## _cr09240 ## Source details **Canonical URL:** [_cr09240](https://www.imf.org/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2009/_cr09240.pdf) ## Other formats - [Markdown version](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2009/_cr09240.pdf.md) - [Structured JSON version](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2009/_cr09240.pdf.json) --- ### PRSP implementation context - Landlocked C.A.R.; political and military crises during 1996-2003 led to serious economic deterioration; recovery began in 2006 but remained slow. - PRSP adopted September 2007; HIPC Initiative decision point reached September 2007. - Brussels Round Table (October 26, 2007) financing commitments: - Midterm review (June 2008): 14 percent of announced financing obtained; roadmap for 2008 priority actions adopted. - Annual review (November 2008): 80 percent of commitments mobilized. ### Institutional mechanism and evaluation/tracking - Five bodies in institutional framework: - National Strategic Committee (CNS) — chaired by the Prime Minister; U.N. Resident coordinator vice chair. - National Technical Committee (CMT) — chaired by the Minister of State for Planning, Economy, and International Cooperation. - National Technical Secretariat (STN) — headed by an Expert Coordinator. - Sectoral Committees (CS) — chaired by ministerial department heads with lead managers from development partners. - Regional Committees (CR) — chaired by préfets with civil society representative vice chair. - Statistical apparatus (AFRISTAT Reference Framework and CRESMIC) with three subsystems: - (i) "household living conditions tracking" subsystem; - (ii) "project and program implementation tracking" subsystem; - (iii) "program and policy impact assessment" subsystem. - Main tools: reporting system; performance indicators; DevInfo database; aid management and tracking system (DAD). - Capacity constraints: insufficient qualified staff, lack of premises and equipment, insufficient financial resources; current capacity-building strategy not yet fully achieved. ### Macroeconomic situation and outlook - External shocks in 2008: oil price fluctuations (US$147 per barrel in July 2008), international financial crisis, world food crisis — inflationary pressures. - Real GDP growth: - 2006: 4.00 percent - 2007: 4.20 percent - 2008 (estimate): 2.80 percent - PRSP target for 2008 (dynamic scenario): 8.50 percent (spread: -1.40 percent reported) - Inflation: - 2006: 6.6 percent - 2007: 1 percent - 2008 (estimate): 9.3 percent - Government measure: lowered VAT from 19 percent to 5 percent on food and oil products. - Foreign trade (2008 outcomes): - Exports of goods and services: US$202.4 million (CFAF 101.2 billion) — decline 17.2 percent from 2007 (US$244.4 million). - Imports of goods and services: US$455 million (CFAF 227.5 billion) — increase 23.3 percent from 2007 (US$369 million). - Trade deficit increased from US$122 million (CFAF 61 billion) in 2007 to US$226 million (CFAF 113 billion) in 2008. - Monetary developments (end-2008): - Net foreign assets declined 26.5 percent from December 2007 (also noted end-2008 decline of 2.8 percent from 2007). - Credit to the economy increased by 10.3 percent: from US$118.2 million (CFAF 59.1 billion) to US$130.4 million (CFAF 65.2 billion). - Coverage of lending by deposits: 93.9 percent (lowest in CEMAC). - Government indebtedness to banking system deteriorated by 17.2 percent. - Fiscal indicators: - Fiscal revenues: - 2006: US$146.8 million (CFAF 73.4 billion) - 2007: US$167.2 million (CFAF 83.6 billion) — increase 14 percent - 2008 (budget): US$197 million (CFAF 98.5 billion) — 11 percent of GDP; 17.8 percent increase over 2007 - Primary expenditure: - 2007: US$136.2 million (CFAF 68.1 billion) - 2008: US$161.2 million (CFAF 80.6 billion) — increase 18.3 percent - Revenues collected in 2008: US$184 million (CFAF 92 billion) vs US$167.2 million (CFAF 83.6 billion) in 2007 — 10 percent increase - Debt and debt service: - Outstanding debt: US$961.4 million (CFAF 480.7 billion) in 2007 → US$968.6 million (CFAF 484.3 billion) in 2008 — increase 0.7 percent - Debt service: US$56.4 million (CFAF 28.9 billion) in 2007 → US$44 million (CFAF 22 billion) in 2008 — decline 23.8 percent - Clearance of arrears and three-year grace period on Paris Club bilateral debt; C.A.R. poised to benefit from HIPC Initiative. ### PRSP financing, resource mobilization and gaps - PRSP financing needs (September 2007): CFAF 633 billion = US$1.3 billion. - Pillar III: 66 percent - Pillar IV: 23 percent - Brussels Round Table: financing announced covered close to 40 percent of needs; financing gap ~60 percent (largest gap in Pillar III: 55 percent). - Mobilization status as of November 15, 2008: - US$840 million mobilized under financing agreements for cooperation programs (3 to 6 years). - US$755.4 million mobilized for 2008-2010. - Share of resources corresponding to PRSP period: US$755 million = 56.5 percent of needs expressed at Brussels Round Table. - Domestic resource mobilization (CFAF billion): - Total revenues: 2007: 83.69; 2008 estimates: 92.5; rate of change: 10.6 percent - Tax revenues: 2007: 66.6; 2008: 70.7; rate of change: 6.1 percent - Taxes on income and profits: 2007: 13.1; 2008: 14.6; rate of change: 11.5 percent - Taxes on goods and services: 2007: 31.9; 2008: 33.9; rate of change: 6.3 percent - Taxes on international trade: 2007: 14.5; 2008: 16.5; rate of change: 13.8 percent - Other tax revenues: 2007: 7.1; 2008: 5.7; rate of change: -20.2 percent - Nontax revenues: 2007: 17.0; 2008: 21.8; rate of change: 28.5 percent - Public expenditure structure (CFAF billion): - Grand total: 2007: 136.8 (100.0 percent) → 2008: 151.0 (100.0 percent) — change 10.4 percent - Investment: 2007: 35.6 (26.0 percent) → 2008: 43.3 (28.7 percent) — change 21.6 percent - Debt repayment: 2007: 26.0 (19.0 percent) → 2008: 22.3 (14.8 percent) — change -14.2 percent - Aid mobilization (DAD provisional 2008 totals, US$ million): - Development aid — Commitments: 174.69; Payments: 172.22; Expenditures: 146.44 - Humanitarian aid — Commitments: 86.16; Payments: 77.76; Expenditures: 52.34 - Grand Total (2008) — Commitments: 260.85; Payments: 249.99; Expenditures: 198.78 - Status of commitments/payments/expenditures by pillar (selected, US$ million): - Pillar 1 total: Commitments 28.83; Payments 27.87; Expenditures 21.59 - Pillar 2 total: Commitments 28.27; Payments 56.38; Expenditures 51.07 - Pillar 3 total: Commitments 55.12; Payments 33.91; Expenditures 36.70 - Pillar 4 total: Commitments 62.48; Payments 54.07; Expenditures 37.08 - Observations: - Humanitarian aid accounted for 26 percent of foreign assistance in 2008, concentrated in food security and agriculture. - Governance sector accounted for 35 percent of development expenditures in 2008; security and health each accounted for 15 percent. ### Sectoral achievements — Selected highlights by pillar - Pillar I — Restore security, consolidate peace, prevent conflict (Security Sector Reform) - FACA and Gendarmerie: - 960 members of the Defense and Security Forces (DFS) trained. - 196 new agents ("student gendarmes") being trained. - 60 students admitted to officer/sub-officer school. - 25 illegal barriers dismantled. - Agreement with donor to support payment of wage arrears; US$10 million raised through the Peace Consolidation Fund. - National Police: - Special status enacted: Law 08.016 of May 20, 2008. - 300 uniforms provided by French technical assistance. - Justice: - 42 magistrates and 5 court clerks trained at ENAM; 4 managers and 12 female prison guards trained. - Two courthouses built; two rehabilitated; 22 regional courts operational. - Disarmament/Demobilization/Reintegration (PRAC/MINURCAT): - 4,590 former combatants demobilized and socially reintegrated. - 921 weapons collected by PRAC and MINURCAT; 429 weapons incinerated on August 23, 2008. - Inclusion on UN Peacebuilding Commission agenda: June 2008. - Inclusive Political Dialogue (Bangui, December 8–20, 2008): establishment of broad consensus government; committee to monitor recommendations; start of DDR census of ex-combatants. - Pillar II — Promote good governance and rule of law - Fiscal and public financial management: - SYSGAD software installed in Debt Directorate; GESCO software installed in General Directorate of Budget and Treasury. - Law on procurement code adopted: Law 08.017 of June 6, 2008; procurement regulatory authority created. - Treasury reforms: plan to clear domestic arrears; enforcement of single treasury account (CUT) decree. - Anticorruption: - National Anticorruption Committee (CNLC) operational (Decree 08.133 of March 31, 2008). - Draft national anticorruption strategy (Draft 0); first National Anticorruption Day held December 9, 2008. - Antifraud Committee in place; legal proceedings underway against 50 managers of revenue-collecting agencies. - Business environment: - One-stop shop for company formalities (GUFE) operational (Decree 07.371 of December 17, 2007); time to create enterprise reduced to average 1 – 2 weeks; GUFE processed 500 applications in Bangui in 2008. - Trade policy paper prepared and validated; investment charter revision under EU funding. - Decentralization: - UNDP support: nearly US$286,000 (CFAF 143 million); municipal elections organized; High Commission for Decentralization overhauled and outfitted. - Pillar III — Rebuilding and diversifying the economy - Agriculture and livestock: - Creation of FDAP (Law 07.015 of June 19, 2007) and ONMAP (Law 07.016 of June 19, 2007). - Supply of inputs/small implements to 8,500 vulnerable farming families; 16,000 horticultural kits distributed; 224 ha of seed multiplication plots established; strategic seedstock for 30,000 families. - FAO support total US$9.42 million; clearance of producers' arrears US$4.7 million (EU US$4.6 million; CAR US$100,000). - Forestry: - New Forestry Code enacted (Law 08.022 of October 17, 2008). - Interministerial technical committee to manage forestry and hunting taxes; proceeds deposited in BEAC account for communes. - Mobile forestry/wildlife brigades and border control inspectors appointed. - Mining: - Mining sector audit completed; Decree 08.260 of July 18, 2008 established institutional mechanism for EITI-CAR. - Preparatory work to revise Mining Code and establish Office of Geological and Mining Research. - Infrastructure: - Rehabilitation of five roads totaling 1,177 km; construction/rehabilitation of three bus terminals. - Energy: - Agency for the Stabilization and Regulation of Oil Prices established; national policy document on energy adopted; biofuels law promulgated. - Pillar IV — Developing human capital (education, health, youth, employment) - Education: - 4,625 reading and 4,625 mathematics textbooks purchased. - 850 contract teachers recruited at the primary level. - Pupil/teacher ratio reduced from 96 to 82 between 2007 and 2008. - 790 latrines and 528 water points constructed during 2007/2008; 577 canteens established serving 98,000 pupils. - Health: - PCIME expansion plan for 2007-2011 prepared. - New five-in-one vaccine introduced September 2008. - More than 89 percent of condoms to be distributed actually distributed in 2008; about 9 million condoms distributed in 2008 by Ministry, UNFPA and PSI. - 13 new ARV management units created; 700 new PLWHs to receive ARV in addition to more than 7,800 already undergoing treatment. - Social/HIV/AIDS priority actions (Box 7): - Targets: recruit 750 additional primary teachers; DTC3 vaccination close to 80 percent; distribute at least 300,000 treated mosquito nets; distribute at least 10,000,000 condoms/year for prevention. - Achievements: 850 qualified teachers recruited; DTC3 vaccination rate close to 84 percent in 2007 and 65 percent at end-August 2008; 840,000 treated mosquito nets distributed; about 9 million condoms distributed. - Youth, employment and vocational training: - 60 young people benefited from apprenticeships; 12 young people assisted with revenue-generating activities; one youth and culture center rehabilitated and another constructed. - Microprojects Program (PMR): 20 percent of economic and social microprojects put forward have been carried out. ### Monitoring, indicators and outcomes (selected exact figures) - Annex indicators and performance matrix highlights: - Security: 960 military personnel civic/moral training (2008 benchmark) — Level achieved in 2007: 960. - Persons demobilized and reintegrated target: 7,000 — Level achieved in 2007: 4,590. - Education: Number of F-1 teachers trained and used: 750 — Level achieved in 2007: 832 (850 recruited including 18 withdrawals). - HIV/AIDS: Number of condoms distributed target: 10,000,000 — Level achieved in 2007: 8,926,198. - Exports of goods and nonfactor services: - 2006: 115,011 (CFAF million) - 2007: 122,176 - 2008: 101,172 - Trade balances (CFAF million): - Overall balance: 2006: -54,316; 2007: -62,368; 2008: -126,329 ### Constraints, threats and medium-term opportunities - Main constraints and threats after one year: - Mobilization of resources (external financing gap; predominance of humanitarian aid). - Weakness of human capacities and institutional absorptive capacity. - International economic and financial crisis. - Sector-specific constraints in agriculture, energy, and infrastructure. - Medium-term opportunities: - Start-up of large projects (10th European Development Fund ~US$184 million for 2008-12). - Development poles project (UN-HABITAT exploratory mission August 2008; monographic studies Q1 2009). - HIPC Initiative: decision point September 2007; completion point scheduled June 2009; debt/export ratio expected to decline (noted decline to approximately 66 percent in 2008). - Gleneagles MDG financing scenario: C.A.R. additional MDG/PRSP needs estimated at US$220 million per annum for 2008-2015; initial endowment US$10 billion for 10 countries referenced. - Subregional integration and donor programs (AfDB, World Bank joint strategy beginning 2009; Fast Track Initiative Catalytic Fund committee US$37.78 million for education next three years). ### Conclusions and policy implications (selected) - 2008 outcomes reflect adverse international shocks: slowed growth (2008 estimate 2.8 percent vs PRSP 8.5 percent), inflation resurgence (9.3 percent), widened trade deficit, and budgetary pressure. - Institutional progress: establishment of PRSP monitoring framework, sectoral committees, regional committees, and initial implementation of PRSP activities despite constraints. - Priority policy actions: - Maintain efforts to mobilize domestic resources and comply with conditionalities to secure external resources. - Strengthen capacity of implementing agencies to improve absorption and effective use of resources. - Pursue rigorous fiscal management and improve political/security conditions to foster private sector confidence. - Exploit financing opportunities (major works, HIPC relief, subregional programs, Gleneagles commitments) to reverse poverty trends. *Source: IMF staff report content unit _cr09240* ### 1. P ### 1. P ### 1. PRSP implementation context - The Central African Republic (C.A.R.) is a landlocked country in Central Africa profoundly affected by political and military crises during 1996-2003, causing serious deterioration in its economic fabric. - An economic recovery began in 2006 with international support but remained slow. - Reforms and satisfactory implementation of successive adjustment programs enabled: - fiscal consolidation efforts; - recovery of investment in the secondary and tertiary sectors; - an upturn in consumption; - prioritization of poverty reduction in policies. - The PRSP was adopted during a national seminar in September 2007; the HIPC Initiative decision point was reached in September 2007. - A Round Table Conference in Brussels was held on October 26, 2007 to mobilize partners around PRSP objectives. - Two-stage assessment of Brussels commitments: - (i) June 2008 midterm review: 14 percent of the financing announced in Brussels had been obtained; adopted a roadmap for 2008 priority actions. - (ii) November 2008 annual review: 80 percent of commitments had been mobilized. ### 2. Evaluation/tracking and institutional mechanism - Institutional framework (five bodies): - National Strategic Committee (CNS): establishes key PRSP implementation thrusts; chaired by the Prime Minister; U.N. Resident coordinator is vice chair. - National Technical Committee (CMT): maintains permanent dialogue between government and each development partner; chaired by the Minister of State for Planning, Economy, and International Cooperation. - National Technical Secretariat (STN): technical coordination of PRSP evaluation/tracking and implementation; headed by an Expert Coordinator. - Sectoral Committees (CS): develop and implement sectoral strategies; chaired by ministerial department heads with lead managers from development partners. - Regional Committees (CR): participatory evaluation/tracking of PRSP and regional projects; chaired by préfets with a civil society representative as vice chair. - Statistical apparatus for tracking PRSP (based on AFRISTAT’s Reference Framework and Common Minimum Methodological Guidelines) with three subsystems: - (i) household living conditions tracking subsystem; - (ii) program and project tracking subsystem; - (iii) program and policy impact assessment subsystem. - Main PRSP evaluation/tracking tools: - reporting system; - performance indicators; - DevInfo database; - aid management and tracking system. - Participatory tracking: fosters community ownership, awareness of roles in policy and program selection, and resource prioritization; communication is key for dialogue and knowledge sharing. - Main constraint: capacity weaknesses; current capacity-building strategy has not yet fully achieved its results. ### 3. Macroeconomic situation - External shocks in 2008: oil price fluctuations, international financial crisis, instability of prices for main export products, world food crisis — led to inflationary pressures. - National challenges: persistence of energy crisis and slowdown in economic growth. - Real GDP growth: - 2008 growth rate: 2.8 percent - 2007 growth rate: 4.3 percent - Inflation: - 2008 inflation rate: 9.3 percent - 2007 inflation rate: 1 percent - Government measures: lowered taxes on certain staples to ease pressures. - Foreign trade: - foreign trade deficit increased 102.6 percent from 2007 to 2008. - Monetary situation as of December 2008: - net foreign assets declined 26.5 percent from December 2007. - credit to the economy increased by 10.3 percent for the period under review. - Fiscal developments: - primary expenditure increased by 15.5 percent in 2008 compared with 2007. - revenues rose by 10 percent owing to improved tax revenues. - External solvency and debt: - clearance of arrears and a three-year grace period for Paris club bilateral debt. - outstanding debt rose 0.7 percent from 2007 to 2008. - debt service declined 23.9 percent in the same period. ### 4. PRSP financing - Financing needs assessed at CFAF 633 billion in September 2007, or US$1.3 billion. - 66 percent allocated to Pillar III (economic recovery and diversification). - 23 percent allocated to Pillar IV (development of human capital). - Brussels Round Table announced financing covers close to 40 percent of expressed needs, leaving a financing gap of 60 percent. - Financing gap largest in Pillar III (55 percent). - As of November 15, 2008, US$840 million had been mobilized under financing agreements for cooperation programs ranging from 3 to 6 years. - Government measures to increase domestic PRSP financing and improve fiscal management: - introduction of tax and customs measures; - effective implementation of audit report recommendations on the one-stop shop in Douala; - reform of the Public Treasury; - increase in share of social sectors in overall budget. - Budget outcomes: - tax revenues included in the government budget in 2007 and 2008 rose 21.3 percent. - investment expenditures included in the government budget in 2007 and 2008 rose 21.6 percent. - Introduction of a Medium-Term Expenditure Framework (MTEF) to link PRSP programs and the budget and to facilitate tracking of budgetary allocations for priority sectors. ### 5. Status of PRSP implementation — Selected sectoral achievements - 5.1 Restore security, consolidate peace, and prevent conflict (Security Sector Reform — SSR) - Central African Armed Forces (FACA) and Gendarmerie: - personnel at age limit retired; agreement with donor to support payment of wage arrears finalized; - recruitment by competition at national level with monitoring by local authorities and an external observer; - committee to review and update laws and regulations created and operational; - multiyear sectoral estimates law (loi de programmation) being finalized; - 960 members of the Defense and Security Forces (DFS) have been trained; - 12 public awareness campaigns organized; - "open doors" days organized; - 25 illegal barriers dismantled. - National Police: - special status enacted (Law 08.016 of May 20, 2008); - public awareness campaigns organized for judicial, administrative, and political authorities; - 300 uniforms provided for the police by French technical assistance authorities. - Justice: - 4 managers and 12 female prison guards trained; - Legal Security Support Project (PRASEJ) is being implemented. - Water and forests: - Forestry Code enacted (Law 08.022 of October 17, 2008); - social mediators in PEA management units raise awareness on distribution of forestry taxes to communes and host public awareness broadcasts on local rural radio; - an economic observatory created grouping various ministerial departments (Ministry of Planning, Ministry of Finance, and the CTP/PAS); - partners recommended posting information on resources flowing to communities in the communes. - Inclusion on international agenda: - C.A.R. included on the agenda of the United Nations Peacebuilding Commission (PBC) in June 2008. - Inclusive Political Dialogue (Bangui, December 8–20, 2008) — initial implementation: - establishment of the broad consensus government; - introduction of a committee monitoring recommendations of the Dialogue; - start up of Disarmament, Demobilization and Reintegration (DDR) process with census of ex-combatants. - 5.2 Promote good governance and the rule of law - Promoting a culture of democracy: - information sciences department created at the University of Bangui; - social dialogue initiated with unions; - Inclusive Political Dialogue organized. - Promoting respect of human rights: - 10 managers of units in the Office of the High Commissioner for Human Rights trained; - draft Criminal Code, Code of Criminal Procedure, and Military Justice Code under revision; - C.A.R. in the process of joining the global information network. - Enhancing government effectiveness: - simplified government hiring procedure being applied; - audits of seven pilot ministries organized. - Fiscal consolidation: - SYSGAD software installed in the Debt Directorate; - computer system installed in the General Directorate of the Budget and Treasury; - liquidity monitoring committee created; - law on the procurement code adopted; - procurement regulatory authority created. - Promotion of gender equality and equity: - two training sessions on gender, reproductive health, HIV, and tracking/evaluation in June and July 2008; - one training session on data collection in November 2008; - three public awareness sessions on two laws on reproductive health and protection of women against violence in September 2008. - 5.3 Rebuilding and diversifying the economy - Mining: - audit conducted to revise the Mining Code; - decree created institutional framework for Extractive Industries Transparency Initiative (EITI); - technical unit established to work toward adoption of the standard agreement and its alignment with the Mining Code. - Forestry: - interministerial technical committee including local community representatives created to manage forestry and hunting taxes, with proceeds deposited in an account at the Bank for Central African States (BEAC); - new Forestry Code enacted on October 17, 2008; - economic observatory created. - Tourism: - 50 staff of hotels and restaurants trained in reception and culinary arts techniques; - 20 trained in taxidermy. - Energy: - law creating the Agency for the Stabilization and Regulation of Oil Prices adopted and implemented. - Infrastructure: - rehabilitation of five roads totaling 1177 km; - construction and rehabilitation of three bus terminals. - Trade and private sector: - creation of the one-stop shop for company formalities (GUFE) to reduce time to create a production unit; - establishment of the Project Management Unit and startup of the Integrated Framework. - Water and sanitation: - two agencies created: Water and Sanitation Sector Regulation Agency and the National Water and Sanitation Agency. - activities improved living conditions of beneficiaries and strengthened participant capacities. - Housing: - blueprint for the city of Bangui prepared. *Source: _cr09240 - 1. P* ### 5.4 Developing human capital ### 5.4 Developing human capital ### Education: supply, quality, and community involvement - Activities focused on rehabilitation/construction and equipment of schools. - Measures to improve quality of teaching: - reading (4625) and mathematics textbooks (4625) have been purchased. - 850 contract teachers have been recruited at the primary level. - the pupil/ teacher ratio was reduced from 96 to 82 between 2007 in 2008. - Partnership strengthening: - 300 members of parent teacher associations in target zones were given awareness training on education for children, particularly girls. ### Health: infrastructure, maternal/child health, and HIV/AIDS - Activities focused on rehabilitation/construction and equipment of infrastructure in the health regions. - Infant and maternal health: - a plan to extend Integrated Care for Childhood Diseases (PCIME) was prepared for the period 2007-2011. - a new policy introduced five-in-one vaccines in September 2008. - HIV/AIDS: - a tracking/evaluation plan for the national strategic framework for combating HIV/AIDS was prepared in March 2008. - More than 89 percent of condoms that were to be distributed were actually distributed in 2008. - 13 new management units were created. ### Employment, vocational training, entrepreneurship, youth and sports - Institutional and policy preparation: - a technical committee that will be broadened to include other ministries is being created to prepare for the national forum tasked with preparing a national policy on employment and vocational training. - The new draft Labor Code is being studied by the National Assembly. - Direct support and training: - Sixty young people benefited from apprenticeship training with artisans. - 12 young people received assistance from the support fund for revenue-generating activities. - Youth and sports: - one youth and culture center has been rehabilitated and another has been constructed. ### Microprojects Program (PMR) - Experts in the guidance of managers of microprojects and Grassroots Community Organizations (GCO) have been trained. - 20 percent of the economic and social microprojects put forward have been carried out. ### Constraints and outlook (summary from PRSP implementation) - Main constraints and threats after one year of PRSP implementation: - mobilization of resources; - weakness of human capacities; - the international economic and financial crisis; - specific constraints in particular sectors, namely, agriculture, energy, and infrastructure, which are not yet fully playing their role. - Medium-term opportunities to be seized to reverse poverty trends: - start-up of large projects; - establishment of the development centers; - impact of the HIPC Initiative (reaching of the decision point and completion point); - more rigorous fiscal management; - gradual easing of the political climate; - the Gleneagles scenario of more rapid achievement of the Millennium Development Goals (MDG); - subregional integration. *Source: _cr09240 - 5.4 Developing human capital* ### 1.5 Conclusions of the annual review ### 1.5 Conclusions of the annual review ### Annual review event and purpose - An annual review of the commitments of the Brussels Round Table for PRSP implementation was organized by the government on November 20, 2008 in Bangui. - The review assessed progress made in PRSP implementation against the Brussels commitments one year after the Brussels Conference and responded to participants’ concern for ongoing dialogue. - The review enabled assessment of start-up of PRSP implementation and the level of national ownership through presentations by the heads of the Sectoral Committees based on the four strategic pillars of the PRSP, constraints hampering the process, and the volume and nature of resources mobilized. ### Sectoral committee coverage - Nine chairmen of Sectoral Committees reviewed progress in the following sectors: - (i) reform of the security sector; - (ii) governance; - (iii) trade, private sector, regional integration, and employment; - (iv) gender equality and poverty reduction; - (v) rural development and food security; - (vi) basic infrastructure; - (vii) water and sanitation; - (viii) education; and - (ix) health and HIV/AIDS. ### Main constraints identified - National-level constraints: - (i) difficulties related to the establishment of the PRSP institutional framework, particularly the Sectoral Committees, including their Thematic Groups, and the Regional Committees; - (ii) still incomplete ownership of the strategy by the national stakeholders; - (iii) national weaknesses in the area of resource management and mobilization. - Constraints with development partners: - (i) often long and complex procedures hampering rapid mobilization of resources needed for programmed activities; - (ii) weakness of existing technical support to the sectoral committees. ### Commitments and dialogue - Development partners reaffirmed their commitment to supporting the government in PRSP implementation. - Stakeholders agreed to continue the dialogue on preparation of the Action Plan for implementation of the Paris Declaration. ### Resources mobilized (key statistics) - The resources mobilized in late 2008 totaled US$840 million, as compared US$96 million at the midyear review. - The share of resources corresponding to the PRSP period totaled US$755 million, or 56.5 percent of the needs expressed at the Brussels Round Table. --- ### 2. Evaluation/tracking and institutional mechanism ### General objective and specific aims - General objective: to track and report on the impact of poverty reduction programs and policies on the living conditions of the population. - Specific objectives: - (i) establishing an institutional PRSP tracking/evaluation mechanism; - (ii) creating an information system to track/evaluate poverty reduction programs and results; - (iii) organizing community participation of all stakeholders in developing programs and policies, tracking their implementation, and evaluating their impact. ### 2.1 Institutional mechanism: structure and status - Pilot institutional framework created by Prime Ministerial Decree 003 of March 12, 2008. - Framework components: - (i) National Strategic Committee (CNS); - (ii) National Technical Committee (CMT); - (iii) National Technical Secretariat (STM); - (iv) 9 Sectoral Committees (CS); - (v) 7 Regional Committees (CR). - Governance notes: - CNS chaired by the Prime Minister; second vice chairman is the U.N. Resident Coordinator. - CNS required to report to the National Assembly on results. - CMT and Sectoral Committees balanced between public sector, development partners, private sector, and civil society. - Regional Committees intended as foundation of participatory evaluation and linkage with government parts. - Implementation status in 2008: - CNS held its two annual sessions for 2008 (June and November). - Chairman of CMT organized awareness meetings with development partners. - STN prepared reports and implemented a work program for second half of 2008 and organized periodic meetings. - Permanent Technical Secretariats (STPs) operating in some Sectoral Committees (security sector reform, gender equality and poverty reduction, trade/private sector/employment, water and sanitation, basic infrastructure) have held their first sessions. - Constraints on operations: - (i) insufficient qualified staff; - (ii) lack of premises and equipment (computers and peripherals); - (iii) insufficient financial resources. ### 2.2 Evaluation/tracking tools and statistical apparatus #### 2.2.1 Statistical apparatus and approach - PRSP evaluation/tracking follows the Results-Based Management (RBM) approach, focusing on inputs, outcomes, outputs, results, and anticipated impact. - Information system groups participants into three AFRISTAT-proposed subsystems (Reference Framework and Common Minimum Methodological Guidelines (CRESMIC)): - (i) "household living conditions tracking" subsystem; - (ii) "project and program implementation tracking" subsystem; - (iii) "program and policy impact assessment" subsystem. - Subsystem responsibilities: - "household living conditions tracking" led by C.A.R. National Statistical Institute (ICASEES) and includes sectoral statistical units and planning/research directorates; tasks include producing statistical survey reports, poverty tracking report, updating the DevInfo database, and producing MDG progress reports. ICASEES must finalize and implement the National Statistics Development Strategy (SNDS). - "project and program implementation tracking" coordinated by the General Director for Economic Programming (secretariat by Programming Directorate and Budget Directorate); responsible for: - (i) project database; - (ii) report on the aid management system (Development Assistance Database—DAD); - (iii) Development Cooperation Report (DCR); - (iv) report on implementation of the Paris Declaration. - Priority: definition and choice of indicators to track approximately 150 results and outcome indicators selected in workshops (June and September 2008). - Matrices functions: (i) feed DevInfo database via ICASEES; (ii) enable managers to track/guide PRSP implementation; (iii) enable development partners to track efforts and results. - "program and policy impact assessment" coordinated by STN and includes ICASEES, General Directorate for Strategy and Policy, planning directorates, civil society, and private sector; tasks include selective research reports on impact, PRSP implementation impact report, and annual reports. #### Multiyear program of statistical surveys and operations for PRSP tracking (planned) - Surveys and operations by year (2007, 2008, 2009, 2010) with planned execution marks: - 1-2-3 survey (limited to phases 1 and 2): 2007 — X - CWIQ survey (ECASEB): 2007 — X; 2008 — X - Agricultural survey: 2009 — X - Census of economic units: 2007 — X - MICS survey: 2010 — X - Health and population survey: 2008 — X - Perception of poverty survey: 2008 — X; 2009 — X - Diagnostic of the mining sector: 2007 — X - Consumption budget survey: 2008 — X - Completion status and constraints: - Only the CWIQ survey was carried out among planned 2008 operations. - CWIQ results to be available in May 2009 due to constraints: (i) delayed purchase and availability of equipment (scanner and scales); (ii) lack of technical assistance; (iii) failure to master the technology and insufficient financial and logistical resources. - Data processing underway; analysis scheduled for May 2009 with assistance of a World Bank consultant. - Results will define reference indicators (including poverty profile) for PRSP tracking. #### 2.2.2 Evaluation/tracking tools - Main tools: - Reporting system (incorporating outputs of the three subsystems and performance indicators of sectoral and regional committees). - Performance indicators (current version includes output indicators and results indicators for PRSP and MDGs). - DevInfo database (developed with U.N. agencies; provisional version gradually incorporating PRSP tracking indicators). - Aid management system (DAD) being finalized to improve coordination and tracking of Official Development Assistance (ODA). ### 2.3 Participatory tracking mechanism and communications #### Objectives and approach - Aim to create dialogue promoting involvement of development partners in implementation and evaluation/tracking of PRSP strategies and programs. - Participatory approach seeks community ownership (grassroots communities, private sector, civil society, decentralized government units, specific groups such as women, young people, persons living with HIV/AIDS, ethnic minorities) to ensure accountability and effective participation in policy/program selection, priorities, resource allocation, contribution to outcomes, evaluation/tracking, and consensual impact assessment. - Communications is a key tool to create a forum for knowledge, savoir-faire, and experience sharing. #### 2.3.1 Key outcomes of dissemination and regional engagement - Post-Brussels Round Table: dissemination and publicization campaign launched. - Regional workshops: - Held in the seven regional capitals; lasted four days each. - Average participation: 60 persons per workshop from all communes identified by status/professional activities. - Operational objectives: - explain PRSP stakes and implementation to stakeholders and mobilize them; - assess local priorities, problems, and solutions; - encourage formal commitment to PRSP evaluation/tracking and implementation. - First dissemination campaign (January to March 2008): - 2,500 national strategy documents distributed in six regional workshops. - Workshops in Bangui for: - 120 members of the National Assembly; - 40 representatives of the media (public and private); - 35 civil society organizations; - 40 junior parliamentarians; - 1,500 public service managers. - Missions to establish Regional Committees: - Interministerial missions (Office of the Prime Minister; Ministry of the Interior and Public Security; Office of the High Commissioner for Decentralization and Regionalization; Ministry of Planning, Economy, and International Cooperation). - Held in three phases; led to establishment of the 7 Regional Committees. - Communications actions: - Activities covered by public and private media. - Communications strategy and action plan prepared for national, regional, local, and international dissemination. - Radio and television time reserved for PRSP broadcasts. - Radio: two hours reserved on listener call-in talk shows twice a month (one hour per language: Sangö and French). - First broadcasts involved PRSP dissemination missions in December 2007. - MPECI website used to disseminate PRSP documentation. - Creation of a magazine titled “DSRP Actualité” (PRSP Update). #### 2.3.2 Results obtained - Programmed activities generated real interest in regional populations; expressed willingness to participate in national poverty reduction strategy implementation. - Public and sectoral committees becoming aware and beginning involvement in PRSP implementation; some sectoral committees developed strategies and prepared work programs potentially leading to sectoral round tables. - Grassroots communities, local authorities, and civil society view PRSP as an opportunity for regional involvement in development and are willing to assume responsibilities, conditional on mobilization of necessary resources and guaranteed effective involvement. ### 2.4 Capacity-building - Capacity-building is central to PRSP implementation; a program was developed with six components: - (ii) organizational and institutional capacity-building; - (ii) technical capacity-building; - (iii) development of the capacities of the participants; - (iv) strengthening capacities of regional delegations responsible for two-way communications; - (v) logistics; - (vi) management of motivations. - Organizational and institutional aims: - Establish and improve dialogue and guidance structures, particularly National Statistics Council (CNS) for coordination and standardization. - CNS responsibilities: establish nomenclatures, methodologies, concepts, definitions for statistics, conform to international regulations. - Define data-sharing responsibilities among CNS, CMT, Sectoral Committees, Regional Committees. - Training and technical capacity: - Train personnel involved in producing, processing, analyzing, disseminating data to operate three subsystems through workshops, seminars, and diploma programs. - Revitalize regional delegations via training, equipment, and supplies for data collection and administrative record analysis. - Logistics and motivation: - Provide PRSP structures with computer equipment/software and peripherals for real-time data processing. - Management of motivations to reward staff efforts within PRSP evaluation/tracking framework. - Concrete actions under way: - Training of middle management in statistics at ENAM. - Launching activities for preparation of National Statistics Development Strategy (SNDS). - AFRISTAT support on prices, national accounts, surveys, etc. - PRSP Implementation Capacity-Building Project (ARCAD): - Focus on capacity-building in planning, programming, budgeting, and tracking/evaluation. - Contribution is key to preparing realistic, operational priority action plans. *Source: _cr09240 - 1.5 Conclusions of the annual review* ### 3. Macroeconomic situation ### 3. Macroeconomic situation ### Macroeconomic framework - PRSP provides two reference macroeconomic frameworks: - Prudent scenario: based on recent economic trends; underpins the PRGF-supported program. - Dynamic scenario: based on government commitment to reduce poverty substantially in the medium term. - Dynamic scenario (covering 2008-2010) assumptions: - Annual average growth anticipated at 8.5 percent. - Growth driven by recovery in the primary sector (essentially agriculture) — contribution to overall growth estimated at approximately 50 percent — and increased activity in forestry and mining. - Recovery in the secondary sector and increased public investment for reconstruction of roads and production infrastructures. - Resumption of private investment. - Tertiary sector growth expected from restoration of telecommunications services, reform of the trade sector (promotion of forestry, mining and agricultural exports), and recovery in tourism. ### Macroeconomic trends (2008 estimates and outcomes) - Aggregate GDP growth: - 2006: 4.00 percent - 2007: 4.20 percent - 2008 (estimate): 2.80 percent - PRSP framework target for 2008: 8.50 percent - Spread between 2008 estimate and PRSP target: -1.40 percent - Sectoral real growth (2008 estimates vs 2007): - Primary: 2006: 4.3 percent; 2007: 2.6 percent; 2008: 1.3 percent; spread: -1.30 percent - Secondary: 2006: 6.1 percent; 2007: 5.2 percent; 2008: 1.3 percent; spread: -3.90 percent - Tertiary: 2006: 3.8 percent; 2007: 7.6 percent; 2008: 5.0 percent; spread: -2.60 percent - Investment rate: - 2006: 10.2 percent - 2007: 10.3 percent - 2008 (estimate): 12.1 percent - PRSP target for 2008: 23.8 percent - Change 2008/2007 reported as 1.80 percent - Inflation: - 2006: 6.6 percent - 2007: 1.0 percent - 2008 (estimate): 9.3 percent - Spread between 2008 estimate and PRSP target: 8.30 percent reported - Key factors for slowdown and inflation resurgence in 2008: - Unfavorable climatic conditions (irregular rainfall) affecting agriculture. - Decline in water, electricity, and mining subsectors. - Delayed disbursements from the international community despite donor mobilization. - High dependence of government finance on the banking system. - International financial crisis in developed countries causing contraction in global demand for basic export products. - Rise in the exchange rate of the euro against the American dollar reducing export competitiveness. - World food crisis and rise in oil prices to a record level of US$147 per barrel in July 2008. - Government measure to ease inflation: - Lowering VAT from 19 percent to 5 percent on food and oil products. ### Monitoring of the dynamic PRSP scenario (Box 1) - 2008 objectives: - (i) real growth rate of 8.5 percent - (ii) investment rate of 23.8 percent - (iii) moderate inflation rate - (iv) conditions for success included multiple sectoral operational and investment milestones (timber licenses, capacity-building in hunting and fishing, distribution of fertilizer and seeds, new plantings and rehabilitation in coffee, improved security for livestock, increased mining output from artisans, start-up of Aurafrique, Uramin-Areva, Gem Diamond operations, rehabilitation of Boali 3 plant to yield 15 percent increase in energy). - 2008 outcomes and constraints: - (i) real growth rate achieved: 2.8 percent - (ii) investment rate achieved: 12.1 percent - (iii) inflation rate achieved: 9.3 percent - (iv) key difficulties: cancellation of two timber operating licenses; decline in real GDP of the hunting and fishing sector; reconstruction sector objectives not met despite humanitarian actions; coffee production trended downward in 2008 vs 2007; livestock sector grew more slowly than anticipated; diamond production declined while gold production increased; Aurafrique and Uramin-Areva remained in exploration stage; Boali 3 plant was not rehabilitated. - Government recognition and response: - Acknowledged that 2008 conditions for achieving the projected 8.5 percent growth were not present. - Identified obstacles: structural environment (landlocked, underequipped, lack of security), delays in rehabilitation of basic infrastructure (roads, energy, communications), delays in improving absorptive capacities, constraints affecting ODA effectiveness. - Plans to revise the dynamic scenario to channel opportunities to double the investment rate in the medium term. ### Foreign trade (2008 outcomes) - Exports of goods and services: - 2008 value estimated at US$202.4 million (CFAF 101.2 billion). - 2007 value: US$244.4 million (CFAF 122.2 billion). - Decline from 2007: 17.2 percent. - Causes: declining volumes of main exports (timber, diamonds, coffee) and depreciation of the dollar vis-à-vis the euro. - Imports of goods and services: - 2008: US$455 million (CFAF 227.5 billion). - 2007: US$369 million (CFAF 184.5 billion). - Increase: 23.3 percent. - Causes: higher volume of key staples and investment goods imports; rise in import prices, notably higher transportation costs. - Trade balance: - Overall trade deficit increased from US$122 million (CFAF 61 billion) in 2007 to US$226 million (CFAF 113 billion) in 2008. - Mitigating factor: most imports originated from the CEMAC zone, reducing immediate impact on foreign assets. ### Monetary situation - Money supply and net foreign assets (2007): - Money supply contracted by 3.8 percent; estimated at US$236.8 million (CFAF 118.4 billion) in 2007 vs US$246 million (CFAF 123 billion) in 2006. - Net foreign assets declined by 26.5 percent from US$86 million (CFAF 43.0 billion) to US$63.2 million (CFAF 31.6 billion). - Domestic credit increased 6 percent, driven by government borrowing from local banks to cover payroll taxes on its operations. - End-2008 developments: - Net foreign assets declined 2.8 percent from 2007 levels. - Credit to the economy rose 10.3 percent: from US$118.2 million (CFAF 59.1 billion) to US$130.4 million (CFAF 65.2 billion). - Coverage of lending by deposits: 93.9 percent (lowest in CEMAC). - Government indebtedness to the banking system deteriorated by 17.2 percent. ### Fiscal position - Government revenue targets: - Aim to boost public revenues from 9.0 percent of GDP in 2006 to 12.6 percent in 2010 via increased activity, expanded tax base, and improved tax administration performance; supported by government divestiture and financial administration reforms. - Fiscal outcomes: - Fiscal revenues: - 2006: US$146.8 million (CFAF 73.4 billion). - 2007: US$167.2 million (CFAF 83.6 billion) — increase of 14 percent. - Expenditure: - 2007 expenditure: US$206.2 million (CFAF 103.1 billion) — decline of 5.2 percent from 2006 due to drastic drop in investment expenditure. - External financing mobilization in 2007: US$40.4 million (CFAF 20.2 billion) — 33.2 percent decline from 2006 (US$60.4 million, CFAF 30.2 billion). - 2008 budget: - Revenues: US$197 million (CFAF 98.5 billion) — 11 percent of GDP; increase of 17.8 percent over 2007. - Domestically financed expenditure: approximately US$194.4 million (CFAF 97.2 billion) — annual increase of 11 percent. - Overall fiscal deficit projected: about US$32 million (CFAF 16 billion) for 2008. - Primary expenditure 2008: US$161.2 million (CFAF 80.6 billion) vs US$136.2 million (CFAF 68.1 billion) in 2007 — increase of 18.3 percent. - Revenues collected in 2008: US$184 million (CFAF 92 billion) vs US$167.2 million (CFAF 83.6 billion) in 2007 — 10 percent increase (improved tax revenues; nontax revenues declined slightly). - Debt and debt service: - Outstanding debt increased 0.7 percent between 2007 and 2008: from US$961.4 million (CFAF 480.7 billion) to US$968.6 million (CFAF 484.3 billion). - Debt service declined by 23.8 percent: from US$56.4 million (CFAF 28.9 billion) to US$44 million (CFAF 22 billion). - Clearance of arrears and a three-year grace period on bilateral Paris Club debt aided external solvency; the C.A.R. could soon benefit from the HIPC Initiative. - Convergence criteria (CEMAC) status: - 2007: two of four criteria satisfied: - (i) Basic fiscal balance as percent of GDP: 0.5 percent (standard > zero). - (ii) Average annual inflation rate: 1 percent (standard < 3 percent). - (iii) Total outstanding public debt to nominal GDP: 85.4 percent (deterioration). - (iv) Accumulation of external arrears: US$16 million (CFAF 8 billion) (deterioration). - 2008: - Fiscal balance achieved: 0.56 percent of GDP. - Inflation rate 9.3 percent (above community standard of 3 percent). - Debt/GDP ratio declined from 84.5 percent in 2007 to less than 80 percent in 2008 but remains above community standard. ### PRSP financing - Mobilization of domestic resources: - State budget is the main financing source; domestic resources remain modest due to past conflicts weakening government capacity. - Government undertook some actions with domestic financing and implemented reforms indicating political commitment to PRSP pillars. - Domestic resource outcomes (Table 3, in CFAF billion): - Total revenues 2007: 83.69; 2008 estimates: 92.5; rate of change: 10.6 percent - Tax revenues 2007: 66.6; 2008: 70.7; rate of change: 6.1 percent - Taxes on income and profits 2007: 13.1; 2008: 14.6; rate of change: 11.5 percent - Taxes on goods and services 2007: 31.9; 2008: 33.9; rate of change: 6.3 percent - Taxes on international trade 2007: 14.5; 2008: 16.5; rate of change: 13.8 percent - Other tax revenues 2007: 7.1; 2008: 5.7; rate of change: -20.2 percent - Nontax revenues 2007: 17.0; 2008: 21.8; rate of change: 28.5 percent - Drivers of projected 2008 resource increase: - Anticipated rise in tax revenues of 21.3 percent in 2008 due to implementation of tax and customs measures in the new budget law, application of audit recommendations (Douala one-stop shop, VAT), and Public Treasury reform. - Estimated tax revenue increase of 6.1 percent in 2008 (noted as weak but positive given international context). - Structure of public expenditure: - Investment expenditure allocations rose 21.6 percent from 2007 to 2008 while total resources rose 10 percent. - 2008 expenditures by type (Table 4, in CFAF billion): - Personnel: 2007 amount 35.0 (25.6 percent); 2008 amount 37.5 (24.8 percent); change 7.1 percent - Operations: 2007 amount 15.9 (11.6 percent); 2008 amount 19.1 (12.6 percent); change 20.1 percent - Financial costs: 2007 amount 6.4 (4.7 percent); 2008 amount 8.7 (5.8 percent); change 35.9 percent - Intervention: 2007 amount 17.9 (13.1 percent); 2008 amount 20.1 (13.3 percent); change 12.3 percent - Investment: 2007 amount 35.6 (26.0 percent); 2008 amount 43.3 (28.7 percent); change 21.6 percent - Debt repayment: 2007 amount 26.0 (19.0 percent); 2008 amount 22.3 (14.8 percent); change -14.2 percent - Grand total: 2007 amount 136.8 (100.0 percent); 2008 amount 151.0 (100.0 percent); change 10.4 percent - Debt repayment share declined by 14 percent from 2007 to 2008, reflecting debt cancellation and relief negotiations after reaching the HIPC decision point in September 2007. - Sectoral allocations to priority sectors (Table 5 highlights): - National education allocations: - 2007: 11,382 (share 13.6 percent) - 2008: 13,256 (share 13.5 percent) - Rate of achievement during first nine months of 2008: Without arrears 74.8 percent; With arrears 92.0 percent - Operations: 2007: 10,924; 2008: 11,990 (share 12.2 percent) *Source: _cr09240 - 3. Macroeconomic situation* ### 89.7 percent 110.3 percent ### _cr09240 - 89.7 percent 110.3 percent ### Priority sectors and budget shares - Total for priority sectors: 21,449 25.7 31,514 32.0 - TOTAL GOVERNMENT BUDGET: 83,600 100.0 98,500 100.0 - As shown in Table 5, outcomes in the priority sectors come to approximately 51 percent of forecast allocations. - The share of these sectors in the overall budget increased from 25.7 percent in 2007 to 32 percent in 2008. - Public health and population: - 6,798 8.1 12,061 12.2 - Operations: 6,501 7.8 7,130 7.2 - Investment: 297 0.4 4,931 5.0 - Social affairs: - 831 1.0 3,063 3.1 - Operations: 730 0.9 802 0.8 - Investment: 101 0.1 2,261 2.3 - Rural development: - 2,438 2.9 3,134 3.2 - Operations: 2,193 2.6 2,373 2.4 - Investment: 245 0.3 761 0.8 - Education: allocation share did not increase substantially, but investment share tripled to focus on rehabilitating school infrastructures. - Observations: - Allocations for 2008 (decided in 2007) began to take account of PRSP priorities, particularly public health and social affairs (shares increased from 8.1 percent to 12.2 percent and from 1 percent to 3.1 percent, respectively). - Rebalancing between operations and investment in education enabled infrastructure rehabilitation. ### Mobilization of external financing (PRSP resource needs and gap) - Government growth target under dynamic PRSP scenario: average annual rate of 8.5 percent beginning in 2008. - Estimated expenditures to implement PRSP four pillars (September 2007 estimates): approximately US$1.3 billion, or CFAF 633 billion. - Table 6: Project costs by PRSP pillar (US$1 = CFAF 475) - Consolidation of peace and conflict prevention: 8.6 10.4 15.6 34.6 72.9 5.5 - Governance and the rule of law: 8.9 10.7 16 35.7 75.2 5.6 - Economic recovery and diversification: 104.9 125.8 188.8 419.6 883.5 66.3 - Development of human capital: 35.8 43 64.5 143.3 301.8 23.6 - Total: 158.3 190 285 633.4 1,333.5 100 - Distribution analysis by pillar: - Pillar III (economic recovery and diversification) captures 66 percent of total resources. - Pillar IV (development of human capital) requires 23.6 percent. - Pillars I and II share the remaining 10 percent. - Table 7: Financing obtained compared with estimated commitments (Commitments in US$ million / Mobilizations in US$ million) - Consolidation of peace: - Commitments: 31.2 4.5 12.3 48 - Mobilizations: 49.7 121 217.3 7934.2 % - Governance and the rule of law: - Commitments: 15.3 7 23.2 45.5 - Mobilizations: 37.9 6.8 44.7 39.5 % - Economic recovery: - Commitments: 272.3 93.9 32.1 469 - Mobilizations: 67.3 180.1 202.2 21.1 20.1 423.5 54.9 % - Human capital: - Commitments: 71.3 48 57.6 176.9 - Mobilizations: 135.3 39.7 64.5 292.8 41.4 % - Total: - Commitments: 390.1 153.4 125.2 697.3 - Mobilizations: 402.7 274.6 78.1 84.6 840 49.9 % - Note: (*) Including prior to 2008 - Key mobilization outcomes: - Committed or announced financing corresponds to close to 55 percent of total needs expressed, leaving a financing gap of 45 percent. - For PRSP implementation specifically, the gap increases to almost 50 percent. - Financing gap largest for Pillar III (55 percent). - Resources mobilized by signing of a financing agreement on November 15, 2008 total US$840 million, including US$402 million for 2008 (US$203 million mobilized for 2007 and US$199 million for 2008). - US$755.4 million have been mobilized for the period 2008-2010. - Government actions to mobilize resources: - Structural reforms under the PRSP. - Preservation of peace and socioeconomic stability. - Development and implementation of sectoral strategies and policies consistent with PRSP and MDGs. - Intense communications campaign to mobilize additional resources for PRSP and MDGs. - Requests to partners: - Increase financial support. - Align support to national priorities. - Ease disbursement conditions and procedures. ### Status of commitments, payments, and expenditures in 2008 (provisional DAD data) - Total development aid: - Commitments: 174.69 US$ million - Payments: 172.22 US$ million - Expenditures: 146.44 US$ million - Total humanitarian aid: - Commitments: 86.16 US$ million - Payments: 77.76 US$ million - Expenditures: 52.34 US$ million - Grand Total (2008): - Commitments: 260.85 US$ million - Payments: 249.99 US$ million - Expenditures: 198.78 US$ million - Table 8: Status by pillar and area (US$ million) - Pillar 1 (Security, peace, and justice) - Security, peace, and justice: Commitments 28.83 Payments 27.87 Expenditures 21.59 - Total Pillar 1: 28.83 27.87 21.59 - Pillar 2 (Governance and the rule of law) - Business environment: 4.17 5.82 3.15 - Governance: 21.53 47.46 44.66 - Population and gender: 0.62 1.11 1.06 - Other (project audits, etc.): 1.94 1.99 2.21 - Total Pillar 2: 28.27 56.38 51.07 - Pillar 3 (Economy — Transportation and infrastructure) - Arts and culture: 1.04 1.04 0.98 - World development: 6.70 3.87 4.53 - Water and sanitation: 5.71 4.78 4.48 - Energy: 1.19 2.25 1.08 - Forests: 3.06 7.70 4.54 - Minds: 0.96 0.96 0.96 - Transportation and infrastructure: 36.48 13.31 20.14 - Total Pillar 3: 55.12 33.91 36.70 - Pillar 4 (Human capital) - Education: 7.72 6.92 5.55 - Health: 51.50 33.69 21.66 - HIV/AIDS: 3.26 13.45 9.87 - Development aid — Total Pillar 4: 62.48 54.07 37.08 - Development aid total: 174.69 172.22 146.44 - Humanitarian aid areas (selected): - Multisectoral assistance for refugees and displaced persons: 4.75 4.67 4.64 - Coordination, logistics, and common fund: 17.89 17.03 8.44 - Water and sanitation: 2.92 2.40 1.60 - Education: 8.51 2.76 2.68 - Protection: 1.33 1.21 1.29 - Recovery and infrastructure: 3.06 2.46 1.47 - Health: 4.57 4.84 5.45 - Food security and agriculture: 43.13 42.39 26.77 - Total humanitarian aid: 86.16 77.76 52.34 - Definitions (OECD terminology): - Commitments: A firm obligation, expressed in writing in the year in question... Commitments are recorded in the full amount of the expected transfer, irrespective of the time required for the completion of payments. - Payments: The provision of resources to an implementation agency or disbursement of funds by the public sector... Payments are recorded in the full amount of the transfer, irrespective of the time requirement to complete the expenditures. - Expenditures: Transfers in cash or in cash equivalents to beneficiaries or implementation agencies for the provision of goods or services as shown in invoices, receipts, vouchers or other similar accounting documents. - Constraints owing to the provisional nature of the DAD data: - Transition toward the ODA management system (DAD) began only in the third quarter of 2008; DAD recorded 80 percent of data for 2008. - Many partners' accounting systems do not provide reliable data prior to March 15, 2008. - Deadline for the release of first reports with 95 percent reliability by DAD expected in April 2009. - Observations on aid composition: - Humanitarian aid continued to account for a substantial share of foreign assistance in 2008: 26 percent, concentrated in food security and agriculture. - Distribution of development aid expenditures confirms critical situation in Pillar 3 (25 percent). - Governance sector accounted for 35 percent of expenditures in 2008. - Security and peace and health sectors each accounted for 15 percent of expenditure. ### Assessment of PRSP implementation — Pillar I: Restore security, consolidate peace, and prevent conflict - Context and rationale: - Security and peace situation is very fragile, undermined by weak and highly politicized security forces, defective judiciary, and poor governance. - Government made this the first pillar of the PRSP; four areas of focus selected: - Strengthening human and material capacities of the FDS (defense and security forces). - Reform, restructuring, territorial reorganization and coordinated, participatory transformation of the FDS, including preparation of a white paper. - Sub-regional security and efforts to contain proliferation of small arms and light weapons. - Education, development and restoring trust between the public and the FDS. - Measures taken to strengthen FDS (selected, with precise figures where provided): - Reinforced staffing for the gendarmerie: 196 new agents ("student gendarmes") now being trained. - Establishment of a school for officers and sub-officers: 60 students admitted in the first cohort and undergoing training. - Continuation training of 2 to 8 weeks for members of the FDS: 960 agents received training in civics, ethics and international humanitarian law, financed by the government. - Provision of uniforms and materials to the police force: 300 police officers outfitted by French technical cooperation authorities. - Lobbying for funds: US$10 million raised through the Peace Consolidation Fund. - Military programming law is being finalized. - National commission to draw up legislative framework for municipal police established. - Prime ministerial order instituting framework of action for sectoral implementation and follow-up. - Committee established to publicize international humanitarian law (IHL). - Guidelines under discussion for preparation of the national defense white paper. - Introduction of refresher training for national police agents in partnership with BONUCA. - 12 outreach campaigns for areas where garrisons are to be reestablished. - Justice sector support (UNDP, EU, World Bank — selected items): - High courts of Bozoum, Bossangoa, Kaga Bandoro and Sibut equipped with vehicles, office furnishings and computers. - Two courthouses built at Bossangoa and Kaga Bandoro; Bozoum and Sibut rehabilitated. - 22 regional courts operational. - Continuation training for magistrates at ERSUMA in Benin. - 42 magistrates and 5 court clerks trained at ENAM in Bangui. - Other court officers trained at Ndélé and Birao by MINURCAT. - Judges of the Court of Accounts sent for professional development in Paris and Cotonou. - Court of Accounts budget increased from US$10,000 (CFAF 5 million) in 2008 to US$40,000 (CFAF 20 million) in 2009. - Expected impacts: - Measures targeted at police, army and justice system aim to improve behavior of FDS and prison guards, create climate of confidence, and reduce repeat offenders in detention. - Pillar I institutional progress: - National seminar on reforming the security sector held April 2008 in Bangui; preparatory committee members received training with UNDP support; conclusions submitted to partners in Yaoundé, May 25-27, 2008; final report published August 23, 2008; government working to implement conclusions. *Source: CTP/PAS; Ministry of Planning, Economy, and International Cooperation; DAD (as provided in the source content).* ### conclusions and recommendations for addressing the challenges identified. ### _cr09240 - conclusions and recommendations for addressing the challenges identified. ### Security sector reform and the FDS - An ad hoc committee has been set up to review all laws and regulations relating to the FDS. - The upgrading of the Central African Police has been enshrined in Law 08.016 of May 20, 2008, the Special Police Statute. - Identified obstacles: lack of professionalism in the FDS and absence of trust between the security forces and the people. - Government intent: pursue actions to protect the public and develop a police force focused on prevention and able to work with the local community. ### Sub-regional security and control of small arms and light weapons - Proliferation of small arms and light weapons is attributed in part to recurrent conflicts in neighboring countries, especially Chad, Democratic Congo, and Sudan. - Government plans to work with neighbors at the sub-regional level and pursue cross-border initiatives to consolidate peace. - Results from disarmament/demobilization initiatives: - 921 weapons collected by the PRAC and MINURCAT. - Under the PRAC, 4,590 former combatants have been demobilized and socially reintegrated. - 429 weapons collected were incinerated on August 23, 2008. - Ongoing needs: surveillance of the territory in general and of borders in particular. - International recognition: admission of the CAR on June 12, 2008 into the action plan of the United Nations Peace Building Commission. ### Education, outreach, and restoring trust in the FDS - Outreach and community engagement: - 12 outreach sessions for local people organized and funded by the government in areas where garrisons are to be reestablished and the FDS are to be redeployed. These sessions include CIMIC (Civilian-Military Cooperation), sporting and cultural activities. - Several dismantling and control missions conducted; 25 illegal roadblocks have been removed. - Training provided to village and neighborhood chiefs in Bossangoa, Bozoum, Kaga Bandoro and Sibut on limits of their powers. - Discussion sessions held in schools between the police and national NGOs. - "Open door" days have been instituted. - Results: activities have created a more relaxed environment that needs rapid consolidation via consensus on major problems and implementation of Inclusive Political Dialogue conclusions. - Peace accords and amnesty laws: - Peace accord with Front Démocratique du Peuple Centrafricain (FDPC) signed at Syrta in Libya on February 1, 2007. - Peace accord with Union des Forces Démocratiques pour le Rassemblement (UFDR) signed on April 1, 2007 at Birao. - Peace accord with Armée Populaire pour la Restauration de la Démocratie (APRD) signed on May 9, 2008 at Libreville, Gabon. - Global Accord signed on June 21, 2008 at Libreville. - Three amnesty laws voted on September 29, 2008 by the National Assembly and promulgated on October 13, 2008. - Inclusive Political Dialogue (IPD): - Held in Bangui from December 8 to 20, 2008, involving all Central African political protagonists. - Produced consensus and strong recommendations in: (i) politics and governance, (ii) security and armed groups, and (iii) socioeconomic development. - Adoption of principle to establish a new government to run affairs of state by consensus. - Result: establishment in January 2009 of a government based on broad consensus, and a census of former combatants as part of the DDR program. ### Monitoring reform activities in the security sector (Box 4) - FACA and Gendarmerie: - Retirement of personnel at the age limit and multiethnic recruitment; agreement with donor to help government pay salary arrears finalized. - A national recruitment competition is being supervised by local authorities and an external observer. - A committee to review and update laws and regulations is now operating. - The Financial Expenditures Program Law is now being finalized. - 960 FDS members have been trained. - Monthly press briefings on status of government reform activities: Not achieved. - 12 outreach campaigns have been organized. - 25 illegal roadblocks have been dismantled. - National Police: - The special police statute has been promulgated (Law n°08.016 of May 20, 2008). - Awareness campaigns have been organized for political, administrative and judicial authorities. - 300 police kits supplied by the French technical cooperation authorities. - Justice: - 4 wardens and 12 guards have been trained for women's prisons. - The Judicial Security Support Program (PRASEJ) is underway. - Water and forests: - The forestry code has been promulgated (Law 08.022 of October 17, 2008). - Community awareness campaigns and public information systems on forestry sector activities implemented. - Social communicators contracted in PEA units; outreach and awareness service sponsors radio and TV broadcasts and press articles under the “Pendere Gbako” program. - An economic observatory created involving several ministerial departments (Ministry of Planning, the Ministry of Finance, CTP/PAS). - Partners recommended posting information on financial flows to the communities in the communes. ### Promote good governance and the rule of law - Pillar two of the PRSP: good governance and restoration of the rule of law to restore private sector confidence, boost investment, promote democracy and human rights, combat corruption, and improve fiscal management. - Two key themes: promotion of good governance and of gender equality and equity. Subthemes and measures: - Promotion of a democratic culture: - Four activities: (i) support plan for National Assembly, Constitutional Court, High Council of Communication, National Dialogue Follow-Up Committee (CDADN); (ii) reorganization and capacity building for civil society; (iii) development of media capacities; (iv) promoting permanent political and social dialogue. - Achievements: Media Observatory established and outfitted; department of information and communication sciences being created at University of Bangui; community radio stations set up in Paoua, Kaga-Bandoro, Birao; broadcasting center at Bimbo being expanded. - Inclusive Political Dialogue preparatory committee recorded signatures with four rebel movements; general amnesty issued; political conference held in December 2008; dialogues launched with labor unions. - Funding: UNESCO and China have provided funding in the order of US$1.6 million, or CFAF 790,706,000. - Promoting human rights: - 10 officers trained for the High Commission for Human Rights. - Revision of the general statute of the civil service and organizational audits of seven pilot ministries being finalized. - Strengthening the rule of law: - Planned activities: (i) revision and update of legislation, digitization of the Official Gazette, membership in GLIN; (ii) construction of courthouses and detention centers; (iii) reinforcing capacities of justice officials and auxiliary staff. - Improving fiscal management: - Seven planned activities: (i) preparation and adoption of new budgetary and accounting classifications; (ii) preparation and introduction of guidelines and manuals of expenditure procedures and control; (iii) update of the tax base and taxation regimes; (iv) strengthening the customs clearing house at Douala and establishing those for Pointe-Noire and Garoua; (v) upgrading customs facilities at Bamboula and Béloko; (vi) introducing an integrated fiscal management system (SIGFIP); (vii) establishing a transparent framework for government procurement. - Program objectives under the PRGF/prudent (trend) scenario of the PRSP: - Enhance State revenues by 0.7 percentage points to 10.9 percent of GDP in 2008. - Bring public investment to 4.6 percent of GDP in 2008. - Compliance with treasury audit recommendations (AFRITAC CENTER mission) — results: - Legal framework strengthened: adoption and signature of Organic Budget Law 06.013 of June 3, 2006; signature of several decrees governing organization and functioning of the Ministry of Finance and establishing general accounting rules and government expenditure procedures. - Budget reconciliation law: accounting records for 2007 and 2008 updated and recorded; resulting management accounts will be available in June 2009. - Budgeting: initial draft of the Medium-Term Expenditure Framework (MTEF) revised after March and April 2008 workshops; technical monitoring committee established in September 2008 by inter-ministerial decree 618 and now operational. - Revenue enhancement: General Directorate of Taxation using SYSTEMIF software; General Directorate of Customs using SYDONIA software; increased tax audits and improved tax compliance; human resources at Douala customs reinforced; formula for quarterly determination of oil prices at the pump introduced. - Expenditure control: simplified procedure for administrative and financial management of government civilian and military personnel instituted by decree; new budget and accounting classifications prepared and harmonized; SYSGAD software installed in the debt management office; interagency committee created to examine requests for tax waivers and exemptions; liquidity monitoring committee created; plan adopted to clear government's domestic arrears; treasury stopped issuing checks not covered by cash balances; GESCO software installed in the General Directorate of Budget and Treasury for tracking expenditures throughout the budget chain. - Transparency: treasury's asset accounts with commercial banks audited and report available; decree restricting the opening and management of State bank accounts being enforced to reestablish a single treasury account (CUT); Law 08.017 of June 6, 2008 adopted establishing the government procurement code and delegation of public services; Decree 08.321 of September 5, 2008 governs organization and operation of the General Directorate of Procurement; Decree 08.335 of September 20, 2008 governs organization and functioning of the procurement regulatory authority. - Customs: training provided for customs officers; codes governing procedures for movement of merchandise and surveillance personnel prepared; customs office at Douala was shut down following complaints against the contractual operator (UNITECH Benin) and the exemptions committee has been made operational. *Source: _cr09240 - conclusions and recommendations for addressing the challenges identified.* ### Box 5: Follow-up to priority action on governance and combating corruption ### Box 5: Follow-up to priority action on governance and combating corruption ### Priority actions and reported results - Priority actions (as listed): - (i) Apply the provisions of articles 44 and 75 of the Constitution governing the declaration and disclosure of assets of the Prime Minister, members of the government, the Constitutional Court, and managers of public enterprises and revenue-collecting agencies [régies financières]. - (ii) prepare the budget using the new classification and submit it to parliament. - (iii) implement a new expenditure tracking system from commitment (engagement) to payment order (ordonnancement) in the budget directorate (using the new classification). - (iv) implement the simplified government personnel management system. - (v) have parliament adopt a new procurement code and begin using it. - (vi) combat corruption: - create a National Anticorruption Committee (CNLC) - prepare a national anticorruption strategy - declare a national anticorruption day - (vii) combat fraud: - Institute an antifraud committee - make the "Financial Hub" (Pôle financier) operational - Reported results (corresponding to the actions above): - (i) "21 members of the government and 12 General Directors of public enterprises and revenue-collecting agencies have declared their assets to the Clerk of the Constitutional Court and to the Office of the Inspector General." - (ii) "the 2008 budget law has been promulgated, using the new classification." - (iii) "Decree n°08.146 of April 11, 2008, regulating public expenditure procedures, defines the tasks assigned to the responsible staff." - (iv) "a simplified procedure for the administrative and financial management of government personnel was officially launched by the Prime Minister on May 29, 2008." - (v) "The Procurement Code has been promulgated (Law n° 08.017 of June 6, 2008). The General Directorate of Procurement and the public procurement regulatory agency have been created, and Decree n° 08.382 governs the appointment of their staff; a decree governing procurement officers in key ministries is expected shortly." - (vi) corruption-related results: - "The National Anticorruption Committee is operational (Decree n° 08.133 of March 31, 2008);" - "The national strategy (Draft 0) is available" - "The first National Anticorruption Day was held on December 9, 2008." - (vii) fraud-related results: - "The Antifraud Committee is in place" - "Legal proceedings are underway against 50 managers of revenue-collecting agencies." ### Governance, anticorruption, and data management — additional details and figures - Corruption and CNLC: - "Decree 08.133 of March 31, 2008 created the National Anti-Corruption Committee (CNLC), which has been operational since July 31, 2008;" - "a national expert was recruited in July 2008 under the ARCAD program, with UNDP financing, to provide standing support to the CNLC;" - "work has begun on preparing a national anticorruption strategy;" - "an inter-ministerial committee was established in June 2008 to consider ways of combating corruption in the revenue-collecting agencies, as a result of which several taxation and treasury officials have been investigated and arrested." - Data management and domestic debt (December 2008 figures): - "the SYSGAD management software has been acquired; a database for the public and State-guaranteed debt has been updated with support from UNCTAD." - "In December 2008, the updated value of domestic debt service (including debt to the IMF) stood at US$36 million or CFAF 18 billion, of which US$28.8 million (CFAF 14.3 billion) is currently up-to-date." - "Settlements to date have totaled US$15 million (CFAF 7.5 billion), including US$2.2 million (CFAF 1.1 billion) to the IMF, US$1.8 million (CFAF 0.9 billion) to the BEAC, and US$11 million (CFAF 5.5 billion) to banks and to endorsements and loans." - Confirmed government arrears to public enterprises (2005–2007): - "US$827,531 or CFAF 413,765,539 (SODECA), US$105,925 or CFAF 52,962,790 (ENERCA) and US$387,165 or CFAF 193,582,664 (SOCATEL), against invoices of US$1.9 million (CFAF 962,023,352), US$446,354 (CFAF 223,177,414) and US$2.8 million (CFAF 1,395,431,679), respectively." ### Decentralization: activities and financing - Revitalization activities undertaken: - strengthening institutions responsible for decentralization and boosting capacities of local and administrative authorities; - basic studies on decentralization feasibility; - public consultation sessions (états généraux) on decentralization; - preparation of basic legislation governing the reform; - organization of municipal elections; - creation of secondary “development hubs”. - Implemented outputs: - overhaul and outfitting of the High Commission for Decentralization; - equipping of three local radio stations (Nola, Berbérati, Bambari); - arrangements for training 100 mayors; - missions to study foreign decentralization experience; - programming activities of the inter-ministerial committee to examine basic legislation; - organization of municipal elections. - Financing support: - "The UNDP has provided nearly US$286,000 (CFAF 143 million) for these activities." ### Creating a favorable business environment — actions and outcomes - Six planned activities to improve business climate: - (i) preparing industrial and trade policy documents and a private sector development strategy; - (ii) strengthening legal security for businesses; - (iii) creating a "one-stop shop" for handling business formalities; - (iv) developing public-private partnership; - (v) restructuring the Chamber of Commerce and making it operational; - (vi) reviving structures of promotion and support for the private sector. - Reported outputs and financing: - "The CAR’s trade policy paper has been prepared and validated, a study of commercial integration has been conducted, the commercial code has been prepared and harmonized with regional and international codes, the investment charter is being revised with EU funding, and the 'one-stop shop' for business formalities (GUFE) is now operating in the city of Bangui." - "Funds raised for these activities amount to €1.245 million, or US$1.63 million." - GUFE performance: - Decree creating GUFE: "Decree 07.371 of December 17, 2007." - Time to create an enterprise reduced from "an average of 1 – 4 months to an average of 1 – 2 weeks." - GUFE processing: - "In 2008, the GUFE processed 500 applications from enterprises registered in the city of Bangui alone—as many as for the entire country in 2007 (269)." - Integrated Framework Action Plan (2008) — use of WTO funds: - "Of the US$1 million raised from the WTO, US$630,000 has been used" with results: - "1 project management unit created and operational." - "27 economic operators trained." - "3,000 tons of sesame harvested and sold." - "350 businesspeople in seven regions of the CAR trained and made aware of the importance of commercial information." - "900 voters and 50 business candidates registered for consular elections." - "Roundtable on the trade sector held on February 19, 2009, which enlisted the support of new bilateral partners (Algeria, Turkey, South Africa, India) and multilateral ones (BDEAC, UNIDO, ECA, ADB, WIPO, JEICP/ILEAP - International Lawyers and Economists against Poverty)." ### Gender equality and equity — activities, progress, and financing - Planned 2008 activities: - (i) capacity building for female leaders; - (ii) strengthening the legal, judicial and institutional framework relating to women's participation; - (iii) enlisting women in conflict resolution, pursuant to Resolution 1325. - Progress reported: - "The second of these three activities has been fully realized, while the first and third are underway." - Outputs: - sessions publicizing two laws on reproductive health and protection of women against violence targeted at legal professionals, judicial police officers (OPJ), health professionals, social workers, media professionals, youth and women's organizations and associations. - "20 women have been recruited for training as auxiliary police officers and gendarmes over a period of six months, and associations and groups of female victims of violence have received support for income generating activities." - Financing: - "These activities were supported by a grant of US$180,000 (CFAF 90 million) from the Finnish fund for peace building." - Constraints and enabling factors: - Constraints include shortage and weakness of human resources, delays in delivering program support, lack of funding for some operations, social and political resistance, inadequate flow of information and communication, organizational problems in mobilizing resources, failure to enforce regulations, social and cultural obstacles, and shifting points of focus in the PRSP. - Enablers include strong political will to implement the PRSP, popular aspirations for peace and reconciliation, and civil society insistence on participatory involvement. ### Rebuilding and diversifying the economy — strategic areas and sectoral progress - Strategic focus areas for recovery and diversification: - Modernizing agriculture and developing livestock production. - Making better use of forest resources. - Developing the mining sector. - Promoting cultural industries and arts. - Promoting tourism. - Developing transport infrastructure. - Developing energy resources. - Developing telecommunications and ICT. - Developing basic public services. #### Modernizing agriculture and livestock raising — actions and outputs - Rationale: - "72 percent of poor people live in the countryside." - FAO and donor support (post-conflict initial years): - "The FAO supported these interventions ... with a total of US$9.42 million (about CFAF 3.9 billion)." - "Nearly US$8.12 million (around CFAF 3.37 billion) was reserved for humanitarian assistance ... Of this amount, some US$5.4 million (CFAF 2.7 billion) was earmarked for crops and slightly over US$1.31 million (CFAF 655 million) for livestock production and reinforcing the capacities of partner institutions (NGOs), including government services (ICRA [Institut centrafricain de la recherche agronomique], ACDA)." - "Steps were taken to clear producers' arrears in the amount of US$4.7 million (CFAF 2,333,451,000), of which US$4.6 million (CFAF 2.3 billion) was provided by the European Union and US$100,000 (CFAF 33,451,000) by the CAR government in 2007." - Target area population share: prefectures accounting for "34 percent of the national population." - Institutional reforms: - Creation of the Agricultural and Livestock Development Fund (FDAP, Law 07.015 of June 19, 2007) and the National Agriculture and Livestock Materials Office (ONMAP, Law 07.016 of 19 June 2007). - Work with FAO to prepare a National Medium-Term Priorities Framework (NMTPF) to align with PRSP 2008-2010 and UNDAF 2007-2011. - 2008 program outputs and pilot initiatives: - "Five agricultural intensification and diversification projects have been launched in collaboration with the FAO, with financing from partners." - Crop production and food-crisis response: - inputs and small implements supplied to "8,500 vulnerable farming families" in Ombella M’Poko, Lobaye, Kémo and Bangui. - "16,000 horticultural kits were also distributed to families at risk because of HIV/AIDS." - "5,000 animal traction teams [chaines de traction animale] have been supplied through the food crisis response fund." - "224 ha of seed multiplication plots have been established in five “development hubs” (Bouar, Kaga Bandoro, Sibut, Bambari and Bossangoa)." - "a strategic stockpile of food crop seeds and farm implements has been constituted for 30,000 families." - Livestock interventions: - "104 pilot production units have been established" for small livestock revival. - Financing provided for units in disaster areas to produce eggs, day-old chicks, poultry, Guinea fowl, swine, goats and small ruminants. - FDAP and ONMAP described as "the most important steps for reviving the sector." #### Making better use of forest resources — reforms and institutions - Objectives: - rationalize exploitation; protect biodiversity; combat desertification; increase sector contribution to growth and job creation. - Legal and institutional measures: - "The new forestry code was prepared ... and was promulgated by the Head of State on October 17, 2008." - Decrees: - "Decrees n°003/MEFCPE/DIRCAB/DGEFP of January 22, 2008 and n°026/MEFCPE/DIRCAB/DGSADRI of July 23, 2008 appointed border control inspectors and created mobile 'forestry and wildlife' intervention and verification brigades." - "The forest industry Observatory, created within the Ministry of Water, Forests, Hunting, Fishing and Environment by Decree n° 027/MEFCPE/DIRCAB/CMEFCP of July 24, 2008, represents an economic intelligence gathering tool." - Financial management of forestry revenues: - "Forestry and wildlife revenues will now be deposited in a bank account opened in the Central Bank in the name of the communes." - Revenues supervised by a technical committee comprising representatives of Interior, Finance and Budget, Water and Forests. - Technical committee to validate municipal employment programs and monitor projects financed from these funds as part of the campaign against rural poverty in communities in or bordering on forest lands under operating permits. #### Mining sector — strategy, transparency, and expected operations - Strategy components: - improving legal, institutional and fiscal framework; - developing small-scale and large mining operators; - raising incomes in rural mining areas and diversifying activities; - strengthening capacities of institutions responsible for mining management and supervision and involving local people. - 2008 actions and institutional reforms: - "the government received the final report from the consultants hired to audit the mining sector as part of the work of strengthening and updating the mining code" and established an inter-ministerial committee to examine that report. - an ad hoc committee was created to draft legislation and prepare establishment of the Office of Geological and Mining Research to oversee mining modernization and the establishment of a reliable geological database. - "Decree 08.260 of July 18, 2008 established an institutional mechanism for the Extractive Industries Transparency Initiative in the Central African Republic ('EITI-CAR')," implementing the fourth of the five EITI criteria; activity supported by the ADB and UNDP. - updated legislation for the Bangui International Diamond Exchange to be submitted to the Council of Ministers. - "A law on radioactive ores [radios minerais] has been promulgated, in order to preserve the environment, and an ad hoc committee has been established." - plan for a "mining issues committee" (comité thématique mine) to support STP in preparing sectoral guidelines and coordinating program and project monitoring. - Expected outcomes: - organizational and capacity-building measures "should allow the Uramin Areva and Aurafrique companies to begin operations as planned in 2009-2010 and will encourage small-scale miners to organize and contribute significantly to increasing production." *Source: _cr09240 - Box 5: Follow-up to priority action on governance and combating corruption* ### Box 6 : Priority measures of structural reform ### Box 6 : Priority measures of structural reform ### Priority actions and achievements - Priority actions listed: - (i) publication on the government's Internet site of the report on mining revenues since 2006, prepared by the EITI administrator - (ii) Signature of a decree establishing a standard mining convention, and adoption by Parliament of amendments to the mining code to bring it into line with the convention - Achievements to date: - Technical Secretary, managers and members of the EITI-CAR Technical Secretariat appointed by decree; members of the National Council and Steering Committee appointed by decree. - A data collection and reconciliation unit created by decree to assist the administrator in collecting and reconciling data before validation and publication on the EITI website. - Terms of reference for hiring the administrator finalized and posted on the government website. - Preparatory work for revising the mining code underway; unit responsible for revising the code and preparing its application decree in place. ### Arts and cultural heritage - Context and policy: - "Cultural Charter of the CAR" promulgated in 2006, setting the main lines of government policy for arts, culture and heritage. - Sectoral policy guidelines and a cultural action program for economic and social development aligned with the PRSP. - Implementation and constraints: - Activities focused on implementing the Reading and Cultural Life Center (CLAC) network with OIF funding. - Domestic counterpart funding from the Special Capital Budget (BEC) delayed by disbursement problems, impeding rehabilitation and construction of 11 cultural centers. - Sectoral committee tasked with reviving artistic and cultural heritage to enable financing of PRSP cultural programs. ### Tourism development - Potential and legal framework: - Tourism potential based on parks, reserves and biodiversity; draft legislation prepared including a proposed tourism investment code and a tourism code of ethics. - Projects and financing: - Feasibility study on a cultural tourism center financed by CAS/DFT in the amount of US$16,000 or CFAF 8 million. - Two permits issued to private partners to open and operate a tourism and food services agency. - Conventions/protocols signed with private partners for renovation of Oubangui Hotel and Hotel du Centre, rehabilitation of a former 500-room hotel, and construction of hotels near the airport and at Kolongo. - Handicrafts and community projects: - Pilot survey of handicraft institutions underway in Bangui and interior cities. - Study of integrated trade including tourism component submitted to sectoral donors’ roundtable. - Dzanga Sangha project: tenders called for management of the Doli Lodge at Bayanga; land-use plan for lower Oubangui hills prepared. - Outline of a project for use and protection of the Alimbou forest submitted for review. - Training: - 70 staff from Boali Falls hotel, Hotel Azimut and La Méditerranée restaurant trained in hospitality and culinary techniques. - 20 others being trained under program to launch taxidermy activities. - Government objectives: - (i) make available documentation on Central African tourism, (ii) create favorable environment for tourism investment, (iii) encourage investors and tour operators, (iv) present a more positive international image of the CAR, (v) conduct marketing for Central African tourism. ### Transportation infrastructure - Strategic aim: - Break down internal and external barriers by 2015 via a coherent framework for management and maintenance of transportation infrastructure; strategy focuses on (i) strengthening institutional framework, (ii) seeking financing, (iii) building, rehabilitating and upgrading infrastructure. - Institutional and capacity measures: - Transport regulations being aligned with sub-regional and international rules; preparations underway for transport roundtable. - Revision of statutes for BTP laboratory; staff training funded at US$160,000 (CFAF 80 million). - Sampling and quality control materials acquired for US$98,800 (CFAF 494 million). - National Materials Office equipped at cost of US$3 million (CFAF 1.5 billion) by the EU. - Systems and planning: - Actions include: (i) operationalizing transportation information system, (ii) managing infrastructure within Inter-Ministerial Equipment and Transport Planning Unit, (iii) preparing feasibility studies of programs and projects. - Works completed and underway: - Road terminals built or rehabilitated at Bossangoa, Bangui and Berberati. - VIP lounge at Bangui Airport renovated by ASECNA. - Rehabilitation/maintenance performed on five major highway segments: - Berbérati-Bayanga (232 km) - Sibut-Kaga Bandoro-Ndélé (465 km) - Sibut-Bambari (200 km) - Bossembélé-Bossangoa-Benzambé (195 km) - Mbaïki-Boda (85 km) - Rural roads improved: 206 km. - Bridges and culverts improved or rebuilt: 52. - Tenders called for paving Bouar Garoua-Mboulaï Highway (154 km) with joint financing from EU, ADB and World Bank. ### Energy sector - Key issues: - Electricity supply far short of demand; hydrocarbons management weak; storage capacity at 48,000 m³ per year representing barely half of demand. - Constraints: (i) inadequate regulatory framework, (ii) no energy information system, (iii) weak ENERCA performance, (iv) unsuitable technology, (v) inadequate human resources, (vi) no national energy policy, (vii) low investment, (viii) internal and external barriers increasing isolation. - PRSP focus: - (i) further restructuring of the sector, (ii) diversification of energy sources, (iii) improved capacity for hydrocarbons management. - Institutional and legislative achievements: - Agencies established and operational: Central African Rural Electrification Agency (ACER); Central African Electricity Regulation Agency (ARSEC); Central African Oil Products Storage Company (SOCASP); Oil Product Price Stabilization and Regulation Agency (ASRP). - A national policy document on the energy sector adopted; biofuels law promulgated. - Capacity building and studies: - Four officials trained in GIS and use of computer equipment acquired with EU support. - Planned rehabilitation of power generating facilities at Boali I and II. - Studies underway: - Study of institutional arrangements for the Boali-Bangui interconnected grid. - Feasibility study for building the dam on the Kotto River (at Kembé). - Analytical study for promoting poor people's access to energy services at the decentralized level. - Salo storage terminal rehabilitated. - Risk: - Energy crisis since June 2008, partly due to deterioration of installations, threatens economic fabric, basic public services such as health, and PRSP objectives. ### Telecommunications and ICT - Institutional measures: - Telecommunications Regulatory Agency created and beginning work to clarify legislative and regulatory framework. - Government priorities: - Promote healthy competition, improve legal and regulatory framework, and expand basic infrastructure to widen availability of telecommunications, Internet, postal and financial services across the country. ### Basic public services (water, sanitation, housing, employment) - Sector challenges and priorities: - Two aspects of water and sanitation: direct impact on public health and use as a factor of production in agriculture and livestock. - Key challenges: - Boost investment to improve access to basic water and sanitation services. - Improve management and coordination. - Encourage local ownership of works and infrastructure. - Ensure sustainability through appropriate cost recovery mechanisms. - Institutional developments: - Water and Sanitation Regulatory Agency (ARSEA) and National Water and Sanitation Agency created; ad hoc committees working to operationalize them. - National Action Plan for Integrated Water Management (PANGIRE) prepared to improve sector information system, planning capacities and private sector/civil society training. - Construction and rehabilitation (governor's 2008 record): - Water: - 144 boreholes drilled - 280 boreholes rehabilitated - 184 wells rehabilitated - 21 springs improved - 15 sand filters built on experimental basis in prefectures: Nana-Gribizi, Kémo, Ouham, Ouham-Pendé, Haute Kotto, Basse-Kotto, Bamingui-Bangoran and Vakaga - These works expected to provide drinking water for 168,150 people under the Urban Development Master Plan for Bangui and secondary towns, at a projected cost of US$28.6 million (CFAF 14.3 billion). - Sanitation: - 1,630 improved traditional latrines - 66 ventilated pit latrines (VIPs) - 4 incinerators at sanitary facilities - Distribution of 15,615 hygiene kits (soap, bucket, basin, kettles) - Maintenance and training: - 44 members of district management committees (COGES) in health centers trained in management of water and sanitation facilities. - 132 local masons trained in family latrine construction techniques. - 28 social communicators trained in hygiene and sanitation. - Financing mechanism: - Terms of reference prepared for feasibility study to establish the National Water and Sanitation Fund; African Development Bank examining request to finance that study. - Housing: - Master plan for urban development in Bangui drawn up, extending to some 35,000 ha. - Draft laws and regulations for the sector under study. - Community micro-projects: - Under Programme de Microréalisations (PMR) supported by EU, training in project design and implementation provided for coaches and managers of Organisations Communautaires de Base (OCB) in Lobaye, Nana-Mambéré, Ouham and Ombella-M’Poko. ### Developing human capital — Education - PRSP objective: - Ensure "all children of both sexes, wherever their place of residence, will receive a complete and high-quality elementary (Fondamental-1) education". - Planned actions: - Expand availability of education; attract maximum number of girls and boys; increase percentage completing primary school; improve retention; raise awareness and mobilize partners. - 2010 targets: - Elementary school enrollment ratio of 73 percent for children ages 6 to 11 years, and a reduction in the current disparity between girls and boys. - Primary level completion rate of 74 percent. - Decrease in the drop-out rate to 9 percent for girls and 6 percent for boys. - Greater mobilization of stakeholders and partners. - Results to date (PAPSE / RESEN): - Three buildings renovated. - One full (six-year) primary school built. - Four schools in conflict-affected areas equipped with furniture (5,590 units). - Accelerated training for 450 elementary (F-1) school teachers in regional Centres Pédagogiques. - 832 qualified F-1 teachers hired. - Refresher courses organized for education officials and parent-teachers in Lobaye, Kémo, Nana Grébizi and Haute Kotto. - Selected schools received 2,925 readers and 2,925 mathematics textbooks. - 5,680 teaching kits acquired for all F-1 teachers. - During school year 2007/2008: 790 latrines and 528 water points constructed; 577 canteens established in 423 F-1 schools and in 54 kindergartens, serving 98,000 pupils in areas not affected by conflicts (canteens built by WFP). - Measures to improve completion and retention: - Committee established to consider using school buildings as preschool centers in Nana-Grébizi and preparation of exercise books for teachers and pupils (supported by International Rescue Committee and UNICEF). - Awareness campaigns and support for canteens, latrines, wells and school kit distribution. - Partner and community mobilization: - Training and coaching for 300 members of parents’ associations (APEs) in Lobaye Prefecture. - COOPI (with Italian cooperation) established a 1 ha manioc field tended by APE to generate income for high-school operating costs. - Partnerships with municipal governments of Kémo and Nana Gribizi to deliver birth certificates at low cost to pupils. - 100 village community representatives trained in environmental, development and reproductive health issues. - Local radio broadcasts raising parents' awareness of importance of schooling, particularly for girls. ### Developing human capital — Health and HIV/AIDS - Health system strengthening: - Recruitment, ongoing training and refresher courses for health personnel; new round of civil service hiring. - Supply of consumables (condoms, laboratory reagents, ARV, antibiotics, anti-malaria and anti-TB drugs) by the Global Fund. - Support for NGOs, associations and community organizations in TB prevention. - Renovation/construction and equipping of FOSAs (health centers). - Maternal-child health: - Decision to move to PCIME (Integrated Care for Childhood Diseases) level; PCIME expansion plan introduced for 2007-2011. - Expansion unit: health district; rollout pace: five districts first year, eight districts second year, five districts third year, three districts fourth year; fifth year reserved for evaluation. - Immunization and campaigns: - Expanded Program on Immunization financed by GAVI SSV and other partners to introduce new vaccines (Hepatitis B, Haemophilus influenzae) nationwide. - 2008 mass campaigns against poliomyelitis in children up to five years; maternal-neonatal tetanus campaign among women of childbearing age. - Measles campaign in December coupled with distribution of at least 800,000 insecticide-impregnated mosquito nets. - HIV/AIDS institutional measures and scaling: - National Plan for Monitoring and Evaluation of the National Strategic Framework against HIV/AIDS validated in March 2008. - User guide prepared for operationalization at prefecture level; prefecture technical teams to have computerized support by end of year. - Technical documentation and manual of procedures being prepared for central and prefecture coordination. - Consideration given to preparing a crosscutting medium-term expenditure framework for combating HIV/AIDS. - Care and decentralization: - Support provided to care facilities for affected persons (orphans, at-risk children, widows) in sub-prefecture seats. - Comprehensive care for widows, orphans and persons living with HIV provided in seven prefectures and Bangui by a community-based NGO supported by the Global Fund and WFP. - Awareness campaigns targeted at road/waterway users, prostitutes, men in uniform, Pygmies, Peulhs, public and private sector workers, and inhabitants of mining areas. - Some health centers equipped with rapid testing and fungible materials to encourage voluntary screening. - 13 new ARV units created through decentralization. - Result: 700 new PLWHs will receive ARV in addition to more than 7,800 who are already undergoing treatment. *Box 6 : Priority measures of structural reform — content from the provided IMF chapter excerpt.* ### Box 7 : Priority actions in the social and HIV/AIDS sector ### Box 7 : Priority actions in the social and HIV/AIDS sector ### Priority actions - (i) Recruitment of 750 additional teachers for primary school. - (ii) Introduction of educational and administrative measures to achieve a repetition rate below 20 percent in primary school in areas where schools are functioning normally. - (iii) Keeping the DTC3 vaccination rate close to 80 percent. - (iv) Distribution of at least 300,000 treated mosquito nets. - (v) HIV/AIDS: improved prevention through distribution of condoms (at least 10 million units per year). ### Achievements - (i) 850 qualified teachers have been recruited and deployed in the field. - (ii) The primary school curriculum (Fondamental 1) has been revised in accordance with the "skills approach" paradigm and Decree N°032/MENAESR/D.CAB/DGEFP of May 3, 2007, regulating repetition in primary school, was put into effect during the school year 2007-2008. - (iii) The DTC3 vaccination rate was close to 84 percent in 2007, and was 65 percent at the end of August 2008. As of September 2008 a new vaccine (PENTAVALENT) combining DTC with other antigens was introduced, at the recommendation of the WHO. - (iv) 840,000 treated mosquito nets were distributed (a gift from UNICEF and the World Bank). - (v) About 9 million condoms were distributed by the Ministry of Public Health and Population, UNFPA and PSI. - With partner support, steps taken to prevent and treat HIV-related opportunistic infections (OI): some 12,000 PLWHs have been treated for OI, and Ministry offices are being supplied with Bactrim pills. 200 STI kits have been supplied to the CNLS and STI guidelines have been developed. Training for health workers to reinforce prevention of parent-child transmission of HIV was scheduled in 30 health centers during 2008; as of August 2008 training had been provided for 113 individuals (58 men and 55 women) in 12 health centers (Kokoro Boeing, Damara, Bogangolo, Boali, Bossembélé, Yaloké, Bossongo, Mongoumba, Baganda, Boganangone, Dékoa and Mala). Reagents and consumables (blood bags, etc.) have been provided for transfusions at the CMTS and in six regional hospitals. ### Youth and sport - Government commitments: upgrade sporting facilities; endow the country with sufficient human and material resources for physical and sports education. Informal and extracurricular education for youth identified as challenges. - Youth policy objectives: (i) citizenship education program for young people, and (ii) a literacy program and support for social and educational facilities for young people. Three strategic areas defined. - Actions and progress: - A National Policy for the Advancement of Central African Youth has been prepared under the youth guidance program (Programme d’Encadrement des jeunes). - Institutional capacity strengthening for youth organizations; inventory of youth associations identified 54 NGOs working in Bangui. - Renovation/building: Sibut Youth and Culture Center being rehabilitated; Birao Youth and Culture Center under construction; three reading and cultural centers restored. - HIV/AIDS among youth: national AIDS forum for youth leaders held; training seminar for “educator peers” on innovative approaches to combating STI and HIV/AIDS; support for establishment of "Information, Education and Listening Centers for Youth" nationwide, following experimental model in the Third Arrondissement of Bangui. - Sports: - Emphasis on strengthening capacities of physical education teachers and equipping regions with facilities and equipment. - A National Sports Development Policy has been prepared and is awaiting adoption. - Feasibility study in 2008 for rehabilitating and equipping facilities in 17 prefectures, at a rate of four facilities per year. - Feasibility study for construction of facilities to train 150 youth, sports and physical education workers per year and to train trainers in these fields. ### Employment - PRSP commitment: full-employment policy; improve regulatory and institutional framework; promote decent and permanent jobs; introduce specific job-creation policies and programs. - ACFPE training agency projects under PRSP: (i) an apprenticeship fund for vocational training; (ii) an employment support fund to help young people enter or reenter the labor market; and (iii) a machine shop [“maison d’outils”]. - Progress to date: - Inventory of all vocational training centers and NGOs conducted in April 2008 using agency funds. - Some 60 young people have received apprenticeship training with artisans and at the trades school. - Employment support fund established facility for bank loans; project has helped some 20 beneficiaries. - Feasibility study for tools depots underway in four prefectures (Lobaye, Mambéré Kadeï, Ouaka and Ouham); study and information mission to Dakar planned. - 40 labor inspectors and supervisors have been trained. - A machine shop has been constructed. - 120 young people have been trained in specialized workshops. - Agency sponsored labor-intensive works in local communities of the Fourth Arrondissement of Bangui, Bossangoa, Mbaiki and (coming soon) Berbérati, providing day jobs for young people. - Approaches made to the JPN (National Young Pioneers program) to support training and job-finding activities. - Additional steps: expanded technical committee to prepare national forum for national employment and vocational training policy; a new labor code is under study. ### Poverty assessment indicators - Context: PRSP based on 2003 poverty profile; no new poverty profile available; assessment uses indirect elements and 2006 Multiple Indicators Cluster Survey (MICS). #### Income indicators - Available indicators: characteristics of growth; trend in public service payroll; trend in forestry taxes paid to the communes; trend in subsistence farming and cash crop production. - Economic growth: "around 2.8 percent in 2008," a decline from 2007. - Growth still outstrips demographic growth rate, suggesting no decline in per capita incomes between 2007 and 2008, ceteris paribus. - Sectoral support to growth: livestock and public works and civil engineering sectors. Livestock operators account for 12 percent of GDP. - Government plans to pursue labor-intensive public works to broaden income distribution. - Public service payroll: - In 2008, public servants were paid a total of US$73.8 million (CFAF 36.9 billion) compared to US$72.6 million (CFAF 36.3 billion), an increase of 1.7 percent. - Nearly US$3.8 million (CFAF 1.9 billion) in commercial arrears were cleared for priority sectors (education, health, rural development and social affairs). - Forestry taxes to communes: - Taxes paid to communes in 2008 amounted to US$1.7 million (CFAF 847 million) versus US$1.9 million (CFAF 961 million) in 2007. - Government established an inter-ministerial committee to vet communes’ proposals before authorizing allocations; funds to be deposited into a holding account at the BEAC; plan to make communes outside the forests eligible for revenues from the tax. - Agricultural output: - Output of cash crops (cotton, coffee and tobacco) and staple foods (corn, manioc, groundnuts, millet, sorghum and potatoes) was virtually stagnant in 2008, damaging farmers' living standards. - Government seeks to maintain producer prices for key cash crops such as coffee and cotton. #### Standard-of-living indicators - Health and demographics: - Infant mortality rate: dropped from 130.6 to 106 per thousand between 2000 and 2006. - Child mortality rate: fell from 220 to 176 per thousand between 2003 and 2006. - Under-five mortality: 176 per thousand in 2006 compared to 157 per thousand in 1995. - Underweight children under 59 months: 23.2 percent in 1995; 24.2 percent in 2000; 28.2 percent in 2006. - AIDS prevalence rate in 2006: 6.2 percent. - Life expectancy: 39 years in 2006, 41 years in 2000, and 49 years in 1993. - Education and literacy: - Gross enrollment ratio in primary school: 102 percent in 2006. - Net enrollment ratio (ages 6 to 11): 51.4 percent overall; 55.8 percent for boys; 46.7 percent for girls. - Literacy rate for persons aged 15 to 24 years declined between 2003 and 2006: from 56.7 percent to 45.7 percent for boys; from 37 percent to 25.9 percent for girls. - Shortage of teachers and erosion of funding have impacted education quality. - Durable goods and infrastructure: - Fewer than 50 percent of households have a radio. - 7.8 percent have electricity service. - 4.4 percent have a television set. - 8 percent of households have at least one person who owns a fixed or mobile telephone. - Expectation: achievements during the first year of the PRSP expected to yield some improvement in indicators that showed favorable trends in 2006. ### Constraints and outlook #### Main constraints and threats - Key conditions required for effective PRSP implementation: mobilization of resources, effective institutional framework, favorable domestic and international economic environment. - Main constraints/threats after one year of PRSP implementation: - (i) Mobilization of resources. Difficulty mobilizing external resources or shortage of such resources; predominance of humanitarian and recovery aid increased from US$10 million in 2005 to US$70 million in 2007, and to more than US$100 million in 2008. Aid often implemented through multilateral channels and NGOs, reducing country ownership. - Government and partners agreed at the Brussels Round Table in Bangui on November 20, 2008 that the national party would control procedures used by donors and meet conditionalities for disbursement, while donors would streamline disbursement procedures given the C.A.R.’s “fragile state” status. - (ii) Insufficient human resource capacities. (Section begins but detailed diagnostics continue beyond this content unit.) *Source: _cr09240 - Box 7 : Priority actions in the social and HIV/AIDS sector* ### 48.6 percent of school age children (6-11 years of age) were not enrolled in school; the illiteracy ### _cr09240 - 48.6 percent of school age children (6-11 years of age) were not enrolled in school; the illiteracy ### Education and human capital constraints - Key statistics and observed outcomes: - 48.6 percent of school age children (6-11 years of age) were not enrolled in school. - Illiteracy rate for persons 15-24 years of age: 46 percent for boys and 26 percent for girls. - Net primary school enrollment rate was 51.4 percent. - Diagnostic: - Labor productivity is a problem linked to weak human capital formation. - Without strengthening human resource capacities, existing poverty risks being transmitted to future generations. - Government human-capital priorities: - (i) High-quality primary education for all, throughout the country. - (ii) High-quality secondary education and preparatory studies for higher education in priority technological streams to support national industry development. - (iii) Occupational training focused on acquiring know-how with priority on meeting local population requirements. - (iv) More professional university education. - (v) Extended continuing education supported by a system designed to build on experience. - Expected effect: - These efforts are intended to facilitate implementation of institutional reforms to modernize the administration. ### External shocks and the international financial crisis - Impact on growth and external accounts: - The international financial crisis and economic repercussions led to a contraction in the Central African economy, reversing a recovery that began in 2006. - Diamond and wood exports accounted for 88.8 percent of 2007 export revenue and 86.2 percent in 2008. - Export revenue decline for these commodities was approximately 27 percent in 2008. - Remittance and donor effects: - Central African migrants in 2007 transferred just under CFAF 6 billion into the country. - Expected decline in such transfers due to layoffs in host countries, with repercussions on family assistance, housing construction, and small and medium-sized enterprise creation. - Donor countries facing domestic financial pressures may contribute less to official development assistance because of crowding-out effects from bailouts and support to their banking sectors. ### Main sectoral constraints: agriculture, energy, and infrastructure - Agriculture: - Sector stakeholders prioritized microeconomic over macroeconomic objectives and sought accompanying measures (financing, inputs, rural infrastructure) that were not fully in place. - Energy: - Dependence on petroleum imports and an electricity deficit are major structural constraints. - Water and electricity registered a downward trend of -3.9 percent in 2008. - Infrastructure: - Access rates to social and economic infrastructures (health, education, roads, bridges, airports, ports, energy, water distribution, sewers, telecommunications) are very low. - Functionality of existing infrastructure must be improved to encourage private sector development. ### Outlook and main opportunities (medium term) - Overarching opportunities the government intends to exploit: - (i) Start of major works. - (ii) Implementation of development poles. - (iii) Reduction of the debt burden via the HIPC Initiative. - (iv) More rigorous fiscal management. - (v) Gradual settling of the political climate. - (vi) Gleneagles Scenario in connection with the Millennium Development Goals. - (vii) Subregional integration. - (viii) Consideration of recommendations from the Inclusive Political Dialog. - (ix) Continuation of consolidation processes with two components—security sector reform and Disarmament, Demobilization, and Reintegration. - Start of major works (financing and timelines): - 10th European Development Fund: approximately US$184 million, equivalent to CFAF 92 billion, for the period 2008-12; some disbursements and economic results expected in 2009. - EC Regional Indicative Program: community infrastructure works estimated at several dozens of billions of CFAF in 2009 and 2010. - AfDB and World Bank preparing a joint country strategy to support infrastructure, education, and health beginning in 2009. - Fast Track Initiative Catalytic Fund committee agreed US$37.78 million for the education sector for the next three years. - French authorities preparing a debt collection program; resumption of cooperation with IFAD contingent on EC settlement of payment arrears. - Development poles project: - Aim: create multisector regional engines for growth, concentrate population to deliver schools, health centers, housing, roads, water and sanitation at more reasonable costs. - Financing and technical work: UN-HABITAT conducted an exploratory mission in August 2008 and began monographic studies in first-quarter 2009. - HIPC Initiative and debt dynamics: - HIPC decision point in September 2007 provides grounds for optimism on releasing further budget resources. - Debt/export ratio: 541 percent in 2005; expected to decline to approximately 66 percent in 2008. - Completion point scheduled for June 2009. - Debt relief observed: 2008 data indicate US$16.4 million (equivalent to CFAF 8.2 billion) in debt relief versus US$3.4 billion (equivalent to CFAF 1.7 billion) for all of 2007. - 2009 budget and fiscal priorities: - 2009 budget law intended to strengthen budget management by mobilizing additional domestic resources and more effective resource allocation. - Substantial budget increases provided in relevant areas: education (10.12 percent), health (0.11 percent), rural development (53.2 percent), justice (12.6 percent), defense (20.2 percent). - Government to disseminate contracting code and prepare a manual of procedures for contracting. - Inclusive Political Dialog (IPD): - IPD took place in Bangui during December 8-20, 2008. - Developed consensual, operational recommendations consistent with PRSP strategic focuses; implementation begun with establishment of a national union and a new monitoring committee. - Recommendations to inform Disarmament, Demobilization, and Reintegration and national/community disarmament linkages in 2009-2010 Priority Action Program. - Gleneagles Scenario and MDG financing: - G-8 Gleneagles commitment: double official development assistance from US$25 billion in 2004 to US$50 billion in 2010, equivalent to US$85 dollars per person in 2010. - C.A.R. MDG and PRSP additional financing needs estimated at US$220 million per annum for the period 2008-2015. - Initial endowment of US$10 billion in an initial financing stage for 10 countries; C.A.R. preparing to use this commitment to accelerate MDG attainment. - Subregional integration: - Regional Indicative Program and CEMAC Regional Economic Program seen as opportunities to reduce inaccessibility, lower transaction costs, and promote job creation and subregional trade. - Cotton and integrated framework support: - Japanese grant: US$1.13 million, equivalent to CFAF 566,100,000, to support the 2009/2010 growing season for hippomobile planting and purchase of inputs. - Integrated framework: remaining US$370,000 (out of the US$1 million initially mobilized by the World Trade Organization) to be used for continuation of 2008 projects, two studies on a trade and credit promotion center, training of economic players and sectoral committee members, and project completion audit management. ### Conclusions and policy implications - Macroeconomic context and effects: - The first year of PRSP implementation occurred amid an unfavorable international economic environment with shocks from oil price fluctuations, export price instability, the world food crisis, and the international financial crisis—resulting in budget instability, surging inflation, aggravated foreign trade deficit, and slowed growth. - Institutional and implementation status: - Despite adverse conditions, the government and development partners established an institutional framework for PRSP implementation, monitoring, and assessment. - Substantial actions were taken by end-2008 to prevent further deterioration and to support sectoral recovery. - Primary implementation challenges: - Difficulties focus on mobilization of resources, operationalizing the institutional framework for monitoring and assessment, and insufficient human resource capacities. - Sector-specific constraints in agriculture, energy, and infrastructures remain key barriers to rehabilitation. - Policy priorities moving forward: - Maintain efforts to mobilize domestic resources and comply with conditionalities for release of external resources. - Build capacity of implementing agencies to enhance absorption and effective use of mobilized resources. - Pursue rigorous fiscal management and foster gradual easing of political and security conditions to improve the business environment. - Exploit opportunities from major works, development poles, HIPC debt relief, subregional integration, and external financing commitments to reverse the poverty trend. *Source: IMF staff report content unit _cr09240* ### Annex 1. PRSP Implementation Monitoring Matrix ### Annex 1. PRSP Implementation Monitoring Matrix ### Security - Number of military personnel receiving civic and moral training: 960 (2008 benchmark) — Level achieved in 2007: 960. - Number of press outlets in connection with confidence building efforts: 4 — Level achieved in 2007: 0. - Number of awareness campaigns targeting the local populations in garrison rehabilitation areas: 12 — Level achieved in 2007: 12. - Number of barracks built: 4 — Level achieved in 2007: 0. Comment: Financing sought for barracks construction. - Number of judiciary police officers who have received a minimum of 9 months training: 40 — Level achieved in 2007: - . Comment: Financing sought for training. - Number of uniforms provided for members of the Defense and Security Forces (FDS): 300 — Level achieved in 2007: 300. Comment: This achievement applies only to the police. - Number of persons demobilized and reintegrated: 7,000 — Level achieved in 2007: 4,590. Source: Project for reintegration of veterans and community support (PRAC). - Number of police officers recruited and trained: 400 — Level achieved in 2007: 0. Comment: Financing sought for training. ### Justice - Number of legal texts revised: 8 — Level achieved in 2007: 0. Comment: In progress. - Number of codes disseminated: 1 — Level achieved in 2007: 1. - Number of codes translated into Sango: 0 — Level achieved in 2007: 0. - Adoption of a legal career framework for magistrates: 3 — Level achieved in 2007: 3. - Number of magistrates recruited and trained: 42 — Level achieved in 2007: 42. - Number of bailiffs trained: 5 — Level achieved in 2007: 5. - Number of prison managers and female wardens trained: 16 — Level achieved in 2007: 16. - Number of courthouses built: 2 — Level achieved in 2007: 2. - Number of remand centers built or rehabilitated: 4 — Level achieved in 2007: 4. Comment: Two built and two rehabilitated. ### Governance and human rights - Number of professional and technical staff who have participated in human rights training: 10 — Level achieved in 2007: 10. - Number of awareness and education campaigns for the public, local administrative authorities, and defense and security forces: NA — Comment: This indicator will not be measured until 2009. - Number of legal texts revised and adapted to international standards submitted to the National Assembly: NA — Comment: This indicator will not be measured until 2009. - Establishment of a structure to fight corruption, misappropriation, and other similar violations: NA — Comment: This indicator will not be measured until 2009. - Number of buildings built to accommodate decentralized services: NA — Comment: This indicator will not be measured until 2009. - Number of buildings rehabilitated to accommodate decentralized services: NA — Comment: This indicator will not be measured until 2009. - Establishment of a legal monitoring and assistance service for victims of human rights violations and corruption within the High Commission for Human Rights and Governance: NA — Comment: This indicator will not be measured until 2009. ### Business climate (trade) - Number of documents on industrial and commercial policy and development strategy for the private sector prepared by the ministry: 2 — Level achieved in 2007: 2. Comments: C.A.R. commercial policy document; Commercial Code. - Number of texts prepared, revised, and harmonized by the ministry: 7 — Level achieved in 2007: 02. Comments: Commercial code harmonized with regional and international texts; Revised investment charter. - Establishment of a legal framework for state-private sector consultation: NA — Comment: This indicator will not be measured until 2009. - Number of training seminars organized by the Ministry of Trade, Industry, and Small and Medium-Sized Enterprises (MCIPME) targeting the private sector: 5 — Level achieved in 2007: 0. Comment: Financing problems. ### Promotion of gender equality and equity - Existence of a national legal instrument promoting equal opportunities for both genders: 5 — Level achieved in 2007: 4. Comment: Revision of texts (Criminal code; Code of criminal procedures; Labor code; Mining code) reflecting gender issues now being adopted. - Existence of the initial report and periodic reports of the Convention to eliminate all forms of violence against women (CEDEF): A draft is available — Level achieved in 2007: An available draft examined by the interministerial committee for validation. Comment: The initial report has not been completed as UNICEF was unable to recruit the international consultant to amend the draft report and the activity has been reprogrammed. ### Rural development - Number of regional units of the chamber of agriculture established: NA — Comment: This indicator will not be measured until 2009. - Number of laws and implementing decrees (subsidies) in respect of Agricultural Producers' Organizations provided by the government: NA — Comment: This indicator will not be measured until 2009. - Number of tractors used per year: 13. - Area of bottomlands developed and upgraded per year (hectares): 500. - Number of processing units established by the government: - Mill: 300. - Huller: 100. - Press: NA — Comment: This indicator will not be measured until 2009. - Dairy: 1. - Oil mill: NA — Comment: This indicator will not be measured until 2009. - Publication number: 1 — Level achieved in 2007: 0. Comment: Financing problems. ### Mining - Revision of implementing texts for the mining code and budget law establishing mining taxes in support of mining regions signed: 2004 mining code; Existing budget laws. - Number of prospecting operations carried out to establish geological databases: NA. - Number of mining brigade agents equipped with vehicles/uniforms: 161. - Number of small-scale miners trained: Agency for Reconstruction and Development data. - Number of mining companies established in the operating phase: NA — Comment: This indicator will not be measured until 2009. ### Infrastructure and transportation - Linear kilometers, roads rehabilitated or resurfaced: 585 — Level achieved in 2007: 0. Comments: No feasibility study and financing problems. - Linear kilometers, unpaved roads rehabilitated: 2,546 — Level achieved in 2007: 733. - Linear kilometers, rural roads rehabilitated: 1,524 — Level achieved in 2007: 206. Comment: Insufficient loan. - Number of engineering works rehabilitated or built: 130 — Level achieved in 2007: 52. Comment: 2 works built; 50 works rehabilitated. ### Waterways and forestry / Development policy operations - Number of structures and associations supported and trained in connection with forest resource co-management: 5. - Number of leaders trained: 20. - Number of awareness sessions and meetings organized: 150. - Number of professionals trained by the Ministry: 8. - Number of professionals from the regional departments trained: 175. - Number of texts, codes revised, adopted, and applied: One (Forestry code) and implementing texts — Level achieved: One Forestry code adopted and promulgated. - Number of operating permits granted to forestry enterprises by the ministry: 2. - Number of local management committees trained in resource management: 10. - Regulations prepared, adopted, and applied: 1. - Number of forestry enterprises having forestry development plans: 4. - Number of cynegetic village areas established: 7. ### Energy - Number of implementing texts for the electricity code: 4. - Production level provided by the capacities of Boali 1 and 2: 130 GWH. - Number of professionals who have attended GIS training: 4 — Level achieved in 2007: 4. - Available power (MW): 17. - Number of transport lines rehabilitated, medium tension (Km): 260. - Number of lines rehabilitated, low tension (Km): 500. - Number of transportation lines rehabilitated (transport lines) (Km): 130. - Number of price structure audits for petroleum products carried out: (no value provided). ### Water and sanitation - Number of boreholes built in rural areas: 80 — Level achieved in 2007: 144. - Number of boreholes rehabilitated in rural areas: 200 — Level achieved in 2007: 280. - Number of standpipe enclosures built in urban areas: 40. - Number of new individual hookups in urban areas: 300. - Number of VIP latrines built: 50 — Level achieved in 2007: 66. - Number of traditional latrines built or developed: 1,800 — Level achieved in 2007: 1,630. ### Arts and culture - Number of cultural exchanges established: NA — Comment: This indicator will not be measured until 2009. - Number of districts and localities in the provinces serviced by the neighborhood culture project: Project implementation in two districts of Bangui and Bimbo. Comment: Neighborhood culture projection two districts of Bangui (Kpètènè 1 and 2 in the 6th district, Galabadja in the eighth), and Bimbo (Gbalikola 2). - Construction of a cultural center: Feasibility study — Level achieved: Feasibility study available with support from UNESCO. Comment: Financing sought to build a cultural center. - Number of sites rehabilitated: 5 — Level achieved in 2007: 3. Comment: Financing sought. ### Tourism - Number of economic players subject to capacity building in the tourism area: 1,600 — Level achieved in 2007: 70. Comment: The 70 persons trained are from the following structures: BAMELEC; AZIMUT, and Le Méridien Restaurant. - Number of personnel from the National Tourism Association subject to capacity building in the area of hospitality: Not known — Level achieved in 2007: 20. - Number of tourism hotels built in the provinces having a capacity of 15 rooms: 8 — Level achieved in 2007: 0. Comment: Financing problems. - Number of ecotourism sites developed: 1 — Level achieved in 2007: 0. Comment: Financing problems. - Number of artisanal sites built: 4 — Level achieved in 2007: 0. Comment: Financing problems. ### Education - Number of F-1 classrooms rehabilitated: 200. - Number of F-1 classrooms built: 500 — Level achieved in 2007: 6. Comment: Financing problems. - Number of F-1 teachers trained and used: 750 — Level achieved in 2007: 832. Comment: 850 have been trained, including 18 withdrawals. - Number of F-1 teachers retrained: 3,000. - Number of books distributed: 6,000 — Level achieved in 2007: 2,925 (readers and 2,925 math textbooks). - Number of latrines built in schools: 250 — Level achieved in 2007: 790. Comment: World Food Program and UNICEF. - Number of schools equipped with water point/tank: 150 — Level achieved in 2007: 528 (see UNICEF). - Number of village communities subject to awareness activities (Information, Education, and Communication) on environmental, development, and reproductive health issues: 150 — Level achieved in 2007: 100. Comment: Education for Family Life and Population (EVFMP) program supported by UNFPA: 100 active teachers trained. - Number of pedagogic kits distributed to teachers (French and math textbooks): 3,000 — Level achieved in 2007: 5,680. Comment: Requirements: 5,598. Delivered by DAMECA with World Bank financing in connection with the PSES Fund. ### Health - Number of health education centers (FOSAs) rehabilitated by type: NA — Comment: This indicator will not be measured until 2009. - Number of FOSAs built (by type): NA — Comment: This indicator will not be measured until 2009. - Breakdown of health facilities (levels provided, no benchmark/achievement pairing): - Health unit: 453. - Health center (C): 124. - Health center (B): 52. - Health center (A): 39. - Prefect hospital: 20. - Regional hospital: 6. - Central hospital: 1. - Number of health personnel by category: - Number of general physicians trained: 113. - Number of specialized physicians trained: 10. - Number of technicians trained: 94. - Number of midwives/maternity nurses trained: 221. - Number of state diploma nurses trained: 298. - Number of maternity assistants trained: 253. - Number of staff trained to treat malaria: (no value provided). ### HIV/AIDS - Number of persons receiving HIV counseling and screening: 75,000 — Level achieved in 2007: 32,010. - Number of persons receiving HIV counseling and screening who know their serological results: 67,500 — Level achieved in 2007: 29,100. - Number of condoms distributed: 10,000,000 — Level achieved in 2007: 8,926,198. Comment: National Committee to fight AIDS (CNLS)+Central African Association for Social Marketing (ACAMS)+UNFPA in addition to 8,804,880 sold by PSI. - Number of operational sites for prevention of parent/child transmission of HIV/AIDS (PTPE): 60 — Level achieved in 2007: 65. - Number of persons trained in anti-retroviral treatment and CTM prophylaxis: 250 — Level achieved in 2007: 75. Comment: PSES project. - Number of FOSAs having anti-retroviral treatments, prescribe them, and/or provide clinical follow-ups: 50 — Level achieved in 2007: 62. ### Employment - Promulgation of the National Employment and Occupational Training Policy Paper: Implementation of the preparatory committee for the national forum on employment and occupational training. Comment: The bureau of the preparatory committee has been established; the process for preparing the forum is under way. - Number of texts, codes revised, adopted, and applied: NA — Comment: Labor code revised, adopted, and disseminated in all labor inspectorates. This indicator will not be measured until 2009. - Establishment of the Permanent National Labor Council: Implementing decree for the ordinance establishing the National Permanent Labor Council — Level: No. Comment: Yet to be implemented. - Number of labor inspectors or auditors trained or retrained within the ministry and operational: 40 — Level achieved in 2008: 40. - Existence of a legal framework and partnerships between the training organizations and enterprises: One directory available — Level achieved: One study completed. Comment: Labor Department (DGT) + Central African Agency for Vocational Training and Employment (ACFPE). The prefectures of Vakaga, Bamingui Bangoran, and Haut-Mbomou have not been covered owing to their inaccessibility. - Number of tool sheds built: 5 — Level achieved in 2008: 1. Comment: Lack of financing. - Number of young people trained by type of apprenticeship: 2,000 — Level achieved in 2008: 120. Comment: Lack of financing. - Number of training centers reinforced: 16 — Level achieved in 2008: 0. Comment: Lack of financing. - Number of connections for different sites, simplified procedure: Conservation Department (DGPE)-DSM Central African Armed Forces (FACA)-National Information Technology Office (ONI) DGPE-DSM FACA+ONI+ Payroll department — Level achieved: Completed. - Number of ministry audits conducted: 7 — Level achieved in 2008: 6 ministries audited: Agriculture and Livestock; Civil Service; Foreign Affairs; SGG; Health; Education. Comment: Activities are in progress. - Revision of civil service by-laws: Adoption by the government — Level achieved: Texts revised; the commission has already met in preparation for the national assembly plenary session. - Establishment of the Labor Market Management and Information System (SIGME): NA — Comment: This indicator will not be measured until 2009. ### Youth and sport - Number of youth leaders trained in entrepreneurial culture: 30 — Level achieved in 2008: 0. - Number of youth organizations having benefited from technical, material, and financial support: 20 — Level achieved in 2008: 0. - Number of young persons trained in citizens' education topics: 300 — Level achieved in 2008: 0. - Construction of an administrative building: 1 — Level achieved in 2008: 0. Comment: These activities have not been carried out owing to insufficient financing. - Number of literacy centers: 1 — Level achieved in 2008: 0. - Number of socio-educational units having citizens’ education programs: NA — Comment: This indicator will not be measured until 2009. - Number of youth missions built: 1 — Level achieved in 2008: 1. - Number of socio-educational leaders trained at the national Institute of Youth and Sport (INJS): NA — Comment: This indicator will not be measured until 2009. - Number of copies of policy documents reproduced and distributed: NA — Comment: This indicator will not be measured until 2009. ### Annex 2. PRSP performance monitoring matrix — selected indicators and 2008 outcomes - Security: - Percentage of prefectures or regions having operational barracks: 18 percent — 2008 Benchmark: 18 percent. - Number of communities affected by Civic Military Cooperation activities: 0 — Level in 2008: 2. - Population/police officer ratio: 2,945 per police officer (benchmark) — Level in 2008: 3,004 per police officer. - Population per gendarme: 2,811 per gendarme (benchmark) — Level in 2008: 2,868 per gendarme; Level achieved in 2008: 2,536 per gendarme. - Justice: - Average duration to process flagrante delicto cases in all three courts: 8 – 15 days (benchmark and 2008 benchmark) — Level achieved in 2008: 15-30 days. Comment: Insufficient number of judges. - Average duration of trials: 8 days (benchmark and 2008 benchmark) — Level achieved in 2008: 30 days. Comment: Insufficient number of judges. - Percentage of criminal trials delayed: 0 percent (benchmark) — 2008 benchmark: 60 percent — Level achieved in 2008: Not known. Comment: Data not processed. - Number of cases of misappropriation of public assets taken to court: 12 (benchmark) — 2008 benchmark: 40 — Level achieved in 2008: 50. Comment: Insufficient number of judges. - Average preventive incarceration period for flagrante delicto cases: 15 days — 2008 benchmark: 15 days — Level achieved in 2008: 30 days. Comment: Insufficient number of judges. - Population/magistrate ratio: 42,166/ magistrate (benchmark) — 2008 benchmark: 28,682/ magistrate — Level achieved in 2008: 22,406/ magistrate. Comment: + 42 magistrates. - Population/court: 140,555 (benchmark) — 2008 benchmark: 143,412/ courts — Level achieved in 2008: 195,562/court. Comment: The government must make substantial efforts. - Number of operational courts in each region: 4 (benchmark and 2008 benchmark) — Level achieved in 2008: Region 1=4; Region 2=4; Region 3=4; Region 4=3; Region 5=3; Region 6=4. Comment: 22 courts distributed in the six regions. - Number of attorneys registered with the bar association: 98 (benchmark and 2008 benchmark) — Level achieved in 2008: 108. Comment: 10 new attorneys are registered with the office. - Business climate (trade): - Number of cases processed by the one-stop window: Not known (benchmark) — 2008 benchmark: 600 — Level achieved in 2008: 500. - Number of enterprises established: 356 (benchmark) — 2008 benchmark: 400 — Level achieved in 2008: 500. - Period of time required to establish an enterprise: 1 month (benchmark) — 2008 benchmark: 3 weeks — Level achieved in 2008: 7-15 days. - Promotion of gender equality and equity: - Number of women deputies: 10 (benchmark and 2008 benchmark) — Level achieved in 2008: 9. - Number of women in government: 4 (benchmark) — 2008 benchmark: 5 — Level achieved in 2008: 4. - Number of women in senior management (Managing Directors, Town councilors, Ministerial cabinet members, etc.): 40 (benchmark) — 2008 benchmark: 50 — Level achieved in 2008: 42. - Rural development: - Rate of operational agricultural producers' organizations: 8 (benchmark) — 2008 benchmark: 10. - Overall rate of increase (in percent) in key food output: 4 (benchmark) — 2008 benchmark: 5 — Level achieved in 2008: 2.6. - Number of hippomobile teams used/year: Not known (benchmark) — Level achieved in 2008: 2,000. - Cash crop production (in tons) — Level achieved in 2008: - Cotton: 2,800 (benchmark) — 2008 benchmark: 4,000 — Level achieved in 2008: 3,636. - Coffee: 1,600 (benchmark) — 2008 benchmark: 2,000 — Level achieved in 2008: 1,816. - Tobacco: Token entry (benchmark and 2008 benchmark). - Annual herd growth rate: - Cattle: 2.2 (benchmark) — 2008 benchmark: 2.8. - Sheep: 5.2 (benchmark) — 2008 benchmark: 5.5. - Goats: 5.7 (benchmark) — 2008 benchmark: 6.1. - Pigs: 4.3 (benchmark) — 2008 benchmark: 4.8. - Poultry: 4.2 (benchmark) — 2008 benchmark: 4.7. - Annual rate of increase in truck farming output: 4 (benchmark) — 2008 benchmark: 5.3. - Mining: - Geological database available: Not known (benchmark) — 2008 benchmark: NA — Comment: This indicator will be measured beginning in 2009. - Share of mining revenue in total revenue: 3 percent (benchmark) — Level achieved in 2008: 3.02 percent. - Transportation and infrastructure: - Paved road density: 0.17 (benchmark) — 2008 benchmark: 0.24 — Level achieved in 2008: 0. Comment: Financing problems. - Non-rehabilitated national road density: 0.42 (benchmark) — 2008 benchmark: 0.45 — Level achieved in 2008: 0. Comment: Financing problems. - Regional road density: 0.24 (benchmark) — 2008 benchmark: 0.30 — Level achieved in 2008: 0.05. Comment: Financing problems. - Rural road density: 0.05 (benchmark) — 2008 benchmark: 0.06 — Level achieved in 2008: 0.012. Comment: Financing problems. - Waterways and forestry: - Forest revenue from taxes in the state budget: 6,500,000,000 (benchmark) — 2008 benchmark: 7,500,000,000. - Rate of compliance with specifications by forestry companies: 45 percent. *Source: _cr09240 - Annex 1. PRSP Implementation Monitoring Matrix* ### 56.5 percent ### _cr09240 - 56.5 percent ### Performance indicators — Overview (selected sectors) - Development in the log processing rate: 15 percent → 33.5 percent - Processing loss rate: 60 percent → 43.5 percent - Development in protected areas: 11 percent → 14 percent - Number of village cynegetic areas established: 8 → 7 - Number of small-scale enterprises and industries established: 10 existing SME/SMIs → 11 - Number of studies ordered: Not known → 8 ### Energy - Number of cuts (load reductions): (no numeric values provided) - Average load reduction period: (no numeric values provided) - Developments in revenue from energy produced: (no numeric values provided) ### Water and electricity - Drinking water coverage rate, rural areas: 31 percent → 33 percent - Drinking water coverage rate, urban areas: 30 percent → 32 percent - Population access rate to an adequate sanitary system: 52.5 percent → 55.0 percent ### Arts and culture - Rate of increase in commercial cultural activities around the marketplaces: 0 → 15 percent → 0 percent (Not completed) - Number of temporary jobs created: 20 → 10 → 0 percent (Lack of financing (state budget)) - Number of permanent jobs created through the development of heritage sites: 0 → 20 → 0 percent (Lack of financing) - Number of management plans for cultural and commercial development of sites on the available indicative list: 0 → 3 → 0 percent (No financing (UNESCO)) - Number of reading and activity centers (CLAR) built or rehabilitated: 0 → 11 → 3 (International Organization of the Francophonie (OIF) Financing available; UNICEF support for the construction of a building; State budget and negotiation with UNDP) ### Tourism - Number of tourists visiting tourist sites (Bayanga): 586 → 849 (Token entry) - Number of tourists arriving to attend meetings: 3,746 → 7,052 (Token entry) ### Education - Student/classroom ratio: 92/1 → 88/1 - Student/seat ratio: 3/1 → 3/1 - Students/trained teachers ratio: 98/1 → 98/1 - Students/book ratio: 6/1 → 5.5/1 - Percentage of schools having sanitary facilities: Not known → 15 percent - Percentage of communities subject to awareness activities: Not known → 21 percent - Percent of teachers having kits: Not known → 50 percent - Student/classroom (F-2) ratio: 100/1 → 100/1 - Completion rate: 32 percent → 38 percent ### Health - Health service access rates in rural areas: 62.5 percent → 65 percent - Rate of births attended by trained health personnel: 53.40 percent → 58.9 - Contraceptive coverage rate: 19 percent → 22.7 - DTC 3 immunization coverage: 84 percent → 80 percent → 65 percent - Vitamin A supplementation rate (children aged 6-59 months): 60.2 percent → 66.8 percent - Number of districts applying the integrated care for childhood diseases program (PCIME): 11 → 8 ### Malaria, TB, and HIV/AIDS - Malaria prevalence rate: 34 percent → 29.3 percent - Proportion of households having insecticide-impregnated mosquito nets (MII): 31 percent → 47.3 percent - Detection rate, cases of tuberculosis: 71 percent → 74 percent - Percentage of young persons aged 15 – 24 who can correctly identify methods to prevent sexual transmission of HIV: 24 percent → 31 percent → Not known (The surveys required to describe the indicator were not conducted) - Percentage of HIV positive mothers receiving complete anti-retroviral prophylaxis to reduce the risk of mother-child transmission: 2 percent → 8 percent → 8 percent - Percentage of persons with HIV infection receiving anti-retrovirus therapy: 18 percent → 20 percent → 23.33 percent ### Employment, youth and civil service indicators - Number of new jobs created in the public sector: 798 → 402 - Number of civil service units established with basic operational decentralized services: Not known → NA (This indicator will not be measured until 2009) - Number of persons who have found jobs using the Job Market Information Management System (SIGME): Not known → NA (This indicator will not be measured until 2009) - Number of young people covered by the INJS service: Not known → NA (This indicator will not be measured until 2009) - Number of networks established in youth hostels: Not known → NA (This indicator will not be measured until 2009) ### Annex 3 — Development of key production activities (selected items) - Cash crops - Husk coffee (in tons): 2005: 3,500; 2006: 6,500; 2007: 7,000; 2008*: 6,300 - Seed cotton (in tons): 2005: 3,670; 2006: 2,261; 2007: 8,000; 2008*: 3,636 - Cotton fibers (in tons): 2005: 2,878; 2006: 1, 541; 2007: 950; 2008*: 3,360 - Tobacco: 2005: 177; 2006: 142; 2007: 146; 2008*: 150 - Mining - Diamonds (in carats): 2005: 383,295; 2006: 415,530; 2007: 417,691; 2008*: 382,076 - Gold (in grams): 2005: 10,400; 2006: 10,293; 2007: 12,506; 2008*: 34,000 - Wood - Logs (in m3): 2005: 454,402; 2006: 624,861; 2007: 537,998; 2008*: 560,985 - Sawn timber and plywood (in m3): 2005: 75,620; 2006: 84,304; 2007: 92,853; 2008*: 76,206 - Note: The data for 2008 are estimates. The data from growing season n-1/n were not affected during year n. ### Annex 4 — Developments in the real GDP growth rate by sector - Real GDP growth rate: 2006: 4.0 percent; 2007: 4.2 percent; 2008: 3.5 percent; 2009: 3.9 percent - Primary: 2006: 4.3 percent; 2007: 2.6 percent; 2008: 10.3 percent; 2009: 10.6 percent - Agriculture: 2006: 2.9 percent; 2007: 5.4 percent; 2008: 2.4 percent; 2009: 30.67 - Livestock: 2006: 0.8 percent; 2007: 2.0 percent; 2008: 2.4 percent; 2009: 2.3 percent - Hunting and fishing: 2006: 1.0 percent; 2007: 1.8 percent; 2008: 1.3 percent; 2009: 1.7 percent - Forestry: 2006: 23.6 percent; 2007: - 7.0 percent; 2008: 00.8 percent; 2009: -6.9 percent - Secondary: 2006: 6.1 percent; 2007: 5.2 percent; 2008: 10.3 percent; 2009: 40.4 percent - Mining: 2006: 8.0 percent; 2007: 0.5 percent; 2008: - 8.2 percent; 2009: 2.2 percent - Manufacturing: 2006: 6.5 percent; 2007: 7.0 percent; 2008: 2.5 percent; 2009: 3.0 percent - Water and electricity: 2006: 5.5 percent; 2007: 3.0 percent; 2008: - 3.9 percent; 2009: 3.5 percent - Buildings and public works: 2006: 4.0 percent; 2007: 6.0 percent; 2008: 7.0 percent; 2009: 8.0 percent - Tertiary: 2006: 3.8 percent; 2007: 7.6 percent; 2008: 5.0 percent; 2009: 4.4 percent - Transportation and telecommunications: 17.9 percent; 8.0 percent; 8.0 percent; 8.0 percent - Trade: 5.0 percent; 8.0 percent; 5.0 percent; 4.0 percent - Other commercial services: 3.0 percent; 8.0 percent; 8.0 percent; 5.0 percent - Non-commercial services: - 5.7 percent; 6.4 percent; 0.1 percent; 1.8 percent ### Annex 5 — Foreign trade by major group and product (in millions of CFAF) - Exports (selected items, Value and Structure) - Cattle: 2006: 7,279 8.2 percent; 2007: 7,692 8.2 percent; 2008: 8,119 11.5 percent - Cotton fiber: 2006: 836 0.9 percent; 2007: 521 0.6 percent; 2008: 634 0.9 percent - Commercial coffee: 2006: 1,042 1.2 percent; 2007: 1,060 1.1 percent; 2008: 1,146 1.6 percent - Tobacco: 2006: 73 0.1 percent; 2007: 75 0.1 percent; 2008: 81 0.1 percent - Diamonds: 2006: 32,666 36.7 percent; 2007: 32,288 34.3 percent; 2008: 22,198 31.4 percent - Logs: 2006: 29,031 32.6 percent; 2007: 31,541 33.5 percent; 2008: 23,445 33.1 percent - Other (sawn timber): 2006: 17,063 19.2 percent; 2007: 19,691 20.9 percent; 2008: 15,368 21.7 percent - Other value: 2006: 8,300 9.3 percent; 2007: 8,900 9.5 percent; 2008: 7,900 11.2 percent - Gold: 2006: 100 0.1 percent; 2007: 100 0.1 percent; 2008: 216 0.3 percent - Enterprises: 2006: 100 0.1 percent; 2007: 100 0.1 percent; 2008: 105 0.1 percent - Other: 2006: 8,100 9.1 percent; 2007: 8,700 9.2 percent; 2008: 7,579 10.7 percent - Exports of goods: 2006: 89,011 100.0 percent; 2007: 94,076 100.0 percent; 2008: 70,772 100.0 percent - Service exports: 2006: 26,000; 2007: 28,100; 2008: 30,400 - Total exports of goods and Nonfactor services: 2006: 115,011; 2007: 122,176; 2008: 101,172 - Imports (selected items, Value and Structure) - Petroleum products: 2006: 25,927 25.2 percent; 2007: 29,044 25.8 percent; 2008: 32,231 26.6 percent - Public sector: 2006: 10,200 9.9 percent; 2007: 11,800 10.5 percent; 2008: 13,500 11.2 percent - BEAC notes: 2006: 17,900 17.4 percent; 2007: 19,300 17.1 percent; 2008: 17,463 14.4 percent - Other: 2006: 48,900 47.5 percent; 2007: 52,600 46.7 percent; 2008: 57,807 47.8 percent - Imports of goods (FOB): 2006: 102,927 100.0 percent; 2007: 112,744 100.0 percent; 2008: 121,001 100.0 percent - Services: 2006: 66,400; 2007: 71,800; 2008: 106,500 - Total imports of goods and nonfactor services: 2006: 169,327; 2007: 184,544; 2008: 227,501 - Trade balances - Balance of goods: 2006: -13,916; 2007: -18,668; 2008: -50,229 - Balance of services: 2006: -40,400; 2007: -43,700; 2008: -76,100 - Overall balance: 2006: -54,316; 2007: -62,368; 2008: -126,329 *Source: Technical Committee for Structural Adjustment (CTP-PAS); CTP-PAS and National Institute of Statistics (ICASEES); National statistical yearbook – ICASEES.* ### Annex 6. Matrix of PRSP Priority Measures Pillar 1. Restore security, consolidate peace, and prevent conflict ### Annex 6. Matrix of PRSP Priority Measures Pillar 1. Restore security, consolidate peace, and prevent conflict ### Pillar 1 — Security, peace, and prevention of conflict - Training of the FDS - Programmed/priority: Training of FDS members and officers. - Accomplishments: 960 FDS members received civic training; 30 officers and 30 non-commissioned officers trained. - Strengthen material and human capacities of the Defense and Security Forces (FDS) - Programmed/priority: Provision of materials and equipment for the FDS. - Accomplishments: Supply of 300 police uniforms. - Reform and restructuring of the security sector - Programmed/priority: Construction and rehabilitation of barracks and premises for the FDS. - Accomplishments: (No numeric accomplishment reported in the first year column.) - Light weapons reduction - Accomplishments: Destruction in August 2008 of 429 weapons collected in connection with the PRAC. - Dismantling of illegal barriers - Accomplishments: 25 illegal barriers dismantled. - Border patrols - (No first-year accomplishment recorded in the excerpt.) - Subregional cooperation in security - Accomplishments: The C.A.R.'s admission in June 2008 to the UN Action plan for the consolidation of peace. - Disarmament, demobilization, and reintegration of veterans - Accomplishments: 4,590 veterans were demobilized and re-integrated in the PRAC framework. - Community support and awareness - Accomplishments: 12 awareness sessions organized for local populations in areas where garrisons are being restored; Open houses organized. - Strengthening of legal and judicial framework and FDS supervision bodies - Programmed/priority: Implementation of the Code of military justice and capacity building for the Permanent Military Court; strengthening FDS supervision bodies. - Accomplishments: (No numeric accomplishment recorded in the excerpt.) - Education, development of the FDS and restoration of confidence - Programmed/priority: Awareness activities for the public and FDS; training of neighborhood and village leaders. - Accomplishments: 12 awareness sessions in areas where organized garrisons are being restored; training of neighborhood and village leaders in Bozoum, Bossangao, Kaga Bandoro, and Sibut. *Source: PRSP 2008-2010 — Annual report on implementation (Annex 6 matrix excerpt).* ### Pillar 2 — Promote governance and the rule of law - Support to constitutional and oversight institutions - Programmed/priority: Implementation of the support plan for the National Assembly, Constitutional Court, High Council on Communication, and CSADN. - Accomplishments: (No numeric accomplishment recorded in the excerpt.) - Civil society and media capacity building - Programmed/priority: Reorganization and capacity building for civil society; capacity building for the media and communication on democratic culture. - Accomplishments: Establishment of an Information Sciences Department at the University of Bangui. - Promotion of democratic culture and political dialog - Programmed/priority: Promotion of ongoing political and social dialog. - Accomplishments: Establishment of an inclusive political dialog (DPI) organizing committee on June 8, 2008 and implementation of the social dialog with unions. - Human rights capacity and national action plan - Programmed/priority: Capacity building for national units responsible for human rights; preparation and implementation of a national action plan to promote and protect human rights. - Accomplishments: Training of professionals responsible for promoting various services in the High Commission for Human Rights; adoption of a draft text establishing a national committee responsible for preparing a national action plan; 10 professionals from the High Commission for Human rights have been trained. - General government reform and audits - Programmed/priority: Implementation of a new organic framework for general government; revision of the general civil service by-laws; redeployment of services within the country. - Accomplishments: Completion of audits in seven ministries; Adoption of the revised general civil serviced by-laws; Forward-looking study for Central Africa 2040. - Legal texts, courts, and justice capacity - Programmed/priority: Revision and updating of legal texts, digitization of the official gazette, membership in the Global Legal Information Network (GLIN); construction of courts and remand homes; capacity building for justice personnel. - Accomplishments: Revision of drafts for the Penal code, Code of penal procedure, and Code of military justice; undertaking of the process for the C.A.R. to join the global information network; 2 courthouses and 4 remand homes built//rehabilitated; 42 magistrates, 5 bailiffs, 4 women administrators and 12 female prison guards trained. - Public financial management and fiscal systems - Programmed/priority: Development and implementation of new budget and accounting nomenclatures; drafting guides for expenditure control and execution; updating fiscal and taxation schemes; implementation of integrated fiscal management systems. - Accomplishments: Installation of SYSGAD software in the Debt Department; Implementation of a computer system for the General Budget and Treasury Directorate; Establishment of a liquidity monitoring committee. - Government contracting and decentralization - Programmed/priority: Establishment of a transparent government contracting framework; strengthening institutions responsible for decentralization and local authorities. - Accomplishments: Adoption of the law in respect of the government contracting code; Establishment of the government contracting regulation authority; Conduct of baseline studies to enhance knowledge of the feasibility conditions for decentralization; Implementation of an interministerial committee of experts responsible for drafting underlying texts and for the organization of municipal elections. - Business environment, private sector, and gender - Programmed/priority: Drafting documents on industrial and commercial policy and strategy; strengthening legal and business security; establishment of a one-stop window for enterprise formalities; capacity building for women; legal and institutional system for women’s integration. - Accomplishments: Papers on commercial policy and strategy for private sector development prepared and adopted; Commercial code drafted; Investment charter being revised; One-stop window established under Decree 07.371 of 17 December 2007 and operational in 2008; Two training sessions for 72 national professionals; One training session for 24 members of the prefectoral committees (November 2008); Three extension sessions for two laws on reproductive health and protection of women against violence in September 2008, attended by 145 participants; Preliminary validation of a draft initial report of the Convention on elimination of all forms of discrimination against women in January 2008; Establishment of a sectoral committee on Gender and Poverty Reduction under Decree 014 of May 14, 2008 and of the Permanent Technical Secretariat under Decree 043 of November 5, 2008. - Involvement of women in conflict resolution (Resolution 1325-related) - Accomplishments and programming: Rehabilitation in progress of one building in Birao, in the amount of CFAF 7,178,800 by MINURCAT to house the training center for 30 female assistants; Purchase of uniforms and other items (December 2008) for the training of 30 auxiliary police women in the amount of CFAF 10,500,000 financed by MINURCAT; Recruitment of 20 women police officers and gendarmes for the training of auxiliary women. *Source: PRSP 2008-2010 — Annual report on implementation (Annex 6 matrix excerpt).* ### Pillar 3 — Rebuild and diversify the economy - Rural development, agriculture, and livestock - Programmed/priority: Organization of rural development forums; capacity building for chamber of agriculture and producers’ organizations; rehabilitation of professional agencies; resumption of research, supervision, and training programs; resumption of food production and seed multiplication; development of cash crops; resumption of short-cycle livestock activities. - Accomplishments: With World Bank financing (CFAF 125 million), rural development forums were organized in January 2008 with 625 participants; FAO supported agronomic research in the area of seed production, in the amount of CFAF 255 million; Supply of agricultural inputs and small equipment to 8,500 agricultural households; distribution of 16,000 horticulture kits; implementation of 224 ha of seed multiplication parcels; establishment of strategic seed stocks for food crops; farming equipment for 3,000 households; FAO Humanitarian project: FAO, CFAF 2.7 billion; and China, US$2.5 million; Implementation of 5,000 animal traction lines to produce cotton by Japan in the amount of US$1,364,096; Implementation of 104 production units as tests and preliminary assistance; Humanitarian projects (cost: US$1,079,500). - Rural roads and infrastructure - Programmed/priority: Rehabilitation and maintenance of 2,000 km of rural roads and engineering works; development of processing, storage, and intermediary transport facilities. - Accomplishments: 206 km of rural roads rehabilitated/built; 52 engineering works rehabilitated/built. - Institutional capacity for rural services - Accomplishments: Capacity building for the Planning Directorate in the computer area in the amount of CFAF 4,600,000, and computer equipment for the Statistics Directorate in the amount of CFAF 81,906,735 (With a contribution from AfDB); Implementation of the Agricultural and Pastoral Fund Development (FDAP) and the National Office for Agricultural and Pastoral Equipment (ONMAP) with two laws. - Mining sector reforms and transparency - Programmed/priority: Strengthening and updating of the Mining code; establishment of tax scheme to promote mining regions; implementation of a reliable geological database; standard specifications for mining companies; strengthening of accountability in connection with the Kimberley Process. - Accomplishments: Audit of the mining sector completed; Draft Mining code revised; C.A.R.'s membership in the Mining Sector Transparency Initiative (ITIE); An ad hoc committee has been established to draft the texts to create a geological office; Sensitize small-scale miners from Lobaye and Mambéré-Kadéï on production diamond specifications, expert appraisals, and evaluations. - Additional institutional measures: Establishment, under Decree 08.260 of July 18, 2000, of an institutional scheme for the ITIE in the C.A.R., which already has status as a candidate country; Establishment of a mining police force; Updating of texts establishing the Bangui Diamond Exchange. - Transportation and infrastructure - Programmed/priority: Capacity building for transportation management agencies; preliminary feasibility study on domestic airports and the meteorological system; rehabilitation and maintenance of transportation infrastructures; construction of bus stations; rehabilitation of secondary airports and Bangui Airport. - Accomplishments: Revision of the BTP laboratory by-laws in progress; training of its staff in the amount of CFAF 80 million; acquisition of surveying and quality control equipment in the amount of CFAF 494 million; Equipment for the National Materials Office equivalent to CFAF 1.5 billion by the European Union; Rehabilitation of four major roads: Berbérati-Bayanga (232 Km), Sibut-Kagabandoro-Ndélé (465 Km), Sibut-Bambari (200 Km), Bossembélé-Bossangoa-Benzambé (195 Km), and Mbaïki-Boda (85 Km); Construction and rehabilitation of bus stations in Bangui, Bossangoa, and Berbérati; VIP room at the Bangui airport refurbished by ASECNA. - Urban planning, housing, and public works - Programmed/priority: Strengthening institutional framework for urban planning and development; rehabilitation, drainage, and de-isolation of unhealthy neighborhoods; servicing of lots; construction of low-cost housing; updating urban cartography for Bangui and 16 provincial cities; rehabilitation and construction of public buildings. - Accomplishments: (No numeric accomplishment recorded in the excerpt.) - Forestry, fauna, and transparency - Programmed/priority: Ownership of populations in management of forestry and fauna taxes paid to communes; strengthen management of the special allocation account for forestry and tourism development (CAS-DFT); capacity building in monitoring and control. - Accomplishments: Establishment of an interministerial technical committee to manage forestry and fauna taxes; Opening of a standby account with the BEAC to manage the common forestry tax; Breeding practices in game farms to increase state revenue; Establishment of mobile intervention and inspection brigades; Appointment of border control inspectors in July 2008; Training of four professionals to use GIS and computer equipment. - Energy sector - Programmed/priority: Implementation of energy information system; rehabilitation of Boali 1 and 2 and doubling capacity; installation at Boali 3; rehabilitation and expansion of distribution network; electrification of Bria; replacement of hydroelectric plants with thermal plants in secondary centers; connection of Zongo (DRC) to ENERCA network; rehabilitation of petroleum product price structure audit; adoption of draft law establishing petroleum product price regulation and stabilization agency; establishment of storage capacities in Bocaranga and Bria; rehabilitation of study for Sudan and Chad to supply the C.A.R. - Accomplishments: Establishment of an energy database; Capacity increase for ENERCA Stations A and B; VIP room at Bangui airport refurbished by ASECNA (transport overlap). - Water and sanitation - Programmed/priority: Establishment of a regulatory agency and rehabilitation of a National Water and Sanitation Agency; restructuring of the water distribution company (SODECA); training and capacity building; feasibility study for national water and sanitation fund; rehabilitation of supply and sanitation works. - Accomplishments: Training of 132 masons in technical construction of household latrines; Hygiene and sanitation training of 28 leaders and instructors; Training of 44 management committee members from health centers; Launch of a feasibility study for the national water and sanitation fund; Construction of 144 bore holes and 15 sand filters; Rehabilitation of 280 boreholes and 184 wells; Development of 21 springs; Improvement of 1,630 traditional latrines and 66 ventilated pit latrines; Construction of 4 incinerators in health units; Distribution of 15,615 hygiene kits (soap, buckets, basins, and kettles). - Arts, culture, and tourism - Programmed/priority: Organization and promotion of the art market; establishment of cultural centers; audiovisual equipment center and recording studio; UNESCO site documentation and management plans; development of tourism code of ethics and investment charter; hospitality and culinary training; renovation of restaurants and rooms; planning of natural tourist attractions; development of reserves; construction of a convention center and cultural tourism city. - Accomplishments: Establishment of six cultural centers (four in Bangui, two in provinces Berberati and Bambari); Establishment of an audiovisual equipment center and recording and production studio in Bangui; Studies to document 10 sites on the C.A.R.'s indicative list; Hospitality and culinary arts training for 50 staff from Hotel Boali Chutes, Hotel Azimut, and the Restaurant Méditerranée; 20 further persons being trained in connection with taxidermy activities; Launch of a request for tenders for management of the Doli-Lodge in Bayanga. *Source: PRSP 2008-2010 — Annual report on implementation (Annex 6 matrix excerpt).* ### Pillar 4 — Develop human capital - Education sector investments and enrollment targets - Programmed/priority: Rehabilitation/construction/equipment of school infrastructures; provision of teaching materials; achieve elementary school enrollment rate of 73 percent for children 6-11 years; reduce girls/boys gap; training of teachers and parent teachers; accelerate teacher training and recruitment; construction of latrines and boreholes; extension of informal education for children 8-13; achievement of a primary program completion rate of 74 percent; reduction of the dropout rate to 9 percent for girls and 6 percent for boys. - Accomplishments: Rehabilitation and construction of schools in different prefectures, including refurbishment of three buildings and construction of a school complex with six classrooms and three offices in Vakaga; Equipment of four schools with 5,590 furnishings including 5,200 bench-tables; Purchase of 4,625 readers and 4,625 math textbooks; Training of 200 parent teachers, 2,300 teachers, and retraining of 3,000 teachers; Accelerated training of 450 elementary 1 teachers; Contract recruitment of 850 teachers for elementary 1; Organization of retraining sessions for civil service teachers and parent teachers in Lobaye, Nana Gribizi, Kémo, and Haute-Kotto; Training and monitoring of 300 members of parents’ organizations; Opening of cafeterias in the schools. - Secondary and vocational education - Programmed/priority: Rehabilitation, construction, and equipment of elementary 2 and post primary schools; improvement in accommodation capacity and relevance of lessons; rehabilitation and partial equipment of Bangui technical secondary school; rehabilitation of the Bérengo secondary school; development of female occupational schools in Bangui. - Accomplishments: Rehabilitation of the Bérengo secondary school; Rehabilitation and partial equipment of the Bangui technical secondary school; Rehabilitation and development of education programs for the female occupational schools in Bangui. - Health system strengthening - Programmed/priority: Recapitalization of UCM resources; support for health cooperatives in five prefectures; establishment/rehabilitation of health care personnel committees and management committees; recruitment and retraining of health personnel; integration of new health personnel into the civil service; strengthen National Health Information System; expansion of IMCI activities; provisioning with consumables. - Accomplishments: Support for NGOs, associations and community assembly organizations to prevent tuberculosis; Provisions made available by the World Fund for consumables; The World Bank is in the process of completing a program to equip 12 health education centers; Establishment of 13 new units for persons living with HIV, anti-retroviral care; Validation in March 2008 of a national plan on monitoring and evaluation of the National Strategic Framework to fight HIV and AIDS; Overall care of persons living with HIV and orphans, other vulnerable children, and widows in 7 prefectures and in Bangui with an NGO/community-based organization supported by the World Bank and World Food Programme. - Employment, vocational training, and youth - Programmed/priority: Development of a national employment and professional training policy; updating labor legal texts; capacity building for technical and occupational training centers; strengthening institutions responsible for employment and training; establishment of an employment and occupational training observatory; rehabilitation and construction of sport infrastructure; citizenship education and youth hostels; support for youth revenue-generating activities. - Accomplishments: A technical committee expanded to other ministries is being created to prepare for the national forum responsible for developing national policy on employment and occupational training; The new draft labor code was adopted by a National Assembly committee; 60 young people benefited from training through apprenticeships with crafts persons; Decree 07.177 of June 18, 2007 organizing the operation of the National Permanent Labor Committee was signed and its implementation is forthcoming; Feasibility study to be conducted in 2008 to rehabilitate and equip infrastructures in 17 prefectures; Rehabilitation of youth and cultural center in Sibut and construction of a center in Birao; 12 young people benefited from ACFPE support funds to finance their revenue-generating activities. *Source: PRSP 2008-2010 — Annual report on implementation (Annex 6 matrix excerpt).* --- _Source: https://www.imf.org/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2009/_cr09240.pdf_