Ghana - National Functional Literacy Program Project

Document of The World Bank Report No. 18997 - GH PROJECT APPRAISAL DOCUMENT ONA PROPOSED CREDIT IN THE AMOUNT OF SDR23.7 MILLION (US$32.0 MILLION EQUIVALENT) TO THE REPUBLIC OF GHANA FOR THE NATIONAL FUNCTIONAL LITERACY PROGRAM May 18, 1999 Human Development III Country Department 1O Africa Region  GHANA NATIONAL FUNCTIONAL LITERACY PROGRAM CONTENTS A. Project Development Objective ................................................................1I 1. Project development objective ................................................................. I 2. Key performance indicators ................................................................. 1 B. Strategic Context .................................................................I 1. Sector-related Country Assistance Strategy (CAS) goal supported by the project ........... ...........1 2. Main sector issues and Government strategy ................................................ ................ 1 3. Sector issues to be addressed by the project and strategic choices ...............................................3 C. Project Description Summary ................................................................5 1. Project components ................................................................ S5 2. Key policy and institutional reforms supported by the project . ....................................................5 3. Benefits and target population .................................................................6 4. Institutional and implementation arrangements . ................................................................6 D. Project Rationale ................7 1. Project alternatives considered and reasons for rejection ...........................................................7 2. Major related projects financed by the Bank and/or other development agencies ............ ...........8 3. Lessons learned and reflected in the project design ....................................... ...................9 4. Indications of borrower commitment and ownership .......................................................... 10 5. Value added of Bank support in this project ..................................... . 10 E. Summary Project Analysis ...................................... 10 1. Economic ..................................... 10 2. Financial ..................................... 13 3. Technical ..................................... 13 4. Institutional ...................................... 13 5. Social ...................................... 14 6. Environmental assessment ...................................... 14 7. Participatory approach ...................................... 14 F. Sustainability and Risks ...................................... 14 1. Sustainability ..................................... 14 2. Critical Risks ..................................... 16 3. Possible Controversial Aspects ..................................... 17 G. Main Loan Conditions ....................................... 17 1. Effectiveness Conditions ...................................... 17 2. Other ..................................... 17 H. Readiness for Implementation ..................................... . 17 1. Compliance with Bank Policies ..................................... 17  Annexes Annex I. Project Design Summary Annex 2. Detailed Project Description Annex 3. Estimated Project Costs Annex 4. Cost-Effectiveness Analysis Summary Annex 5. Financial Summary Annex 6. Procurement and Disbursement Arrangements Table A. Project Costs by Procurement Arrangements Table B. Thresholds for Procurement Methods and Prior Review Table C. Allocation of Credit Proceeds Annex 7. Project Processing Budget and Schedule Annex 8. Documents in Project File Annex 9. Statement of Loans and Credits Annex 10. Country at a Glance Map IBRD No. 23606  GHANA National Functional Literacy Program Project Appraisal Document Africa Country Department 10 Date: May 18, 1998 Team Leader: Irene Xenakis Country Director: Peter Harrold Sector Manager: Helena Ribe Project ID: GH-PE-974 Sector: Education Lending Instrument: SIL Theme(s): Functional Literacy Poverty Targeted Intervention: [X] Yes [ ] No Project Financing Data [ ] Loan [X] Credit [] Grant [ Guarantee [ Other [Specify] For Loans/Credits/Others: Amount (US$m): 32.0 Proposed terms: [ ] To be defined [ ] Multicurrency [ ] Single currency [ ] Standard Variable [X] Fixed [ ] LIBOR- based Grace period (years): 10 Years to maturity: 40 Commitment fee: max.0.5 % Service charge: 0.75 % Front-end fee on Bank loan: Financing plan: Source Local Foreign Total Government 13.5 0.0 13.5 IBRD IDA 15.0 17.0 32.0 Other (specify): Districts/Communities 0.5 - 0.5 Total: 29.0 17.0 46.0 Borrower: The Government of Ghana Guarantor: Responsible agency: Non-formal Education Division/Ministry of Education. Estimated disbursements (Bank FY/US$M): FY 2000 2001 2002 2003 2004 2005 Annual 4.0 6.0 6.0 6.0 6.0 4.0 Cumulative 4.0 10.0 16.0 22.0 28.0 32.0 Project implementation period: 2000-2004 Expected effectiveness date: November 1, 1999 Expected closing date: December 31, 2004 Implementing agency: Non-formal Education Division/Ministry of Education Contact person: Mr. A. A. Akuoko, Acting Director Address: Non-Formal Education Division/MOE, Literacy House, Accra, Ghana Tel: 233-21-231-663 Fax: 233-21-231-664 E-mail: <nfedgh@ighmail.com>  A: Project Development Objective 1. Project development objective: (see Annex 1) This operation will support the National Functional Literacy Program (NFLP) carried out by the Non- Formal Education Division/ Ministry of Education (NFED/MOE). Its principal objective is to increase the number of Ghanaians adults (15-45 years), particularly women and the rural poor, who acquire literacy and functional skills. For the purposes of this program a functionally literate person is "one who can engage in activities in which literacy is required for effective functioning of his/her group and community and also for enabling him/her to continue to use reading, writing and calculation for his/her own and the community's development."1 The NFLP seeks to achieve this objective by providing a quality basic functional literacy program in selected national languages, creating a literate environment, and strengthening institutional capacity for program implementation, monitoring and evaluation. 2. Key performance indicators: (see Annex 1) Program performance will be monitored through several objectively verifiable indicators of literacy skills, knowledge utilization, and improved attitudes and practices in areas such as family health, community participation, and agricultural activities. The Program will: (i) monitor the number of learners enrolling in the classes and the percentage achieving a basic level of literacy, and (ii) compile periodic learner assessment to evaluate the impact of development activities on learners' knowledge, attitudes and practices. Based on the experience gained during the first phase of the Program, the NFLP envisages that about 70% of learners will complete the program successfully and that 60% of new literates will be women. To the extent that illiteracy is highly correlated with location, income level and gender, the literacy program provides an opportunity for illiterate adults, especially women in rural areas, to improve their human capital and become more productive members of civil society. B: Strategic Context 1. Sector-related Country Assistance Strategy (CAS) goal supported by the project: (see Annex 1) Document number: 17002-GH Date of latest CAS discussion: September 4, 1997 The objective of Ghana's Country Assistance Strategy (CAS) is to improve the quality of life for all Ghanaians, generate employment, and reduce poverty by accelerating broad-based economic growth and by implementing direct poverty-reduction measures for those individuals not participating in the growth process. The Bank is supporting the Government's development agenda by emphasizing programs that improve the quality, access and sustainability of social services and by promoting faster agricultural growth. In the education sector, the Bank's existing and proposed investments focus on improving the quality of functional literacy programs, basic education, and post-basic education and training programs, including tertiary education. 2. Main sector issues and Government strategy: Since the mid-1980s, the Government has been committed to expanding and improving education and as a result public expenditure on education doubled between 1987 to 1997. As a proportion of GDP, annual education spending increased from 1.4% in 1983 to 4.0% in 1997. Basic education receives roughly two- thirds of the recurrent education budget (Ghana Education Finance Study, 1998). The NFLP receives substantial political support, but has been allocated only 0.68% of the public resource envelope for 1999 (MOE/MTEF, 1998). I UNESCO definition of functional literacy.  2 Sector issues (a) Illiteracy rates remain high among the poor, especially among poor women. In 1997 the national adult illiteracy rate was estimated at 52% -- 38% for men and 64% for women -- while the absolute number of adult illiterates was estimated at four million. Adult illiteracy is highly correlated with location, income level, and gender. In rural areas, 74% of household heads in the poorest quintile have never attended school, compared to 15% in the richest quintile. Among rural women in the poorest quintile, 84% are illiterate, compared to 53% for those in the-richest quintile. Although illiteracy is somewhat lower in urban areas, the association between illiteracy and poverty remains. Sixty-two percent of urban household heads in the poorest quintile have never attended school compared to only 4.5% for households in the richest quintile. Among urban women in the poorest quintile, 70% are illiterate compared to 24% for women in the richest quintile (Core Welfare Indicators Questionnaire (CWIQ) Survey, 1997). (b) There is a continuous flow of young people lacking basic literacy skills, especially girls and children in very poor households. Low primary school enrollment and completion rates, coupled with poor learning achievement, produce a continuous flow of young people joining the stock of illiterate adults. Although primary school enrollment rates have increased slightly since 1989, they are far from universal, especially for girls or children in very poor households. In 1993, the overall primary school admission rate was 81% for girls and 90% for boys, while only 60% of children from very poor households enrolled. Moreover, not all children who enter primary school complete the cycle. In 1993, the completion rate was 79% for girls and 88% for boys. Additionally, student achievement is low even among students who complete primary education. In 1996 a criterion referenced test administered to 5% of the students in grade six indicated that only 5.5% of those tested reached mastery levels in English and 1.8% reached a similar level in mathematics. More recent data continue to show wide gaps in educational attainment, especially by income level and region. In 1997 only 28% of poor children in rural areas had completed at least primary school, compared to 64% of non-poor children. These differences carry over to urban areas, where 44% of poor children complete primary school compared to 78% of non-poor children. (c) The quality and relevance of the functional literacy program need to improve. NFLP needs to focus more systematically on program quality and responsiveness to learners' needs. A 1997 Beneficiary Impact Assessment (BIA) indicated that the NFLP improved the learners' literacy skills and self-esteem and heightened their awareness of choices in such areas as family planning, personal health and hygiene, agricultural practices, preservation of the environment and civic issues. However, the evaluation of the first phase of the Program strongly recommended that program quality be improved before the scope is expanded. Areas recommended for improvement include: relevance to learners' needs and expectations; selection and training of facilitators and supervisors; the regular conduct of classes; the length of class contact and quality of instruction; instructional supervision; the quality and availability of instructional and reading materials; and program monitoring and evaluation. Little is known about the quality, relevance and impact of other literacy programs in Ghana. (d) There is need to sustain literacy skills through creation of a literate environment. There is a limited selection of reading materials available to neo-literate adults. Phase I supported production of reading materials in the 15 languages to ensure new literates will not lose their acquired skills. To this end, NFED financed the publication and distribution of community newspapers, subsidized the production costs of the Ghana Book Publishers Association (GBPA) for selected titles and languages, and encouraged local communities to produce their own reading materials using low-cost silk-screen technology. In practice, however, centralized procedures delayed production and distribution of newspapers, and collaboration with GBPA did not work out as envisaged. Local newspaper production using silk-screen presses, however, is now working well in some districts.  3 (e) NFED's institutional role and capacity to deliver a quality national literacy program need to be strengthened. NFED's role and mandate to implement the NFLP, promote and coordinate literacy initiatives, and set priorities for non-formal education need to be strengthened. Only recently was NFED granted autonomous status within MOE. Its unclear status had created insecurity among seconded staff; NFED has often had difficulty recruiting and retaining competent staff, and wasted capacity building as trained staff left NFED. Centralized program management and internal inefficiencies combined with limited budget have further aggravated the problem. In general, NFED's capacity to implement, monitor and evaluate the program has been weak. (f) Collaboration among literacy providers needs to be strengthened Although NFED is the main provider of literacy classes in Ghana, the number of NGOs involved in various types of adult literacy activities is growing. The content and focus of their activities range from religion, to gender equity to rural development. Literacy providers include: (i) independent providers that organize their own classes and activities independently from NFED; (ii) those that organize their classes independently, but rely on NFED for some form of support (e.g., primers, training, supervision); and (iii) organizations that do not provide literacy services, but contribute to NFED's delivery (e.g. mobilizing learners, providing input for development activities). There is an increasing recognition among all stakeholders of the need for collaboration and coordination of literacy activities. Government Strategy In 1990 the Head of State declared the eradication of adult illiteracy as a national priority, and in 1991 the Government sought World Bank assistance to finance the NFLP Program to achieve this result. The Program's main objective was to improve economic opportunities and quality of life for the most vulnerable and disadvantaged Ghanaians. The Program has already achieved considerable success and helped reduce the national illiteracy rate from 69% in 1989 to an estimated 52% in 1997 (Ghana Living Standard Survey, 1989 and CWIQ, 1997). The Government remains committed to its original objective to eradicate illiteracy, and has thus adopted a two-pronged strategy: (a) Increase access and improve the quality of basic education to stem the flow of young people who reach adulthood illiterate. This strategy involves reducing gender and regional disparities in access to basic education; improving instructional practices in schools; providing instructional materials; strengthening teacher development; fostering community involvement in school management; and building institutional capacity for organizational analysis and change. The Free Compulsory Universal Basic Educational (FCUBE) program was launched in 1996 to address these issues. (b) Improve the quality and cost-effectiveness of the NFLP to ensure sustained literacy and functional skills. This includes providing a basic literacy and functional skills package to illiterate adults; improving program monitoring, evaluation and research; expanding the English literacy pilot classes; enhancing NFED's collaboration with other literacy providers; and strengthening NFED's capacity to manage and monitor the Program. 3. Sector issues to be addressed by the program and strategic choices: Building on lessons learned and achievements from the previous phase, the proposed operation will address issues of program quality and delivery as follows.  4 Emphasis on Program Quality and Relevance (a) Providing a good-quality basic literacy program to targeted illiterate adults As illiteracy is highly correlated with location, income level, and gender, the Program will target mainly the poor and women living in rural areas. Women's enrollment and completion rates will be monitored closely to ensure that at least 60% of the beneficiaries are women. The strategic choices include: * Designing a literacy program that targets specific groups of illiterates versus a program without specific targets. According to the Constitution of Ghana, the National Literacy Program is open to all adult Ghanaians. Nonetheless, the experience to date is that the program is self-targeting, as illiterates are primarily poor and female (particularly among the 25-45 age group). As these specific groups are the main beneficiaries of the Program, the basic literacy package is designed to be relevant to their needs. * Pursuing quality versus quantity. Although it is estimated that about four million adult Ghanaians remain illiterate in their national language (there are 55 national languages in the country), the Implementation Completion Report (ICR) on the previous phase concludes that, in the next phase of the Program, quality must be improved before further expansion. (b) Sustaining literacy skills The Program will support several mechanisms to build a literate environment through the development and production of low-cost reading materials under a decentralized system. The strategic choices considered include: . Maintaining newspaper production in 15 national languages at the center versus decentralizing production to regional/district levels. The evaluation of Phase 1 and a recent research study suggest that central production of materials, particularly of newspapers in national languages, is inefficient and time-consuming (often with long delays in production and distribution); and that there is scope for increased decentralization and private sector involvement in the production of easy-to-read stories, community newspapers, and materials geared to the reading-level of new literates. The proposed Program will seek to establish regional materials production committees to oversee the development and production of materials at the regional level. 3 Supporting NFED to develop reading materials in the 15 program languages versus purchasing materials from other literacy providers and involving commercial publishers. Enhanced effort is being made to purchase appropriate materials from all available sources and to limit NFED's role in this area. . Involving learners in the production of simple reading materials in class versus using only materials produced by others. The Program will support classes to produce their own materials through the use of low-cost, silk-screen presses. Strategy for Service Delivery (a) Strengthening NFED's institutional role and capacity to deliver a good-quality program. The operation will support NFED's official establishment, human resource development (HRD) strategy and staff decentralization. It will also strengthen NFED's capacity for monitoring, evaluation and research to improve Program effectiveness and impact. The strategic choices include: * Continuing to manage the Program at the national level versus decentralizing the implementation of selected activities (e.g. logistics, training, supervision, consumable material, and resource management). Lessons form the previous phase support the decentralization of program implementation and supervision supported by stronger community involvement.