Document of The World Bank Report No: 20487-AR PROJECT APPRAISAL DOCUMENT ON A PROPOSED LOAN IN THE-AMOUNT OF US$5.0 MILLION TO THE ARGENTINE REPUBLIC FOR A SUSTAINABLE FISHERIES MANAGEMENT PROJECT September 14, 2000 Environmentally and Socially Sustainable Development Sector Management Unit Argentina, Chile and Uruguay Country Management Unit Latin America and Caribbean Region CURRENCY EQUIVALENTS (Exchange Rate Effective September 1, 2000) Currency Unit = Peso 1 Peso = US$0.98 US$1 = 1.01 Pesos FISCAL YEAR January 1 December 31 ABBREVIATIONS AND ACRONYMS CAS Country Assistance Strategy CFP Federal Fisheries Council DNPA National Directorate of Fisheries and Aquaculture ESW Economic and Sector Work EEZ Exclusive Economic Zone FMS Financial Management Specialist FOCZ Falklands/Malvinas Outer Conservation Zone FONAP National Fisheries Fund GDP Gross Domestic Product GEF Global Environmental Facility INIDEP National Fisheries Research Institute ITQ Individual Transferable Quota MCS Monitoring, Control and Surveillance MEyFRH Ministry of Labor MIS Management Information System MIDSyMA Ministry of Social Development and Environment MSY Maximum Sustainable Yield NGO Non-Governmental Organization PHRD Population and Human Resources Development Grant PIP Project Implementation Plan PMR Project Management Report POA Annual Operating Plan QMS Quota Management System SA Social Assessment SAGPyA Secretariat of Agriculture, Livestock, Fisheries and Food TAC Total Allowable Catch UCP Project Coordination Unit UK United Kingdom VMS Vessel Monitoring System Vice President: David de Ferranti Country Manager/Director: Myrna Alexander Sector Manager/Director: John Redwood Task Team Leader/Task Manager: Steven N. Schonberger ARGENTINA SUSTAINABLE FISHERIES MANAGEMENT PROJECT CONTENTS A. Project Development Objective Page 1. Project development objective 2 2. Key performance indicators 2 B. Strategic Context 1. Sector-related Country Assistance Strategy (CAS) goal supported by the project 2 2. Main sector issues and Government strategy 2 3. Learning and development issues to be addressed by the project 4 4. Learning and innovation expectations 4 C. Project Description Summary 1. Project components 5 2. Institutional and implementation arrangements 6 3. Monitoring and evaluation arrangements 6 D. Project Rationale (This section is not to be completed in a LIL PAD) E. Summary Project Analysis 1. Economic 7 2. Financial 7 3. Technical 7 4. Institutional 8 5. Environmental 9 6. Social 10 7. Safeguard Policies 11 F. Sustainability and Risks 1. Sustainability 12 2. Critical risks 12 3. Possible controversial aspects 13 G. Main Conditions 1. Effectiveness Condition 13 2. Other 13 H. Readiness for Implementation 14 I. Compliance with Bank Policies 14 Annexes Annex 1: Project Design Summary 15 Annex 2: Detailed Project Description 20 Annex 3: Estimated Project Costs 24 Annex 4: Cost-Effectiveness Analysis Summary 25 Annex 5: Financial Summary 26 Annex 6: Procurement and Disbursement Arrangements 27 Annex 7: Project Processing Schedule 33 Annex 8: Documents in the Project File 34 Annex 9: Statement of Loans and Credits 35 Annex 10: Country at a Glance 38 MAP(S) ARGENTINA Sustainable Fisheries Management Project Project Appraisal Document Latin America and Caribbean Region LCSER Date: September 14, 2000 Team Leader: Steven N. Schonberger Country Manager/Director: Myma L. Alexander Sector Manager/Director: John Redwood Project ID: P057459 Sector(s): AF - Fisheries & Aquaculture, SA - Social Funds & Social Assistance Lending Instrument: Learning and Innovation Loan (LIL) Theme(s): Rural Development Poverty Targeted Intervention: N Project Financing Data N Loan O Credit O Grant O Guarantee E Other (Specify) For Loans/Credits/Others: Amount (US$m): 5.0 Proposed Terms: Variable Spread & Rate Single Currency Loan (VSCL) Grace period (years): 5 Years to maturity: 15 Commitment fee: 0.75% Front end fee on Bank loan: 1.00% Financing Plan: Source Local Foreign Total GOVERNMENT 3.50 0.00 3.50 IBRD 3.50 1.50 5.00 Total: 7.00 1.50 8.50 Borrower: ARGENTINE REPUBLIC Responsible agency: SECRETARIAT OF AGRICULTURE, LIVESTOCK, FISHERIES AND FOOD Address: Programa de Manejo Sustentable de la Pesca SAGPyA Av. Paseo Colon 922, Piso 3 Capital Federal, Argentina Contact Person: Enrique Gabriel Sesar (Project Coordinator) Tel: (5411) 4349-2165 Fax: (5411) 4349-2655 Email: esesar@sagyp.mecon.gov.ar Estimated disbursements ( Bank FYIUS$M): FY 2001 2002 2003 Annual 1.0 2.5 1.5 Cumulative 1.0 3.5 5.0 Project implementation period: September 1, 2000 to December 31, 2002 Expected effectiveness date: 10/01/2000 Expected closing date: 06/30/2003 OCS PAD F.. Ret M-h, 20 A. Project Development Objective 1. Project development objective: (see Annex 1) The objective of the project is identify innovative, cost-effective mechanisms for strengthening Government's fisheries management capacity which can be expanded throughout the fisheries management agency as the quota management system (QMS) is implemented and supported through an expanded program of support to sustainable fisheries management in Argentina. Key strengthening activities to be tested under the proposed project are: (i) introduction of strategic planning and increased transparency in the provision of key administrative services; (ii) implementation of new technologies and human resources strategies to improve professionalism, transparency and accountability in all key functional areas of the monitoring, control and surveillance (MCS) system; and (iii) design of a special social assistance program for vulnerable fisheries workers to be implemented in event of periodic closures of the fishery or sharp reductions in the annual total allowable catch (TAC) of major commercial species. 2. Key performance indicators: (see Annex 1) (i) DNPyA prepares and adopts strategic plan consistent with QMS impelementation. (ii) Standardized licensing arrangements and infractions system established for species targeted under pilot; (iii) Information available through internet updated on bi-weekly basis on license approvals, total and individual catch against quota, and infractions; (iv) Satellite monitoring and other MCS information available to provinces and private sector; (v) Excess of annual catch relative to TAC does not exceed 10% for species targeted by pilot; (vi) Special social assistance program designed to provide well-targeted assistance to vulnerable fisheries workers. (See Annex I for additional performance indicators for development objectives, outputs and inputs.) B. Strategic Context 1. Sector-related Country Assistance Strategy (CAS) goal supported by the project: (see Annex 1) Document number: Report No. 16505-AR Date of latest CAS discussion: 06/27/2000 The project directly supports the CAS strategy of promoting sustainable management of natural resources and protection of bio-diversity by redefining and modernizing the role of the public sector. Argentina is the first country in Latin America to legislate the use of QMS as the primary resource management tool. Chile uses a variation of QMS to manage three species. The project would be the first Bank project to directly support implementation of a rights-based fisheries management system. Annex 1 presents indicators of sustainable resources management in the fisheries sector consistent with the objectives of Argentina's fisheries law. 2. Main sector issues and Government strategy: The fisheries sector in Argentina is currently faced with a choice between continued revenue, export and employment growth, and complete collapse of populations of the most important commercial marine species. The sector, though small relative to overall GDP, has grown at an average annual rate of 15% over the past 10 years, generating approximately $ 1 billion in revenues in 1997 - almost 90% of which is exported - and directly employing approximately 25,000 workers. In addition to their direct, commercial benefits, fisheries resources are the basis of Argentina's unique fishing communities and are key elements of Argentina's marine ecosystem. As in many other countries, Argentina's rich marine resources are being exploited at a rate that - 2 - significantly exceeds the biological capacity of the resource to reproduce itself. Captures of hake, the most important commercial species, were estimated at over 800,000 metric tons in 1997, compared to the recommended total allowable catch of 395,000 metric tons. The impact of over-fishing has become evident to all as fishing effort per unit catch has increased and the average size of fish caught has dropped dramatically. Government efforts to control fishing have been largely ineffective due to political concerns regarding short-term employment loss, legal challenges and the lack of training, financing and accountability of the national fisheries management agency. In order to address the immediate risk of stock collapse of key commercial species, Government limited catch for the first quarter of CY2000 to 35,000 metric tons and limited the area of activity of the freezer-factory fleet. In order to develop an improved overall framework for fisheries management, a new fisheries' law was signed into effect in January 1998 (Ley 24.922). The new fisheries law "promotes the development of fishing activity commensurate with the rational use of marine living resources while encouraging the use of environmentally friendly industrial processes that achieve the highest value added and generate the most employment for Argentine workers". In order to realize these goals, the law created a Federal Fisheries Council (CFP) with representatives from the Secretariat of Agriculture, Livestock, Fisheries and Food (SAGPyA), the Ministry of Social Development and Environment (MDSyMA), the Ministry of Foreign Affairs, and each of the coastal provinces, as well as an advisory committee consisting of representatives of fishing industry companies and labor unions. The law also mandated the implementation of a QMS based on Individual Transferable Quotas (ITQs). QMS, by assigning quasi-property rights to harvest fish, is emerging as an international best-practice means of addressing the inefficiencies and perverse incentives associated with open-access or common property resource systems. Recent Bank ESW (ARGENTINA: Towards Rights-based Fisheries Management, report dated December 30, 1999) points out that while QMS has been an effective instrument in many countries to achieve the ecological, commercial and social benefits associated with sustainable fisheries management, successful implementation requires a challenging process of decisions and actions by Government and other sector stakeholders. Transition from an open or limited access situation with centrally managed access to one based on transferable quota rights requires that the standard institutional framework associated with property rights be in-place. This includes: (i) laws and regulations which define the rights and obligations associated with ITQs and which designate the appropriate enforcement mechanisms; and (ii) institutional capacity to carry-out the designated enforcement responsibilities, including sustainable fnancing to support enforcement efforts - all activities which have been carried out with limited effectiveness in the past in Argentina. The ESW report acknowledges that in Argentina, Government faces the difficult challenge of implementing the QMS concurrent with the need to substantially reduce the hake catch to avert stock collapse. Given the critical situation in the hake fishery, limited institutional capacity and the ineffectiveness of past limits on catch, the report recommends that Government first focus on implementing easily monitored and enforceable actions to limit the hake catch to levels which permit stock recovery. The report suggests that while preparation for QMS can proceed in parallel, implementation should take place when Government has established the credibility of its enforcement capacity and developed the technical and financial capacity to deliver critical QMS support services - either directly or through external contracting. Despite this difficult scenario, there are several positive factors which support a limited program of assistance to Government at this time. Virtually all stakeholders recognize the need to improve resource management to avoid sectoral collapse, and all support the use of ITQs as a primary management tool. In addition, there is consensus on the need for Government to demonstrate decisive action in managing the hake crisis so as to build credibility after several years of ineffective enforcement. Monitoring and - 3 - enforcement is facilitated by the fact that fish are landed at only 12 sites in Argentina and about 85% of the total catch is landed in just five ports. In addition, despite its general institutional weaknesses, SAGPyA has developed several key functional areas of fisheries management.. The National Fisheries Research Institute (INIDEP) has benefited from several years of Government and international support (Government of Japan (JICA) under bilateral assistance, and World Bank and Japan PHRD under Argentina Agricultural Services and Institutional Development Project (3297-AR)) in building its stock assessment capabilities. In addition, Argentina has a satellite-based vessel monitoring system (VMS) operating on 380 vessels to enforce closure areas, and a fisheries information system which can form the basis for quota registry development. Government has requested Bank assistance to develop the framework for sustainable fisheries management consistent with the objectives of the new fisheries law. Given the innovative nature of the QMS in the Latin American context and the need to test new technologies and human resources approaches to fisheries management prior to the introduction of QMS, it was agreed with Government that a phased program of support would be developed. A Japanese PHRD Grant has supported institutional and social assessments and design of activities to be financed under the LIL as well as studies required for preparation of a possible follow-on project. The LIL will support the pilot introduction of measures to address the most urgent requirements for implementation of short-term and longer-term fisheries management measures under QMS. The results of the LIL and the PHRD studies will be used to design a more comprehensive program to support restructuring of the fisheries sector currently being discussed by Government and the Bank. 3. Learning and Development issues to be addressed by the project: The primary learning objective of the proposed program of support is to identify innovative mechanisms for strengthening Government's fisheries management capacity which can be expanded throughout the fisheries management agency as QMS is implemented and supported through an expanded program of support to sustainable fisheries management in Argentina. The proposed project will contribute two major elements to this learning objective: (i) identifying and testing means to strengthen Argentina's fisheries administration and MCS system consistent with the need to develop greater professionalism, transparency and accountability; and (ii) testing the efficiency and effectiveness of existing unemployment assistance programs for the most vulnerable fisheries workers. Given the importance of consensus-based resource management under QMS, the learning experience under the loan is targeted to the private sector as well as CFP and SAGPyA. The social assistance activities will, in addition, be monitored with MEyFRH, MDSyMA and other implementers of social programs. Results will be discussed with other key actors in the sector such as unions, the Senate and House of Deputies, coastal communities, Navy, Coast Guard and NGOs. Based on the evaluation of the progress in advancing implementation of the QMS and Government's effectiveness in enforcing precautionary measures to avert stock collapse, particularly in the hake fishery, the Government and Bank will consider a follow-on loan to further support QMS implementation. 4. Learning and innovation expectations: E Economic N Technical N Social N Participation N Financial N Institutional D Environmental El Other CFP and SAGPyA will be able to identify, evaluate and implement the required actions to strengthen - 4 - general fisheries administration and MCS functions for QMS.. CFP, SAGPyA and industry will be able to test mechanisms to increase transparency and accountability of MCS operation. CFP, SAGPyA, Chief of Cabinet of Ministers and Ministry of Economy will be able, as a result of studies, TA and experience gained under the LIL in strengthening key management functions, to more accurately estimate annual operational costs as a basis for establishing cost recovery goals and mechanisms.. CFP, MEyFRH, MDSyMA, Chief of Cabinet of Ministers, Ministry of Economy and Bank will learn what employment assistance programs provide most effective support to fisheries workers and what gaps, if any, exist in the social safety net and menu of active labor programs. C. Project Description Summary 1. Project components (see Annex 2 for a detailed description and Annex 3 for a detailed cost breakdown): Indicative Bank- % of Component Sector Costs % of financing Bank- ._______ _ . (US$M) Total (US$M) financing 1. Strengthened Fisheries Fisheries & 0.30 3.5 0.30 6.0 Administration for QMS (TA, Aquaculture training, equipment); 2. Strengthened MCS (TA, training, Fisheries & 7.15 84.1 3.65 73.0 equipment and financing of recurrent Aquaculture personnel and operational costs); 3. Pilot Social Assistance Action Safety Nets 0.30 3.5 0.30 6.0 Centers for Unemployed Fisheries Workers (TA, equipment, operational costs); 4. Project Coordination and Evaluation Public Financial 0.70 8.2 0.70 14.0 (TA, equipment, training, operational Management costs). Total Project Costs 8.45 99.4 4.95 99.0 Front-end fee 0.05 0.6 0.05 1.0 Total Financing Required 8.50 100.0 5.00 100.0 -5- 2. Institutional and implementation arrangements: SAGPyA, as implementing authority of the fisheries law and president of CFP, will have overall responsibility for project implementation and for facilitating the learning process supported by the loan. A project coordination unit (UCP), within SAGPyA, will provide administrative (preparation of annual operating programs (POA), procurement, financial management and reporting) and technical support to the implementers of the project activities according to the PIP. The UCP will also assist SAGPyA and CFP in management of the learning process, by ensuring that monitoring and evaluation is carried out, that the results are discussed with CFP and other primary stakeholders and shared with secondary stakeholders, including the Bank, for comment, and that any agreed adjustments which result from the learning process are incorporated in the PIP. The National Directorate of Fisheries and Aquaculture (DNPA) will be responsible for implementation of pilot activities to strengthen fisheries administration and MCS. Social assistance activities financed under the project (worker orientation, counseling, monitoring) will be carried out by a small, contracted technical unit based in Mar del Plata and Patagonia, contracted and supervised by UCP in coordination with SAGPyA, MEyFRH, MDSyMA, and participating local governments. 3. Monitoring and evaluation arrangements: UCP will be responsible for managing the monitoring and evaluation process. Monitoring and evaluation will consist of: (i) UCP prepared quarterly project management reports (PMR); (ii) UCP prepared semestral project progress reports which will measure progress against POAs and project indicators, assess the quality of project outputs and the status of the project risk environment; and recommend measures to improve project implementation; (iii) contracted external midterm review of project activities, outputs and progress to development objectives completed within 12 months after project effectiveness; (iv) discussion within two months of completion of results of semestral project progress reports and midterm review review with CFP, SAGPyA, Chief of Cabinet of Ministers, Ministry of Economy, fisheries sector stakeholders, and Bank supervision mission staff; (v) published, annual operational and financial report of fisheries administration; and (vi) Implementation Completion Report. The externally contracted midterm evaluation will include: (i) review of project documentation; (ii) interviews with key stakeholders; and (iii) technical reviews by external experts. The evaluation criteria will include: (i) performance in implementing project activities in timely manner; (ii) quality of project outputs;; (iii) cost-effectiveness of technical approach; (iv) influence of assumptions/risk factors on the project and how these were managed; (v) progress toward project and program objectives; (vi) issues to be addressed in project design. In the case of the Improved Fisheries Administration and MC S components, evaluation is expected to be carried out by international consultants with direct experience in QMS fisheries management, and particularly in MCS. In addition to quantitative assessment of project results, the evaluation will review qualitative factors related to increased professionalism, transparency and accountability in the management system. The monitoring and evaluation of social assistance activities will be carried out by a local or international consultant. Bank supervision of this component will be coordinated with Bank staff working on relevant - 6 - projects with MTSS and SDSyMA. D. Project Rationale [This section is not to be completed in a LIL PAD. Rationale should be implicit in paragraph B: 3.] E. Summary Project Analysis (Detailed assessments are in the project file, see Annex 8) 1. Economic (see Annex 4): [For LIL, to the extent applicable] O Cost benefit NPV=US$ million; ERR = % (see Annex 4) O Cost effectiveness * Other (specify) The activities funded by the project are vital elements to avoid complete collapse of hake stocks. The net present value of future hake catch which would be lost due to a sustained collapse is estimated at US$1.67 billion. Cost effectiveness of the funded activities was assessed based on work flow per person/hour estimates consistent with international experience and specific aspects of the Argentine environment. Given the fairly high salary levels in Argentina, it was agreed that the project will identify and test integration of technology to increase labor productivity and transparency for each task. Although costs under the project are borne completely by Government, cost-effectiveness and industry participation will be emphasized to gain support for direct industry financing of observer and eventually other enforcement activities. 2. Financial (see Annex 4 and Annex 5): NPV=US$ million; FRR = % (see Aniex 4) [For LIL, to the extent applicable] The Fisheries Law creates the National Fisheries Fund (FONAP) to support fisheries management through recovery of costs from industry. However, as the mechanisms of the fund have not yet been designed, and fishery activity is severely curtailed, it is estimated that CFP and SAGPyA will not have sufficient funds for the next two years for the equipment, training and personnel required to control fishing under the current framnework as well as prepare for QMS implementation Accordingly, the project provides bridge funding, on a declining basis (70% down to 20%) for contracted staff over a two-year period. CFP has agreed to provide the Bank with its projected budget for essential tasks, fnancing requirements from the LIL and how these costs will be covered without external financing under FONAP. 3. Technical: [For LIL, enter data if applicable or 'Not Applicable'] Modern fisheries management administrations function essentially as information managers, using a variety of mechanisms for obtaining, validating, transferring, storing, analyzing and acting upon information. Information requirements under QMS are particularly high as catch against quota has to be accurately measured and recorded and available in virtually real-time. QMS also requires the same high quality stock assessment required under other management methods, and as is the case with these other methods, socio-economic information and public consultation for validation and information dissemination are critical. While Argentina has improved its information gathering capacity over the past ten years, the quality and coverage of the information, as well as its utilization has not been sufficient to support effective fisheries management. The proposed project will support preparation and implementation of a strategic plan for fisheries administration focused on information management and public participation in decision making, consistent with modem fisheries administrations in other QMS countries such as New Zealand, - 7 - Australia, Canada, and Iceland. MC S is critical to fisheries management in general, and to QMS implementation in particular. In the past, MCS activities have been implemented in an adhoc manner, without clear technical criteria or transparency, under uncertain budgetary conditions, resulting in a general lack of credibility in the system. The primary MCS strengthening activities to be piloted through the project - licensing, registry, dockside and at-sea inspection, on-board observers, VMS and information processing - are the key to an effective system. In order to test effectiveness and build credibility, the project-financed pilots in each of the elements of the system will be evaluated jointly with stakeholders every six months. The pilot action centers to be financed by the project to assist unemployed fisheries workers are consistent with best practices which focus on worker orientation, facilitating access to assistance, providing a menu of options and close monitoring and evaluation. In Argentina, the potential effectiveness of providing options is limited by the number of unemployment and safety-net programs with sufficient coverage and speed to address the needs of the target population (essentially public works, training and food baskets). Nonetheless, the component, in addition to assisting workers to access these limited options, is expected to provide the basis for developing a more comprehensive menu of options to be called upon as periodic closures of the fishery are expected for several years as hake stocks recover and industry capacity adjusts to sustainable yield levels. 4. Institutional: Legal and regulatory framework: The new Fisheries Law addresses many of the weaknesses in the previous management framework, including designating clear authority for fisheries policy decisions and implementation, and by providing a stronger framework for punitive measures for violations. However, the law does not provide a clear definition of the property rights represented by ITQs, with only general guidelines for quota allocation and transferability criteria. In addition, while the jurisdictions of the national and provincial authorities is specified, additional regulation is required to address issues of management of stocks which move between jurisdictions and increasing conformity in regulations and enforcement actions. Government has moved slowly in preparing the regulations to the law, due in part to intensive lobbying by industry groups, and because CFP is still in the process of defining its responsibilities and powers and lacks a technical secretariat to provide advice for policy decisions. Technical assistance has been provided to CFP and SAGPyA under the PHRD Grant both for drafting of the regulations as well as for external review by Argentine and international legal experts, a process which the Bank has offered to facilitate through its legal department. 4.1 Executing agencies: Government institutions in the fisheries sector are generally weak. DNPyA has many well-qualified professionals at the management level, but the quality of line staff has suffered from frequent changes in authorities and staff turnover, as well as several years of budgetary uncertainty. DNPyA currently faces a budgetary crisis as cancellation of a fishing access agreement with the European Community resulted in loss of funds which financed as much as 60% of DNPyA staff As indicated above, funding from FONAP is not expected to be sufficient for two years. The agency has failed to clearly define its responsibility or institutionalize staff with appropriate skills and equipment. In addition, the hake crisis and industry concerns regarding the ITQ allocation process has undermined DNPyA's relationship with industry and other stakeholders. Accordingly, the proposed project will provide some budgetary stability by bridging the funding gap until FONAP becomes effective, support strategic planning, development of operational procedures, staff selection and development, and support increased transparency in management operations. -8 - SAGPyA's limited role in facilitating access to social assistance and impact evaluation is consistent with its comparative advantage in knowing the principal stakeholders in the sector and its interest in better understanding the employment dynamics of the sectoral labor-force. As the worker assistance and evaluation activities are transitory, they will be carried out by consultants with appropriate experience, working in close collaboration with SAGPyA. The agencies which would directly provide worker assistance, MTSS and SDSyMA, have significant experience with the programs involved. 4.2 Project management: SAGPyA has considerable experience in managing Bank-financed projects and this experience has been drawn upon in developing the administrative arrangements for the project. Prior experience in Argentina indicates that projects best address the needs of the implementing agencies when those agencies, rather than the project unit, have responsibility for implementing relevant activities. As a result, the UCP's responsibilities are limited to facilitating annual planning and procurement, reporting, financial management, contracting external evaluation and ensuring broad-based discussion of experience under the project. The draft project operational including operational responsabilities, PIP, financial management and procurement procedures, reporting formats and drafts of key terms of reference was reviewed at negotiations. Approval by the Bank of the final version of the manual is a condition of effectiveness. The UCP consists of a general coordinator (overall project management and evaluation) and technical coordinator (planning and supervision) with considerable sectoral experience and knowledge. The project's administrative coordinator is an accountant with experience in financial management and procurement under internationally financed projects. The PCU is also supported by two administrative staff. 4.3 Procurement issues: The Bank Procurement Specialist carried out a Capacity Assessment to Implement Procurement, including review of the project procurement plan and PCU experience with implementation of Bank procurement guidelines. An action plan was agreed, including training for PCU staff and hiring of highly experienced consultants to assist the PCU with NCB processes and other procurement matters as needed. As the project involves the contracting of a number of recurrent positions, the PCU will implement a pilot approach by which job candidates are identified by a contracted employment firm based on terms of reference prepared by the firm in conjunction with DNPyA. 4.4 Financial management issues: The Bank Financial Management Specialist (FMS) has certified the proposed project as 4-B, not eligible for PMR-based disbursements. An action plan was agreed to finalize development of to the financial management system. Approval of the project financial management system is a condition of project effectiveness. Installation of computerized project management system capable of generating PMRs is required within six months of project effectiveness. The use of PMR-based disbursements is an option of the Borrower subject to Bank approval. 5. Environmental: Environmental Category: C (Not Required) 5.1 Summarize the steps undertaken for environmental assessment and EMP preparation (including consultation and disclosure) and the significant issues and their treatment emerging from this analysis. The project is expected to have a beneficial environmental impact and no negative environmental impacts are foreseen. Strengthening of MCS is expected to have beneficial impacts on the environment to the extent it effectively reduces over-fishing, illegal entry into biological closure areas and use of restricted equipment and fishing methods. Development of on-board observer program will permit improved monitoring of fish and non-fish by-catch and discards. A GEF project is in preparation which is expected to include measures to better address existing spill-over effects of fishing activities on marine bio-diversity. -9- 5.2 What are the main features of the EMP and are they adequate? N/A 5.3 For Category A and B projects, timeline and status of EA: Date of receipt of final draft: N/A 5.4 How have stakeholders been consulted at the stage of (a) environmental screening and (b) draft EA report on the environmental impacts and proposed environment management plan? Describe mechanisms of consultation that were used and which groups were consulted? N/A 5.5 What mechanisms have been established to monitor and evaluate the impact of the project on the environment? Do the indicators reflect the objectives and results of the EMP? N/A 6. Social: 6.1 Summarize key social issues relevant to the project objectives, and specify the project's social development outcomes. A social assessment (SA) was completed during project preparation. The SA included the analysis of existing data, as well as a survey of potentially affected workers. Several consultative workshops were held with sea and shore-based workers in unions, cooperatives, fishing vessel and processing plant owners, NGOs and local government officials. The SA contributed to the identification of key stakeholders in the implementation of the QMS, as well as providing an estimate of the extent and nature of the vulnerable workforce, and the direct and indirect negative impacts on employment of proposed catch reductions. As a result of the assessment, SAGPyA's activities to facilitate access of unemployed workers to social assistance will be focused on fisheries processing cooperative workers who tend to have lower incomes, are less educated, are older, have higher dependency on fisheries employment for household income, and which include a higher percentage of women heads of household. 6.2 Participatory Approach: How are key stakeholders participating in the project? Project preparation has involved constant conultation with CFP (including SAGPyA, MDSyMA, Ministry of Foreign Affairs, coastal provinces), Chief of Cabinet of Ministers, Ministry of Economy, MEyFRH, fishermen, processors, labor unions and fishing communities. Given the importance of building credibility for the fisheries management system, these organizations are directly involved in the project learning process through: (i) participation in a project launch workshop planned for late 2000, participation in the project review workshops to be held every six months starting no later than eight months after project effectivness, and as subjects of stakeholder interviews during the midterm review. Industry stakeholders will be consulted directly in the final design and implementation of pilots for fisheries administration and MCS services. 6.3 How does the project involve consultations or collaboration with NGOs or other civil society organizations? N/A For projects expected to receive authorization to appraise/negotiate (in principle) prior to April 30, 2000, this section may be left blank. 6.4 What institutional arrangements have been provided to ensure the project achieves its social development outcomes? - 10- N/A For projects expected to receive authorization to appraise/negotiate (in principle) prior to April 30, 2000, this section may be left blank. 6.5 How will the project monitor performance in terms of social development outcomes? N/A For projects expected to receive authorization to appraise/negotiate (in principle) prior to April 30, 2000, this section may be left blank. 7. Safeguard Policies: 7.1 Do any of the following safeguard policies apply to the project? El Environmental Assessment (OP 4.01, BP 4.01. GP 4.01) []Yes E No O Natural habitats (OP 4.04, BP 4.04, GP 4.04) l Yes 1 No l Foresty (OP 4.363 GP 4. Yes l No El Pest Management (OP 4.09) L Yes IZ No El Cultural Property (OPN 11.03) l Yes 1 No El Indigenous Peoples (OD 4.20) l Yes 1 No El Involuntary Resettlement (OD 4.30) El Yes 1 No El Safety of Dams (OP 4.37, BP 4.37) E l Yes 1 No l Projects in International Waters (OP 7.50. BP 7.50 GP 7.50) Li Yes 1 No EL Projects in Disputed Areas (OP 7.60, BP 7.60. GP 7.60) 1 Yes Li No 7.2 Describe provisions made by the project to ensure compliance with applicable safeguard policies. The territorial waters claimed by Argentina within its 200 mile exclusive economic zone (EEZ) includes the Malvinas/Falkland islands which is a disputed territory claimed by Argentina and the United Kingdom (UK). An existing collaborative framework already is in place between the Governments of Argentina and the U.K. On October 9, 1989, the two Govermments agreed upon the "Umbrella Formula" which recognizes that a conflict exists on the sovereignty over the islands, while establishing a modus vivendi permitting establishment of diplomatic ties and other follow-up agreements. Within the context of this formula, Argentina and the U.K. issued ajoint declaration on fish stock conservation and management. On November 28, 1990, both countries agreed to joint control and supervision of the Falklands Outer Conservation Zone (FOCZ), including joint patrolling and imposition of a complete, temporary ban on fishing vessels of any flag if so required. This led to establishment of the South Atlantic Fisheries Commission. This Commission meets twice a year to exchange information on fish stocks and to discuss other technical matters related to fisheries in the South Atlantic; and to make recommendations to both Governments on conservation measures for fish stocks in the area. There are joint research and staff exchange programs among Argentine and British scientists through the Argentine Fisheries Research Institute . During preparation, the Foreign Affairs Ministry of Argentina and the Foreign Office of the U.K. were contacted and asked for their comments on the proposed project as related to their on-going negotiations. At the request of both parties, support for development of fisheries management plans were eliminated from the project as several of the management plans would involve species which are currently under discussion within the context of the South Atlantic Fisheries Commission. The U.K. Foreign Office also emphasized that their acquiescence to the project in no way implies compromise of their position regarding the sovereignty of the Islands and their surrounding waters. - 11 - In accordance with OP/BP 7.60, Bank staff have considered the nature of the dispute over the Malvinas/Falkland Islands and are satisfied that the U.K. (the claimant to the disputed area other than the Borrower) has no objection to the project. The proposed project is expected to support further development of the existing collaborative framework between Argentina and the UK in the conservation of South Atlantic fish stocks by strengthening Argentina's capacity to carry out any management responsibilities agreed between the two parties. F. Sustainability and Risks 1. Sustainability: This section is not to be completed in LIL PAD. 2. Critical Risks (reflecting the failure of critical assumptions found in the fourth column of Annex 1): Risk Risk Rating Risk Mitigation Measure From Outputs to Objective Framework regulations not defined to S Bank facilitated technical assistance to assist in permit definition of operational drafting of regulations. responsibilities. Government does not maintain S Learning process facilitates stakeholder commitment to development of pressure. professional, transparent and accountable fisheries management system. FONAP management procedures are not M Pressure from provinces which share in FONAP defined to permit sustainable financing of revenues. project activities. From Components to Outputs Counterpart funds not available in timely S Support from CFP and normal legal agreements. manner. Sovereignty dispute regarding M Existing collaborative agreement and support of Malvinas/Falkland Islands results in project by U.K. (see below) impediments or delays in World Bank funding. S SAGPyA has submitted a formal request to the Funds not allocated for social assistance Cabinet of Ministers for development of a programs in fishing communities. targeted social assistance program with MTEyFRH and MDSyMA and has provided these agencies with social assessments carried out during project preparation. Overall Risk Rating S Risk Rating - H (High Risk), S (Substantial Risk), M (Modest Risk), N(Negligible or Low Risk) - 12 - 3. Possible Controversial Aspects: * Increased transparency in MCS activities, particularly information sharing, may be controversial due to the delicate balance between increased accountability to stakeholders of system effectiveness, and the need to protect the confidentiality of commercial information. As a result, proposed information sharing activities will be reviewed with industry. * There are several controversial issues associated with overall QMS implementation. Although the use of the QMS is generally accepted in Argentina, the form of its application will test the application of a property-rights approach to public resource management. Key issues include: (i) definition of the property right represented by ITQs; (ii) initial quota allocation; and (iii) transfer restrictions; all of which are highly controversial and generate considerable rent-seeking activity, particularly between freezer-factory and land-based processing operations. * Implementation of short-term controls on hake catch are controversial due to employment effects. G. Main Loan Conditions 1. Effectiveness Condition 3 Final operational manual approved by Bank and issued (drafts reviewed at appraisal and negotiations). 9 Financial management system certified by Bank FMS. 2. Other [classify according to covenant types used in the Legal Agreements.] Financial v Financial management system computerized and able to generate PMIRs acceptable to the Bank within six months of project signing. Project Planning and Execution 3 Provision to Bank, upon request, of official annual TAC figures for commercial species, catch limitation measures being taken, actual annual catch to-date, enforcement actions taken. * Provision to Bank, upon request, of FONAP regulations, financial projections and actual balances. * Provision to Bank of draft Annual Operating Plan for the calendar year plus the first month of the following year for review and no objection by January 31 of the corresponding year. Project Monitoring and Evaluation * Provision to Bank of quarterly PMRs within 45 days of the end of the previous quarter (beginning no later than six months after project effectiveness). * Provision to Bank of semesteral project progress reports, according to TORs agreed with Bank, within 45 days after the end of each calendar semester. * Provision to Bank of external, midterm evaluation report within one month of completion. - 13 - * Organization of evaluation review workshops with primary stakeholders within two months of completion of semesteral progress reports and midterm review. * Publish each year an operational and financial report about fisheries management within two months of end of each calendar year. (i) Final operational manual approved by Bank and issued (drafts reviewed at appraisal and negotiations) H. Readiness for Implementation L] 1. a) The engineering design documents for the first year's activities are complete and ready for the start of project implementation. 1 1. b) Not applicable. C 2. The procurement documents for the first six months' activities are complete and ready for the start of project implementation; and a framework has been established for agreement on standard bidding documents that will be used for ongoing procurement throughout the life of LIL Z 3. The LIL's Implementation Plan has been appraised and found to be realistic and of satisfactory quality. 4. The following items are lacking and are discussed under loan conditions (Section G): (i) Key TORs and bidding documents for first 12 months of implementation to be incorporated into operational manual; (ii) Computerized project and financial management system operational. I. Compliance with Bank Policies X 1. This project complies with all applicable Bank policies. 1 2. The following exceptions to Bank policies are recommended for approval. The project complies with all other applicable Bank policies. teven N. Schonberger John Redwood Myma L. Alexander Team Leader Sector Manager/Director Country Manager/Director - 14- Annex 1: Project Design Summary ARGENTINA: Sustainable Fisheries Management Project Key Performance Hierarchy of Objectives Indicators Monitoring & Evaluation Critical Assumptions Sector-related CAS Goal: Sector Indicators: Sector/ country reports: (from Goal to Bank Mission) Sustainable management of 1. Improved quality of marine 1. Periodic resource I. Equitable access to natural resources. resources. assessments. resources. 2. Fisheries industry profitable 2. Periodic industrial census. 2. Benefits of improved on unsubsidized basis. efficiency of public expenditure permit higher 3. Growth in average sectoral proportion of spending to be wages. targeted to poor. Follow-on Development Objective: Sustainable, fisheries QMS Management plans for all Annual fisheries management Scientific assessments of operating with increased major species prepared based reports. population dynamics accurate transparency, profesionalism on international and domestic enough to permit harvesting and participation (including consensus. without impact on species industry financing). sustainability. Annual species catch does not Industry capital and labor exceed TAC. adjusts consistent with allowable catch. Bycatch maintained within ecologically safe levels for commercial and non-commercial fish and mammals. Industry paying all MCS costs and share of research costs. -15 - Key Performance Hierarchy of Objectives Indicaors Monitoring & Evaluation Critical Assumptions Project Development Outcome / Impact Project reports: (from Objective to Goal) Objective: Indicators: Identify innovative, Based on LIL pilot experience, Semi-annual project progress Other requirements for cost-effective mechanisms to DNPyA prepares and adopts reports (including interviews effective implementation of strengthen transparency, strategic plan which with industry) and consequent QMS (regulations, initial professionalism and institutionalizes collaborative discussions of results with allocation, legal challenges) accountability of approach with industry and stakeholders. successfully addressed. Government's fisheries other stakeholders in carrying management capacity which out of its responsibilities. Mid-term evaluation can be expanded throughout (including stakeholder the fisheries management Based on LIL experience, interviews) and consequent agency and provinces as QMS DNPyA adopts policy of discussion of results with is implemented competitively hiring all stakeholders. fisheries administration and MCS staff according to TORs, ICR (including interviews selection and performance with stakeholders) and criteria. consequent discussion with stakeholders Standardized licensing National and provincial arrangements and infractions governments interested in system established for species follow-on program to targeted by pilots. strengthen entire fisheries administration. Piloting of increased FONAP management transparency in fisheries procedures defined to permit management results in sustainable financing of permanently providing project activities. information to public through internet, including license approvals, total and individual catch against quota, and infractions and real-time MCS information (including VMS) available in provincial offices. Institutional and technological innovations in MCS result in difference between annual catch and TAC not exceeding 10% for species targeted by pilot. Based on evaluation of pilot activities, specialized social assistance program designed to provide well-targeted assistance to vulnerable fisheries workers in event of closures or TAC reductions. - 16 - Key Perfornance Hierarchy of Objectives Indicators Monitoring & Evaluation Critical Assumptions Output from each Output Indicators: Project reports: (from Outputs to Objective) Component: Strengthened fisheries Operational manual, TORs, Quarterly PMRs. Framework regulations administration (introduction skills criteria for core defined to facilitate definition of strategic planning and management agency staff. Semi-annual project progress of operational responsibilities. transparency mechanisms in Administrative staff provided reports. . fisheries administration) with training courses and Govement remains office information hardware Bank mission supervision committed to development of and software for relevant reports. professional, transparent and responsibilities. accountable fisheries management system. DNPyA web-site designed with licensing, quota, catch and infractions information. VMS monitors installed in each province. Strengthened MCS (piloting Operational manual, TORs, of hiring, personnel skills criteria and training management and new materials for staff hired under technology to improve pilot. inspection, observers, registry, Forty inspectors and thirty licensing and informatics). observers selected competitively, trained and evaluated. MCS equipment (on-board key pads, scales) installed, operating and evaluated. Pilot Social Assistance Action centers established in Centers for Unemployed Mar del Plata and Patagonia. Fisheries Workers (pilot menu At least 3000 unemployed based approach for fisheries workers interviewed unemployment assistance) and assisted through action centers. Evaluation reports identifying dynamics of targeted labor force, labor market and evaluating the accessibility (% of estimated target group unemployed assisted), targeting (%of beneficiaries who fit target group profile), efficiency (full cost per beneficiary) and effectiveness (ability to provide assistance during the required period and association with obtaining a job). - 17- Project Coordination and At least three workshops with Evaluation (evaluate learning stakeholder to discuss results experiences under project and of project progress reports and strengthen collaborative midtenn review. approach with stakeholders) - 18- 'Key Perfornance Hierarchy of Objectives Indicators Monitoring & Evaluation Critical Assumptions Project Components i Inputs: (budget for each Project reports: (from Components to Sub-components: component) Outputs) Strengthened Fisheries $0.3 million Quarterly PMRs Availability of counterpart Administration for QMS (TA, funds. training, equipment). Strengthened MCS (TA, $7.15 million Bank disbursement reports Bank funding not delayed or training, equipment and and procurement records. impeded due to issues arising financing of recurrent from sovereignty dispute personnel and operational regarding Malvinas/Falkland costs). Islands. Pilot Social Assistance $0.3 million External financial audit. Funds allocated for social Centers for Unemployed assistance program in fishing Fisheries Workers (TA, communities. equipment, operational costs). Project Coordination and $0.7 million Evaluation (TA, equipment, training, operational costs). - 19 - Annex 2: Detailed Project Description ARGENTINA: Sustainable Fisheries Management Project By Component: Project Component 1 - US$0.30 million Strengthened Fisheries Administration for QMS Component This component will strengthen SAGPyA's ability to carry-out its core management functions, and particularly those required under QMS, including identification of service requirements (i.e. licensing, registry, research, public information and public consultation, etc.) and cost-effective mechanisms for supply of services, including direct provision, contracting and devolution to industry. The component will be implemented by SAGPyA and will finance foreign and local technical assistance to review the key functional responsibilities of SAGPyA under QMS and propose appropriate modifications to its current institutional structure, operating procedures and staff profiles and terms of reference. The component will provide training and equipment to SAGPyA staff to strengthen their capacity to carry-out these responsibilities. As a result of the component, SAGPyA should have (i) a clear statement of its operational mandate; (ii) operational procedures, terms of reference and technical criteria for key administrative staff, (iii) staff trained in core functions of the management agency; (iv) expanded web site information; and (v) annual agency financial and operating reports Project Component 2 - US$7.15 million Strengthened MCS Component The component will strengthen SAGPyA's ability to carry-out the key catch monitoring and control functions required for management under QMS, including a license registry, quota registry, dockside and at-sea inspection service, on-board observer program, and improved utilization of information from these and the Monpesat system to improve the effectiveness of control activities. The component will be implemented by the Directorate of Fisheries Administration and MCS in SAGPyA, and will finance technical assistance to assist DNPA to assess current activities, develop operational manuals, training and performance monitoring of staff and incorporation of required incremental staff and equipment (scales, vehicles, computers, communications, office equipment). As DNPA has lost its EU funding and funding from the National Fisheries Fund is expected to phase-in gradually over the next two years, the loan will finance recurrent staff and operational costs on a declining basis over the next two years. The component will be implemented in DNPA's offices in SAGPyA as well in the 8 ports in which it plans to strengthen or establish inspection and observer capacity. Provincial fisheries management agencies will be invited to participate in training related to license and quota registry management, as well as inspector and observer operations. Information sharing with provinces will also be augmented through access to Monpesat and other information sources. As a result of the component, DAPyC should have (i) clear operational procedures, terms of reference and technical criteria for all staff, (ii) staff trained in core functions of license and quota registry management, inspection, observers and information management; (iii) a staff training and performance review system for inspection and observer staff, (iv) increased use of all information sources to improve accuracy of catch information and enforcement activities; (v) improved coordination and working relationship with provincial fisheries authorities; and (vi) increased transparency through provision of regular fisheries and enforcement status reporting and MCS effectiveness review with key stakeholders including CFP, provimces and - 20- industry. Development of License and Quota Registry Sub-Component (US$0.80 million) This subcomponent will provide intemational technical assistance for design and implementation of a new registry system consistent with requirements under QMS and improvement of DNPA's offices consistent with greater public interaction. It will also support information dissemination on its operation through bulletins and seminars with industry. The cost of contracted personnel for registry operation, associated quota and license reviews and administrative assistance to the Director will be financed on a declining basis as these costs are expected to be borne by FONAP. Improved Fisheries Inspector Service Sub-Component (US$2.65 million) This sub-component will support development of a professional fisheries inspection service to carry-out dockside and at-sea enforcement. A highly professional inspection service is critical to the credibility and effectiveness of the MCS system as it is the primary point of contact with industry. The inspection service will consist of a National Inspection Service consisting of the chief of inspection, three supervisors to monitor performance in ports and 11 roving inspectors working in different ports and at sea. An additional 30 inspectors will be based in the ports. The project will support a technical assistance team consisting of a foreign expert and local counterpart who will become the inspector service training and performance monitoring officer. The technical assistance team will review the current service and staff skills, develop operational procedures, terms of reference and hiring and evaluation criteria for inspectors. The TA team will also develop and run the training courses for the first two groups of inspectors. Provincial fisheries services will be invited to send staff for training. Existing inspectors who do not successfully complete training will be dropped from the service. The project will also provide field equipment for inspectors and support the costs of contracted inspection service staff on a declining basis as these costs are expected to be borne by FONAP. Pilot On-Board Observer Program Sub-Component ($0.7 million) This sub-component will support, in conjunction with INIDEP, development of an on-board observer program which addresses the needs of MCS as well as research. Observers, which are not enforcement personnel, are critical to record catch, by-catch, discard and, in the case of freezer-factory vessels, conversion factors for on-board processing. Information collected can be used by MCS to target future enforcement actions as well as to have more complete information on the status of fishing effort and catch. Industry is generally willing to support a well-trained observer program as observer reports provide useful information to ship-owners and observer presence often is enough to ensure greater compliance with regulations by the crew. As in the case of inspectors, the project will support a technical assistance team consisting of a foreign expert and local counterpart who will become the permanent observer training and performance monitoring coordinator. The technical assistance team will review the current observer program in INIDEP and staff skills, develop operational procedures, terms of reference and hiring and evaluation criteria for observers consistent with expanded information needs. The TA team will also develop and run the training courses for the first two groups of observers. Provincial fisheries services will be invited to send staff for training. The project will support the costs of contracted observers on a declining basis as these costs are expected to be bome directly by private industry given the value which industry places on high-quality observers. Information and Communication System Sub-Component ($3.0 million) This sub-component will support upgrading of DNPA's information and communications systems consistent with actual and expected demands under QMS. The information and communication function is at the core of MCS as it compiles and cross-checks information from the various sources - captain's declarations, dockside - 21 - inspector's reports, observer's reports, Monpesat satellite information and extemal statistics such as food safety and export data. Effective MCS requires that the infomnation input and analysis occur rapidly so as to permit appropriate action on the part policy and enforcement personnel. The project will support purchase and installation of improved information hardware and software and communications infrastructure. Staff will receive software training, and the cost of inforrnation and communication staff, as well as the cost of the unit responsible for information analysis, will be supported by the project on a declining basis as these costs are expected to be bome by FONAP. Project Component 3 - US$ 0.30 million Pilot Social Assistance Action Centers for Unemployed Fisheries Workers Component This component will provide assistance to unemployed fisheries workers to access national and local government unemployment assistance programs and provide SAGPyA with an assessment of the effectiveness of existing labor programs to address the needs of vulnerable industry workers. The component will be implemented by an implementation unit, contracted for eight months, consisting of a unit chief, a monitor and secretary based in Mar del Plata, and a monitor and secretawy based in Patagonia. The component will also finance rent and equipment for a worker counseling center in Mar del Plata (where as many as 80% of vulnerable workers are located) to receive and interview unemployed workers seeking assistance, as well as information dissemination. The unit will be established to work with cooperatives, unions and industry to provide workers with pre-layoff orientation, post lay-off counseling and assistance entering labor and other social assistance programs. The centers will work with MTSS, SDSyMA and local governments on the basis of formal coordination agreements. As a result of the component, approximately 4,0000 targeted workers should receive assistance in accessing existing unemployment assistance and safety-net programs, and SAGPyA should have an information base which it can analyze with MTSS and SDSyMA in order to determine the accessibility of existing assistance programs for vulnerable fisheries workers. Target Group: Unemployed cooperative workers without access to standard unemployment benefits. Total number of fisheries cooperative workers estimated at approximately 5,000. Average age is 45 years old and average education is below completion of secondary school. A large percentage have at least two family members employed in the fisheries sector. Up to 100% are expected to lose employment due to closure of the hake fishery. As contracted piece-rate workers, none have access to conventional unemployment benefits and so will be dependent on access to safety-net programs. Geographic Focus: Approximately 80% of target group resides in Mar del Plata. An additional 20% is located in Patagonia, principally in Puerto Madryn and Comodoro Rivodavia. Functional Description: The project-financed unit will work with cooperatives, municipalities and NGOs, as well as SDSyMA and MTSS to assemble lists of eligible beneficiaries consistent with the target group. Orientation sessions will be held for these groups to indicate their assistance options and requirements for participation. Workers will be required to go to action centers where they will be registered and assisted in filling-out an entry questionnaire and provided with a menu of options consisting of public works employment, training and food baskets. Once an assistance option has been selected, the action center will assist in preparing the applications and ensuring that these are forwarded to the relevant government agency. The action centers will also assist local communities in the identification and application for participation in national and provincial programs. - 22 - Project Component 4 - US$0.70 million Project Coordination and Evaluation Component The component will provide administrative support for project implementation as well as ensure implementation supervision and periodic evaluation and discussion by stakeholders of project progress. The component will be implemented by a contracted Project Coordination Unit (UCP), established in SAGPyA, consisting of a general coordinator (overall project management and evaluation), technical coordinator (planning and supervision) and administrative coordinator (financial management and procurement). The component will finance technical assistance and equipment (computers, communications and office equipment) for the UCP whose primary responsibility will be to facilitate implementation by the other components: implementation planning (POAs), procurement assistance, financial management, and supervision of quality and timeliness of project outputs. The UCP will also have primary responsibility for ensuring that the learning objectives of the project are realized, by contracting and supervising semi-annual external evaluations (both technical and financial audits), and ensuring that the results are disseminated and discussed with stakeholders including CFP, industry, other areas of Government, provincial authorities, NGOs and the Bank. As a result of the component, the implementing agencies should have: (i) timely and well-prepared POAs; (ii) procurement assistance on demand; and (iii) on-going financial management services. The Borrower and the Bank, as well as the implementing agencies, should have (i) quarterly implementation supervision reports covering timing and quality of outputs; and (ii) annual financial audits according to approved terms-of-reference. The Bank, Borrower, implementing agencies and other stakeholders (CFP, industry, NGOs) should have (i) high quality semi-annual technical reviews covering the quality of project outputs and progress toward project objectives; and (ii) well organized seminars at which stakeholders will discuss the results of the technical reviews and determine what adjustments are required in project design or implementation strategy. - 23 - Annex 3: Estimated Project Costs ARGENTINA: Sustainable Fisheries Management Project 1. Strengthened Fisheries Administration for QMS 0.20 0.10 0.30 2. Strengthened MCS 5.80 1.15 6.95 3. Pilot Social Assistance Action Centers for Unemployed 0.30 0.00 0.30 Fisheries Workers 4. Project Coordination and Evaluation 0.60 0.10 0.70 Total Baseline Cost 6.90 1.35 8.25 Physical Contingencies 0.00 0.00 0.00 Price Contingencies 0.10 0.10 0.20 Total Project Costs 7.00 1.45 8.45 Front-end fee 0.05 0.05 Total Financing Required 7.00 1.50 8.50 Goods 0.40 0.70 1.10 Works 0.20 0.00 0.20 Services 0.55 0.75 1.30 Training 0.50 0.00 0.50 Recurrent Costs 5.15 0.00 5.15 Unallocated 0.20 0.20 Total Project Costs 7.00 1.45 8.45 Front-end fee 0.05 0.05 Total Financing Required 7.00 1.50 8.50 - 24 - Annex 4 ARGENTINA: Sustainable Fisheries Management Project Summary of benefits and costs: Benefits: As a low-case scenario, benefits are calculated only for the hake stock (about 50% of the value of the fishery) as it is currently the commercial species most dependent on effective management effort. Avoidance of collapse of hake stock represents an avoided loss equivalent to an NPV of $1.67 billion. Costs: Costs of $8.5 million over two years (discounted value of $) reflect costs of equipment, training, incremental personnel and associated expenses for monitoring and enforcement and social assistance, equivalent to project costs of $8.5 million. Additional costs of fisheries management - research and the administrative structure of CFP and SAGPyA are already in-place and are not considered to be sufficient to prevent excessive fishing without the incremental investments in improved MCS. Main Assumptions: (i) Hake collapse likely without improved MCS supported by project funding; (ii) TAC established consistent with recovery of hake stocks to permit estimated long term MSY of about 400,00 metric tons; (iii) Landed price of hake remains at about US$500 per metric ton; (iv) Discount rate of 12%. Cost-effectiveness indicators These indicators should compare the project with a suitable comparator, e.g., unit project costs of alternative project designs or intemational standards. Argentina's annual fisheries management budget (including planning, MCS and research) is about $30 million, or about five percent of the annual value of the fishery (prior to 1999). This compares favorably to the United States (over 40%), Canada (13%) and New Zealand (9%), and is comparable with Australia (6%), South Africa (5%) and Iceland (4%/O). Nonetheless, while management expenditures are consistent with many 'best practice" programs, the effectiveness of management expenditures is well below that of these countries as evidenced by recorded hake catches which average 150% of TAC over the past few years. If estimates of unrecorded discards are taken into account, the catch regularly exceeds TAC by a factor of two or three. As a result, the proposed project, by incorporating improved definition of management tasks, worker hiring and evaluation criteria, training and equipment, is focused on improving the effectiveness of fisheries management within a resource envelope which would be consistent with current expenditure levels (cost increase of no more than $4 million on annual basis). Transparency and accountability measures will also be incorporated in order to provide industry with information on system effectiveness as a step toward agreement on the level and mechanisms for industry funding of fisheries management. - 25 - Annex 5: Financial Summary ARGENTINA: Sustainable Fisheries Management Project Years Ending December 31 I Year2 I Year2 Year3 | Year 4 | Year 5 I Year 6 Year 7 Total Financing Required Project Costs Investment Costs 0.2 1.6 1.4 0.0 0.0 0.0 0.0 Recurrent Costs 0.3 2.7 2.2 0.0 0.0 0.0 0.0 Total Project Costs 0.5 4.3 3.6 0.0 0.0 0.0 0.0 Front-end fee 0.1 0.0 0.0 0.0 0.0 0.0 0.0 Total Financing 0.6 4.3 3.6 0.0 0.0 0.0 0.0 Financing IBRD/IDA 0.4 3.2 1.7 0.0 0.0 0.0 0.0 Government 0.2 1.1 1.9 0.0 0.0 0.0 0.0 Central 0.0 0.0 0.0 0.0 Provincial 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Co-financiers 0.0 0.0 0.0 0.0 0.0 0.0 0.0 User Fees/Beneficiaries 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Others 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Total Project Financing 0.6 4.3 3.6 0.0 0.0 0.0 0.0 Main assumptions: Higher level of Bank financing of recurrent costs (up to 70%) concentrated in years 1 and 2 of implementation, declining substantially (to 20%) in year 3 according to disbursement schedule. - 26 - Annex 6: Procurement and Disbursement Arrangements ARGENTINA: Sustainable Fisheries Management Project Procurement SAGPyA will have overall responsibility for project implementation. SAGPyA carries out procurement only in cases of intemationally financed projects, otherwise procurement for SAGPyA is carried out by the Ministry of Economy. The present Project Preparation Unit will become a Project Coordination Unit upon LIL signature. The UCP will be responsible for providing procurement support for project implementation. A Capacity Assessment to Implement Procurement was carried out by the Bank Procurement Specialist. Based on this assessment, an action plan was agreed with the UCP to strengthen their capacity to implement the project. In particular, given the UCP's limited experience with procurement under internationally financed projects, it was agreed that an experienced procurement consultant will be hired on an on-call basis to assist the UCP with (i) all procurement subject to Bank prior review; and (ii) preparation of standard contracts for individual consultants not subject to Bank prior review. The project operational manual and information system will be strengthened to support procurement planning, monitoring and reporting. Procurement methods (Table A) Procurement of works and goods will be carried out in accordance with the Bank's Guidelines for Procurement under IBRD Loans and IDA Credits dated January 1995, September 1997 and January 1999. Selection of consultant services will be carried out in accordance with the Bank's Guidelines for Selection and Employment of Consultants by World Bank Borrowers dated January 1997, Revised September 1997and January 1999. The Borrower will use Bank standard Bidding Documents, Requests for Proposals and Contracts. All works contracts are expected to be below $350,000 equivalent and so will be procured using comparison of price quotations from at least three competent firms (Three Quotations). Even with "packaging" of like items, no single goods purchases are expected to exceed $500,000. Goods purchases above $100,000 equivalent (primarily information equipment and vehicles) will be procured according to national competitive bidding procedures (NCB). Goods purchases less than $100,000 (primarily specialized equipment for inspectors and observers) equivalent will be procured through comparison of at least three prices (Shopping). Consulting services from firms will be procured according to evaluation of the quality and cost of the consulting firm's proposal (QCBS). However, in the case of contracts whose expected value is less than $100,000 equivalent, selection may be based on comparison of the consulting firms' qualifications (CQ). Consulting services from individuals will be procured according to evaluation of the individuals' qualifications (normally at least three qualified candidates), except in the case that an individual is considered to assist with recruitment of recurrent personnel in which case the selection will be based on evaluation of the quality and cost of the individual's proposal (QCBS). Recurrent personnel consist of fisheries inspectors, observers, information and registry system operators - 27 - and lawyers whose contracts are expected to be renewed without Bank financing following completion of the LIL. Given that recurrent personnel involves up to 22 different positions, it was agreed that a consulting firm will assist in the recruitment process, including preparation of tenrs-of-reference and qualifications for each position. The consultant will also be responsible for the advertising and screening of candidates so as to provide SAGPyA with a short-list of qualified candidates for selection for each position. Table A: Project Costs by Procurement Arrangements (US$ million equivalent) 1. Works 0.00 0.00 0.20 0.00 0.20 (0.00) (0.00) (0.15) (0.00) (0. 15) 2. Goods 0.00 0.70 0.40 0.00 1.10 (0.00) (0.60) (0.30) (0.00) (0.90) 3. Services 0.00 1.30 0.00 1.30 Consultant Services () (0.00) (1.30) (0.00) (1.30) 4. Training 0.00 0.00 0.50 0.00 0.50 (0.00) (0.00) (0.40) (0.00) (0.40) 5. Front-end fee 0.00 0.00 0.05 0.00 0.05 (0.00) (0.00) (0.05) (0.00) (0.05) 6. Recurrent costs (contracted 0.00 0.00 5.15 0.00 5.15 personnel) (0.00) (0.00) (2.00) (0.00) (2.00) 7. Unallocated 0.00 0.00 0.20 0.00 0.20 (0.00) (0.00) (0.20) (0.00) (0.20) Total 0.00 0.70 7.80 0.00 8.50 __________________________ (0.00) (0.60) (4.40) (0.00) (5.00) Figures in parenthesis are the amounts to be financed by the Bank Loan. All costs include contingencies 2' Includes civil works and goods to be procured through national shopping, consulting services, services of contracted staff of the project management office, training, technical assistance services, and incremental operating costs related to (i) managing the project, and (ii) re-lending project funds to local government units NOTE: N.B.F. = Not Bank-financed (includes elements procured under parallel cofinancing procedures, consultancies under trust funds, any reserved procurement, and any other miscellaneous items). The procurement arrangement for the items listed under "Other" and details of the items listed as "N.B.F. " need to be explained in footnotes to the table or in the text. - 28 - Table Al: Consultant Selection Arrangements (optional) (US$ million equivalent) A. Firms 0.30 0.00 0.00 0.00 0.20 0.00 0.00 0.50 (0.30) (0.00) (0.00) (0.00) (0.20) (0.00) (0.00) (0.50) B. Individuals 0.00 0.00 0.00 0.00 0.00 0.80 0.00 0.80 (0.00) (0.00) (0.00) (0.00) (0.00) (0.80) (0.00) (0.80) Total 0.30 0.00 0.00 0.00 0.20 0.80 0.00 1.30 (0.30) (0.00) (0.00) (0.00) (0.20) (0.80) (0.00) (1.30) 1\ Including contingencies Note: QCBS = Quality- and Cost-Based Selection QBS = Quality-based Selection SFB = Selection under a Fixed Budget LCS = Least-Cost Selection CQ = Selection Based on Consultants' Qualifications Other = Selection of individual consultants (per Section V of Consultants Guidelines), Commercial Practices, etc. N.B.F. = Not Bank-financed Figures in parenthesis are the amounts to be financed by the Bank Loan. - 29 - Prior review thresholds (Table B) Prior review by the Bank of all key steps in the goods or works procurement or consultant selection process will be required as follows: * for contracting of all works, including those of low value as SAGPyA has experienced difficulty with contracting of works in the past; and the contracts involved are few (up to six). * for selection of all consulting firms, irrespective of expected amount, as all tasks being considered for firms are considered critical to the project; and SAGPyA has limited experience with contracting using the Bank's most recent guidelines for selection of consultants. * for selection of individual consultants for whom the estimated cost of the services is expected to exceed $50,000 equivalent as well as all individual consulting assignments defined as of a critical nature in the project operational manual (i.e.: UCP staff, external evaluators). * due to the project's focus on increased professionalism and transparency in the MCS system, selection of key inspection and observer training and supervisory staff, as well as the first ten inspectors and the first ten observers hired, are included in the critical contracts subject to prior review despite the low expected value of the contracts. Table B: Thresholds for Procurement Methods and Prior Review' 1. Works >350 N.A. <350 Three Quotations All 2. Goods >100 NCB All <100 Shopping First three contracts 3. ServicesConsultants Firms >100 QCBS All <100 CQ All Individuals >50 Qualifications All <50 TORs only except critical assignments Total value of contracts subject to prior review: $4.8 million Overall Procurement Risk Assessment High Frequency of procurement supervision missions proposed: One every 6 months (includes special procurement supervision for post-review/audits) Review of a sample of one in five signed contracts. Critical assignments are defined as: (i) Staff of UCP; (ii) external evaluators (midterm and final); (iii) procurement contracting assistance; (iv) chief of social assistance unit; (v) foreign and domestic specialists 30 - for development of strategic planning, registry, inspector service and observer program; (vi) others as specified by the Bank or indicated in the project operational manual. Thresholds generally differ by country and project. Consult OD 11.04 "Review of Procurement Documentation" and contact the Regional Procurement Adviser for guidance. - 31 - Disbursement Allocation of loan proceeds (Table C) Until the Bank has received (i) the first Project Management Report and (ii) a request from the Borrower for withdrawal on the basis of Project Management Reports, withdrawals shall be made on the basis of disbursement requests supported by documentation of eligible expenditures to be reimbursed according to the financing percentages in Table C. Upon certification of the project as 4.a. by the Bank FMS, and receipt of a request from the Borrower to initiate PMR-based disbursements in which disbursement requests are supported by the PMR and approved following revision of the PMR by the Bank. Table C: Allocation of Loan Proceeds .xpenditure Category Amount in US$million Finacn c.G}. (1) Works 0.15 79% (2) Goods 0.90 79% (3) Consultants' services 1.30 100% (4) Incremental Recurrent Costs 2.00 70% up to a total of $1,000,000; and then 40% up to a total of $1,500,000; and then 20% up to a total of $2,000,000 (5) Training _____ 0.40 __ __ 79% (6) Unallocated 0.20 Total Project Costs 4_95__ Front-end fee 0.05 Total 5.00 Use of statements of expenditures (SOEs): The Bank may require withdrawals from the Loan Account to be made on the basis of statements of expenditure for expenditures for: (a) goods under contracts costing lcss than US$100,000 equivalent; (b) services of consulting firms costing less than US$100,000 equivalent and services of individual consultants and trainers under contracts costing less than $50,000 equivalent. Special account: Payments from the loan proceeds will be administered by the UCP from a Special Account. The Special Account will be maintained in US dollars in a commercial bank selected by the Borrower and acceptable to the World Bank. The authorized allocation, sufficient for about four months of financeable expenditures, would be US$800,000, however the initial allocation would be limited to US$400,000 until the aggregate amount of withdrawals from the Loan Account plus the total amount of all outstanding special commitments entered into by the Bank shall be equal to or exceed US$ 1,000,000. The Special Account will be managed by the UCP which will be responsible for preparing disbursement requests. These requests would be submitted monthly or when the Special Account has been drawn down by a third of the initial deposit, whichever occurs first. The Special Account will be audited annually by independent auditors acceptable to the Bank. Retroactive Financing: Retroactive financing of up to US$ 500,000 (10% of the Loan arnount) will be provided for eligible expenditures incurred since June 1, 1999 (but not earlier than 12 months before loan signing). - 32 - Annex 7: Project Processing Schedule ARGENTINA: Sustainable Fisheries Management Project Time taken to prepare the project (months) 8 7 First Bank mission (identification) 12/08/98 12/08/99 Appraisal mission departure 06/30/99 05/30/99 Negotiations 09/30/99 05103/2000 Planned Date of Effectiveness 10/01/2000 Prepared by: Project Preparation Unit of Sustainable Fisheries Management Project, and the National Directorate of Fisheries and Aquaculture in SAGPyA. Preparation assistance: Japanese PHRD Grant TF025704; UNDP Argentina office provided an advance against PHRD Grant pending Grant signing by Govemment. Bank staff who worked on the project included: ,Sr '> v 8' Name - ---; = - - Speciality Steven N. Schonberger Task Manager Estanislao Gacitua Sociologist Andres Mac Gaul Procurement Specialist Susana Cirigliano Financial Management Specialist Gert van Santen Fisheries Economist (Peer Reviewer) Polly Jones Social Protection Specialist (Peer Reviewer) Beatriz Iraheta Language Program Assistant David Varela Senior Counsel Morag van Praag Senior Disbursement Officer Others who have worked on the project: Eduardo Loayza Fisheries Management Specialist (Consultant) Peter Flewwelling MCS Advisor (Consultant) Dino Francescutti Project Economist (FAO/CP) Juan Agar Fisheries Economist (Consultant) Ragnar Arnason Fisheries Economist (Consultant) - 33 - Annex 8: Documents in the Project File* ARGENTINA: Sustainable Fisheries Management Project A. Project Implementation Plan ARGENTINA: Proyecto de Manejo Sustentable de la Pesca - Plan de Implementacion B. Bank Staff Assessments ARGENTINA: MCS Mission Component ARGENTINA: Review of Social Assistance Component Financial Management Assessment of Fisheries Sustainable Management LIL ARGENTINA: SAGPYA Capacity Assessment to Implement Procurement C. Other ARGENTINA: Towards Rights-based Fisheries Management - Bank ESW Inpacto Sociolaboral de la Crisis del Recurso de la Merluza - Informe Final Draft Manual Operativo *Including electronic files - 34 - Annex 9: Statement of Loans and Credits ARGENTINA: Sustainable Fisheries Management Project Difference between expected and actual Original Aniount in US$ Milolins disbursements Projed ID FY Borrower Purpose IBRD IDA Cancel. Undisb. Orig Frm Rev'd P043418 1997 Argenrena AR-AIDS AND STD CONTROL 15.00 0.00 0.00 3.50 2.77 0.00 P058526 1999 Argentina AR-DRUG PREVENTION (UL) 4.75 0.00 0.00 4,70 2.21 0.00 P083388 2000 Argentna AR-HEALTH INSURANCE FOR THE UNINSURED 4.90 0.00 0.00 4.90 1.40 0.00 P045887 19S6 Argentina AR-HEALTH INSURANCE TA 25.00 0.00 0.00 0.85 0.85 0.00 P034091 1996 Argentna AR-HIGHER ED. REFORM 165.00 0.00 0.00 76.54 76.54 2.20 P006059 1997 Argntina AR-MATERNAL&CHILDHLTH&NUTRrIiON2 100.00 0.00 0.00 59.08 0.08 0.00 P006030 1996 Argentina AR-PROV. HEALTH SECTOR DEVELOPMENT 101.40 0.00 0.00 47.98 45.68 0.00 P055482 2000 Argentina AR-PUB. HLTH. SUJRV. & DISEASE CONTROL 52.50 0.00 0.00 52.50 6.83 0.00 P005992 1995 Argentina AR-SECONDARY ED1 190.00 0.00 21.31 31.02 52.32 32.32 P008057 1996 Argentina AR-SECONDARYED.2 115.50 0.00 0.00 68.17 60.11 0.00 P050714 1998 Argentina AR-SECONDARY EDUCATION 3 119.00 0.00 0.00 31.08 29.42 0.00 P049269 1998 Argentina AR-SOCIAL PROTECTION 3 284.00 0.00 0.00 72.28 72.28 0.00 P008058 1999 Argentina AR-SOCIAL PROTECTION 4 90.75 0.00 0.00 75.51 10.54 0.00 P057449 1999 Argentina ARG YEAR 2000 30.30 0.00 0.00 26.61 21.61 0.00 P039584 1997 Argentina' B.AURB.TSP 200.00 0.00 0.00 141.49 69.83 0.00 P055935 1998 Argentina EL NINO EMERGENCY 42.00 0.00 0.00 32.88 32.88 15.55 P006052 1997 Argenbina FLOOD PROTECTION 200.00 0.00 0.00 165.33 98.67 35.00 P00640 1996 Argentina FORESTRYIDV 16.00 000 0.00 8.57 3.81 0.00 P008056 1996 Argentina MINING SCTR DEVT 30.00 0.00 0.00 1.82 0.52 0.00 P055477 1998 Argentina MININGTA 39.50 0.00 0.00 13.84 13.84 0.00 P050713 1998 Argenbna MODELCOURTDEV. 5.00 0.00 0. 4.15 3.45 0.00 P006060 1996 Argentna MUNIC DEVT II 210.00 0.00 0.00 69.92 -51.40 0.00 P040808 1997 Argentina N.FOREST/PROTC 19.50 0.00 0.00 13.46 -1.20 0.00 P052590 1998 Argentina NAT HWY REHAS&MAINT 450.00 0.00 0.00 271.66 165.92 0.00 P046821 1997 Argentina PENSION TA 20.00 0.00 0.00 8.81 7.97 0.00 P008050 1998 Argentina POLLUTION MGT. 18.00 0.00 0.00 17.58 10.05 0.98 P006010 1997 Argentina PROVAGDEVTI 125.00 000 0.00 116.21 30.89 6.27 P006018 1995 Argentina PROVDEVTII 225.00 0.00 0.00 85.22 -1.12 0.00 P005980 1997 Argentina PROV ROADS 300.00 0.00 0.00 265.05 166.39 0.00 P037049 1996 Argentina PUB.INV.STRENGTHG 1600 0.00 5.50 7.25 12.75 0.00 P006043 1999 Argentina RENEW.ENERGY R.MIrTS 30.00 0.00 0.00 29.10 3.30 0.00 P005968 1987 Argentina SEGBA V 276.00 0.00 0.00 32.24 32.24 0.00 P008041 1998 Argentina SMALL FARMER DV. 75.00 0.00 0.0 42.21 22.19 17.88 P066461 1999 Argentina SOC&FISC NTL ID SYS 10.00 0.00 0.00 7.25 4.25 0.W0 P062992 1999 Argentina SPEC REPURCHASE 505.05 0.00 0.00 500.00 0.00 0.00 P006048 1999 Argentina WATER SCTR RFRM 30.00 0.00 0.00 30.00 8.34 0.00 P062991 1999 Argentina Special Sal (SSAL) 2525.30 0.00 250.00 500.00 750.0 500.00 Total: 6685.40 0.DO 276.80 2940.70 1752.70 -785.10 - 35 - ARGENTINA STATEMENT OF IFC's Held and Disbursed Portfolio In Millions US Dollars Committed Disbursed IFC IFC FY Approval Company Loan Equity Quasi Partic Loan Equity Quasi Partic 1998 AUTCL 6.00 0.00 0.00 0.00 6.00 0.00 0.00 0.00 1994 AceiteraChabas 0.00 0.00 3.10 0.00 0.00 0.00 3.10 0.00 1994 Aceitera General 7.50 0.00 6.90 0.00 7.50 0.00 6.90 0.00 1960/95/97199 Acindar 50.00 0.00 0.00 0.00 50.00 0.00 0.00 0.00 1994/95/96 Aguas 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1977/84/86/88/94/96 Alpargatas 10.00 0.00 0.00 40.50 10.00 0.00 0.00 40.50 1999 American Plast 10.00 0.00 0.00 0.00 10.00 0.00 0.00 0.00 1993 Arg Equity Inv. 0.00 2.84 0.00 0.00 0.00 2.84 0.00 0.00 2000 Argentina SMMC 0.00 12.50 0.00 0.00 0.00 0.00 0.00 0.00 1994/99 BGN 0.00 0.00 33.00 0.00 0.00 0.00 33.00 0.00 1989/91/96 Banco Frances 4.10 0.00 0.00 0.00 4.10 0.00 0.00 0.00 1996/99 Banco Galicia 50.00 0.00 0.00 245.00 50.00 0.00 0.00 245.00 1995/97 Banco Roberts 30.00 0.00 0.00 0.00 30.00 0.00 0.00 0.00 1996 Bansud 3.39 0.00 0.00 0.00 3.39 0.00 0.00 0.00 2000 Bco Hipotecario 25.00 0.00 0.00 102.50 25.00 0.00 0.00 102.50 1996 Brahma - ARG 14.93 0.00 0.00 16.50 14.93 0.00 0.00 16.50 1988/93 Bunge y Bom 0.53 0.00 0.00 4.01 0.53 0.00 0.00 4.01 1996 CAPSA 9.82 0.00 5.00 27.00 9.82 0.00 5.00 27.00 1999 CCI 0.00 20.00 20.00 0.00 0.00 20.00 6.00 0.00 1995 CEPA 6.67 0.00 3.00 1.20 6.67 0.00 3.00 1.20 2000 Cefas 10.00 0.00 5.00 0.00 0.00 0.00 0.00 0.00 1999 Correo Argentino 63.00 0.00 12.00 0.00 63.00 0.00 12.00 0.00 1994/95 EDENOR 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1998 F.V. S.A. 11.25 0.00 4.00 0.00 11.25 0.00 4.00 0.00 1998 FAID 0.00 2.75 0.00 0.00 0.00 2.75 0.00 0.00 2000 FAPLAC 10.00 0.00 5.00 0.00 10.00 0.00 5.00 0.00 1992 FEPSA 2.75 0.00 2.00 0.00 2.75 0.00 2.00 0.00 1997 FRIAR 10.00 0.00 2.50 7.00 10.00 0.00 2.50 7.00 1996 Grunbaum 6.00 0.00 2.00 3.33 6.00 0.00 2.00 3.33 1997 Guipeba 13.93 0.00 5.00 0.00 13.93 0.00 5.00 0.00 1998 Hospital Privado 9.60 0.00 0.00 0.00 6.50 0.00 0.00 0.00 Huantraico 0.00 17.00 0.00 0.00 0.00 0.00 0.00 0.00 1992 Kleppe/Caldero 6.00 0.00 0.00 0.00 6.00 0.00 0.00 0.00 1995/97 MBA 0.00 0.16 0.00 0.00 0.00 0.16 0.00 0.00 1996 Malteria Pampa 3.50 0.00 1.00 0.00 3.50 0.00 1.00 0.00 1992/93/96 Mastellone 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 1995 Milkaut 7.50 0.00 10.00 3.00 7.50 0.00 10.00 3.00 0/97 Minetti 30.00 0.00 14.00 100.00 30.00 0.00 14.00 100.00 1978/81/86/87/91/93/9 Molinos 0.00 1.24 0.00 0.00 0.00 1.24 0.00 0.00 6/99 Nahuelsat 17.50 5.00 0.00 0.00 17.50 5.00 0.00 0.00 1993/94 Nuevo Central 3.13 3.00 0.00 3.75 3.13 3.00 0.00 3.75 1995 Oleaginosa Oeste 2.29 0.00 3.75 0.92 2.29 0.00 3.75 0.92 1993 PAE - Argentine 9.09 0.00 0.00 18.18 9.09 0.00 0.00 18.18 1992 Patagonia 5.00 0.00 1.00 0.00 5.00 0.00 1.00 0.00 1992/95 1998 Total Portfolio: 652.48 117.64 189.25 888.81 632.38 67.72 170.25 888.81 - 36 - Approvals Pending Commitment FY Approval Company Loan Equity Quasi Partic 2000 ALEF 25000.00 0.00 0.00 150000.00 2000 APSF 20000.00 0.00 5000.00 30000.00 1999 American Plast 0.00 0.00 350.00 0.00 2000 Argentina SMMC 100000.00 0.00 0.00 450000.00 1999 Biopork 5200.00 2000.00 0.00 5000.00 2000 CAG Fund 0.00 0.00 10000.00 0.00 1999 DI TELLA 9000.00 0.00 0.00 0.00 1999 Galicia BLINC 0.00 0.00 0.00 75000.00 1998 U.Belgrano 15000.00 0.00 0.00 0.00 1999 Unisoy 5000.00 2000.00 0.00 4000.00 Total Pending Commitment: 179200.00 4000.00 15350.00 714000.00 - 37 - Annex 10: Country at a Glance ARGENTINA: Sustainable Fisheries Management Project Latin Upper- POVERTY and SOCIAL Anerica niddle- Argenti & Carb. Income Development diamond 1999 Populaion, mid-year (rnillions) 36.6 509 573 Life expectancy GNP per capita (Atls methor, USS) 7.600 3.840 4,900 GNP (Atlas mefod, lS5 billions) 277.9 1,955 2,811 Avag annual growth, 1993-99 Population (%) 1.3 1.6 1.4 G Labor force (%) 2.1 2.5 2.1 GNP Gross per primary Most racent etnute (latest year available, 1993-99) capita enrollment Povertv (% ofpubticn below nationalpovarly line) 18 Urban population ( of tohtl populabtion) 90 75 76 Life expectancV at birth (years) 73 70 70 Intant mortalidy (per 1,000 Wive births) 19 31 27 Child malnutrition (X ofctildren under 5) 2 8 7 Access to safe water Access to improved water source (% of pcpulation) 65 75 78 lllteracy(%Nofpcoulationace 15+) 3 12 10 - retn Gross primary enrolment (% of schoof-ae population) 111 113 109 Arentna Male 111 Upper-midde-incomne group Female ill KEY ECONOMIC RATIOS and LONG-TERM TRENDS 1979 1989 1998 1999 Economic ratios GOP (USS billions) 69.3 76.6 298 1 282.8 Gross domestic investment/GDP 25.9 15.5 19.9 19.1 Trade Exports of poods and services/GDP 6 5 13.1 10.4 9.8 GrossdomestcsavOngs/GDP 260 220 17.4 17.4 Gross nationalsavings/GDP 25.2 136 15.1 14.8 Current accourt balance/GDP -0.8 -1.7 -4.8 -4.3 Domeic nemn Interest Davments/GOP 1.4 2.0 2.4 2.8 Investment Total debt/GDP 30.2 85.6 47.1 5112 SavAngs Total debt service/exports 22 7 36.4 52.8 69.6 Present value of debttGDP 50.5 Present value of debt/exports 410.1 Indebtedness 1979-89 1989-99 1998 1999 1999-03 (average annual growth) GOP -0.4 5.0 3.9 -3.1 3.8 Argiitina GNP per capita -2.4 4.1 2.4 -4.1 2.9 Upper-rniddle-ncome group ExDorts o aoods and services 2.5 8.9 10.1 -1.1 4.1 STRUCTURE of the ECONOMY 1979 1989 1998 1999 Growth of Investmentand GDP(%) (% of GOP) 20 Aariculture 7.8 9.6 5.7 4.6 Industry 44.0 42.3 287 283 ' Manufacturing 32.7 30.9 19.1 18122 Services 48.2 48.0 65.6 67.1 -10 97 98 Private consumpton 63.0 73.5 70.7 69.7 -20 Generaloovernmentconsumptiron 11.0 4.5 11.9 12.9 -GDI GDP Imwortsof moods and servioes 6.3 6.6 12.9 11.5 a1979-8g a989-9 1998 g999 Growth of exports and imports (%) (av-sge anual growtlh) Agriculture 0.5 4.0 10.3 -0.5 30 - Industry -12 46 32 -51 z0 Manufacturnn -0.9 3.6 1 6 -6.9 Services 0.5 5.0 4.7 -1.4 10 Private consumpton 3.8 12.1 -42 o General government consumption 1.3 -1.1 1.2 94 Be 97 98 Gross domestic investment 4.6 9.3 6.6 -7.6 -0o Imports of oods and servioes -5.4 19.6 8.4 -11.2 - Exports *l Imports Gross national product -1.0 5.4 3.5 -3.3 Note: 1999 data are preliminary estimates. The diamonds show four key indicators in the country (in bold) compared with is income-group average. If data are missinq, the diamond vill be incomPlete. - 38 - Argentina PRICES and GOVERNMENT FINANCE 1979 1989 1998 1999 Inf8lation8% Domestkc prices (% change) I5 Consumer prices 159.5 3,066.3 0.9 -2.2 10 Implicit GDP deflator 147.4 3,057.6 -2.0 -2.2 35 Govermment finance (% of GDP, inckudes currnt grants) o Current revenue 8.0 15.5 18.8 19.3 s Current budget balance 3.7 -3.5 -0.3 -1.5 GDP deflator CPI Overal surplus/deficit -1.4 -6.3 -1.4 -1.7 TRADE 1979 1989 1998 1999 Export and Import levels (USS mill.) (US$ ff*#=ns Total exports (lob) 9,656 26,441 23,315 35,000 Food 1,016 3,056 2,428 Meat 716 836 653 Manufactures 3,186 17,387 15,082 21,0D00- Total iprts 4,230 31,404 25 538 Food .. . . 466 Fuel and energy ' 389 852 674 7, Capital goods 1,450 15,649 11,909 0 Export price index (1995=100) . 92 80 93 94 95 Oa 97 98 99 Import price index (1995=100) 92 85 NExports wimports Termsoftrade(19954100) .. .. 101 94 BALANCE of PAYMENTS (USS 1979 1989 1988 1999 Current account balance to GDP (%) Exportsofgoodsandservices 9,176 11,759 31,123 27,758 0 Imports of goods and services 8,773 6,254 38,568 32,557 Resource balance 403 5,505 -7,445 -4,799 -2 -i Net income -973 -8,818 -7,335 -7,847 Net current transfers 26 8 388 394 Current acoount balance -544 -1,305 -14,392 -12,252 4- Financing items (net) . 107 10,954 11,051 Changes in net reserves . 1,198 3,438 1,201 t Memo: Reserves includina gold (US$ millions) . 10,814 24,906 26,407 Conversion rate (DEC, bocaLUS$) 2.79E-8 4.23E-2 1.0 1.0 EXTERNAL DEBT and RESOURCE FLOWS 1979 1989 1998 199 (USS millons) Conposition of 1998 debt (USS niill.) Total debt outstandinp and disbursed 20,942 65,618 140,489 144,657 IBRD 367 2,281 7,417 8,591 | A: 7,417 IDA 0 0 0 0 C: 5,442 G: 30,956 D' 1,705 Total debt service 2,251 4,385 19,690 23,571 E| 7,400 IBRD 59 417 725 998 IDA 0 0 0 0 Composition of net resource flows Offcial grants -2 54 31 6 Official creditors 233 660 2,072 1,538 Private creditors 4,334 -732 9,527 2,882 Foreign direct investment 206 1,028 6,150 11.120 Portfolio equity 0 8 50 -2,093 F: 87,569 WoVld Bank program Conmitments 96 35 3,815 132 A - IBRD E - Bilateral Disbursements 39 316 2,029 1,573 B - IDA D - Other mutilateral F - Pdvate Principal repayments 24 221 350 445 C - IMF G - Short-term Net lows 15 96 1,678 1,128 Interest payments 36 196 375 553 Net transfers -21 -101 1,304 575 Deveiopment Economics 9112/00 - 39 - MAP SECTION IBRD 293A8 7o:0 8 6100 5\ i0.- -20e 2? BOLIVIA 20 1 C -a\;.r sPARAGUAY : o/ >>anP~~Ce Jjuyid 0- o B R A Z I L v S / ~ ~S A L TA ,!-- , > co t; ~Tuium6n |C HACO'F,/p Xrmc; E ; ) 5 ~~~TU.C,ASANTIG Resistencio<0._ Posad,+\5s F, L os,, X 4 05Sontpgo del tro _
Groupe de la Banque mondiale · Project Appraisal Document
Argentina - Sustainable Fisheries Management Project
Voir le document original
Le texte intégral est hébergé par l’organisation qui le publie. lawenc.com indexe les métadonnées et renvoie vers la source officielle.
Texte intégral
Informations clés
Organisation
Groupe de la Banque mondiale
Type de document
Project Appraisal Document
Pays
Argentine
Source
Banque mondiale