Ecuador - Second Vocational Training Project

Document of The World Bank FOR OFFICIAL USE ONLY Report No. 3643b-EC STAFF APPRAISAL REPORT ECUADOR SECOND VOCATIONAL TRAINING PROJEC'. May 10, 1982 Projects Department Latin America and the Caribbean Regional Office 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.  CU]RRENCY EQUIVALENTS (as of April 1, 1982) Currency-Unit Sucre (S/) US$1.00 = S/30.00 S/1.OO = US$0.033 S/ million US$33,333 MEASURES 1 square meter (In2) = 10.76 square feet (ft.2) 1 kilomelter (km) = 0.62 miles GOVERNMENT OF ECUADOR Fiscal Year January 1 - December 31 GLOSSARY CONADE - Consejo Nacional de Desarrollo CENDES - Centro Nacional de Desarrollo Industrial SECAP - Servicio Ecuatoriano de Capacitacion Profesional J  FOR OFFICIAL USE ONLY ECUADOR STAFF APPRAISAL REPORT ON A SECOND VOCATIONAL TRAINING PROJECT Table of Contents Page BASIC DATA I. MAJOR ISSUES IN SKILL TRAINING .......... ................................. . 1 Overview .................* * **...............* . 1 Skill Shortages .......... ....... ... ........................... 1 Low Quality of Training Programs ........... .................... 4 Consequences of Skills Training Inadequacies ................... 4 II. THE SECAP VOCATIONAL TRAINING PROGRAM .......................... 5 Introduction .................. ........ ....................... 5 Major Distinguishing Features ....... ...................... . 5 objectives ................................ ............ .......a .... 5 Program Description ............ ................................ 6 Administration .. ............................................. 6 Training Centers and Programs of Study ....................... 7 Instructor Characteristics and Preparation ................... 8 Student Evaluation, Placement and Follow-up .................. . 8 Financing ...................................................... 9 Assessment of Strengths and Weaknesses ...... ................... 10 Development Plans ............................................... 12 III. THE PROJECT ....................................................... 16 Objectives .................................................... 16 Components and Description .... ................................. 16 Vocational Training Centers .................................... 17 Mobile Training Units .......................................... 20 Instructor Training and Instructional Materials Production Complex ................... ......... ............. 21 - Further Development Plans ......... .. . .......................... 23 Technical Assistance .....................--.---. 24 This report is based upon the findings of an appraisal mission to Ecuador during May and June of 1981, composed of Messrs. S. Apergis (Economist and Mission Leader), W. Hobbs (Senior Technical Educator and SAR writer), and Y. Matallana (Architect, Consultant). | 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.  TABLE OF CONTENTS (Continued) IV. PROJECT COST, FINANCING AND IMPLEMENTATION ..................... 26 Cost of t:he Proj ect ..................................................... 26 Recurrent. Cost Implications ................. ................... 29 Project F'inancing and Disbursesment Plan ........................ 31 Implementation, Procurement and Auditing ....................... 32 Monitoring and Evaluation ......................... ,............ 35 V. BENEFITS AND RISKS .................................................... 36 Benefits ... .................................................... 36 Risks ... ......................................... 0.................. 36 VI. AGREEMENTS REACHED AND RECOMM:ENDATIONS ......................... 37 Tables 1.1 Evolution of the Labor Force, 1974-1986 2.1 Enrollments and Outputs by FieLd--1980 2.2 Recurrent Costs per Student-Hour of Instruction 2.3 Skilled Worker Demand Assigned as SECAP Training Quota 2.4 SECAP Development Plan Parameters 2.5 Instructor Requirements to 1990 3.1 Project Components, Enrollments and Outputs 3.2 Regional Distribution of Training Centers 3.3 Enrollment:s and Annual Outputs by Programs of Study when Fully Operational in 1987 3.4 Staff Development Plan, 1983-1986 3.5 Projected Output of Instructor Training Center 3.6 Technical Assistance Requirements 4.1 Estimated Total Project Cost by Project Component 4.2 Total Project Cost by Category of Expenditure 4.3 Unit Cost Comparisons for Vocational Training 4.4 Expected Annual Price Increases During Implementation 4.5 Estimated Recurrent Costs of SECAP Program by Years 4.6 Estimated Schedule of Disbursements 4.7 Implementation Schedule ANNEXES ANNEX I Comparative Education Indicators ANNEX 2 Structure of Education and Training System (1973) ANNEX 3 Structure of SECAP ANNEX 4 Contingency Allowances ANNEX 5 Criteria for Construction Site Selection ANNEX 6 Related Documents and Data Available in the Project File MAP  BASIC DATA (1980) Total Population 8.4 million Literacy Rate (over 15 years of age) 81% Secondary School Enrollment as a Percentage of Age Group 12 to 17 44% male 49% female 47% total Higher Education Enrollment as a Percentage of Age Group 18 to 23 37% male 20% female 29% total Central Government Expenditures on Education as a Percentage of Central Government Expenditures 35.5% recurrent 4.9% capital 27.0% total Total Expenditures on Education as a Percentage of GDP 6%  I. MAJOR ISSUES IN SKILL TRAINING Overview 1.01 The major issues in skills training in Ecuador are the shortage and low quality of skilled workers. These problems have adverse consequences on industrial productivity and will become progressively more serious if not adequately addressed. Skill Shortages 1.02 There is an urgent need for skills training programs of various types, skills requirements are rising steadily, and the current output is insufficient to meet projected demands due to insufficient training opportunities. 1.03 Need for Skills. In efforts to reestablish the high average annual rates (8.3% at constant 1978 prices) of economic growth between 1970-1979, policy makers are faced with diminishing receipts from petroleum and a rapidly increasing and largely unskilled labor force. In view of this situation, increasing investment in skills training becomes more desirable. Improving the skill levels of new entrants, as well as upgrading the skills of existing workers, would increase productivity and reduce capital waste due to inappropriate operation and maintenance of equipment. Also, increased skills training opportunities for rural to urban migrants would permit their employment in the higher productivity economic sectors, thus avoiding undue expansion of the marginal labor force that is grossly underemployed in low productivity services. Appropriate training programs and locations can help in exploiting more fully the potential advantages of the Andean Pact and more generally facilitate the production of competitive exports. Additionally, strategically located training facilities can encourage movement of economic activity towards the smaller population centers with growth potential. This, in turn, would contribute to a balanced and efficient transition to an urbanized economy. 1.04 Human Resource Requirements for Development. Aware of the potential benefits of investment in skill training facilities, the Ecuadorian planning body Consejo Nacional de Desarrollo (CONADE), has prepared plans for the formation of the human resources required for attaining planned economic rates of growth. These requirements are based upon the population census of 1974. They are projected on the basis of labor force growth estimates, actual economic growth through 1980 and a planned growth rate of about 6% during the period of 1981 through 1985. The following table provides the projected size of the labor force in 1986, its composition by occupational category and the average annual demand during the 1974-85 period.  Table 1.1: EVOLUTION OF THE LABOR FORCE, 1974-1986 ----------- In Thousands ------------- Average Labor Force Incremental Annual Projected Demand a/ Demand Occupational Category 1974 1986 1974-1985 (1974-85) 1. Professionals and - Related Personnel 91 262 204 17 2. Managers, Administrators 19 51 39 3 3. Office Personnel 73 156 109 9 4. Commerce and Sales Personnel 152 237 132 11 5. Farmers and Related Personnel 1,242 1,340 659 55 6. Transport Workers 48 65 31 3 7. Artisans and Operators 263 531 362 30 -8. Other Artisans and Operators 63 110 68 6 9. Other Work.ers, n.e.c. 62 126 86 7 0. Services and Related Personnel 142 335 250 21 1. Persons n.e.c. 105 67 -27 -2 Total 2,260 3,280 1,913 a/ Includes aLdditional requirements due to: (i) actual economic growth through 1980; (ii) planned economic growth from 1981 through 1985; and (iii) attrition. Allowances have also been made for projected increases in labor efficiency. Table 1.1 indicates substantial annual increases in industrial workers needed in the order of about 30,000 new artisans and operators each year. It is estimated that about 18,000 (16%) of those should be skilled workers.  - 3 - 1.05 Insufficient Supply of Skilled Industrial Workers. Formal entry-level training is mainly the responsibility of institutionalized training programs under the Ministry of Labor and large public sector corporations and, to a lesser extent, the Ministry of Education. The role of private training institutions, except for the clerical trades, is expected to diminish even below its current low level as training programs become more expensive to equip. Estimated total outputs of all institutional sources in 1979-80 were only about 2,000 newly skilled industrial workers as contrasted to an average annual demand of about 18,000 (para. 1.04). By 1984, the output from existing institutions and those under implementation are still not expected to exceed about 3,600 or about 20% of the estimated annual demand. Additionally, there is a large and continuing demand for upgrading training for employed workers. 1.06 Causes of Shortage. The major causes of the short supply are the low proportion of secondary technical graduates that join the labor force; inadequate training opportunities in terminal skills programs; and insufficient regional distribution of terminal skills programs. 1.07 A low proportion of secondary technical graduates join the labor force. Only about 600 (32%) of the average annual output of about 1,900 industrial graduates. of 1978 and 1979, entered the labor force, with the remainder continuing on to higher education. This low entry rate, as contrasted to a more desirable rate of 60-70% in similar countries, is due to inappropriate curricula, poor equipment and unrestricted university entry regulations. The problem in part is being addressed by two projects. Under Credit 124-EC l/ the Bank assisted in upgrading the quality of industrial skills training programs, and increasing their relevance to industrial needs, In four of the technical secondary schools. The Inter-American Development Bank is also assisting in upgrading programs in eight additional secondary technical schools. The project is scheduled to be completed in 1984. 1.08 Inappropriate public and governmental perceptions of the economic value of vocational-training have resulted in inadequate training opportunities. Although vocational-technical training has been provided in the upper secondary system since the middle 1950s, in 1978 industrial courses comprised only 4.6% of the total enrollments in the technical secondary 1/ Due to implementation difficulties the project was not completed until 1980. Consequently, the first graduates from the updated facilities were in 1980; however, the industrial training facilities became operational in 1977-78. Although,data are not yet fully available, it is expected that about 65%-70% of the students of the improved secondary programs will enter the work force upon graduation. The major lessons learned were the difficulties in the timely provision of counterpart funds by the Ministry of Finance and the inadequacy of project implementation management by the Ministry of Education.  - 24 - schools. Furthermore, the low capacity of the non-formal institutional training sub-sector produced only 2,0()0 new industrial workers in 1980 as contrasted to an average annual demand of about 18,000. However, it was not until 1980 that the Government declared vocational skills training as a priority area in its development planiing and that plans for expansion began to be made. 1.09 The regional distribution of training opportunities in terminal skills training programs is inadequate. In 1980 only two public training centers (Ambato and Cuenca) were available for the three-fourths of the population living outside the major ciities of Quito and Guayaquil. These centers, with only about one-third of total enrollments, were operating in inadequate and poorly equipped rented facilities and offered only short upgrading and adult training courses, mainly in the business field. Low Quality of Training Programs 1.10 The second major issue is the low quality of industrial skills training programs, especially at the secondary levels and in private programs. The relevance of training to employment needs in the secondary technical programs, especially in the industrial trades, is low because of inappropriate curricula, poorly qualified instructors and insufficient equipment and training materials. 1.11 The low quality is a result of curricula and course syllabi which are overly theoretical, university-oriented and, consequently, largely irrelevant to the needs of industry for skilled workers. Quality is also affected by inadequate inputs from business and industry in maintaining the relevance of course syllabi due to the lack of functional industrial advisory and job follow-up systems. The lack of business or industrial experience in the majority of the instructors resulls in frequent failures in the application of specific knowledge and skills to industrial work situations. Poorly equipped laboratories and shops and insufficient training materials also adversely affect the quality of itraining. Consequences of Skills Training Inadequacies 1.12 The consequences of these deficiencies are: a serious shortage in the number of annual outputs of skillead workers (para. 1.05); and an output of inadequately skilled and motivated graduates who are reluctant to enter the work force. The situation is further complicated by the strong social pressure to continue education. In the final analysis this leads to low productivity because skilled workers need to spend an inordinate amount of time in training new workers on the job. In view of the limited institutional capacity for the training of artisans and operators, signifi- cantly increased training efforts by both Government and private enterprise including on-the-job training, will be required to meet projected levels of demand for skilled workers.  -5- II. THE SECAP VOCATIONAL TRAINING PROGRAM Introduction 2.01 Since 1968 the major responsibility for the training of semi-skilled and skilled workers has been assigned by law to the Servicio Ecuatoriano de Capacitacion Profesional (SECAP). SECAP is a semi-autonomous agency governed by a board of directors representing the Government, private enterprise and the trade unions. The board is chaired by the Minister of Labor, of whose ministry SECAP is a dependency. Major Distinguishing Features 2.02 The SECAP training program is designed to train semi-skilled and skilled workers through flexible terminal training programs. SECAP's distinguishing features are: (a) it is semi-autonomous and operates under a board of directors representing government, industry and labor unions; (b) by law about one-half of its operating costs are to be financed through a payroll tax on business and industry and the remainder through public budget allocations; (c) it tends to be responsive to the changing needs of the production and services sectors through its upgrading courses for employed adults; (d) the curricula and course syllabi of its training programs empha- size the application of knowledge and skills in accordance with industrial requirements and 65% of the total instruction time is in applied shopwork; (e) its training programs are strictly terminal and employment oriented; (f) about two-thirds of its trainees, both in full-time and in adult short courses are from low income urban groups and about one-third of its participants are women; and (g) it has a continuous instructor training program. Objectives 2.03 The SECAP training program has the following major objectives: (a) expanding the output of skilled workers and middle-level managers for business and industry; (b) upgrading the skills of employed workers and retraining workers for new skills where necessary; and  - 6 - (c) upgrading the quality of training programs by providing a channel through which business and industry can participate in program development and implementation. Program Description 2.04 Administration. SECAP has three levels of administration--central, regional and local. Currently the regional and local levels coincide because of the low number of training centers. At the central level policy is determined by a nine-member Board of Directors chaired by the Minister of Labor and consisting of the Ministers of Education and Industry, the Director General of the National Center for Industrial Development (CENDES), two representatives each from employers and labor unions, and a representative of the National Development Council (CONAI)E). Normally the Board meets monthly. An Executive Director, appointed by the Board of Directors for an indefinite term, is the chief administrative officer of SECAP. He is assisted by the five directors of planning and evaluation, legal affairs and public relations, technical affairs, operations, and administration (Annex 3). The directorate of planning and evaluation, with a professional staff of 12, is responsible for medium and longer term planning, design and coordination of graduate evaluation studies, and arranging for the design and construction of new-buildings. The directorate of technical affairs is responsible for curriculum and course syllabi development and instructor training. It is staffed by a full time core of six subject-matter specialists and six teacher trainers. The directorate of operations is responsible for coordination of local instructional programs, the mobile training system and instructor recruitment. The directorate of administration is responsible for financial affairs and personnel records. 2.05 The regional coordinator system will become functional when justified by greater numbers of centers in the various regions. It will coordinate training programs between centers within the respective regions to meet the needs of business and industry. It will also coordinate and facilitate business, industry and training center relations and student placement. 2.06 At the local level, the director of each training center is the chief administrative officer and reporl:s to the Executive Director of SECAP through the Director of Operations. The center director is assisted by coordinators of training programs and administrative services who, in turn, are assisted by the chiefs of training programs. Also, informal representa- tives of local and regional business and industry advise the director on training matters and student placement., 2.07 Recruitment is coordinated al: the national level by the Directorate of Operations and at the local level by the center directors. The SECAP program is promoted through radio, television, national and local newspapers and a variety of brochures and reports. It emphasizes the important role of skilled workers in economic and social development, describes the kinds of training programs available, employment opportunities and the placement system. This promotion is successfully directed towards potential students, parents, business and industry, and the general public. Applicants for  enrollment greatly exceed the training capacity of all centers and no problem in student recruitment is expected in the planned expansions. 2.08 Training Centers and Programs of Study. In 1980 SECAP's training programs were carried out in six centers, only two of which (operating in rented facilities) were located outside of the two major cities. Current enrollments of full-time and part-time students in morning, afternoon and evening shifts are shown in Table 2.1. Table 2.1: SECAP ENROLLMENTS AND OUTPUTS BY FIELD--1980 Enrollments Upgrading New Annual Field of Training Courses Trainees Total Outputs Agriculture and Food Processing 3,990 20 4,010 3,600 Industry and Construction 6,350 830 7,180 5,670 Commerce and Services 9,390 - 9,390 8,140 Total 19,730 850 20,580 17,410 2.09 The training centers have three types of training programs-- regular full-time programs for youths of 14-18 years of age, adult programs for new trainees of more than 18 years of age, and upgrading programs for employed workers. As seen in Table 2.1, upgrading courses for employed workers dominate the training programs, comprising about 96% of the total. The regular programs are open to students who have completed a minimum of six years of schooling. These programs are offered only during the hours of 7 am to 2:30 pm for five working days per week and 40 weeks per year. The first two years of training are conducted in the centers and are followed by center-supervised, on-the-job training for a period of six to twelve months depending upon the type of skill. The adult programs also require the completion of at least six years of schooling. These programs are offered mainly during the afternoon hours of 2:30 to 9 pm, but may be also offered during the morning hours in some centers. Program length varies from 120 to 2,700 hours with an average of about 1,760 hours. The upgrading programs for employed workers are offered to employed adults desiring to improve their skills. With a few exceptions, these programs are taught in the evening hours from 6 to 9 pm. Program length generally varies from 60 to 480 hours, with an average of about 240 hours. SECAP also has mobile training courses which provide short training courses of up to 140 hours duration in small urban areas and rural communities. Four mobile units are currently operational in highway and construction machinery maintenance and in farm tractors and machinery, and overall performance has been good.  - 8 - 2.10 Curriciula and course syllabi have been developed by business and industrially experienced subject-matter specialists and, in the more technical fields, by experts from bilal:eral and multilateral assistance programs. Thus far, 11 specific regular training programs have been developed for the industrial areas. A wide range of short courses for commerce, services and the industrial areas have also been completed and successfully utilized. These curricula and course syllabi are well balanced, are developed on the modular basis, an(d have an average distribution of 35% technical theory and 65% technical practice. Basic course syllabi for the industrial programs are adapted to regional conditions, where appropriate, by local instructors with the assistance of local industry. 2.11 Instructor Characteristics and Preparation. With some exceptions the 210 current full-time instructors are fully qualified pedagogically, having completed the required pre-service and in-service pedagogical training program. Their average age is 31, 28% are university graduates, and 72% are technical secondary school graduates. All instructors of technical courses are required to have a minimum of three years of industrial experience. Although the average industrial experience is currently about 11 years, instructors for the afternoon adult classes are mostly part-time ones selected from among the full-time reguLar program instructors and from business and industry. With the exception of full-time supervisors, the upgrading evening classes are staffed almost entirely by part-time and experienced technicians and administraltive personnel from business and industry. Although vocational instructors are paid somewhat less than they could get in industry, the better working conditions and employee benefits in SECAP make instructor recruitment relatively easy. They are also able to teach in the evening classes at extra pay, which can significantly enhance their earnings. 2.12 The instructor training program is staffed by six full-time, qualified and experienced professional teacher trainers, and such part-time trainers on an ad-hoc basis as are required. The training program consists of a total of 1,320 hours of pre-service and in-service pedagogical courses. Pre-service courses (400 hours minimum') are conducted in SECAP's inadequate facilities in Quito, while in-service courses (pedagogy and technology) are generally conducted in the local centers in modular units of 40 to 120 hours each. Training curricula and course sylLlabi have been developed with the assistance of both bilateral and multilateral agencies and additional assistance is being requested. About 250 instructors participated in pre-service or in-service training during 1980 and about 300 are expected to do so in 1981, with about 50% of those being in technical skills upgrading courses. 2.13 Student Evaluation, Placement: and Follow-up. Student evaluation and follow-up are joint functions of the local training centers and the central Directorate of Planning and Evaluation. While some good evaluation and follow-up studies have been conducted during the past two years, the currently small (2) and relatively inexperienced staff at the central level  is inadequate to serve the needs of the expanding training program. Evaluation procedures for day-to-day workshop activities are reasonably well-developed and formalized. However, evaluation of the in-plant apprenticeship phase of the training is not sufficiently well-developed or formalized to provide the quality of required feed-back on job performance. SECAP realizes the high value of the rapid feedback which this phase of training can provide. Consequently, it has obtained bilateral assistance in upgrading this critical aspect of its training program. Evaluation of certain aspects of the instructor training program, such as the use of more effective teaching-learning aids and methodology, is the joint effort of local chiefs of instruction and the central instructor training department. While this aspect of evaluation is functioning quite well, improvements are continuing to be made. 2.14 Job placement is the responsibility of the local training center administration with the assistance of the central Directorate of Operations. The placement of graduates is good. A recent follow-up study of a sample of 1976-79 graduates of the regular program shows that 97% were employed in their fields of study within four months of graduation (60% within one month). In terms of qualitative abilities, graduates of the regular full-time programs are expected to perform, after a short period of on-the-job experience, as medium-level skilled workers. Participants in the upgrading programs frequently move into technician and mid-management positions. Financing 2.15 The total capital and recurrent budget of SECAP for 1980 was S/132.5 million (US$5.3 million), of which about 18% was for capital investments. This amounted to less than 1% of the total budget allocated to formal education. About one-half of SECAP's total budget came from the wage levy (0.5%) on the business and industrial sectors, with the remainder provided through Government appropriations in conformity with the law specifying SECAP's sources of finance. In 1981 the wage levy produced a significantly, and unexpectedly, higher yield. On the other hand, fiscal problems led the Government to reduce its contribution and to require SECAP to revise its budgeted recurrent expenditures downward. In part, this also reflects a recent effort of the Government to limit its contributions to financing of capital costs, and to let the private sector finance SECAP's recurrent costs through the wage levy. As a consequence of these actions, the Government's contribution was limited to about 20% of SECAP's total budget. As a result of decelerating economic growth, the receipts from the wage levy are expected to grow slowly in comparison to recurrent expenditures whose growth will reflect current expansion plans and instructor improve- ments. Therefore, in the future it will be necessary for the Government to fund part of the recurrent costs in addition to SECAP's capital investment program (Table 4.5). 2.16 SECAP currently faces only minor cash flow problems. Receipts from the wage levy, which are subject to minimal seasonal variations, are promptly deposited to SECAP's bank account each month. The Government's contributions are normally received on a monthly basis, but delays of up to two months have been experienced.  - la, - 2.17 SECAP's unit recurrent costs in 1980 were reasonable and compare favorably with othear Latin American countries. 2/ Table 2.2 shows the average costs per student-hour of instruction for certain selected courses and programs. Table 2.2: RECURRENT COSTS PER STUDENT-HOUR OF INSTRUCTION Type of Program Costs in US$ Per Student-Hour by Course Business Metal Mechanics Electricity Regular Full-time 0.22 0.50 0.48 Adult Training 0.22 0.40 n.a. Upgrading 0.28 0.83 0.70 Annual unit recurrent costs per student in the regular industrial programs averaged about US$830, while those for the business programs averaged about US$370. These are comparable to other Latin American countries. Assessment of Strengths and Weaknesses 2.18 Strengths. The SECAP vocational training program has been established on a sound basis, appropriately addresses the issues of the sub-sector and is generally well-designed. Although hindered by insufficient support by the governments of 1971-79 and instability in staffing at the top levels of management until late 1979, SECAP has still been able to develop important strengths. Among them are those of: (a) an appropriate administrative and operational structure with clearly defined areas, authority, responsibility and cooperation; (b) the composition and influence of its board of directors, which keeps training relevant to national economic planning and the needs of business and industry (para. 2.04); (c) the practical orientation and terminal nature of its curriculum; 2/ The costs per trainee of industrial courses in SENAI of Brazil, for example, were US$1.27 per hour in 1977.  - 11 - (d) flexible length, well-balanced and modular curriculum and course syllabi for most training programs which can quickly respond to changes in regional and national labor market demands; (e) a budget system which receives more than one-half of its inputs from a business and industrial payroll tax; (f) a strong instructor training staff; and (g) an effective student recruitment program. 2.19 Weaknesses. However, the SECAP training program has a number of deficiencies which must be addressed. The administration is aware of these weaknesses and is addressing them. The more critical ones are discussed below. (a) Administrative and planning personnel are inadequately experienced, with about half under 31 years of age and two-thirds having less than four years of experience (94% less than eight years) in vocational training. The evaluation program is inadequately staffed in both numbers and experience (para 2.13); only two members currently staff the central office. (b) SECAP has had an inadequate capital and recurrent budget (para. 2.15) in which the Government about matched the receipts from the wage levy on business and industry. Increasing receipts from the wage levy in the past year were offset by the Governments' decision correspondingly to reduce its contributions. Among other effects, this has resulted in the recruitment of instructors at the lower salary scales, thus generally attracting less qualified and experienced instructors. As SECAP expands and upgrades its training programs, the Government will need to provide through its budget a greater share of the total expenses as compared to 1981. (c) Existing training programs are inadequate in size, type and regional distribution (para. 2.08). By 1984 SECAP's output will be meeting only about 7% of the new industrially skilled workers which the National Development Agency (CONADE) has assigned as its annual quota. (d) Inadequate facilities for both pre-service and in-service instructor training. Current instructor-training facilities at the central level consist solely of three classrooms on loan from the commercial training center, one overcrowded office housing the director and the five full-time teacher trainers, and a reception room-clerical office shared by two other divisions of SECAP. There are no library facilities, nor office space for the preparation of lecture/training materials by part-time teacher trainers, or model laboratories for training in the demonstration technique which is so crucial in vocational training. Equipment is limited to only three overhead projectors and one movie projector. Consequently,  - 12 - teacher trainers do not have the privacy, or materials, required for the adequate development of lectures or the counseling of teacher-ltrainees. Neither can proficiency in the demonstration technique be developed under these conditions. As a result, the teaching--learning process suffers when the instructors begin teaching. Furthermore, the estimated 900 new instructors required during the 1981-90 period cannot be adequately prepared in the existing facilities. (e) Inadequate facilities for the development and printing of teaching--learning aids and other printed materials required by SECAP. Planned expansion of training programs will annually require an estimated 160,000 pieces of instructional materials and large numbers of evaluation, followup and miscellaneous forms, instructor handbooks and repcorts. Current facilities consist of a single olbsolete press operating in temporary quarters which will not be available after 1984. Development Plans 2.20 The Government has assigned high priority to vocational skills training within the 1980-84 Economic Development Plan and has allocated the responsibility for fulfilling training needs by sector and area to SECAP, the diversified secondary schools, large public sector corporations and other public agencies. The following table shows a comparison of the estimated total average annual demand for newly skilled and upgraded workers in the occupational categories for which SECAP is responsible, and its corresponding projected outputs in 1984 and 1987.  - 13 - Table 2.3: SKILLED WORKER DEMAND ASSIGNED AS SECAP TRAINING QUOTA 1980-84 Average Annual Demand Annual Projected SECAP Output a/ Newly Newly Occupational Upgraded Skilled Upgraded Skilled Category Workers Workers Workers b/ Workers 1984 1987 1984 1987 Office Personnel 3,100 - 4,800 d/ 2,300 - - Commerce and Sales 9,700 - 2,600 6,400 - 600 c/ Personnel Agriculture 1,000 - 3,280 d/ 780 20 40 Artisans and 48,000 16,000 7,460 12,400 1,000 3,000 Operators Other Artisans 1,000 300 20 160 - 30 Services 1,000 - 100 1,000 - 30 Total 64,000 16,300 18,260 23,040 1,020 3,700. a/ Annual supply figures include SECAP outputs from fixed centers, mobile units and in-plant training. The 1984 supply centers include outputs from existing centers and mobile units plus projected outputs from the vocational project (Loan 1157-EC) currently under implementation, while those for 1987 also include estimated outputs from proposed expansions. b/ Nearly all upgrading classes are taught at night. c/ Because of available facilities in the morning shift when commercial spaces would not be required for the commercial upgrading courses (which must be only in afternoons and nights), courses for new commercial and sales workers are offered in cities where the demand is not being met by other agencies. d/ See footnote 6/, Table 2.4. The data in the above table clearly show the serious annual shortfalls of about 13,000 and 36,000, respectively, in the outputs of both newly skilled industrial workers and upgraded industrial workers, even after expansion plans to 1987 have been implemented. As a result of these projected short- falls output in its areas of responsibility, SECAP has been directed by 1990 to expand its operations and training facilities for skilled workers to help fulfill these needs. Given the magnitude of the projected shortfall in newly skilled worker training, SECAP's expansion plans would be fully justified even if the projected annual economic growth rate dropped to as low as 4% as the Bank now projects. 2.21 Phase I of SECAP's expansion plans was initiated in the mid-1970s and is to be completed in late 1982. In late 1975, under Loan 1157-EC, assistance was provided in expanding the capacity of SECAP's vocational  -- 14 - training program through: (a) the expansion of the industrial skills training center in Quito by 600 places; (b) t:he construction of a new industrial skills center of 1,245 places in Guayaquil; and (c) the purchase of two mobile training units to provide short-course training for 500 annually in rural and small town areas. Although the loan was signed in September 1975, because of government instability, financial difficulties and rapid turnover in SECAP management, there was little progress in implementation until 1980. By the end of 1979 the staffing difficulties were overcome and positive steps in project implementation began to be made. Currently, implementation is proceeding rapidly and completion of the project is expected during the third quarter of 1982. Additionally, two small training centers which were con- structed and equipped through local and bilateral funding became operational in 1981. The administrative and implementation capabilities of SECAP, with technical assistance from abroad, is improving satisfactorily. If stability of staffing continues, as it has since 1979, and with planned specialist assistance from abroad, it is expected that SECAP can develop the capabili- ties required for the implementation of its short- and medium-term plans. 2.22 Current plans, to be implemented in two additional phases, are as follows: Table 2.4: SECAP DEVELOPMENT PLAN PARAMETERS Phase I Phase II Phase III a/ 1968-82 1983-86 1987-90 New Training Centers 8 12 b/ 3 Enr.ollments c/ 20,800 8,000 7,700 Mobile Units 6 5 21 Enrollments 1,200 1,000 4,200 Instructors d/ 750 500 100 Investment - (1981 prices in millions) US$21 US$7 (Base costs) a/ Preliminary only. This phase will also include an in-plant training scheme. b/ Three of these centers, will replace existing ones, while two will be expansions of existing centers. c/ Includes new skills training and upgrading training. Phase I enrollments were 83% in upgrading courses while Phase II enrollmLents will be only 76%. Phase II and III enrollments are additional enrollments. During the implementaltion of Phase II some of the upgrading courses currently offered are expected to be phased out as a result of insufficient demand. d/ Includes both full-time and part-time instructors.  - 15 - 2.23 Planning for the second phase, with bilateral and Bank staff assistance, is well defined. It includes plans for increasing training opportunities to produce an annual output of about 2,600 new skilled workers and to upgrade the skills of about 10,300 employed workers. It would also expand training opportunities in two existing locations to produce about 2,700 additional outputs annually. These figures reflect training capacity created by Phase II investments. As some of this capacity will be used to replace existing programs operating in inadequate rented spaces, the figures differ from those of Table 2.4. Equipment would be upgraded in several training centers through bilateral and multilateral assistance programs. 2.24 Another immediate priority is the development of an instructional materials production system and the expansion and upgrading of the instructor training program (para. 2.19). It is planned to integrate these two programs and a planned graphic arts training center so as to achieve a high level of mutual reinforcement. Training requirements for new teachers for the existing and planned training centers and in-service teachers would be as follows: Table 2.5: INSTRUCTOR REQUIREMENTS TO 1990 a/ Upgrading New Instructors Fields of Training Courses 1981-86 1987-90 Industry 145 380 60 Business and Services 155 400 60 Total 300 780 120 a/ Based on current expansion plans and a 10% attrition rate. 2.25 More detailed planning of the third phase will be based upon revised and more definitive data, to be prepared by CONADE, on manpower requirements for the period 1990-95. The major focus will be placed upon SECAP's assistance in a large-scale in-plant training scheme. As SECAP does not currently have the technical capacity to plan adequately the proposed training scheme, external assistance will be required. 2.26 SECAP realizes that institutional development is of equal priority to the construction, furnishing and equipping of new training centers. The current administrative, planning and evalution staff is enthusiastic and dedicated, but its relative lack of experience in analysis, planning, developing, managing, and evaluation of training programs requires remediation. It is seeking assistance in improving its medium- and long-term planning through improved capabilities in the use of manpower data in  - 16 - planning training programs which effectively and efficiently meet the needs of business and industry. Assistance is also being sought in improving its mobile training program and in developing large-scale in-plant training programs to help meet the needs for skilled industrial workers for the middle and late 1980s. Emphasis will be placed upon improving curriculum development and iLnstructional methodology and technology. III. THE PROJECT Objectives 3.01 The proposed project would help SECAP to implement the second phase of its long range development. The proposed project aims at improving SECAP's vocationatl training programs by : (a) increasing training capacity for skilled workers to produce an output of about 2,800 new skilled workers and upgrade the skills of about 13,400 employed workers; (b) improving the quality of training through: - the provision of new equipment for 2,000 students in existing centers, - improving and expand:Lng instructor training; - improving and expanding the production of instructional materials; (c) providing more equity in training opportunities through a wider regional distribution of training centers and mobile training units; (d) improving the management capacity of SECAP in the areas of plannin,g, supervision and evaluation processes. Components and Description 3.02 The proposed project would have the following components, enrollments and outputs when fully operational in 1986-87:  - 17 - Table 3.1: PROJECT COMPONENTS, ENROLLMENTS AND OUTPUTS No. of Annual Component Units Enrollments Outputs a/ A. New Facilities or Programs Construction, furniture and equipment: Vocational Training Centers 10 16,600 12,500 Instructor Training Center b/ 1 320 320 Instructional Materials Center 1 - - B. Existing Facilities or Programs Expansion and/or re-equipping: Vocational Training Centers 2 3,600 2,700 (expansion) c/ Vocational Training Center 1 (2,000) (1,600) (re-equipping) d/ C. Mobile Training Units e/ 5 1,000 1,000 D. Technical Assistance a/ SECAP estimates, assuming a 20% dropout rate. b/ Includes administrative personnel also. *- Additional enrollments and outputs only. dI/ Not additional enrollments or outputs. / Annual enrollments (all short courses) equal annual outputs. Vocational Training Centers (Proposed Outlay: US$19 million 3/, net of contingencies) 3.03 The project would assist in expanding existing training capacity in important fields and places. It would provide financing of construction, furniture and equipment for 10 new training centers, and additional classrooms and workshops for two existing training centers. One of these new centers would be for graphic arts training and would be constructed as a part of the instructor training and instructional materials production complex. It would provide the equipment and facilities for all large scale 3/ Includes all 10 training centers including the portion of the cost (US$0.35 million) of the graphic arts training centers which is to be constructed as a part of the instructor training and instructional materials production complex.  - 18 - printing of promotional materials, reports, etc. required by SECAP. Student trainees would carry out all the prinling and binding activities. Thus, student motivation would be enhanced and recurrent costs for consumable supplies reduced. The project would also finance the replacement of obsolete equipment and provision of additional equipment for one existing training center. Three of the new centers would replace centers currently operating in inadequate rented facilities. 3.04 Enrollmients. As shown in the following table, the 13 training centers would be distributed throughout the country with one or more centers in each of the four SECAP geographical regions, thus benefitting workers not currently served by SECAP. Training opportunities would be increased and would be more equitably distributed (para. 2.02) because of this extension of training facilities into areas not currently served. Table 3.2: REGIONAL DISTRIBUTION OF TRAINING CENTERS Enrollments a/ Outputs Region and Number Before After Before After of Trainirng Centers Project Project Project Project Central Retgion: One Center 3,070 2,450 Two Centers 2,590 1,820 Southern Region: One Center 3,070 2,450 Three Centers 4,190 3,140 Western Region: Two Centers 10,200 7,910 Three Centers 10,350 7,890 Northern Region: Four Centers 8,760 6,600 Seven Centers 15,090 11,230 Totals 25,100 32,220 19,410 24,080 a/ The differences between enrollments and outputs before the project and after the proposed project are not equal to those shown in Table 3.1 because: (i) the project includes replacement of three old centers (para. 3.03) having enrollments both before and after the project; (ii) the three old centers being replaced had only short upgrading courses with an average length of 240 hours, and which under the project would include full-time regular courses of' 3,600 hours in length and requiring about 40% of the available hours per day; and (iii) during project implementation some of the upgrading courses currently offered are expected to be phased out as a result of insufficient demand.  - 19 - 3.05 Enrollments and outputs by major fields and programs of study in project centers are as follows: (those completing either of the three types of courses are counted as outputs). Table 3.3: ENROLLMENTS AND ANNUAL OUTPUTS BY PROGRAMS OF STUDY a/ WHEN FULLY OPERATIONAL IN 1987 C/ Annual Outputs New Skilled Adult Total Upgrading Short Regular Programs of Study Enrollments b/ Courses Courses Courses Total Industry: Auto Mechanics 1,500 880 100 110 210 Bldg. Construction 1,250 750 250 --- 250 Electricity 1,250 800 40 110 150 Electronics-TV 700 440 70 --- 70 Furniture Making 610 340 10 70 80 Graphic Arts 280 160 --- 30 30 Heavy Equip. Mech. 300 60 80 50 130 Agric. Mechanics 180 60 --- 40 40 Metal Mechanics 2,320 1,080 180 300 480 Refrigeration 300 110 130 --- 130 Shoe Making 230 70 --- 60 60 Textiles 230 140 40 --- 40 Sub-Total , 9,150 4,890 900 770 1,670 Others: Agriculture 70 20 420 20 20 Business 9,750 7,020 420 180 600 Hotel & Restaurant 1,230 940 30 --- 30 Sub-Total 11,050 7,980 450 200 650 Mobile Units: Agricultural Mechanics 200 100 100 --- 100 Food Preservation 400 200 200 --- 200 Electrical Systems 200 100 100 --- 100 Metal Mechanics 200 100 100 --- 100 Sub-Total 1,000 500 500 --- 500 TOTAL 21,200 13,370 1,850 970 2,820 a/ For the two centers to be expanded the figures refer to additional enrollments and outputs only. b/ SECAP estimates, including about 35% women. c/ SECAP estimates, assuming a 20% dropout rate.  - 20 - 3.06 Teaching Programs. The curricula and course syllabi (para. 2.10) are complete for 11 of the 14 programs of study. These have been developed with the assistance of business, industry and bilateral assistance and are currently in use in existing training centers. The three new programs--refrigeration, textiles and shoe making--would be developed under the project through specialist assistance from abroad and from local industry. Those specialists would also prepare the equipment lists. 3.07 Teachers. When fully operal:ional in 1986-87 the project training centers would require a total of about 500 new instructors of which about 270 would be full-time employees of SECAP. The remaining 230 would be recruited on an ad-hoc basis from business and industry for the upgrading courses in the evening class programs. To facilitate the recruitment and training of these additional instructors, SECAP is expanding and upgrading its instructor training program. On the basis of current experience (para. 2.11 ) the recruitment of these numbers of new instructors is not expected to be a problem. Table 3.4 shows the staff recruitment and development plan for the years of 1983-1986. Table 3.4: STAFF DEVELOPMENT PLAN, 1983-1986 Present Preparation Activity Staff a/ 1983 1984 1985 1986 Total A. Recruitment and Training: New Instructors (210) 130 150 150 150 580 b/ New Administrative Personnel 20 30 30 30 110 B. Training: Upgrading Instructors .300 300 300 300 1,200 a/ Present full-time instructors in existing training centers. b/ Of which about 80 would be replacements for staff in existing training centers and only about 270 (para. 3.07) would be full-time instructors. Until late 1984, when the new instructor training center is expected to be operational, the above training of new instructors will take place mainly in the existing instructor training center. However, many of the new part-time instructors will receive their pre-service pedagogical training in ad-hoc courses conducted in local vocational training centers. Mobile Training Units (Proposed Outlay: US$0.20 million, net of contingencies)  - 21 - 3.08 The proposed project would also enable SECAP to expand its training programs in small towns and rural communities where fixed centers would not be economically viable. The five mobile training units to be financed under the project would supplement the four units already operational, two units recently donated by bilateral groups and the three units already under pro- curement. Each mobile unit would consist of a four-wheel drive light truck, with a specially designed body for transporting and storing the specialized training equipment with which it is equipped. Each unit would normally be operated by a single instructor. Local physical facilities and basic equip- ment would be utilized in the training program. One of the units would provide training in agricultural mechanics in support of the Government's agricultural mechanization program. One unit would reinforce the existing program in metal mechanics. One unit would be used in support of the rapidly growing electrification program, while the two others would support Govern- ment efforts in food preservation at the home and small-scale industry levels. These units would provide training programs of up to 140 hours duration, utilizing local facilities to the extent practicable, for about 1,000 trainees, or 200 each annually. The course syllabi for the new food processing program and metal mechanics would be developed with expert assis- tance under the project, while those for farm machinery and electrification programs are already in existence. On the basis of current experience, recruitment and retention of the five instructors required is not expected to be a problem. All mobile training units would be administered under SECAP's national coordination plan being developed with bilateral assistance. For logistical support in terms of repair and maintenance, the mobile units would work out of local training centers. However, the plan would coordinate, at the national level, the content, location and duration of training programs in accordance with regional development plans. Instructor Training and Instructional Materials Production Complex (Proposed outlay: US$2.74 million, net of contingencies) 3.09 SECAP's current facilities are inadequate to produce the instructors and teaching-learning materials required for its planned and existing training centers (para. 2.19) Consequently, the project would include financing of construction, furniture and equipment for instructor training and instructional materials production centers. These two centers would be included as a part of an educational complex also housing a new graphic arts training center (para. 3.03), a joint library and an audi- torium. 3.10 Instructor Training Center. The proposed center would help SECAP to prepare the 270 full-time and the 230 part-time instructors required for the new training centers and the 75-80 estimated annual recurrent needs of the existing centers (paras. 2.23 and 3.07). The center would have an annual capacity, beginning in late 1984, of 130 full-time trainees (including admin- istrative trainees) and an equal number in in-service upgrading courses during the vacation season. It would also permit the training of about 70 new instructors annually for other public training agencies after SECAP's initial training requirements are met. Table 3.5 shows the projected output by category and year for the period of 1984 through 1989.  - 22 - Table 3.5: PROJECTED OUTPUT OF INSTRUCTOR TRAINING CENTER New Instructors by Category SECAP Rtequirements Business Other Total Instructor and Training New Upgrading Year Industrial Services Agencies Instructors a/ Training a/ 1982 b/ 60 70 - 130 1983 bI 60 70 - 130 1984 c/ 60 70 - 130 - 1985 60 70 - 130 130 1986 60 70 - 130 130 1987 20 20 70 110 130 1988 20 20 70 110 130 1989 20 20 70 110 130 Total 360 410 210 980 650 a/ The annual outputs during 1985 and 1986 are also less than require- ments shown :Ln Table 3.4 as an annual capacity of 130 in each of the new instructor and upgrading programs is considered the maximum capacity required at the central training center. The remaining annual requirement of 20 new instructors (i.e. difference between 130 and 150) would receive in-service training in local skills centers rather than pre-service training. b/ Training wou:Ld be conducted in old facilities. c/ Training wouLd be conducted in old facilities and in the new center as it becomes available in late 1984. 3.11 Because of the critical importance of the demonstration technique in skills training programs, the center would include a small model indus- trial shop and a model business office/laboratory. The current instructor training staff of six is well qualified in terms of training and experience. The instructor training staff would be increased by about three full-time staff and would aLso include part-time staff available on an ad-hoc basis from other teacher training instituticins. To further upgrade staff competen- cies 24 staff-months of specialist assistance and 48 staff-months of short- term (six months) internships in similar institutions abroad would be included under the project (para. 3.14). 3.12 Instructional Materials Production Center. The production of teaching-learning aids is currently operational only on an ad-hoc basis and the quantity and quality of materials is minimal (para. 2.19). The proposed center would produce all bulk promotional and instructional printed materials except for textbooks and some types of specialized laboratory manuals. It would include offices; audio and photographic facilities; art and  - 23 - composition rooms and a printing and binding shop to be shared with the graphic arts training center (para. 3.03); and service and distribution facilities. The total area required, not including shared spaces, would be 190 square meters. The equipment would include a van for delivery of instructional materials to the training centers. Staffing would include a director, six production technicians (also shared with the graphic arts training center) and such support personnel as may be required. The staff and trainees of the adjacent instructor training center would work closely with the center in the preparation of teaching-learning aids for mass production, thus enhancing their own overall instructional skills. All large scale printing of training and promotional materials and other bulk materials would be carried out by the students enrolled in the graphic arts training center (para. 3.03). Because of the very low labor costs and the sharing of equipment and physical spaces, overall production costs would be cheaper than contracting such production with private firms. The major portion of the basic materials would be prepared by the regular subject matter specialists of SECAP, training center instructors, and business and industry consul- tants. Based upon recruitment goals and total enrollments, the annual production of the center would exceed 30,000 pieces of promotional material, 90,000 shop job-sheets, and 40,000 laboratory manuals. Large numbers of evaluation and follow-up record forms, and miscellaneous items would also be produced. Further Development Plans 3.13 Sound development planning is critical to the medium- and long-term success of SECAP. Although the short-term planning, on which the proposed project is based, is well defined, only preliminary planning for medium- and long-term development has been done (para. 2.21). SECAP has requested that 12 staff-months of specialist assistance in planning and evalution be provided in the proposed project to help improve and refine its planning capability (para. 3.14). This would complement technical assistance already received in this area through bilateral sources. During negotiations the Government has provided an assurance that its draft development plan to 1990 would be sent to the Bank for review and comments by December 31, 1984. The plan would include: (a) estimates of demand for skilled workers and technicians by industry, occupation and geographical area; (b) SECAP's training plans, including enrollments, outputs and instructor requirements by training program and geographical distribution; and (c) capital investment requirements, recurrent cost projections and a schedule of implementation.  - 24 - Technical Assistance (Proposed outlay: US$0.93 million, net of contingencies) 3.14 The project's expected contribution to institutional building would be of equal importance with the trained manpower outputs of the institutions (para. 2.24). In recognition of its weaknesses (para. 2.19), SECAP management concurs that the major emphasis in the technical assistance program should be upon institutional planning and management aspects of vocational trainting. Consequently, a substantial technical assistance component (Tablet 3.6) would be required. About 20 consultants would be recruited for a total of about 14 staff-years to assist in improving SECAP's institutional capability in: (a) planning, evaluation and institutional organization and management; (b) instructor training and teaching-learning aids development; (c) mobile and in-plant training program development and management; (d) curriculum and course syllabi development; (e) equipment use and maintenance training; and (f) middle management training program development and implementation. Additionally, short-term internships of two to six months would be provided for about 15 center directors, 16 inst:ructors, 15 technical specialists, eight teacher trainers, and project implementation personnel. These internships would total about 16 staff-years and would take place in similar institutions in Latin America and selected European countries. Table 3.6: TECHNICAL ASSISTANCE REQUIREMENTS Specialists Months Fellowships Months Planning and Eva:Luation 12 Center Directors (15 at 2 mo.) 30 Instructor TrainiLng Methodology 12 Technical Specialists 45 (15 at 3 mo.) Teaching-Learningr Aids Development 12 - Technical-Pedagogical Refrigeration and Air Control and Evaluation 12 Conditioning Instruc- tors (4 at 3 mo.) 12 Training of Mid-Level Personnel 12 In-Plant Training (adults) 8 Textiles Instructors (3 at 3 mo.) 9 Shoe and Leather Working Mobile Training Units 6 Instructors (2 at 3 mo.) 6 Training Center Organization Food Processing and and Management 8 Instructors (3 at 4 mo.) 12 Equipment Use and Maintenance and Industrial Security (4 at 6 mo.) 24 Innovative Instructional Teacher Trainers Methodology 6 (8 at 6 mo.) 48 Instructor Training in International Conferences Specific Fields (5 at 6 mo.) 30 and Seminars 10 Agroindustry Instructor Training (2 at 65 mo.) 12 Trade Testing and Certification 12 Total 166 172  - 25 - 3.15 Consultants and salaries for five of the 14 staff-years of consultant services are expected to be provided by bilateral agencies under existing arrangements, and most of these same agencies would be receiving interns for training in their own national training centers. Because of the size and complexity of the technical assistance program, considerable skill would be required in its management, recruitment of specialists and placement of interns in appropriate institutions abroad. Consequently, the project administration would include a qualified staff member to coordinate the technical assistance program and to work closely with the various cooperating bilateral agencies. 3.16 The proposed technical assistance program would be in addition to bilateral and multilateral assistance already obtained or being negotiated for the project by SECAP. Assistance already agreed upon includes 164 staff-months of specialist assistance from Spain in the areas of instructor training and institutional planning; 36 staff months in Italy in graphic arts instructor training; 30 staff-months from the United Kingdom in program development for the electricity/electronics trades; and 22 staff-months from ILO for developing special training schemes for marginal urban population. The total value of these specialist services are estimated at about US$1.2 million equivalent. Additionally, negotiations are underway for up to 260 months of specialist services from West Germany to continue the development of the in-plant apprenticeship program; for up to 180 months of specialist services from Italy for the development of graphic arts training programs; and an undetermined amount to continue the cooperation with SENAI-Brazil.  -- 26 - IV. PROJECT COST, FINANCING AND IMPLEMENTATION Cost of the Project 4.01 Investment Costs. Total cost of the project (net of taxes) is estimated at S/1,003 million or a.bout US$33.4 million equivalent. The estimated total. costs and foreign exchange components by main project items are summarized below: Table 4.,1: ESTIMATED TOTAL PROJECT COST BY PROJECT COMPONENT S/ Millions US$ Millions % of Base- line Local Foreign Total Local Foreign Total Cost 1. Nine Vocati.onal Training Centers a/ 270.43 265.34 535.77 9.01 8.84 17.85 76.3 2. Two Vocational Training Cen- ters to be expanded 10.25 10.83 21.08 0.34 0.36 0.70 3.0 3. One Vocational Training Cen- ter to be equipped 0.68 13.02 13.70 0.02 0.43 0.45 2.0 4. One Instructor Training, instructional Materials Pro- duction & Graphic Arts Complex 51.10 31.02 82.12 1.70 1.04 2.74 11.7 5. Five Mobile Units 0.30 5.60 5.90 0.01 0.19 0.20 0.8 6. Experts 2.98 16.87 19.85 0.10 0.56 0.66 2.8 7. Fellowships 0.79 7.11 7.90 0.03 0.24 0.27 1.1 8. Project Admin- istration 13.04 3.26 16.30 0.43 0.11 0.54 2.3 9. Baseline Cost 349.57 353.05 702.62 11.64 11.77 23.41 100.0 10. Cont-ingenciies Physical 34.95 35.31 70.26 1.15 1.19 2.34 Price Increases 130.88 98.97 229.85 4.35 3.29 7.64 Subtotal 165.83 134.28 300.11 5.50 4.48 9.98 11. TOTAL PROJECT COST 515.40 487.33 1,002.73 17.14 16.25 33.39 a! Not includinig the Graphic Arts Tr-aining Center which is costed as a part of the Instructor Training, Instructional Materials and Graphic Arts Complex.  - 27 - 4.02 Estimated project costs by categories of expenditure are summarized as follows: Table 4.2: TOTAL PROJECT COST BY CATEGORY OF EXPENDITURE % of SI Millions US$ Millions Base- line Local Foreign Total Local Foreign Total Cost Construction a/ 258.72 80.42 339.14 8.62 2.68 11.30 48.6 Professional Fees 51.95 0.0 51.95 1.73 0.0 1.73 7.4 Furniture 9.69 9.69 19.38 0.32 0.32 0.64 2.8 Equipment b/ 12.40 235.70 248.10 0.41 7.86 8.27 35.6 Experts 2.98 16.87 18.95 0.10 0.56 0.66 2.8 Fellowships 0.79 7.11 7.90 0.03 0.24 0.27 1.1 Project Admin- istration 13.04 3.26 16.30 0.43 0.11 0.54 2.3 Baseline Cost 349.52 353.05 702.62 11.64 11.77 23.41 100.0 Contingencies a) Physical 34.95 35.31 70.26 1.15 1.19 2.34 b) Price Increase 130.88 98.97 229.85 4.35 3.29 7.64 Subtotal 165.83 134.28 300.11 5.50 4.48 9.98 TOTAL PROJECT COST 515.40 487.33 1,002.73 17.14 16.25 33.39 a/ Includes site works. b,/ Includes mobile units. 4.03 Basis of Cost Estimates. Estimated civil works costs for training centers have been derived from construction contracts recently awarded by SECAP for the construction of instructional facilities in Quito, Guayaquil and Ibarra. Furniture costs for the same centers have been estimated at 8% of the cost of construction of the buildings. The construction costs of the center located at Guayaquil and the Instructor and Graphics Center located at Quito have been based upon estimates made by private contractors. Furniture costs for the same centers have been estimated as 4% of the cost of construction of the buildings. The cost of site works has been estimated as 15% of the cost of construction of the buildings. Professional fees have been estimated as 15% of the cost of construction plus cost of the site works. Equipment costs are based on current CIF unit prices for detailed  - 28 - lists of similar programs in other countries and are adjusted upward to include local transportation and installation. Technical assistance costs for experts, including salaries, are based upon an average base cost of US$3,975 per staff-month. Salaries of experts, with two exceptions, would be provided by cooperating bilateral agencies under existing bilateral agreements. Costs of fellowships abroad are based upon US$1,200 per staff-month and US$1,500 travel costs per individual. 4.04 Comparison of Unit Cost Estimates. The unit area and unit capital cost estimates are shown in the following table: Table 4.3: UNIT COST COMPARISON FOR VOCATIONAL TRAINING (IJS$) Project LAC Bankwide Construction Area/Student Place i1.Om2 9.4m2 a/ 1O.0m2 Building Cost/m2 b/ 281 320 390 Construction Cost7Student Place c/ 3,100 3,610 4,570 Furniture Cost/Student Place 220 220 390 Equipment Cost/Student Place b/ 2,720 1,840 2,600 Total Cost/Student Place 6,040 5,670 7,220 a/ For similar projects in Argentina, El Salvador, Uruguay and Mexico. b/ The greater area and equipment costs per student place are both due to the greater percentage of total training places devoted to the industrial skills courses which require a greater unit area and unit costs for equipment. c/ Includes site work costs. 4.05 Contingency Allowances. Contingency allowances have been added to the base line cost estimates as follows: (a) Physical contingencies: 10% for buildings (including site works), professional fees, furniture,, equipment (including mobile units), experts, fellowships and project administration; and (b) Price contingencies: Expected price increases by category are shown in the Table 4.4 and have been estimated on base line costs plus physical contingencies beginning April 1, 1982, and finishing by June 30, 1986.  - 29 - Table 4.4: EXPECTED ANNUAL PRICE INCREASES DURING IMPLEMENTATION (in %) 1982 1983 1984 1985 1986 L F L F L F L F L F Construction a/ 16 8 16 8 16 7.5 16 7 16 6 Furniture 12 8 12 8 12 7.5 12 7 12 6 Equipment b/ c/ 10 10 8 8 8 8 8 8 8 8 Professional Fees 12 - 12 - 12 - 12 - 12 - Fellowships 8 8 7 7 7 7 7 7 7 7 Experts 8 8 7 7 7 7 7 7 7 7 Project Administration 12 8 12 7 12 7 12 7 12 7 a/ Includes site works. b/ It is assumed that price increases for equipment, to be effective, would follow international price trends since they are to be procured largely through ICB (para. 4.18); i.e., local suppliers would likely not be awarded contracts if their price increases exceed international competitive levels. c/ Price increase projections for equipment are based upon those derived by a Bank study group which makes a periodic in-depth review of price increase projections made by major international education equipment suppliers from several countries. 4.06 Prices are expected to increase during the five-year implementation period by a total of about 36% for civil works, 16% for professional fees, 38% for furniture, 32% for equipment, 16% for experts, 22% for fellowships, and 34% for project administration. 4.07 Foreign Exchange Component. The foreign exchange component is estimated at about US$16.25 million equivalent or about 49% of total project costs. The calculations of the foreign exchange component are based on the assumption that: (a) all construction and related professional services would be awarded to local firms; (b) all furniture would be awarded to local suppliers; and (c) all equipment (including mobile units), except for minimal amounts, would be awarded as a result of international competitive bidding (ICB). The resulting foreign content of each category of expenditure was calculated as 25% for construction (including site works), 50% for furniture, 95% for equipment, 85% for experts, 90% for fellowships, and 20% for selected personnel, travel and materials purchase for project administration. Recurrent Cost Implications 4.08 When fully operational in 1986-87, the project would require an estimated increase in SECAP's recurrent budget of about S/80 million (US$3.2 million) in constant 1981 prices. This increase would amount to about 58% of  - 30 - SECAP's 1981 recurrent budget of about S/137 million.4/ Taking into account the additional recurrent costs required by the training centers under Loan 1157-EC, SECAP's recurrent budget for both projects would require an increase of about 90% (or S/123 million at constant 1981 prices) over its 1981 budget. This would represent only about 1.5% of the total recurrent costs for formal education in 1980 and, in view of the high priority assigned to skilled worker training, is affordable. These increases in recurrent costs include those resulting from the planned recruitment of future instructors having higher levels of qualificatiorLs and experience than is the current practice. These increases also result from the planned increase in the costlier industrial skills training program. Recurrent costs per student in the full-time regular programs would range from an average of S/6,000 for the commerce and services programs to S/21,000 for the industrial skills programs (average S/17,000) and are comparable to other Latin American countries. Those for adult training would range from S/6,000 to S/17,000, respectively, for the commerce and industrial programs (average S/14,000), whereas those for adult upgrading programs range from only S/850 to S/2,500 (average S/1,400). The estimated recurrent costs of the project and of the total SECAP training program for the years of 1981 to 1986 are shown in the Table 4.5 below: Table 4.5: ESTIMATED RECURRENT' COSTS OF SECAP PROGRAM BY YEARS (S/millions, in 1981 constant prices) Recurrent Budget Requirements Receipts Proposed Project All SECAP from Government Year Centers Only Centers Wage Levy Contribution 1981 - 127 140 0 1982 - 160 147 13 1983 10 180 154 26 1984 32 196 162 34 1985 64 244 170 74 1986 80 260 178 82 Recurrent costs of the magnitude shown in Table 4.5 would require that toward the end of the implementation period the Government should contribute about half as much as the projected contributions from the wage levy. This estimate is based on the expectations that industries' resistance to proposed increases in the wage levy over its current 0.5% will continue until SECAP 4/ SECAP's actual recurrent budget in 1981 was about S/127 million. Because of the shortfall in Government contributions (para. 2.15) the figure of S/137 million corresponds to a normal level of operating expenditures.  - 31 - completes its expansion and improvements. At that time it should be able to demonstrate convincingly the increased economic value of its training program. To help assure that the total SECAP training program would operate without sacrificing desirable quality standards, during negotiations the Government has provided an assurance that in addition to receipts from the wage levy (para. 2.15), it would promptly make up the difference between receipts from the wage levy and SECAP's recurrent budget so as to meet fully all SECAP's training costs including costs of the project. Project Financing and Disbursement Plan 4.09 Financing. The total project cost of US$33.39 million would be financed as follows: (a) the proposed Bank loan of US$16 million would finance about 48% of total project costs, equivalent to about 97% of the foreign costs, as well as a front-end fee of about US$240 thousand; (b) a Canadian supplier's credit would finance US$0.40 million, equivalent to about 2% of the foreign costs; (c) consultant salaries in the amount of about US$0.21 million, equal to about 1% of the foreign costs, would be financed under bilateral agreements with several Latin American Governments; and (d) the Government would finance about 51% of total costs, equivalent to about 100% of local costs. To facilitate project execution before the proposed loan would be effective and to recruit long-term specialist assistance, it is recommended that up to US$0.1 million of retroactive financing be made available for expenditures after June 15, 1981 on designs of civil works and technical assistance. 4.10 Disbursement Plan. The proposed loan is expected to be disbursed over a period of about four and one-half years (July 1, 1982 to December 31, 1986) against fully documented withdrawal applications, to cover (Annex 4): (a) 24% of total expenditures for civil works plus professional fees; (b) 100% of total costs for imported equipment and ex-factory costs for locally produced goods, including installation costs where applicable; (c) 85% of local expenditures for locally procured goods; (d) 100% of total costs for mobile training units; (e) 100% of the total expenditures for technical assistance; and (f) 100% of the cost of project administration for selected personnel. 4.11 The estimated schedule of disbursements, based on the implementa- tion schedule by calendar and IBRD fiscal years, is shown in Table 4.6:  - 32 - (US$ millions) Accumulated Undisbursed Disbursements Disbursements Balance CY Sem FY Sem Expenditures Amount % Amount % Amount % 1982 II 1983 I 1.2 0.4 2.6 0.4 2.6 15.6 97.5 1983 I II 4.0 0.2 1.3 0.6 3.9 15.4 96.2 II 1984 I 3.5 0.4 2.6 1.0 6.2 15.0 93.7 1984 I II 5.2 C0.7 4.4 1.7 10.6 14.3 89.4 II 1985 I 5.1 1.2 7.5 2.9 18.1 13.1 81.9 1985 I II 6.6 1.2 7.5 4.1 25.6 11.9 74.4 II 1986 I 5.1 4.1 25.5 8.2 51.2 7.8 48.7 1986 I II 1.5 4.2 26.3 12.4 77.5 3.6 22.5 II 1987 I 1.4 3.6 2.3 16.0 100.0 0.0 0.0 4.12 The estimated schedule of disbursements for the proposed project is based upon detailed implementation schedules (para. 4.14 and Table 4.7).The estimated disbursement period of about 4.5 years is about half as long as that of the country-wide disbursement profile of Ecuador for the period of FY1970-1980. It iis about two-thirds as long as that expected for the current SECAP (Loan 1157--EC) project which is expected to be completed in mid-1982. However, the shorter implementation period is considered feasible on the basis of: (a) a much more stable and experienced administrative and supervisory staff in SECAP than was the situation in earlier years; (b) the experience that SECAP's implementation personnel have gained as a result of the previous project; (c) project preparation will be in a more advanced state at the time of negotiations; and (d) uniform flow of funding of SECAP's total training pr-ogram as a result of the Governments' firm commitment to vocational skills training in the 1980-84 Economic Development Plan (para. 2.20). Implementation, Procurement and Auditing 4.13 The existing Project Implementation Unit is being strengthened and would be responsible for coordinating and monitoring the various project activities. It would become an integrated part of SECAP and would include key staff members having experience in implementing the project under Loan 1157-EC. The Unit would include a project director; coordinators (3) of civil works, furniture and equipment, and technical assistance; project accounting and financial staff (3); and such support personnel as may be required. The Unit would be directly responsible to SECAP's executive director. It would coordinate its activities with the various SECAP direc- torates through a standing committee composed of the director of the Project Unit and the SECAP directors. During negotiations the Government has provided an assurance that SECAP would strengthen and maintain the project implementation unit to assure efficient execution of the project. To help assure quality and avoid recruitment delays in critical positions, proceeds of the loan would be disbursed against the salaries of key personnel.  - 33 - Budgetary arrangements are being made for the additional staffing, and no problem is expected in the recruitment of appropriate personnel. 4.14 Implementation Schedule. The proposed project is expected to be implemented in five years. The construction, furnishing and equipping of all the centers and the technical assistance program are scheduled to be completed by June 30, 1986. These schedules are considered to be reasonable, within the capacity of SECAP, and would serve as the basis for monitoring project implementation. Expected completion rates (in accumulated percentage) are listed in the Table 4.7. The Closing Date for the proposed loan would be December 31, 1986, to allow sufficient time for submission of final withdrawal applications. Table 4.7: IMPLEMENTATION SCHEDULE (accumulated percentage of implementation completed) Calendar Year 1981 1982 1983 1984 1985 1986 Semester 2 1 2 1 2 1 2 1 2 1 Item Civil Works Site selection and acquisition 70 100 Preliminary plans 40 90 100 Final plans 40 90 100 Prequalification of contractors 100 Bidding documents 100 Award of contracts 40 70 90 100 Construction of centers a/ 15 25 45 70 90 100 100 Furniture and Equipment Lists, specifications and bidding docs. 60 100 Award of contracts 40 80 100 Installation 40 80 100 Technical Assistance Experts 10 30 50 70 80 90 95 100 Fellowships 20 30 40 50 70 90 100 a/ The expansion of the existing centers and the construction of the Instructor Training, Graphic Arts Training and Instructional Materials Complex would be in the first phase of construction, and would be immediately followed by the new training centers as completed plans become available.  - 34 - 4.15 Procurement. Civil works costs totalling US$11.3 million (base costs) would involve 12 sites in 9 provinces. None of the individual contract costs, averaging US$0.94 million each, would be great enough to attract foreign bidders. Ecuador's construction industry is sufficiently well- developed and capable of executing the civil works at costs competitive with international bidders. Consequently, civil works contracts would be awarded on the basis of local competitive bidding (LCB) under normal government procedures, which are acceptable to the Bank and do not preclude foreign con- tractors from bidding. Sites for 11 of the centers have already been acquired and the formal acquisition of the remaining site is being pro- cessed. Civil works designs are being done by consultants from the private sector on the basis of educational and architectural worksheets agreed with the Bank. Des:Lgns for the commerce and services training center in Guayaquil have been preceded by a study to determine the economic feasibility of rent- ing out the ground floor for commercial enterprises. 4.16 The furniture manufacturing industry in Ecuador is also well- developed and competitive. Furniture needs in the amount of US$0.6 million (base costs) would be procured locally by the Government's central purchasing agency through standard procedures which are acceptable to the Bank. 4.17 Equipment in the amount of about US$8.3 million (base costs) would be procured mainly through ICB. Preparation of equipment lists, specifi- cations and bidding documents are under preparation from similar lists prepared for the ongoing vocational training project. New lists would be required for only three new training fields (para. 3.06). These lists and documents would be presented to the Bank for review and comment prior to procurement. A condition of approval of bidding documents for the mobile training units would be the presentation to the Bank of a satisfactory plan for the coordination of their use. Furniture and equipment items would be grouped to the extent possible in packages to permit bulk procurement. Equipment packages in excess of US$200,000 would be procured through ICB procedures. Packages of US$20,000 to US$200,000, up to about 15% of total equipment costs, would be locally procured through regular government procedures which are acceptable to the Bank. Small items or groups of items estimated to cost no more than US$20,000, not to exceed US$200,000, or items of a specialized nature for which ICB and LCB would not be practical, would be procured through local shopping. In all cases of local procurement it is expected that most equipment items would be foreign made. Under the above procedures, it is expected that about 86% of the total value of equipment would be procured through ICB, 10% through LCB and 4% through local shopping. 4.18 Recommended contract awaxrds for equipment of less than US$200,000 would not be referred to the Bank Eor prior review. SECAP would retain bid evaluations and contracts for random ex post review by Bank staff during supervision missions. For the purpose of comparing foreign and local bids, domestic manufacturers would be al:Lowed a margin of preference equal to the prevailing tariff or 15% of CIF costs of imported goods, whichever is lower.  - 35 - 4.19 Auditing. The project accounts would be subjected to the same auditing procedures as SECAP in its entirety. SECAP is subject to both internal and external auditing conducted by the National Controller's Department. SECAP is legally obligated to include in its payroll three Controller's employees for day-to-day internal auditing of its financial operations. In addition, the Controller sends periodically (but not later than every two years) unannounced teams of specialists for external auditing of SECAP's financial accounts and operations. Both internal and external auditors submit reports with their findings and recommmendations to the National Controller's Department, which would be made available to the Bank for its review and comments. During negotiations the Government has provided an assurance that the annual auditor's report and the certified financial statements of SECAP would be forwarded to the Bank for its review and comments within 120 days after the end of the fiscal year. Monitoring and Evaluation 4.20 Monitoring. Efficient monitoring and careful supervision is essential for proper project implementation. To help assure greater efficiency the project unit director would be assisted by three coordinators (para. 4.13). To facilitate construction of the new centers, private consulting architects would be retained for day-to-day supervision of civil works. Under the supervision of the project coordinator of civil works, SECAP's own architects would closely monitor actual progress in both design and construction. Equipment and furniture procurement and installation would be the responsiblity of the coordinator of equipment and furniture and his staff. The recruitment and utilization of technical consultants and the placement of fellowships trainees abroad would be the responsibility of the coordinator of technical assistance. Appropriate checklists for use in implementation monitoring are being developed for each of the areas of civil works, furniture, equipment, and technical assistance. 4.21 Evaluation. The directorate of planning and evaluation (para. 2.13), with the aid of technical assistance provided under the project would coordinate team efforts in the evaluation of project implementation and its impact on the manpower training system and on training and employment opportunities for women. This directorate would also coordinate the activities of individual training center supervisory personnel in the evaluation of the job performance of all regular course trainees in the on-thejob phase of training and also in the job performance of a selected number of graduates from each center. Evaluation studies would include, on a pilot basis, a follow-up study of increased levels of job performance resulting from upgrading training in selected skills areas. Knowledge and insights gained from the evaluation process will be fed back into the system for the periodic upgrading of the curricula and course syllabi.  - 36 - V. BENEF:[TS AND RISKS Benefits 5.01 The proposed project's expected contribution to the institutional development of SECAP is of equal importance to improvements in the quantity and quality of skilled manpower. The planning, administrative and supervisory capabilities of SECAP's personnel would be improved and broadened through a coordinated program of specialist assistance and internship training abroad (para. 3.14). These enhanced capabilities would result in more effective skills training programs and a better trained worker for business and industry. The major areas of emphasis would be on medium- and long-term planning, institutional organization and management, curriculum and course syllabi development and evaluation, and instructor training. Improvements in the quantity and quality of trained workers would result from the construction, furnishing and equipping of 10 new training centers, expansion of two centers, re-equippirng of one center, provision of an instructor training center and expanding and improving the production of instructional materials. Furthermore, the training centers would be widely dispersed throughout the country and would more equitably distribute training opportunities for the urban poor and women (para. 3.04). 5.02 The major quantifiable benefits of the project would be an additional annua:L output (including mobile unit programs) of about 1,900 skilled industrial workers and about 950 skilled commerce, agricultural and services workers,, of which about two-thirds would be from the urban poor, and 130 new technical instructors. Additionally, about 5,100 employed industrial workers, 8,300 commerce, agricultural and services workers, and 130 existing instructors would receive training each year, thus improving their produc- tivity. About one-third of the participants are expected to be women. Risks 5.03 The proposed loan entails some risks in terms of implementation capacity, instructor recruitment, and local cost financing. To minimize the risks in project implementation, SECAP would recruit additional high level project management staff and specialist assistance to upgrade the capabilities of its staff in project implementation, monitoring and evaluation (paras. 3.14, 4.13, 4.20, and 4.21). There would be some risk that shortages may develop in instructor recruitment. This will be closely monitored during supervision. Local cost financing of the project could be affected by unforeseen problems in the Ecuadorian economy. However, given the high priority that the 1980-84 economic development plan places on expansions in vocational training (para. 2.20), the financial risk is considered acceptable.  - 37 - VI. AGREEMENTS REACHED AND RECOMMENDATIONS 6.01 During negotiations the Government has provided assurances that: (a) SECAP's draft development plan to 1990 would be sent to the Bank for review and comments by December 31, 1984 (para. 3.13); (b) it would promptly make up the difference between receipts from the wage levy and SECAP's recurrent budget so as to meet fully all SECAP's training costs including costs of the project (para. 4.08); (c) SECAP would strengthen and maintain the project implementation unit to assure efficient execution of the project (para. 4.13); and (d) the annual auditor's report and the certified financial statements of SECAP would be forwarded to the Bank for its review and comments within 120 days after the end of the fiscal year (para. 4.19). 6.02 Up to US$0.1 million of retroactive financing should be made available for expenditures on designs of civil works and technical assistance after June 15, 1981 (para. 4.09). 6.03 Subject to the above conditions, the proposed project constitutes a suitable basis for a Bank loan to the Government of Ecuador of US$16 million equivalent, with a term of 17 years including a grace period of four years.  -38a- CDMPARA:T,I EDUCAT: ~ ION:. INDICATORS 2 ANNl~EX I Pagel1of 2 JANUARY 5. 1982 * . I~~~~~~CENTRALI I i * . . . ~~~GOUT;..I. , IGNP4/ I lIP. 01 , . IPRI. :RECURRENT. :IEC. I I :CAPITA: 11014. AS:l EDUCATION :LITER- IPRI. ICOMPLE- :STU- :UNIT COSTIPROGRESS-I SEC. : STU- :HIGHER: I AT I IX TTL. I RECURRENT - ACY I.ENROLLITION IDENTS?PRIM. ED. lION RATE IENKOLLIOENTSIENRILLI I MARKETI % GNP :CENTRALIEXP ALLOCATEIIt RATE IRATID IRATESFORIPERC lAS,GNP4/FRO MPRI. IRATIS :PER IRATID IPOP. :PRICES: DEVOTED: GOUT.I TO: 1(5OP I NET IPRI.SCH4.ITEACHI CAPITA :TO SEC. I NET :TEACH- GROSS: YRIMILLS.I (USB)' TO EDU.I EKP. IPRI. SEC. NI.IADULTS)I (%) ICVCLE(%IIER II T) 72 :ER (72 1(1) (2)1. (3) 1(4> (5) 1(6) 1(7) 1(81 1(9)1 (10) 1(11) (12) :13) :(14( ADVANCED AUSTRIA 74 7:5H4 7:520H4 5.30 9:9K 24Y 51Y (5' 99 98 93C 26 1071 991 511 101 6.0 CANADA ~~~78 2!3.5 8.670 a.1 4.3K 25 39 23 9 10 10 2 7.6 100 92 15 22,0 GERMAN-Y F.REP.78 161.3H 10:300 4.80W S.4L. . ..;~y i~y99 , 100) 100 94 226 12.00' JAPAN 75 114.94 7,700H4 4.3 4093U 110 99 90 998 2 998 959T 206 24:695Y NETHERLANDS 78 13. 99.200 8.3 13.8L 20 35 24 99 96 93 19 (7.8 99 52 13 12.6(1 NEWUZEALAND 73 3.2H 5.530H4 5.214 13.8K 39 24 29 99 99 99 26 19,4 99 67 19 4.00 NOIRWAY 76 4.0OH 9,560 7.2 9.30 54 24 15 99 99 99 16 11.0 99E 62 11 11.00 SWE DEN 78 8.3 10.540 8.8PW 10.IL 37 11 10 99 99 100 16F 22-7 100 79 113F DO. U.K. 78 56.0 45960 5.6 2.6K 26 39 22 99 99 100 24 12.3 100 62 17 20.6 U.S.A. 78 218.5 9,770 7.1 2.9K ... 57** 18 99 98 99 220 ... 99 97 170 41.00 EUROPE GREECE 76 9.414 4:350OH 2:6W 10.6H4 37Y 26Y 21" 86A 199X 821 31 6.2? 700 80 27 11.00 IRELAND 74 3.2H4 3.810H4 5.114 . 439 419 14? 98 0108K 99A 35 ... 956 6519 19 15.47Y PORTUGAL 77 9.8H141940H4 3.6W 10.7E 41 21 15 710< 82 608 19 7,8' 75* 35 12 5.00 ROMANIA 75 21L.9H 1.65014 4. 1.9K 36 19 13 98 (aix ... 219 . 98 49 22 10.00 SPAIN 74 37.11H3.960H4 2.4A 8.0K 499 22Y 15? 90A 115Kv ... 35A . ... 781X? 30 I7.60? AFRICA ALGERIA 79 18. 1.450H4 7.1W .. 34K 26K 21)5 3514 94XK 45K? 37K 11.9 52K' 3369 375 5.OOKX BENIN1 79 3.4 20 6.5 35 43 21 Ii 11 42 30 46 14.0 30 11 43 -- BOTSWANA 79 0. B 720 6.7 19,3. 48 28 1 35 94X 74 32 22.0 33 201, 18 1.50 DUUI 7 . 1.80 2.L 20.60 44L 33L 22L1' 25 25K 34 35 11.0 17 21 17 0. CAMEROON 76 8.114 190H4 3.7W 13.6K 338 43 20 .. 60X 45 52Y 11.0 20 90 2 G.9015C C.A.R. 74 1.914 27014 3.0114 . 568 19* .. .79K 25 699 21.58 18 81? 279 0.21?y CHAD 75 4.314 -15014 3.0OW 13.59 78 22 15 i 29K89Y 30 6189 ... 8 211'? 30 0.0189y COMOROS 80 0.4 260K 6.5 25.4L 40 28 14 201 995 65 45 16.0 18 21 30 1.4 CONGO(8) 74 1,514 '58014 6.0W14 : 400 32 214 50? 133X 63 63T 13.38 48 33X 22 3.40 EGYPT 78 38.7 '400 5.5 11314 30 35 26 448 73 80 30? ... 882 49 17? 12.00 ETHIOPIA 79 31.0 1.30 2.2 11.50.... 15.38 ... 59 .....5 ... 9 41 GABON 74 0.6H4 3.370H4 5.0014 .. 250 90 110i 1009OO 25C 441 4.7' (BA 31Y 211 0.29Y GAMBIA 76 .614 18014 3.3W 6.514 46 25 6 1 27 9 33 44. 92 13 2 GHAN 74 (101 38014 ... 15.5K 439 22Y 2050' 60K 628 309 . 148 35K 16C 1.9 GUINEA 76 5.11426014 4.3140 30 31 30 30K 64 45 31.1.' 86 13XS 26 4.00 IVORfy COAsT 76 7.814H 95014 6.8W 33 46 13 9A 50 86 43 19.7 47 1719 26 1.649 KENYA 79 15.3 280o 5.9W 17.98 71 15 14 45 92 74 40 15.0 41 19 28 1.0 LESOTHO 79 1.3 340 4.1w 21.30 41 29 20 52 68 32. 49 8.0, 65 15 23 0.90 LIBERIA 77 1.37H 46014 3.11 11.9L 23 13 26 30 51K . 54 27.9' 76 24K 16 - MADAGASCAR 77 8.314 25014 4.8WW 15:3C 53 28 19 50 90 33 44 ... 38 14 23 1.70 MALAWI 79 5.9 201 2.2H4 8.7K 40 23 23 25? 59 1714 6214 10.00 50E 60 21 -MALI 753 6.3H (3014 4.298 21.7K 45E 37E 181: 101 22XE ... 4BE ... SOE 61 21 .. MAURITANIA 78 1.5 270 5.5 1. 33 43 25 17 32 60 45 52.0 309 25 MAURITrUS 76 0.914 9204 45.7 17.5K 50 26 6 B0O 94 99 24 19.5? 90 45 32 15 MOROCCO 80 19. 740 6.3W 17.5K 36 44 20 28 72X 35 39 19.7 40 251 21 4.50 NIGER 77 5.514 240H4 2.80 23.30 52 43 5 8 17 50 39 38.7 35 2 2;4 NIGERIA 74 80.614 60014 4.119 9.60 239 169 425 . 491X9 ... 341 Cy . . . 101 205 0.489~e RWANDA 80 5.0 200 3.2 20. 62 17 II 23 66 62? 40' 14. 6 2 13 0.40 SENEGAL 77 5.414 36014 5.0 18.79E 46 34 20 10 32 ... 49 21.6A 20 10 21 (.5 SIERRA LEONE 73 3.314 23014 3.4W" 16.014 31 36 30 15? 34K 45 32 13.7C 68. 139 21 0.53AY SOMALIA 78 3.714 18514 2.OW 8.'1H 55 10 21 50 44 .. 32 20.4 40 5 15 100 SUDAN 76 17.414 34014! 4.51 5.21 48 36. 16 20 34 4 33 46.78 33 14 24 1.4 SWAZILAND 78 0.514 280 6.1GW 21.40 37 33 23 65 92X 49 37 7. 66 32X 20 2.001 TANZANIA 78 17.1 230 6.81N1 11.3K 43 19 10 66F 96 87 58 11.1F 9 4 2014j 0.38 TOGO 77 2.414 32014 5.5W 13.703 30 28 21 18 74 40 58 13.30 52- 44 2.00 TUNISIA 79 16.4H 1,120,9.8 16.9 41 36 20D 62 100DX 80. 39 12.8 30 30XS 30 6.00 UGANDA 75 12.41 28014 3.4CY .. 40Y 400 21Y 258 539 .. 340DY . 14A 618 218 0.569 UPPER VOLTA 77 5.64 16014 3.414 16.4K 31 16 32- SC 13 23 51 52.5? 19 2 25 1. ZAIRE 76 26.81 24014? 6.0W ... 49 26 25 15 861 44 421 20.08 41 13X 27 1.005x ZAMBIA 80 5,7 540 5.6 11.11L 48 23 -22 44 95 80 48 12.9 19 16 22 (. 50 ZIMBABWE 81 7.7 700 5.1 19.5 62 32 6 74 90 55 39 20.0 85 15 23 0.50 CENTRAL AMERICA AND THE CARIBBEAN BANANAS 79 0.2 2.780 6.514 23.1K 36 36 11 93 99 97 24 ... 97 75 19 BARBADOS 76 0. 22001 8.1H14 21.7K 43 31 16 99 106K 99 21 19.9P 99 94X 17 COSTA RICA 80 2.2 1.810 8.4 38.1 40 27 33 90 93 77 33 5.5 77 40 27 14.00 CUBA- 78 9.7 1.000 8.0 ..96 98 98 22 ... 98 65 15 15.00 DOMINICAN REP 72 5.114 90014 3.0 11.0F 42 2 2 5 80 17 54 4.58 63 14 24 7.D0 EL. SALVAG 1R 77 4.314 64014 4.0 1P.3L 64 8 27 62 88Kx 32 39 .. 41 23 21 7,00 GUATEMALA 73 6.614 93014 1.9 12.6K 55 23 14 47 64 26 35 .. 69' 8 25 4.099 HAITI 80 5.0 260 3.4V 65 9 6 23 50 20 41 19.0 62F 49 27 0.8 HONDURAS 78 3.4 480 4.29 17.8K 62F 195F .199 601 78 30 35 (2.89F 68 11 17 4.00 JAMAICA 80 2.2 1.240K 6.5 18.40 37 43 201 901 98 98 40 2,3 95 81 22 8.00 MEXICO 80 67.41.810 5.0 18B.78 46 39 15 92 98 53 44 9.5 86 56 17 10. 30 NICARAGUA 78 2.5 660 3.014 16.9F 610 3D 13 13E 90L fi1 24 44 7.30 930 4L 37 7.000 PANAMAI 78 1.I 1260 5. 12:7K 420 1303 13 788 97 820 320 11. 850 49 340 20.00 TRINIDA S T. 77 1.114 3.10114 45 11.7K 48 32 20 95 98 91 30 -10,5'? 49 62 24 SOUTH AMERICA A1RGENTINA 78 26.7 1,9'10 4,4 B.3K 430 31F 180i 93 89 52 17 ... 87 31 8 23.00 BOLIVIA 76 5.314 51014 5.014 30.5K .. ... ... 42L 800 29C 24 .. .. 4 lOC BRAZIL 75 119.514 1.51014 2.80W 6.2K 420 20D 225i 6414 88P ... 2789.Y . 26F 19589 6.OOA CHILE 75 10.714 1.470H4 3.8RY 13.014 239 SOY 505' ... 11919 ... 359 8.891A ... 48XY ... 16.559 COLOMBIA 78 25.614 90014 3.3CY .. 4419 22CY I1? 78C 105KV 20 339 11.08 90 36X9 148 6.679 ECUADOR 80D 8.4 1369P 6.OP .. 45 31 16 81 105 48 36 12.6A 86 47X 16 28.70 GUYANA 74 0.814 56014 5.814 13.41 47 35 14 813A 92 39 33 19.80 19 62K 24 1.00 PARAGUAY 79 3.0 92014 1.4C 12.6K 42Y 17Y 201 84 82. 32 28C 3.1K 75 22X 12C 7.00 PERU 75 16.814 68014 4.2C 11.1L 409 229 15) 72 I11K 38 391 11.08 70 48K 23C 14.41Y URUGUAY 75 2.9141790OH 2.5 9.4K 46 34 20 9 93K . 24 12.2E 83 .. 10 VENEZUELA 7314.0142.8501 4.6W 189K 300 280 351 778 81 .. 33 ., ... 33 .. 12.61  -39- COMPARATIVE EDUCATION INDICATORS (CONTO) Annex 2. Page 2 of' 2 JANUARY 5' 1982 :CENTRAL:. . . . OVT. : :C GNP/ C EXP. ON: S OF PUBLIC : : PRI. CRECURRENT: C CSEC !CAPITA: CEDU. AS: EDUCATION. CLITER- F RI. CCDMPLE- CSTU- :UHIT COSTtPROGRESS-C SEC. '.STU--CICAR ArT': TTL. RECURRENT CACY :ENROLLITION CDENTS:FPRIM. ED.: ION RATE :ENROLLCDENTICENROLLe :MARKET: % GNP :CENTRAL:EXP ALLOCATED: RATE :RATIO CRATE FORC.PER CAB CC GNP/CFRUM PRI. :RATIC) :PEN CRMTTO FPOP. :PRICES: DEVOTED: GV.C TO: US( OF C NET :PRI.SCH. CTEACHI CAPITA :TO SEC. CNT CEI-UU;, YRCMILLS.: CUSS): TO EDU.C EXP. CPRI. SEC. HI.:ADULTS): (5) :CYCLEc/.)CER CC(5) C(5) :ER * (1) C(2) C(3) C(4) C (5) C(6) C 7) C(6) C(9) C(10) C(11) C(122) CCII;) Cut4 ASIA AND OCEANIA AFGHANISTAN 77 14.6H 160H 1.9 47 19 15 12 29X 69 37 13.8 62 eix 17 1.00 BANGLADESH 79 92.9M4 90 1.ZLP 14.9C 51 17 20 220 71X ... 53 6.2P ... 14X 23 1.43 CHINA 79 971.0 256 3.3 6.6 34 36 30 66 93 64 27 6.0 83 5IX 19 2.80 INDIA 75 643.9N ISOH 2.6Y 1.9K....... 298 65KV ... 43A .... 29KV 2OAY 2.34EY INDONESIA 78 136.OH 340 2.4W .. 260 320 158 62 92 48 32 .. 019 17 2.00 IRAN 73 35.8H4 12.2H4 3.3W 12.2H4 508 160 128 s0 77 74A 32 ... BOA 24 32 4.32CY IRAO 75 12.2H 1iB50H 6.7CW ... ...... 26C '93XY ... 22 .. .. 35KV 26C S.47Y JORDAN 79 2.2 1,180H 6.6 1O.SF 19 44 16 70 97K 85 32 '7.2 9465 21 14.00 KOREA 78 36.6 1,310 2.6W 16.5K 35 29 36 93 102K 94 49 6.6C 91 60 45 18.00 LEBANON 72 3.OH ... 3.5W . 39 40 10 66 66 65 19 23.26 63 26U 25 23.00 MALAYSIA 80 14.2 1,460M 6.7WF 15.0 39 32 13 608 96K 94 28 6.6D 64 65 25 4.20 NEPAL 80 14.3 140 1.lWF 9.9 29F 20F 41F 19F 59F 2SF 31F . .. 64F I4P 24F O.6F OMAN 72 B8H 2,790H 1.7NW 5.1K 96 - - 20 24X 99 27F 25.0? .,. 0.4X 9 PAKISTAN 79 78.0 270 2.0 2.5K 39 26 27 24 56X 50E 46 6.5 ... 20K 17 tOE PAPUA N.G. 75 2.9H 620H4 5.4LW 17.0K 36 16 24 32 57? 73P 31 28.0? 90 12K? 24 0.90? PHILIPP:N4ES 79 46.6 600 2.6W 15.7K 64 36*** 75 84 65 31 7.0 89 55 36 21.00 SINGAPORE 74 2.3H4 3,260H 2.7YW 14.9K 39Y 39Y 17Y 72A 109KV 72A 31Y 7.4A 99A 44XY 24 7.68Y SOLOMON ISL. 50 0.23 460 5.4 96.0OH 41 34 20 . 60 70 36 ... 35 18 .. SYRIA 76 7.9 96094 4.4 6.3H4 39 25 26 56 89K 80 35 7.7E 68 45X 21 12.60 THAILAND 77 44.5 530 4.OVW 19.9K 55 30 15 84F 63 30 35 10.0C 70 25 2!C) 3.00 TURKEY 73 43.1IH 1,250H4 5.6CYW 18.6K.85. .5. 34Y 7.2A ,, 249 27DY 5.83Y YEMEN 73 5.69 41094 0.5W 10.8K 452P 3P 1 15X 1 36 19.3 75 2K 9 008 YEMEN P.0.R. 60 1.9 500K 6.0 10.5 63 14 6 40? 70 53 24 22.4 81 31 16 1.80 SUMMARY FOR DEVELOPING COUNTRIES: NUMBER OF COUNTRIES: 102 82 899 90 90 94 101 81 101 . 71 65 100 99 67 RANGE: (0.5- (1.9- (20 (6- (3- (5- (13- (13- (16- (3.1 (8-- (.4- (6- (.01- 9.9 C 30.5) 96 ) 73) 50) 99) 133X) 99 C 69 ) 52.5 C 99) 95 C 45) 41.0) QUARTILESIUPPER :5.6 17.5 49. 35 22 86 96 91 42 9 91 46 25 '11.0 MEDIAN: 4.2 13.0 42 26 18 60 82 65 34 13 68 24 22 3.4 LOWER C 3.0 9.9 34 21 13 25 56 33 29 20 41 11 l0 1.0 SYMBOLS: ... DATUM UNAVAILABLE A-1971 OR BEFORE N-CURRENT PRICES SOURCES: -MAGNITUDE NIL OR NEGLIGIBLE 6=1972 PGDIP---- ?QUESTIONABLE C=1973 Q-INCLUDING FOREIGN AID COLUMNS: 1 AND 2 WORLD BANK ATLAS SINCLUDES PART-TIME STUDENTS D-1974 R-CENTRAL GOVT. ONLY OR IBDR MISSIONS ESCOMBINED WITH PRIMARY E-1975 S-MINISTRY OF EDUCATION (MOE) ONLY 3 TO 14 IBRD MISSIONS **COMBINED WITH HIGHER F=1976 T=MOE AND STATE GOVT. ONLY AND/OR UNESCO 0=1977 U-EXCLUDING CENTRAL GOVT. STATISTICAL N-1978 V-INCLUDING PRIVATE EXPENDITURE YEARBOOK K-1979 W-PUBLIC EXPENDITURE ONLY L-1980 K-INCLUDING OVERASED STUDENTS M-1981 .9-UNESCO SOURCES COMPARATIVE EDUCATION DATA ARE USEFUL IN THE EVALUATION OF VARIOUS EDUCATION SYSTEMS AND ANALYSIS OF RELATIVE STAGES OF EDUCATIONAL DEVELOPMENT BETWEEN VARIOUS COUNTRIES. NOWEVER,ON THE BASIS OF THE PRESENT DATA,CROSS-NATIONAL COMPARISON SHOULD BE APPROACHED WITH GREAT CAUTION, DATA PRESENTED IN THE ABOVE TABLE NAVE BEEN COLLECTED LARGELY BY THE BANK MISSIONS FROM GOVERNMENT SOURCES; THE REMAINDER ARE STAFF ESTIMATES OR DATA FROM UNESCO, EFFORTS HAVE BEEN MADE TO STANDARDIZE DEFINITIONS AND WITHIN LIMITS, TO CHECK 'THE ACCURACY OF THE DATA. NEVERTHELESS,SUCH DATA ARE STILL IMPERFECT IN SEVERAL RESPECTS AND THE BANK IS WORKING TO IMPROVE THEM PROGRESSIVELY ON THE OCCASION OF ITS OPERATIONAL WORK. IN THE USE OF THESE DATA, THE FOLLOWING QUALIFICATIONS SHOULD BE BORNE IN MIND: (1)'EDUCATION' AS DEFINED IN THE TABLE INCLUDES ALL EDUCATION AND TRAINING, FORMAL AND NON-FORMAL; (2) 'PRIMARY EDUCATION REFERS TO EDUCATION AT THE FIRST LEVEL AND 'SECONDARY' EDUCATION REFERS TO ALL EDUCATION AT THE SECONDARY LEVEL REGARDLESS OF TYPE (E.G. GENERAL, TECHNICAL, AGRICULTURAL) (3) 'LITERACY RATES'(COL.6) ARE OFTEN OBTAINED FROM COUNTRY CENSUSES. IN MANY COUNTRIES THEY ARE ONLY APPRZOXIMATIONS AND IT Is DOUBTFUL THAT ANY UNIFORM DEFINITION OF 'LITERATE' HAS BEEN FOLLOWED CONSISTENTLY; (4)'PUBLIC EXPENDITURE IN EDUCATION' (COLS 4 AND 5) REFERS TO ALL CAPITAL AND RECURRENT EXP~ENDITURES DEVOTED TO EDUCATION BY PUBLIC AND QUASI-PUBLIC AGENCIES; (5. ENROLLMENT RATIOS'(COLS 7, 12 AND 14) REFER TO SCHOOL YEAR AND MEAN THE PERCENTAGE OF ELIGIBLE CHILDREN ENROLLED FULL-TIME IN THE APPROPRIATE SCHOOL, PUBLIC AND PRIVATE BY LEVEL. THEY ARE OFTEN SUBJECT TO A WIDE MARGIN OF ERROR IN THE DEVELOPING COUNTRIES OWING TO VARIATION IN THE ACCURACY OF BASIC DATA(I.E. AGE-SPECIFIC POPULATION AND ENROLLMENTS). ENROLLMENT FIGURES FREOUENTLY ARE HIGHER THAN THE NUMBER OF STUDENTS ACTUALLY IN SCHOOL. OVERAGED STUDENTS WHOSE INCLUSION IS INDICATED BY FOOTNOTES ALSO CAN INFLATE THE RATIOS.  ECUADOR SECOND VOCATIONAL TRAINING PROJECT Structure of the Education and Training System Prm Primary Primary Educat-on Secondary Educaton Hrgh.er Education Nun Frmal Labor Fore iRADES I 2 3 4 5 6 7 8 9 10 10 ti 12 13 14 1s 16 17 18 19 20 i I i I I i iI i i t 2I 2I 2 2I4 2I RGESIlI 3-5 6 7 a 9 10 11 12 13 14 10 15 16 17 18 19 20 21 22 23 24 26 Me,dical end Post Graduate Enginaeirog Coarses I E1 UNIVERSITIES J, PROFESSIONALS * Esamrnatron or Other Screening Process Age relationship applies ooly when students enter i primary education at age 6 and do not repeat a class 'Short Pro .1 Co.".s Includes 'Modern HImanit,es' (Arts or Sciencel, TECHNiCIANS i2) Industrial, Commercial, Agricutural., Howe Economics., Art and Teacher Training Streams 4- Incti-tuns includod n Proposed Cvcle i2 MIDDLE Project - - - Drop-out Route l AND KINDERGARTEN PRIMARY CYCLE~CYCL -3. ____________________ ___ ____ ___ __-_ --- -_ __ _ EDUCATIONs. _ _ 13KILED KINDe~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~N ILLITERATES , D WORKERS Wold O.J ank-g4d6  -41- ANNEX 3 ECUADOR SECOND VOCATIONAL TRAINING PROJECT Structure of SECAP BOARD OF DIRECTORS ____ HN '7 AUDIT OFFICE FTECI-NICAL AND ADMINISTRATIVE Of I COMlITT2EEI L_ EXECUTIVE __ ___ ALA : _ _ DIRECTOR r LOCAL AND1 EXPATRIATE P _ L DVISORS I |SECFtETARY GENERAL| |AND LEGAL COUNSEL| DIRECTORATE | IIBRD-SECAP1 PLANNING, CONTROLI ILNG PROJECT AND EVALUATION ' l ~~~~~~~ADMINISTRATIVE REHIATE AND FINANCIAL DIRECTORATE ~~~~~DIRECTORATE METHODS AND TEACHERNANA HUMAN DESIGN TRAINING FICIL RESOURCES OPERATIONS DIRECTORATE TEACHER | ADMINISTRATION ATECA AND COORDINATION PROJECT OF CENTERS REGIONAL CENTERS As restructured in December 1979. WoVrld Bank - 23258  ECIJAOOlt SECOND VOCATIONAL TRAINING PROJECT Contineenc . Allo-ances Euchonge Rate: USS1.00 S 30.00 ptoj.ct . of Constructiort Professional Pee. Furniture EauiroLnnt FellowEh-p Ei t.s Admini trarion Total ProLct Cost ...lin Local Foreign Loc. Foreign Local Foreign Local Foreign Local Foreign Local Fereign Local Foreign Local Foreign Tota1 Coats Contingenciec (as % of Uase Project Cost) Physical 10 10 10 10 10 1 10 10 10 10 10 10 10 10 Price Increase (on base plus physical) 98 18 35 - 44 26 29 29 28 20 19 IS 34 21 Pr-jert Costs (without Contingn-ioes) S/ Millions 258.72 80.42 51.95 9.69 9.69 12.40 235.70 0.79 7.11 2.98 16.87 13.04 3.26 349.57 353.05 702.62 t0s Millions 8.62 2.68 1.73 - 0.32 0.32 0.41 7.86 0.03 0.24 0.10 0.56 0.43 0.11 11.64 11.77 23.41 1O Costisgencies (Aoounts) Physical S/ Millioos 25.87 8.04 5.19 - 0.97 0.97 1.24 23.57 0.08 0.71 0.30 1.69 1.30 0.33 34.91 35.31 70.26 US$ Millio.. 0.86 0.27 0.17 - 0.03 0.03 0.04 0.79 0.00 0.03 0.01 0.06 0.04 0.01 1.15 1.19 2.34 Price locr.... S/Millio.s 109.14 15.92 8.57 - 4.t9 2.77 3.95 75.19 0.17 1.56 0.49 2.78 4.37 0.'5 130.88 98.97 229.85 US$ Million. 3.60 0.53 0.28 - 0.15 0.09 0.13 2.51 0.01 0.05 0.02 0.09 0.16 0.02 4.35 3.29 7.64 32.6 Slb-Total S/ Millions 134.01 23.96 13.76 - 5.66 3.74 5.19 98.76 0.25 2.27 0.79 4.47 6.17 1.08 165.83 134.28 IOO.II U$ smilli.os 29.46 0.80 0.45 - 0.18 0.12 0.17 3.30 0.01 0.08 0.03 0.15 0.20 0.03 5.50 4.48 9.98 Total Pr-je-t Coats (with Coooisgenclna) S/ Millions 392.73 104.38 65.71 15.35 13.43 17.59 334.46 1.04 9.38 3.77 21.34 19.21 4.34 515.40 487.33 1.002.73 01$ Millions 13.08 3.48 2.18 - 0.50 0.44 0.58 11.16 0.04 0.32 0.13 0.71 0.63 0.14 17.14 16.25 33.39 Total Co-ting .cioa: As % of total p-oject costs - 30Z A. / oE project costs without conti.g-ncios - 43-. EXPECTED ANNUAL PRICE INCREASES D13ElNG IMPLEMENTATION (in 7) 1982 1983 1984 1985 1986 L F L F L F L F L F Co.atrtctioo 16 8 16 8 16 7.5 16 7 16 6 Furniture 12 a 12 8 12 7.5 12 7 12 6 Equiponot 10 10 8 8 8 8 0 8 8 8 Prof. Fees 12 - 12 - 12 - 12 - 12 - Fellosbhipn 0 8 7 7 7 7 7 7 7 7 Erperts 0 8 7 7 7 7 7 7 7 7 Pcoj. Admin. 12 8 12 7 12 7 12 7 12 7  -43- ANNEX 5 ECUADOR SECOND VOCATIONAL TRAINING PROJECT Criteria for Site Selection The following criteria for use in selection of sites have been agreed between CO'IET and the Bank. A. Size of Sites. The size of the site would be determined on the basis of the: 1. Ratio of total ground area occupied by the buildings to the total area of the site. This ratio, as a percentage, will vary from 30% as optimum to 60% as the maximum. 2. Consideration of probability and size of future expansion would determine the acceptable ratio within the above range. 3. Recreational sports fields requirements would be additional to the above ratios. B. Ratio of Street Frontage to Depth of Site. 1. Minimum ratio of 1:1. 2. Maximum ratio of 1:3. C. Topographic Characteristics. 1. Maximum slope of site not greater than 10%. 2. Site would not be subject to flooding. 3. Load bearing capacity of subsoil shall not be less than 0.8 kilos/cm2 and the subsoil shall not have a high expansion factor. D. Availability of Public Services. Available public services must include: 1. Electrical service of both single and three-phase and with sufficient load capacity. 2. Potable water supply and waste water system. 3. Telephone service. 4. Acceptable access by hard-surfaced roads or all-weather gravel roads. 5. Public transportation to be made available from 6:00 a.m. to 10:00 p.m. daily. E. Location. Sites should be selected on the basis of: 1. Nearness to industrial zones in city of location. 2. Nearness to working class residential area.  -44- ANNEX 6 ECUADOR SECOND VOCATIONAL TRAINING PROJECT Related Documents and Data Avrailable in the Project File A. Reports and Studies Relating to Eduication and Training Desarrollo y Educacion en el Ecuador 1960-78, Junta Nacional de Planificacion, Febre.ro 1979. e Estadisticas de la Educacion 1976-:L977, Niveles Pre-Primario y Primario, Ministerio de Educacion y Cultura Estadisticas de la Educacion 1976-L977, Nivel Medio, Minesterio de Educacion y Cultura Informe de Labores, 1979-1980, SECAIP Infraestructura Fisica y Etapas para Su Desarrolo, SECAP, Agosto 1980. e Plan Ecuatoriano para el Desarrollo de los Recursos Humanos Capitulos III, IV, V, VI, Consejo Nacional de Desarrollo, Mayo 1980 Estadisticas''del'Trabajo, Indices cde Empleo y Remuneraciones, Octubre- Diciembre 1977. Encuesta de Hogares, Instituto Nacional de Estadistica y Censos, 1977 Proyecciones de la Poblacion Economnicamente Activa Por Areas, Grupos de Edad, Sexo y Ramas de Actividad 1974-1986, Instituto Nacional de Estadisticos y Censos B. Reports and Studies Relating to the Project Programa de Desarollo de la Formacion Professional, Tomo I, SECAP Abril 1981 Programa de Desarollo de la Formacion Profesional, Tomo II, SECAP, Abril 1981 Reglamento Organico Funcional de los Centros de For'macion Profesional del SECAP, Enero 1981 Plan Operativo Para El Ano 1981, SECAP Estructura TecrLico - Funcional del :bECAP, Enero 1980 Manual de Clasificacion de Puestos le SECAP, Junio 1979 Presupuesto Ordinario Para 1981, SECAP, Junio 1980  BIQO ~~~~~~~~~~~~~~~~~~~~~~~~~~77t00' 7500d Z6 te rr Scintoaten Tabiazo ~~~~~~~~~~~~~~~e uumio Ma A ambe Santa000 ECUADOR Porovijo al unga SECOND VOCATIONAL TRAINING PROJECT 4ip apa noc (14 VOCATIONAL TRAINING CENTERS L ~ ~ ~ ~ ~ anTos PuoA INSTRUCTOR TRAINING, GRAPHIC ARTS ince rmnd~~~~~~~~~ Puyo ~~~ ~AND INSTRUCTIONAL MATERIALS COMPLEX a \O~~~~~ Chi Riob mba