ANNUAL REPORT 2011 - IFAD

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54 the objectives and scope of its work. By defining the role and responsibilities of the Committee, as well as the accountability and independence of the Independent Office of Evaluation of IFAD, and by revising the evaluation approach, the revised Policy and new Terms of Reference provide a solid basis for ensuring that both IFAD’s independent and selfevaluation functions continue to evolve according to best international practice. The corporate-level evaluation on efficiency was launched in 2011 and its results will be presented to the IFAD Executive Board in 2012. During the year, the Independent Office of Evaluation assessed our achievements under the 2005 Private Sector Development and Partnership Strategy. The assessment found that IFAD has promoted greater private-sector involvement in the operations we support, particularly through increased focus on the development of value chains. However, a number of factors have constrained results. These include an overly broad definition of the private sector, insufficient leverage of existing instruments such as loans, grants and policy dialogue, and the lack of a facility that would enable IFAD to lend directly to the private sector. Five country programmes were evaluated. In Ghana, the evaluation found that portfolio performance had improved overall. IFAD’s strategic focus in the country has shifted from smaller, geographically targeted interventions to countrywide sectoral programmes. While this has meant more attention to institutional and policy issues, notably in rural finance and microenterprise support, it has also reduced investments in the poorest Upper West Region of Ghana. IFAD has fostered innovative approaches, but often with insufficient pilot testing and inadequate involvement of other donors before scaling up. In Kenya, good results were achieved in natural resource management, community development, income generation and commercialization for smallholder farmers. However, the evaluation underlined outstanding challenges, including insufficient attention to policy dialogue and strategic partnerships with other donors, numerous subsector activities and an unbalanced focus on the south-west of the country. In Rwanda, IFAD-supported interventions have helped protect soil fertility and watersheds. They have also contributed to increasing the productivity of food crops, promoting export crops and creating non-farm jobs. On the negative side, insufficient efforts and resources have been invested in partnerships, policy dialogue, knowledge management in rural finance, development of cooperatives, and support to local government. In Viet Nam, IFAD has contributed significantly to the reduction of poverty. The evaluation validates the increased emphasis on the market approach and the greater attention to ethnic minorities. However, several challenges remain. These include the strategic engagement of the private sector, strengthened partnerships and a more favourable credit environment for smallholder farmers. The evaluation recommends more systematic policy dialogue at the national level and the scaling up of innovations. Despite a difficult country context in Yemen, IFAD has achieved positive results in promoting social mobilization and access to social services, and in boosting agricultural productivity and women’s empowerment. On the other hand, we have had only limited success in enhancing poor rural households’ access to financial services, and we continue to face challenges related to overall weak government performance, among other things. There were incremental improvements in programme performance over the 18-year period reviewed, but the evaluation recommended an ongoing assessment of IFAD’s strategic directions in the light of current political instability and the wide range of challenges facing the country. Performance-based allocation system The performance-based allocation system (PBAS) assigns IFAD’s loan and country grant resources to country programmes. It also allocates grants under our debt sustainability framework. Allocations are based on rural population, per capita gross national income and country performance. Several other development finance institutions use a PBAS, including the African Development Bank, the Asian Development Bank and the International Development Association (IDA) of the World Bank. In the fourth quarter of 2011, we updated data on portfolio and rural sector performance and country scores for 2011. The updated data are reflected in the final 2011 country scores and the 2012 country allocations. These were tabled at the December session of the Executive Board and subsequently
disclosed in accordance with the procedures agreed for disclosure of PBAS information on our website (http://www.ifad.org/operations/pbas). The African Development Bank hosted the seventh PBAS technical meeting in June 2011 in Tunis. In summarizing the status of PBAS implementation, participants noted at the recently concluded IDA16 Replenishment that the current PBAS is generally working well. All loans and country-specific grants presented to the Executive Board for approval in 2011 were within countries’ PBAS three-year 2010-2012 allocations. Scaling up successful interventions to increase development impact The Millennium Development Goals and other concrete targets have led to a broad expansion of efforts to achieve real and permanent change. One component of this is scaling up successful initiatives so that they become institutionalized as the new and more effective way of doing things – which is the key to sustainable development. Scaling up takes different forms in different contexts. In Ghana, for example, in 1995 IFAD began supporting a project meant to provide a districtbased support system for small and medium-sized enterprises. The recently approved Rural Enterprises Project, the third iteration of the project, is now mainstreaming that system to nationwide coverage through institutional reform at the district, regional and national levels, ensuring that the government can cover all recurrent costs at completion. In Albania, scaling up is not based on replication or expansion but rather on geographical targeting and on value-chain development. IFAD-supported programmes have successively focused on the poorest, least developed mountain areas and gradually introduced a series of financing instruments to build and strengthen value chains. During 2011, our experience in Albania was reviewed to ensure that lessons learned inform continuing work. The findings of a 2010 review of IFAD’s approach to scaling up by the Brookings Institution have led to a number of adjustments in our approach. These have addressed our analytical framework for scaling up, operational practices and relevant instruments, knowledge, resources and incentives. Practical examples of progress include the development of MEASURING AND IMPROVING RESULTS knowledge products, guidance tools for programme design and country-level engagement, peer reviews, partnership-building and outreach. Against this background, in October 2011 IFAD hosted a series of learning and partnership-building activities. These brought together the full range of development partners: IFAD Member States, bilateral and multilateral agencies, research networks, foundations, NGOs and the private sector. Gathering these partners together provided an opportunity to promote a community of practice for scaling up in agriculture and rural development, and to identify options for improving collaboration at all levels. Reforming human resources to empower people and deliver results The evolution of human resources management at IFAD responds principally to the ongoing change and reform agenda and our growing presence in the field. Realigning our human resources to support country operations is a paramount objective of our human resources reform, as is ensuring control over the size, quality and performance of the workforce. IFAD’s presence in the field is being increased and strengthened. As at 31 December, we have issued 45 contracts to National Officers and General Service staff members in 24 locations in regions where we operate. In addition, four United Nations Development Programme contracts have been issued to national Professional staff members in four locations. Currently, there are 19 international Professional staff members in IFAD country offices, including Associate Professional Officers. At the same time, we have been working to make our headquarters operations more efficient. For example, we are undertaking a job audit with external consultants to take a fresh look at the roles and responsibilities of all staff members (as set out in their job descriptions) and determine how they align with our evolving needs and mandated activities. As our staff presence increases in the dozens of countries where we work, lines of communication become longer and longer. To enhance the integration of staff at all levels, from headquarters to the field, we conducted two week-long induction programmes in Rome, involving a total of 53 staff members serving in the field and 17 at headquarters. These programmes allowed staff to interact with each 55
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ANNUAL REPORT 2011 Enabling poor ru
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a, b IFAD at a glance, 1978-2011 TA
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Table of contents President’s for
Page 7: Under the agreement reached at the
Page 11 and 12: fl Facing challenges - sharing solu
Page 13 and 14: export to Central Asia, Europe and
Page 15 and 16: Environment and Climate Division in
Page 17: Projects funded by it are helping t
Page 20 and 21: 16 Number of ongoing programmes and
Page 22 and 23: 18 Story from the field Sowing the
Page 24 and 25: 20 An IFAD grant to the Vu-Windeshe
Page 26 and 27: 22 Over the medium term (2011-2015)
Page 28 and 29: 24 urban poor people. We support tr
Page 30 and 31: 26 Asia and the Pacific 34 countrie
Page 32 and 33: 28 Story from the field A school on
Page 34 and 35: 30 we provided technical support fo
Page 36 and 37: 32 being of poor rural households a
Page 38 and 39: 34 America is another IFAD priority
Page 40 and 41: 36 Portfolio management highlights
Page 42 and 43: 38 received loans from the 166 savi
Page 45 and 46: fl Partnerships Partnerships have b
Page 47 and 48: uild the capacity of communities to
Page 49 and 50: Indigenous Peoples Assistance Facil
Page 51 and 52: strengthens coordination of partner
Page 53 and 54: SECTION 49
Page 55 and 56: complementary. Two workshops were h
Page 57: namely policy dialogue, partnership
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Page 63 and 64: in Yemen, and the establishment of
Page 65 and 66: CHART 11 Cofinancing of IFAD-initia
Page 67 and 68: Financing by subsector IFAD’s inv
Page 69 and 70: Disbursements Disbursements of IFAD
Page 71 and 72: As part of efforts to mobilize reso
Page 73 and 74: CÔTE D’IVOIRE: Support to Agricu
Page 75 and 76: Loan amount: SDR 20.2 million (appr
Page 77 and 78: Loan amount: SDR 11.6 million (appr
Page 79 and 80: LAO PEOPLE’S DEMOCRATIC REPUBLIC:
Page 81 and 82: promoting technological innovation
Page 83 and 84: Loan amount: SDR 8.1 million (appro
Page 85 and 86: Farmers and poor rural people parti
Page 87 and 88: International Maize and Wheat Impro
Page 89 and 90: Table 12 Summary of grant financing
Page 91 and 92: Membership and representation As of
Page 93 and 94: Swaziland Tajikistan Togo Thailand
Page 95 and 96: CAMBODIA Chan Sarun - CAMEROON Clé
Page 97 and 98: IRAN (ISLAMIC REPUBLIC Mahmoud Bari
Page 99 and 100: PAKISTAN Nazar Muhammad Gondal (Jan
Page 101 and 102: TURKEY - Mehmet Mehdi Eker (April 2
Page 103 and 104: SAUDI ARABIA Bandar Bin Abdel Mohsi
Page 105 and 106: IFAD occasional papers No. 2: Resp
Page 107 and 108: Nwanze K.F., G. Thapa, and A. Seth.
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Consolidated financial statements F
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Appendix B Consolidated statement o
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Appendix B1 Consolidated statement
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Appendix D Notes to the consolidate
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Appendix D charges. An allowance is
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Appendix D Level 3: Financial asset
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Appendix D Table 1 Asset class and
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Appendix D Table 8 Alignment of ass
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Appendix D (b) Non-accrual status H
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Appendix D 31 December 876 527 The
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Appendix D NOTE 22 GRANT EXPENSES T
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Appendix D1 Statement of complement
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Appendix E Statement of IFAD-only r
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Appendix G Statement of contributio
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Appendix H Statement of loans 1. IF
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Appendix H Statement of loans 2. IF
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Appendix H Statement of loans 6. Sp
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Appendix H1 IFAD-only statement of
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Appendix I Summary of the Heavily I
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Appendix K IFAD-only statement of o
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International Fund for Agricultural
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ANNUAL REPORT 2011 - IFAD

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