For Official Use Only CPSCR Review Independent Evaluation Group 73440 1. CPS Data Country: China CPS Year: FY06 CPS Period: FY07 – FY12 CPSCR Review Period: FY07 – FY12 Date of this review: October 26, 2012 2. Executive Summary i. This review examines the implementation of the FY07-12 China Country Partnership Strategy (CPS) of FY06 and the CPS Progress Report (CPSPR) of FY09, and assesses the CPS Completion Report (CPSCR). The strategy was jointly implemented by IBRD, IFC and MIGA; this review covers the joint program of the three institutions. ii. The WBG strategy aimed to help China shift over time from a growth pattern that favors capital intensive industry to one that is less resource-intensive, more efficient, and more equitably shared. The strategic objectives were organized under five pillars: (i) integrating China into the world economy; (ii) reducing poverty, inequality and social exclusion; (iii) managing resource scarcity and environmental challenges; (iv) financing sustained and efficient growth; and (v) improving public and market institutions. The strategy were confirmed in the CPSPR, with heightened emphasis on the environment, as well as integrated urban-rural development and joint Bank-China analytical work. iii. IEG rates the overall outcome of WBG assistance as satisfactory, concurring with the CPSCR rating. Despite slow progress toward some outcomes under Pillars 1 and 5, the CPS program achieved very good progress toward the major outcomes under the other pillars. In particular, it provided sustained and innovative support for China‟s environmental and social development agenda, which were the focus areas of the CPS. The weaknesses in the CPS results framework, especially the fact that it was not updated in the CPSPR to accurately reflect the CPS program being implemented, were a main factor behind the weak results in some areas. iv. Under Pillar 1, China made impressive progress in becoming an active participant in world economic affairs. Its trade and overseas investment continued to grow, and its contribution to the global development agenda increased through multilateral and bilateral cooperation. However, while the Bank‟s AAA has contributed strongly to enhance the mutual understanding of China and the world, and the Chinese counterparts‟ capacity to work with development partners, there is little evidence of the Bank‟s impact on Chinese trade, investment or ODA, and little was done on managing the capital account and on constraints to FDI, which were anticipated in the original CPS. v. Under Pillar 2, strong growth, coupled with concerted effort to integrate poverty alleviation objectives in all sectoral development programs and strengthened social security systems, has resulted in solid progress toward reducing absolute poverty. The village-based poverty reduction strategy has emphasized the development of rural education, health, infrastructure and businesses; while community participatory approach, which was introduced through Bank projects since the 1990s, is increasingly adopted as a basic concept in poverty reduction programs. Education coverage and attainment in China‟s poorer regions have increased; both urban and rural poor‟s access to health services has improved, and enhanced rural connectivity has supported the improvement in rural productivity and incomes. Some progress has also been made in improving the access to basic social services for CPSCR Reviewed by: Peer Reviewed by: CPSCR Review Coordinator Xiaolun Sun Marcelo Selowsky Senior Evaluation Officer, IEGCC Consultant, IEGCC Xiaolun Sun Senior Evaluation Officer, Albert Martinez Surajit Goswami IEGCC Consultant, IEGCC Consultant, IEGCC For Official Use Only CPSCR Review 2 Independent Evaluation Group migrant workers, although they still do not enjoy the same social benefits and opportunities as urban residents. The WBG provided financial and knowledge support in all these areas, with projects at the local level piloting new approaches and AAA providing higher-level focuses on reform steps. vi. Under Pillar 3, China has made great strides in reducing energy intensity in the economy, improving water resource management and efficiency, and participating in international environmental cooperation. China has grown particularly rapidly in renewable energies and has the largest reforestation areas in the world. Nevertheless, China still faces considerable challenges in becoming a resource-efficient society and ensuring sustainable growth, due to the remaining weakness in its policy and institutional frameworks, the over-reliance on administrative measures to achieve resource efficiency and environmental protection objectives, and the limited progress in addressing the market distortions in resource allocation. The WBG devoted significant resources to pilot and demonstrate innovative approaches for addressing China‟s daunting range of environmental issues. There is evidence that it contributed strongly to the renewable energy, energy efficiency and water resource management agenda; but fewer measurable results in mainstreaming environmental concerns into development plans and creating efficient energy and water markets to encourage greater conservation. vii. Under Pillar 4, China has expanded access to finance, with increased lending to SMEs and strengthened rural credit institutions. There has been progress in the legal and regulatory environment for capital and insurance markets, but further strengthening is needed. There is also progress in infrastructure finance via corporate bonds, but municipal debt issuance remains undeveloped. All three financial regulators have promulgated guidelines on corporate governance in line with OECD principles and international best practices, but there is no information on compliance. Although efforts are under way to address vulnerabilities and to deepen the financial system, much remains to be done to strengthen the PBoC‟s capacity to identify, assess and mitigate systemic risks. The WBG support was strong in the access to finance area, but very limited on managing systemic financial risks. viii. Under Pillar 5, China has pushed forward institutional reforms that included reforming SOEs and attracting private investment, in particular FDI. Good progress has been made in categorizing PSUs and piloting PSU reform approaches with a view to overhaul the delivery systems of public services. Transfer from central to local governments has increased to fund the expanded social protection network, while more rigor has been instilled in the annual budget process in order to improve performance and accountability. However, there has been limited progress in simplifying anti-competitive business regulations, no fundamental change to the intergovernmental fiscal relations and no information on the results of the budget reforms. The WBG support was uneven and weak on PSU and fiscal issues. It is thus unclear whether the WBG has contributed in a significant way to most of the outcomes. ix. The CPSCR concludes that the greatest impact and results have been achieved when IBRD, including the World Bank Institute (WBI), IFC, and MIGA complemented one another on common objectives, when WBG financing had grounding in AAA with strong client ownership, and when different financing sources were combined to increase the scope and speed of progress. It also emphasizes the role of the WBG in encouraging innovation through replicable pilots and in promoting South-South exchange. IEG concurs with these lessons, and underscores three additional points. First, given the WBG‟s resource constraints, a more focused China program will likely produce better results. While this is true anywhere, it is especially important in big countries where only focused and well-coordinated WBG support is likely to have traction. Second, a stronger results framework, with more realistic outcomes that are close proxies of the underlying objectives, clearer causal links between WBG interventions and the expected outcomes, and indicators, targets and milestones that adequately reflect the scope of the outcomes, would help assess the efficacy of the country program and monitor the progress toward objectives. Third, it takes time for institutional For Official Use Only CPSCR Review 3 Independent Evaluation Group reforms to gather momentum and encourage decisive follow-through. This suggests that WBG activities (both lending and AAA) could usefully adopt a programmatic approach rather than one-off interventions to ensure consistent support, and that WBG initiatives be seen as supportive rather than prescriptive to ensure government ownership. 3. Assessment of WBG Strategy Overview of CPS Relevance: Country Context: 1. China entered the CPS period following three decades of rapid economic growth. This trend continued during the CPS period, with real GDP growth reaching 14.2 percent in 2007. The 2008 global financial crisis and the resultant collapse in external trade slowed China‟s growth to 9.2 percent in 2009, but the monetary and fiscal stimulus put in place since 2008 was effective and the economy rebounded in 2010, registering once again double-digit growth of 10.3 percent. Since then, growth has slowed down amid prolonged economic uncertainty fueled in part by European debt crisis. Nevertheless, it remained one of the highest in the world at 9.3 percent in 2011. 2. Three decades of rapid growth has not only propelled China to the world‟s second largest economy and drastically reduced poverty from 65 to 3 percent during 1981-2010 (by national poverty line), but also resulted in serious socioeconomic imbalances, including rising inequality, growing environmental degradation, increasing structural imbalances, and an aging society. There were also concerns about overheating of the economy, property market bubbles and inflation. By early 2012, government efforts to cool the property sector appeared to be taking effect and inflation dropped to below 4 percent, while signs of economic slow-down have become apparent. As a result of a falling trade balance, the current account surplus was reduced by more than two-thirds during the CPS period to 2.8 percent of GDP in 2011. The real exchange rate appreciated by about 15 percent and the pace of reserve accumulation has fallen. th 3. China‟s 11 Five Year Plan (FYP), covering the period 2006-2010, aimed to sustain rapid economic growth while addressing key socioeconomic imbalances that had arisen during the previous decades of fast growth. The national economy was expected to grow at 7.5 percent per annum, but more attention would be devoted to the quality of economic growth. More specifically, the government‟s objectives included rebalancing the pattern of growth, raising the income and living standards of urban and rural residents, improving public services, protecting the environment, and th deepening reforms and opening-up to the world. The 12 FYP, which covers the period 2011-2015, carries forward this development strategy. Objectives of the WBG Strategy: 4. The WBG strategy aimed to help China shift over time from a growth pattern that favors capital intensive industry to one that is less resource-intensive, more efficient, and more equitably shared. The strategic objectives were organized under five pillars: (i) integrating China into the world economy; (ii) reducing poverty, inequality and social exclusion; (iii) managing resource scarcity and environmental challenges; (iv) financing sustained and efficient growth; and (v) improving public and market institutions. The strategy were confirmed in the CPSPR, with heightened emphasis on the environment, as well as integrated urban-rural development and joint Bank-China analytical work. 5. There were some discrepancies between the text of the CPS and the results matrix in the annexes. Under Pillar 1, the stated objective of “reducing barriers to trade and investment” became “increasing Chinese trade and investment” in the results matrix, which was a related but not identical For Official Use Only CPSCR Review 4 Independent Evaluation Group goal. Under Pillar 3, the text of the CPS did not have “improving natural resource management to reduce degradation and depletion” as an objective, but the results matrix did. The CPSPR maintained the same results matrix as the CPS. Relevance of the WBG Strategy: 6. Congruence with Country Context and Country Program. The WBG strategy addressed the key challenges that China has faced since 2006, and there was a high degree of alignment between the WBG strategy and China‟s own development program. The stronger emphasis of the CPSPR on the environment and rural-urban integration reflected the heightened commitment of the government to tackle these issues. With IBRD lending, the government was firmly in the driver‟s seat and followed a well-defined process and criteria to select proposals from the provinces for potential IBRD financing. A rolling three-year lending program was negotiated between the authorities and the Bank and reviewed every spring. This ensured the relevance of the WBG program. The Bank‟s AAA followed a less structured annual review process. Although some ESW and TA were conducted in close collaboration with the government to support China‟s development priorities , others were undertaken in a more ad hoc manner under diverse circumstances with varying degrees of Chinese ownership. IFC investments were consistent with the country‟s program, and while IFC did not coordinate these investments with a central government office, in many cases (e.g. in the financial sector), government approval was needed. In the case of advisory services (AS), IFC had various government offices or agencies as clients in response to requests for support. 7. Relevance of Design. In the context of China‟s vast development needs and internal resources, the design of the WBG program had varying degrees of relevance. Some CPS objectives and outcomes implied systemic policy changes at the national level; others were more modest in scope, focusing on catalytic effect through demonstrations at the local level. For those interventions designed to support reforms at the national level, a key assumption for achieving the desired outcomes and fulfilling the stated objectives was that the WBG could strongly influence China‟s policy decisions , mostly through analytic and advisory activities (AAA) as there was no development policy lending. Where this assumption was realistic, such as in the health and education sectors where the WBG had built a long-term relationship, the WBG‟s interventions were relevant. China‟s overall track record, however, has shown strong independence in its policy making – the government routinely consults multiple development partners and think tanks on the same issues, but takes decisions on its own. For those interventions that were designed and implemented at sub-national levels, which comprised a majority of the IBRD portfolio, the desired outcomes were feasible to achieve when they were defined at the appropriate levels. Attaining the stated objectives would require that China replicate and scale up the WBG-supported pilots across the country. On this, China has amply demonstrated its ability to learn from pilots and implement far-reaching programs and reforms on that basis. Interventions by IBRD, IFC and MIGA were consistent, with IFC delivering most of the Pillar 4 and contributing to energy conservation, clean energy supply and other objectives as well, while MIGA providing guarantees in infrastructure projects. 8. The results framework was comprehensive, reflecting an effort to capture the myriad of activities and to identify the catalytic channels. However, with 35 outcomes to measure progress toward 17 objectives, it was also complex and unwieldy. Some of the outcomes had little relation with the corresponding objectives (e.g., model heritage and tourism projects developed as an outcome for achieving the objective of China meeting international environment conventions); others were in fact outputs (e.g. efficient energy supply systems demonstrated); a few overlapped with one another (e.g. strengthened urban planning and management under Pillar 2 and planning, financing, managing investments on metro/regional scale under Pillar 3 ); and several were clearly beyond the WBG‟s influence (e.g. China meets WTO commitments and participates fully in Doha Round), especially with the limited instruments available. Moreover, there were no pre-determined outcome indicators, targets or milestones to be used to guide actions and track performance. As such, the results matrix had serious shortcomings as a management tool for monitoring program progress. For Official Use Only CPSCR Review 5 Independent Evaluation Group 9. Risk Identification and Mitigation: The CPS and CPSPR identified as major risks stagnation in the reform process, weakness in the financial sector, debt management, cross-border emergency such as SARS or avian flu, external shocks, rural-urban disparities, and social exclusion and dissatisfaction. The CPSPR also identified natural disasters as another risk in the wake of Wenchuan earthquake. Beyond close monitoring, the strategy did not have specific mitigating measures, as it considered that these risks were either moderate (reform process, debt), being addressed vigorously by the government (financial sector, social issues), or being worked on with WBG involvement (external shocks, emergencies). The risks that materialized during the CPS period included the Wenchuan earthquake and the global financial crisis of 2008. The former had not been identified as a risk ex-ante, but the WBG was able to respond quickly within the existing strategy; as for the latter, China proved to be resilient and the WBG did not need to adjust its strategy. Overview of CAS/CPS Implementation: Lending and Investments: 10. There are no adjustment lending operations in China. During the CPS period, IBRD approved 79 loans totaling US$10.4 billion. With over $13 billion loans outstanding, China remained one of the Bank‟s largest borrowers. Of the 53 loans originally planned for the CPS, four were dropped, while an additional 26 were delivered, including 13 loans totaling $1.6 billion during FY11-12. Between 10 and 17 projects were delivered every year, which was consistent with or exceeded the target of 10-12 projects per year in the CPS/CPSPR. The annual lending volume was in the range of $1.4 - 1.7 billion, excluding the $710 million Wenchuan Earthquake Recovery loan in FY09, the upper part of the projected $1.0-1.5 billion per annum. Of the 79 projects, 69 were Specific Investment Loans (SIL), 88 percent of which fell into four sectors: transport (26 projects), water (15), agriculture (11) and energy (8). In terms of volume, these four sectors accounted for 94 percent of the total SIL in China. Such instrument and sector compositions of loans were comparable with the previous CPS period, when 85 percent of IBRD lending to China was SIL and the four SDN sectors accounted for 97 percent of the volume. 11. In addition to the new loans, there were 80 existing projects under implementation during the CPS period, all but three exited by the end of the period. Trust funds (TF) provided a further $1.5 billion in 87 projects, including 58 loans (mostly SILs), and 29 grants, including a $32.5 million DfID grant to support a project on the rural poor. Nearly three-quarters of the TF projects were energy- or environment- related, including $971 million in four HFC-23 Emissions Reduction and Sustainable Development Benefits Projects. Nevertheless, TF resources declined sharply during the CPS period as bilateral agencies scaled down their operations in China. 12. The size of IBRD portfolio had been on a downward trend since FY00, but stabilized at around 80 active projects during the CPS period. The proportion of commitment at risk, however, rose significantly from 1.9 percent in FY06 to 17.9 percent in FY11, which was above the EAP and Bank average of 11.5 percent and 13.7 percent, respectively. This apparent deterioration of portfolio quality in FY10-11 reflected the push by regional and country management in the later years of the CPS period to ensure greater candor in project ratings in order to bring to light implementation issues at an earlier stage and to address them more proactively. IEG reviewed the completion reports of 63 loans. In all but one case, the outcome was rated moderately satisfactory or better, a much stronger performance than the EAP and Bank average of 86.6 percent and 76.8 percent, respectively. In particular, five projects were rated highly satisfactory. Moreover, the development outcome in 97.9 percent of the projects was likely to be maintained, a far higher percentage than the EAP (72.8 percent) and Bank (61.1 percent) averages. 13. IFC approved $2.4 billion of investments during the CPS period, more than doubling the $1.1 billion approved in the previous CPS period. The shares of the main industry clusters remained roughly For Official Use Only CPSCR Review 6 Independent Evaluation Group the same, with Manufacturing, Agriculture and Services at about 45 percent, Financial Markets (FM) at about 40 percent, and Infrastructure and Natural Resources at 15 percent. In FM, the share of trade finance increased to about 30 percent in 2011. Notably, the share of equity investments to total investments was 74 percent in 2010 and 64 percent in 2011, up from 39 percent pre-CPS. MIGA issued $188 million of guarantees for 13 projects, 12 of which were in infrastructure. 14. IEG reviewed 27 IFC projects in China during the CPS period, of which 17 projects (63 percent) were rated mostly successful or better for development outcome. This performance was lower than the overall IFC performance (70 percent), but at the same level as the Asia regional performance (64 percent). Analytic and Advisory Activities and Services 15. IBRD delivered a large volume of AAA to the client, including 115 economic and sector work (ESW) and 71 technical assistance (TA) pieces, covering all the sectors in which the Bank works. Just over half of the ESW were reports, some of which were high-profile China-Bank joint studies, such as the China 2030; the rest consisted of technical and/or policy notes produced at the request of diverse government agencies for different purposes. It appears that more of such short notes have been delivered than what is shown in the Bank‟s AAA tracking system. In transportation and financial sectors, however, the Bank‟s knowledge services were provided mainly through quick policy notes (82 and 65 percent, respectively). About two-thirds of the TA assistance was to provide “How to” guidance and institutional development plans (37 and 27 percent, respectively). In water and agriculture sectors, most AAA was delivered through TA services (73 and 62 percent, respectively), and TA was also an important means to transfer knowledge in finance, transportation and energy sectors. Over the CPS period, the number of ESW declined gradually from 27 in FY06 to 18 in FY11, while that of TA rose from 9 in FY07 to 16 in FY09 before declining to 6 in FY11. 16. Broadly, China sought two types of knowledge services from the Bank. For solutions to specific problems (e.g. rural health system, energy efficient transport system), the country was interested in not just the Bank‟s recommendations based on rigorous analysis, but also demonstrations of their applicability in Chinese context through pilot lending projects. In infrastructure and environment, for example, practically all AAA was concurrent with lending even if the AAA and the lending did not always focus on the same topics. At the same time, China also looked to the Bank for new concepts, advanced methodologies and modern practices in formulating its own long-term strategies. Such advice tended to be provided through stand-alone AAAs, either in the form of high- profile reports to stimulate public discussions, or informal policy notes destined for a small circle of policy makers. Dissemination of the Bank‟s knowledge work appears to be insufficient in some cases, as a certain number of the Bank AAA seemed to be little known outside a small circle of collaborators – in multiple instances the officials managing the Bank lending projects were not aware of the existence of some Bank studies in their own sector. 17. During the CPS period, IFC approved 42 AS projects costing about $30 million. Access to Finance accounted for half the projects and 85 percent of the costs. About one-third of the number of AS projects approved during the CPS period provided support to government entities, mainly in the areas of secured transactions, MSME access to finance, and regional investment promotion. There were 28 projects approved prior to but active during the CPS period with a total cost of $10 million, of which about 60 percent were utilized on the Sustainable Business Advisory product line. There has been a greater focus on access to finance during the CPS period. 18. IEG has evaluated seven AS projects for China and rated five of these (one could not be verified and another met the exclusion criteria). Of the five projects rated by IEG, only one was given a rating of moderately satisfactory or better for overall development effectiveness. However, given the small number of projects evaluated, it is difficult to assess the performance of the AS activities. For Official Use Only CPSCR Review 7 Independent Evaluation Group Partnerships and Development Partner Coordination 19. Official development assistance to China declined sharply over the CPS period, especially after the global financial crisis when bilateral resources became scarce. By the end of the CPS period, most bilateral agencies were phasing out their activities in China, with some maintaining a relationship on the South-South learning agenda. While several specialized UN agencies were active in China, the Asian Development Bank (AsDB) was the only other development agency which maintained a strong partnership with China. A new AsDB Country Partnership Strategy has been formulated in 2012 in line th with the priorities of China‟s 12 FYP, with similar volume projections as the WBG‟s current levels and focusing on similar areas. Key differences in AsDB‟s approach included a strong TA program and closer integration of private sector lending with sovereign loans. As the government takes a very hands-on approach to coordinating development partner programs in China, there was little unintended overlap, or co-financing, among the partners. Safeguards and Fiduciary Issues 20. There is no case of safeguard violations in the Inspection Panel. During FY08-12, INT recorded more than 30 allegations of fraud and corruption, and found sufficient basis to open three cases. One of these was substantiated. Overview of Achievement by Objective: Pillar 1: Integrating China into the world economy 21. Under Pillar 1, the WBG sought to support China on increasing Chinese participation in multilateral economic institutions, increasing Chinese trade and overseas investment, and increasing Chinese participation in ODA. 22. Increasing Chinese participation in global and regional economic institutions. China became an increasingly active participant in international economic institutions during the CPS period. Within the WBG, China became an IDA contributor in 2007 and the third largest shareholder in 2010. In Asia, China contributed $35 million to the Asian Development Fund, subscribed to the AsDB‟s capital increase in 2010, and contributed $200 million to ASEAN+3 Credit Guarantee and Investment Facilitation. In Africa, following up to its contribution to the African Development Bank‟s (AfDB) Multilateral Debt Relief Initiative in 2006, China hosted the Annual Meetings of AfDB and ADF and created the China-Africa Development Fund in 2007. The Fund has already invested US$1.1 billion in around 30 Africa projects, with another 10 committed, and expects to receive approval for an additional US$2-3 billion in 2012 for use in Africa projects. In Latin America, China became a member of the Inter-American Development Bank (IADB) in 2009. Two Chinese banks joined the IADB Trade Finance Facilitation Program in 2010, and China‟s Export-Import Bank is setting up a $1 billion Latin America Fund with the IADB to make equity investments in Latin America. In addition, China participated in the Greater Mekong sub-region initiatives and China‟s Inner Mongolia Autonomous Region joined Central Asia Regional Economic Cooperation in 2008. 23. IBRD supported this objective with several AAA that aimed to enhance China‟s understanding of the world and vice versa. Each Economic Quarterly is released with wide media coverage; China 2030 has already generated a high number of downloads worldwide even before its official release in China. WBI implemented two TA programs to build the capacity of the International Poverty Reduction Center in China (IPRCC) to share China‟s experiences with the world, focusing on Africa. This assistance was highly appreciated by IPRCC and helped strengthen its capacity to conduct research, provide training and collaborate with development partners. For Official Use Only CPSCR Review 8 Independent Evaluation Group 24. Increasing Chinese trade and overseas investment. Chinese imports and exports continued to grow rapidly, increasing by 133 and 113 percent (cumulative), respectively, between 2006 and 2011, while outward FDI quadrupled. The CPSCR notes that China has 14 Free Trade Agreement (FTA) partners comprising 31 economies, among which 10 Agreements have been signed already. China and ASEAN signed the Agreement of Trade in Services of ASEAN-China Free Trade Area (ACFTA) in 2007. According to the Bank‟s WTO Trade Policy Review (2008), China‟s trade regime had continued on a liberalizing trend since its previous review in 2006, but the CPSCR does not report on the CPS outcomes of whether China has met WTO commitments and participated in the Doha Round, whether China has implemented FTAs with ASEAN countries, or whether the quality of China‟s overseas investment has improved. 25. IBRD supported this objective through analytical work on trade and poverty, the competition, environment and labor mobility provisions in regional trade agreements, and WTO-related issues, all of which were delivered by FY09. IFC invested in the China ASEAN Infrastructure Fund, a communication project in Ghana and a commercial building project in Tanzania, where the sponsors were Chinese companies. IFC also provided AS on corporate governance and E&S standards to companies investing overseas, while MIGA/FIAS conducted research on Chinese companies investing overseas. 26. Increasing Chinese participation in ODA. Between 2004 and 2009 (latest data obtained), Chinese foreign aid increased by 29.4 percent annually. To improve coordination between the key agencies involved in the management of foreign aid (the ministries of Commerce, Foreign Affairs and Finance, and China Exim Bank), an inter-ministerial communication mechanism was created in 2008, and upgraded to an inter-ministerial coordination agency in 2011. The CPSCR provides no information on the CPS outcome of improvement in the volume and quality of China‟s Official Development Assistance (ODA). 27. The WBI supported the dialogue on development effectiveness through the China-DAC Study Group with TA to the IPRCC, and to the Asia-Pacific Finance and Development Center. 28. IEG rates the outcome of WBG assistance under Pillar 1 as moderately unsatisfactory. China made impressive progress in becoming an active participant in world economic affairs. Its position in world trade improved, its overseas investment increased, and its contribution to the global development agenda grew through both multilateral and bilateral cooperation. However, while the Bank‟s AAA has contributed strongly to enhance the mutual understanding of China and the world, and the Chinese counterparts‟ capacity to work with development partners, there is little evidence of the Bank‟s impact on Chinese trade, investment or ODA, and little was done on managing the capital account and on constraints to FDI, which were anticipated in the CPS. Pillar 2: Reducing poverty, inequality and social exclusion 29. Objectives under this pillar included eliminating absolute poverty, building capacity of the poor to participate in China‟s growing economy, expanding economic opportunities for the rural poor and facilitating the migration of surplus rural labor to urban areas. 30. Eliminating absolute poverty. China has pursued the poverty reduction goal on multiple fronts: the State Council‟s Leading Group Office of Poverty Alleviation coordinates all poverty reduction programs; all the line ministries are required to integrate poverty reduction objectives in their strategies; and the society is mobilized to fight poverty (e.g. poverty alleviation lottery). A basic approach to China‟s poverty reduction strategy calls for the development of the whole village anchored in the development of leading agro-processing companies and supported by expanding health, education, infrastructure and other services. Community participation, which was first introduced by the Bank in the 1980s, is being adopted as a key concept in poverty reduction programs. During the CPS period, the Bank continued to advance Community Driven Development (CDD) models in western For Official Use Only CPSCR Review 9 Independent Evaluation Group China and piloted models in which village committees controlled the subproject funds. At the same time, China has accelerated the establishment of a social safety net since 2007 to ensure a minimum living standard for the most vulnerable urban and rural population. A key milestone in this direction is the enactment of the Social Insurance Law in 2010, but a series of measures were also taken to deepen and widen the systems already in place. The most notable ones include expanding the urban pension system to different segments of the urban population, piloting various rural pension schemes, rolling out a new means-based rural social assistance program, and amending the regulations on insurance for work place injuries to simplify procedures and improve benefits. In 2010 and 2011, China raised the national poverty line twice, by 47 and 92 percent respectively, to about $1 a day, thereby allowing more people to qualify for government assistance. As a result, China not only exceeded the th 11 FYP targets for rural incomes, but also became the first developing country to achieve the MDG poverty reduction target ahead of schedule. New evidence is emerging that the worsening trend of income inequalities has halted and is even reversing in China (OECD 2012). 31. IBRD supported this objective through two rural development projects, a rural health project and related lending that closed in FY07. IBRD delivered a number of AAA that included a poverty assessment, analysis of the social protection systems in urban and rural China (pensions and social assistance), of health reforms in general and in the rural areas in particular, and of reducing inequality, a Community Driven Development conference, and other policy notes. 32. Building capacity of the poor to participate in China’s growing economy. The Rural Compulsory Education Reform of 2006 has led to an expansion of coverage as compulsory education was made free in 2008. During the CPS period, the government scaled up the “Two Exemptions and One Subsidy” program to exempt poor rural students from paying tuition and miscellaneous fees for compulsory education, and to provide living subsides for boarding students. Public spending on education increased from 3 to 4 percent of GDP between 2006 and 2011. Both gross enrollment and the literacy rate improved in the key counties under the national poverty reduction programs. Migrant children in urban areas, however, do not benefit from the support programs, although integrated rural- urban development models of social security programs are being piloted. In health, the Urban Resident Medical Insurance (URMI) was put in place in 2007 to expand health insurance from “employees” to all urban “residents”. By 2009, URMI had been expanded from 79 pilot cities to all cities. In rural areas, China began rolling out in 2003 the New Rural Medical Cooperative (NRMC), a voluntary insurance system, and a Medical Financial Assistance (MFA) program to help poor rural household access medical services and participate in the NRMC. These schemes raised the health insurance coverage from around 20 percent in 2003 to 95 percent of the rural population now. Special funds for developing health care in poor regions grew at an average annual rate of 73 percent during 2006-2010. 33. IBRD supported this objective through lending for basic education in western areas, technical and vocational education and training (TVET) that target migrant workers, tuberculosis control and general rural health systems. The Bank also delivered many AAA on compulsory education finance, higher education, TVET in Chongqing and Guangdong, early childhood development, health reforms, pension and social protection, etc. These lending and non-lending support contributed not only to the achievement of the CPS outcomes in education and health financing for the poor, but also to China‟s medium and long-term strategies in education and human development. IFC invested in a number of private health care facilities and pharmaceuticals, and provided AS on private higher education and vocational education and training. It is not clear to what extent these investments and advisory services targeted and/or benefited the poor. 34. Expanding economic opportunities for the rural poor. A key element in the government‟s poverty reduction strategy was to improve the income-earning opportunities of poor villagers through the development of rural infrastructure (road, water and electricity) and rural enterprises. During the th 11 FYP, the central government‟s investment in rural roads grew by 30 percent annua lly, and all transportation investments (rail, road, waterways) were required to focus on the poorer areas in western and northeastern China. Investment of the central government in rural water resource For Official Use Only CPSCR Review 10 Independent Evaluation Group th development nearly tripled during the 11 FYP, with many large and medium scale irrigation areas and water saving irrigation projects completed to improve agricultural water access. In addition, a key policy support focused on the development of leading agro-businesses as an anchor to extend the agricultural value chain and to promote agricultural commercialization and modernization. At the aggregate level, agricultural production increased while agricultural employment decreased; and public-private partnership approaches to agricultural technology were piloted. 35. IBRD supported this objective through two dozen lending projects around China, covering livestock development, crop improvement, irrigation, water supply and conservation, agro-processing, food safety, rural roads, inland waterway, railway and highway. Many of these were successful in improving agricultural productivity and incomes, improving rural transport connectivity, and reducing the travel cost and time for people from small towns and villages to reach markets in project areas. IBRD‟s financial support was complemented by a dozen pieces of analytical work and TA on agricultural production systems, food safety, farmers‟ organizations, water scarcity, rural -urban linkages, and different modes of rural connectivity. IFC contributed to this objective through investments in agribusiness, micro and rural finance and AS that helped improve MSME access to finance. 36. Facilitating the migration of surplus rural labor to urban areas. Between 2006 and 2011, the number of the rural migrant workers increased from 131 to 158 million. Most of them moved to eastern China, but the number of migrant workers in western China was also increasing. In 2006, the State Council issued the guidelines for resolving issues related to rural migrant workers, focusing on improving their social protection. Key measures included insurance coverage of migrant workers for work-place injuries and catastrophic illness, experimentation of migrant workers‟ pension schemes, education access for children of migrant workers, and cross-region transfer of pension and health insurances for migrant workers. The Labor Contract Law was enacted in January 2008 to provide a stronger legal framework for the protection of workers‟ rights, including those of migrants ; the Social Insurance Law of 2010 clarified the legal rights of migrant workers. The further development of towns, small cities, and village and township enterprises was also pursued as a way to absorb surplus rural labor near the origins. Nevertheless, rural migrants continue to face significant challenges for integrating into urban areas. 37. IBRD supported this objective through a number of urban development projects and projects that targeted migrant skill upgrading and employment services. Most urban development projects, however, did not have a specific migrant focus, while the migrant skills training projects have encountered difficulties due to capacity constraints of the local authorities and weak coordination between central and sub-national implementing agencies. IBRD also delivered a wide range of AAA on Chinese urbanization, Chinese labor market, affordable housing, migration social policies, compulsory education for migrant children, and urban transport and urban planning issues. 38. IEG rates the outcome of WBG assistance under Pillar 2 as satisfactory. Strong growth, coupled with concerted effort to integrate poverty alleviation objectives in all sectoral development programs and strengthened social security systems, has resulted in solid progress toward reducing absolute poverty. The village-based poverty reduction strategy has emphasized the integrated development of rural education, health, infrastructure and businesses; while community participatory approach, which was introduced through Bank projects since the 1980s, is increasingly adopted as a basic concept in poverty reduction programs. Continuous reforms and increased central government spending have expanded education coverage and attainment in the poorer regions, improved both urban and rural poor‟s access to health services, and enhanced rural connectivity, which supported the improvement in rural productivity and incomes. Progress has also been made to improve the access to basic social services for migrant workers, although they still do not enjoy the same social benefits and opportunities as urban residents. The WBG provided financial and knowledge support in all these areas. Projects at the local level have been replicated and expanded consistently over time, while AAA has provided a higher-level, more systemic focus on reform steps. For Official Use Only CPSCR Review 11 Independent Evaluation Group Pillar 3: Managing resource scarcity and environmental challenges 39. Under this pillar, the WBG aimed to help China create a resource-efficient society, improve natural resource management, improve land administration and management, and meet China‟s commitments under international environmental conventions. 40. Creating a resource-efficient society. Improving the supply and utilization efficiency of th energy and water was a key priority for the Chinese government during the 11 FYP. In energy, an ambitious target was set in late 2005 to reduce China„s energy use per unit of GDP by 20 percent by 2010. (The actual reduction was 19.1 percent). China„s Energy Conservation Law was revised in 2007; and through policies, regulations and investments, Chinese industries, government agencies, and societies were encouraged and/or required to adopt efficiency measures to save energy and reduce pollution. China has also aggressively pursued the development of green industries, including renewable energy (esp. wind and solar PV) and clean vehicles. China is now leading the world in hydropower development, ranks second in wind power capacity, and is the lowest-cost producer of solar panels in the world. These efforts have contributed to a gradual reduction of air pollution in Chinese cities. In water, significant investment was made over the last five years to improve water resource development and flood control, as well as wastewater treatment capacities. Water user associations are also being promoted to enable the villagers to manage and maintain water facilities. There has seen some reduction in water pollution in some waterways, water saving in some basins, and substantial progress on wastewater management (e.g. wastewater treatment facilities tripled in urban areas during 2006-2010, increasing the share of treated residential wastewater from 43.8 to 72.9 percent). Nevertheless, as the CPSCR notes, there has been little progress in metro/regional scale planning and investment financing, and growth remains highly energy intensive. China continues to be the world‟s largest emitter of Greenhouse Gas. Limited progress in addressing energy and water pricing issues, and other policy and institutional issues, has also prevented further improvement in energy and water use efficiency. 41. Both IBRD and IFC had a very large portfolio in energy efficiency, renewable energy development, energy financing, water conservation, and wastewater management projects. As the CPSCR reports, more than 76 percent of new IBRD lending (81 percent including GEF) had environment objectives, and most of these addressed energy and water related issues. Highlights include the China Renewable Energy Development Program (CRESP) (FY99 and FY07), which helped improve China‟s legal and regulatory framework on renewable energy, the national standards for wind turbines, and the generation capacity of wind and hydropower; and IFC‟s China Utility-Based Energy Efficiency (CHUEE) program (FY07) which provided integrated investment and AS to improve energy efficiency finance. IBRD lending also supported Chinese cities in developing eco-friendly transport systems. Global Environment Fund co-financed many IBRD projects, while MIGA provided guarantees in three provincial water companies. In addition, the WBG delivered a significant number of AAA covering topics ranging from energy, coal mining, water quality, scarcity and management, climate change, to transport. 42. Improving natural resource management to reduce degradation and depletion. The Circular Economy Promotion Law was passed by the Congress in 2008 and became effective in 2009. It mandated that efficient use of resources, protection of the environmental and sustainable development be factored into industrial, economic and social planning at every level of government. However, further improvement of the existing legal and legislative system is required for its effective implementation. To protect forest resources, the central government has invested heavily in reforestation programs since 2000, and the reforms introduced strengthened the incentives for rural people to invest in sustaining forests. In 2008, the Industrial and Construction Bank of China, one of the world‟s largest banks by market value, adopted the Equator Principles, and China EXIM Bank is following performance standards based on internal environmental and social risks review process. Overall, while it is clear that China is actively exploring ways to improve natural resource management, efforts are fragmented and progress uneven due to many policy and institutional deficiencies. For Official Use Only CPSCR Review 12 Independent Evaluation Group 43. IBRD support included a number of loans in water and urban environment projects, as well as agriculture and forestry projects. These projects piloted integrated resource management approaches, local community participation models, climate change adaptation measures, and urban wastewater treatment and pollution reduction methods. The Bank‟s analytical work and TA addressed China‟s environmental protection administrative system, rural water reform, forest policy, and waste management. IFC provided AS in environmental and social standards in several industries. 44. Improving land administration and management. The Property Law of 2007 was the first comprehensive civil property code in modern Chinese history and granted the same level of legal protection to all types of property – state, collective and private. The Decision on Important Issues Concerning Rural Reform and Development of 2008 introduced a landmark change to rural tenure by extending the 30-year term of farmers‟ use rights for an indefinite period. The Ministry of Construction was restructured to cover both urban and rural construction and land development. The Rural – Urban Planning Law was revised to rationalize land transfer, control rural to urban land conversion and to offer greater social protection. Land policy reform has been significant, but ensuring secure, marketable and long-term land rights for all farmers remains challenging. A revision of the Land Administration Law of 1986/1988 is underway and expected to further strengthen tenure security and determine the scope and approaches for expropriations for public interest. 45. The World Bank supported these efforts with a TA on rural land registration pilot in eight provinces, two studies on Chongqing‟s experience in urban-rural integration and China‟s urbanization, as well as several informal policy notes at the request of the counterparts. 46. Observing international environment conventions. China is a signatory to and active participant of a number of international conventions, including Montreal Protocol on Substances that Deplete the Ozone Layer, Stockholm Convention on Persistent Organic Pollutants, Basel Convention, Rotterdam Convention, the Joint Convention on the Safety of Spent Fuel Management and on the Safety of Radioactive Waste Management, Convention on Nuclear Safety, and Convention on Biodiversity. China has also participated actively in the dialogues on climate change since 2007 and was the first developing country to introduce and implement a national plan on climate change. The China Clean Development Mechanism (CDM) Fund was established in FY06, and with the introduction of Regulations on China CDM Fund in 2010, it promises to significantly expand the climate change mitigation investments across the country. In several areas, such as chlorofluorocarbons reductions, China has met the targets and is fully compliant with its international obligations. 47. The WBG supported this objective through its interventions in energy efficiency and environmental protection. In particular, the series of ODS Phase Out projects, of which the third was implemented during the CPS, contributed in a significant way to China‟s meeting some of its obligations under the Montreal protocol. There were 12 CDM projects undertaken during the CPS, representing over 70 percent of the Bank‟s CDM portfolio, and 29 GEF pr ojects (17 new and 12 on- going) focusing on climate change, waters, biodiversity, and persistent organic pollutants. The Bank also delivered a number of AAAs on climate change strategy, renewable energy, and CDM mechanism. 48. IEG rates the outcome of WBG assistance under Pillar 3 as satisfactory, while noting slower progress toward some outcomes. China has made great strides in reducing energy intensity in the economy, improving water resource management and efficiency, and participating in international environmental cooperation. China has grown particularly rapidly in renewable energy generation and has the largest reforestation areas in the world. Nevertheless, China still faces considerable challenges in meeting the objectives of creating a resource-efficient society and ensuring sustainable growth, due to the remaining weakness in its policy and institutional frameworks, the over-reliance on administrative measures to achieve resource efficiency and environmental protection objectives, and the limited progress in addressing the market distortions in resource allocation. The WBG devoted For Official Use Only CPSCR Review 13 Independent Evaluation Group significant resources to pilot and demonstrate innovative approaches for addressing China‟s daunting range of environmental issues. There is evidence that the WBG program contributed in multiple ways to the renewable energy, energy supply efficiency and water resource management agenda; but there are fewer measurable results in institutional and market reforms such as mainstreaming environmental concerns into development plans and creating efficient energy and water markets to encourage greater conservation. Pillar 4: Financing sustained and efficient growth 49. Under this pillar, the CPS aimed to contribute to improving the access to and allocative efficiency of financial services, deepening the financial markets and improving the mitigation of systemic risks in the financial sector. 50. Expanding access to finance. During the CPS period, the banking system grew, with the assets to GDP ratio expanding from 197 to 234 percent and the private credit to GDP ratio increasing from 114 to 131 percent, while the total assets of rural credit financial institutions increased by 40 percent. Four of the five largest banks, which together accounted for two-thirds of the banking assets, reported a 25 percent annual growth of lending to SMEs during 2008-2010, compared to 2 percent annual growth during the previous two years. There is no information on the development of housing finance. The IMF‟s Financial Sector Stability Assessment (FSSA) identified the risk of rapid credit growth on asset quality, though there was a downward trend in the banks‟ Non -Performing Loan (NPL) ratios (reaching 1.1 percent at the end of 2010). Stress tests of five large commercial banks and 12 joint stock commercial banks indicated resiliency to shocks occurring in isolation. 51. IBRD contributed to the increased lending to SMEs with the Micro and Small Enterprise (MSE) Project, which demonstrated that lending to MSEs could be profitable, and with AAA on financial and regulatory policies, rural credit unions and creditor rights in insolvency. The joint IMF-WB Financial Sector Assessment Program (FSAP) included recommendations on improving SME access to financial services. IFC AS supported the establishment of a credit reporting system which as of end-2011 covered more than 600 million individuals and 18 million legal entities. IFC also contributed to the development of a modern secured transactions system, enabling the use of moveable assets as security for MSME lending; the total loans using moveable assets increased by 24 percent per year during 2008-2010. In addition, IFC had investments in banks, microfinance and rural institutions; many of these investments were accompanied by technical assistance. IFC AS and investments contributed to the development of the leasing industry. 52. Developing capital market. During the CPS period, the State Council released the Opinions on Promoting Reform, Opening and Growth of Capital Markets, and the China Securities Regulatory Commission (CSRC) formulated the strategic vision of the capital markets in the medium to long-term. There has been significant progress in establishing the legal framework for capital markets. Corporate bond market regulations were streamlined and the CSRC improved the efficiency of its approval process. Between 2006 and 2010, the market capitalization of listed companies to GDP increased from 17 to 67 percent, while corporate bonds outstanding to GDP rose from 1.7 to 8.6 percent. However, the FSSA noted room for improving the regulatory system, including increasing operational autonomy of the CSRC and introducing regular on-site inspection of exchanges. Municipal debt issuance remains undeveloped. In the insurance sector, there is a comprehensive supervisory framework in place, and the rapid growth propelled the sector to the sixth largest in the world. However penetration rates in the non-life segment are still low and the FSSA recommended strengthening the solvency regime. To improve corporate governance of financial institutions, the financial regulators have issued guidelines in line with international best practices. The regulatory regime has adopted a clear set of accounting and auditing standards which are well advanced in converging with International Financial Reporting Standards and IAS. However, there is no information on the implementation of any of these guidelines and standards. For Official Use Only CPSCR Review 14 Independent Evaluation Group 53. IBRD support included several AAA, including assisting the CSRC to formulate the long-term vision, strengthen regulatory capacity, and develop mortgage markets. Assistance was also provided to the government and the central bank on the governance of state controlled financial institutions, and on the transformation of accounting practices towards international standards. The recently completed Financial Sector Assessment Program (FY12) reviewed the bond, equity and insurance markets, as well as the credit risk policies and practices of financial institutions. IFC invested in the insurance sector, issued “Panda” bonds, and helped improve governance in specific financial institutions through investment and AS. 54. Managing systemic risks and maintaining financial stability. After rounds of restructuring, strategic investment, capital injection into state-owned banks and disposal of NPLs, the capital status and asset quality of the banking institutions have improved. There have also been improvements in the regulation and supervision of the financial system. However, the FSSA noted that the People‟s Bank of China (PBoC) and the regulatory commissions would need to build capacity and adopt new risk monitoring systems to deal with emerging risks as the range of financial services grows. It has yet to implement the recommendation of establishing a permanent committee on financial stability and systemic risk chaired by a senior official with the PBoC as the secretariat, or developing a framework to facilitate the orderly resolution and winding down of distressed financial institutions. Overall, as the FSAP concluded, the financial sector remains depressed, unbalanced, and costly to maintain, and the financial system is exposed to potential risks of instability and inefficiency in resource allocation. 55. The FSAP (FY12) was the main instrument to support the strengthening of China‟s ability to identify and mitigate systemic risks. 56. IEG rates the outcome of WBG assistance under Pillar 4 as moderately satisfactory. Financial system reforms have resulted in improvements in the structure, performance, and oversight of the sector. China has expanded access to finance, with increased lending to SMEs and strengthened rural credit institutions. There has been progress in the legal and regulatory environment for capital and insurance markets, but further strengthening is needed. There is also some progress in infrastructure finance via corporate bond, but municipal debt issuance remains undeveloped. All three financial regulators have promulgated guidelines on corporate governance in line with OECD principles and international best practices, but there is no information on compliance. Finally, although efforts are under way to address vulnerabilities and to deepen the financial system, much remains to be done to strengthen the PBoC‟s capacity to identify, assess and mitigate systemic risks. The WBG support was uneven, strong on the access to finance objective, but very limited on managing systemic financial risks. Pillar 5: Improving public and market institutions 57. Under this pillar, the WBG support sought to help strengthen firm and regional competitiveness, reform public service units, rationalize intergovernmental fiscal relations and improve budget performance. 58. Improving firm and regional competitiveness. As noted in the China 2030 report, China‟s rapid growth has benefitted from SOE restructuring and expansion of the private sector. Many small and medium-sized SOEs became privately owned. Large SOEs were “corporatized” and many of the largest SOEs were listed on the stock exchanges and subject to the corporate governance requirements of the exchanges and CSRC. In December 2011, the State Owned Assets Supervision and Administration Commission issued guidelines on Corporate Social Responsibility. There is no information on whether the listed SOEs and other large private corporations have adopted international best practice in these areas. To encourage investment in the inland regions, significant public spending has been devoted to addressing the infrastructure bottlenecks, and industrial parks have been used by many provincial investment promotion bureaus as instruments for attracting clusters of industries. The three northeastern provinces experienced an increase in FDI inflow from $5.5 to $20 billion between 2005 and 2010. The western region also saw an increase in FDI flows, but For Official Use Only CPSCR Review 15 Independent Evaluation Group concentrated in Sichuan province and Chongqing municipality (over 80 percent in 2010). Overall, FDI inflows to the west and northeast areas increased from 13.7 to 32.3 percent of the total between 2005 and 2010. However, as the CPSPR noted, only modest progress has been made in simplifying cumbersome or anti-competitive business regulations, while many institutional and market obstacles remain, including the lack of progress in creating more competitive markets for energy and water discussed in Pillar 3. In addition, as the government stepped up its support to the SOEs in an effort to stimulate growth amid global economic downturn, the private sector has felt a deterioration of the competitive environment with an increasingly unlevel playing field. 59. IBRD supported this objective with a study on SOE portfolio and SOE dividend policy in FY06, a 120-city Investment Climate Assessment in FY07, and studies on innovation systems in China and Shanghai (FY09). IFC investments supported the privatization and restructuring of three SOEs, while its focus on the frontier regions contributed to increasing FDI flows to these areas (Sichuan is the third largest destination of IFC investments, following Beijing and Shanghai). IFC also provided AS on insolvency and corporate governance, including training to institutions providing consulting services on corporate governance, and supported the activities of the Sichuan Investment Promotion Bureau. 60. Reforming public service units (PSU). China continued PSU reforms during the CPS period, focusing on the categorization of the PSUs in order to design and implement appropriate reforms. Local experimentation of non-public service provision is another priority. In 2009, five provinces piloted PSU pension reforms; In 2011, the State Council issued Guidelines on PSU Reforms, which clarified the goal of shedding the PSUs with government and/or business functions from the PSU structure and of pursuing reforms in human resource, social insurance, fiscal policy and administrative structure to strengthen the PSUs that provide basic public services. Many reform initiatives have been launched by different levels of government across the country. As PSU reforms go hand in hand with other political and socioeconomic reforms, this will necessarily be a long-term, gradual process. 61. IFC invested in private health and education providers as alternatives to public provision of services. 62. Rationalizing intergovernmental fiscal relations. As China expanded its network of social protection to promote equity and balanced growth, transfer from central government to poorer provinces increased significantly as the center assumed more responsibility for specific spending assignments such as compulsory education and the new health insurance and social protection initiatives. While this narrowed the fiscal disparities across provinces, there have been little overall reforms on fiscal policies during the CPS period. 63. IBRD support included a study on public finance in China, TA on the intergovernmental fiscal system, and a WBI program on public sector performance. The health and education sector studies also addressed the related financing issues. 64. Improving budget performance. China deepened the public finance management reforms that were started in 2000, focusing on budget preparation, budget allocation, government procurement, state assets of PSUs with government functions, information systems, etc. Most extra-budgetary charges have been abolished or brought on budget, with plans in place to bring the remainder on budget. The IMF budget classification system was introduced in 2007. A revised budget law and a comprehensive government accounting reform are under preparation. Sub-national governments also carried out reforms to improve their budget management systems. However, there is no information on improvement of budget performance. 65. IBRD supported this objective with a trust fund lending operation on economic reform implementation in FY06, which had several public finance components. The Bank also delivered a report on public finance in rural areas in FY07, on the M&E framework for and a mid-term evaluation of th the 11 FYP in FY09, and policy notes on macro-fiscal issues. For Official Use Only CPSCR Review 16 Independent Evaluation Group 66. IEG rates the outcome of WBG assistance under Pillar 5 as moderately unsatisfactory. China has pushed forward institutional reforms during the CPS period, including reforming SOEs and attracting private investment, in particular FDI. Good progress has been made in categorizing PSUs and piloting PSU reform approaches with a view to overhaul the delivery systems of public services. Transfers from the central to local governments have increased to fund the expanded social protection network, while more rigor has been instilled in the annual budget process in order to improve performance and accountability. However, only limited progress has been made in simplifying anti- competitive business regulations. There have been no fundamental changes to the intergovernmental fiscal relations and no information on the results of the budget reforms. The WBG support for the objectives under this pillar was uneven and weak on PSU and fiscal issues. It is thus unclear whether the WBG has contributed in a significant way to the CPS outcomes. Objectives IEG Rating Pillar I: Integrating into the world economy Moderately Unsatisfactory Pillar II: Reducing poverty, inequality and social exclusion Satisfactory Pillar III: Managing resource scarcity and environmental challenges Satisfactory Pillar IV: Financing sustained and efficient growth Moderately Satisfactory Pillar V: Improving public and market institutions Moderately Unsatisfactory 4. Overall IEG Assessment CPSCR Rating IEG Rating Overall Outcome: Satisfactory Satisfactory IBRD/IDA Performance: Satisfactory Satisfactory IFC Performance: Satisfactory Satisfactory MIGA Performance: NA NA Overall outcome: 67. IEG rates the overall outcome of WBG assistance as satisfactory, concurring with the CPSCR rating. Despite slow progress toward some outcomes under Pillars 1 and 5, the CPS program achieved very good progress toward the major outcomes under the other pillars. In particular, it provided sustained and innovative support for China‟s environmental and social development agenda , which were the focus areas of the CPS. The weaknesses in the CPS results framework, especially the fact that it was not updated in the CPSPR to accurately reflect the CPS program being implemented, were a main factor behind the weak results in some areas. 68. Under Pillar 1, China made impressive progress in becoming an active participant in world economic affairs. Its trade and overseas investment continued to grow, and its contribution to the global development agenda increased through multilateral and bilateral cooperation. However, while the Bank‟s AAA has contributed strongly to enhance the mutual understanding of China and the world, and the Chinese counterparts‟ capacity to work with development partners, there is little evidence of the Bank‟s impact on Chinese trade, investment or ODA, and little was done on managing the capital account and on constraints to FDI, which were anticipated in the CPS. For Official Use Only CPSCR Review 17 Independent Evaluation Group 69. Under Pillar 2, strong growth, coupled with concerted effort to integrate poverty alleviation objectives in all sectoral development programs and strengthened social security systems, has resulted in solid progress toward reducing absolute poverty. The village-based poverty reduction strategy has emphasized the development of rural education, health, infrastructure and businesses; while community participatory approach, which was introduced through Bank projects since the 1990s, is increasingly adopted as a basic concept in poverty reduction programs. Education coverage and attainment in the poorer regions have increased; both urban and rural poor‟s access to health services has improved, and enhanced rural connectivity has supported the improvement in rural productivity and incomes. Some progress has also been made in improving the access to basic social services for migrant workers, although they still do not enjoy the same social benefits and opportunities as urban residents. The WBG provided financial and knowledge support in all these areas, with projects at the local level piloting new approaches and AAA providing higher-level focuses on reform steps. 70. Under Pillar 3, China has made great strides in reducing energy intensity in the economy, improving water resource management and efficiency, and participating in international environmental cooperation. China has grown particularly rapidly in renewable energies and has the largest reforestation areas in the world. Nevertheless, China still faces considerable challenges in becoming a resource-efficient society and ensuring sustainable growth, due to the remaining weakness in its policy and institutional frameworks, the over-reliance on administrative measures to achieve resource efficiency and environmental protection objectives, and the limited progress in addressing the market distortions in resource allocation. The WBG devoted significant resources to pilot and demonstrate innovative approaches for addressing China‟s daunting range of environmental issues. There is evidence that it contributed strongly to the renewable energy, energy efficiency and water resource management agenda; but few measurable results in mainstreaming environmental concerns into development plans and creating efficient energy and water markets. 71. Under Pillar 4, China has expanded access to finance, with increased lending to SMEs and strengthened rural credit institutions. There has been progress in the legal and regulatory environment for capital and insurance markets, but further strengthening is needed. There is also some progress in infrastructure finance via corporate bonds, but municipal debt issuance remains undeveloped. All three financial regulators have promulgated guidelines on corporate governance in line with OECD principles and international best practices, but there is no information on compliance. Although efforts are under way to address vulnerabilities and to deepen the financial system, much remains to be done to strengthen the PBoC‟s capacity to identify, assess and mitigate systemic risks. The WBG support was strong in the access to finance area (mainly through IFC), but very limited on managing systemic financial risks. 72. Under Pillar 5, China has pushed forward institutional reforms that included reforming SOEs and attracting private investment, in particular FDI. Good progress has been made in categorizing PSUs and piloting PSU reform approaches with a view to overhaul the delivery systems of public services. Transfer from central to local governments has increased to fund the expanded social protection network, while more rigor has been instilled in the annual budget process in order to improve performance and accountability. However, there has been limited progress in simplifying anti- competitive business regulations, no fundamental change to the intergovernmental fiscal relations and no information on the results of the budget reforms. The WBG support was uneven and weak on PSU and fiscal issues. It is unclear whether the WBG has contributed in a significant way to most of the outcomes. IBRD Performance: 73. IEG rates the overall IBRD performance as satisfactory, concurring with the CPSCR rating. Nevertheless, IEG underscores the weaknesses in the design of the CPS as it suffered from a lack of selectivity and deficiencies in the results framework. As the national economic and social development th plan, the scope of China‟s 11 FYP was naturally vast. Yet to varying degrees, the CPS covered most For Official Use Only CPSCR Review 18 Independent Evaluation Group key aspects of the national program. Given the Bank‟s limited resources, it was foreseeable that Bank support would be weak in some areas, with consequently weak results. The CPSPR proposed a heightened focus on the environment objectives, but did not suggest what would be scaled back in return, and no adjustment was made in the results matrix. Indeed, the weak results framework could explain a large part of the CPS‟ design weakness, and deprived the management an important monitoring tool to detect slippages and make timely adjustments. Although the CPS identified 10 priority outcomes and the CPSPR reported on them, neither document explained what weight these outcomes would assume vis-à-vis the other 25 outcomes in assessing overall program success. The CPSPR made no adjustment to the list to reflect the changing priorities, and the CPSCR makes no reference to the priority outcomes. 74. These design weaknesses aside, the IBRD program was relevant and well-aligned with the country‟s development program. On the basis of effective dialogue and strong relations with the authorities, the program was flexible, innovative and responded quickly to new challenges. In many cases, the AAA and lending were mutually supportive, as were IBRD and TF activities. The outcome of the vast majority of the closed projects (all but one among 63) were rated positively by IEG, including five highly satisfactory ratings; and the development outcome were considered likely to be maintained in 97.9 percent of the projects. This was a much stronger performance than the EAP and IBRD averages. The effort to introduce greater candor in project ratings has apparently led to a sharp rise in the proportion of projects at risk, from a low of 1.9 percent in FY06 to 17.9 percent in FY11, which was above the EAP and Bank averages, but hopefully it would allow the country management team to detect and proactively address implementation issues early on. IFC Performance: 75. IEG rates the overall IFC performance as satisfactory, concurring with the CPSCR rating. Although the IFC program suffered from the same weakness in the results framework discussed above, it was more selective, focusing on the areas where the IFC had built up a comparative advantage to add value (e.g. climate change, access to finance, and catalyzing investment flows to inland regions). Like many joint Bank – IFC strategies, IFC‟s China program was expected to contribute to a number of CPS outcomes; unlike many joint Bank – IFC strategies, it was expected to bring about some of them (e.g. in Pillar 4). As a result, the role of the IFC was relatively well captured in the results framework even though the lack of indicators still made it difficult to monitor progress. 76. IFC made significant contributions to improving access to finance, using AS to improve institutions and a combination of investments and AS to develop or strengthen financial institutions. In addition, IFC supported the development of Sichuan province by providing technical assistance to the investment promotion agency and investing in several sectors. IFC also supported other sectors, focusing on improving governance and energy efficiency. Among the 27 projects that the IEG reviewed, work quality was rated satisfactory or excellent in two-thirds of them. The number of reviewed AS projects was small and not representative of the portfolio. MIGA Performance: 77. MIGA focused on infrastructure, in particular water and waste water; MIGA projects were well coordinated with IBRD. For Official Use Only CPSCR Review 19 Independent Evaluation Group 5. Assessment of CPS Completion Report 78. The CPSCR presents a succinct account of the country team‟s assessment of its achievement under the CPS. It is consistent with CPS and CPSPR objectives and the results framework. The CPSCR makes a conscious effort to strike a balance between too little information to support the assessment and too much information to ensure adequate coverage of WBG interventions. However, the analysis of the extent to which the outcomes have been achieved and the WBG‟s contribution to China‟s development outcomes is uneven, and sometimes focuses on outputs rather than outcomes. This is mainly due to the weak results framework and the lack of a monitoring system. Moreover, although the CPSCR mentions failings in some instances, such as remaining challenges in social security reforms and limited success in piloting integrated urban planning for better resource management, it could have dealt more in-depth with areas of the program where progress was slower (e.g. in Pillars 1 and 5). The report could also have given some consideration to the dramatic deterioration of IBRD portfolio performance towards the end of the CPS period. 6. Findings and Lessons 79. The CPSCR concludes that the greatest impact and results have been achieved when IBRD, including the World Bank Institute (WBI), IFC, and MIGA complemented one another on common objectives, when WBG financing had grounding in AAA with strong client ownership, and when different financing sources were combined to increase the scope and speed of progress. It also emphasizes the role of the WBG in encouraging innovation through replicable pilots and in promoting South-South exchange. IEG concurs with these lessons, and underscores three additional points. 80. First, given the WBG‟s resource constraints, a more focused China program will likely produce better results. While this is true anywhere, it is especially important in big countries where only focused and well-coordinated WBG support is likely to have traction. Second, a stronger results framework, with more realistic outcomes that are close proxies of the underlying objectives, clearer causal links between WBG interventions and the expected outcomes, and indicators, targets and milestones that adequately reflect the scope of the outcomes, would help assess the efficacy of the country program and monitor the progress toward objectives. Third, it takes time for institutional reforms to gather momentum and encourage decisive follow-through. This suggests that WBG activities (both lending and AAA) could usefully adopt a programmatic approach rather than one-off interventions to ensure consistent support, and that WBG initiatives be seen as supportive rather than prescriptive to ensure government ownership. Annexes CPSCR Review 21 Independent Evaluation Group Annex Table 1: Actual and Planned Lending, FY06-Dec2011 Annex Table 2: Grants and Trust Funds Active in FY06-Dec2011 Annex Table 3: Planned and Actual Analytical and Advisory Work, FY06-Dec2011 Annex Table 4: IEG Project Ratings for China, Exit FY06-FY11 Annex Table 5: IEG Project Ratings for China and Comparators, Exit FY06-FY11 Annex Table 6: Portfolio Status for China and Comparators, FY06-FY11 Annex Table 7: IBRD Net Disbursements and Charges Summary Report for China, (in US$ million) Annex Table 8: List of IFC’s Investment in China, FY06-FY12 Annex Table 9: List of IFC’s Advisory Services in China, FY06-FY12 Annex Table 10: Total Net Disbursements of Official Development Assistance and Official Aid, 2006- 2010, (in US$ million) Annex Table 11: Economic and Social Indicators for China and Comparators, 2006- 2010 Annex Table 12: China - Millennium Development Goals Annexes CPSCR Review 23 Independent Evaluation Group Annex Table 1: Actual and Planned Lending, FY06-Dec2011 Proposed Approval Proposed Approved Project ID Project FY FY Amount Amount Planned (CPS FY06-10) P075732 Shanghai Urban Environment APL Phase 2 2006 2006 180 180 P087273 Guangdong Pearl River Delta Urban Environment II 2007 2006 100 Dropped P081348 Henan Towns Water Supply And Sanitation Project 2006 2006 150 150 P084742 Irrigated Agriculture Intensification Loan III 2006 2006 200 200 P081255 Changjiang/Pearl River Watershed Rehabilitation Project 2006 2006 100 100 P085333 China: Fifth Inland Waterways 2006 2006 100 100 P085124 China Economic Reform Implementation Project 2006 2006 20 20 P084742 Irrigated Agriculture Intensification Loan III 2006 2006 200 200 P070519 Fuzhou Nantai Island Peri-Urban Development Project 2006 2006 100 100 P086629 CN-Heilongjiang Dairy 2006 2006 100 100 P093906 Third Jiangxi Highway Project 2006 2006 200 200 P099992 Liaoning Medium Cities Infrastructure Project 2006 2006 218 218 P091020 Fujian Highway Sector Investment 2007 2007 320 320 P088964 Guangxi Integrated Forestry Development and Conservation Project 2007 2007 100 100 P083322 Sichuan Urban Development Project 2007 2007 180 180 P096285 Micro and Small Enterprise Finance Project 2007 2007 100 100 P086515 Third National Railway Project 2007 2007 200 200 P075613 Shaanxi Ankang Road Development 2007 2007 300 300 P077752 Second Shandong Environment Project 2007 2007 150 147 Western Provinces Rural Water Supply, Sanitation and Hygiene P095315 Promotion Project 2007 2007 25 25 P093963 Guiyang Transport Project 2008 2008 100 100 P099112 Anhui Highway Rehabilitation and Improvement Project 2008 2008 200 200 P099224 Liaoning Third Medium Cities Infrastructure 2009/2010 2008 200 191 P092631 Xi'an Sustainable Urban Transport Project 2008 2008 150 150 Gansu Cultural and Natural Heritage Protection and Development P091949 Project 2008 2008 40 38.4 P084437 Rural Health Project 2008 2008 50 50 P099112 Anhui Highway Rehabilitation and Improvement Project 2008 2008 200 200 P101988 Jiangxi Shihutang Navigation and Hydropower Complex Project 2009 2009 100 100 P101829 Xining Flood and Watershed Management 2009 2009 100 100 P114107 Wenchuan Earthquake Recovery 2009 2009 710 710 P096707 Technical and Vocational Education Training 2009 2009 60 20 P100968 Shanxi Coal Bed Methane Development and Utilization 2008 2009 90 80 P101258 Hubei Yiba Highway 2009 2009 150 150 P096556 Eco-Farming Project 2009 2009 120 120 P096812 Yunnan Urban Environment Project 2008 2009 150 90 P096926 Jiangsu Water and Wastewater 2009 2009 150 130 P096923 Shanghai Urban Environment (APL Phase III) 2009 2009 200 200 CN-Guizhou Cultural and Natural Heritage Protection and P091950 Development 2008 2009 60 60 P105551 Inner Mongolia Biomass Heat and Power Development Project 2010 2010 30 Dropped P099751 Sustainable Development in Poor Rural Areas 2010 2010 100 100 P108627 Nanning Urban Environment 2010 2010 100 100 P100455 Henan Ecological Livestock Project 2009/2010 2010 80 80 P096557 Shanxi Saline Alkali Land Improvement 2010 2010 90 Dropped P101716 Jilin Agricultural Product Safety and Quality 2008 2010 100 100 P105551 Inner Mongolia Biomass Heat and Power Development Project 2010 2010 30 Dropped P096920 Ningxia Highway Project 2010 2010 250 250 P086446 Chongqing Urban-Rural Integration Project 2010 2010 84 84 P111421 China: Anhui Medium Cities Urban Transport Project 2010 2010 100 100 P081615 China: Taiyuan Urban Transport Project 2009 2010 150 150 P106956 Ningbo New Countryside Development Project 2010 2010 50 50 Annexes CPSCR Review 24 Independent Evaluation Group Proposed Approval Proposed Approved Project ID Project FY FY Amount Amount P111163 Xinjiang Turfan Water Conservation Project 2010 2010 100 100 P112759 Shandong Ecological Afforestation 2010 2010 60 60 P112838 China Wuhan Second Urban Transport 2010 2010 100 100 Total Programmed projects CPS FY06-10 6,903.4 Non- planned P096158 Follow Up to CRESP Phase I 2006 86.33 P081776 CN-Second Guangdong Pearl River Delta Urban Environment Project 2007 96 P092618 China-Second Liaoning Medium Cities Infrastructure Project 2007 173 P099062 ShiZheng Railway Project 2008 300 P084874 China Energy Efficiency Financing 2008 200 P093882 Shandong Flue Gas Desulfurization 2008 50 P087224 Han River Urban Environment Improvement Project 2008 84 P096925 China Bengbu Integrated Environment Improvement Project 2008 100 P085376 Rural Migrant Skills Development and Employment Project 2008 50 P107559 Guiyang Guangzhou Railway 2009 300 P112359 NanGuang Railway Project 2009 300 Liaoning and Shandong Technical and Vocational Education and P117107 Training 2010 40 P113766 China Energy Efficiency Financing II 2010 100 China: Shandong Confucius and Mencius Culture Heritage Protection P120234 and Development Project 2011 50 P120664 Urumqi District Heating Project 2011 100 Bayannaoer Water Reclamation and Environment Improvement P115695 Project 2011 80 P110632 Sichuan Small Towns Development 2011 100 P118647 China: Anhui Shaying River Channel Improvement Project 2011 100 P122321 JiTuHun Railway 2011 200 P119862 Fujian Highway Sector Investment Project Additional Financing 2011 50 P117656 China: Kunming Urban Rail Project 2011 300 P116656 Zhejiang Qiantang River Basin Small Town Environment Project 2011 100 P112626 Liuzhou Environment Management Project Phase II 2011 150 P123239 China Energy Efficiency Financing III 2012 100 Total non-programmed projects 3209.33 Total projects CPS FY06-10 10,112.7 Ongoing projects Approval Closed Approved Project ID Project FY FY Amount P046829 Renewable Energy Development Project 1999 2007 100 P049436 Chongqing Urban Environment Project 2000 2009 200 P081161 Chongqing Small Cities Infrastructure Improvement Project 2005 Active 180 P042299 Technical Cooperation Project (04) 1999 2010 45 P046952 Forestry Development in Poor Areas Project 1998 2006 200 P075730 Hunan Urban Development Project 2005 Active 172 P070459 Inner Mongolia Highway Project 2002 2008 100 P068752 Inner Mongolia Highway and Trade Corridor 2005 2010 100 P058844 Third Henan Provincial Highway Project 2000 2007 150 P051856 Accounting Reform & Development Project 1999 2010 33 P065463 Jiangxi Integrated Agricultural Modernization Project 2004 2010 100 P064730 Yangtze Dike Strengthening Project 2000 2009 210 Annexes CPSCR Review 25 Independent Evaluation Group Ongoing projects Approval Closed Approved Project ID Project FY FY Amount P049665 Anning Valley Agricultural Development Project 1999 2007 120 P051859 Liao River Basin Project 2001 2009 100 P003637 National Rural Water Supply Project 1997 2007 70 P056424 China Tongbai Pumped Storage 2000 2008 320 P069852 Wuhan Urban Transport Project 2004 2010 200 P045915 Urumqi Urban Transport Improvement Project 2001 2008 100 P041890 Liaoning Urban Transport Project 1999 2006 150 P086505 CN-Ningbo Water and Environment Project 2005 2011 130 P003614 Guangzhou City Center Transport Project 1998 2008 200 P036953 China Health Nine Project 1999 2008 60 P069862 Agricultural Technology Transfer Project 2005 2012 100 P075602 Second National Railways Project (Zhe-Gan Line) 2004 2008 200 P058846 National Railway Project 2002 2008 160 P058843 Guangxi Highway Project 2000 2007 200 P003619 Inland Waterways Project (02) 1998 2007 123 P056199 Third Inland Waterways 2001 2008 100 P077137 Fourth Inland Waterways Project 2004 2011 91 P045788 Tri - Provincial Highway Project 1998 2007 230 P076714 Second Anhui Highway Project 2003 2009 250 P065035 Gansu and Xinjiang Pastoral Development Project 2004 2010 66.27 P081749 Hubei Shiman Highway Project 2004 2010 200 P058847 Xinjiang Highway Project (03) 2003 2010 150 P067828 Renewable Energy Scale-up Program (CRESP) 2005 2011 87 P068058 Yixing Pumped Storage Project 2003 2011 145 P068049 Hubei Hydropower Development in Poor Areas Project 2002 2012 105 P066955 Zhejiang Urban Environment Project 2004 2011 133 P057933 Tai Basin Urban Environment Project 2005 2010 61 P075728 Guangdong Pearl River Delta Urban Environment Project 2004 2012 128 P056596 Shijiazhuang Urban Transport Project 2001 2009 100 P081346 Liuzhou Environment Management Project 2005 2011 100 P003539 Sustainable Coastal Resource Development Project 1998 2008 100 P057352 Fourth Rural Water Supply Project 1999 2007 46 P051705 Second Fujian Highway Project 1999 2007 200 P050036 Anhui Provincial Highway Project 1999 2006 200 P003606 Energy Conservation Project 1998 2006 63 P043933 Sichuan Urban Environment Project 1999 2007 152 P060270 Enterprise Reform Project 1999 2006 5 P003639 Southwest Poverty Reduction Project 1995 2006 247.5 P003632 Environmental Technical Assistance Project 1993 2006 50 P003596 Yangtze Basin Water Resources Project 1995 2006 210 P003540 Loess Plateau Watershed Rehabilitation Project 1994 2006 150 P046564 Gansu and Inner Mongolia Poverty Reduction Project 1999 2006 160 P003594 Gansu Hexi Corridor Project 1996 2007 150 P070191 Shanghai Urban Environment Project 2003 2010 200 P045910 Hebei Urban Environment Project 2000 2008 150 P051736 East China (Jiangsu) Power Transmission Project 1998 2006 250 P073002 Basic Education in Western Areas Project 2004 2010 100 P040599 Second Tianjin Urban Development and Environment Project 2003 Active 150 P040185 Shandong Environment Project 1998 2006 95 P047345 Huai River Pollution Control Project 2001 2008 105.5 Annexes CPSCR Review 26 Independent Evaluation Group Ongoing projects Approval Closed Approved Project ID Project FY FY Amount P070441 Hubei Xiaogan-Xiangfan Highway Project 2003 2008 250 P058845 Second Jiangxi Highway Project 2001 2007 200 P041268 National Highway Project (04) 1999 2007 350 P051888 Guanzhong Irrigation Improvement Project 1999 2006 100 P044485 Waigaoqiao Thermal Power Project 1997 2007 400 P042109 Second Beijing Environment Project 2000 2009 349 P036414 Guangxi Urban Environment Project 1998 2008 92 P046051 Higher Education Reform 1999 2006 70 P034618 Labor Market Development 1996 2006 30 P045264 Smallholder Cattle Development Project 2000 2006 93.5 P071147 Tuberculosis Control 2002 2010 104 P003566 Cn-Basic Health (Hlth8) 1998 2007 85 P035698 Hunan Power Development Project 1998 2006 300 P003650 China Tuoketuo Thermal Power Project 1997 2006 400 P058308 China Pension Reform Project 1999 2006 5 P056516 Water Conservation Project 2001 2006 74 P036405 Wanjiazhai Water Transfer Project 1997 2007 400 Source: China FY06-10 CPS/CPSPR and WB Business Warehouse Table 2a.1, 2a.4 and 2a.7 as of 02/22/2012. Annexes CPSCR Review 27 Independent Evaluation Group Annex Table 2: Grants and Trust Funds Active in FY06-Dec2011 Project Approved Approval Project TF ID Closing ID Amount FY P127034 Green Energy Schemes for Low-carbon City in Shanghai TF 10638 150,000.0 2012 Active P119654 GEF Guangdong Green Freight Demonstration Project TF 99076 4,200,000.0 2011 Active P119654 GEF Guangdong Green Freight Demonstration Project TF 96094 225,000.0 2010 2011 P114182 Provincial Energy Efficiency Scale-up Program TF 98703 13,386,363.0 2011 Active P114182 Provincial Energy Efficiency Scale-up Program TF 94376 250,000.0 2009 2010 National Development Strategy for Health Management P125493 Information Systems in China (HMIS) TF 99431 290,000.0 2011 Active Strengthen the Social Assessment Capacity in Urban P125244 Construction Project in China TF 99430 250,000.0 2012 Active China HFC-23 Emissions Reduction and Sustainable 2011 P094388 Development Benefits Project TF 99570 13,260,830.9 Active China HFC-23 Emissions Reduction and Sustainable 2011 P094388 Development Benefits Project TF 99447 27,729,280.1 Active P098915 GEF Sino-Singapore Tianjin Eco-City TF 97018 6,163,636.0 2011 Active P098915 GEF Sino-Singapore Tianjin Eco-City TF 94478 200,000.0 2009 2010 GEF Shanghai Agricultural and Non-point Pollution 2011 P090376 Reduction Project TF 97173 4,788,000.0 Active GEF Shanghai Agricultural and Non-point Pollution 2008 P090376 Reduction Project TF 91791 212,000.0 2010 Sustainable Development in Poor Rural Communities 2011 P101844 (GEF) TF 97197 4,265,000.0 Active P119357 China Energy Efficiency Promotion in Industry TF 96652 80,000.0 2010 2011 Facilitating Legislation Reform of Children Road Safety in P119491 China TF 95963 200,000.0 2010 Active P111325 Dashiqiao Central Heating Supply Project TF 96125 2,507,355.0 2010 Active Building Provincial-level Capacity on Monitoring the Quality P119470 of Compulsory Education TF 96254 250,000.0 2010 Active P121263 China GEF City Cluster Eco-Transport Project TF 96650 200,000.0 2010 2012 P112085 Supporting Sustainable Post-Earthquake Recovery TF 92439 1,000,000.0 2009 Active P106133 Yunnan Whitewaters Hydro Project (ICF) TF 57128 19,250,000.0 2007 Active P119087 CADF Preparation Grant for China CPF Projects TF 95208 1,400,000.0 2010 Active P119799 China: Establishment of Groundwater Management Center TF 95891 200,000.0 2010 Active Capacity Building for HPAI Prevention and Human P119247 Pandemic Influenza Preparedness in China (Phase II) TF 95907 3,500,000.0 2010 2012 P101521 CN-CF-Yingkou Economic Dev Zone Heating TF 96126 11,501,167.7 2010 Active China Jiangxi Shihutang Navigation and Hydropower P101512 Complex Project TF 95908 2,542,385.0 2010 Active Studies on Regulatory and Institutional Framework and P119902 Remediation Technologies for POPs Contaminated Sites TF 95592 138,363.6 2010 2010 Preparing for New POPs Chemicals under the Stockholm P119421 Convention TF 95418 189,447.8 2010 2010 P096707 Technical and Vocational Education Training TF 94998 600,000.0 2010 Active P098654 Thermal Power Efficiency TF 94204 19,700,000.0 2009 Active P098654 Thermal Power Efficiency TF 90221 350,000.0 2007 2009 Promoting Equitable Social Services for Migrant Laborers in P115560 Chongqing Municipality TF 95070 300,000.0 2010 Active Mainstreaming of Water User Association Monitoring and Evaluation System Into National Water Resources P116103 Investment Program TF 95067 350,000.0 2010 Active P116408 Guangdong: Reducing Poverty and Inequality TF 94698 350,000.0 2010 Active P105958 Reforestation on Degraded Land in Northwest Guangxi TF 94125 2,200,000.0 2009 Active P108516 China Guangdong Huizhou CCGT project TF 91277 66,413,033.9 2008 Active Sustainable Management and Biodiversity Conservation of P110661 the Lake Aibi Basin TF 94052 180,000.0 2009 2011 P115613 China: Study on POPs Releases from Non-Wood Fiber Mills TF 93554 401,611.1 2009 2010 Annexes CPSCR Review 28 Independent Evaluation Group Project Approved Approval Project TF ID Closing ID Amount FY China: China-GEF-World Bank Urban Transport P090335 Partnership Program Project TF 92489 21,000,000.0 2008 Active P084437 Rural Health Project TF 92893 5,741,829.2 2009 2012 P084437 Rural Health Project TF 54586 821,000.0 2005 2008 Mainstreaming Climate Change Adaptation in Irrigated P105229 Agriculture Project TF 92393 5,000,000.0 2009 Active P085376 Rural Migrant Skills Development and Employment Project TF 96109 500,000.0 2010 Active Rapid Assessment of Chemical Contamination of the P112291 Wenchuan Earthquake in Sichuan Province TF 92413 1,000,000.0 2009 2010 P098916 China Energy Efficiency Financing TF 90719 13,500,000.0 2009 Active Improving Management over Special Purpose Transfer P111310 Payment in China TF 92193 300,800.0 2009 2012 P105046 Hubei Eco-Farming Biogas Project TF 91779 5,180,000.0 2008 Active Sustainable Development in Poor Rural Communities P101844 (GEF) TF 91753 280,000.0 2008 2009 P102568 Baotou Iron & Steel Energy Efficiency Project TF 91310 12,442,336.0 2008 Active P102567 Shandong Minhe Poultry Manure Biogas TF 91346 6,510,000.0 2008 Active China Improving Public Expenditure Management in Rural P100917 China TF 91629 390,000.0 2008 2012 P104601 CN-CF-Meishan CDQ Project TF 91294 11,198,780.3 2008 Active Western Provinces Rural Water Supply, Sanitation and P095315 Hygiene Promotion Project TF 58298 27,239,030.9 2008 Active P086035 China-PCF-Tianjin Landfill Gas Recovery and Utilization TF 90480 7,681,864.6 2007 Active P090375 China-GEF-Liaoning TF 57757 5,000,000.0 2008 Active Mainstreaming Climate Change Adaptation in Irrigated P105229 Agriculture Project TF 90802 153,800.0 2008 2008 Strengthening Result-oriented Monitoring and Evaluation of P104518 Investment Projects in China TF 58234 312,000.0 2007 2010 Preparation and Dissemination of Implementation P104517 Regulation of the Tendering and Bidding Law of China TF 58228 247,000.0 2007 2010 P090377 CN-GEF-Second Shandong Environment Project TF 56948 5,000,000.0 2007 Active Guangxi Integrated Forestry Development and P087318 Conservation Project TF 57753 5,250,000.0 2007 Active Capacity Building for Highly Pathogenic Avian Influenza P104264 Prevention and Human Influenza Pandemic Preparedness TF 57558 2,650,000.0 2007 2010 P098536 Road Safety (Updated GRSF Strategic Plan) TF 57979 500,000.0 2007 2011 P108174 DM06-1333 Musseling-in on Pollution TF 57170 187,251.0 2007 2009 Demonstration of alternatives to Chlordane and Mirex in P082992 Termite Control Project TF 56588 14,357,000.0 2007 2012 P090336 GEF-Ningbo Water and Environment Project TF 56692 5,000,000.0 2007 2012 P087292 CN-CF-Inner Mongolia Huitengxile Wind F TF 56203 15,200,000.0 2007 Active P081255 Changjiang/Pearl River Watershed Rehabilitation Project TF 57329 12,288,220.0 2007 Active P085124 China Economic Reform Implementation Project TF 57202 10,405,669.9 2007 2011 Institutional Strengthening for Preventing HIV/AIDS in Road P100324 Construction TF 56856 160,000.0 2007 2010 P090649 Facilitating Afforestation Program TF 56658 2,009,760.9 2007 Active P098918 Actuarial Capacity Building for MOF TF 56880 250,000.0 2006 2009 P088106 China - Nanjing Steel Convertor Gas Recovery Project TF 56884 9,054,465.0 2006 Active P082993 PCB Management and Disposal Demonstration Project TF 56008 18,340,000.0 2006 Active P086629 CN-Heilongjiang Dairy TF 53533 5,500,000.0 2006 2012 P087291 CN-PCF Jincheng Coal Bed Methane Project TF 56849 26,803,350.0 2006 Active Strengthening the Capacity and Effectiveness of Provincial, P099494 Municipal and County Auditors in China TF 56384 250,000.0 2006 2009 P090377 CN-GEF-Second Shandong Environment Project TF 56162 350,000.0 2006 2007 Annexes CPSCR Review 29 Independent Evaluation Group Project Approved Approval Project TF ID Closing ID Amount FY P090375 China-GEF-Liaoning TF 56221 350,000.0 2006 2007 China HFC-23 Emissions Reduction and Sustainable P094388 Development Benefits Project TF 56096 514,982,263.2 2006 Active China HFC-23 Emissions Reduction and Sustainable P094388 Development Benefits Project TF 56095 415,025,307.9 2006 Active IDF grant for Building capacity on Poverty M&E in the P097272 IPRCC, China TF 55960 200,000.0 2006 2009 P071094 Poor Rural Communities Development Project TF 55699 1,975,004.4 2006 2011 P071094 Poor Rural Communities Development Project TF 54747 1,929,600.0 2006 2009 P067625 China - Renewable Energy Scale-up Program (CRESP) TF 54833 40,220,000.0 2006 2012 DFID Grant for China poor rural TF 56137 32,450,000.0 2006 2012 Ensuring Access to Compulsory Education for Rural P096786 Migrant Children TF 55794 200,000.0 2006 2009 P072721 CN-GEF-Heat Reform & Bldg Egy Eff. TF 54687 18,000,000.0 2005 Active P087153 CN-PCF Xiaogushan Hydropower Project TF 54446 13,500,000.0 2005 Active P090336 GEF-Ningbo Water and Environment Project TF 55469 250,000.0 2006 2007 Land Acquisition and Resettlement: Strengthening P094751 Procedures, Monitoring and Oversight TF 55225 252,000.0 2005 2008 Strengthening Workplace Protection and Social Services P094141 for Migrant Laborers in the Urban Construction Sector TF 54988 300,000.0 2005 2008 P088764 Italian Trust Fund for Environmental Protection in China TF 54327 750,000.0 2005 2008 P090649 Facilitating Afforestation Program TF 54587 300,000.0 2005 2009 P094352 Promoting E-Government Procurement in China TF 54861 250,000.0 2005 2008 P091688 Capacity for Regional Research on Poverty & Inequality TF 54557 315,605.0 2005 2007 China: China-GEF-World Bank Urban Transport P090335 Partnership Program Project TF 54767 350,000.0 2005 2008 Guangxi Integrated Forestry Development and P087318 Conservation Project TF 54688 350,000.0 2005 2006 P088764 Italian Trust Fund for Environmental Protection in China TF 54538 900,000.0 2005 2008 P088764 Italian Trust Fund for Environmental Protection in China TF 54326 350,000.0 2005 2007 P087291 CN-PCF Jincheng Coal Bed Methane Project TF 54447 19,125,000.0 2005 Active Hai Basin Integrated Water and Environment Management P075035 Project TF 53183 17,000,000.0 2004 2011 P088116 Pro-Poor Rural Water Reform Project TF 53279 9,508,720.0 2005 2009 Institutional Capacity for National Economic P090651 Censuses(FY05-FY08) TF 53941 368,000.0 2005 2008 P084003 CN-GEF Guangdong PRD Urban Env TF 53359 10,000,000.0 2005 2012 Monitoring and Evaluation of Development Progress(2004- P088795 2006) TF 53678 249,000.0 2004 2007 Establishing a Professional Association of Government P088012 Financial Managers TF 53384 300,000.0 2004 2007 P088530 ASEM Grant for Insolvency Reform TF 53169 300,000.0 2004 2006 P087919 Promoting Rural Financial Market TF 53170 700,000.0 2004 2006 P077615 Gansu and Xinjiang Pastoral Development Project TF 52456 10,500,000.0 2004 2010 P082993 PCB Management and Disposal Demonstration Project TF 53076 294,000.0 2004 2006 Demonstration of alternatives to Chlordane and Mirex in P082992 Termite Control Project TF 53075 284,000.0 2004 2006 P085377 CN-Asem Ii Labor Market Policy TF 52902 450,000.0 2004 2006 Building Capital Flow Vulnerability Analysis and Early P087024 Warning System TF 52832 640,100.0 2004 2007 China basic education in WESTE TF 52350 36,454,510.6 2004 2010 P086991 Enterprise Privatization, Restructuring & Governance TF 52842 650,000.0 2004 2006 Development of a PCB Inventory Methodology and a draft P085268 strategy on PCB reduction and disposal in China TF 51188 1,736,442.1 2004 2007 Annexes CPSCR Review 30 Independent Evaluation Group Project Approved Approval Project TF ID Closing ID Amount FY P086476 For ASEM 2 TF 52649 564,000.0 2004 2006 P084247 Study on Public Service Unit Reform TF 52334 780,000.0 2004 2007 China: Yantai Integrated Gasification Combined Cycle P071439 (IGCC) Project TF 52510 350,000.0 2004 2006 P078516 Persistent Organic Pollutants Enabling Activities in China TF 51540 585,542.7 2004 2006 P068049 Hubei Hydropower Development in Poor Areas Project TF 56753 4,607,500.0 2007 Active P067337 Energy Conservation Project, Phase II TF 51678 26,000,000.0 2004 2010 P082620 Strengthening Public Sector Accounting Standards in China TF 52190 290,000.0 2003 2006 China's Rural Land Contracting Law: Strengthening P082300 Implementation and Supporting Institutions TF 52047 300,000.0 2003 2006 P079160 IDF-Strengthening of Env Protection Cap TF 51536 300,000.0 2003 2006 P068239 CN-Gef Lake Dianchi TF 51795 975,050.0 2003 2008 P078485 training TF 51335 216,500.0 2003 2006 Sustainable Forestry Development Project (Natural Forest P060029 Protection) TF 50644 16,000,000.0 2003 2011 ASEM Grant - CN Building Government Debt Management P073073 Capacity TF 51293 500,000.0 2003 2007 P077796 CSRC (Chinese Securities Regulatory Comm) TF 50486 850,000.0 2002 2007 DFID Grant for the China tuber TF 50196 38,263,247.5 2002 2011 P046829 CN-Renewable Energy Development TF 51151 494,530.0 2003 2007 P038121 CN-GEF-Renewable Energy Development TF 22642 27,000,000.0 2001 2008 P064924 Second Beijing Environment Project - GEF Component TF 24121 25,000,000.0 2001 2011 P046564 Gansu and Inner Mongolia Poverty Reduction Project TF 50625 557,250.0 2002 2006 P036953 China Health Nine Project TF 53812 661,400.0 2005 2008 P056216 Second Loess Plateau Watershed Rehabilitation Project TF 51385 6,313,929.3 2004 2009 P042299 CN-Tec Coop Credit IV TF 53180 2,981,958.8 2004 2006 P037859 CN-GEF Energy Conservation TF 28323 22,000,000.0 1998 2007 P003566 CN-Basic Health (HLTH8) TF 52328 9,009,824.0 2004 2007 P039838 CN ODS IV Phase Out Prj TF 22017 440,000,000.0 1998 Active P003409 CN Third ODS Phase Out TF 22002 120,100,000.0 1995 2009 Total 2,363,687,917.3 Source: China FY 06-Dec2011 CPS/CPSPR and WB Business Warehouse Table 2a.1, 2a.4 and 2a.7 as of 03/06/2012. Annexes CPSCR Review 31 Independent Evaluation Group Annex Table 3: Planned and Actual Analytical and Advisory Work, FY06-Dec2011 Delivered to AAA ID Proposed FY Output Type Client FY Economic and Sector Work Planned (CPS FY06-10) CN-Integrating Land Policy Reforms P090454 FY06-FY08 FY06 Report CN-Foreign Capital Utilization P094543 FY06-FY08 FY06 Policy Note China Quarterly Update P096228 FY06-FY08 FY06 Policy Note China Policy Notes -FY06 P096737 FY06-FY08 FY06 Policy Note CN-NE China Invest. Climate P091441 FY06-FY08 FY06 Report CN-Access to Finance P099014 FY06-FY08 FY06 Policy Note CN-DigDiv and Info Strategy P090614 FY06-FY08 FY06 Report CN-Urban Env/Serv. Review &Biomonitoring P083524 FY06-FY08 FY06 Report CN-Metropolitan Area Management P093516 FY06-FY08 FY06 Report CN-Capital Markets P099020 FY06-FY08 FY07 Policy Note CN-Rural Health Reform (multi-FY task) P082296 FY06-FY08 FY07 Report CN-Poverty Assessment P085127 FY06-FY08 FY07 Report CN-FY07 Quarterly Updates P101255 FY09 FY07 Policy Note CN- FY07 Policy Note P101256 FY06-FY08 FY07 Policy Note CN-Public Finance in Rural Areas P085057 FY06-FY08 FY07 Report CN- Trade and Poverty P096226 FY06-FY08 FY08 Report CN- FY08 Quarterly Update P107876 FY06-FY08 FY08 Policy Note CN- FY08 Policy Notes P107877 FY06-FY08 FY08 Policy Note CN- M&E for the 11th Five Year Plan P107878 FY09 FY08 Report CN-Addressing Water Scarcity P096654 FY06-FY08 FY08 Policy Note CN- Capital Markets FY08 P107660 FY09 FY08 Policy Note CN-Labor Mkt Studies P081824 FY06-FY08 FY08 Report CN-FY08 Metropolitan Area Management P102025 FY06-FY08 FY08 Report CN - FY09 Quarterly Updates P111932 FY09 FY09 Policy Note CN - FY09 Policy Notes P112004 FY09 FY09 Policy Note CN - Fiscal Policy and Macroeconomy P112005 FY09 FY09 Policy Note China's Partnership with Africa P112619 FY09 FY09 Policy Note China in Regional Trade Agreements P115366 FY09 FY09 Policy Note CN-FY09 Urban Tran. Climate Change Strat P110557 FY06-FY08 FY09 Policy Note CN- Railway Industry Report 1990-2008 P117040 FY09 FY09 Policy Note Chongqing Urban Rural Linkages P114770 FY09 FY09 Policy Note CN - Forest Policy Dialogue P107885 FY09 FY10 Report CN - Agricultural Product System to Climate Change P114173 FY09 FY10 Report CN - Energy Intensity Strategy P099544 FY09 FY10 Policy Note Access to Finance FY10 P117719 FY09 FY10 Policy Note CN-Rural Health Reform (multi-FY task) P115201 FY06-FY08 FY10 Policy Note CN-Rural Social Protection P075374 FY06-FY08 FY10 Report CN-Rural to Urban Migr Soc Policies P101703 FY09 FY10 Report CN-Rural Pension and SSN P101704 FY09 FY10 Report Air pollution management program P108202 FY09 FY11 Report Early Childhood Development (ESW) P113762 FY09 FY11 Policy Note Pension reform framework paper P113770 FY09 FY11 Policy Note CN-Capital Markets FY09 P112287 FY09 FY11 Policy Note CEM (Country Economic Memorandum) P096225 FY06-FY08 Dropped Balancing regional development FY06-FY08 Dropped The "circular" (recycling economy) P096652 FY06-FY08 Dropped Green national accounting P096651 FY06-FY08 Dropped Private sector challenges/opportunities FY06-FY08 Dropped Mining background notes P112558 FY09 Dropped Rural informatization FY09 Dropped Rural land market FY09 Dropped Fiscal Stability and Bailout Mechanisms P115368 FY09 Dropped Annexes CPSCR Review 32 Independent Evaluation Group Proposed Delivered Output AAA ID FY to Client FY Type Economic and Sector Work Non-planned CN-Farmers' Professional Association P079613 FY06 Report CN - Food Safety P085058 FY06 Report CN-Expressway Retrospective P096829 FY06 Report CN-Power Industry P068266 FY06 Report CN-ESMAP: China Energy 2020 P093919 FY06 Report CN-Coal Bed Methane Strategy P096826 FY06 Report CN-Accounting Regulation in Power Sector P100592 FY06 Policy Note CN -Valuation of Env Health Risk P085355 FY06 Report CN-Dividend Policy for SOEs P098698 FY06 Policy Note CICMA: Entrepreneurship-China P099395 FY06 Report CN-Reform of Public Services Units P079699 FY05 Report CN-Imple. Guidelines for Poverty & Env P089190 FY06 Report CN-Liaoning SS Pilot Evaluation P094443 FY06 Report CN- Railway Restructuring P096735 FY06 Policy Note CN-Urban Transport Policy Guidance P096830 FY06 Report CN-Public Transport Reform and Priority P100006 FY06 Policy Note CN-Managing Urban Restructuring P074809 FY06 Report CN-Dev Strategy for Towns P087115 FY06 Report CN Water & Sanitation Sector Assessment P070413 FY06 Report CN-Integrating Land Policy Reforms (II) P096320 FY07 Report CN-Innovations for Agric Insurance P096478 FY07 Report CN-Public Services in Rural Areas P101740 FY07 Report CN-NE China Development Strategy P091158 FY07 Report CN-LifeLong Learning P075168 FY07 Report Building Energy Efficiency Study P067577 FY07 Policy Note CN-ESMAP China Universal Access to Power P091247 FY07 Report CN-120 Cities Comp & Governance P096703 FY07 Report Agriculture Insurance in China P103141 FY07 Report CN-Country Gender Assessment P085238 FY07 Report CN-Social/Eco Impacts of HIV/AIDS P075375 FY07 Report CN-Subnat'l Finance in NE China P091282 FY07 Report CN-Urban Safety Net P082744 FY07 Policy Note HWY Sector Strategy Review P066508 FY07 Policy Note CN-Gansu Cultural Heritage Study P075865 FY07 Policy Note CN-Guizhou Cultural Heritage Study P094673 FY07 Policy Note CN-Study on Economic Value of Water P096650 FY08 Policy Note CN-Study on Water Rights Administration P103384 FY08 Report CN-Sustainable Coal Sector Develop P098394 FY08 Policy Note CN-Generation Pricing, Tradg & Dispatch P106041 FY08 Policy Note CN-Education Sector Review Note P115529 FY09 Policy Note CN-Public Services in Rural Areas II P108700 FY09 Report Policy Note on Food Safety in China P114965 FY09 Policy Note CN - Benefit Sharing Mechanism P104858 FY09 Report CN - Guangdong AAA P111946 FY09 Policy Note CN-Innovation, R&D and Competitiveness P102118 FY09 Report CN-Shanghai PSD & Innovation Program P113149 FY09 Policy Note Monitoring and Evaluating Local Government Performance in China P091286 FY09 Report CN-Outsourcing to CSOs for Social Serv P114022 FY09 Policy Note Annexes CPSCR Review 33 Independent Evaluation Group Proposed Delivered Output AAA ID FY to Client FY Type Economic and Sector Work CN - Road Traffic Safety P110301 FY09 Report CN-Macro-Fiscal Policy Notes - FY10 P117568 FY10 Policy Note CN-Rural Compulsory Education Reform P099342 FY10 Report CN-Guangdong Educ for Migrant Children P114106 FY10 Report Coal Power Country Study P103624 FY10 Report CN SOE Dividend Policy P113401 FY10 Policy Note China - ROSC Accounting & Auditing P112572 FY10 Report Concessionary Finance on Water Sector P120673 FY10 Policy Note CN-Early Childhood Development P113762 FY11 Policy Note CN - 12th Five Year Plan P117570 FY11 Report Reaping Benefits of FDI in Shanghai P121172 FY11 Report CN Macro-Fiscal Policy Notes FY11 P122988 FY11 Policy Note CN - Local Government Finance and Debt P124651 FY11 Report China - Air Pollution Contol Program P108202 FY11 Report CN - Study on Sate Fin. Assets (Huijing) P112286 FY11 Report FSAP China P117143 FY11 Report China Academy of Inclusive Finance P122978 FY11 Policy Note China PSD Program P117716 FY11 Report CN- Pension Reform Framework P113770 FY11 Policy Note China Road Safety Roadmap Development P121046 FY11 Policy Note Shandong Culture Heritage Sector Review P120553 FY11 Policy Note China Low Carbon Cities - SDN edited bk P123996 FY11 Policy Note Update of Economic and Financial Review on China's WSS Sector P124815 FY12 Report FY11 Activities of China: Urban Transport, Energy Efficiency, and Climate Change Management AAA Program P126481 FY12 Policy Note Urban Transport Climate Change Strategy P117917 FY12 Policy Note Delivered Proposed AAA ID to Client Output Type FY FY Technical Assistance Planned (CPS FY06-10) CN-Ensuring Financial Stability P099588 FY06-FY08 FY06 Knowledge-Sharing Forum CN-Policy Banking P099589 FY06-FY08 FY06 "How-To" Guidance CN - Infrastructure Finance FY07 P102862 FY06-FY08 FY07 Knowledge-Sharing Forum CN-Ensuring Financial Stability FY08 P102835 FY06-FY08 FY08 Knowledge-Sharing Forum CN- Access to Finance FY08 P108052 FY06-FY08 FY08 Institutional Development Plan CN- Ensuring Financial Stability FY09 P110190 FY09 FY09 Institutional Development Plan CN - Strengthening Energy Efficiency P113833 FY09 FY09 "How-To" Guidance South-South learning P118379 FY09 FY11 "How-To" Guidance Participation in poverty reduction P091291 FY06-FY08 Dropped Commercial rural financing P114197 FY06-FY08 Dropped Non-planned ASTAE TF: Building EE Economic Analysis P085881 FY06 "How-To" Guidance Shanghai Energy Resource Center P097723 FY06 "How-To" Guidance CN- CDD Research and Piloting P099745 FY06 "How-To" Guidance CN-JSDF-Liaoning Urban Poor P077183 FY06 "How-To" Guidance CN-Avian Flu TA P100429 FY06 Institutional Development Plan CN-Cultural Heritage Conference P100838 FY06 Knowledge-Sharing Forum Annexes CPSCR Review 34 Independent Evaluation Group Delivered Proposed AAA ID to Client Output Type FY FY Development of Statistical Master Plan P092125 FY06 Model/Survey CN Strategic Environmental Assessment P091513 FY07 Model/Survey CN: Tendering&Bidding Law&Gov Proc Law P103647 FY07 Knowledge-Sharing Forum CN- Deepening MESD Program P098826 FY07 Institutional Development Plan CN-Support to Participatory Planning P090721 FY07 "How-To" Guidance CN-Traffic Safety P099153 FY07 "How-To" Guidance CN-2nd Phase Highway Retrospective TA P088134 FY07 Client Document Review Update of Chinese Model Bidding Document P110795 FY08 Client Document Review Pre investment in scale up Energy(ESMAP) P099547 FY08 "How-To" Guidance CN - Promoting Circular Economy P099102 FY08 "How-To" Guidance CN-Sichuan Wenchuan Earthquake Response P112185 FY08 "How-To" Guidance CN-Rural Info and Public Svc Delivery P107537 FY08 Knowledge-Sharing Forum CN-Land Policy Reforms III P108701 FY08 Institutional Development Plan Transforming Institutions for Sustainabl P107972 FY08 Institutional Development Plan FIRST #162: Regulation of corp pensions P105415 FY08 Institutional Development Plan FIRST #178: Securities firms regulation P105417 FY08 Institutional Development Plan CN-NRCU Restructuring P107526 FY08 Institutional Development Plan CN-Hubei SEA for Road Transport Plan P108256 FY08 Institutional Development Plan Comprehensive Transport Systems P109989 FY08 Institutional Development Plan CN - Forestry Supply P090719 FY09 Model/Survey High Level Policy Seminar P115367 FY09 Knowledge-Sharing Forum China Urban Water Report Dissemination P116702 FY09 Knowledge-Sharing Forum GEMLOC-China Country Policy Dialogue P108955 FY09 Client Document Review China: Irrigation and Water Resource Man P108915 FY09 "How-To" Guidance CN-Offshore & Large Cap Windfarm Dev P113550 FY09 "How-To" Guidance CN - CDM TA for China P071365 FY09 "How-To" Guidance CN- Environmental Administration TA P109389 FY09 "How-To" Guidance CN-M&E for MSE P107662 FY09 "How-To" Guidance CN - CIC Study P117227 FY09 "How-To" Guidance Sino-Singapore Tianjin Eco City Project P114815 FY09 "How-To" Guidance CN: Intern'l Experience Sustain Model P112191 FY09 Institutional Development Plan CN-Dev Policy of the Railway Sector P107631 FY09 Institutional Development Plan China UDIC Credit Rating P114599 FY09 Institutional Development Plan CN- Biomass Cogeneration Development P104768 FY10 "How-To" Guidance China: Support for Sharing China's Deve P093554 FY10 "How-To" Guidance CN-Africa-China Health Systems Strength P120151 FY10 "How-To" Guidance China: Guiyang Municipal Debt Management P119946 FY10 "How-To" Guidance CN-Market-Based Railway Pricing Policies P115159 FY10 "How-To" Guidance CN - Wenchuan Earthquake TA P112013 FY10 "How-To" Guidance China Collective Forest Tenure Reform P102694 FY10 Institutional Development Plan CN - Hospital Pilot P119332 FY10 Institutional Development Plan China UDIC Credit Rating (Phase II) P119977 FY10 Institutional Development Plan Support for 27th IAAE Conference P116642 FY10 Knowledge-Sharing Forum CN - Competition Policy P117571 FY10 Knowledge-Sharing Forum Integrated Transport Promotion Law P115223 FY10 Knowledge-Sharing Forum Civil Aviation Development in China P119218 FY10 Knowledge-Sharing Forum China Rural Waste Water Management Study P118319 FY11 "How-To" Guidance Ensuring Financial Stability FY10 P117721 FY11 Institutional Development Plan Ningbo: Climate Resilient Cities Program P120081 FY11 Institutional Development Plan CN - Non-Commun Diseases TA P112220 FY11 Knowledge-Sharing Forum CN - Land Transfer and Registration P115722 FY11 Model/Survey Implementation, Monitoring & Evaluation of P123539 FY12 Advisory Services Document Annexes CPSCR Review 35 Independent Evaluation Group Delivered Proposed AAA ID to Client Output Type FY FY National Health System Reform Study on Consumption-based Water Rights Administration System in Turfan Basin of China P118321 FY12 Advisory Services Document China Heat Regulation Phase II P116044 FY12 Client Document Review Review/Update National Design Codes WSD P118651 FY12 Advisory Services Document Revision of National Guidelines on Dam (Reservoir) Safety Management and Risk Informed Dam Safety Management P118254 FY12 Advisory Services Document Development Impacts of Climate-Induced Changes in China's Water Resources P119500 FY12 Event Proceeding Document Source: China CPS/CPSPR and WB Business Warehouse Table ESW/TA 8.1.4 as of 02/22/2012. Annexes CPSCR Review 36 Independent Evaluation Group Annex Table 4: IEG Project Ratings for China, Exit FY06-FY11 IEG Risk to Total Evaluated Exit FY Proj ID Project Name IEG Outcome Development (US$M) Outcome 2006 P003540 CN-Loess Plateau 150.6 Highly Satisfactory # P003596 CN-Yangtze Basin Water Resources Project 205.2 Satisfactory # P003606 CN-Energy Conservation 60.5 Satisfactory Negligible To Low P003632 CN-Environment Tech Ass 49.3 Satisfactory # P003639 CN-Southwest Poverty Reduction Project 223.4 Satisfactory # P003650 Tuoketuo (Inner Mongolia) Power 285.1 Satisfactory # P034618 CN-Labor Market Development 27.3 Satisfactory # P035698 Hunan Power Development Project 137.3 Satisfactory # P040185 CN-Shandong Environment 91.3 Satisfactory # Moderately P041890 CN-Liaoning Urban Transport 147.8 # Satisfactory P045264 CN-Smallholder Cattle Development 93.4 Satisfactory # P045788 CN-Tri-Provincial Hwy 223.0 Satisfactory Negligible To Low P046051 CN-Higher Educ. Reform 66.9 Satisfactory # P046564 Cn - Gansu & Inner Mongolia Poverty Red. 146.2 Satisfactory Moderate P046952 Forestry Development In Poor Areas 193.0 Satisfactory # P050036 CN-Anhui Provincial Highway Project 170.6 Satisfactory # P051736 CN-E. China (Jiangsu) Power Transmission 150.1 Satisfactory Negligible To Low P051888 CN-Guanzhong Irrigation 98.7 Satisfactory Moderate P056516 CN-Water Conservation 74.0 Highly Satisfactory Moderate P058308 CN-Pension Reform 4.9 Satisfactory # 2007 P003566 CN-Basic Health (HLTH 8) 86.6 Satisfactory Negligible To Low Moderately P003594 CN-Gansu Hexi Corridor 117.7 Moderate Satisfactory P003619 CN-2Nd Inland Waterways 79.7 Highly Satisfactory Negligible To Low P003637 CN-Nat’l Rural Water 3 67.2 Satisfactory # Moderately P036405 CN-Wanjiazhai Water 324.6 Moderate Unsatisfactory P041268 CN-Nat Hwy4/Hubei-Hunan 312.4 Satisfactory Negligible To Low Moderately P043933 CN-Sichuan Urban Environment 44.9 Moderate Satisfactory P044485 CN-Shanghai Waigaoqiao 372.6 Satisfactory Negligible To Low P046829 CN-Renewable Energy Development 12.9 Satisfactory Negligible To Low P049665 CN-Anning Valley Agric. Development 118.9 Satisfactory Negligible To Low P051705 CN-Fujian Ii Highway 196.0 Satisfactory Moderate P057352 CN-Rural Water IV 44.8 Satisfactory Negligible To Low P058843 CN-Guangxi Highway 180.3 Highly Satisfactory Negligible To Low P058844 CN-Henan Provincial Hwy 3 123.1 Satisfactory Negligible To Low P058845 CN-Jiangxi Ii Hwy 143.5 Satisfactory Negligible To Low Moderately 2008 P003539 CN-Sustainable Coastal Resources Dev. 92.5 Moderate Satisfactory P003614 CN-Guangzhou City Transport 152.4 Satisfactory Negligible To Low P036414 CN-Guangxi Urban Envmt 78.3 Satisfactory Negligible To Low Moderately P036953 CN-Health IX 59.1 Moderate Satisfactory Moderately P045910 CN-Hebei Urban Environment 128.0 Negligible To Low Satisfactory P045915 CN-Urumqi Urban Transport 97.6 Satisfactory Moderate P047345 CN-Huai River Pollution Control 104.2 Satisfactory Negligible To Low P056199 CN-3Rd Inland Waterways 99.3 Satisfactory Negligible To Low P056424 CN-Tongbai Pumped Storage 197.5 Satisfactory Negligible To Low P058846 CN-Nat’l Railway Project 153.2 Satisfactory Negligible To Low P070441 CN-Hubei Xiaogan Xiangfan Hwy 221.7 Satisfactory Negligible To Low Annexes CPSCR Review 37 Independent Evaluation Group IEG Risk to Total Evaluated Exit FY Proj ID Project Name IEG Outcome Development (US$M) Outcome P070459 CN-Inner Mongolia Hwy Project 98.7 Satisfactory Negligible To Low P075602 CN-2Nd National Railways (Zhe-Gan Line) 199.0 Satisfactory Negligible To Low 2009 P003409 Cn Third Ods Phase Out 0.0 Satisfactory Negligible To Low Moderately P049436 CN-Chongqing Urban Envmt 140.1 Negligible To Low Satisfactory P051859 CN-Liao River Basin 91.5 Satisfactory Moderate Moderately P056596 CN-Shijiazhuang Urban Transport 73.0 Moderate Satisfactory P064730 CN-Yangtze Dike Strengthening 165.6 Satisfactory Negligible To Low Moderately P069852 CN-Wuhan Urban Transport 148.8 Moderate Satisfactory P076714 CN-2Nd Anhui Hwy 238.8 Satisfactory Moderate P088116 Cn - Pro-Poor Rural Water Reform 0.0 Satisfactory Moderate 2010 P042299 CN-Tec Coop Credit IV 33.4 Satisfactory Negligible To Low P051856 CN-Accounting Reform & Development 27.9 Highly Satisfactory Negligible To Low P058847 CN-3Rd Xinjiang Hwy Project 145.4 Satisfactory Moderate Moderately P070191 CN-Shanghai Urb Envmt APL1 144.3 Negligible To Low Satisfactory P071147 CN-Tuberculosis Control Project 65.4 Satisfactory Significant Moderately P073002 CN-Basic Education In Western Areas 71.9 Negligible To Low Satisfactory P081749 CN-Hubei Shiman Highway 195.3 Satisfactory Moderate Source: WB Business Warehouse Table 4a.5 and 4a.6 as of as of 03/05/2012. * With IEG new methodology for evaluating projects, institutional development impact and sustainability are no longer rated separately. Annex Table 5: IEG Project Ratings for China and Comparators, Exit FY06-FY11 Total Total RDO % RDO % Evaluated Evaluated Outcome Outcome Moderate or Moderate or Region ($M) (No) % Sat ($) % Sat (No) Lower Lower Sat ($) * Sat (No)* China 8,047.2 63 96.0 98.4 98.9 97.9 India 7,330.5 40 89.8 90.0 72.0 78.8 Brazil 4,062.9 47 90.0 89.4 86.1 85.0 Russian Federation 933.0 15 81.7 80.0 64.5 69.2 Indonesia 2,631.4 24 95.0 70.8 94.3 66.7 EAP 13,564.7 157 94.0 86.6 90.5 72.8 World 71,696.5 1,193 84.5 76.8 72.1 61.1 Source: WB Business Warehouse Table 4a.5 and 4a.6 as of as of 03/05/2012. * With IEG new methodology for evaluating projects, institutional development impact and sustainability are no longer rated separately. Annexes CPSCR Review 38 Independent Evaluation Group Annex Table 6: Portfolio Status for China and Comparators, FY06-FY11 Fiscal year 2006 2007 2008 2009 2010 2011 China # Proj 79 74 77 79 80 85 # Proj At Risk 1 3 4 5 14 16 % At Risk 1 4 5 6 18 19 Net Comm Amt 10,723.7 9,907.7 9,789.4 10,359.4 10,290.5 10,484.7 Comm At Risk 199.0 398.8 522.0 528.0 1,479.1 1,877.8 % Commit at Risk 1.9 4.0 5.3 5.1 14.4 17.9 India # Proj 56 67 63 67 82 90 # Proj At Risk 6 8 14 9 8 8 % At Risk 11 12 22 13 10 9 Net Comm Amt 11,268.6 14,266.8 13,710.8 14,949.5 21,398.8 25,312.9 Comm At Risk 1,735.9 2,555.2 3,174.1 2,153.1 2,522.1 3,150.3 % Commit at Risk 15.4 17.9 23.2 14.4 11.8 12.4 Brazil # Proj 53 52 53 55 63 59 # Proj At Risk 3 8 10 7 9 10 % At Risk 6 15 19 13 14 17 Net Comm Amt 4,489.6 4,385.6 5,084.1 8,036.6 10,038.1 9,548.4 Comm At Risk 63.1 1,228.2 283.3 200.5 1,824.4 926.7 % Commit at Risk 1.4 28.0 5.6 2.5 18.2 9.7 Russia # Proj 22 20 18 14 12 10 # Proj At Risk 2 0 1 5 2 3 % At Risk 9 0 6 36 17 30 Net Comm Amt 1,950.7 1,770.5 1,676.1 1,297.0 1,136.5 987.0 Comm At Risk 250.0 0.0 80.0 310.0 100.0 110.0 % Commit at Risk 12.8 0.0 4.8 23.9 8.8 11.1 Thailand # Proj 2 2 6 6 3 4 # Proj At Risk 0 0 0 0 0 1 % At Risk 0 0 0 0 0 25 Net Comm Amt 129.3 129.3 132.4 132.4 210.6 1,210.6 Comm At Risk 0.0 0.0 0.0 0.0 0.0 163.6 % Commit at Risk 0.0 0.0 0.0 0.0 0.0 13.5 Indonesia # Proj 26 26 45 60 58 57 # Proj At Risk 2 4 13 14 9 5 % At Risk 8 15 29 23 16 9 Net Comm Amt 2,343.7 2,785.8 3,535.2 7,243.2 8,136.6 7,215.7 Comm At Risk 105.9 304.5 557.9 861.1 400.4 304.3 % Commit at Risk 4.5 10.9 15.8 11.9 4.9 4.2 EAP # Proj 229 223 232 248 258 267 # Proj At Risk 14 24 29 41 45 52 % At Risk 6 11 13 17 17 19 Net Comm Amt 19,453.4 18,926.8 19,756.6 24,875.3 27,720.7 29,280.5 Comm At Risk 803.8 1,625.9 1,722.1 2,203.2 2,535.3 3,359.1 % Commit at Risk 4.1 8.6 8.7 8.9 9.1 11.5 Annexes CPSCR Review 39 Independent Evaluation Group World # Proj 1,468 1,485 1,525 1,552 1,590 1,595 # Proj At Risk 199 243 276 344 366 337 % At Risk 14 16 18 22 23 21 Net Comm Amt 95,193.6 100,357.1 106,761.7 131,076.4 158,287.4 168,248.7 Comm At Risk 11,000.1 15,354.3 18,428.2 19,929.9 28,186.1 22,978.5 % Commit at Risk 11.6 15.3 17.3 15.2 17.8 13.7 Source: WB Business Warehouse Table 3a.4 as of 3/5/2012. Annex Table 7: IBRD Net Disbursements and Charges Summary Report for China, (in US$ million) FY Disb. Amt. Repay Amt. Net Amt. Charges Fees Net Transfer Jul 2007 - Sep 2007 5,061,380.3 0.0 5,061,380.3 814,773.8 186,205.1 -482,139,345.5 Oct 2007 - Dec 2007 9,612,400.5 0.0 9,612,400.5 321,311.3 18,766.2 Jan 2008 - Mar 2008 4,203,286.7 0.0 4,203,286.7 0.0 928,750.5 Apr 2008 - Jun 2008 5,587,219.1 0.0 5,587,219.1 0.0 351,824.5 Jul 2008 - Sep 2008 7,611,756.4 0.0 7,611,756.4 0.0 956,604.3 Oct 2008 - Dec 2008 10,935,795.2 53,879.4 10,881,915.8 0.0 347,822.6 Jan 2009 - Mar 2009 29,857,966.8 0.0 29,857,966.8 0.0 887,549.9 Apr 2009 - Jun 2009 13,565,612.9 55,574.9 13,510,038.1 0.0 339,975.0 Jul 2009 - Sep 2009 9,256,122.5 9,572.7 9,246,549.8 0.0 1,083,813.3 Oct 2009 - Dec 2009 17,125,795.2 58,416.6 17,067,378.6 0.0 380,787.8 Jan 2010 - Mar 2010 11,424,953.4 115,205.7 11,309,747.7 0.0 1,160,255.2 Apr 2010 - Jun 2010 14,949,816.3 77,173.1 14,872,643.3 0.0 373,888.7 Jul 2010 - Sep 2010 3,721,429.4 133,515.3 3,587,914.1 0.0 1,171,250.2 Oct 2010 - Dec 2010 14,881,938.3 161,323.5 14,720,614.8 0.0 378,859.9 Jan 2011 - Mar 2011 7,443,061.6 137,481.4 7,305,580.2 0.0 1,287,589.7 Apr 2011 - Jun 2011 15,625,227.8 200,932.1 15,424,295.7 0.0 415,183.7 Jul 2011 - Sep 2011 13,776,570.2 784,764.8 12,991,805.4 0.0 1,375,295.1 Oct 2011 - Dec 2011 15,160,851.9 655,661.5 14,505,190.4 0.0 420,919.4 Jan 2012 - Mar 2012 15,001,373.5 756,764.6 14,244,608.9 0.0 1,346,916.8 -566,443,424.0 Apr 2012 - Jun 2012 20,065,344.9 642,395.8 19,422,949.1 0.0 419,597.5 -633,792,654.2 Jul 2012 - Aug 2012 1,671,170.9 366,659.2 1,304,511.7 0.0 196,950.5 -133,861,284.8 Total 2006-2011) 7,734,809,161.2 7,654,385,088.8 80,424,072.4 2,638,532,678.2 324,231,319.5 -2,558,108,605.8 Source: WB Loan Kiosk, Net Disbursement and Charges Report as of 3/5/2012. Annexes CPSCR Review 40 Independent Evaluation Group Annex Table 8: List of IFC’s Investment in China, FY06-FY12 1st Project Greenfield Total Net CPS Project Project SME Project Net Net Project Name cmt closure / Existing Primary Sector Commit- period ID Status Type Size Equity Loans FY FY project ment Committed pre-FY06, but active during DY06-12 1020 CHINA BICYCLE I 1988 Closed 2007 E NA Industrial & Consumer Products 5,000 0 5,000 5,000 Nonmetallic Mineral Product 3150 YANTAI CEMENT 1993 Closed 2006 G NA Manufacturing 143,585 1,955 28,730 30,685 3274 CHINA BICYCLE II 1992 Closed 2007 E NA Industrial & Consumer Products 14,966 2,437 12,500 14,937 Nonmetallic Mineral Product 3423 SHENZHEN PCCP 1993 Active (blank) G NA Manufacturing 5,000 990 4,000 4,990 3852 Dupont Suzhou 1996 Closed 2006 G NA Textiles, Apparel & Leather 161,166 4,146 24,920 29,066 CHINA WALDEN 3880 VEN 1994 Closed 2010 G ME Collective Investment Vehicles 7,500 7,500 0 7,500 CHINA WALDEN 3881 MGT 1994 Closed 2010 G NA Collective Investment Vehicles 10 10 0 10 4444 CHN BICYCLESIII 1994 Closed 2007 E NA Industrial & Consumer Products 954 954 0 954 4470 Dynamic Fund 1994 Closed 2011 G ME Collective Investment Vehicles 20,000 10,697 0 10,697 4534 Newbridge Inv. 1995 Active (blank) G ME Collective Investment Vehicles 10,000 6,697 0 6,697 4635 Suzhou PVC 1997 Closed 2006 G NA Chemicals 78,820 2,480 22,000 24,480 4693 NANJING KUMHO 1 1996 Closed 2008 G NA Plastics & Rubber 149,971 3,814 13,632 17,446 7071 Leshan Scana 1999 Closed 2007 G NA Primary Metals 39,300 1,350 4,500 5,850 7160 BOS 2000 Closed 2012 E SE Finance & Insurance 21,744 21,770 0 21,770 7337 Orient Finance 1997 Closed 2007 E NA Finance & Insurance 30,000 0 10,000 10,000 7424 Shanghai Krupp 2000 Active (blank) G NA Primary Metals 301,940 0 30,000 30,000 8153 PTP Holdings 2000 Closed 2006 E NA Industrial & Consumer Products 76,767 1,500 0 1,500 8312 New China Life 2001 Active (blank) G NA Finance & Insurance 30,926 23,315 0 23,315 8375 Zhen Jing 1999 Closed 2006 E NA Textiles, Apparel & Leather 19,500 2,000 0 2,000 8506 Chengdu Huarong 1999 Closed 2009 E ME Chemicals 48,500 3,200 7,400 10,600 9178 Wuhan CIG 1999 Closed 2006 G NA Transportation and Warehousing 14,700 1,500 0 1,500 9340 Shanxi 2000 Closed 2010 E NA Industrial & Consumer Products 77,650 0 16,450 16,450 9993 CIG Hld ltd 2000 Closed 2006 G NA Transportation and Warehousing 53,000 3,000 0 3,000 10037 BOS RI 2000 Closed 2012 E SE Finance & Insurance 3,841 3,842 0 3,842 10044 SEAF SSIF 2001 Active (blank) G SE Collective Investment Vehicles 6,000 4,503 0 4,503 10420 Darong 2004 Active (blank) G NA Chemicals 34,700 1,500 6,667 8,167 10693 Minsheng 2003 Closed 2008 E ME Finance & Insurance 23,500 23,500 0 23,500 10706 Maanshan Carbon 2002 Closed 2011 E NA Chemicals 27,400 2,000 9,000 11,000 10774 Peak Pacific 2002 Closed 2006 E NA Electric Power 25,000 0 0 0 10817 BON 2002 Closed 2010 E ME Finance & Insurance 26,580 26,434 0 26,434 Annexes CPSCR Review 41 Independent Evaluation Group 1st Project Greenfield Total Net CPS Project Project SME Project Net Net Project Name cmt closure / Existing Primary Sector Commit- period ID Status Type Size Equity Loans FY FY project ment 10860 Advantage 2002 Closed 2009 G NA Finance & Insurance 245 245 0 245 10933 PSAM 2003 Closed 2008 G NA Finance & Insurance 1,900 -207 0 -207 10962 SAIC 2004 Closed 2011 E NA Primary Metals 38,000 0 12,000 12,000 10966 Zhong Chen 2004 Active (blank) G NA Chemicals 25,000 5,000 0 5,000 11063 Huarong AMC 2002 Closed 2006 G NA Finance & Insurance 50,000 981 31,500 32,481 11220 XACB 2003 Active (blank) E ME Finance & Insurance 20,000 -300 0 -300 11277 BOS RI 2 2002 Active (blank) E SE Finance & Insurance 24,700 24,669 0 24,669 11280 IEC 2002 Closed 2007 E NA Electric Power 25,000 0 0 0 11384 ASIMCO 2004 Closed 2010 E NA Industrial & Consumer Products 10,000 10,000 0 10,000 11393 Sino Mining (blank) Closed 2006 E NA Oil, Gas and Mining 0 0 0 0 11395 Great Infotech 2003 Closed 2009 E NA Information 3,500 2,800 0 2,800 11474 CDH China Fund 2002 Active (blank) G NA Collective Investment Vehicles 20,000 20,000 0 20,000 11526 BCIB 2003 Closed 2008 G NA Finance & Insurance 12,000 -677 0 -677 11589 Zhengye-ADC 2003 Closed 2011 G NA Food & Beverages 120,669 0 11,591 11,591 11650 SML 2003 Closed 2008 G NA Oil, Gas and Mining 8,600 1,000 5,000 6,000 11741 China Life Re 2004 Closed 2008 G NA Finance & Insurance 15,344 15,344 0 15,344 11764 CSMC 2004 Closed 2007 E NA Industrial & Consumer Products 577,600 11,472 0 11,472 20096 Anjia 2004 Closed 2007 G NA Finance & Insurance 10,000 2,000 0 2,000 20136 Babei Silk Tie 2005 Closed 2011 G NA Textiles, Apparel & Leather 22,000 5,000 11,000 16,000 20178 NHC 2005 Closed 2008 E NA Finance & Insurance 45,001 0 0 0 20226 SIBFI 2004 Active (blank) G NA Education Services 345 85 140 225 20334 Shanghai Midway (blank) Closed 2006 E NA Transportation and Warehousing 69,360 0 0 0 20377 ACHL Rights 1 2003 Closed 2009 E NA Finance & Insurance 496 496 0 496 20533 CUNA RCCI 2004 Closed 2011 G NA Finance & Insurance 12,000 1,471 0 1,471 21088 CCB-MS NPL 2004 Closed 2007 G NA Finance & Insurance 30,000 0 0 0 21114 IB 2004 Active (blank) G SE Finance & Insurance 52,393 52,179 0 52,179 21451 Xinao Gas 2004 Active (blank) G NA Utilities 35,000 9,999 25,000 34,999 21513 Nanjing Kumho Ex 2004 Active (blank) E NA Plastics & Rubber 133,768 2,232 34,000 36,232 21576 China Green 2004 Closed 2011 G NA Electric Power 20,000 0 20,000 20,000 21754 Antai 2004 Active (blank) E NA Chemicals 123,800 0 40,000 40,000 22088 Colony China 2004 Active (blank) G NA Collective Investment Vehicles 50,000 10,066 0 10,066 22164 Chenming LWC 2004 Active (blank) G NA Pulp & Paper 582,000 12,900 40,000 52,900 22165 Fenglin MDF 2004 Closed 2010 E NA Industrial & Consumer Products 66,327 6,000 15,000 21,000 22193 Fang Xin 2005 Closed 2007 E NA Plastics & Rubber 5,000 5,000 0 5,000 22254 Wumart 2004 Closed 2008 G NA Wholesale and Retail Trade 6,481 6,481 0 6,481 22547 MS Shipping 2005 Closed 2012 G NA Transportation and Warehousing 20,750 0 15,750 15,750 Annexes CPSCR Review 42 Independent Evaluation Group 1st Project Greenfield Total Net CPS Project Project SME Project Net Net Project Name cmt closure / Existing Primary Sector Commit- period ID Status Type Size Equity Loans FY FY project ment 23574 BioChina 2005 Active (blank) G NA Collective Investment Vehicles 5,000 4,680 0 4,680 23687 Colony China GP 2004 Active (blank) G NA Collective Investment Vehicles 962 443 0 443 23745 Changyu Group 2005 Active (blank) G NA Food & Beverages 17,676 17,661 0 17,661 Professional, Scientific and 23855 HiSoft Tech 2005 Active (blank) G NA Technical Services 20,000 4,000 0 4,000 23890 North Andre 2005 Active (blank) G NA Food & Beverages 113,990 -2,490 7,000 4,510 23928 CT Holdings 2005 Closed 2007 G NA Electric Power 40,000 0 0 0 23934 Wanjie Hospital1 (blank) Active (blank) E NA Health Care 42,300 0 0 0 23942 Maanshan II 2005 Closed 2011 E NA Chemicals 28,198 1,000 5,000 6,000 23943 BOB 2005 Active (blank) G ME Finance & Insurance 57,875 57,672 0 57,672 24020 Five Star 2005 Closed 2007 G NA Wholesale and Retail Trade 8,000 0 0 0 24059 CDH China II 2005 Active (blank) G NA Collective Investment Vehicles 18,000 18,000 0 18,000 24095 Fang Xin SHMT 2005 Closed 2007 G NA Plastics & Rubber 28,838 0 7,200 7,200 24096 Fang Xin SZFX 2005 Closed 2007 G NA Plastics & Rubber 8,371 0 1,200 1,200 24097 Fang Xin SHPM 2005 Closed 2006 G NA Plastics & Rubber 5,000 0 0 0 24098 Fang Xin SHDX 2005 Closed 2007 G NA Plastics & Rubber 17,166 0 600 600 24104 Minsheng-Increas 2005 Closed 2008 E NA Finance & Insurance 2,800 2,794 0 2,794 Nonmetallic Mineral Product 24153 RAK China 2005 Active (blank) G NA Manufacturing 30,000 0 13,000 13,000 24202 Stora China 2005 Closed 2007 G NA Pulp & Paper 75,000 0 50,000 50,000 24506 Zhejiang Babei (blank) Closed 2011 E NA Textiles, Apparel & Leather 0 0 0 0 24848 Stora Enso GNGXI (blank) Active (blank) E NA Agriculture and Forestry 24,000 0 0 0 24899 SAC Loan (blank) Closed 2008 E NA Education Services 0 0 -3,000 -3,000 24900 SAC Equity (blank) Closed 2010 E NA Education Services 27,500 0 0 0 25330 Stora Enso-Suzho (blank) Active (blank) E NA Agriculture and Forestry 0 0 0 0 25721 Xinao Equity Inv (blank) Closed 2009 E NA Chemicals 0 0 0 0 26286 Dongyue Silicon (blank) Closed 2008 G NA Chemicals 25,900 0 0 0 26424 Jiuda Holding (blank) Closed 2009 E NA Oil, Gas and Mining 0 0 0 0 26476 Stora Enso Huata (blank) Active (blank) G NA Pulp & Paper 0 0 0 0 26490 Guangxi Fenglin (blank) Active (blank) E NA Industrial & Consumer Products 0 0 0 0 26793 Fenglin Interntl (blank) Closed 2010 E NA Industrial & Consumer Products 0 0 0 0 26795 Baise Fenglin (blank) Closed 2010 E NA Industrial & Consumer Products 0 0 0 0 27909 CHUEE I BOB RSF (blank) Active (blank) E ME Finance & Insurance 0 0 0 0 27910 CHUEE II IB RSF (blank) Active (blank) E ME Finance & Insurance 0 0 0 0 28485 CGCCD RSF (blank) Active (blank) E SE Finance & Insurance 0 0 0 0 30015 CWP Equity (blank) Active (blank) E NA Electric Power 0 0 0 0 Annexes CPSCR Review 43 Independent Evaluation Group 1st Project Greenfield Total Net CPS Project Project SME Project Net Net Project Name cmt closure / Existing Primary Sector Commit- period ID Status Type Size Equity Loans FY FY project ment Committed pre-FY06, but active during DY06-12 Total 4,291,876 469,090 536,780 1,005,870 FY06-10 22418 GDIH 2006 Active (blank) E NA Electric Power 50,090 0 50,111 50,111 23384 SAC 2006 Closed 2008 E SE Education Services 12,468 1,600 3,000 4,600 Nonmetallic Mineral Product 23891 Shanshui Group 2006 Active (blank) G NA Manufacturing 159,870 5,500 2,200 7,700 24052 United Family 2006 Active (blank) E SE Health Care 20,389 0 8,018 8,018 24067 Zhongda Hydro 2006 Active (blank) G NA Electric Power 128,698 0 21,923 21,923 Nonmetallic Mineral Product 24128 Anhui Conch 2006 Active (blank) E NA Manufacturing 318,536 0 80,120 80,120 24169 Xinao CTC 2007 Active (blank) G NA Chemicals 430,572 10,000 40,000 50,000 24188 Deqingyuan egg 2006 Closed (blank) E NA Agriculture and Forestry 12,300 2,818 0 2,818 24204 TBK China 2006 Active (blank) G NA Industrial & Consumer Products 10,000 0 2,000 2,000 Professional, Scientific and 24329 Chinasoft 2006 Closed (blank) G NA Technical Services 40,000 10,000 0 10,000 Professional, Scientific and 24350 VeriSilicon 2006 Active (blank) G NA Technical Services 13,500 1,000 0 1,000 24401 URCB 2006 Active (blank) G SE Finance & Insurance 11,292 11,223 0 11,223 24405 Renaissance 2006 Active (blank) G NA Finance & Insurance 19,769 7,258 0 7,258 Nonmetallic Mineral Product 24417 Shanshui Loan 2006 Active (blank) G NA Manufacturing 159,870 0 50,000 50,000 24425 Hyflux 2006 Closed 2008 G NA Utilities 114,634 0 0 0 24616 Launch Tech 2006 Closed (blank) E NA Industrial & Consumer Products 35,518 8,332 0 8,332 24631 CHUEE I IB 2006 Active (blank) E ME Finance & Insurance 32,891 0 24,955 24,955 Nonmetallic Mineral Product 24686 Anhui Conch Inv. 2006 Closed 2008 E NA Manufacturing 40,829 -2,791 0 -2,791 24778 Aier Eye 2007 Active (blank) G NA Health Care 29,825 0 8,112 8,112 24812 Fosun Pharma 2007 Active (blank) E NA Chemicals 104,000 0 40,560 40,560 24816 Capital Today 2006 Active (blank) G NA Collective Investment Vehicles 25,000 25,000 0 25,000 24825 RAMCO 2006 Closed (blank) G NA Finance & Insurance 250,000 32,579 0 32,579 24835 SBCVC 2006 Active (blank) G NA Collective Investment Vehicles 20,000 20,000 0 20,000 24907 Stora China-II 2006 Closed (blank) G NA Pulp & Paper 201,000 0 44,333 44,333 Nonmetallic Mineral Product 24942 Zhejiang Glass 2006 Active (blank) E NA Manufacturing 219,716 24,991 44,118 69,109 Professional, Scientific and 24965 Neophotonics 2006 Active (blank) G NA Technical Services 75,000 10,000 0 10,000 24966 Zhong An Credit 2008 Active (blank) E MI Finance & Insurance 6,800 0 2,500 2,500 25024 CDH Venture 2006 Active (blank) G NA Collective Investment Vehicles 20,000 20,000 0 20,000 Annexes CPSCR Review 44 Independent Evaluation Group 1st Project Greenfield Total Net CPS Project Project SME Project Net Net Project Name cmt closure / Existing Primary Sector Commit- period ID Status Type Size Equity Loans FY FY project ment 25046 Beijing Sound 2007 Active (blank) E NA Utilities 10,000 10,000 0 10,000 25099 Weigao 2007 Active (blank) G NA Chemicals 102,500 0 20,000 20,000 Professional, Scientific and 25107 HiSoft RI 2006 Closed (blank) E NA Technical Services 28,000 4,340 0 4,340 25168 ASIMCO Rights 2006 Closed (blank) E NA Industrial & Consumer Products 4,123 0 4,123 4,123 25211 Dongyue Group 2007 Active (blank) E NA Chemicals 227,067 15,733 25,000 40,733 25214 SinoSpring 2006 Closed 2008 E NA Utilities 100,500 0 0 0 25299 Fenglin HJ 2006 Closed (blank) E NA Industrial & Consumer Products 7,473 0 0 0 Professional, Scientific and 25336 GDS China 2007 Active (blank) G NA Technical Services 23,000 5,000 0 5,000 25364 DAC 2007 Active (blank) G NA Collective Investment Vehicles 30,000 30,000 0 30,000 25397 Century Sunshine 2007 Active (blank) G NA Agriculture and Forestry 39,857 0 15,210 15,210 25421 Cinda RJVC 2008 Closed (blank) G NA Finance & Insurance 5,700 0 0 0 Nonmetallic Mineral Product 25459 Tianrui Cement 2007 Active (blank) E NA Manufacturing 840,000 11,692 50,000 61,692 25473 NCCB SME Loan 2007 Active (blank) E SE Finance & Insurance 47,223 0 46,390 46,390 25511 BRCB 2008 Active (blank) G SE Finance & Insurance 331,128 32,345 0 32,345 25633 Asia Environment 2008 Active (blank) G NA Utilities 25,000 0 15,000 15,000 25662 UEEV 2008 Closed (blank) G NA Health Care 49,862 0 0 0 Nonmetallic Mineral Product 25665 China Glass 2007 Active (blank) G NA Manufacturing 15,000 11,312 0 11,312 25695 Chifeng MFI 2008 Active (blank) G MI Finance & Insurance 1,267 1,267 0 1,267 25745 NPL JV 2008 Active (blank) G NA Finance & Insurance 394,742 42,845 -1,455 41,391 25748 Nature Flooring 2008 Active (blank) G NA Industrial & Consumer Products 120,000 0 38,000 38,000 Professional, Scientific and 25803 CDV 2008 Active (blank) G NA Technical Services 36,000 11,000 0 11,000 25940 MC China 2008 Active (blank) G MI Finance & Insurance 7,151 1,059 0 1,059 26018 Suhua 2009 Active (blank) G NA Chemicals 175,000 0 0 0 Nonmetallic Mineral Product 26088 Shanshui III 2008 Active (blank) E NA Manufacturing 836,300 12,398 50,000 62,398 26090 Jiuda Salt 2008 Active (blank) E NA Oil, Gas and Mining 204,000 15,000 25,000 40,000 26096 GTFP Bk Beijing 2007 Active (blank) E NA Finance & Insurance 15,000 0 90,000 90,000 26101 UCB China 2008 Closed (blank) E SE Finance & Insurance 45,000 0 45,000 45,000 26108 FEEC China CBM 2008 Active (blank) G NA Oil, Gas and Mining 98,700 15,000 0 15,000 26133 UFH 2 2008 Active (blank) E NA Health Care 93,500 10,000 25,000 35,000 26239 BioVeda China II 2008 Active (blank) G NA Collective Investment Vehicles 15,000 10,000 0 10,000 26267 CHUEE I BOB 2007 Active (blank) E ME Finance & Insurance 16,948 0 17,066 17,066 Annexes CPSCR Review 45 Independent Evaluation Group 1st Project Greenfield Total Net CPS Project Project SME Project Net Net Project Name cmt closure / Existing Primary Sector Commit- period ID Status Type Size Equity Loans FY FY project ment 26288 CEF III 2009 Active (blank) G NA Collective Investment Vehicles 15,000 15,000 0 15,000 Professional, Scientific and 26291 HiSoft RI II 2008 Closed (blank) E NA Technical Services 3,500 3,500 0 3,500 26449 JFLC 2010 Active (blank) E ME Finance & Insurance 21,968 21,279 0 21,279 26486 CHUEE II IB old 2008 Active (blank) G SE Finance & Insurance -6,696 0 102,488 102,488 26586 Zhongda Hydro II 2009 Active (blank) G NA Electric Power 73,528 10,000 23,200 33,200 Nonmetallic Mineral Product 26632 Yaohua Glass 2009 Active (blank) G NA Manufacturing 531,000 25,000 50,000 75,000 26673 SBCVC RI 2008 Active (blank) E NA Collective Investment Vehicles 5,000 5,000 0 5,000 Nonmetallic Mineral Product 26750 Weihui Tianrui 2008 Closed (blank) E NA Manufacturing 74,422 0 0 0 Professional, Scientific and 26774 GDS China RI 2008 Active (blank) E NA Technical Services 1,674 0 0 0 26807 CHUEE II SPDB 2008 Active (blank) E SE Finance & Insurance 69,000 0 71,404 71,404 Nonmetallic Mineral Product 26826 China Glass II 2008 Active (blank) E NA Manufacturing 52,700 0 30,000 30,000 26982 Renshou VTB 2009 Active (blank) G MI Finance & Insurance 1,465 732 0 732 27041 Xinao Solar 2009 Closed (blank) G NA Industrial & Consumer Products 60,000 0 0 0 Professional, Scientific and 27190 Neophotonics RI 2008 Active (blank) E NA Technical Services 40,000 5,000 0 5,000 27266 GTFP URCB Hangzh 2008 Active (blank) E ME Finance & Insurance 5,000 0 756 756 Professional, Scientific and 27299 EDC China 2009 Active (blank) G NA Technical Services 20,000 20,000 0 20,000 27324 FEEC Rights 2008 Active (blank) E NA Oil, Gas and Mining 4,250 4,250 0 4,250 27377 CGCCD 2009 Active (blank) E SE Finance & Insurance 29,130 14,281 14,638 28,919 27445 Dazhou Koyo 2009 Active (blank) G NA Chemicals 162,000 13,000 20,000 33,000 27574 Harbin Bank VTB 2009 Active (blank) G MI Finance & Insurance 10,000 740 0 740 27874 Suntech 2009 Active (blank) G NA Industrial & Consumer Products 520,000 0 50,000 50,000 28057 GTFP Tianjin BRC 2009 Active (blank) E ME Finance & Insurance 1,000 0 36 36 28062 AEP 2009 Active (blank) G NA Collective Investment Vehicles 25,000 25,000 0 25,000 28064 GTFP Deyang CCB 2009 Active (blank) E ME Finance & Insurance 5,000 0 210 210 28135 DYCCB 2010 Active (blank) G SE Finance & Insurance 31,329 31,329 0 31,329 28184 Xiwang Sugar Hld 2010 Active (blank) E NA Food & Beverages 72,000 5,000 20,000 25,000 Professional, Scientific and 28214 Shuoren 2010 Active (blank) G NA Technical Services 13,000 3,000 0 3,000 28702 CFPA MFI 2010 Active (blank) G MI Finance & Insurance 5,770 5,770 0 5,770 28707 AWF 2010 Active (blank) G NA Collective Investment Vehicles 20,000 20,000 0 20,000 Annexes CPSCR Review 46 Independent Evaluation Group 1st Project Greenfield Total Net CPS Project Project SME Project Net Net Project Name cmt closure / Existing Primary Sector Commit- period ID Status Type Size Equity Loans FY FY project ment 28855 China Dairy Grp 2010 Active (blank) E NA Food & Beverages 26,000 0 11,000 11,000 28859 Epure BOT 2010 Active (blank) G ME Utilities 50,000 0 34,000 34,000 28865 China WindPower 2010 Active (blank) G ME Electric Power 258,663 10,000 45,000 55,000 28915 MC China RI I 2010 Active (blank) E MI Finance & Insurance 1,257 1,257 0 1,257 28975 Healthway 2010 Active (blank) G NA Health Care 10,000 10,000 0 10,000 29038 BRCB RI 2010 Active (blank) E SE Finance & Insurance 36,619 36,619 0 36,619 29059 URCB Restruct 2010 Active (blank) E SE Finance & Insurance 16,373 16,373 0 16,373 Professional, Scientific and 29097 Shuoren QE 2010 Active (blank) E NA Technical Services 5,000 0 5,000 5,000 29100 BOS RI III 2010 Closed (blank) E SE Finance & Insurance 38,380 37,999 0 37,999 29160 CGCCD RI 2010 Active (blank) E SE Finance & Insurance 18,000 17,964 0 17,964 29261 Universtar 2010 Active (blank) G NA Industrial & Consumer Products 180,000 20,000 0 20,000 Nonmetallic Mineral Product 29284 Yaohua II 2010 Active (blank) E NA Manufacturing 0 0 0 0 29348 IB RI 2010 Active (blank) E SE Finance & Insurance 21,391 21,327 0 21,327 29386 Shenzhen VTB 2010 Active (blank) G MI Finance & Insurance 4,249 2,930 0 2,930 Professional, Scientific and 29402 Neophotonics RI2 2010 Active (blank) E NA Technical Services 2,000 2,000 0 2,000 29808 Healthway Loan 2010 Active (blank) G NA Health Care 15,000 0 15,000 15,000 29910 Paedia Nutrition 2010 Active (blank) E NA Food & Beverages 4,000 0 0 0 FY06-10 Total 9,060,578 830,853 1,379,017 2,209,871 FY11-12 28569 ANCHENG 2011 Active (blank) G NA Finance & Insurance 37,201 37,201 0 37,201 28809 Beichuan VTB 2011 Active (blank) G MI Finance & Insurance 1,616 1,616 0 1,616 28916 MC China RI II 2011 Active (blank) E MI Finance & Insurance 2,121 2,121 0 2,121 29089 Muyuan Pig 2011 Active (blank) E NA Agriculture and Forestry 42,591 9,591 0 9,591 29318 Lattice Power 2011 Active (blank) G NA Industrial & Consumer Products 17,500 17,500 0 17,500 29366 CHUEE SME IB 2012 Active (blank) G ME Finance & Insurance 51,750 0 51,926 51,926 29599 Puhui Guarantee 2011 Active (blank) G MI Finance & Insurance 10,348 7,475 0 7,475 Professional, Scientific and 29845 Beijing Shenwu 2011 Active (blank) E ME Technical Services 22,143 0 22,760 22,760 29903 Q and M 2011 Active (blank) E NA Health Care 30,000 0 15,000 15,000 29998 Goldwind 2011 Active (blank) G NA Industrial & Consumer Products 75,000 75,000 0 75,000 30021 Hwagain 2011 Active (blank) G NA Pulp & Paper 233,028 15,279 0 15,279 30066 New China Life 2 2011 Active (blank) E NA Finance & Insurance 9,625 8,471 0 8,471 Professional, Scientific and 30190 Tianjin Haitai 2011 Active (blank) G NA Technical Services 10,000 9,000 0 9,000 Annexes CPSCR Review 47 Independent Evaluation Group 1st Project Greenfield Total Net CPS Project Project SME Project Net Net Project Name cmt closure / Existing Primary Sector Commit- period ID Status Type Size Equity Loans FY FY project ment Professional, Scientific and 30599 Microvast 2011 Active (blank) G NA Technical Services 25,000 25,000 0 25,000 30636 CEF IV 2011 Active (blank) G NA Collective Investment Vehicles 20,000 20,000 0 20,000 30638 Dazhou Koyo II 2011 Active (blank) E NA Chemicals 7,000 7,000 0 7,000 30675 ANCHENG Add-on 2011 Active (blank) E NA Finance & Insurance 12,174 16,434 0 16,434 30718 Epure BOT2 2011 Active (blank) G ME Utilities 68,600 0 36,000 36,000 30742 Stora GXI-B Loan 2011 Active (blank) E NA Agriculture and Forestry 127,556 0 0 0 30816 CHUEE SME BRCB 2011 Active (blank) G ME Finance & Insurance 30,434 0 30,867 30,867 30850 JFLC RI 2011 Active (blank) E ME Finance & Insurance 17,428 17,644 0 17,644 Professional, Scientific and 30884 GDS Rights Issue 2011 Active (blank) E NA Technical Services 714 714 0 714 30900 Healthway Rights 2011 Active (blank) E NA Health Care 814 814 0 814 31048 Nature Elements 2012 Active (blank) G NA Collective Investment Vehicles 25,000 25,000 0 25,000 31181 JY Organic 2012 Active (blank) E ME Agriculture and Forestry 20,000 8,000 0 8,000 31423 Universtar Right 2012 Active (blank) E NA Industrial & Consumer Products 1,063 1,063 0 1,063 FY11-12 Total 898,704 304,923 156,552 461,475 Grand Total 14,251,158 1,604,867 2,072,349 3,677,215 Source: IFC MIS as of December 2011. Note: The operations are grouped by their first commitment FY. Annexes CPSCR Review 48 Independent Evaluation Group Annex Table 9: List of IFC’s Advisory Services in China, FY06-FY12 List of IFC Advisory services operations approved in FY06-11 Total Funds Approval Project Start Total Project ID Project Name Primary Business Line End Date managed by FY Status Date Funding, US$ IFC, US$ 523295 China Utility-Based Energy Efficiency Finance Program FY07 Active Access To Finance Mar-06 Dec-12 10,195,320 10,195,320 North Andre Traceability and Farm Management 534665 Improvement Linkages Program FY07 Closed Sustainable Business Advisory Jul-06 Dec-09 682,544 722,544 536163 Yunnan Whitewater River Hydro Power Study FY07 Closed Sustainable Business Advisory Jul-05 Jun-06 100,000 100,000 The Development of a VET Framework for China - The Role 537924 of the Private Sector FY07 Closed Investment Climate Oct-05 Jun-08 228,000 228,000 538112 SFMF Reputex FY06 Closed Sustainable Business Advisory Jul-05 Jul-06 83,000 83,000 538700 SME Access to Finance FY06 Closed Access To Finance Aug-05 Jun-08 161,315 161,315 GDIH-AS-Corporate Social Responsibility Demonstration / 539145 Cumulative Risk Assessment FY08 Closed Sustainable Business Advisory Oct-08 Jun-10 300,757 425,757 PSD Study-Quality and Sustainability Performance of Private 539386 Enterprise FY06 Closed Access To Finance Nov-05 Dec-08 380,001 380,001 539483 SFMF CBA CHINA FY06 Closed Access To Finance Aug-05 Dec-06 171,379 184,779 539583 SRsp ChinaDevMark FY06 Closed Sustainable Business Advisory Sep-05 Jun-07 93,100 93,100 539924 Access to Business Credit - Secured Transactions -CHINA FY07 Closed Access To Finance Oct-05 Jun-09 1,222,930 1,222,930 540125 China Wind Advisory FY06 Active Sustainable Business Advisory Sep-05 Dec-10 190,000 190,000 540303 Sichuan Cluster Development FY06 Closed Investment Climate Feb-06 Dec-08 134,792 134,792 540704 Yunnan Whitewater River Hydro Power Study part II FY07 Closed Sustainable Business Advisory Nov-05 Apr-07 100,000 100,000 Sichuan Value Chain Analysis - CPDF/FIAS/SME Dept. joint 541484 project FY06 Closed Investment Climate Jan-06 Jul-07 310,260 310,260 543984 MOFCOM - China. IP-Support for lesser-developed regions. FY06 Active Investment Climate Dec-05 Dec-10 570,060 570,060 544224 Investee FI URCB TA FY06 Closed Access To Finance Jul-06 Jun-10 1,405,463 1,405,463 545084 CCBs Capacity Building FY06 Closed Access To Finance Jul-06 Dec-10 1,450,000 1,450,000 545504 Tourism Development in Sichuan: A Value Chain Approach FY06 Closed Investment Climate Apr-06 Dec-07 248,500 248,500 548525 China Microfinance Pilots FY07 Active Access To Finance Oct-06 Jun-13 1,045,997 1,045,997 Social and Environmental Standards in China's Information 548705 and Communications Technology (ICT) Sector FY07 Closed Sustainable Business Advisory Aug-06 Jun-07 127,500 127,500 550907 China Housing Finance Advisory Program FY07 Active Access To Finance May-07 Jun-11 547,523 547,523 551926 TA to NCCB Small Business Lending FY07 Active Access To Finance Apr-07 Dec-10 498,942 650,000 552007 China Subnatl DB FY07 Closed Investment Climate Dec-06 Sep-08 251,600 251,600 552285 LK: Changyu Grape Diseases Management Systems FY08 Active Sustainable Business Advisory Mar-08 Dec-10 375,037 375,037 552526 China Corporate Governance Project FY09 Active Sustainable Business Advisory Jul-08 Jun-11 1,262,384 1,282,384 554206 LK: Stora Enso Guangxi FY08 Closed Sustainable Business Advisory Sep-06 Sep-10 243,000 448,000 Study on Private Sector Financing and External Borrowing in 555067 China FY07 Closed Access To Finance Feb-07 Dec-09 110,000 110,000 555466 Accion Inner Mongolia Microfinance Company FY08 Active Access To Finance Jul-10 Dec-12 1,050,000 1,050,000 556666 Investee FI BRCB TA FY08 Active Access To Finance Oct-07 Jun-12 493,334 660,000 Annexes CPSCR Review 49 Independent Evaluation Group Total Funds Approval Project Start Total Project ID Project Name Primary Business Line End Date managed by FY Status Date Funding, US$ IFC, US$ 558826 TA to MC Nanchong FY08 Active Access To Finance Jun-08 Mar-11 1,030,000 1,030,000 560605 TA to Zhong an FY08 Closed Access To Finance Jan-08 Mar-11 360,000 710,000 561106 IF-China Personal Bankruptcy Law Project Phase I FY08 Closed Access To Finance Sep-07 Jun-09 220,000 220,000 Carbon Finance Aggregation through FIs - CHINA 564927 COMPONENT FY09 Active Access To Finance Mar-09 Jun-11 400,000 400,000 565612 Sichuan CCBs TA FY09 Active Access To Finance Nov-08 Jun-13 574,397 784,397 566267 Sichuan Recovery Investment Promotion Component FY09 Closed Investment Climate Nov-08 Jun-09 135,922 135,922 566427 Kiwi Sector Development Linkages Project FY09 Active Sustainable Business Advisory Oct-08 Jun-11 402,190 402,190 566467 New Hope Pig Traceability and China GAP Linkages Project FY09 Active Sustainable Business Advisory Oct-08 Jun-11 284,625 284,625 568087 Harbin Bank VTB Network FY10 Active Access To Finance Jan-10 Oct-12 809,194 809,194 570087 TA to Renshou VTB FY10 Active Access To Finance Jul-09 Nov-13 776,424 776,424 573007 TA to CFPA Microfinance Transformation FY10 Active Access To Finance Aug-09 Dec-14 1,050,000 1,050,000 579607 Beichuan VTB TA FY11 Active Access To Finance Oct-10 Dec-14 900,000 1,000,000 Grand Total 30,975,490 32,356,614 Source: IFC Advisory services database, April 2011. List of IFC Advisory services operations that started pre-FY06, but active during FY06-11 Total Funds Approval Project Start Total Project ID Project Name Primary Business Line End Date managed by FY Status Date Funding, US$ IFC, US$ 520073 Establishment of NCSSF Internal Risk Management System FY05 Closed Access To Finance Oct-02 Dec-05 560,000 720,000 531762 Sichuan Environmental Compliance Project FY05 Closed Sustainable Business Advisory Jun-05 Jul-07 190,047 197,221 China-Fenglin Inter Study to Define Business Practices in 532387 Wood Industry FY05 Closed Sustainable Business Advisory Apr-05 Oct-05 214,000 214,000 533523 WWF/Minshan Reserve FY05 Closed Sustainable Business Advisory Jan-05 Dec-07 21,667 21,667 534443 Consulting Development Program FY05 Closed Sustainable Business Advisory Nov-05 Jun-06 76,220 80,120 Grand Total 1,061,934 1,233,008 507180 Management Development Program FY05 Closed Sustainable Business Advisory Nov-01 Jun-10 2,696,308 2,759,199 507803 CPDF: Corporate Governance - General FY05 Closed Sustainable Business Advisory Mar-02 Jun-08 990,021 1,008,926 Chengdu City Commercial Bank Asset & Liability 520557 Management /IAS Audit FY05 Closed Access To Finance Jan-03 Jul-08 232,573 244,655 521645 Credit reporting system Development in China FY07 Active Access To Finance Jul-03 Jun-11 280,000 280,000 Comparative Study of the Development of the IT Industry in 521898 China and India- Manufacturing or Service FY06 Closed Investment Climate Aug-03 Dec-08 325,000 325,000 521956 Capacity Building of SIPB FY05 Closed Investment Climate Sep-03 Jun-08 285,000 285,000 521957 Secured Transactions Reform FY05 Active Access To Finance Jan-04 Jun-11 1,096,834 1,096,834 Strengthening of Lotus Corporate Governance and Retail and 522549 SME Finance FY06 Closed Access To Finance Mar-04 Dec-08 139,141 139,141 Annexes CPSCR Review 50 Independent Evaluation Group Total Funds Approval Project Start Total Project ID Project Name Primary Business Line End Date managed by FY Status Date Funding, US$ IFC, US$ Technical Assistance Programme for Leshan City 522590 Commercial Bank FY05 Closed Access To Finance Jan-04 Dec-09 250,002 264,420 Minsheng Shipping Company: Assist. in Mkt Study/Business 523043 Planning and Capacity Bldg. in Fin'l Mgmnt. FY07 Closed Sustainable Business Advisory Apr-04 Jun-06 189,000 199,000 523129 TA Non-wood Pulp and Paper Industry Development FY06 Closed Sustainable Business Advisory Aug-04 Dec-08 1,152,000 1,152,000 523321 Chengdu CGC Technical Assistance II FY05 Active Access To Finance Feb-05 Jun-11 240,167 360,000 523558 CT I MBA Polymers FY08 Active Sustainable Business Advisory Dec-04 Jun-11 164,077 164,077 523658 Credit Analysis Workbook FY05 Closed Access To Finance Jan-04 Jun-09 117,134 117,134 Public-Private Partnerships 530044 Market Survey of the Private Higher Education Sector FY07 Closed Transaction Advisory Aug-02 Jun-08 278,000 278,000 530723 Market and Structural Analysis of the Cement Sector in China FY07 Closed Investment Climate Aug-04 Jun-06 150,000 150,000 531761 Linkages Project for Sichuan & Yunnan Milk Farmers FY06 Closed Sustainable Business Advisory May-04 Jun-09 293,400 293,400 532420 Zhejiang and Hangzhou Credit Cooperative Unions FY07 Closed Access To Finance Nov-04 Feb-05 59,999 59,999 533464 Leasing - China FY05 Closed Access To Finance Nov-04 Jun-11 608,768 608,768 Market Study of Power Plants Commercial Financing in Public-Private Partnerships 536225 China FY06 Closed Transaction Advisory Apr-05 May-06 175,000 175,000 536265 Yunnan Whitewater River Hydro Power Study 2 FY06 Closed Sustainable Business Advisory May-05 Jun-08 100,000 100,000 Public-Private Partnerships 537383 CCF China H&S FY06 Closed Transaction Advisory Jun-05 Oct-05 130,803 135,803 537923 Design and Rollout of a Nursing Training Program FY07 Closed Sustainable Business Advisory Jun-05 Jun-08 100,000 100,000 Grand Total 10,053,227 10,296,356 Source: IFC Advisory services database, April 2011. Annexes CPSCR Review 51 Independent Evaluation Group Annex Table 10: Total Net Disbursements of Official Development Assistance and Official Aid, 2006- 2010, (in US$ million) Development Partners 2006 2007 2008 2009 2010 Bilaterals Australia 34.55 46.81 32.11 29.53 32.27 Austria 10.97 18.07 20.48 12.93 17.18 Belgium -2.55 -3.84 -1.52 2.05 -3.38 Canada 29.6 32.9 54.34 11.05 9.02 Denmark 5.48 -2.55 0.35 14.73 0.75 Finland 7.42 9.51 9.59 7.15 5.61 France 142.8 132.3 207.51 364.35 316.69 Germany 244.85 289.28 411.87 340.88 321.5 Greece 0.33 0.51 7.72 0.79 0.58 Ireland 0.79 0.52 1.83 0.12 0.16 Italy -23.29 42.13 -16.74 -24.33 -26.71 Japan 561.08 435.66 278.25 141.96 192.66 Korea 10.15 6.31 15.69 0.63 3.09 Luxembourg 0.86 1.06 1.84 0.62 0.9 Netherlands 30.51 24.81 16.71 5.28 3.95 New Zealand 1.7 1.41 1.99 1.18 1.5 Norway 14.37 16.97 24.52 21.67 22.55 Portugal 0.13 0.15 0.79 0.49 0.12 Spain 21.53 67.45 43 45.78 1.44 Sweden 11.88 10.57 14.79 7.31 6.94 Switzerland 1.2 2.99 3.38 3.89 8.08 United Kingdom 52.28 162.43 174.9 116 86.72 United States 18.87 40.8 65.22 52.88 86.46 DAC Countries, Total 1175.51 1336.25 1368.62 1156.94 702.76 Cyprus 0.02 0.07 0.18 0.04 0.03 Czech Republic 0.34 0.21 0.41 0.24 0.16 Hungary .. 0.25 0.38 1.86 0.78 Israel 0.87 1.37 2.87 1.02 0.89 Kuwait 45.77 -5.71 -6.12 -11.35 3.21 Lithuania .. 0.02 0.08 .. 0.01 Poland 0.51 67.21 18.56 31.16 45.23 Romania .. .. 0.83 .. 0.06 Slovak Republic .. .. 1.44 0.09 .. Slovenia .. .. 0.44 0.07 0.03 Thailand 0.56 0.36 0.27 0.22 0.37 Turkey 1.63 1.84 3.55 1.92 1.83 United Arab Emirates .. 1.1 55.72 0 0.14 Non-DAC Countries, Total 49.7 66.72 78.61 25.27 52.74 Multilaterals AsDB Special Funds 3.73 4.3 12.19 12.59 .. EU Institutions 42.07 56 59.62 42.89 42.59 GEF 29.87 70.17 77.46 39.95 33.97 Global Fund 65.56 83.96 85.69 122.59 111.95 IAEA 1.02 1.15 1.27 0.95 1.54 IDA -208.22 -261.28 -299.83 -329.76 349.62 IFAD 14.67 26.79 11.39 15.72 13.71 Montreal Protocol 45.72 64.74 52.38 18.13 13.48 Nordic Dev.Fund -0.11 -0.11 -0.16 -0.15 -0.15 UNAIDS 0.46 1.93 1.55 0.85 1.35 UNDP 8.46 9.82 7.74 7.68 6.26 UNFPA 3.65 4.14 6.5 3.57 5.53 UNHCR 0.26 2.24 2.35 1.71 1.09 Annexes CPSCR Review 52 Independent Evaluation Group Development Partners 2006 2007 2008 2009 2010 UNICEF 11.14 13.33 11.96 10.54 11 UNTA 4.38 7.79 2.17 .. .. Multilateral Agencies, Total 22.66 84.97 32.28 -52.74 -107.3 All Development Partners, Total 1247.87 1487.94 1479.51 1129.47 648.2 Source: OECD DAC Online database, Table 2a. Destination of Official Development Assistance and Official Aid - Disbursements, as of 03/05/2012. Annexes CPSCR Review 53 Independent Evaluation Group Annex Table 11: Economic and Social Indicators for China and Comparators, 2006- 2010 China China India Brazil Russia Thailand Indonesia EAP World Series Name 2006 2007 2008 2009 2010 Average 2006-2010 Growth and Inflation GDP growth (annual %) 12.7 14.2 9.6 9.2 10.4 11.2 8.4 4.4 3.6 3.6 5.7 3.8 2.3 GDP per capita growth (annual %) 12.1 13.6 9.0 8.6 9.8 10.6 6.9 3.4 3.8 2.9 4.6 3.1 1.1 GNI per capita, PPP (current international $) 4761.3 5568.2 6203.7 6863.2 7598.8 6199.0 3065.2 10173.5 18160.7 7568.0 3710.0 8546.1 10510.4 GNI, Atlas method (current US mil. $) 2,669,911.6 3,262,372.4 4,030,685.3 4,822,913.4 5,720,811.5 4,101,338.8 1,251,387.6 1,377,851.9 1,201,734.1 0,239,581.1 0,451,288,7 13,074,699.7 56,721,244.9 Inflation, consumer prices (annual %) 1.5 4.8 5.9 -0.7 3.3 2.9 8.7 4.7 10.3 3.0 7.8 Composition of GDP (%) Agriculture, value added (% of GDP) 11.1 10.8 10.7 10.3 10.1 10.6 18.2 5.8 4.4 11.4 14.4 3.7 2.9 Industry, value added (% of GDP) 47.9 47.3 47.4 46.2 46.8 47.1 27.9 27.3 36.0 44.2 47.3 32.2 27.0 Services, etc., value added (% of GDP) 40.9 41.9 41.8 43.4 43.1 42.2 54.0 66.9 59.6 44.4 38.3 64.1 70.1 Gross fixed capital formation (% of GDP) 40.7 39.1 40.8 46.0 45.4 42.4 31.3 17.7 21.1 26.2 28.0 25.8 20.7 Gross domestic savings (% of GDP) 50.7 50.5 51.8 52.7 51.7 51.5 31.8 19.0 31.8 32.7 31.3 29.0 21.0 External Accounts Exports of goods and services (% of GDP) 39.1 38.4 35.0 26.7 29.6 33.8 21.3 12.7 30.7 72.6 27.8 32.8 27.9 Imports of goods and services (% of GDP) 31.4 29.6 27.3 22.3 25.7 27.3 25.5 12.0 21.4 66.2 24.8 30.1 28.0 Current account balance (% of GDP) 8.6 10.1 9.1 5.2 5.2 7.6 -1.8 -0.8 6.1 4.2 1.6 .. .. External debt (% of GDP) 11.8 10.6 8.3 8.6 9.3 9.7 17.4 17.4 27.6 21.5 31.1 .. .. Total debt service (% of GNI) 1.0 0.9 0.7 0.8 1.1 0.9 2.0 3.7 4.3 6.4 5.5 .. .. Total reserves in months of imports 14.2 16.7 17.9 24.2 21.4 18.9 9.1 10.2 14.1 7.2 5.3 14.7 12.3 Fiscal Accounts /1 Revenue (% of GDP) 18.2 19.3 19.5 19.8 21.1 19.9 10.4 23.62 21.3 17.8 17.1 .. .. Total Expenditure (% of GDP) 18.9 18.7 19.9 22 22.7 20.8 15.0 25.88 19.9 20.1 18.0 .. .. Overall Balance After Grants (% of GDP) -0.7 0.6 -0.4 -2.2 -1.6 -0.9 -4.6 -2.72 1.4 -2.3 -0.9 .. .. Public Sector Gross Debt (% of GDP) 16.2 19.6 17 17.7 17 17.5 76.1 57.425 8.1 40.9 28.2 .. .. Social Indicators Health Life expectancy at birth, total (years) 72.4 72.6 72.8 73.1 .. 72.7 64.2 72.3 67.6 73.5 67.9 72.7 69.0 Immunization, DPT (% of children ages 12-23 months) 93.0 93.0 97.0 99.0 99.0 96.2 70.4 97.6 98.0 98.6 79.0 92.0 83.1 Improved sanitation facilities (% of population with access) .. .. 55.0 .. .. 55.0 31.0 80.0 87.0 96.0 52.0 62.9 60.6 Improved water source (% of population with access) .. .. 89.0 .. .. 89.0 88.0 97.0 96.0 98.0 80.0 89.0 86.8 Mortality rate, infant (per 1,000 live births) 19.9 18.9 17.8 16.8 15.8 17.8 50.8 19.6 10.6 12.0 29.2 20.6 43.0 Population Population, total (in million) 1,311.0 1,317.9 1,324.6 1,331.4 1,338.3 1,324.6 1,140.2 191.5 142.0 68.2. 234.9 2,172.8 6,686.9 Population growth (annual %) 0.6 0.5 0.5 0.5 0.5 1.3 0.9 -0.2 0.7 1.1 0.7 1.2 Urban population (% of total) 41.3 42.2 43.1 44.0 44.9 43.1 29.5 85.6 72.8 33.3 51.5 47.2 50.0 Education School enrollment, preprimary (% gross) 39.6 42.3 45.2 49.0 .. 44.0 46.9 65.4 89.3 91.2 43.5 46.3 46.0 School enrollment, primary (% gross) 110.0 110.2 110.9 111.1 .. 110.5 114.8 127.4 97.3 93.8 115.3 110.0 106.2 School enrollment, secondary (% gross) 73.2 76.1 78.5 80.1 .. 77.0 57.3 101.3 85.6 75.0 70.2 75.6 66.9 1/ IMF. China June 2011 Article IV Consultations and The Economist Intelligence Unit database. Source: WB World Development Indicators for all indicators excluding Fiscal Accounts data. Annexes CPSCR Review 54 Independent Evaluation Group Annex Table 12: China - Millennium Development Goals 1990 1995 2000 2009 Goal 1: Eradicate extreme poverty and hunger Employment to population ratio, 15+, total (%) 75 75 74 71 Employment to population ratio, ages 15-24, total (%) 71 68 61 55 Income share held by lowest 20% .. .. .. .. Malnutrition prevalence, weight for age (% of children under 5) .. .. 6.8 .. Poverty gap at $1.25 a day (PPP) (%) 21 11 11 .. Poverty headcount ratio at $1.25 a day (PPP) (% of population) 60 36 36 .. Prevalence of undernourishment (% of population) 18 12 10 10 Vulnerable employment, total (% of total employment) .. .. .. .. Goal 2: Achieve universal primary education Literacy rate, youth female (% of females ages 15-24) .. .. 99 99 Literacy rate, youth male (% of males ages 15-24) .. .. 99 99 Persistence to last grade of primary, total (% of cohort) .. .. .. 100 Primary completion rate, total (% of relevant age group) 104 98 .. 96 Total enrollment, primary (% net) 97 92 .. .. Goal 3: Promote gender equality and empower women Proportion of seats held by women in national parliaments (%) 21 21 22 21 Ratio of female to male primary enrollment (%) 90 96 103 104 Ratio of female to male secondary enrollment (%) 74 86 95 105 Ratio of female to male tertiary enrollment (%) .. .. .. 104 Share of women employed in the nonagricultural sector (% of total nonagri. Empl’t) 37.8 38.7 39.1 .. Goal 4: Reduce child mortality Immunization, measles (% of children ages 12-23 months) 98 80 84 94 Mortality rate, infant (per 1,000 live births) 37 36 30 17 Mortality rate, under-5 (per 1,000) 46 45 36 19 Goal 5: Improve maternal health Adolescent fertility rate (births per 1,000 women ages 15-19) .. .. 10 10 Births attended by skilled health staff (% of total) 50 .. 97 99 Contraceptive prevalence (% of women ages 15-49) 85 90 87 .. Maternal mortality ratio (modeled estimate, per 100,000 live births) 110 82 60 38 Pregnant women receiving prenatal care (%) .. .. 90 91 Unmet need for contraception (% of married women ages 15-49) .. .. .. .. Goal 6: Combat HIV/AIDS, malaria, and other diseases Children with fever receiving antimalarial drugs (% of children under age 5 with fever) .. .. .. .. Condom use, population ages 15-24, female (% of females ages 15-24) .. .. .. .. Condom use, population ages 15-24, male (% of males ages 15-24) .. .. .. .. Incidence of tuberculosis (per 100,000 people) 120 110 110 97 Prevalence of HIV, female (% ages 15-24) .. .. .. 0.1 Prevalence of HIV, male (% ages 15-24) .. .. .. 0 Prevalence of HIV, total (% of population ages 15-49) .. .. 0.1 0.1 Tuberculosis case detection rate (all forms) 28 38 34 75 Goal 7: Ensure environmental sustainability CO2 emissions (kg per PPP $ of GDP) 2.8 1.9 1.2 0.9 CO2 emissions (metric tons per capita) 2.2 2.8 2.7 5.0 Forest area (% of land area) 17 18 19 22 Improved sanitation facilities (% of population with access) 41 45 49 55 Improved water source (% of population with access) 67 74 80 89 Marine protected areas (% of total surface area) .. .. .. 0 Terrestrial protected areas (% of total surface area) .. .. .. 15.1 Goal 8: Develop a global partnership for development Debt service (PPG and IMF only, % of exports, excluding workers' remittances) 11 9 5 1 Internet users (per 100 people) 0.0 0.0 1.8 22.5 Mobile cellular subscriptions (per 100 people) 0 0 7 48 Net ODA received per capita (current US$) 2 3 1 1 Annexes CASCR Review 55 Independent Evaluation Group 1990 1995 2000 2009 Telephone lines (per 100 people) 1 3 11 26 Other Fertility rate, total (births per woman) 2.3 1.9 1.8 1.8 GNI per capita, Atlas method (current US$) 330 530 930 3,650 GNI, Atlas method (current US$) (billions) 370.0 643.6 1,168.9 4,856.1 Gross capital formation (% of GDP) 36.1 41.9 35.1 47.7 Life expectancy at birth, total (years) 68 70 71 73 Literacy rate, adult total (% of people ages 15 and above) 78 .. 91 94 Population, total (millions) 1,135.2 1,204.9 1,262.6 1,331.5 Trade (% of GDP) 29.2 38.8 44.2 49.1 Source: World Development Indicators database as of 3/5/2012.