1. Summary Report
The Federal government of Somalia is leading a national effort that will revive the private and financial sector through targeted interventions aimed at promoting private investment and job creation. The Somali Core Economic Institutions and Opportunities Program (SCORE) constitute one among the many strategies the government is employing to encourage private sector investment in the country.
The SCORE Project is being implemented by FGS with a Project Implementation Unit (PIU) embedded within the Ministry of Finance in Mogadishu. The PIU is supported by the WB Task Team, which includes a project coordinator and technical consultants based internationally (Washington, D.C. and Nairobi).The Ministry of Finance has the overall responsibility for the coordination and implementation of Components 1 and 3 of the Project. The Project Implementation Unit (PIU) is responsible for the day to-day administration of the Project at the Federal level for both these components.
The PIU consists of a PIU Coordinator, a Procurement Specialist and, a Financial Management Specialist. The PIU liaises with other beneficiary ministries through project focal points. The SCORE Project focal points selected are all full-time staff members of the government and/or civil service. This approach was taken in order to enhance government ownership and build sustainable in-house capacity beyond the life of the project. Each beneficiary government institution and the Central bank designate its own focal points for the project.
The project development objectives:
To improve the enabling environment for private and financial sector development;
To catalyze private investment and job creation.
2. Launching Ceremony of THE SCORE Project
A launch ceremony for the SCORE project took place at the airport in Mogadishu and there was a highly turnout of a Senior members of the Federal Government of Somalia including, the Minister of Finance, the Minister of Ports and marine transport, the Minister of Commerce and Industry, the Minister of Agriculture, representatives from the Central Bank, the Somali Chamber of Commerce, Civil Society and the World Bank SCORE team lead by the Project Task Team Leader SuhailKassim. A delegation from the Puntland State of Somalia also participated and was led by the Puntland Minister of Finance and the Chief of Staff of the Office of President.
The Minister of Finance Hon. Mohamed Aden Ibrahim opened the launch ceremony and said the following: “Private Sector Development (PSD) programming is an integral part of the conflict resolution and poverty reduction process in Somalia. By acknowledging the existence and influence of the Somali private sector, a focus on Private Sector Development helps to deliver peace dividends in the form of job creation, income generation, and improvements in access to services. The SCORE program will play an important role in this sector and is a welcomed development”.
SuhailKassim, the SCORE Project Task Team Leader of the World Bank commenced the first presentation and welcomed the participants to the meeting. He briefly presented the project inception stages and explained the responsibilities of the government including but not limited to project initiation, conclusion of negotiation and signing of Legal Agreement. He also talked about the project implementation arrangements and the role to be played by the newly established Project Implementation Units, the Focal Points and the respective Project Steering Committees.
3. Preparing Project Steering Committee MEETING
THE PROJECT STEERING COMMITTEE MEETING HELD ON SEPTEMBER 18, 2016 AT AMISOM CONFERENCE CENTER MOGADISHU-SOMALIA. The Chair, Mr. Mohamed Aden Ibrahim, Minister for Finance called the meeting at 10.10 a.m. The Minister took the opportunity to welcome all participants to the first Project Steering Committee Meeting of the Somali Core Economic Institutions & Opportunities Program (SCORE). He thanked all present for making the time to attend the meeting. In addition, the Minister recognized and appreciated the continued support of the World Bank and all other donors who were committed to providing assistance to the Somali Federal Government.
The head of World Bank delegation Mr. SuhailKasim, in his opening remarks expressed the role of Project Steering Committee and its importance of its advice and input. He also noted that the PSC can provide advice on transparency and implementation.
The main Agenda of the meeting
Provide an update on the status of component 1 implementation and performance.
To define challenges and provide recommendations for effective project implementation
AGENDA ITEM 1: PROVIDE AN UPDATE ON THE STATUS OF COMPONENT 1 IMPLEMENTATION AND PERFORMANCE
PIU Coordinator Burhan Iman provided the meeting with a brief introduction and history of the SCORE and its objectives. The PIU Coordinator provided an update on the procurement of consultancy services under Component 1a namely the Market study on Somali Financial Services, Legal expert and Port modernization services.
AGENDA ITEM 2: TO DEFINE CHALLENGES AND PROVIDE RECOMMENDATIONS FOR EFFECTIVE PROJECT IMPLEMENTATION;
Abdishakur Mohamed, Senior Advisor/focal point representing the Central Bank of Somalia (CBS) were able to highlight the role of the CBS in the SCORE project.He talked about component1a in the procurement plan where there are services the central bank is benefiting of.
Abukar M. Dahiye, the Permanent Secretary of the Ministry of Commerce and Industry commented on the legal expert services tender, and proposed that the position should be filled by a national expert, as they would be more informed on the legal environment in Somalia
Abdulkadir Khalif, PDO/SMEF Coordinator stated that two launching ceremonies took place in Garowe and Hargeisa. 8 town hall meetings were conducted in Puntland and Somaliland. Over 200 Business Development Service providers have responded to EOI. Selection and analysis ongoing. 50 applications were received by SMEs to receive TA and BDS
Mohamed Shire, DAI Coordinator made presentation about the project progress and the key achievements made. He spoke about the challenges faced by SBCF in regards delay in South Somalia of the implementation of the project
Ben Bensuku, Co-Task Team Leader stated that the project is progressing and there can be minor differences of understanding between the government and the SBCF implementing partners. But talking to each other brings mutual understanding.
Davidstated that SBCF was experiencing a hitch hindering the progress of SBCF in the zone as a result of SAP believing that they are not fully aware of the project’s operations. David also voiced out other concerns that need more open collaboration between SAP members and DAI, the implementer of SBCF project.
CLOSURE OF THE MEETING
H.E. Eng. Abdirashid Mohamed Ahmed, Minister of Commerce and Industry had his closing remarks once again thanked the World Bank and all other donors for the continued support of the Somali Government. He said that all firms applying the bids should be registered from the Ministry of Commerce and Industry. He finally stated that more discussion is required about the project specially component2 and there will be another meeting happening early October to discuss more.
4. Procurement STATUS OF SCORE PROJECT
The procurement process of the following consultancy services was completed and the contract was awarded to the successful bidders who offered the best technical and financial proposals. The consultancy services are as following:
Market Study on Somali Financial Services
Legal Expert Services
Port Modernization Service
The contractors are expected to start the assignments early January 2017 and will be working closely with beneficiary institutions including the Central Bank, the Ministry of Commerce and Industry and the Ministry of Port& Marine Transport.
The Market study is to identify the demand and supply gaps for financial services in Somalia andadvice on the range and nature of FGS’s Policy interventions in the financial sector as well as the regulatory and supervisory recommendations for the CBS. Specifically, Thestudy will explore policy and feasible green–‐ field investments opportunities that the FGS Through the Ministry Of Finance And Central Bank Of Somalia Might undertake to catalyze added private Investment and job creation
The legal expert is to conduct a legal review and diagnostic of the selected regulations, forms and tariffs. Based on outcome of the diagnostic and review, the Expert will identify legal gaps and provide recommendations. The Expert is also expected to provide training and capacity-building activities to officials at the relevant institutions.
The port modernization consultancy services will provide Port Sector Review, Port Master Planning and evaluation of Private Sector Participation in the Sector including the Review of Institutional arrangements, regulation of port services, adherence and implementation of international conventions for safety, security and environmental protection.