by a significant transformative mo- ment, commitments by partners, governments, or other MANAGEMENT counterparts, and/or other extraordinary developments in the country/ region; The SPF Committee serves as the Fund’s governing body, and ŸŸ Highly innovative/ experimental: the project repre- is responsible for all final grant approvals. It is composed of se- sents a highly innovative or experimental approach that nior representatives from across the Bank and meets regularly to would create unique technical or operational knowledge review projects and provide strategic guidance. The Committee for working in FCS. chair is also the director of the World Bank’s Center on Conflict, Security, and Development (CCSD) and appointed by the Opera- tions Policy and Country Services (OPCS) Vice Presidency as required by the Bank Board paper establishing the SPF. With staff based in Washington D.C. and Nairobi, the SPF Sec- retariat operates from within CCSD and manages day-to-day op- erations. These include support to task teams that are preparing projects, processing grants, monitoring and evaluating the grant portfolio, and promoting knowledge exchange and learning. It also benefits from the larger pool of CCSD staff, which provides techni- cal and operational support to SPF projects. SUMMARY OF SPF MID-TERM REVIEW MID-TERM REVIEW OF THE SPF tings. While the majority of SPF projects operate in fragile coun- tries, the SPF also supports projects in MICs experiencing sub- In 2012, the SPF carried out an extensive Mid-Term Review national conflict, states at risk of sliding into conflict, and countries (MTR). Its objective was to assess the degree to which the SPF in arrears. Recently approved SPF strategy initiatives are also had achieved it original objectives and is ‘fit for purpose’ moving increasing the Fund’s attention to criminal violence as well as re- forward, given the new ways of working in FCS, and based on gional and transnational drivers of conflict. 2011 World Development Report: Conflict, Security and Develop- ment. The MTR found that to date, the overall performance of the In addition, the MTR assessed how the SPF portfolio contributes SPF portfolio has been moderately satisfactory based on a review to higher-level state- and peace-building objectives. A mapping against a series of both traditional Bank and FCS-focused indica- of the Fund’s portfolio to the SPF’s Fund-level results framework tors. With a robust evidence base, the MTR’s conclusions and rec- found that 53 percent of projects focus on reconstruction and de- ommendations outlined the vision and reforms needed to ensure velopment objectives (peace-building), while 47 percent empha- that the SPF can improve the impact of its financing through: size governance and capacity building (state-building). Grants supported by the SPF addressed issues such as improved gov- §§ Stronger project alignment with the goals of the SPF; ernance, institutional performance, reconstruction, and develop- ment, and minimizing the recurrence of violence by promoting §§ Shifting the SPF business model to increased support for stability and maintaining human and institutional capacity. strategy initiatives to increase the impact of the Fund; As a recipient-executed financing instrument the SPF is utilizing a §§ Piloting how the Bank can operate differently in FCS; diverse set of partnership agreements and flexible implementation §§ Strengthening Fund level partnerships and governance; and §§ Improving the Fund’s strategic value by increased investment SPF VISION FOR ENGAGEMENT FOR 2014: in research and learning products to inform future and larger Bank investments and operations in FCS. Support the operationalization of WDR 2011 by financing strategic and catalytic interventions and i. Performance Against Standard Bank Indicators leveraging internal and external partnerships to Out of the 34 SPF projects either complete or well into imple- inform and improve development effectiveness in mentation, the MTR found that 85 percent (29 projects) were on FCS. track to meet their project development objectives (PDOs). 23 FIVE PRIORITY SPF REFORMS projects were deemed to be satisfactory while six were assessed as moderately satisfactory. The portfolio’s disbursement rate1 has 1. ensure the SPF prioritizes support of transformative reached 55 percent, compared to 5 percent in FY09, 11 percent in approaches in FCS that impact the broader Bank port- FY10 and 31 percent in FY11. And with regards to timeliness, the folio and are directly tied to state- and peace-building MTR found that the SPF’s own project processing is relatively ef- results; ficient, but that factors related to broader Bank trust fund process- ing procedures had caused bottlenecks and delays, sometimes 2. utilize the Fund to pilot ‘how’ the Bank can operate dif- hindering task teams ability to respond rapidly to urgent situa- ferently in FCS setting, with greater flexibility for risk- tions. External factors, including weak capacity of implementing taking and rapid response; partners, and volatile political and security conditions also played 3. bolster the SPF’s knowledge and learning agenda to a role. capture lessons from new approaches and piloting ii. Performance Against FCS Indicators and ensuring that these are applied more broadly to Bank operations in FCS; The MTR found that the SPF, owing to its broad project eligibility criteria, is well suited to support projects in a range of FCS set- 4. leverage partnerships with other FCS-focused Funds to deliver improved results in FCS; and 5. transform the governance of the SPF to support a 1 Measured by total cumulative disbursements divided by the total cumulative more strategic and catalytic role for the Fund. legal commitments SUMMARY OF SPF MID-TERM REVIEW arrangements for FCS settings. The MTR noted that the largest iii. Next Steps recipients of SPF funds are national governments (42 percent) and non-governmental organizations (36 percent). In addition, the Going forward, SPF activities will continue to focus on implement- SPF finances projects in cooperation with the United Nations, in- ing the MTR’s recommendations, and improving the Fund’s role ternational NGOs, and through existing multi-donor trust funds. in operationalizing the 2011 World Development Report. This in- cludes a focus on financing strategic engagements in countries Another finding of the MTR was that the SPF is often successful in with limited or no access to other sources of Bank financing. In supporting improved governance approaches and more conflict- addition the SPF Secretariat will keep expanding its portfolio moni- sensitive support from development partners. However, while in- toring and enhanced implementation support. A monitoring system dividual projects are generally making progress against their own or ‘dashboard’ for the SPF portfolio is currently being developed PDOs, in many cases, SPF project-level PDOs were not always alongside the revised SPF results framework to track portfolio selected with higher level state- and peace-building objectives em- performance and draw lessons from SPF interventions. The SPF bedded into project designs, or with an aim of influencing broader Secretariat is also focusing urgent attention and providing as- Bank strategies and country portfolios. sistance on projects that are under-performing, under-reporting, have stalled implementation or restructuring needs identified in the MTR. OVERVIEW OF SPF PERFORMANCE IN FY13 STRATEGIC INITIATIVES – A NEW Transforming Citizen Security Institutions in DIRECTION FOR THE SPF Central America’s Northern Triangle The MTR recommended that the SPF continue to shift from fund- Central America’s northern triangle is the most violent ing discrete project interventions to enhancing support for “pack- sub-region in the world. Honduras, El Salvador, and ages” of projects in countries or regions that are engaging in, or Guatemala rank first, second, and seventh respectively committed to a transformative strategy to address fragility, conflict in UNODC’s rankings of the most violent countries in the or violence. Projects within strategic initiatives are designed to world. The SPF approved USD5 million to support gov- respond to the priority needs in the country or region and will gen- ernments in the three countries to tackle a growing vio- erate new approaches to address conflict, fragility and violence. lence through: i) strengthening national and local institu- They are built into country programs and bring the potential for tions to address citizen security in an integrated manner; greater impact. In line with this recommendation, the SPF Com- ii) piloting an integrated/multi-sectorial model to address mittee has endorsed seven strategic initiatives totaling USD70 citizen security at the municipal level; and iii) develop- million since they were introduced in 2012. These include: ing an evidence and knowledge base of lessons learned from experimental interventions. §§ Program for Citizen Security in Central America (El Salvador, Guatemala and Honduras) §§ Multi-sectoral Strategic Initiative for Somalia for initiatives that respond to the multifaceted needs of fragile and §§ Europe and Central Asia Strategic Initiative on Fragility and conflict-affected states. Projects include support for community Conflict based development for social cohesion in Kyrgyzstan, assessing governance perceptions in Africa, improving governance and ser- §§ Consolidating Peace in the Republic of Sudan vice delivery in Liberia, and supporting vulnerable groups, such §§ Consolidating Peace in Eastern Democratic Republic of as youth, women, and the internally displaced across all regions. Congo Annex 1 provides lists of all SPF projects that have been approved since the Fund’s inception in FY09. §§ Peace Consolidation in Colombia §§ Addressing Sexual and Gender Based Violence in Fragile and Conflict Situa- tions (multi-country initiative) Bank teams are currently in the process of preparing the individual projects that will make up these initiatives. THE SPF PORTFOLIO As of March 2014, the SPF has approved a total of 88 projects and four transfers to other MDTFs for a total of nearly USD200 million. SPF transfers to MDTFs have helped Haiti in the aftermath of its devastating earthquake, Somalia in private sector development and Jordan to help address the immediate ser- vice delivery impacts of Syrian refugee in- flows. SPF projects are implemented in more than 40 countries across all six regions of the world and represent the varying demand OVERVIEW OF SPF PERFORMANCE IN FY13 Figure 2: SPF Projects by Region (percentage) IMPLEMENTING AGENCIES The SPF is unique in its flexibility to partner with a range of types Global of institutions, working through national and local government SAR agencies and national NGOs in a range of FCS cases. In excep- 2% 0% tional cases, the SPF also utilizes the Bank execution on behalf of recipient in low-capacity and/or high-risk FCS settings where the client requests the Bank to carry out activities on its behalf. Several grants are given to the UN agencies, primarily in Soma- MNA lia – to quickly respond to client requests. In these cases, the UN 24% Fiduciary Principles Accord (FPA) is utilized. AFR 45% Figure 3: Implementing Agencies – SPF grants (number of projects) LCR 12% ECA 4 EAP 7% NGOs 10% 32 27 Bank Exec. United Nations Government The Africa region has the largest share of the SPF projects (45%), agencies followed by the Middle East and North Africa (24%) and the Latin America and Caribbean Region (12%). Figure 2 shows the region- al distribution of the SPF portfolio. 25 THE SPF’S KNOWLEDGE AND LEARNING AGENDA T he SPF is designed as a ‘laboratory’ for the Bank to test (IE) for evidence-based policymaking. The project will (i) support new and innovative ways of working in countries impacted the design and management of a series of FCS-specific IEs to by conflict and fragility. The objective of the SPF knowledge improve the effectiveness of World Bank and partner FCS opera- and learning (RKL) strategy is to generate and disseminate op- tions; (ii) create a community of practice on IE in FCS; (iii) gener- erationally relevant lessons that respond to client demand and ate knowledge products to be used by the Bank and its clients improve the World Bank’s performance in FCS. Knowledge gen- on how to carry out IE’s in FCS environments; and (iv) promote erated through the SPF can push new boundaries and codify greater use of IE for evidence-based policymaking in FCS. learning from Bank teams that are tackling peace- and state-build- ing challenges. The SPF’s RKL agenda focuses on knowledge Study on Sub-national conflict (USD1.7 million): The SPF-fi- capture and exchange as well as providing small RKL grants for nanced study, The Contested Corners of Asia: Subnational Con- learning activities related to the SPF’s portfolio. The Secretariat flict and International Development Assistance found that sub-na- also encourages the design of RKL components of SPF strategic tional conflict is the most widespread, enduring, and deadly form initiative and stand-alone projects. of conflict in Asia. The Asia Foundation (grant recipient) conducted a multi-year study including perception surveys, village-level eth- Highlights of the SPF’s RKL agenda include: nographic fieldwork and interviews with insurgents in areas often inaccessible to aid practitioners. In addition to the main Report, Knowledge Exchange Workshops and BBLs: In December, three case studies were completed of southern Thailand, Philip- 2013, the SPF (with the Korea Trust Fund for Economic and pines/Mindanao, and Aceh. The SPF is now working with a multi- Peacebuilding Transitions (KTF), Global Center on Conflict, Se- sectoral Bank team to consider implications for Bank strategy and curity (CCSD), Social Development Network colleagues) hosted operations in the wide range of Bank clients facing sub-national a Knowledge Exchange Workshop at the Center on Conflict, Se- conflict and application of the study’s findings to other countries/ curity and Development in Nairobi, Kenya. The three-day informal regions. workshop took place alongside the launch of the IEG’s evaluation of ‘World Bank Group Assistance to Fragile and Conflict-Affected Evaluation and Knowledge Capture of the Colombia Protec- States’. It provided a venue for cross-project, cross-country and tion of Land and Patrimony of Internally Displaced Persons cross-region exchange of knowledge and operational expertise (IDPs) (USD45,000): A qualitative evaluation was completed of on a set of themes common to the SPF/KTF portfolios, including the successful SPF-financed Protection of Land of IDPs Projects Community Driven Development (CDD) Operations in FCS and in Colombia. The three phases of the project (2002-2012) sought the Bank’s role in addressing sub-national conflict. The session to reduce the risk of impoverishment of IDPs forced to abandon also linked project teams with broader Bank and partner experi- their land by developing preventative measures to protect their ence to promote ‘frontier’ work in FCS. Participants included Task property and territorial rights. The project worked in prioritized ar- Team Leaders (TTLs), Bank sector and operational specialists, eas that over time extended some degree of land rights protection and external experts. to the entire country. Since the informed policy dialogue and led to the passage of the land restitution law in 2011, the evaluation The SPF has also sponsored several BBLs and knowledge ex- captured lessons and provided recommendation on what may be change events, including on results of an evaluation of an SPF applicable to other Bank-funded activities on land in other conflict project on gender-based violence in DRC, on conflict issues in countries. ECA in coordination with the ECA Strategic Initiative on Fragility and Conflict, on sub-national conflict in East Asia, and a regional Evaluation of Gender Based Violence Programs – Democratic event in Latin America on urban crime and violence. Republic of Congo (USD200,000): In response to the high lev- els of sexual and gender-based violence (SGBV) in South Kivu, Evidence for Peace Initiative (E4P): In 2013 the SPF, in part- DRC several donors, including the SPF, supported the Addressing nership with the Bank’s Development Impact Evaluation Initiative Gender Based Violence in South Kivu Program, implemented by (DIME), International Initiative for Impact Evaluation, and Innova- the International Rescue Committee (IRC). The program’s objec- tions for Poverty Action launched an effort to improve and promote tive is to improve the provision of services that promote treatment tailored and high quality impact evaluations for state- and peace- and prevention of SGBV against women and girls in South Kivu. building projects. The objective of the Initiative is to improve de- An impact evaluation was carried out by the Johns Hopkins Uni- velopment outcomes in FCS through the use of impact evaluation versity and the International Rescue Committee (IRC) with the ob- THE SPF’S KNOWLEDGE AND LEARNING AGENDA jective to identify low-cost and scalable interventions- one mental building. It plans to finance the partner Afrobarometer’s expan- health and one economic- that demonstrably improve the psycho- sion of surveys, capacity building, and communication programs logical, social, physical and economic functioning of survivors of in up to seven FCS countries (Burundi, Cote d’Ivoire, Niger, Sierra sexual violence. Its findings were presented in Fall 2013 and will Leone, Togo, and possibly Mali and South Sudan). The Afroba- inform future Bank SGBV programming. rometer Network has been conducting a comparative series of national public attitude surveys on democracy and governance, Governance perception surveys in Africa: Enhancing knowl- economic reform, and other critical issues in Africa for over a de- edge on peace-building and state-building for development cade. It has established a reputation for producing high-quality (USD3.2 million): The project addresses knowledge gaps in plan- public opinion data used by governments, civil society and citi- ning for and monitoring progress on state-building and peace- zens for policy reform. AFRICA Strategy Initiative for Somalia Re-Engagement (SISR) This new SPF supported initiative provides a foundation for the World Bank’s expanding engagement in Somalia and support for its transition process Since the collapse of the state in 1991, Somalia has witnessed jectives the SISR will provide support for seven discrete activity protracted civil conflict, political fragmentation and strong internal areas, namely analytical partnerships; governance; private sec- divisions. Persistent fragility has underpinned its consistently low tor development; information and communications technologies rank on the Human Development Index (HDI). But after years of (ICT); public finance management (PFM); resilience partnerships failed attempts to establish peace and undertake national recon- and; infrastructure. The scope of the SISR is to test a range of ciliation, Somalia has finally embarked on a precarious transition approaches that could be scaled up through follow-on financing. process. Today, amidst signs of political and economic revital- ization, Somalia has established a sovereign federal government Importantly, the SISR also builds on the current SPF activities in and passed a provisional constitution. It has also rallied the sup- Somalia, including the Somalia Knowledge for Operations and port of a broad coalition of regional and international partners Political Economy Program (SKOPE). This platform aims to pro- who are committed to its security and development. vide the analytical underpinnings of better-designed interventions and more transparent policy choices in Bank operations in Soma- As a country in arrears, Bank financing to Somalia is restricted. lia. With additional financing from the SPF, SKOPE will be able Because of its flexibility, the SPF is at the heart of the Bank’s to expand its existing activities to include support for Somalia’s emerging role in Somalia through its support to Strategy Initiative New Deal Fragility Assessment and Compact, which will form the for Somalia Re-Engagement (SISR). One of the principal ambi- basis of the country’s international engagement. SKOPE will also tions of the initiative is to finance the objectives of the Interim Strategy Note (ISN) for Somalia. SISR also builds on a series of enable the Bank to deliver technical assistance and facilitate pol- earlier SPF projects operating in Somalia since 2008. icy dialogue in Mogadishu in a more flexible and demand-driven manner. This new interim strategy, the first of its kind since 2007, is the basis of the World Bank’s broader support to the new government While the political and security context will be a key determinant in Mogadishu and project activities across the country. The ISN for the scope and depth of the Bank’s support to Somalia, the im- aims to support the country’s transition out of fragility and es- plementation of the SISR will be instrumental to flexibly promote tablish the foundations of peace, reconciliation and development. the Bank’s future engagement in the country. This new strategy It sets out to generate national and international confidence in initiative is a forward thinking tool designed to secure the funds Somalia’s public institutions, and support early recovery efforts and deliver the quick wins needed to maintain momentum and as well as longer-term resilience. Within the context of these ob- support Somalia’s fragile transition. Improving Service Delivery and Containing Cholera in Zimbabwe Zimbabwe’s economy suffered from an unprecedented decline Supply and Sanitation Project. SPF support was geared towards between 1999 and 2008, effectively halting investment in service boosting the city’s water supply as well as wastewater and solid delivery. This has resulted in devastating impacts on the country’s waste management systems. It also aimed to strengthen the in- once well-functioning water and sanitation systems. Severely de- stitutional capacity of the Beitbridge Town Council (BTC) and the graded sewage systems coupled with an unreliable water supply Zimbabwe National Waters Authority (ZINWA) for project imple- and poorly maintained facilities eventually sparked a nationwide mentation. The SPF’s engagement in this project also provided cholera outbreak in 2008-2009. More than a quarter of all record- the World Bank with the opportunity to re-engage in the water sec- ed cases were recorded in the town of Beitbridge on the South tor after an absence of almost two decades. African border, which sparked fears of a region-wide epidemic. The project had a clear impact on water supply and sanitation ser- At the request of the Zimbabwean authorities, the SPF provided vices, and directly benefitted some 40,000 residents. Targeted in- a USD2.65 million grant to fund the Beitbridge Emergency Water vestments in the water supply system enabled ZINWA and BTC to AFRICA increase the quality, duration and reliability of potable water supply. tems and a feasibility study for a new land-fill site which will ben- Upgrades to the sewer system, in combination with rehabilitation efit a broad range of recipients. And while there was inadequate of the treatment system and procurement of maintenance equip- monitoring of gender related impacts, it is expected that women ment saw improved collection, transmission and safe disposal of and girls have been primary beneficiaries of the water supply and wastewater. These outcomes also had the indirect effect of help- sanitation activities. ing reduce poverty and improve social development. And crucially, no new cases of cholera were reported after the 2009 epidemic. The success of the project is much a result of its focus on physical infrastructure as well as institutional capacity building, as demon- Today, Beitbridge town is also cleaner as a result of the improved strated by the continued effectiveness of both BTC and ZINWA. solid waste management systems supported by the project, which Small and strategic SPF-supported interventions such as this one included the procurement of a refuse collection truck and two trac- provide on-time catalytic support with the potential to be scaled tors. With support from the project, BTC has also conducted a up, and offer valuable lessons for building local institutions and public health and hygiene campaign, prepared new billing sys- managing state-society relations at a local level in Zimbabwe. Sudan: Paving the Way for Peace and Stability In Sudan local-level conflict over access to natural resources and talks resulted in the demarcation of 875 kilometers of livestock land is widespread. Intensified competition between pastoralists, migration routes, along which 47 water points were provided. To agro-pastoralists and settled farmers has helped create an envi- reinforce these encouraging results, 12 multipurpose develop- ronment in which violence easily erupts. Such contexts of violence ment centers were constructed and equipped. These centers pro- and insecurity are often made worse by weak or absent institu- vide training and resources for income-generating activities to the tions, and inadequate resource management regimes to govern communities. Particular attention was given to youth, women and land rights. internally displaced people (IDPs) who are trained in cheese mak- ing, animal traction, food processing and extension services. At the request of the government of Sudan, the SPF approved a USD4.2 million grant to support the Peace-building for Develop- To date, more than 1,200 women, youths and IDPs have received ment Project in Darfur and the Transitional Border Areas (Abyei, training and tools for income generation. The project has also Blue Nile and South Kordofan states). The main objective of this enabled partnerships between different communities and given a project was to promote the peaceful coexistence between diver- voice to vulnerable and marginalized groups due to the project. gent groups through improving livelihood opportunities and pro- Regional governments in areas covered by the project have taken moting mutual understanding. It was organized around two main a keen interest in the activities and provided counterpart funds components: 1) peacebuilding, and 2) livelihood support. worth USD2.5 million. Such contributions are a positive indicator of authorities’ commitment to peaceful coexistence, fair manage- In close collaboration with community-based organizations, a se- ment of land and resources and the constructive resolution of ries of peace conferences were held to bring different communi- disputes. They are also a testament to the valued and effective ties together for discussions on issues of common interest, such contributions of the SPF to peacebuilding and livelihood support as livestock migration routes and the use of water points. These in Sudan. EAST ASIA AND THE PACIFIC Southern Thailand: Promoting Peacebuilding in a Middle-income country Context The southernmost provinces of Thailand are host to one of the as other projects have reduced their operations in these areas”. longest-running sub-national conflicts in the Asian region. Since Based on this transformative approach, the government and LDI flaring up again in 2004, it has claimed more than 5,000 lives. And requested further assistance to expand its participatory communi- in spite of recent efforts at peace talks, the insurgency is still active ty development programs. This led to the launch of The Expanding and varying levels of violence persists. Community Approaches in Conflict Situations in Three Southern- most Provinces in Thailand project (ECACS) in July 2013. Central to the Bank’s engagement in southern Thailand has been the Piloting Community Approaches in Conflict Situations in the With SPF support, ECACS is able to capitalize on the credibility, Southernmost Provinces in Thailand (CACS) project. Implement- built by its predecessor, and expand its participatory local gover- ed between 2009 and 2013, the project centered on community nance efforts. ECACS is building capacity to formulate inclusive development approaches and building civil society capacity as a policies and deliver services to promote confidence building and means to foster a deep understanding of local issues and effec- address ‘vertical’ state-society conflict dynamics. In addition, the tively engage with the state. The Bank, alongside its main imple- project is stepping up support for civil society networks that can menting partner the Local Development Institute (LDI), focused offer creative platforms for exploring governance issues and trans- efforts on establishing a rapport with relevant interlocutors includ- formative methods of conflict resolution. Notwithstanding such en- ing government, local communities, civil society and the business couraging prospects, the project is still being implemented in a sector. Over time, the role of the Bank developed into that of a high- risk environment. trustworthy and neutral convener, which formed the basis of a con- structive working relationship with authorities and allowed for an While accounting for such risks, both SPF funded projects clearly active field presence. demonstrate effective community-based approaches to conflict situations in middle-income countries. Building on the Bank’s en- A recent beneficiary assessment of the CACS pilot project found gagement in Thailand, the Thai government is looking to results that “The project is capable of operating in heavily conflict-affected and lessons from the SPF project in considering significant invest- areas with limited apparent interference. This is a significant result ments and government financing for the south. EUROPE AND CENTRAL ASIA Europe and Central Asia Strategic Initiative on Fragility and Conflict Addressing multiple forms of violence and fragility in the ECA region through conflict sensitive capacity building, youth inclusion, community based development and regional dialogue Several countries across the Europe and Central Asia (ECA) re- §§ The second component seeks to address the social and po- gion have experienced multiple and recurrent forms of violence. In litical marginalization of youth by creating opportunities for recent years the Caucasus (Armenia, Georgia, Russian Federa- improved social accountability and dialogue between young tion) and Central Asia (Kyrgyzstan, Tajikistan, Uzbekistan) have people and authorities. Building on previous episodes of suc- witnessed low- level conflicts, incidences of civil unrest, ethnic ten- cessful engagement on youth issues, this component tests sions and inter-state disputes. Subnational and regional fragility and measures how increased youth voice and participation are also pertinent challenges that manifest in cross-border crime can decrease social exclusion. Implementing partners are and violence and international resource disputes. The ECA Strate- local youth NGOs and public policy institutes working in col- gic Initiative (ESIF) sprung from the need for improved strategies laboration with local governments and Ministries of Youth. and operations to address these challenges and account for the drivers and structural dimensions of violence and conflict. It was §§ The third component examines how community based devel- launched in September 2012 and will be implemented over a pe- opment programs can have a more targeted effect on social cohesion outcomes through informed design changes. This riod of 3 years. work seeks to learn from and expand the existing evidence base, and pilot projects designed to build community resil- ESIF is today developing and testing the scalability and effective- ience. It is being undertaken in partnership with the Aga Khan ness of FCS tools and models that the World Bank and its clients Development Network, a global pioneer in community-based can draw on in their response to conflict stressors in the region. development approaches. These tools build on relevant analytical and policy advice that has been implemented over the past five years in areas such as post- §§ The final component of ESIF links the above activities to a set conflict reconstruction, displacement, youth inclusion, violence of wider regional efforts designed to mainstream FCS issues. prevention and employment. The strategic initiative is structured They include knowledge exchanges, strategic dialogue and around four thematic components that have been selected on the capacity building activities to help staff and management in basis of their potential impact on ECA strategies and operations. the ECA region better respond to current and future stressors in their work. §§ The first component seeks to mainstream conflict and fragil- ity sensitive programs in environments where such consider- Overall, ESIF brings together and builds on the most effective ations are often wholly lacking. It extends a “conflict filter” ap- country and regional strategies to improve the conflict mitigation plication in each participating country and offers training and potential of development investments in the region. Its ability to capacity building of client institutions and technical assistance integrate approaches to conflict- sensitivity into operations, ana- to project implementing units. While Bank-financed projects lytical work and country dialogue offers an important means for are prioritized, the component also considers and supports the Word Bank to invest in an effective response to ECA’s unique the broader development initiatives of client governments. fragility issues. EUROPE AND CENTRAL ASIA Improving Opportunities For Kosovo’s Youth Kosovo has experienced robust economic growth rates since the development firms, grocery stores and construction companies. end of its 1999 war. However, the country still suffers from high While it is still premature to assess the final number of apprentices levels of poverty and a 40 percent unemployment rate. Economic who gained formal employment, many have since been hired. The opportunities are particularly scarce for youth and marginalized project also provided educational opportunities, notably business groups including ethnic minorities, female-headed households, start-up and vocational training for over 800 young people. Voca- and disabled persons. With the objective of increasing employ- tional training consisted of 12 applied courses that lasted between ment, access to services and social cohesion among Kosovo’s two and four months. The courses were in high demand and ap- youth and their communities, the SPF launched the Second Koso- preciated. More than 90 percent of survey respondents noted that vo Youth Development Project in December 2010. This grant-mak- they were ‘very satisfied’ with their vocational training. ing project is co-financed by the SPF and the Italian government through the Social Development Initiative for South East Europe While the reasons for beneficiary satisfaction vary, one graduate (SDISEE) for a total amount of USD 2.8 million. noted that the experience enriched her insight as the training in- cluded people from different communities, academic and ethnic With support from the SPF and its partners, young and disadvan- backgrounds. Her experience positively reflects the ambition of taged people are able secure economic independence by increas- the project to build social cohesion through inter-ethnic collabora- ing access to livelihoods, promoting skill-sets and insights. The tion. By seeking out applicants from a broad geographical spec- project had a particular focus on youth entrepreneurship and busi- trum the project enabled the participation of youth from remote ness development. Out of a pool of 317 nationwide applicants, 38 and often marginalized communities. young entrepreneurs were awarded grants to develop their com- panies. Most grant recipients were able to improve their business The SPF Committee has recently approved additional financing infrastructure through the purchase of computers and welding for USD 2 million to expand these activities to northern Kosovo. tools and other investments. Surveys indicate that the increased The Ministry of Culture, Youth and Sports, the projects main im- access to facilities for work provided by the project helped improve plementing partner, will continue to support young entrepreneurs economic opportunities and brought positive change to the lives of and increase the number of formally employed beneficiaries. By targeted youth. facilitating increased employment opportunities for young people in Northern Kosovo, the project is expected to support the lagging As a result of successful project implementation, over 300 appren- region to keep pace with the remainder of the country. tices were placed at a variety of businesses including software LATIN AMERICA AND THE CARIBBEAN Central America Citizen Security Initiative A strategic initiative designed to offer solutions to the continuing trends of crime and violence in Honduras, El Salvador and Guatemala The Northern Triangle of Central America, encompassing Hondu- creation and social inclusion in communities that are part of a ras, El Salvador and Guatemala is today experiencing more violent fragile truce between two of the country’s most violent gangs. deaths from criminal activity than during their civil wars over two Another focus will be on implementing the Entrepreneurial decades ago. Between 1999 and 2009 homicide rates in El Salva- Youth in Safe Cities program, which is geared toward rebuild- dor alone more than doubled. Rising organized crime and violence ing the social fabric in gang-dominated communities. has permeated social, economic and political institutions and oc- curs in virtually all spaces, both public and private. It has proven §§ In Guatemala, objectives include the coordination of multi-lev- significantly disruptive to development and exacted a heavy social el territorial planning (USD1 million) to enhance the capacity and economic toll. A 2010 World Bank study estimated that crime of the Vice Ministry of Violence Prevention to plan and imple- and violence amounted to 7.7 percent of GDP in Guatemala, 10.8 ment its violence prevention policy. The SPF will build on and percent in El Salvador, and 9.6 percent in Honduras. deepen the Bank’s engagement in municipal approaches to citizen security in Guatemala, which have made important The three countries are currently revisiting their citizen security progress through the creation of relevant political offices and policies to better respond to these unsettling trends and address a transformative policies. series of important challenges, namely: i) weak government capac- ity for implementing violence prevention policies and programs, ii) Throughout the implementation period of the strategic initiative, limited evidence of successful municipal violence prevention inter- activities will also focus on strengthening knowledge platforms for ventions and iii) weak capacity of national and municipal govern- evidence-based decision-making across the Northern Triangle ments to make policy decisions based on high-quality crime and (USD1.5 million). The establishment of RESOL-V (Solutions to Vi- violence data and evidence on crime prevention strategies. With olence Network) in Central America will, for example, facilitate the SPF support, the Central America Citizen Security Initiative sets generation, assessment, and use of evidence for crime preven- out to provide systematic and regionally focused support to the tion policy and programming. This and other activities offer timely governments of the Northern Triangle to strengthen capacity for opportunities for all three governments to develop structured and integrated approaches to citizen security. integrated responses to crime and violence at the regional, nation- al and local levels. Expected results include revised government §§ In Honduras, the program focuses on the responsive per- communication strategies with regards to prevention policies, and formance of local criminal justice institutions (USD1.5 mil- tangible changes in perceptions of citizen safety in targeted areas. lion). It supports initiatives that complement activities to be Anticipated outcomes also include an increase in the number of implemented under the Safer Municipalities Project, which reports, policies and interventions related to violence prevention, oversees integrated approaches to citizen security at the mu- and the standardization of victimization data leading to improved nicipal level. The program has a particular emphasis on social cross-country comparisons. violence prevention activities. These results indicators reflect the SPF’s ability and ambition to §§ In El Salvador program activities focus on increasing employ- support innovative approaches to strengthen social cohesion and ability for at-risk youth (USD1 million). The project will support reduce vulnerability to the myriad of stresses that underpin vio- violence prevention efforts, particularly as they relate to job lence in the region. LATIN AMERICA AND THE CARIBBEAN Protecting land rights and socio-economic opportunities of Colombia’s internally displaced The Protection of Land and Patrimony of Internally Displaced Since 2003, over the course of the project’s three phases, the Persons (IDP’s) project was first launched in 2003. The first two land rights of 176,000 people have been protected. And more than phases were supported by the Post Conflict Fund and Phase three 2,000 officials from municipalities, territorial committees and na- through the SPF. It focuses on protecting the rights and socioeco- tional institutions have been trained to understand and protect the nomic entitlements of IDPs, as well as mitigating the effects of rights and interests of the displaced. In addition, the project has displacement. The main objective of the project is to diminish the created 50 publications on forced displacement and land protec- risk of impoverishment of those who remain displaced. The project tion in Colombia. Throughout each project phase, special atten- as a whole has made important contributions to the Colombian tion has been paid to protect the rights and interests of women, peace-building process by promoting measures to protect their children, indigenous as well as special ethnic groups, mainly Afro- patrimonial assets, providing land titles and proposing public policy Colombians. initiatives for restitution of properties. This culminated in the pas- sage of the Law on Victims and Restitution of Land in June 2011, Beyond offering protection and services for IDPs the project has which is now being implemented and supported by the SPF. strengthened government capacities and contributed to a broader policy dialogue on displacement, protection of patrimonial assets, Land and assets remain central features of the conflict and ongo- land rights, and the peace-building process. Recently, the proj- ing peace process, and demonstrate the importance of adequate ect activities have focused on addressing challenges faced by project implementation. The success of the project has inspired the Special Administrative Unit in the areas of security, training the inclusion of the patrimonial asset protection of IDPs in the gov- in transitional justice for legal professionals and improving com- ernment’s national development plan (2006 – 2010), which aims munications with IDPs. The SPF also finances an evaluation of to increase employment, reduce poverty, and improve security. all three phases which aims to understand how the project has Moreover, the project has now been fully incorporated into the informed policy making and identify recommendations that can be government structure and is operating independently. Its proce- applied to other SPF funded projects. Findings from this project dures, processes and information systems are all part of a Special will also provide an input to a global knowledge exchange on the Administrative Unit created by the Law on Victims and Restitution land reform and peacebuilding and state-building issues planned of Land. Local offices for land restitution have also been set up, for late 2014. and the first 15 judges for the restitution process are currently un- dergoing training to begin hearing cases. MIDDLE EAST AND NORTH AFRICA Jordan and Lebanon: Promoting host community resilience in response to the Syrian refugee crisis The Syrian refugee crisis is the worst humanitarian catastrophe in These nine municipalities in northern Jordan will extend services recent memory and is creating social, economic, political and se- to approximately 791,150 Jordanians and 299,000 Syrians in the curity reverberations across the region. Jordan and Lebanon host project’s first phase. This will help bridge urgent humanitarian as large numbers of refugees who fled the ongoing conflict in neigh- well as development concerns and support multiple beneficiaries, boring Syria. In Jordan, more than 70 percent of refugees cur- both Jordanians and Syrians, in a complimentary way. Municipal rently live with Jordanian hosts in towns and urban centers. Such grants in the first year of the project will amount to approximately a rapid population increase has understandably put tremendous USD67 per refugee capita, which will significantly support mu- pressure on individual households and on society as a whole. It nicipalities’ efforts to improve service delivery and stimulate local has contributed to the worsening of public finances, increased the economies. It will also boost confidence in existing systems of price of petroleum products by 14-33%, and led to a rise in unem- government and strengthen the institutional capacities and com- ployment. Service provision, notably municipal water and sanita- munity coping mechanisms to address similar crises in the future. tion services, has also been severely hampered as a result of the This conflict sensitive approach to dealing with multiple interlinked Syrian refugee flows. and cross-border stresses reflect well the recommendations of 2011 World Development Report on Conflict, Security and Devel- In Lebanon, the Syrian refugee crisis has had a profound negative opment. impact on the country’s political, economic and social spheres. The arrival of an estimated 1.2 million refugees- over 25% of The SPF Committee also has recently approved USD10 million Lebanon’s population – has further challenged an already delicate in contributions to the Lebanon Syrian Conflict Trust Fund to help societal and inter-communal balance. fund the Municipal Services Emergency Project (MSEP). The project will address basic service delivery needs and enhance Together with the United Kingdom, Switzerland and Canada, the social cohesion in towns most affected by the influx of Syrian SPF is funding a program designed to mitigate the worst effects refugees by: of the refugee crisis. The Jordan Emergency Services and Social Resilience Project, launched in October 2013 is helping Jorda- a) maintaining a basic level of services by helping central and nian municipalities and host communities deal with urgent service local authorities cope with the increased demand on critical delivery needs and is strengthening municipal capacity to sup- local services in selected areas; port local economic development. Ibrahim Saif of the Ministry of b) preventing further degradation of infrastructure in those ar- Planning and International Cooperation noted that, “The aim of eas, thereby alleviating financial pressure on the Govern- the agreement we signed today is to support local communities ment; and in their capacity to handle the large inflow of Syrian refugees… funds allocated will be disbursed to nine municipalities that are c) providing local communities with essential communal and providing services to refugees and have been most affected by social amenities and services and engage them through in- the large influx.” clusive and participatory processes that can enhance the dia- logue amongst Lebanese and Syrian communities. LIST OF SPF-SUPPORTED PROJECTS AFRICA Country Project Title Amount (mn USD) Regional Governance Perception Surveys in Africa (Afrobarometer) 3.2 Central African Republic Safe and Reliable Public Electricity Project 2.5 Cote d'Ivoire Protection from Gender-Based Violence 2.0 Cote d'Ivoire Strengthening Communication and Transparency for Governance Reform 1.4 Cote d'Ivoire Young Entrepreneurs and Urban Job Creation 2.5 Democratic Republic of Congo Addressing Gender Based Violence in South Kivu 2.0 Democratic Republic of Congo Community Recovery and Resilience Pilot* 4.9 Guinea Economic Governance Support 2.0 Guinea Bissau Technical Assistance to Extractive Industries Sectors 2.8 Guinea Bissau Participatory Rural Development Grant 5.0 Guinea Bissau Support to National Health Development 2.0 Guinea Bissau Economic Governance Support 1.1 Liberia Improving Access to Justice and Enhancing Accountability 1.5 Liberia Land Sector Reforms 3.0 Liberia Civil Service Reforms and Capacity Building 2.0 Nigeria Community Foundations Initiative 0.6 Senegal Community Peacebuilding Initiatives in Casamance 3.0 Somalia Knowledge for Operations and Political Economy Program* 4.5 Somalia Support for Drought Management and Livelihoods Project 3.9 Somalia Financial Management Capacity Strengthening* 4.5 Somalia Emergency Livestock Disease Surveillance and control 0.9 Somalia Support to Extended Program of Immunization 0.5 Somalia Private Sector Development** 5.0 South Sudan Strengthening Core Functions for Managing Resource Dependence 3.3 Sudan Peace-Building for Development (two phases)* 7.6 Sudan Sustainable Livelihoods for Displaced and Vulnerable Communities * 2.6 Togo Private Sector Revitalization 1.1 Zimbabwe Beitbridge Emergency Water Supply and Sanitation Project 2.6 Zimbabwe Agricultural Inputs 4.8 Zimbabwe Agricultural Inputs 4.8 * project part of a Strategic Initiative; ** transfer to other multi-donor trust funds SOUTH AND EAST ASIA Country Project Title Amount (mn USD) Papua New Guinea Inclusive Development in Post-Conflict Bougainville 2.5 Philippines Encouraging More Resilient Communities in Conflict-affected Areas in the Philippines 2.5 Solomon Islands Mining Sector Technical Assistance 0.9 Solomon Islands Rapid Employment 3.5 Thailand Piloting and Expanding Community Approaches 6.5 Regional Opportunities and Challenges for Aid Delivery in Sub-National Conflict Areas 1.8 Regional Rebuilding Livelihoods through CDD approaches in Conflict Settings in South Asia 0.4 Nepal Demand for Good Governance 4.0 LIST OF SPF-SUPPORTED PROJECTS MIDDLE EAST AND NORTH AFRICA Country Project Title Amount (mn USD) Iraq Consultative Service Delivery Program (two projects) 10.0 Jordan Enhancing Legal Aid Services to Iraqi and Palestinian Refugees 2.1 Jordan Emergency Services and Social Resiliency – Syrian displacement** 10.0 Lebanon Lebanon Syrian Conflict Trust Fund** 10.0 Lebanon The National Volunteer Service Program 2.0 Lebanon/Jordan Mitigating Socio-Economic impact of Syrian Displacement 3.2 Libya Transitional Assistance to Libya 3.0 Tunisia Participatory Service Delivery for Reintegration 5.0 West Bank and Gaza Water Supply and Sanitation Improvements for West Bethlehem 3.7 West Bank and Gaza Masar Ibrahim/ Abraham Path: Economic Development across Fragile Communities 2.3 ** transfer to other MDTF EUROPE AND CENTRAL ASIA Country Project Title Amount (mn USD) Armenia Promoting Youth Inclusion* 1.0 Georgia Internally Displaced Peoples Community Driven Development 2.0 Georgia Youth Inclusion and Social Accountability* 0.5 Kosovo Second Kosovo Youth Development 4.0 Kosovo Social Inclusion and Local Development 4.9 Kyrgyz Republic Social Cohesion through Community Development* 2.0 Russia Promoting Youth Inclusion in the North Caucasus* 1.0 Nepal Demand for Good Governance 4.0 * project part of a Strategic Initiative LATIN AMERICA AND CARRIBEAN Country Project Title Amount (mn USD) Colombia Protection of Land and Patrimony of Internally Displaced Persons 6.0 Haiti Rural Water and Sanitation 5.0 Haiti Haiti Reconstruction Trust Fund** 2.2 Honduras Regional Program for Municipal Security* 1.0 Guatemala Regional Program for Municipal Security * 1.0 El Salvador Regional Program for Municipal Security * 1.5 Regional Regional Program for Municipal Security – Knowledge Platform* 1.0 * project part of a Strategic Initiative; ** transfer to other multi-donor trust funds