Senegal - Rural Health Project

Document of The World Bank FOR OFFICIAL USE ONLY Report No. P-3420-SE REPORT AND RECOMMENDATION OF THE PRESIDENT OF THE INTERNATIONAL DEVELOPMENT ASSOCIATION TO THE EXECUTIVE DIRECTORS ON A PROPOSED DEVELOPMENT CREDIT IN AN AMOUNT EQUIVALENT TO US$15.0 MILLION TO THE REPUBLIC OF SENEGAL FOR A RURAL HEALTH PROJECT November 29, 1982 This doeumewt a restited dtiution and may be used by recipients nly in the _t Of thekr .ffieit 4tes. Its eotents may nt otherwise be discosed witot Word Rank d'  CURRENCY EQUIVALENTS Currency Unit: CFA franc (CFAF) US$1.00 = CFAF 340 1/ CFAF 1 million = US$2,940 SYSTEM OF WEIGHTS AND MEASURES: METRIC ABBREVIATIONS AND ACRONYMS MCH Maternal and Child Health MOPH Ministry of Public Health MUHE Ministere de l'Urbanisme, de l'Habitat et de 1'Environnement PMU Project Management Unit PNA Pharmacie Nationale d'Approvisionnement PPF Project Preparation Facility SIPOA Societe Industrielle Pharmaceutique de l'Ouest Africain DAGE Directorate for General Administration and Equipment DRFP Directorate for Research, Planning and Training DHPS Directorate for Hygiene and Health Protection FISCAL YEAR: July 1 - June 30 1/ The CFA Franc (CFAF) is tied to the French Franc (FF) at the ratio of FF 1 to CFAF 50.  FOR OFFICIAL USE ONLY REPUBLIC OF SENEGAL RURAL HEALTH PROJECT Credit and Project Summary Borrower: Republic of Senegal Amount: SDR 14.2 million (US$15.0 million equivalent) Terms: Standard IDA Project Objectives The project would help the Senegalese Government improve the and health status of the rural population by providing a strong Description: referral and technical support system directed at village- level primary health care activities. Nationwide in scope, the project would (a) strengthen basic health services; (b) support the in-service training needs of health person- nel; (c) improve the supply and utilization of basic drugs; (d) develop health education services; and (e) strengthen the capability of the Ministry of Public Health (MOPH) to plan, implement, and evaluate the effectiveness of primary health care activities. Benefits and Risks: The project would yield benefits by providing better health care services in general, and maternal and child health in particular, to a large segment of the rural population which is now severely under-served. Family planning services, hitherto limited to the capital city, would be extended to health centers in rural areas. The project would also sup- port Government's attempt to promote cost recovery in the health sector by offering the rural population better ser- vices in return for their financial participation. A probable risk stems from the fact that past implementation performance of MOPH has not always been satisfactory. There is also a probable risk that linkages will remain weak between project-financed regional facilities and village level health services. By strengthening the MOPH's planning, implementation, and evaluation capability, the proposed project includes appropriate measures to reduce these risks. This document has a restricted distribution and may be used by recipients only in the performance of | their official duties. Its contents may not otherwise be disclosed without World Bank authorization.  - iij - Estimated Project Cost: 1/ Local Foreign Total ------(US$ Millions)------ A. HEALTH SERVICE STRENGTHENING AND TRAINING a - Health Center Infrastructure 3.7 2.4 6.1 b - Training Health Personnel 0.4 0.4 0.8 4.1 2.8 6.9 B. BASIC DRUGS a - Warehouse Construction/Renov. 0.3 0.8 1.0 b - Training of prescribers 0.0 0.0 0.0 0.3 0.8 1.1 C. HEALTH EDUCATION a - Physical Facilities 0.2 0.5 0.7 b - Health Education Training 0.0 0.0 0.0 0.2 0.5 0.7 C. CENTRAL MOPH a - DAGE/DRPF/DHPS 0.1 0.2 0.3 b - Staff Training 0.0 0.1 0.2 c - Project Management Unit 1.5 0.6 2.1 d - Information evaluation 0.1 0.2 0.2 1.6 1.2 2.8 E. REFINANCING PPF 0.3 0.5 0.8 TOTAL BASELINE COSTS 5.8 12.2 Physical Contingencies 0.4 0.4 0.8 Price Contingencies 2.5 1.1 3.7 TOTAL PROJECT COSTS 9.4 7.3 16.7 2/ Financing Plan IDA Credit 7.7 7.3 15.0 Government of Senegal 1.7 - 1.7 TOTAL 9.4 7.3 16.7 1/ Net of identifiable taxes and duties. 2/ Total may not add due to rounding.  - iii - Estimated Schedule FY83 FY84 FY85 FY86 FY87 FY88 FY89 of Disbursements: -- ------------US$ Million----------------- Annual 0.88 1.22 3.24 4.62 3.86 0.96 0.22 Cumulative 0.88 2.10 5.34 9.96 13.82 14.78 15.00 Economic Return: N.A. Project Completion Date: December 1987 Staff Appraisal Report: Report No. 4003-SE dated November 15, 1982 Maps: - IBRD No. 16182 - IBRD No. 16326  I  INTERNATIONAL DEVELOPMENT ASSOCIATION REPORT AND RECOMMENDATION OF THE PRESIDENT TO THE EXECUTIVE DIRECTORS ON A PROPOSED DEVELOPMENT CREDIT TO THE REPUBLIC OF SENEGAL FOR A RURAL HEALTH PROJECT 1. I submit the following report and recommendation on a proposed Devel- opment Credit to the Republic of Senegal for the equivalent of SDR 14.2 mil- lions (US$15.0 million) to help finance a Rural Health Project. The Credit would be on standard IDA terms. PART I - THE ECONOMY 2. A report entitled "The Economi c Trends and Prospects of Senegal" (1720a-SE) was distributed to the Executive Directors on March 10, 1980, followed by a President's Report for a Structural Adjustment Loan/Credit (P-2869a-SE) dated November 26, 1980, which contained an expanded section on the economic situation. Since approval of the Structural Adjustment Loan/Credit, a series of supervision missions have visited the country to monitor execution of the program. The following paragraphs reflect the conclusions of those missions. Country data appear in Annex I. Economic Structure and Past Developments 3. Three-quarters of Senegal's territory lies in the Sahel zone, which suffers from low rainfall and periodic droughts. The mainstay of the tradi- tional economy is millet cultivation and nomadic cattle-raising for domestic consumption, and groundnut cultivation for exports. The modern sector of the economy is concentrated in Dakar, the capital, a city of about one million in- habitants, the economic base of which consists of excellent port facilities, an important industrial sector, and a small but fast-growing tourism indus- try. With a population of 5.8 million in mid-1981, Senegal's per capita GNP for 1981 was estimated at US$500. 4. During the 1960s, the Senegalese economy experienced virtual stagna- tion as real output increased at a rate estimated at 2.7 percent per annum, hardly more than the rate of population growth. With Independence, Senegal lost its privileged position as the center of French West Africa, and subse- quently had to adapt to its reduced economic, administrative, and political circumstances. Moreover, in the latter part of the decade, income from groundnuts (the principal export) fell, due to unfavorable weather and de- clining export prices. 5. In the 1970s, Senegal's narrow-based export sector was again hit by sharp fluctuations, and even with higher rates of both private and public in- vestment, average annual growth did not rise above the level of the previous decade. After recovery from the earlier droughts, real GDP increased at about 5 percent a year between 1973 and 1977, but between 1977 and 1981 it declined by 2 percent a year, reflecting the effect of three severe droughts during  - 2 - this period. 1982 is expected to show a recovery from the previous depression with 10 percent GDP growth. Reports on the present growing season are excel- lent. which could substantially improve Senegal's chances to overcome its present economic difficulties. 6. The large fluctuations in physical production were aggravated by the price movements of Senegal's major exports and imports. In 1974, the terms of trade improved by over 21 percent because of exceptionally high prices for phosphate rock, Seregal's second export commodity; however in 1975 export prices for groundnuts declined sharply, followed in 1976 by a drop in export prices for phosphate rock; increases in oil and rice prices brought a further deterioration in the terms of trade, causing a total loss in income between 1974 and 1982 of roughly 6 percent of GDP. This deterioration in terms of trade, together wi+h the unsatisfactory performance of the economy as a whole, led Government to develop an economic and financial stabilization program that was launched in 1980. This program was informally but extensively discussed with the Bank and the Fund, and was the basis for an agreement on the purchase of US$243 million equivalent under the IMF Extended Facility approved by the IMF Board in August 1980, and a US$60 million Structural Adjustment Loan/Credit (SAL) approved by the Bank's Board on December 18, 1980. The global objectives of the Government's program were to stabilize the economy during the first two years of the five-year Plan period, and to achieve a modestly higher rate of economic growth of 4 percent a year in the following three years. Execution of the Structural Adjustment Program 7. The structural adjustment program had a slow start as a result of the change in Government in early 1981, and also because of a record low 1980/81 crop, and steep increases in the price of imported rice. The new Government reaffirmed the general objectives of the program, but during its first year in office, chose to focus on the economic and financial crisis caused by the bad crop. Some of the measures and policies adopted by the new Government contradicted the objectives of economic stabilization and structural reform undertaken by the previous Government, and the agreed calendar for execution of the SAL program was not respected (para 9 to 16). In early 1981, the IMF suspended Senegal's access to the Extended Fund Facility, to replace it later in the year with a Stand-by Arrangement to help Government overcome its severe short-term economic problems. The Bank withheld the release of the SAL second tranche. Although considerable progress has been made by Government since 1981, to date only the first tranche of the SAL, US$40 million, has been dis- bursed, pending the implementation of a renegotiated action program in the agricultural sector. Balance of Payments 8. The new balance of payments policies introduced under the rehabili- tation program were based on strict control of overall demand thTough tax and consumer price increases, combined with increases in the prices paid for the major export crops and the introduction of special incentives for manufactured expor+s (para 9). However, the targeted reduction in the resource gap could not be achieved mainly because of the 1980/81 drought, and also because of  organizational problems in the agricultural sector. The fall in groundnut products exports from a five-year past average of US$220 million to US$94 million in 1980 and US$34 million in 1981, together with exceptionally high import bills for petroleum, rice, and oil seeds (imported to keep the factories going), increased the resource gap in 1981 to US$523 million, or about 21 per,snt of GDP. In 1980 and 1981, Government received exceptional aid from bilateral and multilateral donors, averaging US$170 million a year. This was, however, insufficient to avoid a further fall in net foreign assets by US$78 million, to a level of negative US$463 million at the end of 1981, financed by IMF for an amount of US$148 million. For 1982 the resource gap is estimated at 14 percent of GDP. The good rainfall during the 1981/82 growing season permitted a five-fold increase in the value of groundnut exports, despite exceptionally low world market prices for vegetable oils. Moreover the good local cereals crop in this year, combined with measures to contain urban demand (para 11), are expected to limit overall import growth to about 11 percent in current prices. A second year of good crops may shrink the resource gap to 12 percent of GDP in 1983. However. with projected imports for 1983 still at a level of 40% of GDP (as compared to 33 percent in the early 1970's), further economic adjustment has to be achieved in the coming years, mainly through strict containment of urban consumption levels, further import substitution of imported rice, and strong promotion of exports. Producer and Export Incentives 9. The structural adjustment program laid the basis for further balance of payments improvements through an export premium system on certain manufactured goods. The export premium system has already increased significantly export and employment levels in the sectors to which it was app'lied. An extension to 18 other agricultural and industrial branches, as well as a considerable refinement of the system, will be implemented during the current fiscal year. In February 1982, after a 31 percent increase in the official consumer price for imported rice, the Government also completed the introduction of the basic import duties, although more frequent price adjustments are required to reflect changes in import costs, mainly related to the realignment of Franc zone currencies. Senegal's competitive position has been improved by constraining average wage increases in 1982 to only 10 per- cent. This is a remarkable performance considering urban cost of living increases of about 20 percent following the series of value added tax and con- sumer price increases passed by Government in 1981 and 1982. Public Finances 10. The first budget (1980/81) under the new financial and economic policies respected the 15 percent public savings target set under the struc- t+ural adjustment program. However, the economic depression drastically reduced tax receipts on corporate profits and luxury imports in particular. On the expenditures side, under pressure of growing unemployment among graduates from the school system, Government was lax on restraining civil service growth; after an increase in the wage bill of 36 percent in FY80, it continued to grow at a rate of 11 percent a year. Moreover, the price stabilization fund started to generate vast losses. The severe deviations from the budget estimates put tremendous strain on the Treasury, and it soon  - 4 - became clear that Government's inability to pay its bills threatened the stability of the entire economic system. Whereas Government had always given priority to payment of its external obligations, in mid-1981 it asked the Paris Club for a rescheduling of publicly held foreign debt, and in October 1981 a rescheduling of US$81 million amortization was agreed. During the same month, Government also called a donors' conference held to save the core of the investment program from a complete lack of local counterpart funds. 11. In accordance with the IMF standby arrangement, subsidies on basic food and petroleum products were removed by increases ranging from 25 to 60 percent in the Government controlled consumer prices. Other consumer prices were affected by increases of 1 to 2 percentage points in value added tax, and of 4 to 12 points for taxes on various services. Government purchases were reduced to an absolute minimum and IMF credit ceilings respected. In fact, by end June 1982, all performance criteria established by the IMF had been met. But despite satisfactory fiscal performance, it is unlikely that by 1985 Government will be able to finance from its net budgetary savings 25 percent of its public investment program, the target Government set itself in the original structural adjustment program. The main reason for this shortcoming is that in 1982/83 debt service will reach 33 percent of Government receipts instead of the 15 percent projected in 1979, owing to an additional 20 percent previously unregistered debts, debt service on exceptional aid during the drought years, rescheduled amortization payments, and debt service on the US$265 million debt of ONCAD (paras. 14-16). Because of these unfavorable public finance prospects, in November 1982 Government has asked the Paris Club for another round of debt rescheduling. Government agreed also with IMF upon the renewal of the stand-by arrangement, based on a program of further tax increases and reduction in the growth of civil service. Investment Program 12. The outlook for the national investment program has deteriorated drastically, since the establishment of the structural adjustment program in 1980. While the structural adjustment program imposed ceilings on the investment program to re-establish macro-economic equilibrium, implementation of even the initially planned program has become the main problem. Private investments are stagnating because of the depressed national economy. Govern- ment investments are suffering from financing problems because for the next few years the budget will not be able to generate an investable surplus, the country is uncreditworthy for commercial loans, and domestic credits are under tight IM1F ceilings. A positive development is the progress being made on the new parastatal phosphoric acid and fertilizer complex based on locally mined phosphate rock, and with production intended largely for export to India and other African states. Since Government continues to give priority to projects in productive sectors, the share of directly productive projects will probably reach 65 percent and thus surpass the objective of 55 percent set in the structural adjustment program. The combined investments of the public and the parapublic sector will be in the vicinity of the agreed ceiling of 10 percent of GDP set for this category.  N-5 -5- Parastatal Sector 13. The Government has made the establishment of "program contracts" with public enterprises an active policy instrument aimed at reducing budgetary support to the companies, increasing the autonomy of their managements, and allowing the enterprises to achieve their objectives. So far, Government has signed or is negotiating eight contracts with public enterprises, and five more companies are to enter into negotiations this year. The growing impor- tance of these contracts will oblige Government to establish an overall ceiling on financial support which the budget can afford in favor of public enterprises. Agricultural Reforms 14. At the time of establishment of the economic and financial rehab- ilitation program in 1979, the problems in the agricultural sector had been vastly underestimated, both in terms of the size of financial deficits gene- rated, and the strength of the vested interests supporting existing struc- tures. The liquidation of the Government controlled agricultural marketing organization (ONCAD) set in motion a slow process of sorting out these defi- cits and building up a national consensus around the new organizational formulas. 15. The heart of the envisaged reform is in the cooperative structure and credit system, where farmer groups at the village level would collectively maintain their credit rating and undertake certain tasks such as storage of groundnut seed. A new law for agricultural cooperatives that determines the legal status of these farmer groups has been presented to the National Assembly. Regarding credit, Government has absorbed the farmers' old seed debts, considered irrecoverable after the drought years, and announced crea- tion of a new agricultural credit organization in which a French agricultural credit bank has been asked to participate. Tests with the new system are on- going in certain irrigation perimeters, the cotton area, with market gardeners close to Dakar, and on a very limited scale in a few districts in the Ground- nut Basin. In the interim, the absence of agricultural credit for the majority of groundnut farmers would be dealt with by a system of cash sales for fertilizer and a levy on the groundnut purchase price to finance seeds. 16. Little progress was, however, achieved in the reform of field opera- tions. SONAR, a state enterprise created in 1980 to phase out Government's direct involvement in the supply of agricultural inputs, has already shown some weaknesses of the former ONCAD. It inherited a good part of ONCAD's staff, more than required to execute its limited functions. It promised to sell fertilizer at 80 percent subsidy, but since it could not make the usual down payment to the fertilizer factory, only a minimal quantity could be delivered for the 1982-83 season. Subsidies on centrally distributed seed accounted for one-sixth of the US$67 million losses that accumulated last year in the State's price stabilization fund. Because of the high subsidies the private sector could not enter the market for agricultural inputs, while farmers already experimenting with more efficient systems of stocking seed at the village level were discouraged. Government is now considering modifica- tions in the SONAR system for the 1983/84 crop; the Bank is waiting for a beginning of its implementation to make a final ruling on the second tranche of the SAL.  -6- Long-term Prospects 17. Government's long-range development strategy continues to be based on the promotion and diversification of agriculture and export-oriented acti- vities. The agricultural program calls for development of areas less afflic- ted by drought (Casamance and Eastern Senegal), where cash crops other than groundnuts can be grown. Agricultural research will be oriented more to farm- ing systems than to individual crops, with the objective of lowering the costs of agricultural techniques propagated, and better adapting them to farmers' needs. Irrigated cereal production is being developed in the arid northern part of the country along the Senegal River. The construction of one of the two planned dams on the Senegal River has started, but the high level of State subsidies required on irrigated rice will force Government to pace new irriga- tion development prudently. 18. The phosphoric acid project is now well advanced, and the export premium and realignment if the Franc Zone currencies will, hopefully, attract more light export industries and tourism once the world econmy has improved. Construction of a ship-repair yard has been completed. However, these export diversification efforts are unlikely to offset the severely lessened prospects for groundnuts, still Senegal's main export commodity. Groundnut oil exports suffer from irregular supplies and from improvements in competing vegetable oils; exports of groundnut cakes suffer from the risk of aflatoxin contami- nation, a risk which diminishes their value as cattle fodder. As a conse- quence, in the next few years the share of total exports in GDP is expected to remain below the levels attained in the early 1970's. 19. Governnent's economic policies and the exceptional foreign aid grant- ed to Senegal have helped the country pass through the most difficult years of its economic history, but these efforts have not been enough to bring the eco- nomy back on a path of balanced growth. The overextended public sector, as well as the vast arrears and debt service charges (more than 20 percent of ex- port earnings), will impose heavy burdens on the State Treasury, and has created a need for further debt rescheduling. The State Treasury will not be able to absorb substantial additional recurrent cost charges from public investment projects, and for a few years, will need exceptionally high shares of foreign financing for projects in order to maintain minimum investment levels. The unfavorable balance of payments situation calls for a reassess- ment of Senegal's longer term prospects and the establishment of a new program of action to achieve the required structural adjustments. The Bank will focus its country dialogue on these problems and, in the interim, reduce consider- ably the IBRD share in the Bank Group blend Senegal used to received. PART II - BANK GROUP OPERATIONS IN SENEGAL 20. As of September 30, 1982, the Bank Group has had 52 operations in Senegal for a total of US$43..2 million including 27 IDA credits, 14 Bank loans, 4 blends of Bank and IDA funds, 5 IFC operations, 2 blends of Bank and IFC funds, and one blend of Bank, IDA and IFC funds. Most project lending has been for agriculture, transportation and education. Annex II contains a  - 7 - summary statement of Bank Group operations in Senegal. Physical execution of projects is progressing reasonably well, although some operations are af- fected by the shortage of counterpart funds due to the Government's continuing difficult public finance situation as described in Part I of this report. Institutional weaknesses in several sectors and a lack of qualified local staff for key positions constitute serious obstacles to efficient project implementation. 21. The Bank's Group strategy and lending objectives for Senegal fall under two broad headings: (i) to offer financial assistance and policy advice in high priority areas (particularly in directly productive sectors) where Government is ready to take corrective action; and (ii) to help formulate and promote macroeconomic and sectoral policy reforms aimed at increasing the efficiency of public sector activities, and at helping diversify Senegal's export base and its production and export earnings. Top priority is for the agricultural sector where projects can be expected to have a beneficial impact on economic growth, export earnings, income distribution and rural incomes. Progress in agriculture and other sectors, however, is hampered by unsatis- factory performance of several key government and parapublic agencies. The Bank is planning to continue financial and institutional support (through project lending and technical assistance operations) to efforts that would improve the quality of public services, and support institutional reforms that would encourage a stronger role for the private sector. 22. In agriculture, project lending will continue to promote productivity improvements for traditional food and cash crops, together with diversifi- cation into new crops and new regions. This effort has led the Association to finance a high-priority Agricultural Research Project focussing on agricul- tural systems improvements, that should give a new impetus to extension services and lead to a more integrated approach to rural development in semi- arid areas. The Bank is now preparing a cotton/food crop project in the rainfed Eastern and Casamance regions, and is considering support for a Fourth Irrigation Project that would rehabilitate and expand existing medium-sized irrigation perimeters. The feasibility of new activities in the Groundnut Basin depends on further progress with structural reforms in input distribu- tion, crop marketing and agricultural credit (paras 15-16). 23. The Bank Group has also supported economic diversification by lending to the growing industrial sector through the Societe Financiere Senegalaise pour le Developpement de l'Industrie et du Tourisme (SOFISEDIT), a development finance company established with Bank assistance in 1974, and for which a third line of credit was approved in FY82. The Bank is also helping construc- tion of the phosphoric acid/fertilizer complex by financing the infrastructure component, and is now preparing a project to extend the life of Senegal's phosphate reserves, by developing the utilization of shares and low grade deposits. 24. Bank Group projects have supported economically desirable moderniza- tion and expansion of the country's infrastructure. But with the stagnant economy and heavy infrastructure investments in the past, our emphasis has shifted to better utilization and maintenance of existing facilities. The Port of Dakar has recently been expanded and should be able to handle  -8- foreseeable traffic, except for containers for which a new terminal may be required in a few years. 25. While the Bank Group's overall lending strategy responds to the importance in Senegal of financing directly productive projects, it also recognizes the need for some assistance to the so-called social sectors. Project design and preparation have taken due account of the ability of Government and users to bear the recurrent costs involved. In education, efforts have been directed to technical and vocational training to support activities in the productive sectors. The Bank Group is now finalizing preparation of a Regional Management School Project scheduled for Board presentation later in FY83, and a possible Fourth Education Project may focus on increasing access to primary education. In the related areas of public health and nutrition, the Bank Group has made studied efforts over the past few years to respond to a critical need in Senegal for attention to these sectors. However, project identification and preparation have been difficult and slow, largely because institutions in the sector are for the most part un- tested and ill-prepared for implementation of externally financed projects. It has also been important to work carefully within the numerous activities of other external donors in the sector. The Rural Health Project proposed in this report is the first stage of Bank Group efforts to assist Senegal in this vital area. Some further assistance in meeting basic needs for the rural population will be provided under a planned FY 83 project for water supply to several secondary centers. 26. As it became increasingly clear that many of Senegal's economic and financial problems went beyond the limits of specific subsectors, the Bank started to shift some of its program toward multi-sectoral technical assistance and structural adjustment lending. A FY78 technical assistance operation to the parapublic sector and a FY80 Structural Adjustment Loan- Credit are examples of this changing strategy. The latter aims at supporting the Government's efforts to control aggregate demand, redirect its public investment program and promote industrial exports and other productive acti- vities through improved price and incentive policies. The local currency counterpart funds of the SAL are being used for financial rehabilitation of some parapublic enterprises which have agreed with Government on comprehensive "program-contracts" spelling out their respective objectives and obliga- tions. A proposed Second Parapublic Project would help consolidate the results already achieved, and possibly also create a medium-term facility to support rehabilitation of viable public enterprises. The FY81 Technical Assistance Project for Economic and Financial Planning will strengthen the Government's capacity to expedite preparation of selected investment projects, and to identify bottlenecks in project execution and take remedial action. Additionally, substantial technical assistance is being provided under the Bank's economic and sector work program, as well as under engineering loans and credits and PPF advances for project preparation. In the important energy sector, for example, PPF-financed studies have allowed preparation of a Petroleum Exploration Promotion Project with important technical assistance features, which is scheduled for Board presentation later in FY83. 27. Given the need to focus Senegal's public investmert program on high priority projects and to finance almost all of this program from external  - 9 - sources, improved donor coordination now assumes increased importance. The Bank is pursuing its economic dialogue with Senegal in close coordination with the IMF, and with strengthened consultation with bilateral and multilateral donors. Recognizing the importance of helping Senegal extend its access to donor assistance, the Bank financed consulting services for preparation of a donor conference in October 1981, and has been participating actively in follow-up discussions on policies and investment priorities in specific sectors. 253. The Bank Group's share in total external aid disbursements to Senegal over 1982 will stay at an average of around 18 percent, of which roughly two thirds in IDA financing, largely reflecting the disbursements on existing Bank Group commitments. The Bank Group's share in outstanding disbursed debt was 21 percent in 1981, and may approach 25 percent by 1985. The Bank Group's share in public debt service is expected to increase from 4.3 percent in 1980 to about 9.5 percent in 1985. PART III - THE HEALTH SECTOR Background 29. Senegal's population was estimated at 5.8 million in mid-1981. Forty-six percent of the population is under 15, compared with 40% in most developing countries. With a natural rate of population increase averaging 2.7% annually, Senegal's population is expected to double in about 25 years. This postulated rapid growth is due to constant high fertility combined with slowly declining, though still very high, mortality. 30. About 70% of the population derive their livelihood from agricul- ture. Their health status is poorer than other countries elsewhere in Africa, such as Kenya, even though Kenya, in 1981, had a lower GNP per capita (US$420) than that of Senegal (US$500). The infant mortality rate which averages 147 per 1,000 live births (91 per 1,000 in Kenya) is as high as 204 per 1,000 in some rural areas, and only two-thirds of all children survive through age five. This contributes to a persistent pattern of high fertility: a woman on average bears seven children. Current life expectancy, 43 years at birth (55 in Kenya) is below the average for low income developing countries (51). Life expectancy is currently increasing at about half the rate achieved between 1955 and 1965. The health status of the Senegalese population has improved 4 little over the past decade. 31. Aware of the health and economic consequences of high fertility and infant mortality, the Government recognizes the need to develop integrated maternal, child health and family planning programs together with community level primary health care managed and financially supported by benefici- aries. But, whereas the grassroots response to primary health care has been keen, the public health system and information network in the countryside are of low quality, inefficient, and technically incapable of promoting a rapid change in health and fertility. Until about the mid 70s, the health sector has been characterized by the predominance of urban-based curative medicine.  - 10 - There was general indifference to nutritiona'l status, active opposition IC, contraception and abortion, limited attention to health education, poor health sector planning, a deterioration in the quality of health care, inadequate logistical support, and little community participation. Since 1978, the Government has attempted to redress these shortcomings in order to build a firm basis on which to promote more efficient, vigorous and effective outreach programs to those most in need, particularly women and children. Sector Strategy 32. The Government's policy and current Development Plan are based on a health sector strategy intended to give renewed priority to preventive measures; to cover all villages with primary care provided by village health volunteers; to develop and expand cost recovery mechanisms throughout the health system; to improve the supply of basic drugs; to upgrade the rural public health network of health centers and health posts (dispensaries); to improve the performance of all categories of health personnel; and to develop an appropriate capability within the Ministry of Public Health (MOPH) to plan and manage primary health care services. 33. The Bank Group has reviewed the various elements of this strategy and considers it an appropriate response to current health conditions in Senegal. The Government itself has attempted to gain support and to move forward on all the components outlined above. The Government's population policy is based on the view that birth spacing is a desirable and needed component of health programs to improve the health of the urban and rural poor. Legislation banning contraception has been repealed. The United Nations Fund for Population Activities (UNFPA) and the United States' Govern- ment (through USAID) are assisting in the development of family planning services and in assuring a stronger Government capability in demographic analysis and population planning. A nationwide expanded program of immuniza- tion has begun with substantial French Government assistance. The most impressive achievements to date stem from the diffusion of community level prima-y health care whose main components are community participation (in the form of payment for health services and an active role by communities in managing community-based dispensaries and health centers); the training of community-paid health volunteers (who provide first aid and health education in villages and dispensaries); and the promotion of village pharmacies (which sell essential drugs to villagers) and health associations (voluntary groups composed of community representatives who set the level of fees for services and assist in managing health services at the community level). The gradual introduction of fees for services has partially offset the steady decline of the share of recurrent budget allocations for the health sector (from 9% of the total national operating budget in 1971/72 to only 5.8% in 1981/82). Fees raised from patients now average 8% of the recurrent expenditure of health posts, and about 15% of the cost of operating health centers. 34. The growth of community participation and the demand for improved services, however, are outstripping the ability of Senegal's weak public health system to provide them. The system is structured around a pyramid of regional services at the base of which are numerous village pharmacies and volunteer health workers, supported by a network of public health posts (or  - 11 - dispensaries) which, in turn are backed-up and supervised by more specialized health centers, as well as maternities and maternal and child health care facilities. At the apex of each regional system is a regional hospital and endemic disease control center. All health centers and dispensaries are now adequately staffed. Health centers are each staffed with a physician, a certified nu-se, a nurse mid-wife, about six auxiliary nurses, laboratory technicians, and hygienists. Health posts are each staffed with a nurse and a sanitarian aide. 35. At the national level, services consist of four national hospitals, the national pharmacy, and a full range of Ministry of Public Health (MOPH) services, the most important of which are the Directorate of Hygiene and Health Protection (DHPS), the Directorate of General Administration and Equip- ment (DAGE); the Directorate of Research, Planning and Training (DRPF); and the Directorates of Pharmacy, Hospitals, and Procurement of Drug Supplies and Medical Equipment. In addition, the MOPH controls directly several national health institutes and paramedical training institutions. 36. To meet the challenge of providing more adequate and efficient services, there is an urgent need to strengthen key aspects of the regional and national public health structure. At the regional level, about 17 out of 36 health centers are in disrepair; many are 50 years old, without water, laboratory facilities and adequate drug supplies. Poor quality of services, inadequate logistical support and insufficient inservice training all con- tribute to low performance by the national health care system and a loss of its credibility in the countryside. This situation is untenable in view of the fact that the health centers are called upon, under current Government strategy, to play a pivotal role in reducing the heavy flow of patients to overcrowded national hospitals, as well as organizing and managing outreach family health programs down to the village level. Staff need to receive refresher training as a pre-condition for improving performance. At the national level, a major effort must also be made in several key areas -- improvements in health sector planning and program implementation, better basic training under field conditions for medical and nursing students, and a more reliable provision of basic drugs to the village level. 37. Especially on this latter item the Government's national pharmacy (Pharmacie Nationale d'Approvisionnement, or PNA) has suffered from poor man- agement and insufficient trained personnel, inadequate warehousing, non-pay- ment of accounts and a dwindling line of credit, greater reliance on fewer high-cost suppliers, and inadequate laboratory facilities for testing and 4 controlling low-cost bulk purchases from new supply sources. To redress this situation, the Government plans to develop a national pharmeceutical policy with technical assistance to be provided by the proposed project (para. 45). Steps have already been taken to reduce the list of basic drugs for public health facilities, a measure which could potentially generate savings for the Government budget. The Government is also attempting to encourage the private pharmaceutical sector in Senegal to support its national primary health care policy in part by authorizing village pharmacies and public health facilities to procure drugs from private suppliers, and by supporting attempts by the local pharmaceutical manufacturing sector to increase the range and distribution of locally manufactured basic drugs.  - 12 - D. The Bank Group's Role in the Sector 38. The proposed project would be the first IDA operation in Senegal in the related areas of population, health and nutrition, and the first free- standing IDA-financed health project in Western Africa. Bank Group missions visiting Senegal since 1978 have reviewed extensively the various aspects of the health sector, and have worked in consultation with several external donors who are actively supporting key elements of the Government's attempts to extend primary health care to the urban and rural poor. 39. Sector work in Senegal has reaffirmed a pattern typical of most West African countries, on the basis of which the Bank Group has developed a stra- tegy for phased assistance to certain countries which, by virtue of their severe problems related to fertility and mortality levels, and to their gener- al'ly poor economic and environmental circumstances, appear deserving of priority support. For Senegal particularly, given the many constraints of effective development of the sector and improvement in the health status of the population, a three-phased approach to Bank Group assistance has been identified in agreement with the Government, and the first of these -- sector analysis -- has been essentially completed. The proposed Rural Health Project marks the beginning of the second phase effort which is aimed at improving the quality and utilization of existing service delivery networks, and assuring better management and support systems, including provision of reliable drug supplies. These are considered important preconditions for building a suit- able base on which to expand maternal and child health services especially in the poorly served rural areas, and through which related population and nutrition programs can be developed in a possible third phase of Bank Group assistance. PART IV - THE PROJECT Project Origin and Background 40. Following a request from Government for IDA assistance in meeting Senegal's primary health care objectives, a reconnaissance mission visited the country in November 1978 and recommended support for selected population and primary health care programs. However, the Government was concerned about its limited absorptive capacity for additional investments in population, and hesitated to proceed at that time with project preparation. A second IDA mission in 1979 identified a more immediate need for support for primary health care at the village level, and preparation work was started. PPF advances totalling US$430,000 were approved in August 1980 and in March 1982 to establish a project preparation unit in the Ministry of Public Health (MOPH), recruit specialized consultants, inventory health center infrastruc- ture, and carry out design work for construction and renovation of physical facilities. These studies had been preceded by a PPF advance for epidemio- logical studies and other basic surveys (about US$350,000 disbursed) intended as background for a possible nutrition project that turned out to be pre- mature. The proposed Rural Health Project was appraised in July 1981, and a follow-up appraisal mission visited Senegal in December 1981 to refine the  - 13 - project design and clarify some outstanding issues, particularly regarding the project implementation and MOPH institution building needs. Negotiations were held in Washington in November, 1982 with a Senegalese delegation led by Mr. Mamadou Diop, Minister of Public Health. The Staff Appraisal Report No. 4003- SE dated November 15, 1982 is being distributed separately to the Executive Directors. Project Objectives and Description 41. The proposed project has been designed to complement efforts by Senegal and by other international donors in support of the Government's strategy for developing an effective primary health care system. In recognition of Senegal's constrained economic and budgetary circumstances, project design has been kept as simple as possible, and focusses on ensuring better utilization of existing resources so as to limit incremental recurrent costs. The overall project objective is to provide adequate technical, log- istic, and management support for primary health care to the rural popula- tion in Senegal, and to related efforts in nutrition and family planning. Specifically, the project would be expected to strengthen basic health ser- vices at the health center level; improve the training of health service per- sonnel; improve the supply and utilization of basic drugs; develop health education services to the local populations; and strengthen the capacity of MOPH existing services to plan, implement, and evaluate the effectiveness of a range of primary health care activities. Detailed Features of the Project 42. The project would help introduce a package of basic health services to all of Senegal's 36 health centers, enabling them to provide family planning and maternal and child health (MCH) services; immunizations, health and family planning and nutrition education; endemic/epidemic disease surveillance and reporting; general outpatient services; emergency care; administration and training of health workers; referral of patients to hospi- tals; and supervision of health posts and community health workers. These activities would be developed by Regional medical authorities, supported by the central MOPH and its Project Management Unit. (para. 55). 43. The project provides for reconstruction, equipment and furnishing for five dilapidated health centers, and renovation and refurbishing of four other health centers. These centers service an estimated 660,000 people, many of whom are in high-density or outlying areas where the health center is the major available medical facility. Design standards were adopted to minimize costs for the level of services required. Space would be provided for sanitation services and for in-service training and health education, and for on-site housing for the resident physician and midwife. 44. To strengthen basic health services, the project would support field and in-service training in public health. Practical training would be provid- ed for about 50 final-year or recently graduated medical students expected to serve the health center network during the project period. In-service train- ing would be provided to all health center staff, and to about 2,000 community health workers across the country. Training would be organized by MOPH in  - 14 - collaboration with the Dakar University Medical School and the School of Ad- vanced Nursing Education. In addition, 3 man-years of technical assistance would help MOPH in planning, preparing materials and implementing this train- ing component, as well as in designing a long-term national in-service train- ing program for health center and health post personnel and community health workers. The draft program would be submitted to IDA for review by December 31, 1985, and Government would undertake to implement the program as agreed (Section 3.05 of draft Development Credit Agreement). 45. The project would improve the supply and utilization of basic drugs throughout the country, and assist PNA in strengthening its management and developing a national drug policy. The existing MOPH central pharmacy would be renovated and furnished with improved warehousing equipment and vehicles. The only existing regional MOPH pharmacy would also be renovated and two additional pharmacies would be created by converting existing hospital drug depots into regional warehousing facilities. The project would also provide the PNA's central laboratory with additional equipment for improved drug test- ing so as to encourage cheaper procurement from more diversified supply sources. Government has agreed that, by December 31, 1984, it would undertake drug testing at the PNA Laboratory, with appropriate laboratory staff identified and trained for this purpose (Section 3.06 of draft Development Credit Agreement). About three man-years of technical assistance would be provided to help improve PNA's distribution and administrative procedures; es- tablish an appropriate accounting and budgetary system; train PNA staff in inventory management and laboratory techniques; and develop a national drug policy, including strengthening the role of the private sector. 46. Government will undertake a number of measures aimed at improving PNA's management capabilities and developing an effective national pharma- ceutical policy as spelled out in a draft Plan of Action discussed and agreed with IDA (Section 3.07 and Schedule 4 of draft Development Credit Agree- ment). The Plan of Action would include measures to permit rapid settlement of the PNA's accounts in future, and to specify the drug budget allocable to each health facility. Further measures as proposed by the project technical assistance teams would be undertaken in consultation and agreement with IDA, and the effectiveness of all actions taken would be subject to an annual review and adjustments made as appropriate. 47. The project provides for construction, equipment, furniture, and training materials for a small national health education center to develop and disseminate public health information. Two man-years of specialist services would help develop a program of activities, including design of in-service training activities for health educators. At the regional level, the project would provide furniture, equipment and vehicles for regional health education services, and audio-visual equipment for all health centers. 48. The project also provides for eight fellowships for training quali- fied central MOPH staff in various aspects of planning and management of public health services, including personnel development and statistical compilation and analysis. In addition, about six man-months of short-term consultancies would be provided in physical planning of health facilities, and one man-year in personnel planning. With a view toward possible preparation  - 15 - of a follow-up project, funds would be provided for pre-investment studies. To strengthen MOPH's project implementation and evaluation capability, provision is made for establishment of a Project Management Unit (PMU) using already existing resources and services of MOPH together with an appropriate statistical/information system linked to the health centers (para 55). Short- term local training for seven MOPH statisticians would also be provided. Project Cost and Financing 49. Total project costs are estimated at US$16.7 million equivalent, excluding local taxes and import duties from which the project would be ex- empt. These costs include 200 man-months of technical assistance at an average cost per man-month of US$8,300 for expatriate consultant services and about US$1,000 for local consultants. Foreign costs are estimated at US$7.3 million (about 44 percent). Base cost estimates are in September 1982 prices. Physical contingencies of 10% have been added to the base costs for civil works, furniture and equipment, and architectural/engineering services. Price contingencies have been applied to foreign costs as follows: 1983, 8 percent; 1984, 7.5 percent; 1985, 7 percent; and 1986-87, 6 percent. The estimated loca'l price increases for construction are based on recent trends and forecasts by the Ministry of Equipment. These have been reviewed by IDA and found appropriate. 50. The proposed IDA Credit of US$15.0 million would finance the entire foreign exchange component and about 82 percent of local costs, representing about 90 percent of total project costs net of taxes. Government would meet the remaining local costs of $1.7 million equivalent. In any year during pro- ject implementation, the maximum Government contribution would be US$0.6 million equivalent. Additional recurrent costs generated by the project when it is fully operational in 1988 are estimated at about US$0.26 million equiva- lent annually, or about 1.3% of the total recurrent expenditures of MOPH for 1982/83. Incremental costs generated by the project are low principally because all facilities would replace or upgrade existing buildings, and design standards were adopted to minimize costs. Except for a few temporary (con- tract) staff, the project would not require new personnel. Government would ensure that all health centers are adequately staffed, and that all physical facilities provided under the project are satisfactorily operated and main- tained. (Section 4.02 of draft Development Credit Agreement). Procurement and Disbursements 51. Contracts for furniture and equipment (about US$2.3 million equiva- lent) would be awarded on the basis of international competitive bidding (ICB) in accordance with Bank Group guidelines. Items totalling US$7.3 million equivalent would be exempted from ICB. These include (i) construction con- tracts which are all small ($50,000-$500,000 equivalent each, and totalling US$6.8 million) and distributed throughout the country, and unlikely to in- terest foreign contracting firms, and (ii) furniture and equipment contracts (costing less than US$50,000 equivalent each, and totalling US$0.5 million). Such contracts would be awarded following local competitive bidding in accor- dance with procedures acceptable to IDA. Construction contracts costing more than $250,000 equivalent, and furniture, equipment and materials contracts  - 16 - costing more than $50,000 equivalent, would be subject to IDA review prior to award. These arrangements would result in a coverage of about 90% of the total estimated value of works contracts and 85% of the value of goods contracts; the balance would be subject to random post-review by IDA after contract award. (Schedule 3 of draft Development Credit Agreement). 52. Because Government is expected to have difficulty in pre-financing expenditures to be reimbursed under the Credit, an IDA-financed revolving fund of US$600,000 equivalent would be established. The opening of a Special Account in a local commercial bank for the purpose of establishing this fund is a condition of Credit effectiveness. Government would also establish a Project Account at the Treasury for its own local revolving fund for counter- part financing. Opening of this account and the initial deposit of CFAF 25 million is an additional condition of effectiveness (Section 5.01(b) of draft Development Credit Agreement). 53. Proceeds from the proposed Credit would be disbursed as follows: (i) civil works, 100% of total expenditures (US$6.7 million); (ii) furniture, equipment, vehicles and materials, 100% of foreign expenditures and 50% of local expenditures (US$2.3 million); (iii) technical assistance, professional fees, consulting services and fellowships, 100% of total expenditures (US$2.2 million); (iv) pre-investment studies, 100% of foreign expenditures (US$0.8 million); (v) refinancing of Nutrition, Health PPF advances, amounts due, 100% (US$0.8 million); and (vi) initial deposit in Special Account, 100% (US$0.6 million). An amount of US$1.6 million equivalent would be unallocated. Accounts and Audit 54. The project provides for services of an independent accounting firm to set up an accounting system for the Project Management Unit (PMU) and to audit PMU's accounts throughout the life of the project. Audited statements would be submitted to IDA no later than nine months after the end of each fis- P cal year. (Section 4.01 of draft Development Credit Agreement). Organization and Management 55. Formal establishment of PMU within the Ministry of Public Health would be a condition of Credit effectiveness (Section 5.01 (a) of draft Devel- opment Credit Agreement). Key staff of PMU would include a senior MOPH official as Director, a medical officer, a MOPH coordinating staff architect, administrator/procurement officer, and accountant. Government has already appointed qualified personnel to fill these positions. The Ministry of  - 17 - Urbanism, Habitat, and Environment (MUHE) will have overall responsibility for execution of the civil works component, and will also undertake design and supervision work for the five new health centers, the national health educa- tion center, and renovation of the drug warehouse. MUHE has assigned a full- time four-man architectural design team for this task, and in cooperation with MOPH, will prepare all necessary contract documents and partic4Date in the contract award committee. For renovation work on the four existing health centers, Government has selected two consulting firms to undertake design and supervision responsibilities. All architectural program activities will be coordinated by the PMU architect. Project Benefits and Risks 56. The proposed project would yield significant health service delivery and institutional benefits. Basic health services would be improved for about 660,000 people in rural areas served by the nine project-financed health cen- ters. An additional 2.8 million persons would be better served by the remain- ing 27 health centers in the country which would benefit from improved drug supplies, more effective health programs, and availability of trained person- nel. Improved operations at the health centers are expected to have a direct impact on reducing infant mortality levels below the current estimate of 204 per 1,000 live births in many rural areas, and maternal mortality below the present 500 deaths per 100,000 live births. Also importantly, the project would support Government's continuing attempts to promote cost recovery in the health sector by offering the population better services in return for their participation and financial contributions. Additional long-term benfits would be derived from the proposed training of about 530 medical staff of MOPH and about 2,000 community health workers, and from the strengthened capacity of MOPH to plan and implement effective primary health care services. 57. Risks to effective project implementation and to achieving expected benefits can be identified in three main areas as follows: (i) MOPH perfor- mance in planning and implementation has not always been satisfactory; (ii) if Government fails to meet incremental recurrent costs incurred by the project, the level of health center activity will be less than envisaged; and (iii) if there is inadequate planning and coordination, the health centers may fail to develop the capability required to effectively service health posts in their respective regions, and those sections of the rural population may not be adequately served. The design and preparation of the proposed project have taken account of these risks and appropriate measures taken to counter them, notably the active participation of key staff of MOPH throughout the prepara- 6 tion period, the fact that the project itself focusses on improved use of existing limited Government resources and entail only minimal incremental recurrent costs, and the strengthening of the MOPH's planning and programming capability in regard to rural health services. However, even in circumstances where the project does not reach as large numbers of beneficiaries as expected, it would still make an important contribution in the sector by re- storing credibility of the health centers in allowing them to effectively serve rural populations in their immediate vicinity.  - 18 - PART V - LEGAL INSTRUMENTS AND AUTHORITY 58. The draft Development Credit Agreement between the Republic of Senegal and the Association, and the Recommendation of the Committee provided for in Article V, Section 1 (d) of the Articles of Agreement of the Associa- tion, are being distributed separately to the Executive Directors. 59. Features of the draft Development Credit Agreement of special inter- est are listed in Section III of Annex III. Special conditions of Credit ef- fectiveness are: (i) opening of the Special Account and the Project Account, and initial deposit of CFAF 25 million in the Project Account (para. 52); and (ii) formal establishment of the Project Management Unit (para. 55). 60. I am satisfied that the proposed Development Credit would comply with the Articles of Agreement of the Association. PART VI - RECOMMENDATION 61. I recommend that the Executive Directors approve the proposed Development Credit. A.W. Clausen President By E. Stern Attachments Washington D.C. November 29, 1982  TABLE 3A SENEGAL - SOCIAL INDICATORS DATA SHEET SENEGAL REFERENCE GROUPS (WEIGHTED AVE .AGES AREA (THOUSAND SQ. KM.) - MOST RECENT ESTIMATE)N- TOTAL 196.2 MOST RECENT MIDDLE INCOME MIDDLE INCOME AGRICULTURAL 109.0 1960 /b 1970 /b ESTIMATE /b AFRICA SOUTH OF SAHARA NORTH AFRICA & MIDDLE EAST GNP PER CAPITA (US$) 210.0 260.0 450.0 1053.2 1253.6 ENERGY CONSUMPTION PER CAPITA (KILOGR4MS OF COAL EQUIVALENT) 116.1 116.6 253.1 610.1 713.5 POPULATION AND VITAL STATISTICS POPULATION, MID-YEAR (THOUSANDS) 3076.0 4267.0 5661.0 URBAN POPULATION (PERCENT OF TOTAL) 22.6 23.7 25.4 28.3 47.3 POPULATION PROJECTIONS POPULATION IN YEAR 2000 (MILLIONS) 10.1 STATIONARY POPULATION (MILLIONS) 34.2 YEAR STATIONARY POPULATION IS REACHED 2135 POPULATION DENSITY PER SQ. KM. 15.7 21.7 28.1 54.7 35.8 PER SQ. KM. AGRICULTURAL LAND 31.0 40.8 50.6 129.9 420.9 POPULATION AGE STRUCTURE (PERCENT) 0-14 YRS. 42.7 43.9 44.7 46.0 44.3 15-64 YRS. 54.3 53.2 52.5 51.1 52.4 65 YRS. AND ABOVE 3.0 2.9 2.8 2.8 3.3 POPULATION GROWTH RATE (PERCENT) TOTAL 1.9 3.3 2.8 2.8 2.8 URBAN 2.4 3.7 3.5 5.2 4.6 CRUDE BIRTH RATE (PER THOUSAND) 47.9 46.8 47.8 47.2 41.2 CRUDE DEATH RATE (PER THOUSAND) 26.5 23.2 21.3 15.7 12.2 GROSS REPRODUCTION RATE 3.2 3.2 3.2 3.2 2.9 FAMILY PLANNING ACCEPTORS, ANNUAL (THOUSANDS) USERS (PERCENT OF HARRIED WOMEN) .. .. FOOD AND NUTRITION INDEX OF FOOD PRODUCTION PER CAPITA (1969-71=100) 125.0 83.0 86.0 90.7 100.4 PER CAPITA SUPPLY OF CALORIES (PERCENT OF REQUIREMENTS) 109.5 98.8 94.8/c 93.9 108.5 PROTEINS (GRAMS PER DAY) 73.2 66.2 63.7T7 54.8 71.9 OF WHICH ANIMAL AND PULSE 22.5 20.8 18.6/c 17.0 18.0 CHILD (AGES 1-4) MORTALITY 3 41.8 36.8 31.8 23.9 15.1 HEALTH LIFE EXPECTANCY AT BIRTH (YEARS) 37.2 40.3 43.2 51.0 56.9 INFANT MOKTALITY RATE (PER THOUSAND) 181.7 164.4 146.8 118.5 104.3 ACCESS TO SAFE WATER (PERCENT OF POPULATION) TOTAL .. .. 37.0/d .. 59.1 URBAN .. .. 68.0/d .. 83.1 RURAL .. .. 23.07 .. 39.8 ACCESS TO EXCRETA DISPOSAL (PERCENT OF POPULATION) TOTAL .. .. URBAN .. .. RURAL .. .. 4 POPULATION PER PHYSICIAN 21971.4 16224.3 15709.6/c 14185.2 4015.5 POPULATION PER NURSING PERSON 2839.5/e 1888.1 1392.57T 2213.2 1802.2 POPULATION PER HOSPITAL BED TOTAL 735.0 790.3 900.5/c 1036.4 641.7 URBAN 391.3/f 346.5 422.07c 430.8 538.3 RURAL 1812.471 1311.9 1432.9Th 3678.6 2403.3 ADMISSIONS PER HOSPITAL BED .. 22.2 29.2/c . 25.5 HOUSING AVERAGE SIZE OF HOUSEHOLD TOTAL .. .. URBAN .. 7.6/g .. RURAL .. .0/g AVERAGE NUMBER OF PERSONS PER ROOM TOTAL 1.5/h .. URBAN .. .. .. RURAL .. .. .. ACCESS TO ELECTRICITY (PERCENT OF DWELLINGS) TOTAL .. .. .. URBAN .. .. .. RURAL .. .. ..  Page 2 TABLE 3A SENEGAL --SOCIAL INDICATORS DATA SHEET SENEGAL REFERENCE GROUPS (WEIGHTED AVERGES - MOST RECENT ESTIMATE)-a MOST RECENT MIDDLE INCOME MIDDLE INCOME 1960 /b 1970 /b ESTLATE /b AFRICA SOUTH OF SAHARA NORTH AFRICA & MIDDLE EAST EDUCATION ADJUSTED ENROLLMENT RATIOS PRIMARY: TOTAL 27.0 38.0 42.0 83.3 88.7 MALE 36.0 47.0 51.0 96.1 104.5 FEMALE 17.0 30.0 34.0 80.4 72.0 SECONDARY: TOTAL 3.0 9.0 1O.0/j 15.3 39.7 MALE 4.0 13.0 14.073 19.4 49.3 FEMALE 2.0 5.0 6.07 11.3 29.0 VOCATIONAL ENROL. (Y OF SECONDARY) 23.1 9.2 .. 4.7 10.1 PUPIL-TEACHER RATIO PRIMARY 43.2/f 45.0 42.3/c 38.6 34.1 SECONDARY 34.0 34.3 21.07W 23.4 23.7 ADULT LITERACY RATE (PERCENT) 5.6/i 10.0 10.0/c 35.6 43.3 CONSUMPTION PASSENGER CARS PER THOUSAND POPULATION 6.5 9.0 9.2/k 31.9 17.8 RADIO RECEIVERS PER THOUSAND POPULATION 40.6 62.8 54.4 71.8 131.3 TV RECEIVERS PER THOUSAND POPULATION .- 0.3 0.4 17.9 44.1 NEWSPAPER ("DAILY GENERAL INTEREST") CIRCULATION PER THOUSAND POPULATION 6.5 4.7 4.5 19.1 31.5 CINEMA ANNUAL ATTENDANCE PER CAPITA .. .. 0.7/d 0.6 1.7 LABOR FORCE TOTAL LABOR FORCE (THOUSANDS) 1424.0 1860.3 2311.2 FEMALE (PERCENT) 39.5 39.0 38.4 36.5 10.6 AGRICULTURE (PERCENT) 84.0 80.0 76.0 56.5 42.4 INDUSTRY (PERCENT) 5.0 7.0 10.0 17.7 27.8 PARTICIPATION RATE (PERCENT) TOTAL 46.3 43.6 40.8 37.0 26.0 MALE 56.3 53.7 50.8 46.9 46.2 FEMALE 36.4 33.7 31.0 27.2 5.6 ECONOMIC DEPENDENCY RATIO 1.0 1.1 1.2 1.3 1.9 INCOME DISTRIBUTION PERCENT OF PRIVATE INCOME RECEIVED BY HIGHEST 5 PERCENT OF HOUSEHOLDS 36.8/1 HIGHEST 20 PERCENT OF HOUSEHOLDS 62.5/i1 LOWEST 20 PERCENT OF HOUSEHOLDS 3.27I .. LOWEST 40 PERCENT OF HOUSEHOLDS 9.4_1 POVERTY TARGET GROUPS ESTIMATED ABSOLUTE POVERTY INCOME LEVEL (US$ PER CAPITA) URRAN .. .. .. 507.0 279.2 RURAL .. .. 82.0 200.6 178.6 ESTIMATED RELATIVE POVERTY INCOME LEVEL (US$ PER CAPITA) URBAN .. .. 194.0 523.9 403.6 RURAL .. .. .. 203.6 285.6 ESTIMATED POPULATION BELOW ABSOLUTE POVERTY INCOME LEVEL (PERCENT) URBAN .. .. .. .. 22.1 RURAL .. .. .. .. 30.9 Not available Not applicable. NOTES /a The group averages for each indicator are population-weighted arithmetic means. Coverage of countries among the indicators dependa on availability of data and is not uniform. /b Unless otherwise noted, data for 1960 refer to any year between 1959 and 1961; for 1970, between 1969 and 1971; and for Most Recent Estimate, between 1978 and 1980. /c 1977; /d 1976; /e 1963; /f 1962; /g 1973; /h 1955; /i African population only; /j 1975; /k 1974, /1 Population. May, 1982  Page 3 DEPIMITIOS OP SOCIAL1 INDlICATORSO Zanes: Altheagh thedaa r d raw ft icn utac generally judged the wet athritative end reliable, it ahold also be noted that they may not ha ltet- eatamaly cupereble he-asn of the lack of etcderdieed defieltioa and conceto oned hy different ceattie in coletig .h data. The dtn.r, ae theists. uafal to describe aeders of magitade. indicate atrad, and ohertecrie certain major dif fe_ec- huw-oconris The reference9gruoP era. (1)1 the seer counry grop of the suhiect ca-tocy end (2) a coun.try gtoap with aumehat high-n vrg intone than the co..ntry group of the ojntco_ rylecpt for "night Incom Oil Eoportecs" rOOP uhene 'Middle Incm North Aft io and Middle fast" to ch.one heceon of strougef auci-tacarl ufloila . I the reforeo-ce group deta thu avrges -opopolatlue weighted arithmeiti waus lot eah taditato cod uhon ciy abet majority of the counie it a group boo data f ow that todicaor. Sicce the coverge of c..unttw- aug the iodicatrn depeoda on the avilahilicy of data and is out aniora:,t . cooiasuet he voerciand Ic rlating averages of .on lodicator to a.tnier Thea. -Loorgna urn aly cuaful iccos.pring thu cube of on -oicctatacannug the c-nory nod refernoc groopo. AREA (choonud sq.ks.) Populatio per Hgaplil fad-t totl orhacL n tual-Popoltiaw (total, Total - Total -ufa- area c-pacieig load are ad inland ctera; 1979 data- ochm, add rura) divided hy choir ree.c ive to r of hospital heda dericoltora - Euatmac of ariulurl .ra u..d tempurnaily or permo- tly aviuble in pablic end privat E ge.ra na1 aputaliand hoepitL1 andre for coops, panture, market and kithen gerden nr to tie felo;191 aa haIiutio wct.gniaeeattahlbmoapemocayetffd by at least con physician facbliabsente providing pricaipally costa.- GNP Pig CAPITA (U1$) - iNP pet to.Pita ..im.. t uret maket pr , - dial care are not included. fraL1 hoepital, hoerr, include health tainted byanew cnnwetia swchd us Worldbob Atlon(19 78410 haste 96f. ad mdclcetr t petmattetly ntaffed by phylian. t(hot by.,a 19 78. ad 19ff data. medictl. aeiatn nae ideifo, etc.) ehich offe ta-pa teti ct dacina and provide u liniand rauge of edical futilities. PF-seas ENERGYt CONSGMPTIO P Rg CAPITA - annual... posori-n of - Irci,al erg (coa tical purposes obha hoopitls include WHlOs priocipa1/ga..tL1 hospitals, aod lignite. peroLcan, --1o gao and hydro-. _uana and guath a ale- ad rurl sp1 ae.local or rata bopitals sod medical ned maerity triicty) iv kilugrama of coo eo Futnipa capita; 1960, 1970. and 1979 cerium. Speaialieed honpicalo urn incodwd only under tota.1 data. Adm.insnn par MoePita1 Red - Totl1 totebr of admiostuon to or diochargee rum hoapialol divided by the outerL of hedo. POPUILATIONl AMP VITAL STATISTICS Total P.rltin Mid-Year (th-uado) - An of July 1; 1960, 1970. nod 1980 HOUSING dn.t Average lice of Hoshefld (p .r.... per houshId) -crl rban. and ral..- irha- Poplati-n (ercent of total - tioa of arho o toa ouaion aahl oesao gEcL of ilodividooemasoelvn qooti rr difetct efniian o aranron my ffet o~rohliy o drnacdthir al soI..Ahoade o logedsy or may cot be ittladed L o cutien; 1960, 1970. and 1988 data. the house.hold fr : Pctsio puposat. Papu1attun Prujaccinno. Aveaeotr of paroute ee roam- total, urban. an url -avrage PopulaJtilr in Year b2001 - Cnlrrct populoctic proecun r usda 980 her of ..ro. oeromi oiorhn an -ualocpied ccetionu tota popolatico y aead non and their mertaity ud fertilIt ran. dveligo, resp-ctively. Dwein gs cotluda o-eravt tocouad Projeotico paroatar for mertality races -uprisa oftre.evl.asn noccpied parts. leg -ife ..poc..ylat rhin ictreaiogl aih outry' mr capita inom Act... no Elecric in' (pecator elle)-ctL. . arhe, and vocal - level,faud facao ifaspctet thLtn at7.iers h aa Coaton donios th eetricity i living quarcern as p-rtoocge astern for fertility rae ls lav ahbren tuttle asnuiog declioc to of Itona, ncbac and enrol dsellingn r-op-c i-ly. frilitl cudo tobu lvla at fmiy planing performac.- fah tcutyIscr ssge o ofoanvt cciain of martality EDUCATION and fertility croids fur projeccioc porpocan. Adjosced Rcllettatto St-tioo..rY ropn-l-cioc- laantatio...ry Populacia ther to. no .groeh ntePrimar hcko1 total, note and femle - Gross Ltota, main and f-nls the birth :tutuitequo to the death rate, and alo cheagescroctreie- _oollant of all gen at the primaryIve at Peretae of enopertire solv contornt Tint achieved only after frt-a eaten declive to primary school-age popo1acicro; noal inldncil e .gd 6-il the roplecamer leve of -itne Letuucio rate, hd.. ..ch generaion yases baat adjasted for differect lucgnhn at plmacy dac-tino; tot ofsnerplace- itself ..octly.- The 'ttaiunay pupluoior sice wo o trieooirk universal eIdocatiac en set may enowed 100 percent esciasted so chr hoofs of cha projecte ch-ratoritcir of the ppyalotior tintra -pupils areblwoohe the official schocl ago. in the year 1000 andck manr.t of detlive of fertility rate to reploon- Secodary ochooli- ttne1, malt ad f-sl -_Computed an aho-; secondary int lve. rdaotiinnceqaiecao leas..t font ysarn of apprcv-d primary Icu _ci_n TereaInuay pclaisis cenhad - Tho yea eh- tatua.u.ery popolatiac provides gevrul notatioa,o tcercruicg instructIons for popilo tie ,i bronsobhd. gnlyo 12lt 17 peac of age;crepnec ure urn genrally Popalation DunaiLy rotlade . t Put to. ha. - Slid-year population per square lilometr (100 hbottoms o f loca tionl ctLlsett (percent of _ecoofry) -Vyuctiou ...I sititucio.s Itotl ue;1960, 1970 and 1979 data iccilda Lrh,io.idsra,o othe prgtson obich oprt iodeped- Par Sq.A. urccr lad- computd no shots for arioiurl od ctiyor Cadnpart_ute of onudary inscit.tioc. only; 1960. 197an199 data. Ppil-teath- rot I.- Primary. ...d seody - Totl1 studeons asralled in PopalaciunAetctnr pret. Children (0-14 yesrm). vrng-oe(5 primary aod senedary -levl dicided by ou-er of teachers in the 84 years), nod acairad (65 peers and ooer) as pecc-oge of mid-year papa- coLrrspood ig level. lot ion; 1960. 1970, and 1980 data. Adult literac rat (parc..t) - Litera.te du1tn (ski1 etc rcdan rie "PouainGot fai(e tenl - tutu - A-1no grooh rates of Ltota mid- anapeacentagE of cota adult populalio aged 15 years andovr yappociufor19501. 1 960-70. nd 1970-MG. "P,,"aio Growh fat (paccoctl - urb-o - Onuol grooth rates of urbas popo- CONSUM5PTION latiano for 1910460, 1907. nd iqy_oI-o brhgp.h...~f dy Pu.neoger Into (per thoa....dpocct(-Paegetcoopremcr Crude sirtch tate (portch- ...od) - Ano..i Iv bitsprhonnofldyr tarn neating less thus eight peroc..a; no-ldn atIunce. hearten ecd crude On _c 9 fte (pe chuud) .nna deaths per cho..e..d of eid-yrar cadio Rtoariver (rue c 0 -A..hoosand Porniutlon).- All tpes, of.recnver for rudia ppitino; 1960. 1970, ea 90dt.hoscnsugnrl nlrprtosd y tpitic rtlodv uL Groan Rtr-d-ctia- Rtar- Arr.g ..otter of doughtcurt w a cill hear it liued rcieeit cutrins sad is years ebrccta-ic of radio hrr ,-Il urdarv pro if she r_pri-.cs. proat-c age--up-ific fec- -at, was i effect; data for tor Years may -cibh comparable sc aLl oris nsolplc-year ..aregenc dive Go 1960, 1970, mcd 1980. motcutris blihd liesig feilr PI...iog - Accpos.Ana (huodel - Ano-e1 ombe of acceptors 10 tRceiv-rn prtonr popolucic) - TV ...eivrr for hr-dcti it of bilrth.-tuuI~ derico uad- auspices of notional family Piu.o.. L rgrn gura ubicpr _hu ed poplrnicos. n _bdos oti.ic...d TV reci-er famlyPloofg-i_c (poec_t of mariedcmt Pec--tge of married1 it .casti-i-nd is years whet regintrtioc of TVP sate - Go effect. eas of child-hearig age (1544 yart) toonbirah--ct-a1 device tc NowpyrCruain nrtosn outiil-S ihow h ate . aveag tic- olmrieditue i ae g eop olu oF t'dalygrr ttrs ncpe',dfion srrfd ira pohli-ation devtud primarily to .. nodioggeroswn It is cnidurod POOP AuNo NUTRITION to be tdaily" if it appears a tust Pourr LiMasa k. loden of rood Production perCapita (1969-711!00l oe ofpr oiuan l CnmaAnl AtedsnprC iaprTa-Boned on the OuterL of produtiaso i un oi e Prudnotiu .. clud. nee. ad feed aod tickets sold d-nIog the year, icisdiugadm.i...os to drire-in iaa -sonulsndnr year basis. Comditi its cove primaygo e.g.. .ag ..e. and mabil units.. iaadof vegar) which or edible end cnanatmt eg. cfe n tiruorneorlududl. Aggregoto pr-d-caic ofec c bcryi hamd orLABRt FORCf cioaoverag Prodoot Pric meigts; 1614,170.n 190 data. Tonal Labor F-r (thu.....ds) - &-tni-oiy action parsons. locludiog Per -apit. sceply of caois(cent of re'quir serial - Camptied from armed farces od unemployed hat.. eulading hanmive., atodunte. -t, noergy uqui-ae- of cur food sPppi te ovailuble iscoocttry Per topita coeigP-P'lno of oil oge. finic-o in vri.ut countries ore prday. Available sapptasi oprs domatic prodactic, imports less va coparable;190 1970I9 an1I Ddata nportr. usd chegon in stock. Nst supplies cotlode cima I,feed,znecds, Pnman (ercnl - Pmanlabor fcacs en psrca-cag of total Imbor forte. quant itie ased in food Procsing, aod losses in distrtuib s. eqirs-Aaclur r et - bLao furc is farls.K fLrrucy, hootisa and meio er rsiimIte-td by "AO bhamnd or physiolo,gica venda for ourml atti- fisbiog en percetage of totallao fcc;.1960.t. 190ud18da. na adhelh -coidreisgcoioeta tomynracoreboywihsug Ivdsstry (percana - LbhrIoc ir misig eotract . too,ma .utciniro andsesdisribtio ofpuploaor.nsdallwin 10peaeciforwase r ad eeaciciy,bste an gaes ercrauego toalf abotfoce househodileve"l; 196145. 17 sd1 977dec. 1960. 1970 mod 1900 Outs._ Per capita -uIlly of crotois acuna Pan day) -Proteoc eto e uia Porticipetion fat (per-tno - otl 1mt, end female Participative or oec srelyof fod ne day. Mec nurply of food is dcfirudan bo. Rie- aclis .ato. err campand 00 octal, main, ad feman labor force u qoireme-c for1 al ..couries entublished by 0500 provide o mi-ia peec..stege of toal 1ml and famale population of all gee reprtively; ello,cocces of 60 grams f cucl protein pen day nod 2018 grem of anmal ad1960. 1970, end 1980 dare. Tswor toon.d or Ito's puticipatioc rates posa protin, of which 10 gra_..houd be asis1 pro-eie Thu- stand- rrfloc,iiogtage-soc afrtar-e, of the _poplation, and bog time trend. A arde11 are ove abet chose cf 79 enema ofltotalprotin en 32 grema of fe simae are frmntoalearp aima pcis sa avrge forah ved rp d by FAD it the Third U2onoit D Pod..ty Motto -RAtic of popolatioc ucder iS and 65 and oe World Poud tSrvey; 1961465, 1970 and 1977 daaLt he total labor farc. Per capita erotein upl fom nma adnuo - Protnis supply of food dr- tired fromaiml adpulse in ram pa doy; 1914. 9) end 1977 data. INC0NE DISTRIBUJTION Child (ns16 et ae .gtsr oLaad ucldatsprtasr sPeceee rvt Income (both it teh and bind) - fa.elo-d by Licheet agLru 1 er. to cbldree isal g r ;fr ondvtplgtu- ecn.rcet2 pnrc...t. poorest 20 porc...n, und pourent 40 peLrcet ames doteP derivd from life tables; i960. 1970 and 1980 Once. of hous.eho1ds. HEALTH POVERTY TOAGEf GOsUPS LieI, tasyanBrc Vyet) bvnae ue of years af litfe reas.ing Th. fa1ILemig eoi-etes ore cry opycsimastmaure atpoetylels nobith 160 i17 an 190dt,ad shoold be otrprated with caostderakl. cu itia. Infant lrtolity fte (np- rhunesd) - Annua deaths of infants under une year fntasted Abcolste P-eety In.u_ lee_01 uceie - urban and rte1 - of uge pr hbMsad lic births; 1960. 1970 end 1960 dean, bacPoverty itcoe lve is hat L-cum Ier-I helue tick a msiml cee t SafeI -ace (pren f puenletini -tara, u;.rban, sod rural - Nss- otlliri:innly adqast diet pissstl oat-faadroquiromesas Ia vet he fpeople (comi. scen osdmci) mLk . J.snl co .o Lu safe offordable, asnt sop (.P Inclu.desintd ofc asters uoren .atc .ht ...unamlatd Etima-d gRl1ti- Paret som leve (11 pa -cpitl. - rban end cora - eatrs nob asfObo f ra protectd burchols.. prioge. and sanitary malls) us graL1 rLeLni- peeray imaa lvlin ny-third of avrage per capita Pecmtoge o theit rnspective pupoIatiuns. Is, me ark. an . pspablia . pesoa macaw uf the iantry. lbsn lsveIis duried fram the crel foant_i or stdnput locted nut mere thm 000 essrs f rum e house may he Iee with adjant t fur higher cost of ILvn n ra ams ac=sideda being wIhn sMbkls evens of thee heat.- In -1a ems fnlec Pseltiu Dev Oslie P. try I-om lawn Ipreet) - ubso esaunbis acase evld iply that the h.--eife or members ofthe hevcheld an oa ece fpplte nbu and eae)ekarcbsne do not her insada dispreprtinato pant of the day in fetahing the ea faiysatr mdc. sotee, of psopisfsei sobs, ad rsrs) secod by ..ers.ta dtmpnm1a Pcrestsgs of their rep=tiv- pupalentssa Easreta dipasoas sy Licldc mo at-tebpester-he sysia -r cbs .s of pit prIes med sim- PI: mlstlem acPhyIcan- Papsietims divided by s.. r of rasigphys..- aM-nia and Sotim1 Data Dtsias slas qsli let Prona -di.s make1 en nIversity imes. tanneS iAlysim mmd Prejeastams Dsprttet ftsosaltiem er Ime..e Ps. mem - FppWtaiss didad by .sbse af pras:tislg MSy 1962 sc mdfmmsl esdrstsssm. smeisamt macass ascasios macin sad  paf.~ 4 Population: 9,864 (mid-1q91. thojanisds) INP nDr capita: 111$s5Oo (191) Amount (million ItS$ Annual growtn ratnd (1) at cuintnart prie.. Tndic.tor at curro-ut pricuS) 4ctual Preliminary 'rojuctua MS 1976 1977 1978 1979 1980 t981 1982 1Q83 1994 1985 NATI(NAL ACCOItNTS Grods Oomestic Product n/ 2852 7.0 7.9 0.8 -8.0 8.1 -7.6 -0.4 10.2 4.5 3.3 537 tgriculture 609 9.2 9.5 -7.2 -6.2 17.1 -11.7 -5.8 19.9 5.6 4.4 4 .8 TlJudtry 687 5.1 7.5 4.5 -10.6 9.8 -14.9 6.7 10.6 5.3 4.6 4_0 S.rviced 1956 6.7 7.3 3.4 -7.7 7.5 -6.2 -2.7 7.7 4.2 2.6 3.8 ColadUMption 290H 6.5 2.4 18.7 -14.4 1.5 -5.3 -.5 4.5 2.3 -0.5 1.4 Groan Ilrveatmdnt 363 -28.6 58.9 4.0 0.01 3f. 9 -33.5 54.3 3.5 13-6 7.6 6_3 'xportd of GNPS 852 12.0 24.9 5.3 -27.9 35.3 -11 .9 -17.9 41.2 6.7 2.0 1.5 Imports of GNPS 1272 1.2 20.9 9.6 3.5 11.5 -20.3 8.3 -5.3 -5.1 -1.3 0.5 rrodd National Savillgd -57 -24.1 113.6 -34.0 -29.0 64.4 149.1 46.7 25_6 PRICCS GDP Deflator (1979 - 100) - - - - 100 112 124 1483 Exchange Rato (11S1- 214.3 239.0 245.7 225.6 212.7 211.3 Z12.0 340.0 - - - Share of CDP at Warket Prices (v) - vrage Annual Incrane (a ) (at current priCeds) (at constant pricus) 1970 1975 1qao 1985 1970-1975 1975-1980 1980- 1985 Grose Domsntic Product 100.0 100.0 100.0 1t0.0 2.3 0.5 4-3 Agricultur. 24.0 30.2 21.3 22.0 3.0 -0.8 5.5 Tndudtry 25.5 24.0 24.1 26.4 3.8 5.6 6.2 Other 50.5 45.8 54.6 51.6 1.4 -1.6 2.9 Consumption 89.0 qO.0 102.0 88.0 0.7 1.8 1.0 Gross Investment 16.0 18.0 13.0 20.0 4.7 0.4 15.0 Nxporta (CNFS) 27.0 36.0 30.0 28.0 - 2.8 3.3 Importa (GCFS) 32.0 42.0 45.0 36.0 - -2.1 -0.2 Gross National Savinga 11.3 12.3 -1.9 12.0 3.0 0.7 40.0 PUBLIC FINANCE b/ 7176 17 FY78 7179 FY80 7181 FY82 (in billion CPA francs) Currant Revenue 77.1 91.7 97.1 107.5 134.1 125.5 147.2 Current 'expenditured 77.2 83.1 94.1 101.4 131.8 139.6 155.6 Surplus (*) or Deficit (-) -0.1 8.6 3.0 6.1 2.3 -14.1 -8.4 Capital Expenditure 14.9 21.6 9.5 12.5 13.2 21.3G! 5.4 Surplus (+) or Deficit (-) -15.0 -13.0 -6.5 -6.4 -10.9 -35.4 -13.8 a/ At sarket prices b/ Central governmont only e/ Includes CPAP 8.8 billton for settlemenit of 5th plan operation.  Annex I Page 5 SENEGAL - EXTERNAL TRADE Population: 5,864 (mid-1981,thousands) GNP per captta: US$500 (1981) Annual Growth rates (Z) at Constant Prices Amount Actual Preliminary Projected Indicator (million USS at ----------------------------------- -------------------------- -------------------------------------- current prices) 1975 1976 1977 1978 1979 1980 1981 1982 1983 1984 1985 1980 EXTERNAL TRADE Merchandise Exports 492 21.9 34.6 6.0 -40.2 27.9 -31.5 -14.3 52.5 8.4 16.3 -0.1 Primary 324 38.0 37.0 0.5 -49.4 44.5 -33.0 -16.7 72.0 11.6 20.8 2.6 Manufactures 81 -15.6 39.1 19.5 -16.3 -2.3 -50.0 -20.0 16.7 7.1 6.7 -18.7 Petroleum 87 -4.3 -27.3 87.5 6.7 3.1 60.0 0.1 12.5 0.1 5.5 -10.5 Merchandise Imports 905 2.3 25.8 13.6 -7.9 16.2 -16.4 2.2 -1.6 -1.6 3.8 4.8 Food 195 -23.9 41.5 7.6 6.5 18.0 -29.0 15.0 0.1 -5.1 2.7 2.6 Petroleum 276 4.2 4.4 12.8 5.7 14.0 65.5 6.2 7.8 2.1 4.3 8.3 Machinery and Equipment 157 -13.0 12.1 18.4 -21.5 32.8 0.1 -3.7 7.7 0.1 7.2 3.4 Others 277 33.2 28.1 14.5 -8.9 10.3 -35.3 -4.0 -1.4 0.1 2.8 4.1 PRICES Export Price Index (1979 - 100) 114 89 78 97 101 100 114 152 141 153 168 183 Import Price Index (1979 = 100) 120 87 86 92 93 100 120 141 160 175 188 201 Terms of Trade Index (1979 = 100) 95 102 91 105 109 100 95 108 88 87 89 91 Composition of Merchandise Trade (x) Average Annual Increase (Z) (at current prices) (at constant prices) 1975 1980 1985 1990 1975-1980 1980-1985 1985-1990 Exports 100.( 100.0 100.0 100.0 9.0 10.0 2.4 Primary 70.5 66.0 79.4 78.0 0.1 14.6 2.8 Manufactures 22.5 16.5 9.1 12.0 6.3 2.9 7.9 Petroleum 7.0 17.5 11.5 10.0 8.4 1.2 -2.0 Imports 100.0 100.0 100.0 100.0 3.9 2.1 3.0 Food 23.2 18.5 19.6 16.2 10.4 2.8 -0.5 Petroleum 12.0 26.1 26.3 29.3 9.5 1.6 5.0 Machinery and Equipment 18.4 14.9 16.6 15.9 1.8 3.3 3.0 Others 46.4 40.5 37.5 38.6 1.0 0.3 3.0 Share of Trade with Share of Trade with Share of Trade with Industrial Countries (%) Developing Countries (%) Capital Surplus Oil Exporters (Z) 1970 1975 1980 1981 1970 1975 1980 1981 1970 1975 1980 1981 DIRECTION OF TRADE Exports -- 66.4 50.4 47.3 -- 20.0 36.6 36.2 -- -- 2.5 2.9 Imports -- 67.1 60.6 68.4 -- 11.5 18.7 15.8 -- 4.1 18.0 12.9  Annex I Page 6 SENEGAL - BALANCE OF PAYMENTS, EXTERNAL CAPITAL AND DEBT (millions U55 at current prices) Popnlation: 5,864 (mid-1981, thlousands) GNP per capita: US$500 (1981) Actual Preliminary Projected Indlcator 1976 1977 1978 1979 1980 1981 1982 1983 1984 1985 BALANCE OF PAYMENTS Exports of Goods 511.7 666.2 464.6 626.3 491.9 433.0 494.1 583.2 676.5 803.5 Imports of Goods 656.7 771.5 840.7 1004.2 905.2 919.1 820.6 882.9 944.1 1011.8 Set,ices (net) -53.3 -69.5 -69.4 -113.1 -118.0 -143.4 -120.6 -169.7 -179.7 -229.1 Net Transfers 106.2 107.3 136.7 181.7 206.2 197.8 127.0 137.0 150.9 166.2 Current Account Balance -92.1 -67.5 -308.8 -309.3 -325.1 -431.7 -320.1 -332.4 -296.4 -271.2 Official Capital 50.0 58.1 125.2 82.6 161.1 175.4 180.3 132.3 113.2 125.0 Private Capital 32.9 36.2 62.8 66.7 85.8 41.5 38.2 55.9 57.9 63.5 Monetary Capital 0.8 -0.4 -0.4 32.9 -- -- -- -_ __ __ Errors and Oulssions 6.7 -17.5 37.2 -- -31.7 36.0 -- -- -- Allocation of SDRs -- -- -- 5.6 5.2 8.1 -- -- -- Overall Balance -1.7 8.9 -84.1 -121.5 -104.7 -170.6 -101.5 -144.1 -125.3 -82.7 Change in reserves (-Increase) 1.7 -8.9 84.1 121.5 104.7 170.6 101.5 144.1 125.3 82.7 1975 1976 1977 1978 1979 1980 1981 1982 1983 1984 1985 1990 EXTERNAL CAPITAL AND DEBT Gross Disbursements Official Grants -- -- -- -- -- -- 45.0 30.0 40.0 40.0 45.0 0.0 Concessional Loans 30.1 23.1 38.0 54.7 63.8 68.2 187.5 145.9 139.8 166.0 189.2 262.2 DAC 11.6 8.6 15.8 12.8 18.5 12.5 37.2 44.5 61.3 84.2 98.0 136.7 OPEC 0.2 2.2 2.2 0.0 6.7 3.7 60.0 23.3 15.9 9.3 5.0 0.0 IDA 11.8 12.0 7.7 9.7 16.2 12.0 62.0 43.8 28.2 31.8 36.5 24.7 Other 6.5 0.3 12.3 32.2 22.4 40.0 28.3 34.3 34.4 40.7 49.7 100.8 Non-conceaslonal Loans 45.8 60.7 62.2 169.4 159.9 214.3 111.8 145.4 144.9 170.5 200.7 284.2 OEC 5.7 3.3 6.9 26.7 40.5 72.9 53.2 42.8 61.1 76.1 87.2 86.4 IBRD 7.1 4.7 12.9 6.6 11.0 17.9 21.9 29.5 11.6 12.2 15.0 43.2 Other Multilateral 0.0 0.0 0.2 6.6 1.8 13.6 9.4 25.8 29.9 36.5 45.7 84.7 Private 33.0 52.7 42.2 129.5 106.6 109.9 27.3 47.3 42.3 45.7 52.8 69.9 External Debt Debt Outstanding and Disbursed 296.6 351.4 428.3 614.4 797.5 957.0 1066.9 1231.8 1413.3 1646.2 1926.5 3459.8 official 164.6 187.5 245.4 349.5 464.4 617.4 843.5 1050.6 1248.2 1478.5 1743.9 3173.1 Private 132.0 163.9 182.9 264.9 333.1 339.6 223.4 181.2 165.1 167. 7 182.6 286.7 Undisbursed Debt 227.9 275.7 401.2 568.4 533.1 648.4 769.2 807.1 912.3 1241.6 1174.5 1542.4 Debt Service Total Service Payments 39.4 42.9 56.5 99.5 122.6 181).0 216.6 209.4 176.9 182.2 197.2 384.2 Interest 18.5 18.2 20.8 30.5 44.1 57.0 8(.3 82.7 73.6 78.4 87.4 161.1 Payments as X Exports 5.1 6.2 6.6 14.4 14.2 24.7 34.9 31.8 23.0 22.3 29.0 29.6 Average Maturity on New Loans (X) 23.1 19.2 11.2 12.8 20.9 8.0 8.0 18.9 21.6 22.6 17.0 17.0 Official 32.2 25.8 18.1 21.2 25.5 -- -- -- -- -- -- -- Private 5.4 6.2 6.2 6.7 6.5 -- -- -- -- -- -- -- As 2 of Debt Outstanding at Enid of Must Recent Year (1981) Maturity Structure of Debt Outstanding Prlncipal due within 5 years 30.1 Principal due within 10 years 56.8 Interest Structure of Debt Outstanding Interest due within 5 years 18.6 West Africa Region August 1982  ANNEX II Page 1 STATUS OF WORLD BANK OPERATIONS IN SENEGAL A. Statement of Bank Loans and IDA Credits (as of September 30, 1982) Amount, less cancellation Loan/Credit (US$ Million) Number Year Borrower Purpose Bank IDA Undisbursed Seven Loans* and sixteen Credits fully disbursed 29.0 104.4 530-SE 1975 Senegal Education II 15.0 2.40 1113-SE 1975 Senegal Agric. Diversification 4.2 1. 0.23 1222-SE 1976 Senegal Third Highway 15.0 1.65 633-SE 1976 Senegal Livestock 4.2 0.48 1332 SE 1976 SOFISEDIT Second Development Finance 4.2 0.31 1405T-SE 1977 Senegal Port of Dakar 6.0 0.68 1412T-SE 1977 Senegal Petite Cote Tourism 8.0 2.64 1413-SE 1977 Senegal Petite Cbte Tourism 5.6 1.83 764-SE 1978 Senegal Para Public Sector Tech. Asst. 6.3 0.10 775-SE 1978 Senegal Irrigation 20.0 4.98 1518-SE 1978 RCFS Railways III 11.0 2.02 1665-SE 1979 Senegal Second Airport 7.0 3.58 S-23-SE 1979 Senegal Water Supply Engr. 2.5 1.01 908-SE 1979 Senegal Education III 22.0 14.41 991-SE 1980 Senegal Small Rural Operations 11.0 9.26 993-SE 1980 Senegal Fourth Highway 28.0 17.25 1810-SE 1980 Senegal Fourth Highway 10.0 10.0 S-26-SE 1980 Senegal Power Eng and T.A. 3.3 2.51 1931-SE 1980 Senegal Structural Adjustment 30.0 16.71 1061-SE 1981 Senegal Technical Assistance 4.4 2/ 3.53 1973-SE 1981 SOC FIN Investment Promotion 6.5 6.5 SEN TOURIS 1136-SE 1981 Senegal Investment Promo ion 2.25 -/ 2.04 2025-SE 1981 Soc.D'Expl. Rail Transport 19.3 19.3 Ferroviaire 1103-SE 1981 Senegal Forestry 7.833/ 7-55 1176-SE 1981 Senegal Agri. Research 2/ 18.23 3/ 18.23 Total 155.80 249.41 149.20 of which has been repaid 12.54 1.47 Total now outstanding 143.26 247.94 Amount sold 3.4 of which has been repaid 3.2 0.20 - Total now held by Bank and IDA 3/ 143.26 247.94 Total undisbursed 65.45 83.75 149.20 * A loan of US$3.5 million for agricultural credit (584-SE) made in 1969 was cancelled on March 25, 1971. 1/ From the US$7.0 million oroginal amount, US$2.8 million was cancelled on June 25, 1982. 2/ Not yet effective. 3/ Prior to exchange adjustments.  ANNIEX II Page 2 B. Statement of IFC Investments (as of September 30, 1982) Amount (us$ Million) Equity Fiscal Obligor Type of Business Loan Investment Total 1967 Societe Industrielle Fertilizer Plant 2.45 1.01 3.46 d'Engrais au Senegal 1972) BUD Senegal S. A. 1973) Vegetable Export - 0.84 0.84 1976) 1974 SOFISEDIT Development Finance Company - 0.24 0.24 1980 Banque de l'Habitat Money and Capital du Senegal, S.A. Market - 0.47 0.47 1980 Societe Hoteliere du Barachois, S.A. Tourism 3.00 - 3.00 1982 Industrie Chimique du Senegal Fertilizer 25.00 25.00 Total Gross Commitments 30.45 2.56 33.01 Less Cancellations, Terminations, Repayments and Sales 2.45 1.05 3.50 Total Commitments now held by IFC 28.00 1.51 29.51 Undisbursed Balance 25.34 0.00 25.34  ANNEX II Page 3 B. Projects in Execution 1/ Cr. 530 Second Education Project; US$15.0 Million Credit of February 19, 1975; Effective April 22, 1975; Closing Date: December 31, 1982. All construction has been completed and all equipment delivered. The institutions financed under the project are operating satisfactorily. Govern- ment has decided to reorient its policies on post-primary education, and is considering alternative approaches to rural youth education; therefore, the number of new rural youth education centers under the project will remain at five, rather than 15 as envisaged earlier. The resulting cost reductions are being used, following IDA approval, to build and equip a maintenance unit for the science centers, and to complete the Merchant Marine School which now needs the boarding facilities and supplementary training equipment eliminated in 1979 to allow for rate exchange losses at that time. As the science and technology education programs are being implemented satisfactorily, the Government has requested that the Closing Date be postponed by one year to allow for full disbursement of remaining Credit funds. Ln. 1222 Third Highway Project; US$15.0 Million Loan of March 31, 1976; Effective June 15, 1976; Closing Date: September 30, 1982. The project consists of pavement strengthening of about 200 km of primary roads, equipment procurement, and consulting services for preinvest- ment studies, highway maintenance, and development of the domestic construc- tion industry. The pavement strengthening program has been completed. The road maintenance program begun under the Second Highway Project and extended under this project, is being continued under the Fourth Highway Project to strengthen the maintenance organization and operations. As a result of currency realignments and a civil works execution period that was shorter than planned, about US$2.5 million became available under the loan; the Bank agreed to use these funds to cover the foreign cost of extending technical assistance for road maintenance, improving workshops and training center buildings, and procuring workshop and training equipment. Implementation of this is now largely completed. 1/ These notes are designed to inform the Executive Directors regarding the progress of projects in execution, and in particular, to report any prob- lems which are being encountered and the action being taken to remedy them. They should be read in this sense, and with the understanding that they do not purport to present a balanced evaluation of strengths and weaknesses in project execution.  ANNEX II Page 4 Cr. 633 Eastern Senegal Livestock Project; US$4.2 Million Credit of June 17, 1976; Effective June 29, 1977; Closing Date: September 30, 1983. The project is designed to assist about 30,000 pastoralists in Eastern Senegal through improved grazing and herd management practices, devel- opment of stock watering facilities and firebreaks, improved animal health services, livestock credit, and a functional literacy program. Parallel financing is about 95% being provided by the Kuwait Fund and BADEA. The Credit is 85% disbursed but fully committed. Construction of buildings and wells is almost completed. The pastoral service established under the project is successfully carrying out livestock extension services in the grazing scheme area where 53 pastoral units have been created. A follow-up livestock component has been prepared for inclusion in the Eastern Senegal Rural Development Project now being prepared. Ln. 1332 Second SOFISEDIT Project; US$4.2 Million Loan of October 14, 1976; Effective April 21, 1977; Closing Date: December 31, 1982. In addition to providing SOFISEDIT with a second line of credit for industrial and tourism investments, the Loan has helped finance a pilot scheme for assistance to small-scale Senegalese artisans through SONEPl, the local industrial promotion agency. The Loan is now fully committed, and almost 95% disbursed. Ln. 1405-T Dakar Fishing Port Project; US$6.0 Million Loan of June 7, 1977; Effective March 20, 1978; Closing Date: September 30, 1983. Following a slow start caused mainly by time-consuming Government procedures, project implementation subsequently became satisfactory. Civil works have been completed. The quality of contractors, workmanship is good, and the new quays are in use. All the technical assistance services and studies, including the study for a proposed container terminal, are progress- ing satisfactorily. Overall performance of the Port Authority remains satis- factory, but there are continuing problems with receivables, statistics, and recruitment and retention of qualified staff. Port operations are still being hampered by rigid customs regulations. Ln. 1412-T Petit Cote Tourism Project; US$8.0 Million and US$5.6 Ln. 1413 Million Loans of June 7, 1977 as amended on May 12, 1980; Effective January 23, 1981; Closing Date: June 30, 1985. The project includes construction of infrastructure and common faci- lities for hotel development on the Petite Cote, a major tourist area where lack of infrastructure has so far limited such development; a program of works for renovation of Goree Island; and technical assistance and studies for long- term financing for hotel construction at the site. Construction of infra- structure works at the Sali site has been satisfactorily completed, and areas  ANNEX II Page 5 designated for hotel construction are ready for delivery. The first hotel (Palm Beach) opened in December 1980, and two other hotel projects are expected to get underway by mid-1983. Hotel promotion to attract investors to the Sali site is weak, and Government is seeking ways to improve this aspect of the project. Port and street works for the Goree renovation were completed in November 1981; however, progress has been slow in completing a package of renovation works on the Hotel Relais de l'Espadon on Goree island. Ln. 1518 Third Railway Project; US$11.0 Million Loan of March 17, 1978; Effective August 10, 1978; Closing Date: December 31, 1983. The project consists of track rehabilitation and maintenance, supply of material and equipment, improvement of telecommunications facilities and track in the Dakar area, supply of spare parts for motive power and rolling stock, strengthening of training programs and facilities, and studies. Track repair work between Kakar and Thies proceeded satisfactorily for about 12 months, but the quality of ballast procured by the Regie was found to be poor. Because neither the Regie nor the Government were able to provide the local funds needed for better quality ballast in FY81, track repair work was halted, but resumed in late 1981, though at a much slower pace, when some funds were provided by the Government. Work again came to a standstill for about six months in early 1982, but re-started in August 1982. All locomotive spare parts have been received, and locomotive rehabilitation works are now completed. The training program is progressing satisfactorily. Consultants have completed two phases of the study of the optimum structure and ownership of the Senegal Railway (together with the connecting Mali Railway); the Senegal Railway will be transformed into a Societe Nationale by end-1982. Traffic stagnated during FY80 and most of FY81, but international freight has reached substantially higher levels since early FY81 following establishment of a cooperative management group with the Mali railway, and has increased by a further 10% since July 1982. The project is likely to be completed by late 1983, probably with a local cost overrun of about $2 million but with no over- run on the foreign cost element. Cr. 764 Para-Public Sector Technical Assistance Project; US$6.3 Million Credit of March 17, 1978; Effective June 6, 1978; Closing Date: December 31, 1982. The project consists of a three-year program to help improve the efficiency of Goverrment organizations charged with strategic analysis, opera- tional supervision, and formal financial control of the para-public sector, and to upgrade the auditing, financial management, and accounting procedures for the sector as a whole and for a number of the most important public enter- prises and mixed companies. Consulting services and technical assistance have been generally satisfactory (and in some cases exceptional), and over the course of the project, performance of the agencies has improved substantial- ly. Overall guidance and direction by Project Management was not very effec- tive in the early phases of the project, but Government later took very positive measures to remedy this situation. Training programs for government administrators have been executed satisfactorily, with several intensive and  ANNEX II P)-, 6 specialized courses organized in 1980 and 1981. The audits of State enter- prises have been extremely useful, and follow-up of audit recommendations by the agencies has been good. Cr. 775 Debi Lampsar Irrigation Project; US$20.0 Million Credit of March 17, 1978; Effective June 30, 1978; Clos-Y'. Date: June 30, 1985 The project provides for development of about 2,760 ha through full water control irrigation in the Senegal River Delta, and construction of re- lated facilities; technical assistance to the project authority SAED; consult- ing services for applied research and studies for future development of the River Valley. Works on the IDA-financed Lampsar perimeter (2,023 ha) and on the Debi perimeter (740 ha) financed by the Kuwait Fund under a parallel financing arrangement, have been satisfactorily completed. Studies for future development of the Senegal Valley are well advanced, and will be available in time to permit appraisal of a proposed Irrigation IV project. This appraisal could be scheduled in March 1983, depending on results of discussions on how to relieve SAED's structural deficit. Ln. 1665 Second Aviation Project; US$7.0 Million Loan of April 18, 1979; Effective November 15, 1979; Closing Date: December 31, 1983. The project consists of levelling and strengthening the main runway and taxiway and improving the taxiway alignment at Dakar airport, together with the installation of navigation and visual approach aids at Ziguinchor and Cap Skirring regional airports. Work at Dakar airport was satisfactorily completed by the end of 1980. Equipment procurement is completed, and con- tracts for civil works at Ziguinchor and Cap Skirring have been awarded. The Bank has approved a Government request to use the available balance of the loan to finance supplementary works selected from the investment plan. This additional work, which includes rehabilitation of the terminal building and runway night lighting system, is now underway. Cr. S-23 Water Supply Engineering and Technical Assistance Pro- ject; US$2.5 Million Credit of May 23, 1979; Effective August 10, 1979; Closing Date: December 31, 1982. The project provides for economic, financial, and technical studies to prepare a priority investment project for rehabilitation and extension of P water supply systems in eleven secondary centers, including six regional capitals; and technical assistance to strengthen the planning and operating entities in the sector. Feasibility, organizational and financial studies have been carried out, and detailed engineering designs are well underway. The proposed investment project was appraised in March 1982.  ANNEX : Page 7 Cr. 908 Third Education Project; US$22.0 Million Credit of May 23, 1979; Effective August 16, 1979; Closing Date: December 31, 1984. TUree of the institutions created under the project, the Management Institute (ESGE), the College of Agriculture (INDR), and the Technical Teacher Training College (ENSET) have started to operate in temporary facilities. Physical implementation of all components started after an average delay of six months, but will be completed by end-1982. Equipment procurement is progressing with only minor delays. Following a recent Government decision to close boarding accommodations in all secondary schools, facilities at the primary teacher training college in Kolda have been converted into classrooms to accommodate a one-year auxiliary teacher training course. Also, because of the large number of teachers to be trained at Kolda, construction of new practice primary classrooms has become necessary. Overall, the project con- tinues to be efficiently managed. The audit report for 1980/81 was produced in June 1982, and the report for the next period is expected shortly. Cr. 991 Small Rural Operations Project; US$11.0 million Credit of April 2, 1980; Effective September 10, 1980; Closing Date: December 31, 1984. The project focuses on channelling funds and technical services to small groups of rural people who will undertake to provide labor, and some funds, for the development of several types of directly productive activities, namely: developmenit of small perimeters for irrigated cultivation of rice, vegetables, and bananas; beekeeping; and fishing. The project also includes village water supplies, an allocation for additional directly productive acti- vities to be identified and prepared during implementation, and provision for a management structure. The project is progressing satisfactorily despite some coordination problems. This is the first year of on-field implementation, and the enthusiasm of farmer and producer groups augurs well for a good take-off. Cr. 993 Fourth Highway Project; US$10.0 Million Loan and US$28.0 Ln. 1810 million Credit of April 2, 1980; Effective December 9, 1980; Closing Date: June 30, 1984. The major objective of the project is to increase Government's capacity to keep the road system in adequate condition, in particular, to train technicians and selected staff, to improve road work planning and pro- gramming capacity, and to rehabilitate and upgrade important road sections. The project consists of the following components: (a) a three-year training program for road maintenance staff; (b) a two-and-a-half year technical assistance program for road maintenance execution; (c) upgrading of the Government's soils laboratory to strengthen its participation in road main- tenance activities; (d) design of proper and systematic pavement maintenance and strengthening programs; (e) strengthening and rehabilitation of about 200 km of primary paved roads; and (f) construction of the Louga-Dahra road (about 85 km) to two-lane, paved standards, financed in parallel by the Japanese Government. Almost all procurement has been satisfactorily completed, and the physical works, as well as consulting services for studies are well under-  ANNEX IIl Page 8 way. The training component encountered difficulties with budget allocations and recruitment of trainers in mid-1982, but these problems are expected to be overcome during 1983. Cr. S-26-SE Power Engineering and Technical Assistance Project; US$3.3 million Credit of June 18, 1980; Effective August 29, 1980; Closing Date: June 30, 1984. The major objective of the project is to help Government develop an overall energy plan and reorganizing the power sector. The reorganization study has been completed, and legislation for creation of a national power entity is being finalized. Two technical advisors for general energy and power sector planning have been provided to the Ministry of Industrial Development. An overseas training program is underway for Senegalese offi- cials responsible for energy planning. The project also includes audits, fi- nancial and tariff studies, and feasibility studies for a headquarters building for the new power entity and for the renovation and expansion of distribution facilities. Project implementation is well underway. Cr. 1061 Technical Assistance Project for Economic and Financial Planning; SDR 4.1 million (US$5.3 million equivalent) Credit of October 27, 1980; Effective January 9, 1981; Closing Date: June 30, 1984. The project is aimed at supporting and strengthening the Government's ability to identify, select and prepare, monitor execution of, and carry out retrospective evaluations of its portfolio of development projects. The pro- ject also aims at strengthening public debt monitoring, budgeting and fore- casting capacity, and improving coordination between project needs and public financing. Long-term consultants have been recruited and now well estab- lished, and a number of studies have been selected for financing. The project is being executed satisfactorily. Ln. 1931-SE Structural Adjustment Loan and Development Credit: Cr. 1084-SE US$30 million Loan and SDR 22.9 million (US$30 million equivalent) Credit of January 26, 1981; Effective March 30, 1981; Closing Date: June 30, 1983. US$40 million equivalent of the Loan/Credit proceeds have been made available to the Senegalese Government to help finance its medium term eco- nomic stabilization and rehabilitation program. A progress report on the exe- cution of the first tranche is being prepared by the Government. Counterpart funds are being used principally in the agriculture sector for reorganization of the rural development agencies, for which prospects are mixed: the agen- cies responsible for Irrigation and cotton development have prepared accept- able short-term programs, but rainfed crop agencies cannot prepare acceptable programs until Government policies on farmer participation, input supply and pricing, credit, and marketing, have substantially improved. About US$1.0 million equivalent is being used for consultant studies.  ANNEX II Page 9 Cr. 1103-SE Forestry Project; SDR 7.3 million (US$9.3 million equivalent) Credit of March 11, 1981; Effective July 1, 1982; Closing Date: December 31, 1986. The project aims at meeting the steadily increasing demand for fuel- wood and forest products in the urban center of Dakar and in rural areas of the heavily populated Groundnut Basin, where rapid population growth is resulting in serious deforestation. Project implementation is now underway. Ln. 1973-SE Investment Promotion Project: US$6.5 million Loan and Cr. 1136-SE SDR 2.1 million (US$2.5 million equivalent) Credit of July 17, 1981; Effective February 11, 1982; Closing Date: June 30, 1985. The project aims at promoting productive investments in Senegal by: (i) reinforcing SOFISEDIT, both financially and institutionally; (ii) pro- viding loan and equity finance for viable subprojects; (iii) improving the efficiency of SONEPI, the local industrial promotion agency; and (iv) stream- lining the investment approval process. Although project implementation is still at an early stage, commitments under the line of credit have been progressing quite rapidly. Little progress has been made, however, in revers- ing the deterioration of SOFISEDIT's financial position, and the company's portfolio continues to be plagued by a high level of arrears. SOFISEDIT's Management and Board are now formulating a program to reverse this trend, and also to improve administrative and operational efficiency of the institution. Ln. 2025-SE SEFICS Rail Transport Project: US$19.3 million Loan of September 30, 1981; Not yet effective; Closing Date: December 31, 1984. The project aims at creating SEFICS, an operating subsidiary of the parent fertilizer producing company called ICS, for providing and managing rail transport services needed by ICS. SEFICS will operate the ICS trains on Senegal railways. main line tracks after paying a track user charge. Cr, 1176-SE Agricultural Research Project: SDR 17 million (US$19.5 million equivalent) of March 12, 1982; not yet effective; Closing Date: June 30, 1988. The project aims at reorganizing and decentralizing the national agricultural research effort by making it more adapted to small farmer needs. Under the project the Senegalese Agricultural Research Institute (ISRA) would be reinforced to carry out (i) 5 production systems research programs in Senegal's major agro-ecological zones, and (ii) six nationally coordinated multidisciplinary commodity programs on groundnuts, millet, sorghum, maize, rice, and cowpeas.  ANNEX III Page 1 SENEGAL RURAL HEALTH PROJECT SUPPLEMENTARY PROJECT DATA SHEET Section I: Timetable of Key Events (a) Time taken by country to prepare project: July 1980 - May 1981 (b) Project prepared by: Ministry of Public Health, assisted by IDA staff and consultants financed under PPF advances. (c) First Bank mission to consider project: November 1978. (d) Date of departure of appraisal and post- appraisal missions: June and December 1981 (e) Date of completion of negotiations: November 1982. (f) Planned date of effectiveness: March 1983. Section II: Special Project Implementation Actions by IDA: none Section III: Special Conditions. During negotiations, Government has provided assurances on the following principal items: (i) proposals for establishment of a long-teri~ national in-service training program for health personnel and community workers would be submitted to IDA for review by December 31, 1985, and Government would undertake to implement the program as agreed (para. 44). (ii) Government would undertake drug testing at PNA's laboratory by December 31, 1984, with adequate technical personnel identified and trained for this purpose (para. 45). (iii) Government would implement a Plan of Action acceptable to IDA to improve PNA's management capabilities and develop a national pharmaceutical policy (para 46); and (iv) Government would maintain adequate staffing of health centers, and ensure the satisfactory operation and maintenance of all physical facilities financed under the project (para 50).  ANNEX III Page 2 (c) Special conditions of Credit effectiveness would be: (i) formal establishment of the Project Management Unit (PMU) (para 55). (ii) opening of the Special Account under terms and conditions acceptable to IDA, for establishment of the IDA-financed revolving fund (para 52); and (iii) opening of the Project Account for deposit of Government counterpart contributions and payment of the initial deposit of CFAF 25 million (para 52).  I  IBRD 16326 MARCH I1d2 2$AN ARCF AMA RIT NI SENEGAL MR> F SI 'N 5; 5KyHAEr^s} - 4 t t R ^ 1 | X + tt Ah A U R I T A N I AS E HEALTH PROJECT I T' r I X dJ A L IA- - HF -. 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