UNDG Iraq Trust Fund:
2009 Progress Update
(1 January – 31 October 2009)
Presentation to the IRFFI Donor Committee
Baghdad, Iraq, 8 November 2009
1
Highlights
1 January- 31 October 2009
• Ninth Progress Report for 1 January – 31 December 2009
issued in May 2009
• Progress in the following areas:
– Continued implementation and monitoring of projects
– Development and finalization of pipeline with 30 projects valued at
over $135 million
– 110 individual agency projects operationally closed (51%)
– 45 individual agency projects financially closed/final stages (21%)
• Progress IRFFI Closure benchmarks
• Advanced preparations for Lessons Learned and Project
Evaluations underway to inform UNDG ITF contributions to
2
Development Effectiveness
Project Highlights/Achievements
• 7000 election observers contributed to positive outcome of KRG
elections; over 270,000 voters educated
• Rehabilitation of 3 major power stations complete (over $57 million)
• Civil Society Organizations contribute to and endorse Iraqi’s first
Universal Periodic Review Stakeholder Report
• A study that revealed rapid decline (70%) in Karez (underground water)
• Board of Supreme Audit (BSA) project near completion with training over
430 BSA auditors
• 1st chlorination system that conforms to international standards now
providing 1 million inhabitants with improved water quality
• IHEC Lessons Learned/Planning Conference reviewed
achievements/shortcomings in 2007/08 in planning for KRG and Council
of Representatives elections
• Several Agencies developed/sign Joint Programming
Assistance/Strategies with key sectoral counterparts in 2009
3
Highlight of Project Challenges
• Mussayib Gas Power Station – Phase II
$33 million
– Required spare parts fully procured, but installation delayed. New estimate of
civil works is $20 mill, while only $12 mil was original bid. Contributing factors:
MoE requested subcontracting of civil works . Increase costs between 2005 to
2008, when new estimate provided by contractor.
• Facilitating Reconciliation in Iraq through Constitutional
$6 million
Review and National Dialogue
– Implementation of activities is reliant upon the CRC/CoR full participation. Due to
elections and security situations (Basrah and Sadr City), study tours and round
tables could not take place. Political necessity overtakes political objectives.
– Inability to achieve compromise on key issues, difficult process of reaching
consensus over electoral law as well as very sensitive process of delineating
disputed internal boundaries resulted in partial shift of political attention to
areas other than Constitutional Review Process.
4
Project Implementation Status
(as of 31 October 2009)
• 165 total projects/joint programmes
• 89 projects operationally closed projects (54% of total) or
(51% of 110 individual agency projects)
• 45 individual agency projects financially closed/final stages (21%)
Sector
# Projects
Active
Projects
Joint Programmes
Operationally Closed
(projects/joint programmes)
Education
Water & Sanitation
Health & Nutrition
Housing & Shelter
Food Security &
Agriculture
Protection
Governance
Economic Reform &
Diversification
Total
26
16
22
4
8
5
11
2
7
6
6
1
18
11
11
2
24
14
2
10
14
34
7
16
2
3
7
18
25
13
3
12
165
76
30
89
5
Evaluation Undertaken To-date
• PricewaterhouseCoopers Independent
Evaluation (2006)
• Scanteam (Norway) Independent
Evaluation (2004-07)
• Report of the UN Board of Auditors (2007)
• EC Verification Mission (2008)
• Agency level evaluations
• Agency level Internal/External Audits
6
Transparency
• IRRFI/UNDG ITF website provides detailed,
timely information in the following areas:
– Project approvals at agency/sector levels
– Programme implementation status (fiches)
– Project level contracts commitments and
disbursements
– Donor contributions
– Financial performance
– Contract Awards data
7
Fund Closure Updates
8
Fund Closure Timetable
(Update as of 31 October 2009)
Activity
Timeline
Status
Donor Contributions
30 June 2009
No new contributions
Project Approval
31 December 2009
• 30 projects valued at over
$135 million
• Reschedule – 30 June 2010
Finalize contractual
commitments
31 December 2010
Reschedule – next DC
meeting
Projection of Uncommitted
Funds
31 December 2010
Same as above
Agreement on utilization
of/disposal of unspent
funds/balances & modalities
June 2011
Same as above
Project implementation and
complete and satisfaction of
commitments and liabilities
2011-2013
over 51% projects
operationally closed and
21% financially closed
9
Donor Deposits
June to October 2009 :
• No new contributions received
Release of contributions from existing agreements:
• EC $ 22.09 million (October 2009)
10
Financial Pipeline by Sector
(as of 31 October 2009)
Sector
Balance of Funds
(US$ millions)
Project Pipeline
Amount (# projects)
Balance after
Pipeline
Education
5,307
5,717 (3)
(410)
WATSAN
10,918
12,900 (2)
(1,982)
Health
9,842
13,055 (7)
(3,213)
-
-
-
848
3,494 (2)
(2,646)
Protection
8,008
13,483 (5)
(5,475)
Governance
88,253
90,750 (11)
(2,497)
23
-
23
Unearmarked
4,837
-
4,837
Returned/Interest
7,590
-
7,590
135,626
139,399 (30)
(3,773)
Housing/Shelter
Food Sec/Agriculture
Economic Reform
Total
Pipeline Approval Timeline
Phase
Date
Number Amounts
Projects (US $ mil)
Finalized
31 Dec 2009
8
$83.55
Elections
30 June 2010
5
$24.29
17
$32.07
30
$139.91
Under
30 June 2010
finalization
Total
30 June 2010
Transferred
12
Financially Closed Projects
• 45 individual agency projects financially closed/final
stages (21%)
 Increase in financially closed projects grew
from 8 to 19 since 30 June 2009
• $7.79 million refunded by Agencies to the UNDG ITF
following financial closure.
13
Financial Updates
14
Project Approval & Transfer Status
1 January-31 October 2009
Sectors
Projects Approved
Transferred (000s)
Education
-
-
WATSAN
-
-
Health/Nutrition
-
-
Housing/Shelter
-
-
2 project
$ 3,250,257
2 project &
1 joint programme
$5,674,182
Governance
• Release of 2nd tranches
2 projects
2 projects
$8,000,000
$1,374,791
Economic Development
2
$7,137,722
6 new projects
& release of 4 tranches
$25,436,952
Food Security/Agriculture
• Release of 2nd tranches
Protection
TOTAL
15
Approved Funding & Sector Distribution
(As of 31 October 2009)
Protection - 14
projects
PwC and Pilgrim
$62.28
Stampede - 1
5%
projects
$0.30
0%
Economic Reform &
Diversification - 25
projects
$250.86
20%
Governance - 34
projects
$310.30
25%
Education - 26
projects
$200.95
16%
Water &
Sanitation - 16
projects
$72.99
6%
Food Security,
Agriculture, Food
Assistance - 24
projects
$145.19
12%
Housing & Shelter 4 projects
$27.53 mill, 2%
Health - 22 projects
$173.12
14%
16
Donor Deposits by Sector
(as of 31 October 2009)
Donor
Gross Deposit
((US$ mill)
Protection,
$54.70 , 4%
Economic
Reform &
Diversification,
$251.88 , 18%
Un-Allocated
Interest, $7.59
1%
Education,
$208.93 , 15%
Governance,
$381.96 , 27%
Food
Sec/Assist,
Agriculture
$113.83 , 8%
Unearmarked,
$158.96 , 11%
Water &
Sanitation,
$76.71 , 5%
Housing &
Shelter, $19.12
1%
Health,
$145.95 10%
EUROPEAN COMMISSION
JAPAN
SPAIN
CANADA
UK
ITALY
AUSTRALIA
KOREA
SWEDEN
DENMARK
GERMANY
TURKEY
FINLAND
NORWAY
NETHERLANDS
INDIA
KUWAIT
QATAR
USA
GREECE
NEW ZEALAND
LUXEMBOURG
BELGIUM
IRELAND
ICELAND
590.46
360.95
93.17
63.79
55.54
39.23
31.66
21.00
13.66
12.41
10.00
9.00
7.70
7.01
6.70
5.00
5.00
5.00
5.00
3.63
3.36
2.32
1.32
1.23
0.50
TOTAL Deposits
1,354.64
EARNED INTEREST
17 65.53
TOTAL De pos its + Inte re s t 1,420.17
Agency Commitments & Disbursements
(as of 30 September 2009)
Agency
Commitment
%
Disbursement
%
Agency
Commitment
%
Disbursement
%
ESCWA
91
87
UNHCR
100
100
FAO
84
80
UNICEF
83
67
ILO
64
48
UNIDO
53
51
UNDP
71
75
UNIFEM
86
84
UNEP
96
99
UNOPS
87
78
UNESCO
100
99
WFP
100
100
UNFPA
92
78
WHO
93
89
UNHABITAT
75
56
Average
81
76 18
Sector Commitment/Disbursement Rates
100
87
77
88
80
75
90 90
87
73
82 79
54
60
63
79 79
76
73
81
76
% Committed
40
20
% Disbursed
0
Contract Rate as of 31 December
% Committed
% Disbursed
Education
Water & Sanitation
Health & Nutrition
Housing & Shelter
Food Security/ Agriculture
Protection
Governance
Economic Reform/
Diversification
Average
87
88
87
90
82
54
79
77
75
73
90
79
63
79
76
73
81
76
(previous rate 69)
(previous rate 77 )
19
Expenditure by Sector
Sector
Outcome
T eam
Expenditure by Sector
as of 31 December
2008
Education
July 2004December
2008
Percent
of
Funding
171,703
85
61,764
84
147,509
85
23,967
87
Food Security, Agriculture, Food Assistance
113,809
80
Protection
34,861
62
Governance
242,607
80
Economic Development
192,426
79
Water and Sanitation
Health
Housing & Shelter
T otal Funds
988,939
81
20
Distribution of Expenditure by Category (US$000s)
(as of 30 June 2009)
Personnel
106,773
11.4%
Contracts,
Supplies,
Commodities,
Equipment and
Transport
744,594
79.7%
Training
48,812
5.2%
Other Direct
Costs
33,496
3.6%
• Personnel: remains
relatively low at
11.4%.(includes
international /national
staff, and Travel
component)
• Contracts, Supplies,
Commodities, Equipment
and Transport: together
account for 79.7%
• Other Direct Costs: is at
3.6% (includes Security
component)
• Indirect Support Costs:
averages 5.9%.
21
Procurement Update
(as of 30 September 2009)
Awards by Country:
Value of Awards
$ 618,179,652
million
– Volume:
Number of Awards
2,914 total
– Amount:
• Iraq: 1,390 awards
• Jordan: 442 awards
• UK: 160 awards
• Iraq: $168,403,908
• Japan: $69,329,692 (31 awards)
• UK: $60,141,256
22
Implementation Challenges
23
Monitoring Project Implementation Challenges
As part of the UNDG ITF Steering Committee’s ongoing oversight role in
2008, 19 UNDG ITF projects were identified based on the following
categories:
• UNDG ITF programmes/ projects that have a less than 50 percent
disbursement rate beyond the original project duration date.
• UNDG ITF programme/ projects that underwent major scope in revision
due to government review or other mitigating circumstances.
As of October 2009, the status of the 19 projects was as follows:
• 58 percent (11 projects) of the 19 identified projects are closed;
• 21 percent (4 projects) will be closed by December 2009;
• 16 percent (3 projects) will be closed by March 2010;
• 1 project will be closed in June 2010.
24
Major Challenges Identified
• Lack of institutional capacities.
• Shortage of qualified contractors and issues
related to procurement and shipment.
• Volatile and fragile security conditions leading
to remote programme/ project management.
• Travel restrictions for Iraqi citizens.
• Lack of capacity to undertake strategic and
comprehensive planning.
• Overly optimistic planning by Agencies
25
Sector Updates
26
New Sector District Maps
27
New Sector Thematic Maps
28
EDUCATION
• National Education Strategy under development with PMO, MoEd,
MoHE, MoPDC and Parliament
• 200 unemployed out-of-school youth from Marshlands attended
short-courses in construction trades as alternative education activities.
WATSAN
• Labs Information Management Systems software complete for MoMPW
and MoEnv in all 15 governorates including Baghdad. Training conducted
for 61 governorate lab staff from ministries.
HEALTH
• Emergency assistance to vulnerable populations (720,000 people)
• Drafted/initiated implementation of H1NI pandemic preparedness plans
with MoH and GoI. Mobile health education campaigns in high risk areas
took place for 40 days.
HOUSING & SHELTER
• Acquired land in 4 governorates to construct 400 housing units for
internally, displaced persons/returnees. Design completed. Cost-sharing
arrangement developed with local authorities to construct 64 shelter
units in governorates.
• Completed rehabilitation of 11 schools
29
Food Security, Agriculture & Food Assistance
• Constructed Huweze Hatchery in Marshlands and 120 structures to collect
spring water and river diversion in agriculture areas
• 400 veterinarians implementing zoonotic/ transboundary disease survey
PROTECTION
•
•
•
•
National Policy on Displacement launched
3080 mobile team visits sites to pre-identify needs and future projects
90% of newly arrived IDPs registered, 100% birth certificates issued
15.6 kilometers of contaminated land cleared by land mines/explosive
remnants in Basra.
GOVERNANCE
• Communication network developed linking IHEC HQ with 19 Governorates
Electoral Offices
• Iraqi Legal Database launched containing Iraqi laws/regulations published
in Official Gazette from 1917 to 2008.
Economic Reform and Diversification
• construction of 3 local markets and 4 pedestrian bridges completed
• Loans distributed for 113 business start-ups and 96 existing businesses
• 253 SME entrepreneurs supported in creation/expansion of businesses
30