The World Bank Implementation Status & Results Report Inclusive Housing Finance Program (P150993) Inclusive Housing Finance Program (P150993) MIDDLE EAST AND NORTH AFRICA | Egypt, Arab Republic of | Finance, Competitiveness and Innovation Global Practice | Requesting Unit: MNC03 | Responsible Unit: GFCMW IBRD/IDA | Program-for-Results Financing | FY 2015 | Team Leader(s): Laurent Gonnet, Jean Michel Lobet, Laila Ashraf AbdelKader Ahmed Seq No: 6 | ARCHIVED on 24-Dec-2018 | ISR33659 | Created by: Laurent Gonnet on 30-Jul-2018 | Modified by: Jean Michel Lobet on 18-Dec-2018 Program Development Objectives Program Development Objective (from Program Appraisal Document) The objective of the Program is to improve the affordability of formal housing for low-income households in the Arab Republic of Egypt and to strengthen the Social Housing Fund's capacity to design policies and coordinate programs in the social housing sector. Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Implementation Status and Key Decisions The highlights of the implementation support missions held in July and August 2018 are as follows: Progress towards achievement of PDO and overall implementation progress remain moderately satisfactory; however, some obstacles ahead can potentially derail the effective implementation of the project. Three years after effectiveness, the PforR is contributing to improving the affordability of formal housing for low-income households and to the strengthening of the Social Housing Fund's capacity to design policies and coordinate programs in the social housing sector, which are the Project Development Objectives. All institutional capacity indicators (PDO, intermediate and DLI) have been met. As a result, the project has disbursed well, and disbursement rate has reached 52%. Thanks to this increased capacity, the Social Housing and Mortgage Finance Fund (formerly Social Housing Finance) has been able to deliver close to 180,500 subsidies since it started operations. However, there are a few key issues that can potentially hamper the effective implementation of the project. First, the 20 billion EGP CBE line of credit that feeds the whole social housing subsidy system is about to expire at the end of January 2019. Second, a couple of components, key for the effective delivery of housing subsidies, are lagging behind namely the rental component (DLI 6) and the participation of the private sector in developing affordable housing (DLI 8). The World Bank team jointly with the government of Egypt will work during the following months to address these issues to ensure continued effective project implementation. Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P150993 IBRD-84980 Effective USD 500.00 500.00 0.00 258.06 241.94 52% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P150993 IBRD-84980 Effective 05-May-2015 10-Jun-2015 11-Nov-2015 30-Jun-2020 30-Jun-2020 12/24/2018 Page 1 of 14 The World Bank Implementation Status & Results Report Inclusive Housing Finance Program (P150993) Program Action Plan Multi-institutional governance structure established and functioning to facilitate coordination across Government Action Description entities (Advisory Committee) Responsibility Recurrent Frequency Due Date DLI# Status Client No 30-Jun-2015 Completed Comments Establishment and functioning of a housing monitoring and evaluation system and an M&E unit within SHF, and the Action Description preparation of the Multi-Year Plan and Annual Targets informed by the M&E system Responsibility Recurrent Frequency Due Date DLI# Status Yes Establishing a housing M&E system functioning and Client Yearly Completed informing the Multi- Year Plan and Annual Targets Comments Establishment by SHF of a functioning mechanism to monitor occupancy and vacancy of housing units by households Action Description receiving demand–side housing subsidy Responsibility Recurrent Frequency Due Date DLI# Status No Establishment and functioning of an Client 30-Jun-2016 accountability and Completed transparency mechanism Comments Action Description Full staffing of SHF based on agreed organizational structure and staff skills Responsibility Recurrent Frequency Due Date DLI# Status Client No 31-Jan-2016 Completed Comments Action Description Integrate housing location criteria and requirement to collect physical coordinates into housing program guidelines 12/24/2018 Page 2 of 14 The World Bank Implementation Status & Results Report Inclusive Housing Finance Program (P150993) Responsibility Recurrent Frequency Due Date DLI# Status Client No 30-Jun-2017 Completed Comments Action Description Monitoring and enforcement of location criteria for housing programs Responsibility Recurrent Frequency Due Date DLI# Status Client No 30-Jun-2016 Completed Comments Action Description The annual audited financial statements of the Program are issued on a timely basis and made public. Responsibility Recurrent Frequency Due Date DLI# Status Client Yes Yearly Completed Comments The SHF needs to establish robust integrated grievance redress mechanism and link it to the local level grievance Action Description redress system. SHF will also need to design and implement an improved mechanism for disseminating information. Responsibility Recurrent Frequency Due Date DLI# Status Both No 30-Jun-2016 Completed Comments Provide incentives for energy savings among Program beneficiaries through setting targeted energy consumption Action Description rates and awareness leaflets about the best practices for energy saving. Households achieving the targets are subject to incentives. Responsibility Recurrent Frequency Due Date DLI# Status Both Yes CONTINUOUS Delayed Comments Action Description Establishment of unified beneficiary database Responsibility Recurrent Frequency Due Date DLI# Status Client No 30-Jun-2016 Completed 12/24/2018 Page 3 of 14 The World Bank Implementation Status & Results Report Inclusive Housing Finance Program (P150993) Comments The operational and financial management arrangements for the rental subsidy should be laid out in regulation and Action Description detailed in a Procedures Manual, consistent with GSF’s Manual when applicable. Responsibility Recurrent Frequency Due Date DLI# Status Client No 30-Jun-2016 Delayed Comments SHF programs should be integrated with the State budget, using the national budget classifications and chart of Action Description accounts. Responsibility Recurrent Frequency Due Date DLI# Status Client No 01-Jan-2016 Completed Comments For the new rental subsidy programs, beneficiary enrollment, monitoring, and payment databases should be integrated Action Description in the program’s management information system (MIS) Responsibility Recurrent Frequency Due Date DLI# Status Client No 30-Jun-2016 Delayed Comments Establishment and operation of an internal audit function within SHF providing assurance service for the ownership Action Description and rental programs affiliated with the SHF. Responsibility Recurrent Frequency Due Date DLI# Status Client No 31-Dec-2016 Completed Comments The SHF and its sub-programs should be subject to periodic and timely reporting on budget execution, using the Action Description GFMIS or an accounting system that can seamlessly feed information into the GFMIS. The financial reports should be publicly available. Responsibility Recurrent Frequency Due Date DLI# Status Client No 30-Jun-2016 Delayed Comments 12/24/2018 Page 4 of 14 The World Bank Implementation Status & Results Report Inclusive Housing Finance Program (P150993) Raise beneficiaries’ awareness about waste management through distributing leaflets that explain the importance of Action Description waste management at the household level. Responsibility Recurrent Frequency Due Date DLI# Status Client Yes CONTINUOUS Delayed Comments Ensure that beneficiaries use safe buildings through Including building validity certificate among required application Action Description documents Responsibility Recurrent Frequency Due Date DLI# Status Client Yes CONTINUOUS Delayed Comments Guidelines and training provided to SHF staff and other stakeholders about addressing occupational safety related to Action Description construction activities and handling of building chemicals and construction wastes Responsibility Recurrent Frequency Due Date DLI# Status Both No 31-Jan-2016 Delayed Comments Deliver training and capacity building to the SHF and other relevant stakeholders on issues related to land acquisition, Action Description involuntary resettlement Responsibility Recurrent Frequency Due Date DLI# Status Both No 31-Jan-2016 Delayed Comments Strengthening the institutional Setup through developing comprehensive ToRs for the social team to be hired, and Action Description hiring social officers Responsibility Recurrent Frequency Due Date DLI# Status Both No 31-Jan-2016 Delayed Comments 12/24/2018 Page 5 of 14 The World Bank Implementation Status & Results Report Inclusive Housing Finance Program (P150993) Strengthening the institutional capacity through developing and delivering training packages to the relevant teams, and Action Description sharing best practices and similar successful global experiences Responsibility Recurrent Frequency Due Date DLI# Status Both No 31-Mar-2016 Delayed Comments Action Description Designing and implementing context sensitive information sharing and disclosure mechanisms Responsibility Recurrent Frequency Due Date DLI# Status Both No 31-Mar-2016 Delayed Comments Action Description Designing and implementing consultation, communication and reaching out plans Responsibility Recurrent Frequency Due Date DLI# Status Both No 31-Mar-2016 Completed Comments Action Description Establishing robust integrated grievance redress mechanism and link it to the local level grievance redress system Responsibility Recurrent Frequency Due Date DLI# Status Both No 31-Mar-2016 Completed Comments Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance -- Substantial Substantial Macroeconomic -- Substantial Substantial Sector Strategies and Policies -- Substantial Substantial Technical Design of Project or Program -- Substantial Substantial Institutional Capacity for Implementation and Sustainability -- High High 12/24/2018 Page 6 of 14 The World Bank Implementation Status & Results Report Inclusive Housing Finance Program (P150993) Fiduciary -- Substantial Substantial Environment and Social -- Low Low Stakeholders -- Substantial Substantial Other -- -- -- Overall -- Substantial Substantial Results PDO Indicators by Objectives / Outcomes PDO IN00627626 ►Number of targeted households accessing ownership and rental housing units with support from the Program (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 115,817.00 180,463.00 830,000.00 Date 01-Apr-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627627 female-headed households as a percentage of benefeciaries (Percentage, Custom Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 16.60 18.70 24.00 IN00627628 ►Percentage of Program beneficiaries in bottom 20% of the income distribution (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 40.00 40.00 50.00 Date 01-Apr-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627629 ►Percentage of income spent on housing costs by Program beneficiaries (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 37.50 37.50 30.00 Date 01-Apr-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627630 ►Establishment of a housing M&E system functioning and informing the Multi-Year Plan and Annual Targets (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target 12/24/2018 Page 7 of 14 The World Bank Implementation Status & Results Report Inclusive Housing Finance Program (P150993) Value No Yes Yes Yes Date 01-Apr-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments Intermediate Results Indicators by Results Areas Strengthening Governance and Institutional Set-up of Housing Sector IN00627631 ►Completed executive by-laws, organizational structure, financing model, fiduciary arrangements, operating systems for the SHF (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627640 ►SHF fully staffed as per organizational plan (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627643 ►Internal audit function providing assurance services for the ownership and rental programs affiliated with the SHF established and operating (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627648 ►Adequate staffing of social officers as per organizational plan (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627650 ►Number of capacity building and training workshops conducted for the hired social workers at the Central and Governorate level. (Number, Custom) 12/24/2018 Page 8 of 14 The World Bank Implementation Status & Results Report Inclusive Housing Finance Program (P150993) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 15.00 21.00 27.00 Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments Enhancing Transparency and Accountability of Social Housing Programs IN00627635 ►Mechanism to monitor occupancy of housing post-subsidy established and functioning as per DLI definition (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627639 ►Percentage of rental housing units occupied by targeted beneficiaries at least 1 year after lease (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 100.00 100.00 75.00 Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627641 ►Percentage of housing units occupied by low-income residents after at least 1 year (AMP) (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 100.00 100.00 85.00 Date 10-Aug-2015 29-Apr-2018 29-Apr-2018 30-Jun-2020 Comments IN00627646 ►Establish a unified social programs and beneficiary databases (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627649 ►Establish an accountability and transparency mechanism established and functioning as per DLI definition (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target 12/24/2018 Page 9 of 14 The World Bank Implementation Status & Results Report Inclusive Housing Finance Program (P150993) Value No Yes Yes Yes Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627651 ►Average time required to resolve complaints in AMP (days) (Days, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 60.00 3.00 30.00 20.00 Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627652 ►Percentage of resolved complaints received by SHF and Governorate housing offices (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 92.00 92.00 90.00 Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627653 ►Annual published reports on complaints and how issues were resolved, including resolution rates (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments Improving Access to Affordable Housing IN00627634 ►Number of households receiving demand side housing subsidies (AMP) for new units (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 115,817.00 180,463.00 725,000.00 Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627638 ►Number of households participating in rental subsidy programs (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1,578.00 1,578.00 105,000.00 12/24/2018 Page 10 of 14 The World Bank Implementation Status & Results Report Inclusive Housing Finance Program (P150993) Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627642 ►Number of previously vacant units occupied 1 year after inclusion into the Program (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 91,514.00 91,514.00 30,000.00 Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments Promoting Well Located Social Housing IN00627633 ►Percent of demand-side subsidies supporting the purchase or rental of housing units within a 60 minute travel time to an employment center (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 100.00 100.00 50.00 Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627637 ►Percent of demand-side subsidies supporting the purchase or rental of housing units within a 45 minute travel time to an employment center (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 100.00 100.00 50.00 Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627644 ►Percent of demand-side subsidies supporting the purchase or rental of housing units within a 30 minute travel time to an employment center (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 100.00 100.00 15.00 Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627647 ►Percentage of land made available for SHF developments that complies with location and service criteria stated in Law (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 100.00 100.00 100.00 Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 12/24/2018 Page 11 of 14 The World Bank Implementation Status & Results Report Inclusive Housing Finance Program (P150993) Comments Promoting Private Sector Participation in Low-Income Housing IN00627632 ►Number of demand-side subsidies supporting the purchase or rental of housing units developed by the private sector (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1,814.00 1,945.00 250,000.00 Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627636 ►PPP guidelines publicly disseminated (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments IN00627645 ►%of demand side subsidy supporting the purchase or rental of housing units developed by private sec (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1.50 1.50 43.00 Date 10-Aug-2015 29-Apr-2018 28-Sep-2018 30-Jun-2020 Comments Disbursement Linked Indicators DLI_IND_TABLE ►DLI 1 Establishment and operation of an internal audit function within SHF providing assurance service for the ownership and rental programs affiliated with the SHF (Process, 25.00, 60%) Baseline Actual (Previous) Actual (Current) 2020 Value No Yes Yes Yes Date 01-Apr-2014 30-Jun-2017 28-Sep-2018 -- Comments ►DLI 2 Establishing a housing M&E system functioning and informing the Multi-Year Plan and Annual Targets (Process, 25.00, 20%) Baseline Actual (Previous) Actual (Current) 2020 12/24/2018 Page 12 of 14 The World Bank Implementation Status & Results Report Inclusive Housing Finance Program (P150993) Value No Yes Yes Yes Date 01-Apr-2014 30-Jun-2017 28-Sep-2018 -- Comments ►DLI 3 Establishment and functioning of an accountability and transparency mechanism (Process, 50.00, 40%) Baseline Actual (Previous) Actual (Current) 2020 Value No Yes Yes Yes Date 01-Apr-2014 30-Jun-2017 28-Sep-2018 -- Comments ►DLI 4 Establishment by SHF of a functioning mechanism to monitor occupancy and vacancy of housing units by households receiving demand–side housing subsidy (Process, 50.00, 40%) Baseline Actual (Previous) Actual (Current) 2020 Value No Yes Yes Yes Date 01-Apr-2014 30-Jun-2017 28-Sep-2018 -- Comments ►DLI 5 Number of households receiving demand-side homeownership subsidies for new housing units in each Fiscal Year during Program implementation under the AMP (Outcome, 225.00, 6%) Baseline Actual (Previous) Actual (Current) 2020 Value 0.00 115.34 180,463.00 725.00 Date 01-Apr-2014 29-Dec-2017 28-Sep-2018 -- Comments ►DLI 6 Number of new households participating in rental subsidy programs in each Fiscal Year during Program implementation (Outcome, 48.75, 1%) Baseline Actual (Previous) Actual (Current) 2020 Value 0.00 1.40 1.40 102.40 Date 01-Apr-2014 30-Jun-2017 28-Sep-2018 -- Comments 12/24/2018 Page 13 of 14 The World Bank Implementation Status & Results Report Inclusive Housing Finance Program (P150993) ►DLI 7 Percentage of demand-side subsidies provided supporting the purchase or rental of housing units located within a commute of 60 minutes or less to an employment cente (Outcome, 25.00, 20%) Baseline Actual (Previous) Actual (Current) 2020 Value 0.00 100.00 100.00 50.00 Date 01-Apr-2014 30-Jun-2017 28-Sep-2018 -- Comments ►DLI 8 Number of demand-side subsidies provided supporting the purchase or rental of housing units developed by private sector entities (Output, 50.00, 1%) Baseline Actual (Previous) Actual (Current) 2020 Value 0.00 1.68 1,945.00 250.00 Date 01-Apr-2014 30-Jun-2017 28-Sep-2018 -- Comments 12/24/2018 Page 14 of 14