Additional Financing to the Agriculture and Natural Resources Landscapes Management Project (SUSTEN (WB-P168940)

Countries
  • Mozambique
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
Approved
Bank Risk Rating
B
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
Mar 20, 2019
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 Mozambique
The holder of the loan, grant, or other investment.
Sectors
  • Agriculture and Forestry
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)
$ 60.00 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)
$ 60.00 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 Jul 26, 2019

Disclosed by Bank May 15, 2019


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Project Description

According to bank documents, the project objective is to integrate rural households into sustainable agriculture and forest-based value chains in the Project area and, in the event of an Eligible Crisis or Emergency, to provide immediate and effective response to said Eligible Crisis or Emergency. The additional funding (AF) seeks US$40.0 million from regular IDA and US$20 million from the CRW to: (i) scale up the original project by extending its geographical coverage and reaching out to an increased number of beneficiaries; (ii) replenish the US$10 million reallocated to the Contingency Emergency Response Component (CERC) following the activation of the IDA Immediate Response Mechanism (IRM) in the aftermath of Cyclone Idai; and (iii) support the recovery efforts from the Cyclone Idai in the affected areas.

The project has four components:

  1. Agriculture and Forest-Based Value Chain Development (Original amount: US$21.0 million, Additional amounts: US$28.0 million IDA, US$9.0 million CRW, Total US$58 million). This component will be scaled up to increase the number of business plans for SECFs and SMEs, and investments in infrastructure in the
    expanded geographic area. CRW resources will be targeted to support SMEs, SECFs and Smallholder Farmers (SFs) in the cyclone affected areas (US$ 4.0 million) and to rehabilitate damaged rural infrastructure (US$ 5.0 million).
  2. Securing Land Tenure Rights and Increasing Natural Resources Resilience. (Original amount: US$14.0 million, Additional amount: US$8.0 million IDA). This component will be scaled up to achieve an additional 400 ha (original 1,600 ha, new target 2,000 ha) of restored land under revised methodology and principles: (i) areas to be restored and geographical coverage of the business plans would need to match to allow for maximum synergy; and (ii) restoration plans would have to be ready prior to starting implementation of the business plans. The amount and activities for securing land tenure rights remains the same, to allow the finalization of ongoing land tenure regularization activities. Land tenure regularization activities will be scaled up through the recently approved MOZLAND (P164551), also implemented by the same FNDS, and part of the overall landscape approach adopted by MITADER.
  3. Project Coordination and Management (Original amount: US$5.0 million, Additional amount: US$4.0 million IDA, US$1.0 million CRW). The AF will provide incremental resources to oversee implementation in the original Project area and in the affected areas, comprising support for project coordination and management, fiduciary and safeguards management, monitoring and evaluation (M&E), and communications. Whiles fund are broadly earmarked to the implementation of the project, they also support overall FNDS capacity strengthening, with impact on the overall portfolio of projects financed by the Bank.
  4. Contingency Emergency Response (Original amount: US$0.0 million, Additional amount: US$ 10.0 million CRW). The component was triggered as per the original project in case of a potential disasterrecovery need providing immediate response to an eligible crisis or emergency. The amount of USD 10 million was used for immediate relief response to the cyclone activities through FAO.
Investment Description
  • World Bank (WB)
Contact Information

World Bank:
Norman Bentley Piccioni
Senior Agriculture Economist

Pedro Arlindo
Agric. Economist

Borrower:
Ministry of Economy and Finance
Adriano Ubisse
National Director of Treasury

Implementing Agency:
Ministry for Land, Environment and Rural Development
Momade Nemane
Manager of the International Funds Management Unit

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.