ACE II Project Procurement Arrangement and Implementation Addis

ACE II Project: Procurement Arrangement and Implementation Addis Ababa, Ethiopia 27 April 2017

1. Procurement Arrangement Ø Component 1 – Strengthening ACEs in Regional Priority Areas ($140 m): Ø Eligible Expenditure Programs (EEPs): Defined in PAD and Financing Agreements Ø Disbursement Linked Indicators (DLIs): Defined in PAD and Financing Agreements Ø DLI # 4 – Timely and Audited Procurement 2

1. Procurement Arrangement Ø Component 2 – Capacity Building Support ($3 m) & Component 3 – Facilitation, Coordination and Admin of Project Implementation ($5 m): Ø Activities managed by IUCEA Ø Bank Guidelines apply to all transactions Ø Procurement Plan annual updating Ø Prior and post reviews 3

2. How to implement DLI # 4? Ø Objectives (secondary to PDOs): Ø To support ACEs programs Ø To support ACEs to become a role model (in better governance) Ø Define procurement functions of ACEs within the hosting institutions Ø Questions: Level of autonomy? How to achieve higher efficiency and better governance? . . 4

2. How to implement DLI # 4? Ø Possible options of implementing DLI # 4: Ø At the hosting institution level: auditing and progress reporting. Is this feasible? Ø At the ACEs level: audit by whom and how? progress reporting form? Ø Capacity building assistance by IUCEA? 5