Lebanon - Education Project

DOCUMENT OF INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT INTERNATIONAL DEVELOPMENT ASSOCIATION Not For Public Use Report No. PE-52A APPRAISAL OF AN EDUCATION PROJECT LEBANON FIllE COPY November 29, 1972 Education Division EMENA Projects Department This report was prepared for official use only by the Bank Group. It may not be published, quoted or cited without Bank Group authorization. The Bank Group does not accept responsibility for the accuracy or completeness of the report.  CURRENCY EQUIVALENTS US$1.00 = 3.06 Lebanese Pounds (LL) 1 Lebanese Pound (LL) = US$0.327 1 million Lebanese Pounds (LE) = US$327,000 MEASURES 1 m2 10.76 sq ft 1 km2 = 0.39 sq mi FISCAL YEAR January 1 - December 31 Note: The Lebanese Pound is a freely fluctuating currency. In this report, conversions between Lebanese Pounds and U.S. dollars have been based upon the following exchange rate which existed at the time of field appraisal: US$1.00 = 3.11 Lebanese Pounds 1 Lebanese Pound = US$0.321  LEBANON APPRAISAL OF AN EDUCATION PROJECT TABLE OF CONTENTS Page No. BASIC DATA SUMMARY AND CONCLUSIONS ............................. i Is INTRODUCTION ............................. ............... 1 II. THE SETTING ......................... .................. 1 Socio-Economic Background ...................... ........ 1 Economic Development Strategy and Manpower ............ 2 III. THE EDUCATION SYSTEM ..............s...... o..#. 3 General ...................... ............ . ........ .0. 3 Private Education . . . ............ ........ * . . 3 Primary and Lower Secondary Education ........... 4 Upper Secondary Education ....... ...................... 4 Non-formal Vocational Training ..... ................... 5 Higher Education ...................................... 5 IV. EDUCATIONAL ISSUES AND DEVELOPMENT STRATEGIES 5 V. RATIONALIZING EDUCATION COSTS .................... 9 VI. THE PROJECT . ......... . . .... . ......... 12 General ........... ..... 12 Primary Schools . . .. ..$. ........... . .... 13 Lower Secondary Schools ......... . .............. 13 Primary Teacher Training Institutes 14 Lower Secondary Teacher Training Institute 14 Technical Assistance.. ........... 15 Cost of the Project ........................ ..... 16 VII. IMPLEMENTATION.......... 17 Administration... .... 17 Procurement........ .... ...... . 18 Disbursements.. .............. 18 VIII. AGREEMENTS REACHED AND RECOMMENDATION .... 18 This report is based on the findings of an appraisal mission which visited Lebanon during February 1972. The mission consisted of Messrs. 0. Markgren (mission leader), M. Krohn (I.L.O. technical educator), N. McEvers (economist) and C. Molineaux (architect, consultant).  TABLE OF CONTENTS (Cont'd) APPENDICES I. Education and Training II. Education Costs and Finances ANNEXES 1. Comparative Education Indicators 2. Enrollments, Teachers and Institutions by Level and Type of Education, 1970/71 3. Supply and Demand of Primary School Teachers in Government Schools 1970-1980 4. Supply and Demand of Lower Secondary School Teachers in Government Schools 1970-1980 5. Expenditures on Education and Training, 1971 6. Government Annual Recurrent Costs per Pupil 7. Public Expenditures on Education and Training, 1962-1971 8. Government's Rationalization and Expansion Program ("Plan de Regroupement") at Primary and Lower Secondary Levels 9. Comparison of Recurrent Cost Implications of Education Development Plan, 1980 10. Projected Costs and Benefits of the Primary School Component in the Proposed Bank Project 11. Projected Costs and Benefits of the Lower Secondary School Component in the Proposed Bank Project 12. Projection of Public Expenditures on Education and Training 13. Estimated Project Costs by Various Types of Expenditures 14. Unit Capital Costs and Efficiency of- New Project Institutions 15. Contingency Allowances 16. Project Implementation Schedule 17. Disbursement Schedule CHARTS Structure of the Education and Training System (6757) Enrollment Pyramid 1970/71 (6758) Growth of Enrollments in Primary and Secondary Education (6759) MAP  0 LEBANON BASIC DATA Total Population (1970) 2.8 million Current Population Growth Rate 2.5% Primary Enrollment (1971) 514,700 As Percent of Age Group 78.5% (excluding 31% overaged) Lower Secondary Enrollment (1971) 128,580 As Percent of Age Group 35.0% (excluding approx. 15% overaged) Upper Secondary Enrollment (1971) 53,300 As Percent of Age Group 22.0% (excluding approx. 10% _ overaged) Higher Education Enrollment (1971) 19,640 As Percent of Age Group 8.6% Government Expenditure on Education as a Percent of Government Current Revenue (1971) 21.0% Expenditure on Education as a Percent of GDP (1971); 7.4% Of which Private Expenditure 3.4%   SUMMARY AND CONCLUSIONS i. This report appraises an education project ir. Lebanon for which a Bank loan of US$6.6 million is proposed. Lebanon is a commercially active country, one of the more advanced of the developing nations. Its education system, however, has not kept pace with the country's requirements for greater numbers of better educated, and more practically oriented and train- able personnel. Moreover, it has not been able to provide equitable oppor- tunities for schooling for all groups in the country. ii. Lebanon's education goals, therefore, are first, to reorient the present highly academic system to a more practical and technical one and second, to expand educational opportunity by extending improved schooling to all segments of the population on an equal basis. As a first step, the gov- ernment intends to reform and expand the primary and lower secondary levels. Quality will be improved by planned revisions in teacher training curricula and methods, and in curricula, examinations, and equipment at primary and lower secondary levels; the government, taking the lead in this program to improve the quality of education, has established a new administrative group to assist in developing and implementing these changes. Tn addition, 225,000 primary school places and 197,000 lower secondary school places will be con- structed by 1980 to offer educational opportunities on a more uniform basis throughout the country. iii. Typical of the country's economy, the private sector dominates the education sector; this is the most striking feature of the Lebanese education system. Private schools account for 62% of total enrollment (63% of primary, 47% of lower secondary, 71% of upper secondary, and 77% of higher education). These schools vary widely in quality and are expensive to attend with tuition fees rising annually. A significant expansion of the private school system is not possible on the present basis because the ceiling on the numbers who can afford the tuition fees has already been reached. This has resulted in increased expansion of government-aided private schools (65% of the increase in private primary school enrollment during the past ten years was subsidized by the government) and in increased demands for free public education. iv. The government recognizes that, if the educational system is to respond to the economy's demands, the public education system is the part which will have to provide the bulk of the required expansion. This system is relatively small at present because of the government's past reliance upon the private sector. One of the results of this reliance has been the government's practice of locating public schools mainly in response to needs which the private system was unwilling or unable to meet at the time. Perhaps because this deficiency of private education in a particular area was often only temporary, the government adopted the practice of renting private dwelling units for use as public schools. This has proven to be uneconomical due to increasingly high rents and to an increasingly high wage bill for teachers caused by the low student-teacher ratios imposed by small classrooms.  v. If the present practice of renting schools were continued, it would be difficult for the government to achieve the targets ror expansion of public school enrollments, as this would require the allocation in 1980 of 40% of the government's recurrent budget to the Ministry of Education. The government has decided, therefore, to construct a network of public schools which would replace rented facilities and would rationalize the existing pubic school system at primary and lower secondary levels. In addition to eliminating rents, the program would also allow the schools to be strategically located within catchment areas and for teacher-pupil ratios to increase to 1:35 in primary and 1:30 in lower secondary schools from the present average of 1:18 for primary schools and 1:23 for lower secondary schools, with economies in teachers' use of common facilities. vi. The proposed Bank project would assist in the initial phase of this program by supporting the construction of 39 primary and 24 lower secondary schools, which would represent 14% and 7% of the enrollment capacity to be built at these two levels, respectively, by 1980. The project schools would be the first to be built in the program and would serve as model schools for the programming, planning, construction and equipping of the other new schools included in the rationalization program. vii. Because of the difference between the costs per pupil in the proj- ect schools and in similar schools using rented facilities, the primary and lower secondary schools in the project would result in considerable savings. The difference between the costs (capital and recurrent) of catering for 24,240 primary school students in the project primary schools and in the rented facilities they would replace would amount to a savings for the gov- ernment of US$1.1 million annually. Even disregarding the educational benefits to be realized from the expected upgrading of academic standards, the rate of financial return to the government on the project's 32 primary schools would be 21.5% over a 15 year period. A similar rate of return on the lower secondary schools would be 24%. viii. In addition to the above primary and lower secondary schools, the project would assist the government in its efforts to upgrade the quality of its education system by including the financing of: (a) construction and equipment for three primary teachers training institutions; (b) the renovation and equipment for one lower secondary teacher training institute; (c) technical assistance in planning the comprehensive devel- opment of upper secondary education, particularly tech- nical education. .  - iii - ix. A project implementation unit would be established within the Conseil Executif des Grands Projects (CEGP) to provide overall supervision of the project. Contracts for civil works and equipment would be awarded on the basis of international competitive bidding in accordance with the Bank's Guidelines. Furniture would be purchased under reserved procurement, as requested by the government, and would not be financed by the loan. Preferred domestic bids for equipment would be accorded a margin of preference of 15% of the c.i.f. price of competing imports, or the generally applicable level of duty, which- ever is lower. Lebanon does not have any regional preferential agreements. x. The total project cost is estimated at US$15.9 million, including contingencies. Cost data are based on detailed schedules of accommodation and contracts for similar work. The foreign exchange component is estimated at approximately US$6.6 million equivalent, corresponding to 42% of the es- timated total project cost. xi. The project is suitable as a basis for a Bank loan of US$6.6 million to Lebanon for a term of 25 years including a grace period of 5 years.   I. INTRODUCTION 1.01 A Unesco mission visited Lebanon in May 1971 to identify education projects suitable for Bank financing: a Bank mission reviewed these findings with the government in September 1971 and agreed on the project items that would be submitted for Bank financing. In November 1971, a Unesco project preparation mission assisted the government in preparing the proposed project, for which the government requested Bank assistance in January 1972. A mission comprising Messrs. 0. Markgren (mission leader), M. Krohn (I.L.O. technical educator), N. McEvers (economist) and C. Molineaux (architect, consultant) appraised the project in February 1972. 1.02 The project was modified during appraisal. The technical education and technical teacher training components were deleted because they were not based on a well-developed plan, and technical assistance was added to assist the government to develop a comprehensive plan for future consolidation and reform of upper secondary education, including technical education. II. THE SETTING Socio-Economic Background 2.01 Lebanon is one of the more advanced and commercially active of the developing nations. Long involved in international trade, it has been ex- posed to a wide diversity of cultural influences and today it has several spoken languages, namely Arabic, French and English. Since the end of World War II, when the French Mandate ended, the Lebanese have used their ingenuity in trading and in entrepreneurship to fashion a unique role for themselves in the Middle Eastern economy and in world commerce by: a) exploiting their geographic position to establish their country as a major transit point for goods and people, b) building on their traditional role as traders to estab- lish Lebanon as a commercial and financial center for the Middle East and c) exploiting the attraction of Lebanon's natural beauty and historical sites for the foreign tourist. 2.02 The Lebanese people are divided almost equally in number between Christian and Moslem communities, which in turn, are sub-divided into numerous sects and factions. By constitutional agreement, the interests of the two religious communities must be equitably balanced in the organization and con- duct of the country's political and social affairs. This balance is main- tained under a democratic rule, with a high degree of political and social stability. 2.03 In the past, population growth within Lebanon tended to be reduced by emigration. However, emigration has slackened off considerably in recent years. As a result, Lebanon's population of about 2.8 million (1970) is in- creasing at the fairly high rate of 2.5% per year. Furthermore, approximately  - 2 - 55% of the population is under 20 years of age. The population's growth rate rand age structure have given rise to escalating demands for education and have placed increasing strains on existing educational facilities especially at primary and lower secondary levels. 2.04 Its unique structure makes the economy vulnerable to international economic and political fluctuations: trade, tourism, international banking and transport contribute two-third of GDP. Agriculture, industry and con- struction together contribute about 35%, but together employ over half the labor force of 572,000 (1970). Although it has provided some key elements of infrastructure and maintains monetary stability, in economic matters the government traditionally has adhered to a "laissez-faire'" economic approach. The economy averaged 5.5% real growth p.a. during 1961-1971 despite negative effects of the Intra-Bank collapse, the Six Day War, and confrontations with Palestinian guerillas. 2.05 Although economic growth has been sufficient to raise per capita GNP from US$486 in 1964 to US$610 (1970), it has still benefited mainly a narrow segment of the society. Inequalities in the distribution of income as well as in the provision of social services (favoring urban over rural areas) have tended to widen. The government is now concerned that these disparities, unless redressed, could pose a potential threat to Lebanon's stability. Non-intervention by government has deterred both the expansion of publicly provided social services and the fiscal modernization needed to help support such expansion. Now, however, the government is planning to take a more active role in expanding and improving social services and in reducing inequalities in income. A major reform of the direct tax system to enhance the government's financial capacity is part of a long range pro- gram to achieve these objectives. Economic Development Strategy and Manpower 2.06 The government's 1972-77 development plan aims to reach and main- tain, as a minimal target, at least 7.0% growth per annum of Lebanon's econ- omy. This increase will be based mainly on the continued growth of services. The service sectors are expected to expand at a rate of 8% yearly, compared with approximately 7.5% p.a. during the period 1965-1970; over this same period, agriculture and industry grew at 1.8% p.a. and 7.4% p.a. respectively. However, the 1972-77 plan also intends to achieve some degree of diversifica- tion in the economy so that development could become less dependent on serv- ices: to this end, the plan forecasts that agriculture will grow at 4% to 5% p.a. and industry at 9% to 10% p.a. (partly in response to export oppor- tunities in the region), increasing their combined total share of GDP from about 22% in 1970 to 24.5% in 1977. 2.07 Over the long term, an element crucial to the success of Lebanon's strategy will be the human resources available to support the country's growth and development. Although detailed data are lacking, the economic growth charted in the 1972-77 plan would require new employment, due both to job  - 3 - creation and to replacement, of about 63,000 in the primary sector, 124,000 in the secondary and 138,000 in the tertiary sector over the period 1972-80. Based on these figures, it is estimated that annual requirements for new middle level manpower will reach about 15,000 by 1980. This is in contrast to the present output from upper secondary schools which averaged, between 1965-70, 9,000 per annum. Many expatriates, mainly Syrians, who constituted over 9% of the labor force in 1970, were working as semi-skilled and skilled craftsmen in construction, industry and public services (power, water, trans- port, communications), sectors which are already experiencing shortages of technically-trained Lebanese manpower. Assuming that growth plans for these sectors are realized, the skill shortages are expected to become more severe in the future. These indicators suggest that the stock of trained personnel required in the future will be larger than what the existing educational sys- tem can produce. 2.08 Future growth of Lebanon's relatively dynamic and diversified serv- ice activities will require not only a larger but also a better schooled, more practically-oriented and trainable pool of manpower. With Lebanon's emergence as a modern commercial nation occupying a position of growing importance in the regional and world economy, it has become increasingly evident that native business acumen no longer suffices in the operation of the service sectors. Furthermore, the supply of skills needed for agricultural and industrial de- velopment and for efficient operation of the country's infrastructure (which has been rapidly extended in the last decade) will depend partly upon labor transfer and mobility, and consequently on the overall adaptability of the labor force. The educational system, as presently constituted, is not in a position to respond to these requirements. III. THE EDUCATION SYSTEM (Appendix I, Annexes 2-4, Charts 6757, 6758, 6759) General 3.01 Education in Lebanon is structured as follows. Primary education consists of a five-year cycle normally beginning at the age of six. General secondary education comprises a four-year lower and three-year upper cycle. Secondary technical education and training is offered primarily at the upper cycle in courses of up to four years. Higher education is offered in courses of normally four to five years in universities and teacher training and tech- nical institutes. Private Education 3.02 Consistent with the private sector's importance in all fields, the country has traditionally relied heavily on private schooling. Private schools account for 62% of total enrollment (63% of primary, 47% of lower secondary, 71% of upper secondary and 77% of higher education). The private schools are  -4- sponsored by different religious and commercial groups; at primary and second- ary level, Roman Catholic schools serve 43% of all private school pupils, other denominations, mainly Moslem, serve 18% and private profit-making in- terests serve the remaining 39%. They also vary widely in quality, from very good schools with high academic standards to extremely low-quality schools. Yet, regardless of their sponsorship or quality, private schools are expen- sive to attend, and their tuition costs are rising each year. Primary and Lower Secondary Education 3.03 In primary education, about 79% of the age group, or 515,000 stu- dents, were enrolled in 1971, but only about 65% of those entering the course complete it. About 12 student years are required to produce one primary school graduate. 3.04 At lower secondary level, 35% of the relevant age group (and 15% of over-age students) are enrolled. Repeater rates are also high. There is a great disparity in the quality of private and public lower secondary schools. About 90% of all students in private lower secondary education attend full cycle secondary schools (grades 6-12) and are taught by teachers trained for the upper secondary level, while about 81% of all students enrolled in public lower secondary education are housed with primary schools and taught by primary school teachers. For primary school graduates who cannot gain access to the lower secondary academic course, either for scholastic or economic reasons, further training is available in eight public lower secondary voca- tional schools or private schools offering mostly commercial subjects. Training in the public vocational schools is of low quality and their graduates' employ- ment prospects are poor. 3.05 The supply of qualified teachers at these levels is low. In 1971, only 40% of primary teachers and about 27% of lower secondary teachers were considered qualified. The present primary teacher training capacity, how- ever, is sufficient to produce a fully qualified primary school teaching staff by 1980, a net increase of about 6,800 over the present staff of 3,300 qualified teachers (Annex 3). Lower secondary teacher training began only in 1971 when the government, in cooperation with UNDP/Unesco, started a three-year program for training science teachers; this program is expected to meet the demand for 1,500 science teachers by 1981. On the other hand, adequate facilities do not exist for training the approximately 3,000 teachers needed for social science and languages over the same period. Their training will have to start in provisional facilities this year (Annex 4). Upper Secondary Education 3.06 Upper secondary education (grades 9-12) in 1971 enrolled about 53,000 students or 32% of the relevant age group divided among the differ- ent types of education at this level as follows: general education (68% of enrollment), technical and commercial education (26%) and primary teacher training (6%). Education at this level is quite academic and traditional in content and generally, therefore, not in keeping with the modern needs for a more practical orientation and preparation.  -5- 3.07 Although public technical and commercial education enrollment has expanded rapidly in the past three years - from 795 in 1968 to the present 2,377 - the structure and content of the system are not appropriate to the needs of the economy for skilled workers and technicians (para. 2.07). The curriculum in industrial trades emphasizes general education and theoretical subjects and encourages students to seek white collar jobs. As a result, technical school graduates tend not to work as skilled workers or technicians in industry, but as office employees at the subprofessional level and in other jobs unrelated to their training. 3.08 Changes are clearly required in technical education (paras. 2.07, 2.08), but planning is inadequate. New upper secondary technical schools under construction will provide about 2,500 new student places in 1974. How- ever, no plans have been made as to the trades or specialities to be offered in these schools, and agreements to involve industry in determining the courses or their content have not been made. Non-formal Vocational Training 3.09 The National Vocational Training Center, under the Ministry of Labor, organizes accelerated training courses of 5 to 12 months' duration in close cooperation with industry. Thus far, it has trained over 1,000 workers, all of whom have been successfully employed. Beyond this govern- ment program, all other non-formal training schemes are privately sponsored, 3 but their sizes are negligible. Higher Education 3.10 Lebanon, with its many private and government colleges in Beirut, has become a center for higher education in the Middle East. In 1971, 41,700 students were enrolled, of which 47% were Lebanese and the rest from neighbor- ing countries. About 28% of the students were enrolled in technical, science and science-related faculties. In addition, about 6,000 students were en- rolled in universities abroad, mainly in France. There are at present no university development plans. IV. EDUCATIONAL ISSUES AND DEVELOPMENT STRATEGIES 4.01 Lebanon's goals, consistent with its overall development strategy, are to adapt its educational system to the country's needs by first, re- orienting the highly academic system to a more practical and technical one and second, expanding educational opportunity by extending improved school- ing to all segments of the population on an equal basis. The present system, although it has reached comparatively high enrollment levels in relation to many other developing countries, (paragraph 3.03-3.10) is nonetheless con- stituted so as to make achievement of these goals difficult: based on a  pre-World War II French model, the system is traditional in content and overly selective, thereby limiting further education possibilities for many students. Moreover, the dominance of private education and its high tuition fees (paragraph 3.02) limit possibilities for future expansion and improvement of formal education in the country at all levels. As the major bottleneck to reform is at the beginning levels, primary and lower secondary education have received priority in the government's plans for educational reform. 4.02 For primary education, increasing numbers of parents have been forced to send their children to less expensive, government-subsidized pri- vate schools, which consequently increased in enrollments from less than 25% to 50% of total private primary enrollments during 1960-1971. Increases in tuition have also resulted in mounting demands for the government to ex- pand free public education at primary and lower secondary levels. In sum- mary, while in the past, private schools have been able to meet demnands for education, the limit of students able to afford them bas been reached, par- ticularly in the rural areas. 4.03 At the same time, the government school system responded on an ad hoc basis to the needs which the private sector had not met. This has resulted in the widespread practice of renting school facilities - 85% of all public primary school enrollment and 100% of all public lower secondary school enrollment are housed in rented facilities. Most of these facilities, in addition to being expensive, are inadequate for educational purposes. In many instances, family dwelling units have been converted into government schools which lack sufficient space to accommodate economical class sizes; this results in uneconomically low student:teacher ratios (the average is only 1:18 in primary schools and 1:23 in lover secondary schools). The financial implications of this practice, fully described in this reportts section on rationalizing education costs, are that without revision of this uneconomical system, the government will not have the resources either to expand or invest in needed qualitative improvements. 4.04 Reform Plans. In order to begin the reform of Lebanese education along the lines suggested by the six-year plan, 'i972-77, and policy state- ments by the Minister of Education, the Ministry of Education in close co- operation with the Ministry of Planning has decided to focus in the 1970's first on reforming and rationalizing primary and lower secondary education and to assume increasingly a large share of education from the private sector at these levels. The goals of this reform are: (i) to provide gradually a common base of comprehensive lower secondary schooling for all primary school graduates, and thus to equalize educational opportunity by providing up to ten years of basic schooling to all children from approximately ages 5 through 14 and (ii) to improve the quality and efficiency of education at primary and lower secondary school levels. After this reform has been initiated success- fully, and based on it, the upper secondary level will be reformed. 4.05 Total public and private enrollments are planned to expand to 95% and 65% of the primary and lower secondary age groups respectively between  - 7.- 1971-1980. The development of enrollments during 1971-80, and the propor- tions to be accounted for by private and public schooling, are as follows: 1971 1980 a _No. % No. % Primary Level Public 192,518 37.4 340,000 54.3 Government Aided Private 158,455 30.8 165,000 26.4 Private 163,729 31.8 121,000 19.3 Total 514,702 100.0 626,000 100.0 % Age-Group Enrolled 78.5 95.0 (excluding 31% over aged) Lower Secondary Public 65,150 52.7 197,000 67.4 Private 58,487 47.3 95,300 32.6 Total 123,637 100.0 292,300 100.0 % Age-Group Enrolled 35.0 65.0 (excluding 15% over aged) 4.06 In order to achieve these targets, and in view of the constraints on the private sector's capacity for expansion, the government will provide the required expansion at the primary level and also absorb about 11% of the primary school students enrolled in inadequate private schools. In addition, the government plans to provide facilities for about 79% of targeted total expansion at the lower secondary level. 4.07 Under the reform, a pre-school year will be added to the five-year primary school course. Selectivity at the primary level will be abolished. This has already been partly accomplished by eliminating the examinations at the end of each grade, thereby making promotion between grades nearly auto- matic, and by eliminating the final school leaving examination at the end of grade 6. All students will eventually progress to four years of a common lower secondary education designed to guide them towards further general, pre- vocational or vocational studies, or employment. Thus a student's choice of career will be deferred under the new system to grade 10. Finally, separate lower secondary vocational schools will be phased out and all lower second- ary education programs will be offered under one roof. For the first time in Lebanon, teachers will be trained specifically for lower secondary level.  -8- The project would assist in financing the renovation and equipping of the lower secondary school teacher training institution for this purpose. By these measures, it is expected that the existing differences in the quality of education at this level between public and private schools (paragraph 3.04) will be eliminated. 4.08 An important part of the government's plans for improving the qual- ity of education at these levels includes improving teacher training and curricula which are highly academic and outmoded. New, more modern primary school curricula recently developed by the Ministry of Education will be introduced. These include modern mathematics and instruction in modern foreign languages; knowledge of these languages is particularly important because of the multilingual character of the country (para. 2.01). In addi- tion, revised curricula emphasize study of the natural environment and its problems. Lower secondary school curricula already being used in schools include a broad common core of academic and optional practical subjects stressing manual work to replace the present highly academic curriculum which mainly prepares students for further education. The related final examination, also under revision, will be introduced in 1976. The new curric- ula provide a better base of general education for all students in order to make them more adaptable for further training and employment needs and to help them defer decisions on career and study programs to a later age. Guid- ance and counselling services will be offered to the students so as to assist them in the choice of courses appropriate to their abilities and future pros- pects. As a first step in implementing this guidance program, an experimental training program for guidance counsellors was initiated at the Lebanese Uni- versity in 1971. 4.09 As part of the program to improve the quality of the education sys- tem, the primary teacher training system will be up-graded and consolidated. The present system comprises seven institutions with a combined enrollment of 3,240; only two are adequately housed. The remaining five schools, which are poorly housed in rented facilities, will be replaced by three larger modern institutions with a combined enrollment approximately the same as in the five schools they will replace. The present three-year upper secondary training course will be continued but adapted to the new primary school curriculum and to more modern teaching techniques. In addition, a special one-year post-secondary course will be initiated for in-service training of unqual- ified teachers who now represent about 60% of the primary school teaching force (Annex 3). The government intends to adjust the enrollments in the three-year and one-year courses so that, beginning in 1975, about 600 would be graduated annually from the longer pre-service course and 400 from the in-service course. Through this program, about 92% of the primary school teachers would be qualified in 1980. The project would include the construc- tion, furnishing and equipment of the three new primary teacher training in- stitutions envisaged in this program. 4.10 General upper secondary education will have to undergo a reform, particularly in view of the planned reforms of primary and lower secondary  -9- education. Curricula will have to be changed to be in accord with the intro- duction of new curricula at the lower levels. A balance between types of courses will have to be established offering a combination of technical and academic subjects appropriate for the preparation of pre-university students and those who intend to enter employment directly after completion of second- ary education. Although this approach has been agreed on, there has been so far no detailed planning for implementing it; furthermore, some of the plan- ning will have to wait until experience is gained from the reform of the lower levels. The proposed project therefore includes technical assistance to help the government in comprehensive planning for reform at the upper secondary level. In this there will be an emphasis on planning for technical education (paragraph 3.08). 4.11 An administrative group, the Education Center for Research and De- velopment, was established in April 1972, in consultation with Unesco to help develop and implement the above changes. The Center, under the direction of a well qualified director, deals broadly with questions concerning overall policy and planning of all levels except university education. It also col- laborates with other institutions working in planning related to education. The Center will continue to deal with the continuous revision and evaluation of curricula and examinations, development of school standa-rds and equipment, and development of educational materials such as teachers' manuals. Coordina- tion between the Center and the operational departments within the Ministry of Education is implemented through an Advisory Committee composed of the Director of the Center and the Ministry's other department heads. V. RATIONALIZING EDUCATION COSTS 5.01 General. Lebanon's national outlay on education and training is high for a developing country, amounting to 7.4% of GDP (1971). Private resources, however, account for about 54% of this expenditure (Annex 5) which are derived largely from school fees. About fifty percent of the pupils, who cannot afford to pay the usual private, primary school fees, pay lesser amounts and their schools receive an annual subsidy from the government that covers about 41% of the difference; the balance is provided by the or- ganizations operating the schools. Some 90% of public expenditure on educa- tion is financed by the central government. Public primary schools are free, but public secondary schools charge a nominal, annual fee of L*631 (US$10). Over 75% of the Lebanese University budget is funded by the central government and the rest by student fees. Except for private univer- sity education, the amount of external financing is negligible. 5.02 Costs and Expenditure. Private schools fees are high, ranging from LL251 (US$81) p.a. to LL630 (US$203) for the primary grades (in non government- aided schools) and from LE362 (US$116) to Li)1,000 (US$322) for the secondary level. With its present fee structure and enrollments, the private sector covers at primary and secondary levels that segment of the population who can afford to pay the annual fees and associated costs of private schooling. For  - 10 - 9 this reason, there are severe limitations on private education's EaiL-ty to enroll in the future greater proportions of Lebanon's primary and lower sec- ondary age groups than it enrolls now. On the other hand, the government also faces financial constraints on its capacity to undertake the full burden of expansion in primary and lower secondary enrollments as planned (para. 4.07). 5.03 The low student-teacher ratio resulting from the small rented facil- ities (paragraph 4.03) combined with increases in rents, in teachers' sala- ries (which represent over 70% of recurrent costs) and in administrative ex- penses, caused recurrent costs per pupil in public primary and lower second- ary schools to increase at over 11% per annum during 1968-1971 (Annex 6). 5.04 Recurrent outlays on primary and lower secondary education absorb over 50% and 20% respectively of the Ministry of Education's expenditures (which, in turn, account for more than 93% of the central governments' total outlay on education). Due to the high recurrent costs of primary and lower secondary schooling, together with enrollment growth and a sharp increase (14.6% per annum) in the amount of subsidy per student paid to private pri- mary schools, the central government's total educational expenditures quad- rupled between 1962 and 1971 (Annex 7). As the central government's total expenditures rose by only 7.2% per annum over the same period, education's share of total central government expenditures increased from 11% to 21% (Annex 7). If the government attempted to achieve the public school enrollment targets for 1980, while continuing the present practice of accommodating its primary and lower secondary school pupils in rented facilities, the Ministry of Education's recurrent expenditures in 1980 would absorb 40% of the government ' recurrent budget. Even with additional resources acquired from improvements tc the direct tax system, which have already been initiated, it would be extremely difficult for the government to allocate sufficient resources for either its planned expansions or future development of public education at higher levels, unless it could place its primary and lower secondary education on a more economical basis than at present. 5.05 "Plan de Regroupement". The government has, therefore, planned a systematic rationalization of the network of school facilities at the primary and lower secondary levels ("Plan de Regroupement"). Four hundred new primary and 295 new lower secondary schools will be built under this program during 1972-1980, many of them in rural areas. They will provide 225,000 new primary school places, of which 34% will replace rented space, and 197,000 new lower secondary places, of which 33% will replace rented facilities (Annex 8). By 1980, only 25% of the government's primary school pupils, and none of its lower secondary students, will be accommodated in rented facilities (Annex 8). The program wili allow for school facilities to be centralized within the catchment areas, for teacher/pupil ratios to improve up to 1:35 in primary and to 1:30 in lower secondary schools, for more efficient use to be made of teachers, for considerable public budget savLngs to be realized in rents, and thus for substantially lower recurrent costs per pupil to government than would otherwise be possible. By 1980, the recurrent cost per government pupil at constant prices will be LE387 (US$124) at the primary level and LU409 (US$132) at the lower secondary level, as compared with LU616 (US$198) 0  - 11 t per primary school pupil and LW742 (US$239) per lower secondary school pupil in rented facilities in that year (Annex 9). Seventy-six percent of the dif- ference between the costs of catering for students in new schools and in rented facilities would represent savings in direct teacher costs and 24% would represent savings in rents. The new costs, moreover, would allow for increased allocations for didactic materials and supplies. Under this Plan by 1980, the government will save approximately L6144 million (US$46.3 mil- lion) per annum in recurrent budget outlays for primary and lower secondary education (Annex 9). Despite higher student-teacher ratios, no employment difficulties are foreseen for teachers within the framework of an-expanding education system. 5.06 The proposed project would assist the government in the initial phase of the "Plan de Regroupement," by including 39 primary and 24 lower secondary schools. These would represent 14% and 7% of the enrollment capac- ity to be built for the two levels respectively under the "Plan" by 1980. The project schools would be the first to be built under the "Plan" and would be located to serve as model schools for the programming, planning, construc- tion and equipping of the other new schools in the rationalization program. 5.07 Because of the difference between the costs per pupil in the project schools and in rented facilities, the project's primary and lower secondary schools would constitute a sound investment. The difference between the costs (capital and recurrent) of catering for 24,240 primary school students in the 32 project primary schools that will replace rented facilities would amount to 0 a savings for the government of US$1.1 million annually. Without taking into account the educational benefits to be realized from the expected upgrading of academic standards (which are too difficult to quantify), and considering these annual savings as the only quantifiable benefits, the rate of financial return on the investment by the government in the project's 32 primary schools would be 21.5% over a 15-year period (Annex 10). The rate of return on the lower secondary schools would be 24% (Annex 11). 5.08 Projection of Government Expenditures in Education. Future expendi- tures on education (Annex 12) are expected to grow at about 10% per annum over the period 1971-1980. By 1980, recurrent expenditures on education are expected to absorb about 24% of current government revenue and 26% of the total recurrent outlays made by the Central government, compared with 21% and 23% respectively in 1971 (Annex 9). Whereas in the past, capital ex- penditures seldom amounted to more than 4% of the Central government's an- nual expenditure on education, they will amount to over 10% per annum during the forecast period. Of the LE314.4 million in capital funds to be invested in education by 1980, L1276 million will be spent on the "Plan de Regroupe- ment," mostly during 1972 through 1977, and the rest will finance new facil- ities for technical and academic education at the upper secondary level. The total investment in education will represent 21% of the Central govern- ment's overall investment program during 1972 through 1980. .  - 12 - 5.09 The annual recurrent costs of all the proposed project institutions would be about 6.8% of total projected recurrent expenditures on education by 1980. The capital expenditures on the project schools would amount to less than 15% of the projected capital expenditures on education during the 1972- 1980 period. Because of the high priority which the government has assigned to this program, the government can be expected to allocate this share of its resources to education. VI. THE PROJECT General 6.01 The proposed project would assist the government in implementing its development program for primary and lower secondary education. The pro- gram is aimed at replacing rented school facilities by appropriate structures in order to (i) reorient the school system along more practical lines; (ii) equalize education opportunities; (iii) consolidate school facilities and (iv) economize on educational recurrent cost. The project would also assist the government's development program by replacement of facilities for primary teacher training and improvement of facilities for lower second- ary teacher training. Technical assistance would be included in the project in order to assist the government in replanning of upper secondary education to prepare for reform at this level of education. 6.02 Specifically the project would include: (a) construction or im- provement, equipment and furnishing of the institutions listed below; and (b) 2 man/years of technical assistance. Total Annual Teacher's Items Grades Capacity Output Requirements A. New Construction, Equipment and Furniture: 39 Primary Schools Pre- 30,960 5,000 848 School + 1-5 24 Lower Secondary Schools 6-9 14,400 3,200 464 3 Primary Teacher 10-12 650 Training Institutes 13 2,280 320 102 B. Improvement of Facilities, Equipment and Furniture One Lower Secondary Teacher Training Institute 15 380 380 35 No boarding accommodations or staff houses would be required.  - 13 - Primary Schools 6.03 The project schools would make possible the replacement of about 24,000 primary school places in rented facilities and the absorption of about 7,000 students who would otherwise be in low-quality government-aided private schools. The project would contribute a capacity of student places equiv- alent to about 9% of total public primary school enrollments by 1980. Five ; of the new schools would serve as demonstration schools for the three primary teacher training institutes included in the project. 6.04 The schools would be of three different sizes - enrollments of 240, 480 and 960. In accordance with the government's education strategy, the primary schools would follow new curricula and include modern foreign lan- guage, modern mathematics and science. The schools would also offer prac- tical activities such as simple woodwork and sewing. The schools would serve as model institutions for demonstrating the application of the new curricula and the use of new teaching methods and media to teachers in neighboring primary schools (para. 4.08). Lower Secondary Schools 6.05 All project school places would replace rented facilities. The schools would be of three different sizes - with enrollments of 320, 560 and 1,120 - and would contribute school capacity for about 5% of the total lower secondary school enrollment by 1980. The curricula would include a common core of academic subjects (about 85%) and optional practical subjects for all students. Ten of the schools, located in agricultural regions, would offer agriculture as options and all schools would have home economics, wood- work and metalwork. The schools would serve as demonstration schools for new teaching methods and the use of new media and curricula. The new cur- ricula would require revision of the existing _examinations and for that reason the government has provided an assurance that the lower secondary school examinations will be revised not later than December 31, 1976 in order to be consistent with the new curricula (para. 4.08). In view of the importance of educational and career guidance for students in the new system, the government has enacted supporting legislation to ensure that appropriate training programs for guidance and counselling will be organized for a minimum of 100 teachers during the project implementation period. 6.06 Both primary and lower secondary schools would be located in rural and urban areas with different population patterns. Schools with the same enrollments would have identical accommodations but the designs would be adapted to local topographical and climatic conditions. 6.07 As the government has limited experience in school building, the construction of the project schools is expected to exert a strong influence upon future construction included in the rest of the rationalization program. Consequently, the proposed project schools would be expected to make a sub- stantial contribution for refining planning norms, setting space standards,  - 14 - establishing technical and fiscal controls for construction and in relating facility planning to curricula development and new teaching techniques. Thz economies realized in the design and construction of the project primary ana lower secondary schools will also be of benefit to the planning and building of all the other schools in the government's program (para. 5.06). Primary Teacher Training Institutes 6.08 The three niew primary teacher training institutes form part of the government's program to upgrade and modernize its primary teacher training system (para. 4.09). The institutes would offer 3-year pre-service courses at upper secondary level and 1-year upgrading courses for unqualified primary school teachers who have graduated from upper secondary level education. Each institute would enroll 650 pre-service and 110 in-service students. The institutes would also be used for in-service training of teachers and school administrators during vacation time. 6.09 New curricula, to be introduced in all primary teacher training institutes in the country, will be first introduced on an experimental basis from 1973 in two existing government institutes. The programs will be adapted to the new primary school curricula. All pre-service students wili have a common course during all three years but in the last year will have an option to specialize for about 40% of the time in general subjects, foreign language or fine arts. The 1-year course students will receive education mainly in Arabic, pedagogy and psychology and specialize in general subjects or languages. Lower Secondary Teacher Training Institute 6.10 This item would comprise the provision of equipment and furniture and the renovation of an existing school building to be used for training lower secondary school teachers in social science and modern languages. 6.11 During their first two years in the program, students would enroli in the respective faculties of the Lebanese University to study the subject matter which they would later teach. In the third year, the last year of the course, students would be enrolled in the project institute to study pedagogy, methodology, psychology, and audio-visual aids and to practice teaching in local lower secondary schools. The training of teachers in foreign lan- guages and social science will start in provisional facilities in 1972 (para. 3.05) and the students will be transferred to the project school as soon as the facilities are available. 6.12 The institute would be used dur'-ng weekends and vacation time for in-service training of directors of education, school inspectors and lower secondary school teachers of general and practical subjects. These short courses would concentrate on education policy and the use of new teaching methods and media. The implementation of the in-service training plan has been authorized under recently enacted legislation and course programs have already started. The plan is that, over a five-year period, all school administrators and teachers will receive such short in-service training courses related to the new lower secondary school curriculum.  - 15 - 6.13 During negotiations, the government provided an assurance that revised curricula for primary education, lower secondary education and primary teacher training and new curricula developed for lower secondary teacher train- * ing (social science and modern languages) will be made available to the Bank for comments not later than December 31, 1974. Technical Assistance 6.14 The government intends to reform upper secondary education (para. 4.10). Competent manpower is available in the country to undertake the necessary studies to accomplish the major burden for planning this reform; however, some short term specialists' services would be included to assist the government in this effort. Special attention would be given to the capacity and content of technical education and related teacher training. 6.15 During negotiations, it was agreed that the following expert services would be provided within the project for periods ranging up to the following: Man/Months (i) Education planning and administration 8 (ii) Education economics and manpower 6 (iii), Technical education 6 (iv) Education statistics 4 Total Man/Months 24 6.16 All experts provided within the project would be agreeable to the Bank and would be employed on terms and conditions acceptable to the Bank.  - 16 - Cost of the Project 6.17 The estimated costs and foreign exchange components of the various elements of the project are summarized as follows: Lebanese Pounds (000) U.S. Dollars (000) % of Local Foreign Total Local Foreign Total To-. Primary Schools (39) 13,352 7,361 20,713 4,213 2,447 6,660 53.0 Lower Secondary Schools (24) 8,039 6,718 14,757 2,505 2,240 4,745 38.0 Primary Teacher Training Institutes (3) 1,630 1,060 2,690 524 341 865 6.9 Lower Secondary Teacher Training Institutes (1) 218 311 529 70 100 170 1.3 Technical Assistance 62 249 311 20 80 100 0.8 Sub-Total 1 23,301 15,699 39,000 7,332 5,208 12,540 100.0 Physical Contin- gencies 1,919 1,297 3,216 617 417 1,034 8.2 Price Increase 4,151 2,989 7,140 1,335 961 2,296 18.3 Sub-total 2 6,070 4,286 10,356 1,952 1,378 3,330 26.5 Total Project Cost 29,371 19,985 49,356 9,284 6,586 15,870 6.18 A breakdown of projected expenditures is given in Annex 13. Con- struction of the school buildings would account for 62% of total project costs; site development 9%; furniture 9%; equipment 14%; architectural and engineering services 5%. Technical assistance would account for less than 1% of project cost. Space allowances are well within the range of those for comparable schools in other Bank Group financed projects, while allowing necessary flexibility for the adoption of modern teaching methods. Construc- tion cost at an average of US$59 per square meter is low by world-wide stand- ards, reflecting austerity of design criteria, relatively low labor costs, and maximum use of locally produced building materials. Capital costs per student's place are below the median of similar Bank Group financed project (Annex 14). 0  - 17 - 6.19 Cost estimates for site development, construction and related pro- fessional services include contingency allowances of 10% and for equipment 5%, to cover unforeseeable physical requirements. Based upon an average annual construction price increase of 6% over the past five years, an addi- tional contingency of 18% would be provided for the period required to com- plete construction. This percentage would also apply to site development and related professional services. Furniture costs have increased at the rate of 6.2% per annum, and equipment at 7%. Applied over the implementation period, these price increases would amount to about 15% and 16% respectively. Technical assistance cost escalation is estimated at the combined rate of about 4% per annum for local and foreign cost requirements, giving a total of about 6% over the period of these services. Total contingency allowances would thus amount to 26.5% of estimated project costs without contingencies or 21% of total costs including the contingencies (Annex 15). 6.20 The foreign exchange component would be about 42%, or approximately $6.6 million, and has been estimated as follows: (i) civil works, 35%; (ii) equipment 100%; and technical assistance, 80%. VII. IMPLEMENTATION Administration = 7.01 A Project Unit would be established within the Conseil Executif des Grands Projects (CEGP) to be responsible for the implementation of the project, coordination of activities with the Ministries of Education and Public Works, other government and private bodies, and liaison with the Bank. The CEGP and Project Unit would have subsequent responsibility for the completion of the school construction program (Plan de Regroupement), of which the Bank project forms a part (para. 5.05). 7.02 The Project Unit would consist of: (i) a project unit director, who would be responsible directly to the Director of the CEGP; (ii) an architect; (iii) an educator; (iv) a specialist from the Ministry of Planning; and (v) a furniture and equipment procurement specialist. The first four officers would be appointed on a full-time basis in consultation with the Bank. Appoint- ment of the above officers and the establishment and operation of the Project Unit, provided with adequate accounting and procurement services, supporting staff and facilities would be a condition of effectiveness of the loan agreement. 7.03 Educational aspects of the project and the preparation of equip- .ment lists would be supervised by the Project Unit in close cooperation with appropriate departments of the Ministry of Education. Design of all schools and supervision of construction would be performed by consultant architects, agreeable to the Bank, and appointed on terms and conditions acceptable to the Bank. 0  - 18- Procurement 7.04 Civil works and equipment supply contracts would be awarded under international competitive bidding in accordance with the Guidelines for Pro- curement under World Bank loans. The construction industry in Lebanon has sufficient capacity, and intense competition for civil works contracts is expected. Local manufacturers submitting preferred domestic bids for equip- ment would be allowed a preferential margin of 15% of the c.i.f. costs of competing imports, or the generally applicable import duty, whichever is lower. Lebanon has no preferential tariff arrangements with any country. Items would be grouped to the extent practicable to form sizable bid packages and to permit bulk procurement. The Project Unit would be responsible for preparing and issuing tenders, evaluating bids, and awarding the contracts. Detailed master lists of furniture and instructional equipment would be sub- mitted for Bank review prior to procurement. 7.05 Project furniture would be purchased on reserved procurement, as requested by the government, and would not be financed under the proposed loan. Lebanon has a furniture manufacturing industry adequate to meet the requirements of the project. 7.06 Of a total of 66 new schools, sites have been designated for 32, and are presently in the process of acquisition. Thirty-four sites still remain to be proposed by the local (municipal) authorities, approved by the CEGP and Ministries of Public Works and Education, and formally acquired. The government has provided an assurance that all sites, agreeable to the Bank, will be acquired prior to the scheduled start of construction. Disbursements 7.07 The proceeds of the proposed loan would finance the foreign ex- change cost of technical assistance, the CIF cost of imported equipment, or 100% of ex-factory cost of such equipment if locally manufactured, and 35% of total expenditures for construction and site development, which re- presents their foreign exchange component. This latter percentage would be adjusted as required to spread disbursements over the implementation period. Construction would be completed within three and one-half years of the date of the loan agreement (Annex 16). The schedule of estimated disbursements is shown in Annex 17. Utndisbursed funds would be available for reallocation. VIII. AGREEMENTS REACHED AND RECOMMENDATION 8.01 During negotiations, agreement was reached on the following principal points: Mi) a new examination system adapted to the new lower secondary school curricula will be introduced not later than December 31, 1976 (para. 6.05);  - 19 - (ii) curricula for the project schools will be made available to the Bank for comment not later than December 31, 1974 (para. 6.13); (iii) technical assistance experts agreeable to the Bank will be appointed on terms and conditions acceptable to the Bank to assist the government in planning reforms of upper secondary education (paras 6.14 and 6.16); and (iv) sites, agreeable to the Bank, for all project institutions will be acquired prior to the scheduled start of construc- tion (para. 7.06). 8.02 Conditions of effectiveness: (i) appointment of a full-time Project Director, Project Educator, Project Architect and specialist from the Ministry of Planning in consultation with the Bank (para. 7.02); and (ii) establishment and operation of an adequately staffed Project Unit in satisfactory premises (para. 7.02). 8.03 The project is suitable as a basis for a Bank loan of US$6.6 mil- lion equivalent to the Government of Lebanon for a term of 25 years including a grace period of five years. The loan, which would finance foreign exchange costs, and the ex-factory cost of locally produced equipment, would be equivalent to about 42% of the estimated project cost.   APPENDIX I Page 1 EDUCATION AND TRAINING General 1. Access to education is guaranteed to all citizens of Lebanon by law. But the government itself is in charge of only a small part of the education system. The private sector dominates; in 1971 about 62% of all students were enrolled in private institutions. The government catered for only one third of the primary education, less than half of secondary education and one fourth of higher education. The private schools are owned by churches, private institutions and private individuals, who run the schools on a profit making basis. 2. The students in government schools are almost entirely taught in privately owned, rented school facilities; 85% of the primary and all lower secondary school students were taught in privately owned buildings in 1971. In order to help students from low income families, who cannot afford high tuition fees, the government gives annual grants, based on the number of students enrolled, to private schools (prive subventionne) which thus can give education at reduced fees. Planning and Administration 3. Planning of government primary education and secondary academic and technical education and training are the responsibility of the Ministry of Education in cooperation with the Ministry of Planning. Other Ministries have training courses only on a very limited scale. Each of the five regions of the country has a Regional Planning Office closely attached to the Ministry of Planning. In this office is integrated a Regional Office of Education. The Office of Education is the link between the local school authorities and the Ministry of Education but does not have authority to make decisions. All decisions are made in the Ministry of Education. Supervision 4. Supervision of government and government-aided primary schools in the region is carried out by the staff of the Regional Office of Education, but all supervision of secondary level education is attached to the Ministry of Education. The supervision system does not cover private schools. Strategy for Educational Development 5. The long term development of education as reflected in the 6 Year Plan 1972-77 and policy statements by the Minister of Education calls for: (i) consolidation of government primary and secondary education m and more efficient use of teachers and school facilities;  APPENDIX I Page 2 (ii) gradual transfer a larger share of responsibility for primary and secondary education from the private to the government sector; (iii) introduction of 10 year basic comprehensive education for all children within the framework of a 6-year primary and a 4-year lower secondary course; (iv) reform and coordination of all second level academic and technical education; (v) improvement of teacher training for primary level education, introduction of teacher training for lower secondary education, and expansion and improvement of teacher training for academic and technical education on upper secondary level; (vi) introduction of the use of new media in education; and (vii) reform of the administrative system on central and local levels, and introduction of an institution for continuous educational research and development of the education system. 6. No fixed period of time has been determined for the implementation of the above long-term policy. However, part of it is already under imple- mentation in accordance with the 6-year development plan 1972-77. A rationalization plan (Plan de Regroupement) for primary and lower secondary level education has been established as a first step. The Plan calls for total enrollments to expand to 95% and 65% of the primary and lower secondary age group respectively from 1972-80. During the period 1972-80, 225,000 primary and 197,000 lower secondary school places will be constructed of which the Bank project would form a part. 65% of the new primary school places and all the new lower secondary school places will replace rented facilities. The present teacher-pupil ratio of 1:18 in rented facilities will be improved to about 1:30 in the new lower secondary schools and 1:35 in primary schools and create substantial savings in rents and more efficient use of teachers. Planning and reform of upper secondary level education will start soon. Administrative Reform 7. Three directorates of the Ministry of Education administer different levels and types of education. However, an administrative reform is under discussion and is planned to follow the reform of the primary and lower secondary school system. With the introduction of a comprehensive type of school there will be need to divide the different departments according to function. The full administrative reform will come when the comprehensive curricula have been in effect for some time, and a better judgment can be made from experience concerning organization of the Ministry and consequently of the regional and local administration.  APPENDIX I Page 3 8. The reform of the education system, however, will create demand for continuous planning, evaluation and revision of activities. For that reason, the Educational Center for Research and Development was established in consultation with Unesco in April 1972. The Center is administered by a department of the Ministry of Education and Fine Arts. Coordination between the Center and the educational administration of the Ministry is carried out through an Advisory Committee composed of the Director of the Center and the other department heads in the Ministry. The Committee, which is under the Chairmanship of the Minister of Education, gives opinions on the decisions of the Center, when requested by the Minister or submits recommendations concerning work connected to the functions of the Center. 9. The Center deals with questions concerning overall policy and planning of all education except university education. It also collaborates with other institutions working in the field of planning related to education. More specifically the Center will deal with continuous revision and evalua- tion of curricula and examinations, development of school standards and equipment, development of educational documentation such as teachers' manuals and other documentation to support a successful implementation of the reform measures. 10. The Center has already developed close links with the teacher training institutions. The Center is expected to have an impact on the re- form of the country's education development and successful implementation of the reform plans. The Structure 11. The school system provides for five years of primary education, normally beginning at the age of six. Most students spend 1-3 years in pre-primary education before entering the primary schools. General secondary education is offered in a 4-year lower and a 3-year upper cycle. Secondary technical education and training is offered mainly on upper level in courses of up to four years. Higher education is offered in universities in courses of normally 4-5 years and in teacher training and technical institutions. Primary Education 12. Primary schools enrolled about 515,000 students in 1971 of which about 193,000 (37%) were in government schools, 164,000 (32%) in private schools and 158,000 (31%) in government aided private schools. 109.5% of the age-group 5-10 years was enrolled; of that about 31% are estimated to be above the relevant age group. The low efficiency of primary education is evident by the fact that only about 65% of the students complete their education. A student spends as an average twelve years in school to complete the 5 year course. The percentage of overaged students is expected to de- crease during the 70's partly because increasing numbers of children tend to start school at normal age, partly also because the tests which students  APPENDIX I Page 4 earlier had to pass every year and the primary school final examination after grade 6 were abolished two years ago. The primary system is now geared to automatic promotion even if the student capacity does not at present allow for a full implementation of this approach. The majority of the govern- ment primary schools accommodate 100 to 200 students and the private schools 300 to 400 students. The language of instruction is Arabic, but there are private schools which use French or English. The curricula are academic in content. The teaching methods are as a rule traditional, partly depending on the fact that only a small proportion of the teachers have adequate training but also because of inadequate school facilities. The government plans to introduce new curricula, which are already available in draft form. They will include French or English as a second language and modern mathematics and will give more attention to natural science and other environ- mental oriented subjects. The intention is to give education, xwhich will better serve both students who terminate their education after primary education for employment and those who continue to further education or training on secondary level. 13. By 1980, projections are that about 95% of the relevant age group will be enrolled in primary education. The planned development of enrollment during 1971-80 is shown in the following table: 1971 1980 _ No. % No. _____ Primary Level Public 192,518 37.4 340,000 54.3 Private Aided 158,455 30.8 165,000 26.4 Private Non-Aided 163,729 31.8 121,000 19.3 Total 514,702 100.0 626,000 100.0 % Age-group Enrolled 78.5 95.0 (excluding 31% over aged) Lower Secondary Education 14. Lower secondary education enrolled 128,600 students in 1971; which represented 50% of the age-group 11-14 years. 51.6% of the students were enrolled in government general and 45.5% in private general education. About 15% of the students were estimated to be overaged. The average enrollment,of the government and private schools was about 250 students. The basic language of instruction is Arabic but in many schools science is taught in English and social science and mathematics in French. The curricula are academic in content and oriented to further academic studies. About 65% of primary school leavers entered lower secondary education in  APPENDIX I Page 5 1970. The dropout rate appears to be low. About four students out of five complete the 4-year course and almost all lower secondary school graduates continue to upper secondary education of different kind and length. The efficiency, however, is not as good as it appears in statistical terms because of repetition. A lower secondary school student needs 6.5 years as an average to complete the four year course. 15. Lower secondary education is offered to about 56,000 of the government students in primary schools. These schools are called "ecoles complementaires" and are in many cases badly equipped and lacking laboratories. The teaching is done in most schools by primary school teachers lacking adequate teacher training for the secondary level. About 9,000 of the government school students are taught in upper secondary schools by the upper level teachers. There is an obvious difference in quality of education between the "ecoles complementaires" and lower secondary education offered in the upper secondary schools even if the curricula are the same. With the growth of enrollments on upper secondary level, the 9,000 student places now occupied by lower level students will gradually be taken over by upper level students. The same thing will happen in primary schools where the places now occupied by lower secondary schools students will be taken over by primary school students. Lower secondary school curricula and the examination system are under revision and will be introduced as soon as suitable school facilities are available. The curricula will include a broad common core of academic and optional practical subjects. They will provide a better base of general education for all students in order to make them more adaptable to further training and employment needs and to help them defer decisions on career and study programs to a later age. Guidance and councelling services will be offered to the students on lower secondary level so as to assist the students in the choice of courses appropriate to their abilities and future prospects. 16. The government plans to enroll about 65% of the age group 11-14 years in lower secondary education by 1980. The planned development of enrollments is shown in the following table: 1971 1980 No. % No. % Lower Secondary Public 65,150 52.7 197,000 67.4 Private 58,487 47.3 95,300 32.6 Total 123,637 100.0 292,300 100.0 % Age-group Enrolled 35.0 65.0 (excluding 15% over aged)  APPENDIX I Page 6 Upper Secondary Education 17. Upper secondary education enrolled about 53,300 students in 1971 equivalent to about 32% of the age group 15-17 years. At this level there were general secondary schools, technical schools and primary teacher train- ing institutes. 71% of the students were enrolled in private institutions. Of the total enrollments 26% were enrolled in technical education. Both academic and technical schools are overly academic and traditional in content promoting psychologically an orientation by all students towards white collar work. Technical education facilities are under expansion but no firm plans as to the use of the facilities are available. 18. In 1971 general secondary schools enrolled about 36,200 students equivalent to about 22% of the age group 11-14 years. About 70% of the students attended private schools and the rest government insitutions. As in the case of the lower secondary schools, Arabic is the language of instruction but English and French are frequently used for teaching in subjects like science and social science in order to better prepare the students for future functions in the Lebanese society and for higher education. 19. Revision of the curricula, which are academic in content, is needed and this will be still more necessary after the introduction of new curricula on lower levels. For that reason, and as a second step following reform of primary and lower secondary level curricula, the government intends to re- form curricula on upper general secondary level as a part of the overall reform of upper secondary education. 20. The enrollments in public technical secondary schools under the Ministry of Education have increased rapidly during the recent years. At present, there are about 2,400 students in 13 schools, but the total capacity is 3,500 student places. Moreover, 2,450 student places are under construction in seven new schools or extensions. 21. Vocational or lower secondary technical schools offer two-year technical courses leading to CAP 1/ or BP 2/. In 1971-72, there were about 800 students in seven schools, mostly at BP-level. These courses are not very popular and therefore they are being gradually phased out; CAP courses were already discontinued in 1971 in all public technical schools except in Hermel where the low educational level of the students does not yet justify BP courses. 22. At the upper secondary level, the former 4-year course, leading to the diploma of "Baccalaureat Technique", was divided in 1967 into two parts of two years' duration, called BT1 3/ and BT2 4/. In 1971-72 there were 1/ CAP = Certificat d'Aptitudes Professionnelles (Grades 6-7) 2/ BP = Brevet Professionnel (Grades 8-9) 3/ BT1 - Baccalaureat Technique lere Partie (Grades 10-11) 4/ BT2 = Baccalaureat Technique 2 eme Partie (Grades 12-13) _  APPENDIX I Page 7 about 1,800 students in eleven schools, two-thirds of them at BT1 level. Almost 90% of the successful graduates from BT1 level continue their studies at BT2 level. In order to reduce the pressure on BT2 course, a new terminal 3-year course, called FPM 1/ was introduced in 1971 parallel to the BT1 course, to give academically less gifted students more practical training. It is expected that about 80% of the students will take the FPM course and only 20% will continue to BT2 courses. 23. Technical upper secondary schools are normally well equipped, but too little time is devoted to practical training. Therefore, the training programs do not adequately prepare the students for employment in industry and construction, where shortages of technical skills are most acute. Most students consider technical schools as another avenue of education in which they prefer to stay as long as possible. 24. The private technical secondary education, which is mainly com- mercial, is by large part not controlled by the government, although the institutions have to respect the official programs, and the students have to take the examinations organized by the Directorate of the Technical and Vocational Education in order to receive the official'diploma. The schools are not allowed to issue any certificates of their own. In 1971-72 there were 275 private technical schools with a total enrollment of over 16,000, but only about 800 students passed the government examinations. No information is available on the level and the length of the courses. 25. The Technical Secondary School of Agriculture at Fanar, under the Ministry of Agriculture, offers 3-year courses in Agronomy and Animal Husbandry. The annual intake is 30 students. Of the graduates, 70% work for or collaborate with the Ministry of Agriculture or the autonomous agricultural offices, 5% work in the agro-business, 15% work in the private sector and 10% continue their studies in universities abroad. 26. The Ministry of Agriculture operates also three Agricultural Vocational Schools, which offer practical courses of ten and a half months' duration. The total enrollment is about 120. Primary Teacher Training 27. Seven primary teacher training institutes offer a 3-year course on upper secondary level. In 1971 the enrollment was 3,200 and the output about 750. The teacher:pupil ratio was 1:18. Five of the institutions had rented inadequate facilities whilst two institutions were government owned and of acceptable quality. The rented low quality facilities will be replaced by three new institutions. The number of primary teacher training institutions would thus be five by end of about 1977 offering 3-year pre- service courses and 1-year upgrading courses for unqualified teachers. @ 1/ FPM - Formation Professionnelle de Maitrise (Grades 10-12)  APPENDIX I Page 8 28. The existing teacher training capacity is sufficient in terms of numbers but inadequate in quality for primary school teachers to teach in a reformed primary school program. For that reason the government intends to introduce new revised curricula in the teacher training institutes as soon as adequate facilities are available. The new curricula will be related to the reformed primary school curriculum and thus include foreign languages, more science and better instruction on teaching methods and the use of new media. The students in the 3-year course will have a common core of subjects during all three years, but will in grade three have an option to specialize for 40% of the time in general subjects, foreign languages or fine arts.. 29. In 1970 about 3,300 or about 40% of all primary school teachers were qualified. The total number of teachers needed in government schools by 1980 will be about 11,000, a net increase of about 6,800. 92% of the teachers would be qualified by 1980. Lower General Secondary Teacher Training 30. There was no special teacher training program organized for teachers in lower general secondary schools until 1971. In 1971 about 1,000 teachers in lower secondary schools were considered qualified; equivalent to about 25%. These teachers were also qualified for teaching at upper secondary level and did part of their teaching in upper secondary schools. 31. In 1971 the government in cooperation with UNDP/Unesco started a 3-year third level program for training of science teachers in the old facilities of the Faculty of Science of the Lebanese University. This program is expected to meet the demand for about 1,500 science teachers by 1980. Training of about 3,000 teachers for social science and languages is also needed over the same period and will start in provisional facilities during 1972. These teacher trainees will devote their first two years to professional study of subjects in which they later will teach. The third year will be devoted to pedagogy, methodology, psychology, audiovisual aids and other subjects related to practical teaching activities as well as applied teaching in lower secondary schools. The curricula for lower secondary teacher training will be designed to prepare the trainees for work in the reformed lower secondary schools. 32. By 1980 about 65% of the teachers in general subjects would be trained considering planned expansion of enrollments and teacher training programs. UpDer SecondarV Teacher Training 33. Teachers in upper secondary schools have a university degree and teacher training carried out in short courses by the universities. Less than 25% of the teachers in upper general secondary schools are estimated to have some kind of teacher training. The teacher training at this level  APPENDIX I Page 9 will be-in accordance with the government's overall strategy for reform of the secondary school system - expanded and organized in a national system related to the need of the school system. Technical Teacher Training 34. The Institut Pedagogique National de l'Education Technique (IPNET) was established in 1964 with the technical assistance from UNDP/Unesco. Unfortunately, the enrollment and the output of this insitute remained much less than foreseen in the Plan of Operation because of the complicated and slow procedure involved in recruiting students. Only 47 new technical teachers graduated from the two-year courses between 1965 and 1969, and 44 existing teachers participated in short-term in-service training courses. Finally the lack of students led to closing of IPNET in 1969. 35. In 1971 there were 186 full-time and 460 part-time teachers in the government technical schools. The part-time teachers were equivalent to about 180 full time. About 50% of the full-time teachers were adequately trained. IPMET will be reopened in 1972 in order to make an effort to meet additional need for teachers in the existing institutions and the institutions under construction. The total number of teachers needed when the schools under construction are in full operation by 1975 is estimated to be about 700. Higher Education 36. Beirut is the center for higher education in the Middle East. The number of students enrolled was 41,700 in 1971; 19,650 or 47% were Lebanese representing 8.6% of the age group 18-22 years. In addition about 6,000 Lebanese students were enrolled in universities abroad. The government caters for 11,688 students or about 28% of the enrollments in Lebanese institutions. About 28% of the students were enrolled in technical, science and science related faculties. 37. The Technical Institute and the Tourism Institute are both located in the former technical teacher training institute. The Technical Institute offers two-year courses at post-secondary level and has an enrollment of about 100 students in engineering. The first group of 20 Higher Technicians (Technicien Superieur) graduated in 1971 and had difficulties in finding suitable employment, as the government had not fixed their salaries as com- pared to the engineers' salaries. The Tourism Institute, which started in 1971 as an UNDP/ILO project, gives 2-3 year courses at upper secondary and post-secondary levels. It has about 100 students, but the enrollment is expected to reach 250. Seven private post-secondary technical schools have a total enrollment of about 500, mainly in Accountancy and Management. Non-Formal Education 38. Non-formal vocational training is the responsibility of the Ministry of Labor, which established a National Vocational Training Center  APPENDIX I Page 10 in 1961 with the technical assistance from UNDP/ILO and in cooperation with the Association of Lebanese Industrialists. Since 1964, the Center has been located in the workshops of the School of Arts and Trades. It has five sections: General Mechanics, Welding, General Electricity, Industrial Electricity and Watchmaking. The duration of training is 5 months except in watchmaking, which is one year. So far the Center has trained 1,117 workers; about 8% of them were employed workers and 92% unemployed youths, all of whom have been employed after training. The number of applications is about double the intake. A new vocational training center is planned to be established later at Cheka, about 20 kilometers south of Tripoli. There is also a plan to organize short-term upgrading courses in the exist- ing technical schools, but it is not yet clear how the responsibilities would be divided between the Ministries of Education and Labor. Radio and Television 39. Mass media are not used for educational purposes more than on an ad hoc basis. However, Lebanon has, with its well developed television infrastructure covering practically the whole country, possibilities to introduce the use of mass media in education at low cost. The government is therefore considering introducing mass media as a means of instruction and for introducing the new curricula at primary and lower secondary levels and for in-service training of teachers. However, no plans are available so far.  APPENDIX II Page 1 EDUCATION COSTS AND FINANCES General 1. Lebanon's total expenditure on education and training amounts to 7.4% of GDP (1971). Private resources account for 54% and public sources, - predominantly the Central Government, finance the rest of this outlay. The amount of external financing, except for private university education, is negligible. Private Finance 2. That 63% of all primary and 55% of all secondary students attend private religious and non-denominational schools indicates further the importance of privately sponsored education in Lebanon. Roman Catholic schools cater for 43% of all private school pupils; other denominations, mainly Moslem, cater for 18% and private profit-making interests cater for the remaining 39%. 3. All private schools charge tuition, which is their main source of recurrent financing. Capital financing, for the denominational schools, is derived from the denominations' own resources. 50% of the pupils attend- ing private primary schools, who cannot afford to pay the usual fees, pay lesser amounts and their schools receive an annual subsidy from the govern- ment that is currently fixed at LL90 per pupil. This grant covers about 40% of teachers' salaries. Most of these subsidized, private primary schools are owned and operated by the Roman Catholic Church and the others are owned and run by non-denominational interests. 4. The tuitions charged by private schools have increased rapidly since 1960. As a result, increasing numbers of parents have been forced to send their children to the less expensive, government subsidized, private primary schools, and enrollment in the latter grew from less than a quarter to one half of total private primary enrollments during 1960-1971. In- creases in tuition have also resulted in mounting demands being placed upon the government to expand its own provision of free, public education both at the primary and at the lower secondary levels. 5. Private school fees are high. They range from LE251 (US$81) p.a. to LI630 (US$203) for the primary grades (in non-aided schools), from LL362 (US$116) to LU825 (US$265) for the lower secondary and from LB551 (US$117) to L1000 (US$322) for the upper secondary level. In addition to these fees there are associated costs, borne by private households, of student transport, textbooks, schools meals, etcetera. Studies by both government and private education authorities clearly indicate that, with its present fee structure and enrollments, the private sector now covers at primary and secondary levels that segment of the population who can afford to pay the annual fees and associated costs of private schooling. For this reason, it is unlikely that private education could enroll in the  APPENDIX II Page 2 future greater proportions of Lebanon's primary and lower secondary age groups that it enrolls now. Public Finance 6. Over 80% of public expenditure on education and training consists of recurrent outlays made by the Ministry of Education. But the Ministry is not responsible for school construction which is undertaken by the Ministry of Public 1Works. Contributions made by municipalitles, for school building rental payments and for furniture and equipment, are relatively insignificant. 7. Government primary schools are free, but Government secondary schools charge a nominal, annual fee of LL31 (US$10). Pupils attending these schools pay for their own transport, textbooks and school supplies. Voca- tional and technical education, as well as primary teacher training, are provided free of charge by the Government, except that a small number of boarding students in technical schools pay nominal fees. The Lebanese University charges modest student fees, while over 75% of its recurrent budget and all of its capital program are financed by the Central Government. 8. To ensure that primary and lower secondary enrollment targets for the period 1972-1980 are met, in view of the private sector's limited capacity for expansion, the Government plans to cater for all of the expansion 0 involved at the primarv level and for 79% of targeted expansion at the lower secondary level. It plans, in addition, to absorb up to 11% of primary students enrolled in the private sector, many of whom attend low quality, Government subsidized schools. However, the Government also faces financial constraints on its capacity to expand enrollments. 9. The Government accommodates 85% of its primary and all of its lower secondary students in rented facilities, often at exhorbitant prices. Most of the rented facilities are too inadequate to per-mit teacher/pupil ratios greater than 1:18; hence, the average ratio is 1:23 for the public primary level as a whole and 1:18 for the lower secondary level. This factor, combined with in- creases in rents, in teachers' salaries (which represent over 70% of recurrent costs) and in administrative expenses, have driven up recurrent costs per pupil in public primary and lower secondary schools to a high level. Annual Recurrent Costs Per Pupil to Government 1968 1971 Rate of Growth p.a. LE US$ Ll US$ 1968 - 1971 Primary 230 73 331 102 11.8% Lower Secondary 312 99 439 136 11.0% 10. Recurrent outlays on primary and lower secondary education absorb over 50% and 20% respectively of the Ministry of Education's total expenditures.  APPENDIX II Page 3 Due to the high recurrent costs of primary and lower secondary schooling, together with enrollment growth and a sharp increase (14.6% p.a.) in the amount of subsidy per student paid to private primary schools, the Ministry of Education's total expenditures increased by 253% from 1962 to 1971 (Annex 7). This was considerably faster than the increase in Government enrollments at these two levels during the same period. Total expenditures by the Central Government as a whole rose by only 7.2% p.a. over the same period; as a re- sult, the percentage share of education outlays in total Central Government expenditures rose from 11% to 21% (Annex 7). 11. If public enrollments were allowed to expand to the levels targeted for 1980, and if the Ministry of Education were to continue accommodating its primary and lower secondary school pupils in rented facilities, 40% of the Government's recurrent budget would be needed in 1980 to meet the Ministry's recurrent expenditures (Annex 9). The Government will not be able to allocate this much of its recurrent budget to education. Even with additional resources acquired from improvements to the direct tax system, which have already been initiated, the Government would not have sufficient resources to finance either its planned expansions or the future development of public education at higher levels unless it could place its primary and lower secondary school- ing on a more economical basis than at present. _ "Plan de Regroupement" 12. The Government has based its planned expansion in public primary and lower secondary enrollments on a systematic rationalization of school plant ("Plan de Regroupement"). The "Plan" consists of constructing and equipping new schools of a larger, more economical size, which for the most part will replace rented facilities. The location of these new schools has been carefully planned so as to develop an economical configuration of school facilities throughout Lebanon. Four hundred new primary and 295 new lower secondary schools will be built under this program during 1972-1980, many of them in rural areas. They will provide 225,000 new primary school places, of which 65% will replace rented space, and 197,000 new lower secondary places all of which will replace rented facilities (Annex 8). 13. As a result of this program, the proportion of Government primary school students housed in rented facilities will be reduced from 85% to 40% by 1977 and to 25% by 1980. From 1977 onward, none of the Government's lower secondary school pupils will be accommodated in rented facilities. Further- more, the program will allow for school facilities to be centralized within the catchment areas, for teacher/pupil ratios to improve up to 1:35 in pri- mary and to 1:30 in lower secondary schools, for more efficient use to be made of teachers and for considerable savings to be realized in rents. Con- sequently, by 1980 the annual recurrent cost per pupil to Government will be substantially lower than the cost per pupil of catering for the same enrol- lments in rented facilities.  APPENDIX II Page 4 Annual Recurrent Costs Per Pupil to Government in 1980 (Lb) Primary Lower Secondary5 Costs as Result of "Plan de Regroupement" 387 409 /1 Costs of Catering for same Enrollment in Rented Facilities 616 742 /1 This unit cost is actually less than the overall cost of LE439 per lower secondary school pupil in 1971 for the following reason: although most lower secondary school pupils in 1971 attended primary and lower secondary schools, some of them (15%) attended secondary schools where the cost per pupil at the lower secondary level was LE614. About 76% of the difference between the costs of catering for these students in the new schools and in rented facilities represents savings in direct teacher costs and approximately 24% represents savings in rents. The new recurrent costs resulting from the "Plan", moreover, will allow for a higher calibre of teaching staff, increased allocations for didactic materials and supplies and for other qualitative improvements. Finally, as a result of the "Plan de Regroupement", by 1980 the Government will be able to save approximately LE144 million (US$46.3 million) per annum in recurrent outlays for primary and lower secondary education (Annex 9). 14. The proposed Bank project would assist the Government in the initial phase of implementing its "Plan de Regroupement". The project would include 39 new primary and 24 new lower secondary schools, comprising 14% and 7% of the new enrollment capacity to be built for these two levels respectively under the "Plan" by 1980. The project schools would be the first to be built under the "Plan" and would be located to serve as model schools for the programming, planning, construction and equipping of the other new schools in the rational- ization program. Furthermore, the proposed project would contribute to over- all savings to be realized under the "Plan". 15. The value of investing in the proposed project schools is clearly evident in terms of the possible return on this investment. For example, the difference between the costs (capital and recurrent) of catering for 24,240 primary school students in the 32 project primary schools that will replace rented facilities and in rented facilities represents the financial benefits that would result from the project (Annex 11). On this basis, the rate of financial return, over investment cost, to the Government on the proj- ect's 32 primary schools that would replace Government rented faciltiies would be 21.5% over a 15-year period (Annex 10).  APPENDIX II Page 5 Projected Public Expenditures (Annex 12) 16. Public sector expenditures on education and training are expected to grow from LE180 million in 1971 to about LE431 million i'n 1980. Outlays on education by the Central Government will increase from LU161 million to LU386 million over this period, i.e. at 10.2% p.a. in real terms. By 1980, recurrent expenditures on education by the Central Government are expected to absorb about 24% of current Government revenue and 26% of the total re- current outlays made by the Central Government. Whereas in the past, capital expenditures seldom amounted to more than 4% of the Central Government's an- nual expenditure on education, they will amount to over 10% per annum during the forecast period. Of the LU314.4 million in capital funds to be invested by 1980, LU276 million will be spent on the "Plan de Regroupement", mostly during 1972 through 1977, and the rest will finance new facilities for tech- nical and academic education at the upper secondary level. The total invest- ment in education will represent 21% of the Central Government's overall in- vestment program during 1972 through 1980. The percentage share of education in the total Central Government budget by 1980 will be 25%. 17. The preceeding forecast of expenditures on education is based on the following assumptions: (a) that the "Plan de Regroupement" will be carried out on schedule (b) that enrollment targets for primary and lower secondary education will be met and (c) that upper secondary enrollment in Government schools will not exceed 30,000 by 1980, given the need to plan carefully the reform and modernization of education at that level before providing for rapid expansion. 0   Educa.tion Prulote te-art.e. ANNU I CiMPARATIVE - EDUCATION INDLCATOIIS Pablic % of COP o~% f Total1 Se...ndary F Annea Cu-tou GOP/Capita; Lite..acy Educatio Devo..ted to Public Secondary Stadeuts I ilighet from Highe Population it facto i bate F.reodit-tn Edction Eediu.s. Prissay P'ctnuy oecon.duy Enrothesot pe Enrollment Education Y- ~ ~ ~ cotPer eCcait (hlin Devoted to E-c1i1on StudnsErlmn o Tuhr i o (Millions (Constant (% f (Machot E pondious -ducttu Ratio e Rato Vctoa.fl-im giutr 0. US $9 us) J.jtsseito.. _____ Cunpeetinedu...ticn dnne see onefu1 is the ADVANCE 9 I ,9 97 . 92 S6 27 meatoof v-n-o ed-ntitn nYten and SA-tiri I I . 9 44'6 1 1 24 ihe ntalytis of . rEasv nta5eo. dotoo O d 9 1. 2,A20P 91 265 C 7.2 10 6 C 99 26 51 TN 2 926 =culp.sou honceo v-riou.s. .onotee. DoR- Oeomy, Fedoe1 itpuhlit 68 160.8 E 2,315F 99 853.59 99 32 615 22 4 evr ntho hanin of tho preseat data, cone Jeen69 102.3 i,0 950C 3.0 20.5 99 20 90C 20 21 j 21 30 tatiunnl nonpacicoos Ehonid, ho .. ap ahad Netherand 65 12.9E 1i57 30F P 93 . J54 17. 23.3 99 31 64 I SC I 20 0C 20684A nihgetcuio. Otto presenid in nhe MN. Zeland 70 2.80 2,209 ... 90 C 4.6 1463 9 3) 71 I ... I 19 21 lt by thn tank nien B rmgvesso_ sucs Snoden 69 0.0 2841P 99 2Sf0D 7. 14.6 99 1 16 75 34 1i i0 lao the reide er stoU etln.ot-ot dote United Kingdom 69 55.5 1,831 1U 97 94 5.8 13.0 98 29 58 SC 10 16 19 .ro..n.c. Efd re ay been nod to U.S.A. 68 213.2Et 4,1000PF 9 229 C 4.0 13.1 97 26 ElD. 20 ..53 tu hc th e ccray of the date. Enter EUROPE theln1 suc...h doa t. - til IIIprf-c in 1. Greece 69 8.7 055F 020C 23 2.2 11.7 99 33 5 3 15 3i 122 9 e -eo np-ct and tho Bnnk is nurking 2. Irsiand 69 2.9 i.067FP 98 50 4.8 11.4 . 95 33 56 TC 21C 17 12 I3 13 in improve then progrensivey on tho 3. Spein 70 24.0 822 940 20 2.6 12.31 91 35 29 220 30 19 i uoeaof ice upeeetiuoel o-k. In Ste ne f these date, thu fullomig quolift- APREC c-titu ehauld he home. in d: 4. AleIe 70 15.1 I 266 25t 35 10.3 20.0 2142 22 20 6 6 5. Cuneoot70 5.9 153 6 3.0 20.0 714 40 23 25 4 7 1) nEduri ... i. un defin-d i.thn. 6.C. A. R. 70 1.5 124 .. 5 4.0 20.0 73XI 64 .4 x to 30 - teble tncde oil oduteti_n end itSni5, 7. Chad 70 3.6 90 735O 4.53R 14.53D 33 22 2 1 30 . .. . f-1ne end no-fnome; 8. nn1270 0.9 212 501 4 5.8 15.1 90X J 13 10 28 9. Ectnpl. 20 24.0 66 2 4.0F P 0. o 17 51 5 2 34 104 2) 'Primary edonat I seeto 12. Ouhuc 68 O.SF 297F JUO 10330 15.C33 '7 C 75 4Vt 11 18 iSEO edctiun an the first total end s7odc' 11 hn0 8.5 184 ... i 4.2 i.7 745 29 8 4 is is 1 edctiurfenn ohedcaio t the i2. Et-" Cc..et 60 14.9Et 2453P 9 A 10 4.'2C 20.4 44 48 j 8 23 " ecnay evlreadises of type lo. 17 Kcy 68 10.9 0 135FP 30 7 6.V 18.4 65 32 8 2 22 29 5 A general, teohnicei, agriculncrui); 1~~~~~~4. Lihecie 70 1.3 267 158 5.7 1.7 50 0 3 121 6 16 12 C9C 15. Mtuoc 70 15.5 216 20 9 4.19N 17.4 54 35 12 3 22 3 7A 3) 'V-ctionel odutetion (Ccl. tO) 1I. Nigecia 71 60.0 104FP . 3P 3.2 5. 34x 4 21 25 I6 inie.ldscntiin tei teohtial, co- 17. onni69 3.8 165F 10Ol 3. 20.1 42X 46 812205208A mercial, egoicuitnoel, ouca~tione1 ad 18.ti.te Loans 68 2.5Ef 160FP 7YVA 4 2.9 i9.5 C 32 30 13 27C 25 17 7C h=oms.-sonio corss 1.taie 71 2.8 49 0 5 1 . 6. 30 2 5 00 27 0 20. Oda 68 15.8G0 100F P4 . A A 5.3 22.0R0 31X 486A . 2 A 3 C 127A 23 3 11 C 4) aLi-eray coE'(Ccl. 3) oo 21. Tae a60 12.6 tUP 1 .0V 10.9 35 30 C 2 6C 2i 2 0 uenaily uhininod (con couuity coneuse.. In 22. EUda 70 9.5 123 23 A 6 3. N 4.360 4 toE5 0 l i 101 maycuties thyreoly a oiain 23. Zaire 70 18.0 04 13 8 5.7N 0 I09 8 464 020' 24 18 2 odit is donhtul that ecy taifors deti 14. lonhln 60 4.0U 262? 41 A 20 6.2 il.0 840 56 1 5 2222 sIatoIy; C, AR50ICA AND CARIBBEAN1 23. RuiiceSpbhlic 68 410E 274F1 53 60 2.9FP 17.0 s0 56 j 17 1 26 1016C 5) tPbl.~f npendinnoc iood-ctioou 26. El Soload- 69 3.4 261FP 49 TA tO BV 3.0 I 25.4 CO 63 C 31 ~ 13 32E0 . .. 15 C 7 (C.,_e 4 oaf 6) refore to all cepinel sod 27. Guntent1.6 5.0B 345F 38 TA 6 2.35I 17.6 42 38 6 22 26 18 6 ocuren t...ince devotd to edon..tion 28. Jemica 69 1.9 555F 86 24 4.4 19.1 060 52 43 9 A 19 . . l by bhiic and .q _st-vhinonnin; 29. Htnino 70 40.4 605 74 i8 2.6 17.14 71 46 19 23 C 25 26 i2 3U.Nliloerag 69 1.9 3t9F P 55 2.4 i9.0 80 36 12 0 23 28C 15 63 "onroilme.n ration0 (Cuban 7 audi9) 31. Trinidad aud Toao71 1.0 836 P 90 40 3.1 i8.9 95 35 49 LI 25 i9 4 refe to school Yer uud -ea the p-r -gnou of eligible ohildoe- -aolld toll-tino ic ISPEH AMERICA the app-poic- hto,1 pulic an private 32. Beaui 69 92.2 272FP 635D ] 10 3.2 14.0 64 31 16 12 ... SC 2C by los.Te t fe uj_t toa .id 33. Chite 69 9.6 48 P 9 302 5.4900 9A 35 31 3 8C4 tarin of error in the develpin coatois 34. CoOnbia 68 20.3 E 206FP 73A 12 4.0 13.6BN 70 40 21 22 C i3 29C 31 oIng tuvrannsin th cnrc f besic 35. nud-r 68 5.9 E 238FP 608A a0V 3.2 '7 2i.5 C 71 36 18 29D 1 3A 29 C 2C doo(.e u-np-ifio purulation cod 36. Guyan 68 0.7E 327F P 3a i X. 44 0 35A 18C 3 C 28 ecrohoets). Eucu1lont figurEs foeque..tiy 37. Porony 0 2.4 232 79 5 2.2 6.3 890 26 187XR 5 15 2 1A too highe, than the v-bh- of stud-e 38. te....-Io 70 il.6 986 Si 45 4.9 12.0 80 33 35 32 12 iS 5 ectneliy in ochuol. Ovtetgedetudenta abase inclusio thinidicsted hy fontuetonoln..ce. ASIA inloeth time. 39.. Ohlon. (Tainen) 21 14.6 310FP 73 15 4.2 19.0 98FP 52FP 50r P16Fp 35 P 27F P2 40.India 71~ 547.1 105F 2 9 31 _M2.6 Ai .... 79 I 43 A 28XI 6 AT 20 AT 11 AT 52 AY 41. 1ed...sia 70 i24.2G0 112 63 A 2 ... 16.0 71X I 40 13X 21 lit 15 C 42. Iran ~~~ ~~~~~71 29. 33 P 37 i 3.1 10.0 63 33 233 34 23 41P 43. Iraq 70 94 301 26 i9 6.1 16.3 64. 22 25 3 26 17 80 44. joran70 2.2 267 95 A 12 4.4 9.8aQ 90 40 54 0 3 25 1 06 45. Korc 70 31.5 219 03 I 3.8 18.4 107 0 57 42X0 19 38 37 114E 46. L.hso 71 2.6F p 51FP 86FP 21FP 3.3FP 18.0 79 23u0 34 26 18 4 120 47. Meins1 a70 11.8 3460 89Bi 17 4.7 16.5 0 89X 31S 29X 3 25 lb 74 48. Puliti 68 58.0 lOP . ..F. ... 45X 35 15 ..38 49. Pbil ippines 71 59.0 197 72 6 3. 29.0 93 30 62 836 5 50. Si.gpoo7U 2.i 843 7 31 3.4 16.01 92 302 4016 29 1858 51. Thsailod 7i 37.6 163 70 .8V1 4.1 V 17.1 901 IA4 131 13 25 15 37 52. Tukhe 69 34.5 340F 4AOA 9 3.5 17.1 92X 42 25X 14 23 26 41 SUMM8ARY PFM 00VE1DPtN COINURIEC Nober of c-utin- 46 Ii 69 43 52 52 32 Si4_ 4 Reogs ( - 98) (1 - 38) (i.4 - 6.3) ~6.3 - 29.0) (6 - 107) (22- 72) (2 -54) (I . 32) (13 - 38) (i - 38) (O - 4577 Q-utilen: Oppor 8i 15 4.7 20 89 46 29 22 30 22 46 Median 53 10 3.8 18.0 74 37 iS 21 25 15 13 __________________________________________ ~~~~~~~~ ~ ~ ~~~~Lone 25 . 6 3.2 14.3 50 32 a ...5 ,,,, 20 107 tybhelo: .... Data nailehie Notes: A 1s1965 u- before NN a noe..pi....ueo Ceitame (2) and (21 Worl Tehies (110D) Pr-- - igitode oil no uegli5ihle a 966 5=G.D.P. vsee ius Otaguind less tbea hif of unit -eploped C = 96 P Intindig forign aid Colt-s (3)-(9) ead (11) 11m missions ? otiunhl 2D 968 3-Centra Eovorn only Ca1nst 180-fill sod (13): 112SCO Statttiro! enhc P l1870 V - Icldin"a priveeepodlnr G 19 71 l.Incidiog -neregd1ZnSnt May 31, 17927   ANNEX 2 LEBANON ENROLLMENT, TEACHERS AND INSTITUTIONS BY LEVEL AND TYPE OF EDUCATION 1970/71 Enrollments % of Teachers Teacher Level and Type % Distri- % Relevant Equiv. Pupil Insti- of Education Total bution Female Age Group Output Full-time Ratio tutions PRIMARY Government 192,518 37.4 8,356 1:23 1,258 6/ Government-Aided 158,455 30.8 4,402 1:35 ) 1,002 Private 163,729 31.8 4,563 1:35 ) Sub-Total 514,702 100.0 45.5 109.5 1/ 60,821 17,321 - 2,260 SECONDARY (i) Lower General (G) 65,150 50.6 9,538 3,704 1:18 540 General (P) 58,487 45.5 12,120 1,720 1:34 481 Technical (G) 844 0.7 330 100 2/ 1:8 10 5/ Technical (P) 4,100 2/ 3.2 1,500 4/ Sub-Total 128,581 100.0 42.5 3/ 49.9 23,488 (ii) Upper General (G) 10,533 19.8 1,925 702 1:15 540 General (P) 25,655 48.1 5,331 1,280 1:20 481 Primary Teacher Training 3,278 6.1 733 182 1:18 Technical (G) 1,537 2.9 607 200 2/ 1:8 8 5/ Technical (P) 12,300 2/ 23.1 4,100 4/ Sub-Total 53,303 100.0 31.0 3/ 31.9 12,696 HIGHER Lebanese students: Government 9,733 49.6 642 362 1:27 1 Private 9,912 50.4 1,242 10 Sub-Total 19,645 100.0 24.1 8.6 1,884 11 Foreign students 22,184 TOTAL 738,415 98,889 1/ Of which 31% over-aged, 2/ Estimated distribution between levels. 3/ Estimate based on distribution in general education. 4/ Estimated outout. 5/ Most schools have both lower and unoer level students. -6/ 1,076 schools are rented. 488 schools have both orimary and lower secondary students. 0   LEBANON SUPPLY AND DYE-4AND OF PRIMARY SCHOOL TEACHERS IN GOVERNMENT SCHOOLS Teacher/ Teachers Output from Wastage Pupil Unqual- Primary Teacher (about % Year Enrollments Ratio Qualified ified Total Training 2.5%) Qualified 1970/71 192,518 1:23 3,345 5,011 8,356 733 78 40 1971/72 4, 000 750 100 1972/73 4,650 800 120 1973/74 5,330 900 140 1974/75 6,090 2/ 1,000 1/ 150 1975/76 6,940 2/ 1,000 1/ 160 1976/77 7,780 2/ 1,000 1/ 190 1977/78 300,000 1:28 8,590 2/ 10,676 1sooo 1/ 210 1978/79 9,380 2/ 1,000 1/ 240 1979/80 340,000 1:32 10,140 2/ 86o 11,000 92 1/ About 600 pre-service graduates and about 400 upgraded unqualified teachers. 2/ -About 400 in upgrading training who have to be replaced during the year by unqualified teachers.  LEBANON SUPPLY AND DEMAND OF LOWER SECONDARY SCHOOL TEACHERS IN GOVERNMENT SCHOOLS Teachers Output Teachers Needed 7% Qualified Teachers Teacher/ Qualified Unqualified Total Social Social Social Enroll- Pupil Equiv. Equiv. Equiv. Science Science & Other Science & Science & Total Year ments Ratio Full-Time Full-Time Full-Time Teachers Languages Subiects Science Languages Science Languages Staff 1/ 1/ 1970/71 65,150 1:18 1,000 2,704 3,704 27 1971/72 1972/73 - 1973/74 - 200 1974/75 300 360 1975/76 300 360 1976/77 300 360 1977/78 150,000 300 360 1978/79 300 360 3/ 1979/80 197,000 1:30 4,300 1,700 6,600 1,700 1,800 2/ 1,550 3,000 100 60 65 1/ Es.timated distribution. 2/ Teacher training will be arranged in short courses during summertime for graduates from technical schools in accordance with demand. / Not including teacher training programs under 2/ above. , * #~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~4 *0~ . ..0  L E B A N O N Expenditures on Education and Training, 1971 (In LL Thousands) Percentage Distribution Private (Estimated) Public Total Expenditures Distribution Level and Type Recurrent Capital TotalAl Recurrent Capital Total Amount Z % Private % Public Primary 90,000 90,000 63,723 1,000 64,723 154,723 100.0 58.2 41.8 Secondary 61,100 2,900 64,000 40,337 2,000 42,337 106,337 100.0 61.1 39.8 of which: Lower secondary 38,000 38,000 29,686 2,000 31,686 2,900 (2,900) Upper secondary 23,100 J 23,100 10,65L-/ 10,651 Primary Teacher Training 8,019 8,019 8,019 100.0 100.0 Technical Teacher Training 438 438 438 100.0 100.0 Vocational and Technical 24,600 24,600 16,421 3,925 20,346 44,946 100.0 54.8 45.2 Other Programs 16,3431/ 16,343 16,343 100.0 100.0 Higher Education 29,000 29,000-' 19,014 8,385 27,399.f/ 56,399 100.0 51.5 48.5 Totals 204,700 2,900 207,600 164,295 15,310 179,605 387,205 100.0 53.7 46.3 % of GDP 4.0% 3.47% 7.4Z Source: Ministry of Education, Ministry of Planning, la Commission Episcopale pour L'Ecole Catholique Au Liban, la Secretariat Des Instituts Religioux Libanais Pour les Affaires Sociales, the Makassed Moslem Association a/ Excludes subsidies and other transfers from the public sector bI/ Includes physical education programs c/ Includes commercial d/ Includes subsidies and other transfers to the private sector e/ l'Unive-site Arabe only f/ l'Universite Libanaise  L E B A N O N Government Annual Recurrent Costs Per Pupil Growth 1968 . 1969 1970 1971 Rate p.a. LL US$ LL Us$ LL US$ Lu 2US$ 1968-1971 1. Primary 230 73 253 80 310 96 331 102 11.8% of which: Teacher Cost 175 56 185 59 227 73 236 76 10.7% Rents 10 3 12 4 15 5 19 7 26.0% Other 45 14 56 17 68 18 76 19 11.0% 2. Lower Secondary 312 99 395 125 417 129 439a 136 1t.0% 3. Upper Secondary 700 222 750 237 797 246 881 283 8.5% 14. Primar-y Teacher Traininm 1,900 619 2,229 705 2,330 721 2,446 778 8.3% Technical Education 2,000 634 2,322 735 2,420 749 2,565 825 9.0% Source: Ministries of Education and Planning a/ Cost per lower secondary level pupil in 1971 was II 409 ($126) in primary and lower secondary schools and LL 614 ($190) in secondary schools. Aoril 27, 1972 18 * * -~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~'  .~~~ L E B A N O N PUBLIC EXPENDITURES ON EDUCATION AND TRAINING 1962-1971 (In LL Millions) Growth Rates P.A. 1962 196, 1968 1971 1962-1971 Recurrent Capital Total Recurrent Capital Total Recurrent Capital Total Recurrent Capital Total Total Expenditures 1. Ministry of Education Expenditures 42.2 42.2 78.7 78.7 88.0 88.0 149.2 149.7 15.1 % of which: Public Primary 5 41.R 41.8 63.7 63.7 Lower Secondary 30.4 30.4 ' 7 '7 1.t 15.6 29.7 29.7 2. Total Central Government Expenditures on Education 44.4 2.0 46.4 82.0 7.3 89.3 92.2 4.2 96.4 154.2 6.9 161.1 14.9 % 3. Total Central Government Expenditures 295.0 120.3 415.3 403.2 123.0 526.2 472.5 131.0 603.5 642.0 132.0 774.0 7.2 % % Spent on Education (02) 15.0 1.6 11.1 20.0 5.9 16.9 19.5 3.2 15.9 24.0 5.2 20,8 4. Total Public Sector Expenditures on Education 48.2 2.0 50.2 88.0 7.3 95.3 100.5 4.2 104.7 164.3 15.3 179.6 15.3 Z As 7 of GDP N.A. 2.7 2.4 3.4 Source: Ministries of Education, Planning, Finance  L E B A N O N GOVERNMENT'S RATIONALIZATION AND EXPANSION PROGRAM ("PLAN LE REGROUPEMENT")AT PRIMARY AND LOWER SECONDARY LEVELS A. PRIMARY LEVEL B. LOWER SECONDARY LEVEL Composition of School Composition of School Accomaodation Construction Program Accommodation Construction Program Student Places Teacher/ Replacement of Expan- Total Cost" Student Places Teacher/ Replacement of Expan- Total Cost* No. 7 Pupil Ratio Rented Facilities sion New Places (Lb Millions) No. % Pupil Ratio Rented Facilities sion New Places (LL Millions) 1971 Accommodation Rented Facilities 163,640 85.0 1:22 65,150 100.0 1:18 Owned Facilities 28J878 15.0 1:32 Total 192,518 100.0 1:23 6S.150 100.0 1:18 1972-1980 Construction 77,518 147,482 225,000 135.0 65,150 131,850 197,000 141.0 1980 Accommodation Rented Facilities 86,122 25.3 1:25 Owned Facilities 28,878 1:32 New Schools, Replacement 77,518 1:35 65,150 1:30 New Schools, Expansion 147,482 1:35 131,850 1:30 Sub-total, Owned fa.-ilities 253 878 74-7 1:35 197,000 100.0 1:30 Total 340,000 100.0 1:32 197,000 100.0 1:30 * Construction only r * r~~~~~~~~~~~~~~~~~~~~~~~  LEBANON Comparison of Recurrent Cost Implications of Education Development Plan, 1980 (In L,E Millions except as noted) Development Plan Enrollment Expansion to Expendi- Enrollment Targets:Expenditure Plan Enrollment Targets:Expenditure ture With Rationalization ("Plan de Regw upement") Without Rationalization ("Plan de Regroupement") 1971 Enroll- Teacher/Pupil Unit Cost Total Enroll- Teacher/Pupil Unit Cost Total mest Ratio to Gov't Cost ment Ratio to Gov't Cost A. Primary Level (LIi) (LE) 78.1 505,000 ' 153.3 505,000 231.3 Public 63.7 340,000 1:32 387 131.5 340,000 1:20 616 209.5 Private Aided 14.4 165,000 132 21.8 165,000 132 21.8 B. Lower Secondary Level 29.7 197,000 1:30 409 80.5 197,000 1:18 742 146.2 C. Total Expenditure "A" and "B" 107.8 233.8 377.5 D. Total Ministry of Education Recurrent Expenditure 149.2 344.4 539.0 E. Total Central Government Recurrent Expenditure 642.0 1,354.0 1,354.0 F. "D" as % of "E" 23.2 25.4 40.0 G. Central Government Current Revehue 697.0 1,450.0 1,450.0 H. GDP 5,207.0 9,572.0 9,572.0  L E B A N a N PROJECTED COSTS AND BENEFITS OF THE PRIMARY SCHOOI. CCIPONENT IN PROPOSED BANK PROJECT (In Thousands of LI) A. Cost to the Government with Proposel Proiect S hools B. Cost to the Government of Catering for Same C. Net Year Total Total Enrollment wit out proiect schools * -t Number Number Number Investment Direct Cost Number Number Number Direct Total of of of of Expen- Teacher Total of of of Teacher Recurrent Benefits Students Schools Teachers ditures Costs Cost Students Schools Teachers Costs Costs Benefits 0 973.0 973.0 -973.0 1 5,308.3 5,308.3 -5,308.3 2 5,040 12 144 12,911.3 967.4 1,290.2 14,201.5 5,040 21 219 1,471.2 2,036.2 -12,165.3 3 24,240 32 693 4,958.4 6,617.5 6,617.5 24,240 102 1,065 7,620.1 10,423.2 + 3,805.7 4 24,240 32 693 5,272.2 7,029.6 7,029.6 24,240 102 1,065 8,094.0 10,665.6 + 3,636.0 5 24,240 32 693 5,617.7 7,490.2 7,490.2 24,240 102 1,065 8,637.2 11,974.6 + 4,484.4 6 24,240 32 693 5,981.3 7,975.0 7,975.0 24,240 102 1,065 9,204.0 12,974.5 + 4,999.5 7 24,240 32 693 6,363.0 8,484.0 8,484.0 24,240 102 1,065 9,308.2 12,919.9 + 4,435.9 8 24,240 32 693 6,781.1 9,041.5 9,041.5 24,240 102 1,065 10,439.1 13,938.0 + 4,896.5 9 24,240 32 693 7,217.5 9,623.3 9,623.3 24,240 102 1,065 11,118.6 14,835.0 + 5,211.7 10 24,240 32 693 7,708.4 10,277.8 10,277.8 24,240 102 1,065 11,840.7 15,780.2 + 5,502.4 11 24,240 32 693 8,199.2 10,932.2 10,932.2 24,240 102 1,065 12,610.7 16,798.3 + 5,866.1 12 24,240 32 693 8,764.0 11,635.2 11,635.2 24,240 102 1,065 13,429.7 17,937.6 + 6,302.4 13 24,240 32 693 9,308.2 12,410.9 12,410.9 24,240 102 1,065 14,303.0 19,676.9 + 7,266.0 14 24,240 32 693 9,908.1 13,210.8 13,210.8 24,240 102 1,065 15,232.7 20-289.0 + 7,078.2 15 24,240 32 693 10,544.4 14,059.2 14,059.2 24,240 102 1,065 16,223.1 21,622.1 + 7,562.9 * is in Government rented facilities. The rate of return over cost for a fifteen year period is 21.5%. 0*  *~~~ * I L E B A N 0 N Projected Costs and Benefits of the Lower Secondary School Component in Proposed Bank Project (In Thousands of LI) B. Cost to the Government of catering for same A. Cost to the Government with Proposed Project Schools enrollment ijithout project schools * I ~~~Total _ _ _ _ _ _ _ _ _ _ _ I InvestmentI Direct Total Direct Total C. Net No. of No. of No. of Expendit-l Teacher Recurrent Total No. of No. of No. of Teacher Recurrent Stream of Students Schools Teachers ures Costs Cost Cost Students Schools Teachers Costs Costs benefits 0 500.1 - 500.1 1 2,505.0 -2,505.0 2 6,695.7 -6,o95.7 3 5,440 14 181 5,055.0 1,375.0 1,833.3 6,888.3 5,440 14 302 2,394.9 3,193.3 -3,695.0 4 14,400 24 480 3,844.8 5,126.4 5,126.4 14,400 24 800 6,717.6 8,956.8 +3,830.4 5 14,400 24 480 4,104.0 5,472.0 5,472.0 14,400 24 800 7,020.0 9,360.0- +3,888.0 6 14,400 24 480 4,341.6 5,817.6 5,817.6 14,400 24 800 7,272.0 9,648.0, +3,830.0 7 l4,400 24 480 4,417.2 5,889.6 5,889.6 14,400 1 24 800 8,013.6 10,684.8 +4,795.2 8 14,400 24 480 I 4,968.0 1 6,624.0 6,624.0 14,400 24 800 8,488.8 11,318.4 +4,694.4 9 14,400 24 480 5,313.6 7,084.8 7,084.8 14,400 24 800 8,996.4 11,995.2 +4,910.4 10 14,400 24 480 5,680.8 7,574.4 7,574.4 14,400 24 800 9,536.4 12,715.2 +5,140.8 11 14,400 24 i 480 6,015.6 8,020.8 8,020.8 14,400 24 800 10,108.8 13,478.4 +5,457.6 12 14,400 24 i 480 6,372.0 8,496.0 8,496.0 14,400 l 24 800 10,724.4 14,299.2 +5,803.2 13 14,400 24 480 j 6,816.5 9,115.2 9,115.2 14,400 24 800 11,364.4 15,148.8 +6,033.6 14 14,400 24 480 7,225.4 9,662.4 9,662.4 14,400 24 800 12,077.6 16,056.0 +6,393.6 15 14,400 24 480 7,659.4 10,324.8 110,324.8 14,400 l 24 800 12,906.4 17,020.8 +6,696.0 * i.e. in Government rented primary, lower secondary and secondary schools The rate of return over cost for a fifteen year period is 24.2 %, "ear L~~~~~~~~~~~~~~~~1H~~~F  L E B A N O N Pro,jection of Public EMenditures on Education and Training (In Millions of LU) Capital Expenditures: 1977 Expenditures: 1980 Ex enditures Recurrent Capital Total Recurrent Capital Total 1972-1980 1. Ministry of Education 2 2 4 3 Primary 109. 109. 131. 131. Lower Secondary 5D.6 50.6 80.5 8o.5 Upper Secondary 33.4 33.4 42.3 42.3 Primary Teacher Training 10.5 10.5 12.1 12.1 Technical Education 24.0 24.0 39.8 39.8 Secondary Teacher Training 10.0 10.0 11.8 11.8 Technical Teacher Training 1.5 1$5 1.8 1.8 Other Programs 19.9 19.9 24.6 24.6 2. Central Government Expenditure on Education 314.4 268.1 48.0 316.1 356.1 30.0 386.1 3. Central Government Current Revenue 1.157.0 12450.0 Expenditure Education (#2) as % of Revenue 23.1 24.5 4. Total Central Government Expenditures 115l0 1,046.0 223.3 1,269. 1,354.0 200.0 0 Expenditures on Education (#2) as % of Total Expen- ditures 20.7 25.6 21.4 24.9 26.2 15.0 24.8 5. Total Public Expenditures on Education 334.4 306.0 52.0 358.o 402.3 30.0 431.3 6. GDP 7,814.0 9,572.o Expenditures on Education (#5) as % of GDP 4.5 4.5 April t972 * * '-~~~~~~~~~~~~~~~~~~~~I  ANNEX 13 LEBANON ESTIMATED PROJECT COSTS BY VARIOUS TYPES OF EXPENDITURES Lebanese Pounds (000's) U.S. Dollars (OOO's) % of Local Foreign Total Local Foreign Total Total 1. Construction (a) Site-works 1,844 1,770 3,614 569 1,162 9% lb) Buildings 15,389 8,714 24,103 4,949 2 801 7,750 62% (c) Professional Services 1,953 - 1,953 628 - 628 5% Sub-Total 19,1A6_ 10,484 29,670 6_ 6170 3,370 9,540 2. Furniture 3,552 N.A._ 3,552 1,142 N.A. 1,142 9% 3. Equipment 501 4,966 5,467 - 1,758 1,758 14% 4. Technical Assistance 62 249 311 20 80 100 1% Sub-Total 23,301 15,699 39,000 7,332 5,208 12,540 100% 5. Contingencies 6,070 4,286 10,356 1,952 1,378 3,330 26.5% Total 29,371 19,985 49,356 9,284 6,586 15,870  LEBAWN UNIT CAPITAL COSTS AND EFFICIENCY OF NEW PROJECT INSTITUTIONS (in U.S. DDllars) Gross Area Building Construction Furniture &quipaent Teacher- Type of School per Rupil Construction Cost per Cost per Cost per Totals Pupil Use ________ M') Cost (M ) Pupil Pupil Pupil Ratio Factor Primary 3.0 57.00 171.15 18.40 17.00 206.55 35 70 Lawer Secondary 3.6 57.70 207.90 31.70 73.60 313.20 30 75 Primary Teacher Training Institutes 4.4 61.4o 270.85 45.oo 44.90 360.75 22 75 1/ Exclusive of professional fees and contingencies. >I Hi  LEBANON CONTINGENCY ALLOWANCES (in US$'s @ L.L.3.11 = 1.00) Profes- Site Building sional Technical Development Construction Furniture Equipment Services Assistance Totals Local Foreign Local Foreign Local Foreign Local Foreign Local Local Foreign ($000) a. Physical Contingencies (Unforeseeable) 107. 107 107, 107 N.A. N.A. N.A. 5% 107% N.A. N.A. b. Price Increase (escalation) 19% 12% 19% 20.8% 12.5% N.A. 16.3% 19.1% 17.8% 8.3% 6% c. Total Contingencies (In percentage) 29% 22% 29% 30.8% 12.5% N.A. 16.3% 19.1% 27.8% 8.3% 6% Total Cost of Project (before contingencies) 593.0 569.0 4,948.0 2,802.0 1,142.0 N.A. 161.0 1,597.0 628.0 20.0 80.0 12,540.0 a. Physical 59.3 56.9 494.8 280.2 N.A. N.A. N.A. 79.9 62.8 N.A. N.A. 1,033.9 b. Price Increase 112.7 68.3 940.1 582.8 142.8 N.A. 26.2 305.0 111.8 1.7 4.8 2,296.2 c. Total Contingencies 172.0 125.2 1,434.9 863.0 142.8 N.A. 26.2 384.9 174.6 1.7 4.8 3,330.1 Currently Estimated Cost Plus Contingencies 765.0 694.2 6,382.9 3,665.0 1,284.8 N.A. 187.2 1,981.9 802.6 21.7 84.8 15,s7O.l  LEBANON EDUCATION PROJECT IMPLEMENTATION SCHEDULE DATE OF LOAN- _ CLOSING DATE OF LOAN--- YEAR FIRST SECOND THIRD FOURTH FIFTH QUARTER 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 PRIMARY SCHOOLS *** ### +++ += =// / " K H H. !H 1 (240 puipils) oo 000 vVV ww xx PRIMARY SCHOOLS *** ### +++ += =/ // '': ::::: .! !!! ! (480 pupils) 0 000 ovv vww XXX xxx PRIMARY SCHOOLS *** IH# +++ += = /// : :: :: : : :: :: : .: ! ! ! ! (960 pupils) ooo 000 vv vww XXX XXX Xxx LOWER SECONDARY SCHOOLS .. ### +++ ++ + =l/ /'' :: ::: ::: : H H! . .. . . (320 pupils) 0 000 oVV vww w x x LOWER SECONDARY SCHOOLS *** ### +4+ +++ = = I' " : :: (560 pupils) o 000 000 v VVw ww xxx xxx XXX LOWER SECONDARY SCHOOLS *** ### +++ +.+ === === I/f . : ::: ::: ::: ::: !!! !!! !!! !!! (1,120 pupils) 0 000 00 VVv www xxx xxx XXX PRIMARY TEACHER TRAINING *** . === === =// /"I ':: ::: ::: ::: ... ... :!! !! SCHOOL 0 000 00 vvw ww x xx LOWER SECONDARY TEACHER ** ### +++ -H+-- ==/ f/f - .., ... ... H! H! H l TRAINING SCHOOL 0 000 00 ww www xx x TECHNICAL ASSISTANCE CONSTRUCTION RELATED SCHEDULE: FURNITURE AND EQUIPMENT: * Acquisition and survey of construction sites o Preparation of furniture and equipment procurement lists # Selection and appointment of architects v Preparation and submission of bids for supply of furniture + Preliminary architectural planning and equipment (including final programming) w Review of bids and award of contracts for supply of furniture Preparation of bidding documents for construction and equipment / Preparation and submission of bids for construction x Delivery and installation of furniture and equipment Review of bids and award of construction contract # Technical assistance m Construction (including site-works and utilities) x Construction defects guarantee period * * 0  ANNEX 17 LEBANON - ESTIMATED SCHEDULE OF DISBURSEMENTS (US$ millions) 1/ Accumulated Undisbursed Quarter Disbursements Dhsbursements Balance 1 - - _ 2 - - 6.60 3 0.03 0.03 6.57 4 0.03 o.o6 6.54 5 0.02 0.08 6.52 6 0.02 0.10 6.50 7 0.30 0.o4 6.20 8 0.35 0.75 5.85 9 0.73 1.488 5.12 10 1.15 2.63 3.97 11 0.63 3.46 3.34 12 0.90 4.16 2.44 13 0.71 4.87 1.73 14 0.59 5.46 1.14 15 0.44 5.90 0.70 16 0.23 \6.13 0-.47 17 0.20 6.33 0.27 18 0.15 6.48 0.12 19 0.12 6.60 o.oo g/ Starting from date of Loan Agreement   * LEBANON STRUCTURE OF THE EDUCATION AND TRAINING SYSTEM 1971/72 -..-PRE-SCHOOL-_l- <-W- PRIMARY - SECONDARY N HIGHER E - LOWER LOW UPPER ----W PRIMARY TEACHER LOWER SECONDARY TRAINING ~~~TEACHER TRAINING GENERAL GENERA UNIVERSITY CERiTIf ICAIL TECHNICAL 0 BffRL V L I TECH.TEACHER * t3ACCALAUHt AT VOCATIONAL TRAINING * [JIPLO,)M,A * DECRLE iA L PS PHI SCHOOL .,RADES P PREPARATUfiy YE AR iCULIURAL LABOR MARKET AGE 3 4 5 6 7 8 9 10 II 12 13 14 15 16 17 18 19 20 21 22 - ~~~~~~~~~~~~~~~~~~~~I I I I I I I GRADE 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 NO(1T1 Age gl.ie W eldto ,i.Ii Ileal not foes ess,Ilv -o s' World B.nk-6757   LEBANON ENROLLMENT PYRAMID 1970-1971 AGE- EDUCATIONAL GROUP LEVEL/GRADE GOP %OF TOTAL TOTAL POPULA- RECEDANT THIRD LEVEL MALE FEMALE TION AGE GROUP IB 1000 4 -6 300 T 37 , 5 2 % 17 1.600 6% 75S 3,0 T 3 7 9 l l7 =637%% .73173D3.1 16 260006% 3 700 229.300 8.6% T5 2 900 602110 1,200) T *7_;5% 5 6,800 25, 44Y .200 SECOND LEVEL uPPER 7.23% 1 2 a0OU4007 1S T ~~~~~~90 24003 1 1 1~~~ 2.950 15 6% 6.300 162 00319% SECOND LEVEL LOISLO 9 13600 3 56% 9.400 1. SW 4~~~~~~~~~~~~~~~~9 %5%108 oboE 10.800~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~27.0 99 21500 j 0 3 / ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~'14.000 4 ~~~~~~~~~~~~~~~~~~~~~~20.000 61 2 5% 45 33,500 ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~27.400 470.000 o005% 64300~~~~~~~~~~~~~~~~~~~~~~~~. ....4.0 42 300 BOYS ~~~~~~~~~~~~~~GIRLS GOVERNMENT /A PRIVATE V22.200 FOREIGN STUDENTS ENROLLED IN HIGHER EDUCATION INSTITUTIONS NOT INC LUDED IN THE PYRAMID 1Of whi,ch 31% averaged   ENROLL~E INPI~FMA ANON SCjAF~?YVSUCA7TION ~~~ ~~ GROUp -Jo8 I / 78504 0~~~~~~~~~~ps\ 1 6 9% OFz 400~~~~~~~~~~~~~~~~~;wT 1 5 70 4GE 208 LGIOIER@"NM IsI 1917i 1 9701976 ~~~~~~~~194- d G' nk_d 8an   IBRD-3938 . .. ,ET0Rl<i:Y ._>r 35