Third Development Policy Operation (WB-P155066)

Countries
  • Tuvalu
Where the impacts of the investment may be experienced.
Financial Institutions
  • World Bank (WB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Active
Bank Risk Rating
U
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
Dec 9, 2016
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
Government of Tuvalu
The holder of the loan, grant, or other investment.
Sectors
  • Education and Health
  • Technical Cooperation
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Grant
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 3.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Project Cost (USD)
$ 3.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.
Primary Source

Original disclosure @ WB website

Updated in EWS Aug 2, 2017

Disclosed by Bank Sep 16, 2016


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Project Description
The operation is aimed at supporting the reform agenda of the Government of Tuvalu (GoT) in the critical areas of: (a) improving social service delivery and (b) building macroeconomic sustainability. Building human capital is a key pillar to the national development strategy and fostering access to economic opportunities and public services has been identified by the Systematic Country Diagnostic (SCD) as an area of priority action for reducing poverty and boosting shared prosperity. The reforms in this area are in turn focused on enhancing inclusiveness and equity of secondary education and supporting improved health sector outcomes and its financing sustainability. The national development strategy and SCD also reiterated that exogenous shocks create poverty traps, which are amplified by weaknesses in macroeconomic management. Building resilience to shocks and sustainability is particularly important to Tuvalu, in light of the Global Financial Crisis (GFC) and the recent Tropical Cyclone (TC) Pam, which resulted in losses exceeding 15 percent of gross domestic product (GDP) in the Tuvalu Trust Fund (TTF) and damage and losses exceeding 30 percent of GDP. To mitigate against this, the reforms under the second pillar of the operation are focused on improving macroeconomic sustainability by strengthening investment management of reserve assets, which will be complemented by reforms to improve the effectiveness of payroll controls, and increasing oversight on the banking sector. Financing provided through this proposed operation will not only support the maintenance of buffers and meet long-term financing needs, but more importantly focus on the reform agenda while sustaining the reform momentum built through the previous operations.
Investment Description
  • World Bank (WB)
Contact Information
Mr. Letasi Iulai Permanent Secretary, Ministry of Finance and Economic Development Tel: + 688 20202 Email: LIulai@gov.tv ACCOUNTABILITY MECHANISM OF WORLD BANK The World Bank Inspection Panel is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by a World Bank-financed project. If you submit a complaint to the Inspection Panel, they may investigate to assess whether the World Bank is following its own policies and procedures for preventing harm to people or the environment. You can contact the Inspection Panel or submit a complaint by emailing ipanel@worldbank.org. You can learn more about the Inspection Panel and how to file a complaint at: http://ewebapps.worldbank.org/apps/ip/Pages/Home.aspx.