Independent Evaluation Group FY26 Work Program and Budget and FY27-28 Indicative Plan Contents Executive Summary............................................................................................................................. 4 1. Introduction ............................................................................................................................... 6 a. IEG’s Mandate......................................................................................................................... 6 b. IEG Work Program in Global Development Context ................................................................ 6 2. IEG FY26-28 Work Program and Strategic Framework ................................................................. 8 a. FY26 Work Program proposal ................................................................................................. 8 b. Strategic Framework ............................................................................................................... 8 c. Thematic Directions .............................................................................................................. 11 d. Country Program Evaluations................................................................................................ 17 e. Proposed FY26-28 Evaluation Pipeline .................................................................................. 18 f. IEG Micro and Intermediate Products.................................................................................... 20 3. IEG Innovation, Knowledge Sharing, Capacity Building ............................................................. 23 a. Innovation and Methods....................................................................................................... 23 b. IEG Knowledge Management and Communications .............................................................. 24 c. Global Evaluation Initiative.................................................................................................... 26 4. Human Resources and Budget .................................................................................................. 29 a. Human Resources ................................................................................................................. 29 b. Budget.................................................................................................................................. 31 Annex 1: IEG Product Descriptions .................................................................................................... 34 Annex 2: IEG Historical Outputs FY21-24........................................................................................... 38 Annex 3: Synopses of Proposed FY26-27 Evaluations, by IEG Thematic Streams ................................ 39 Annex 4: IEG FY26-27 Evaluations – primary and intersecting themes ............................................... 49 Annex 5: IEG Budget Request – additional information ..................................................................... 50 Annex 6: IEG Monitoring, Evaluation, and Learning Plan ................................................................... 53 Tier 1: Strategic Results ................................................................................................................. 54 Tier 2: IEG Outputs ........................................................................................................................ 55 Tier 3: IEG Performance ................................................................................................................. 56 2 Abbreviations AIMM Anticipated Impact Monitoring and Measurement CCDR Country Climate and Development Report CLEAR Centers for Learning on Evaluation and Results CLRV Completion and Learning Review Validation CODE Committee on Development Effectiveness CPE Country Program Evaluation CPF Country Partnership Framework DPO Development Policy Operation ECD Evaluation Capacity Development ECG Evaluation Cooperation Group EIN Evaluation Insight Note ENAP École nationale d'administration publique ESF Environmental and Social Framework FCV Fragile, Conflict, and Violence GBV Gender Based Violence GIA Group Internal Audit GPG Global Public Goods GRID Green, Resilient, Inclusive Development IBRD International Bank for Reconstruction and Development ICR(R) Implementation Completion Report (Review) IDA International Development Association IEG Independent Evaluation Group IFC International Finance Corporation IPDET International Program for Development Evaluation Training IPF Investment Project Financing M&E Monitoring and Evaluation MAR Management Action Record MIC Middle Income Countries MIGA Multilateral Investment Guarantee Agency MTR Mid-Term Review PCR Project Completion Report PER Project Evaluation Report PPAR Project Performance Assessment Report RAP Results and Performance REDD Reducing Emissions from Deforestation and Forest Degradation SEAH Sexual exploitation, abuse, and sexual harassment WBG World Bank Group XPSR Expanded Project Supervision Report 3 Executive Summary Multiple shocks, including the accelerating climate crisis, mounting public debt, increasing food insecurity, an unequal recovery after the COVID-19 pandemic, and the effects of geopolitical conflicts, have affected the global development landscape in recent years and have jeopardized the progress made by the World Bank Group (WBG) on its mission end extreme poverty and boost shared prosperity on a livable planet. In response, the WBG is adapting its approaches by seeking out efficiencies, ways to speed up and scale up its engagements, and focusing on priority areas (as laid out in the WBG’s Global Challenge Programs (GCPs))1. The Independent Evaluation Group (IEG), in its unique role to analyze past experiences to inform future decisions, has also adapted to ensure its work is relevant for Board members as well as WBG Management. In Fiscal Year 2024 (FY24), IEG adjusted its strategic framework in line with the evolving context of the WBG, including a revision of IEG’s work streams into new thematic streams that reflect the WBG’s vertical themes of Planet, People, Prosperity, Infrastructure, and Digital Technology. In addition, IEG continues to conduct cross-cutting evaluations on Fragility, Conflict, Violence (FCV), Gender, and Private Capital, and retains its work on corporate effectiveness issues and country program evaluations. IEG started to develop Theories of Change (ToC), which will be a core component of IEG’s evaluation selection process going forward. ToCs and evidence gap maps for each of the work program’s thematic streams and additional sub-streams2 guide the identification of overarching evaluation questions and prioritization of evidence gaps that can be addressed through IEG’s work. In FY26, IEG proposes to deliver 9 thematic and corporate evaluations, 4-5 Country Program Evaluations (CPEs), plus the annual Results and Performance (RAP) report and the Validation Report of the Management Action Record (MAR), which is in line with the projected number for FY25 deliverables (7 thematic and corporate evaluations, 6 CPEs, plus the RAP and the MAR). IEG’s project level validation work has trended upwards in recent years, with Implementation Completion Report Reviews (ICRRs) increasing from 220 in FY21 to 356 in FY24; the number is projected to decrease slightly to 315 in FY25, but will likely stay at this higher level, representing a 43% increase over the last 5 FYs. Validations of private sector projects of the International Finance Corporation (IFC) have been stable, but it is expected that IEG’s coverage of Expanded Project Supervision Reports (XPSRs) will increase during FY26, from reviewing a sample of ca 40% of projects, to full validation coverage of 100% (thereby aligning with IEG’s current practice of reviewing ICRs from 100% of World Bank projects). IEG is a knowledge leader within the development evaluation community. With more than 50 years of experience and detailed data at the project level, IEG has a wealth of information which it actively 1 WBG Global Challenge Programs: https://documents1.worldbank.org/curated/en/099240410042410150/pdf/ SECBOS1c066441078180cf181d9fff8beed.pdf 2 IEG is developing TOCs for the following thematic streams and sub-streams: Agriculture, Climate Change, Corporate, Digital, Economic Growth and Jobs, Education, Energy, Environment, FCV, Fiscal/debt, Gender, Governance and Institutions, Health, Knowledge, Poverty and Social Protection, Private Capital, Social Sustainability and Inclusion, Transport, Urban, Water. 4 mines, and which is available for researchers. IEG is investing in new technological approaches and methodology and is frequently asked to provide seminars or courses to demonstrate these new approaches. To foster knowledge exchanges in response to requests from peer evaluation functions, IEG is sponsoring secondments and internships from other agencies who wish to learn more from IEG’s cutting edge evaluation methods expertise and evaluation experience. IEG is a founding member of the Evaluation Cooperation Group (ECG), which comprises the heads of the evaluation offices of multilateral development banks (MDBs) and other large bilateral development agencies. In addition, IEG is co-chair of the Global Evaluation Initiative (GEI) and co-sponsor of major global evaluation events such as the National Evaluation Capacities (NEC) Conference. Each of these fora allow for knowledge sharing through webinars, sharing of methodological papers, and joint working groups. Through GEI, IEG is also a leader in client capacity development in monitoring and evaluation (M&E), through its training programs, direct work with client evaluation teams, and management of M&E platforms such as the BetterEvaluation website. IEG is requesting a budget of $46.1 million for FY26, which constitutes a real increase of $1.7 million (3.8%). IEG is very careful with budget management. In FY23 and FY24, IEG’s expenditures were closely matched with its budget; each year, IEG has had a slight underrun of less than 0.1%. IEG expects to come in on budget again in FY25. The requested budget increase for FY26 is in line with the indicative FY26-27 budget presented to CODE and the Budget committee in February 2024. The primary uses of the additional budget funding with be to strengthen IEG’s investment in data analytics, the expansion of validation work covering IFC and MIGA, and to strengthen IEG’s work on borrower capacity development. 5 1. Introduction a. IEG’s Mandate As per its mandate, the Independent Evaluation Group (IEG) is responsible for the assessment of the relevance, efficacy, and efficiency of World Bank Group (WBG) operational policies, programs and activities, and their contribution to development effectiveness. IEG carries out all independent evaluation work, and appraises the WBG’s other evaluation systems and methods, including self- evaluation methodologies and results. IEG’s approach is two-pronged, with the aim to enhance both the accountability of the WBG in achieving its objectives and generate learning to inform the formulation of new (and course corrections of ongoing) WBG work. In addition, IEG works closely with development partners and member countries in order to foster international evaluation harmonization, to develop evaluation capacity in member countries and to encourage best practice in international development evaluation, as sound evaluation is a public good. IEG reports to the Board of Directors and carries out its responsibilities and functions under the oversight of the Committee on Development Effectiveness (CODE). b. IEG Work Program in Global Development Context Multiple shocks, including the accelerating climate crisis, mounting public debt, increasing food insecurity, an unequal recovery after the COVID-19 pandemic, and the effects of geopolitical conflicts, have affected the global development landscape in recent years and have jeopardized the progress made by the World Bank Group (WBG) on its mission end extreme poverty and boost shared prosperity on a livable planet. In response, the WBG is adapting its approaches by seeking out operational efficiencies, methods to speed up and scale up responses, and focusing on priority areas (as laid out in the WBG’s Global Challenge Programs (GCPs))3. It is also working to better collect and share knowledge with clients and partners through the new Knowledge Compact, and is increasing its focus on development outcomes (as opposed to inputs and outputs), as demonstrated through a more streamlined corporate scorecard. The WBG also seeks to identify synergies within the WBG and is increasingly moving towards “One WBG” solutions. In addition to the GCPs, the WBG places a strong emphasis on cross-cutting themes such as Gender, Climate, FCV, and the private sector role in development, as well as persistent development issues such 3 WBG Global Challenge Programs: (i) Forests for Development, Climate, and Biodiversity, (ii) Energy Access and Transition; (iii) Accelerating Digitalization; (iv) Food and Nutrition Security; (v) Enhanced Health Emergency Prevention, Preparedness and Response; and (vi) Fast-Track Water Security and Climate Adaptation. https://documents1.worldbank.org/curated/en/099240410042410150/pdf/SECBOS1c066441078180cf181d9fff8be ed.pdf 6 as debt sustainability and fiscal management, development of human capital, investment in infrastructure, and digital transformation. The Independent Evaluation Group (IEG) has a unique role to play in helping the WBG address these and other long-term development challenges. Through conducting new evaluative work and mining existing evidence, IEG generates insights, lessons, and recommendations at thematic levels as well as project levels. IEG has collected over 50 years of project-level data, which allows it to create a rich body of evaluation knowledge to provide the WBG with a long-term perspective on what works and what does not, to improve socio-economic development IEG regularly consults with the Board and with WBG Management to realign its work in accordance with the most critical priorities. Recent evaluations have covered pressing issues of the WBG including on the topics of debt and fiscal management, private sector participation in climate action, learning crisis, gender equality, undernutrition, energy efficiency, the Blue Economy, and the World Bank’s engagement in situations of conflict, to name a few. In the coming years, IEG is planning evaluations that look closer at the WBG’s experiences in projects relevant for the GCPs, with the aim to inform the future direction of these programs. In addition, IEG continues its strong focus on cross-cutting themes including Gender, FCV, Private Capital, Climate and Jobs. IEG also evaluates key corporate issues affecting development effectiveness, for example in recent evaluation on Procurement in IPF, and accelerated evaluations on the Multiphase Programmatic Approach (MPA) instrument and IFC Platforms. In the coming years, IEG will deliver evaluations on corporate priorities including the World Bank’s Environmental and Safeguards Framework, the IFC Sustainability Framework, and a formative evaluation of the WBG’s corporate scorecard. 7 2. IEG FY26-28 Work Program and Strategic Framework a. FY26 Work Program proposal In FY26, IEG proposes to deliver 9 thematic and corporate evaluations, 4-5 Country Program Evaluations (CPEs), plus the annual Results and Performance (RAP) report and the Validation Report of the Management Action Record (MAR), which is in line with the projected number for FY25 deliverables (7 thematic and corporate evaluations, 6 CPEs, plus the RAP and the MAR). See Table 1 on pages 18-19 for the proposed FY26-28 evaluation pipeline. b. Strategic Framework IEG’s work program pays special attention to today’s pressing development issues and builds on the selection drivers used in previous years (Figure 1). The selection of evaluation topics is also based on the level of urgency and timeliness to feed into institutional strategies, mid-term reviews, and pressing global events and discussions. From the large universe of development issues, IEG narrows its focus in a series of steps, taking into consideration factors such as WBG strategic priorities, alignment with IEG’s mandate, and Board and WBG Management interest and absorptive capacity. Figure 1: IEG Selection Drivers 8 i. Thematic streams overview In FY24, IEG adjusted its strategic framework in line with the evolving context of the WBG, including a revision of the work streams into new thematic streams that reflect the WBG’s vertical themes of Planet, People, Prosperity, Infrastructure, and Digital Technology. In addition, IEG continues to conduct cross- cutting evaluations on Fragility, Conflict, Violence (FCV), Gender, and Private Capital, and retains its work on corporate effectiveness issues and country program evaluations (see Figure 2). Figure 2: IEG’s Revised Thematic Streams and Cross Cutting Themes ii. Theories of change Theories of Change (ToC) will be a core component of IEG’s selection process going forward. IEG develops ToCs for each of the work program’s thematic streams and additional sub-streams4 to guide the identification of overarching evaluation questions and prioritization of evidence gaps that can be addressed through IEG’s work. IEG has appointed Thematic Leads (TL) among its staff to lead on specific ToCs. Each TL is tasked with reviewing relevant literature, engage with operational counterparts in the WBG, identify existing knowledge gaps, and propose a ToC framework to IEG’s leadership with suggestions for evaluations to conduct and when. Depending on the identified evidence gaps, IEG internally considers what product is 4 IEG is developing TOCs for the following thematic streams and sub-streams: Agriculture, Climate Change, Corporate, Digital, Economic Growth and Jobs, Education, Energy, Environment, FCV, Fiscal/debt, Gender, Governance and Institutions, Health, Knowledge, Poverty and Social Protection, Private Capital, Social Sustainability and Inclusion, Transport, Urban, Water. 9 best suited to address the issue – be it a full evaluation, a synthesis of existing work, or a cluster of project evaluations on a relevant topic or theme. It is recognized that this is an iterative process, and each ToC will be continually refined over the years as evaluation work is done and new priorities emerge (Figure 3). Figure 3: Typical development process for a Theory of Change iii. Consultation process Consultations are an important complement in the development of IEG’s work program proposals each year. Consultations with members of the Board’s Committee on Development Effectiveness (CODE) and WBG management, and technical staff help IEG to refine the strategic choices about the IEG work program to ensure it is relevant and aligned with key priorities, overall resources, and with the main development challenges affecting the member countries of the WBG. During the process of developing ToCs, carrying out the evidence gap mapping, and developing proposals for evaluations, Thematic Leads met with operational staff at the technical level. These discussions were invaluable inputs into the development of the proposed topics. As FY24-25 have been transition years to adjust to a new budget cycle, IEG has had three rounds of consultations over the last 15 months: (i) October 2023 – January 2024 to obtain preliminary approval for the planned work program, in order to submit a budget request for FY25; (ii) February 2024 – May 2024 for the formal approval of the FY25 program and indicative FY26-27 program; and (iii) November 10 2024 – January 2025 on the proposed FY26 work program and budget with FY27-28 indicative plan. Having completed these three rounds of consultations, IEG are now aligned with the new budget cycle and will conduct future work program consultations once per year only, in time with the new budget cycle. c. Thematic Directions Based on the ToCs, IEG’s Thematic Leads have begun the process of identifying areas where key evaluative evidence is needed. Many of the sectoral topics cut across multiple verticals, or heavily contribute to the WBG’s cross-cutting themes. For example, the proposed evaluations on Climate Resilient Transport (FY27) and Energy Transition (FY28+) involve both Planet (climate) and Infrastructure, the Emergency Health Preparedness/One Health evaluation (FY26) intersects with People (human health) and Planet (animal health), the Vocational and Jobs Training evaluation (FY27) comprises issues related to both Prosperity (jobs) and People (education), and the Food and Nutrition Security evaluation (FY26) covers both Planet and Infrastructure. Annex 3 provides short descriptions of proposed evaluations for FY26-27, and how they fit in with the other evaluations in that thematic stream. Annex 4 provides a mapping of evaluations by primary and secondary themes. Below is a short discussion on how IEG evaluations tie into each primary theme. i. Planet The effects of Climate Change are becoming increasingly more devastating, as it causes damage to homes, businesses, farmland, and infrastructure, as well as increasing risks to health and livelihoods. The WBG’s Evolution Roadmap highlighted the importance of a healthy planet, and rolled out steps including requiring all borrowers to conduct Country Climate and Development Reviews (CCDRs) and the alignment of all projects (starting in FY24) with the Paris Climate Agreement of 2015. The launch of the WBG’s GCPs also demonstrates a strong commitment to climate. IEG’s work reflects an increasing focus on climate with recent evaluations on Toward Productive, Inclusive, and Sustainable Farms and Agribusiness Firms (FY22), Disaster Risk Reduction (FY22), Demand-Side Energy Efficiency (FY23), and Enabling Private Sector Participation in Climate Action (FY23). These evaluations delved into the themes of climate mitigation, adaption and resilience. IEG’s is also exploring WBG’s involvement in the protection of natural resources. Blue Economy (FY24) focused on the protection and development of ocean resources. The upcoming evaluation on Biodiversity (FY25) is examining the relevance and effectiveness of WBG activities in conservation landscapes (such as protected areas), production landscapes (such as agriculture and agribusiness, afforestation and reforestation, forest management, fisheries management, and other landscapes and seascapes), and in safeguarding biodiversity in its investments which might have adverse impacts. IEG is also proposing an evaluation on Food and Nutrition Security (FY26). The World Bank has played a crucial role in financing and scaling up operations in Food and Nutrition Security, including through 11 multi-sectoral approaches focusing on short term emergency responses and building resilience through mid- to long-term support and engagements. The GCP on food and nutrition security aims to scale up activities in agriculture, nutrition, social protection, and trade for both short-term crisis prevention and preparedness, as well as long-term food system transformation. This evaluation will examine issues core to the GCP, likely including resilience, crisis prevention and preparedness. Given the complexity of water management, protection, and use, IEG is proposing a series of evaluations on Water Resources Management (FY27-28). Water is a critical and scarce resource for many sectors of the economy, including (i) clean water and sanitation; (ii) irrigation; (iii) preservation of wetlands; (iv) hydropower; (v) use of water in manufacturing, extractive, tourism and other income generating activities; and (vi) waterways for transport. River basin management and waterways are also complicated by the cross-border nature of waterways. Adding to the complexity is that many development objectives can be at cross-purposes if not properly managed; for example, the diversion of water resources for power generation, irrigation and income-generating investment can affect water access for the poor and marginalized, or the preservation of biodiversity and other ecological needs. Climate change exacerbates these challenges by intensifying floods and droughts thereby creating pressure on already stressed water resources. These evaluations will be scoped to build on findings from the Natural Resources Management (FY21), Reducing Disaster Risks (FY22), Blue Economy (FY24), Biodiversity (FY25), and Food and Nutrition Security (FY26), as the preservation and development of water resources are key themes in those evaluations. IEG is also proposing evaluations in later years on Climate Resilient Transport (FY27), Carbon Finance Instruments (FY27), Energy Transition (FY28+), Forests (FY28+). To avoid overlaps, IEG will conclude the ongoing evaluation on Biodiversity before detailed scoping of the evaluations on Forests and Carbon Finance Instruments takes place. IEG will also address the theme of environmental and social protection through two upcoming corporate evaluations: the World Bank Environmental and Social Framework (FY26), and the IFC Sustainability Framework (FY26). ii. People Protecting and investing in people remains a critical part of the WBG’s work to end poverty. IEG’s recent and upcoming evaluations related to supporting human capital include evaluations on Child Undernutrition (FY22), the World Bank’s Support to Addressing COVID-19 – Health and Social Response (FY23); Learning Crisis (FY24) and Adaptive Social Protection (FY25). Strengthening health preparedness in countries is integral to building resilient systems and reducing the risk of disease outbreaks, epidemics, and pandemics, which will help save lives and prevent harmful social and economic impacts. Emergency health preparedness requires cross-sectoral actions that engage both the private sector and sectors beyond health (including agriculture, rural and urban development, and environment). Since many serious infectious diseases (Swine Flu, Avian Flu, COVID- 19) have been zoonotic diseases, the upcoming Emergency Health Preparedness (FY26) evaluation has 12 been expanded to cover One Health. In FY28, IEG proposes to look at the gaps in local health systems in its proposed evaluation on Local Health, Nutrition, and Population Services. In the Education work stream, IEG’s recent evaluation on the Learning Crisis showed that overall learning outcomes had not appreciably improved over the last 20 years. IEG’s evidence gap map indicates that while substantial evaluative work has carried out on primary education, more evaluative work could be carried out on the WBG’s support to vocational and jobs training. The topic has been touched on in several evaluations, as part of larger topics, most recently in the evaluations IDA Support to Jobs (FY24) and Youth Employment Programs (FY13). Technical and Vocational Education and Training (TVET) systems are nascent or underdeveloped in many developing countries. The systems experience pressure as young people move through higher levels of education and require specific skills on entering the workforce. The question of skills mismatch – skills required by employers compared to available skills among employees – also arises. TVET is also pertinent for those already in work who require re-skilling/upskilling to secure their employment. The proposed Vocational and Jobs Training (FY27) evaluation will look at this important piece of the puzzle on how to create and maintain more and better jobs. iii. Prosperity The WBG’s mission has become more challenging as multiple crises have slowed growth and exacerbated poverty across the world. Among its priorities, the WBG must support the creation of jobs and increased economic growth, while protecting the most vulnerable and strengthening the fiscal and debt management of governments. In the fiscal/debt space, IEG has delivered several evaluations in recent years, including the IDA Sustainable Development Finance Policy (FY22), Domestic Revenue Mobilization (FY23), Low-Income Countries Debt Sustainability Frameworks (LIC-DSF; FY23). Relevant upcoming and proposed evaluations include WBG Support to Debt Sustainability (FY26), Energy Subsidy Reform (FY28+), and SOEs and Fiscal Risks (FY28+). Job creation and productivity will be key to the reduction of poverty. IEG delivered an evaluation on IDA Support to Jobs (FY24), the first in a series of evaluations to address the jobs agenda. It focused on the operational relevance of the evolving Jobs strategy and how it is being translated into IDA support for jobs through labor supply, demand, and interventions which directly affect the labor market. IEG is proposing to do deeper dives into the Jobs and Economic Transformation (JET) agenda by looking at a cluster of countries to see how the interrelated interventions can work (or not) together to improve Jobs outcomes, through the proposed evaluation on Jobs JET cluster (FY27). Inclusion and access are critical to achieve shared prosperity. Several recent and future evaluations address issues of improving the lives of the most vulnerable, including evaluations on Financial Inclusion (FY23), Adaptive Social Protection (FY25), Electricity Access (FY26), Food and Nutrition Security (FY26), and Local Health, Nutrition and Population Services (FY28+). 13 iv. Infrastructure Infrastructure is core to the WBG’s support to developing countries, as reliable infrastructure promotes economic growth, improves livelihoods, and improves basic services to people. Access to reliable infrastructure remains inadequate. As of 2022, an estimated 2.2 billion people lacked safely managed drinking water, 3.5 billion people lacked access to safely managed sanitation, 675 million people lack access to electricity at home, one billion people live more than two kilometers from an all-season road, and nearly 4 billion people live without access to the internet. The WBG estimates that expenditures of $1.5 trillion annually are needed to fund the level of infrastructure needed to achieve the Sustainable Development Goals. Given the large infrastructure needs, developing effective and efficient approaches to infrastructure investment is critical. In addition to increasing investment in infrastructure, it has become increasingly important to ensure that infrastructure investment is climate resilient and climate smart. IEG has focused on the WBG’s support to improving access to basic services, as well as the intersection between infrastructure and climate change. Recent and upcoming evaluations include Demand-Side Energy Efficiency (FY23), Electricity Access (FY26), Climate Resilient Transport (FY27), and Energy Transition (FY28+). Water Resource Management (FY27) and Food and Nutrition Security (FY26) will also have significant infrastructure elements. IEG is also looking at the issues that arise when there is a mismatch between the costs of delivery of services, and the ability for consumers to pay, through its upcoming evaluations Energy Subsidy Reform (FY28+), and SOEs and Fiscal Risks (FY28+). v. Digital Transformation Economic growth is increasingly dependent on digital technology. Early investment by the WBG focused on physical digital infrastructure (fiber optic cables, radio towers, etc.), then evolved to support varied projects such as ICT-enabled services, digital entrepreneurship, digital platforms which provide digital public services, open data, and innovation ecosystems. To date, much of the work has focused on availability, affordability and access to digital services. However, in addition to finding ways to improve those dimensions, it will be critical to find ways to use digital technology in ways that decrease the effects of the digital divide, such as ensuring that training and skills development are widely available, and that safety nets are in place for those affected by labor market changes. Protecting individuals through ensuring adequate cybersecurity will also be important. As digital transformation is increasingly embedded in the global economy, it is important to ensure that the productivity gains are shared, and do not accrue mostly for the benefit of “the top of the pyramid”. Past evaluations include Mobilizing Technology for Development (FY2) and Financial Inclusion (FY23), where a main focus was Digital Financial Services. IEG will work closely with the WBG’s new vice- presidency unit for Digital Transformation to identify priority areas for evaluations in this fast-moving field. Currently, IEG is proposing evaluations on e-Government (FY27), and Digital Public Infrastructure (FY28). 14 vi. Gender Gender equality is fundamental for the world to prosper, as supporting the human capital and productivity of 100% of the population will be critical for the success and sustainability of development efforts. With its new Gender Strategy (2024-2030), the WBG is stepping up its ambition to accelerate gender equality. IEG has an extensive program to evaluate the WBG’s work on gender commitment, using a two- pronged approach. First, it delivers evaluations focused on Gender, such as the Gender Inequalities in FCV (FY23) and the recent report on Engagement on Gender Equality (FY25), which looked back on the WB and IFC’s gender work from 2013-2023, and found that there was considerable expansion of gender-relevant projects; however, the focus tended to be on quantity rather than quality. In addition to this report, technical notes will be prepared for WBG Management on topics such as project design, monitoring and evaluation, and selection of indicators. For the second prong, IEG consistently uses a gender lens for other evaluations. IEG’s gender-focused work is increasingly driven by exploring how the WBG has contributed to decreasing gender gaps under the four pillars of the Gender Strategy, and the role of gender norms and institutions: (i) Human endowments: Child Undernutrition (FY22); COVID-19 Health and Social Response evaluation, (FY23); Learning Crisis (FY24); Adaptive Social Protection (FY25) (ii) Jobs: IDA Support to Jobs (FY24) (iii) Asset control and ownership: Financial Inclusion (FY23); Enabling Economic Opportunities for Gender Equality (FY27) (iv) Voice and agency: Gender Inequalities in FCV (FY24); WB Environmental and Social Framework (ESF; FY26), which includes an assessment of the Gender-based violence /Sexual exploitation, abuse, and sexual Harassment (GBV/SEAH) action plan. IEG also has increased its emphasis on the country engagement approach as the entry point to define gender priorities for the gender agenda; in addition to the Gender evaluations listed above, gender has been a major focus in CPEs including Chad (FY22), Mozambique (FY23), Papua New Guinea (FY24), and Tanzania (FY25). vii. Fragility, Conflict and Violence The incidence of conflict, fragility and displacements have been on the rise globally over the past decade; almost two-thirds of the world’s extreme poor are projected to be in countries affect by fragility, conflict and violence by 2030. Engaging in FCV environments has been challenging and been subject to reversals. IEG’s work program has been designed to help address knowledge gaps on what works in FCV environment and under which circumstances. Current and future work includes evaluations on World Bank Engagement in Situations of Conflict (FY22), IFC/MIGA Support for Private Investment in FCV (FY22), FCV Strategy (FY26), and the proposed evaluation on Operational Engagements in FCV (FY27). 15 In addition, IEG actively selects country program evaluations of FCV countries, including recent and planned CPEs for Chad (FY22), Mozambique (FY23), Papua New Guinea (FY24), Somalia (FY25), Ethiopia (FY25), Democratic Republic of Congo (FY26), and Kosovo (FY26). Other thematic evaluations also routinely draw on FCV countries as case studies. In FY27, IEG will build on this work to look at the complex issues that affect Operational Engagements in FCV. viii. Private Capital Governments and the development community, including the WBG, have recognized that the investments needed for development far exceed the resources of governments, multilateral institutions, or bilateral donors. Hence, enabling and attracting sustainable and equitable private capital at scale will be critical. The WBG seeks to help countries establish the conditions to attract such capital by identifying and removing bottlenecks to private investment, improving competitive market structures, and helping to protect against real and perceived risks, while protecting workers, consumers, and the planet. IEG’s focus is to help the WBG understand how it can further enhance the environment and instruments to help effectively channel private sector resources for development. Previous and upcoming evaluations have included the Mobilization of Private Capital (FY21), IFC investment in K-12 Education (FY22IFC Additionality in Middle-Income Countries (FY23), IDA Private Sector Window Update (FY24), IFC Global Platforms (FY25), Guarantees (FY26), Credit lines (FY27), and IFC Equity (FY28+). In addition, IEG employs a private sector lens in other evaluations such as Toward Productive, Inclusive, and Sustainable Farms and Agribusiness Firms (FY22), and Enabling Private Sector Participation in Climate Action (FY23). Upcoming evaluation include the Electricity Access evaluation (FY26) which will look closely at the role of the private sector in supporting increased access. Similarly, the role of the private sector will be key in aspects for Food and Nutrition Security (FY26) and Emergency Health Preparedness (FY26; pharmaceuticals, medical supplies). In addition, in each of the CPEs, IEG’s One WBG lens will look at the role of the WB, IFC and MIGA, and how they coordinate, complement, and interact with each other. ix. Corporate Effectiveness As the WBG seeks to scale up commitment and increase impact, evaluations of corporate effectiveness are critical. Each year, IEG delivers the Results and Performance (RAP) of the WBG, which examines the performance of the WBG in achieving expected results. The report also analyzes the factors that underlie project performance ratings, and the validity of the M&E frameworks used to measure them. IEG also carries out an annual validation of the WBG Management’s report on its Management Action Record (MAR) which tracks the WBG’s implementation of IEG recommendations. The purpose of the MAR system is to support accountability, learning and adaptation of the WBG. IEG also undertakes evaluations on specific areas of corporate effectiveness. Previous and current work include the evaluation on Outcome Orientation (FY21), Global Footprint Effectiveness (FY22), the Low- Income Countries Debt Sustainability Framework (FY23; carried out in parallel with an evaluation by the 16 IMF to cover the joint aspects of the DSF); Validation of the WBG Capital Increase Package (FY24), and Learning from World Bank Lending Operations (FY25). At CODE’s request in recent years, IEG has added evaluations that will inform specific decisions under the WBG’s current efficiency, effectiveness, and scale-up initiatives. These include the Multiphase Programmatic Approach (FY24), IFC Global Platforms (FY25), WB Procurement Frameworks for IPF (FY25), WB Environmental and Safeguards Framework (FY26), IFC Sustainability Framework (FY26) and a formative evaluation of the Corporate Scorecard (FY26). IEG will continue to interact with CODE and WBG Management throughout the year, to identify other priority areas. d. Country Program Evaluations While Thematic and Corporate evaluations provide valuable information, the WBG is strongly anchored in a country-based model. It is at the country-level that difficult tradeoffs and implementation issues must be dealt with. Country Program Evaluations (CPEs) assess the evolution of the WBG’s support to a client country over a period of about ten years, and the extent to which the WBG has adapted its support to changing circumstances, shocks, evolving country priorities, the pollical economy, and implementation experience. CPEs seek to draw out lessons which can inform both ongoing and future engagement with the evaluated countries but can also provide lessons to teams working on other countries. CPEs are selected through a very rigorous pipeline selection process, which starts with identifying countries which will be finishing current Country Partnership Frameworks (CPFs) in the following years; the aim is for CPEs to be completed 6-12 months prior to the next CPF, so that lessons learned can be incorporated into the following CPF. As IEG only has the capacity to carry out about 4-5 CPEs each year, IEG seeks to focus on countries that (i) have not had a CPF in the previous 10 years; (ii) represent the different regions; (iii) provide a good mix of countries with different income levels and country characteristics (such as FCV or small-island states). The relative program size, as well as the mix of WB/IFC/MIGA projects, programs, and analytical work are also considered, in order to select countries where meaningful lessons can be drawn. In FY25, IEG expects to deliver CPEs for Somalia, Georgia, Ethiopia, Nepal, Tanzania, and Ghana. Work is also underway for FY26 CPEs: Indonesia, Democratic Republic of Congo, Egypt, Kosovo, and Jamaica. 17 e. Proposed FY26-28 Evaluation Pipeline Table 1: Proposed FY26-28 evaluations All evaluations cover WBG unless otherwise indicated. Bolded topics cover GCPs. Green = delivered as of January 10, 2025. 18 All evaluations cover WBG unless otherwise indicated. Bolded topics cover GCPs. Green = delivered as of January 10, 2025. 19 f. IEG Micro and Intermediate Products Self-evaluation and independent validation are critical components of a strong organizational culture for learning and accountability. IEG’s project-level validations (“microproducts”) are integral to the WBG’s commitment to accountability, and a thoughtful, well-documented self-evaluation can provide valuable lessons for future TTLs. Over the last 50+ years, these micro-products provide a rich source of data on development outcomes and implementation challenges, which can be mined to draw larger thematic or country-level lessons. As the World Bank has scaled up its lending in recent years, and as the ICR backlog that was created during COVID-19 is being addressed (ICR missions were not carried out during the pandemic), the number of ICRs to be validated by IEG increased sharply, from 220 in FY21 to 356 in FY24. The number is expected to decrease slightly and stabilize at about 315 in FY25 and FY26, which represents a 43% increase since FY21. In addition, with the planned XPSR reform, the number of XPSRs is expected to increase by 150% over the next few years, as the reform proposes that IEG’s validation coverage increases from 40% of IFC investment projects to 100%. IEG also expects that the expansion of the Unified Guarantee Platform will lead to the need for increased levels of MIGA validations as well. PCRs, PERs, and CLRVs have some annual variability, but overall are expected to remain at a stable level. Table 2: Project and country level validations, and project evaluations FY21 FY22 FY23 FY24 FY25 (est.) FY26 (est.) Product Coverage Count Coverage Count Coverage Count Coverage Count Coverage Count Coverage Count ICRRs 100% 220 100% 240 100% 274 100% 356 100% 315 100% 315 XPSRs 40% 74 40% 88 40% 90 40% 80 40% 66 40% 89 PCRs >51% 91 >51% 70 >51% 75 51% 62 51% 80 51% 75 PERs 100% 10 100% 12 100% 8 100% 11 100% 22 100% 20 CLRVs5 100% 8 100% 30 100% 21 100% 17 100% 25 100% 20 WB PPARs 14% 28 14% 33 3% 8 2% 6 3% 8 3% 8 IFC/MIGA PPARs - 5 - 1* - 5 - 4 - 6 1* * The number represents the chapeau cluster report based on the underlying PPARs delivered in the previous fiscal year. 5 The name of this product has been changed from Completion and Learning Review Review (CLRR) to Completion and Learning Review Validation (CLRV). No changes have been made to the substance, format, or process of the report. Following the Country Engagement Guidance of July 1, 2021, CLRVs are conducted earlier in the cycle of Country Partnership Frameworks (CPF), to allow CLRVs to inform the preparation of CPFs. Final CLRVs are delivered to the relevant Region upon completion, and delivered to the Board in time for its consideration of new CPFs. The number reported in the table shows the count of CLRVs delivered to the Regions. 20 i. ICR/R reform As part of the IBRD/IDA initiative to enhance efficiency and streamline processes, IEG and OPCS have worked closely to identify feasible changes to the ICR framework for IPF. The main areas of discussion have included simplifying the ICR template and developing a modular ICR format. These efforts aim to reduce the burden on task teams and promote better use of lessons and knowledge contained in these reports. In November, a design sprint workshop involving IEG, OPCS, the Knowledge Compact team, and ITS was held to align expectations and requirements for a new ICR/R platform. The proposed ICR system draws inspiration from IEG’s existing ICRR portal, leveraging its modular, IT-based structure as a model for the ICR reform process. Key outcomes of the streamlining efforts to date include: (i) agreement on an enhanced focus on relevance, results, and lessons learned; and (ii) adoption of a simplified, integrated, and modular format for a joint ICR/R report. Discussions are also ongoing regarding ICR reforms for DPFs and PforRs, as well as training requirements for staff and the rollout of the new format and process. ii. CLR reform As part of the WBG initiative on “Rethinking the Approach to WBG Country Engagement”, IEG and OPCS started to work together to identify changes to the Completion and Learning Review (CLR) for Country Partnership Strategies (CPFs). The CLR remains a key tool to assess results and learn lessons from the WBG’s engagement in each country. The goal of the initiate is to strengthen and simplify the CLR. So far, the main areas of discussion have included the plans for streamlining of the CPF results frameworks, and how to establish evidence-based links between WBG programs, CPF Outcomes and Scorecard outcome areas / Scorecard indicators at CLR stage. In 2025, a closer collaboration between IEG and OPCS is envisioned to redesign the CLR template and CLR guidelines. iii. XPSR reform The XPSR reform was motivated by the introduction of the IFC’s Anticipated Impact Measurement and Monitoring (AIMM) in 2017, an internal IEG microproduct review in 2020, and the 2022 external review of IEG which called for alignment of XPSR and AIMM, higher learning value from XPSR, increased coverage (enhanced accountability) and strong ownership from IFC of the project self-evaluation framework. The proposed new framework consists of two products: a self-evaluation product (SEP) and a learning product (LP), both of them forming integral parts of the new project evaluation architecture in IFC. SEP will cover 100% of mature projects, which reached AIMM terminal year (around 300 projects per year). SEP will be an automated and streamlined product, taking advantage of ratings, information and analysis existing in three IFC systems: AIMM, credit system and SRT (environmental and social) complemented by concise narratives. SEP will include IEG validation. The learning products (LP) will include IFC own learning product (LP1) and IEG learning product (LP2). Topics for the learning products (estimated at 20-30 annually) will be defined annually, based on the learning needs and strategic priorities identified by IFC and IEG. It is expected that learning products will use a broad range of methods, including field visits and client interviews. The overall reform is led by IFC, with strong collaboration from IEG. The new SEP product is being currently piloted, while the proposals for SEP 21 ratings criteria and evaluation guidelines are being developed. The new architecture will also require IT integration expected to be delivered in FY26. iv. Intermediate products IEG’s intermediate products comprise Evaluation Insight Notes (EINs), Learning Engagements (LEs), Just- in-Time (JIT) notes, and Sector Highlights. IEG is conducting a review of intermediate products to determine which are the most useful and can be done in a rigorous and timely manner. In FY24, IEG delivered four just-in-time synthesis notes to inform the Board’s Evolution Roadmap discussions, a Sector Highlights note on IFC Sustainability Framework, and an EIN on Elements that Enhance Institutional Capacity Development in Sub-Saharan Africa. IEG also collaborated with counterparts at the technical level, on specific Learning Engagements to share and build evaluation-related knowledge among operational teams. 22 3. IEG Innovation, Knowledge Sharing, Capacity Building a. Innovation and Methods IEG’s objective is to help the WBG meet its goals and enhance its development effectiveness through timely, robust, and useful evaluation. IEG’s Methods Advisory function was established in 2016 to help deepen the quality and credibility of IEG evaluation work, through: • Advising IEG staff on the best available evaluation methods to address specific evaluation questions, and how to employ those methods. • Ensuring consistent and efficient use of data in evaluations through support to IEG’s data arrangements, systems, and analytic staffing. • Researching, generating, and promoting innovative evaluation methodologies – within IEG and external audiences – through experimentation, knowledge sharing activities and publications. • Through an evaluation capacity-development program, supporting the development of evaluation skills among IEG staff and ensuring that internal and external audiences understand and appreciate the rationale for IEG’s evaluation methodologies and approaches. IEG’s Methods Team works closely with each IEG evaluation team to design and implement rigorous evaluations in various ways: through customized methods workshops, embedded evaluation support, hands on support on specific methodological applications, clinics, and thorough review of evaluation’s approach papers, reports and technical appendices. IEG’s Methods Team spearheads methodological, data science and AI innovations for the practice of evaluation. It conducts experimentations with the use of AI and promotes scale-up where suitable. It also demonstrates IEG’s cutting edge evaluation practice by sharing its experience and know-how in various conferences, high-profile events and knowledge products. For instance, in FY24 it organized an international symposium on the use of geospatial analysis for evaluation, in FY25 it presented its AI experiments and strategy in more than 15 evaluation forums and gatherings. IEG’s Methods Team strengthens IEG staff’s core evaluation capacities in various ways, including through delivering a two-year long Foundations to Evaluation Design Curriculum in partnership with the IEG Academy Team. It aims to consolidate and strengthen IEG staff’s understanding of key methodological principles that underpin the design and implementation of IEG major evaluations. To support the delivery of the training, the Methods Team has created two dedicated learning bundles on methods and data science which are used as pre-requisites or deepening material for the trainings. In addition, the Methods Team partners with the Data and Systems Team to expand the IEG Data Science Community of Practice, which meets monthly to share ideas, work on IEG-wide initiatives, and foster the use of data science and AI in the practice of evaluation and validation work. 23 The Methods Team is actively providing external capacity development activities in partnership with the Global Evaluation Initiative (GEI). It seeks to broadly share its knowledge and know-how with other members of the Evaluation Cooperation Group and beyond, by actively and strategically contributing to conference presentations, pre-conference workshops, delivering customized trainings, and publishing resources through blogs, podcasts, and the IEG Methods Paper Series. b. IEG Knowledge Management and Communications i. Knowledge Management IEG knowledge management initiatives ensure that essential IEG data, lessons and findings are delivered at the right time to the right WBG audiences. Reaching WBG staff and management involves a variety of tools. For example, personalized resource emails with “IEG Evidence” are shared systematically upon appointment of senior WBG leaders. The “What Have We Learned? 30-minute talks” series has reached over 700 WBG staff in FY24 and continues in FY25. Knowledge management efforts also support IEG staff. To capture tacit knowledge from staff departing IEG, knowledge retention interviews are conducted and shared with the staff member’s successor. The community of practice for IEG evaluators provides a platform for knowledge exchange with a focus on facilitating quality evaluations and improving internal processes. A new “Everyday AI” series encourages IEG staff to explore different uses of AI tools to streamline their work through interactive webinars. ii. Outreach and Communications IEG digital platforms are a key form of engagement. This includes the external website, which in the first two quarters of FY25 had 92,889 visitors who generated 170,422 page views. A blog and a podcast ensure that IEG evaluative evidence is distilled and presented in formats accessible to a broad audience. To promote these various assets, IEG maintains a presence on social media, with accounts on Facebook, LinkedIn, X (formerly Twitter) and YouTube. IEG also leverages major external and internal events, partnerships and dissemination missions to engage a broad range of stakeholders. For instance, in the lead up to COP 29, IEG collaborated with German Institute for Development Evaluation on a series of virtual conversations on the latest evidence on effective climate action. The event, Evidence for Climate Action allowed IEG to present the findings of its recent evaluation of World Bank support for Blue Economy approaches, and to promote evidence- informed discussions at the COP. Such high-quality virtual events have a very wide reach while remaining targeted. The recordings of those events are subsequently made available on IEG’s website. In-country dissemination missions are organized for some of IEG’s CPEs. Along with meetings with WBG country office staff, each mission includes sessions with development partners, government counterparts and civil society. Dissemination missions for the Morrocco and Mozambique CPEs allowed IEG to reach beyond WBG stakeholders. 24 iii. Engagement with Operations Staff and Management IEG prioritizes engagement with WBG Operations Staff and Management via ongoing co-sponsored learning events with Regions, Verticals, GPs, and OPCS. FY25 to date, IEG has hosted and co-hosted more than 23 events reaching 1000+ WBG staff. For example, IEG collaborated with the Africa West region to deliver a Results workshop for operations staff that included training on improving ICRs. IEG also regularly partners with OPCS to deliver training on ICRs, theory of change and results frameworks on Investment Project Financing (IPF) and Development Policy Financing (DPF) instruments. IEG’s engagement strategy includes targeted engagement focused on specific evaluation findings. For example, TTLs of the FY24 Learning Crisis evaluation presented lessons and evaluative evidence to Education GP staff in two co-sponsored events. In Q2 a co-sponsored BBL for MIGA staff featured findings from IEG’s FY24 Gender Equality evaluation. A highlight of Q3 will be a presentation of the FY25 Procurement in IPFs evaluation findings at the Prosperity Forum. IEG is working with the WBG’s Knowledge and Learning Director to support WBG and client learning from evaluation. Initiatives include an AI-powered tool that extracts and synthesizes IEG lessons from validations of World Bank projects for operations teams to use in project design and implementation. IEG is also contributing to the working groups convened by the Knowledge and Learning Director to provide guidance on the WBG Academy and client capacity and exploring entry points and demands for our initiatives. iv. Engagement with the Global Evaluation community In addition to leading work on capacity building in client countries (see GEI, section 3.c. below), IEG is a knowledge leader within the development evaluation community. With more than 50 years of experience and detailed data at the project level, IEG has a wealth of information which it actively mines and is available for researchers. IEG is actively investing in new technological approaches and methodology, and is frequently asked to provide seminars or courses to demonstrate these new approaches. IEG has also been asked to sponsor secondments and internships from other agencies who wish to learn more about methods. IEG has begun these secondments and will continue to work with other agencies in carrying out active knowledge exchanges. IEG is a founding member of the Evaluation Cooperation Group (ECG), which comprises the heads of the evaluation offices of multilateral development banks (MDBs) and other large bilateral development agencies. In addition, IEG is co-chair of the Global Evaluation Initiative (GEI) and co-sponsor of major global evaluation events such as the National Evaluation Capacities (NEC) Conference. Each of these fora allow for knowledge sharing through webinars, sharing of methodological papers, and joint working groups. v. Digital Infrastructure IEG shares ratings data on project performance with the WBG and the public through various platforms, ensuring consistency by using IEG Data Hub as the source. Internally, the Data Hub provides consistency for the analysis of data underlying evaluations. To support code reproducibility and consistent capabilities between data scientists and data analysts, the data team develops code in 25 Databricks to mirror the most-used Data Hub templates. IEG also works on reproducibility and data transparency by collecting portfolio data packages underlying major evaluations. Finally, the IEG data science community of practice (CoP) holds monthly meetings on data innovation and knowledge sharing with colleagues across the Bank. vi. Learning The IEG Academy work program covers learning for IEG staff to support their performance in their current roles. The skills and topics covered in any given FY are those prioritized to align with IEG’s strategic priorities. IEG’s internal training program, “Foundations of Evaluation Design (FoED)”, addresses key methodological principles that underpin the design and implementation of IEG major evaluations. It is a two-year curriculum for evaluation staff offered in partnership between the Methods Advisory team and the IEG Academy. Materials and recordings of the FoED courses and clinics are used to develop asynchronous e-learning courses to support ongoing delivery of this curriculum. The curriculum includes courses such as Theories of Change and Frameworks to Guide Evaluation, Case- Based Designs, and Sampling, Selection and Generalizability, Evaluating Impact, and Counterfactual Reasoning. Materials and recordings of the FoED courses are used to develop asynchronous e-learning courses to support ongoing delivery of this curriculum. Other courses delivered by IEG Academy include Project Management Fundamentals and Essentials of Evaluation for Non-Evaluators. Learning bundles, curated learning resources focusing on priority topics, such as WBG Operations for Evaluators and Data Science for Evaluators, are being updated and promoted periodically to ensure staff awareness. Clinics and BBLs, which are short, practical, timely sessions are offered when needed, such as Experimenting with GPT and Generative AI, and Boosting Our Social Media Presence. Onboarding of new staff ensures that they are supported in a timely manner when they join IEG. c. Global Evaluation Initiative IEG concentrates its evaluation capacity development (ECD) work in the Global Evaluation Initiative (GEI) network, which IEG co-founded with the United Nations Development Programme’s Independent Evaluation Office (UNDP-IEO) in 2021; both IEG and UNDP continue to co-chair. The GEI promotes and improves the use of evidence in decision-making, by strengthening national monitoring and evaluation (M&E) systems in developing countries. The GEI achieves this through three interlinked strategic approaches to i) establish and maintain country partnerships; ii) deliver and support M&E trainings and professional development activities; and iii) promote M&E and create, curate, and adapt relevant M&E knowledge for a global audience. GEI supports and develops solutions that are country-owned and aligned with local needs, goals, and perspectives. 26 The GEI network comprises 13 donor organizations, the GEI Global Team, and 8 implementing partners.6 Over the past 4 years, GEI has worked in over 26 countries with over 20 associate partners to support M&E and show that stronger M&E systems lead to better governance. Since 2021, the GEI has trained almost 18,000 individuals in M&E through country-targeted training courses, facilitated more than 1,500 knowledge-sharing events attended by around 100,000 people, and engaged more than 3 million people through its digital platforms. In FY24, GEI and its implementing partners (IPDET, ENAP, and the CLEAR Centers) trained 5,394 people, provided technical assistance to 21 projects (including 5 policies or legislations), and conducted 3 MESA Diagnostics (see section 3.c.ii below for more information on GEI’s MESA tool). Throughout the year, GEI expanded its digital and knowledge-sharing impact significantly. BetterEvaluation.org saw 1.8 million page views and 3,000+ members (67% growth from FY23), while GEI’s digital reach spanned 1.3 million users. gLOCAL Evaluation Week featured 368 events with 25,000+ participants (up from 304 events and 20,000 participants in FY2023). GEI produced 173 knowledge and communications products and hosted 57 events with 8,580 attendees. The GEI newsletter reached 10,882 subscribers and the BetterEvaluation newsletter hit 6,500 subscribers, both maintaining a 38% open rate. Additionally, 11 webinars drew an average of 600 participants each. i. Country programs Through its country programs, led by GEI’s six implementing partners in the CLEAR network, the GEI works closely with developing country governments that seek to improve or strengthen monitoring, evaluation and the use of evidence in their countries. GEI applies an integrated systems-based approach, to provide diagnostic, technical, training, professional development, knowledge curation/dissemination and other advisory support services to help governments strengthen M&E capacities. ii. GEI Monitoring and Evaluation Systems Analysis The GEI Monitoring and Evaluation Systems Analysis – or MESA – is a diagnostic tool with the objective to enable countries to assess the current capacity of their national M&E systems, identify gaps, and inform potential capacity-development strategies to strengthen these systems. Sound evaluative evidence is used to achieve improved performance of government services and programs, ensure better accountability, and to have an incrementally positive impact on people’s lives. A MESA is not an end in itself, but a tool for gathering, structuring, and analyzing information to inform improvements to country M&E systems. The tool is designed to lead to a publicly available report which will serve as a guide for preparing a capacity development strategy and can also be used as a baseline of the country’s M&E situation, against which progress can be measured over time. 6 GEI implementing partners: The six Centers for Learning on Evaluation and Results (CLEAR) (covering South Asia, Anglophone Africa, Francophone Africa, Brazil and Lusophone Africa, Pakistan and Central Asia and Latin America and the Caribbean), the International Program for Development Effectiveness Training (IPDET), and École Nationale d'Administration Publique (ENAP). 27 iii. Monitoring and Evaluation Training and Development GEI enhances the capacity of M&E stakeholders through a variety of training, learning, and professional development initiatives. These efforts equip participants with the skills and tools necessary to do M&E and appreciate the role of evidence in decision-making; to gather, analyze, and apply evaluative knowledge effectively; to conduct robust evaluations; and to improve the management and utilization of M&E systems. GEI’s implementing partners the International Program for Development Evaluation Training (IPDET) and the École Nationale d’Administration Publique (ENAP) deliver intensive training to equip evaluators with essential skills for tackling development challenges. iv. Knowledge generation and sharing The GEI convenes and supports the gLOCAL Evaluation Week, which is one of the largest annual M&E knowledge-sharing events in the world. Since its launch in 2019 by GEI’s implementing partners in the CLEAR network, the gLOCAL platform has hosted thousands of events in multiple languages across six continents. gLOCAL event participants and hosts include international organizations, regional M&E bodies, (sub-) national governmental and non-governmental organizations, decision makers, commissioners, Voluntary Organizations for Professional Evaluation (VOPEs), academics, researchers, and students. GEI’s BetterEvaluation knowledge platform and global community is a global public good resource to support better evaluation, better decisions, and better results for people and the planet. With 3000+ members and almost 2 million page views in FY24, is a critical knowledge sharing function of the GEI and the global evaluation community. Figure 4: GEI’s Integrated Approach to Strengthening National M&E Systems (cumulative 2021-24) 28 4. Human Resources and Budget a. Human Resources IEG has kept its staff levels stable, with minimal change since 2018 (Figure 5). As of December 31, 2024, IEG had 107 full-time staff, compared with 109 in 2018. As approved in the FY25 work program and budget request, IEG is in the process of recruiting additional staff with specific expertise in Climate, Digital Technology, and Methods. In addition, to keep up with new technologies, and given the highly competitive market for data scientists, IEG is requesting support for the hiring of additional data scientists and analysts, while reducing the reliance on STCs and ETCs in those areas. Figure 5: IEG Staff count (FY18-FY25 Q2) 120 109 109 103 105 104 107 107 107 100 80 60 40 20 0 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 Q2 IEG has maintained its focus on gender balance and the need for increased diversity in its work force. IEG currently has more women than men at all levels, including at the managerial level (Figure 6). IEG is also working on increasing the diversity of staff nationalities. In addition to active participation in staff mobility exercises, IEG is using enhanced recruitment methods, such as secondments from other agencies, circulation of TORs across the global evaluation network, and the posting of positions emphasizing country-based experience. Furthermore, following the findings of the FY23 External Review, IEG has established a databased of its evaluation peer reviewers (PRs) to ensure that all evaluations have a diverse group of peer reviewers. IEG is making progress on engaging with a more diverse set of external peer reviewers on evaluations. Between FY20-FY25Q2, the share of female peer reviewers increased steadily to 57%, while the share of peer reviewers from the Global South increased from 21% in FY20, to 30% in FY25 to date (Figure 8). 29 Figure 6: WBG Gender Data Dashboard (November, 2024), Active Staff Only (Does not include IEG staff mapped to IFC/MIGA, and excludes Special Appointments, AMC Direct Hires, and Consultants) Figure 7: IEG Staff nationality grouping (November 2024) 30 Figure 8: IEG Peer Reviewers Trend – Female PRs and Global South PRs (as shares of all) Note: Data based on available HR data. Some data points are missing; some peer reviewers have changed nationalities – nationalities based on time of contract. b. Budget As WBG embarks on the road to address multiple crises facing developing countries, IEG is preparing to realign and scale up its work program to accommodate evolving WBG priorities. In the short term, IEG has been redirecting work towards the GCPs, and is strengthening its expertise in sectors related to the WBG’s verticals on Planet, Digital Transformation and Infrastructure. IEG also plans to increase investments in the use of AI technologies and upgrading its data science competencies. i. Budget Request For its FY26 budget proposal, IEG requests US$1.7 million in additional funding, after structural increase (2.9 percent estimated inflation factor for FY26, as per BPS). In IEG’s FY25 budget request, IEG provided an indicative budget projecting a need for a real increase of US$2.9 million after structural increase over the FY26-27 period. IEG is requesting that the funding be slightly frontloaded, with a real increase of $1.7 million in FY26 (3.8% real growth), and an increase of $1.2 million (2.6% real growth) in FY27. Specifically, the FY26 budget request reflects required investments to support planned (i) 31 augmentation of IEG capacity in digital technology, data sciences, and artificial intelligence; (ii) support the ownership of self-evaluation practices in IFC/MIGA, expanded validation coverage, and expanded scope of thematic and country evaluations to cover “One WBG” approaches; and (iii) scale up its investment in partnerships to increase the evaluative capacity in developing countries through IEG’s Global Evaluation Initiative (GEI). Many of these initiatives will be partially financed through reallocation of savings from canceled vacancies, reductions in STC costs, and more efficient use of data analytics. Details of the budget requests can be found in Annex 5. In addition, IEG recently lost its Methodology Advisor. To maintain IEG’s role as a technical leader in the evaluation community, it is important to attract and retain top experts in Evaluation Methodology. In reviewing the competition for the top talent in this area, IEG believes that a GI level position (Senior Advisor for Evaluation) will be needed to attract the best candidates. IEG is seeking to upgrade the GH position vacated by its previous Methods Advisor to a GI position. IEG will not seek additional funding for the costs of the upgrade but will repurpose savings from tightening its A2D ratio to pay for this upgrade. For FY28, IEG is projecting a request of approximately $500K to realign and bolster its expertise in GCP areas, but will re-evaluate the need for this as the work program in later years is further developed. Table 4: IEG Budget, WBG Institution BB Contributions, FY22-25 actual, FY26 proposal, FY27-28 indicative FY22 FY23 FY24 FY25 FY26* FY27 ** FY28 ** (in nominal dollars) Budget Budget Budget Plan Proposed Indicative Indicative $'m $'m $'m $'m $'m $'m $'m WB 29.3 30.5 31.7 34.2 36.5 38.7 40.2 IFC 7.9 8.5 8.8 9.5 10.1 10.6 11.1 MIGA 0.7 0.7 0.8 0.8 0.9 0.9 1.0 Total IEG 37.9 39.6 41.3 44.5 47.5 50.2 52.3 Contribution as % of IEG Funding (includes in-kind space contribution by IBRD) WB 77% 73% 78% 78% 78% 78% 78% IFC 20% 20% 20% 20% 20% 20% 20% MIGA 2% 2% 2% 2% 2% 2% 2% Total 100% 100% 100% 100% 100% 100% 100% * The applied price factor of 2.9% is provided by the IMF and is based on the CY2024 inflation results. ** Potential adjustment to FY27 and FY28 indicative budget after completion of external process reviews Note: In addition to the budget contribution, IBRD provides IEG with in-kind space allocation estimated at about $1.8M in FY21$. 32 Table 5: IEG Expenditure Trends by Expense Category (BB Only), FY22-28 FY22 FY23 FY24 FY25 FY26 FY27 FY28 (in nominal dollars) Actuals Actuals Actuals Plan Proposed Indicative Indicative $'m $'m $'m $'m $'m $'m $'m Fixed Costs Staff Salaries 15.2 17.0 17.9 19.2 21.2 22.5 23.5 Staff Benefits 11.3 11.8 12.2 13.2 14.8 15.8 16.4 Communications and IT 0.7 0.6 0.7 0.7 0.7 0.8 0.8 Equipment and Buildings 0.2 0.2 0.2 0.2 0.2 0.2 0.2 Total Fixed Costs 27.4 29.6 31.1 33.3 36.9 39.3 40.9 Variable Costs ETC/T 1.2 1.0 0.9 1.1 1.0 1.1 1.2 Consultants and Temps 6.9 7.7 7.6 7.7 7.1 7.3 7.6 Travel Costs 0.2 0.7 1.1 1.5 1.5 1.5 1.6 Contractual Services 0.9 0.5 0.8 0.8 0.7 0.8 0.8 Representation and Hospitality 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Other Expenses 0.1 0.2 0.2 0.2 0.2 0.2 0.2 Total Variable Costs 9.3 10.1 10.6 11.3 10.6 10.9 11.4 Total Expenses 36.7 39.7 41.7 44.5 47.5 50.2 52.3 Table 6: IEG Summary of Uses as % of Spend against Budget (BB only), FY22-28 FY22 FY23 FY24 FY25 FY26 FY27 FY28 Actuals Actuals Actuals Plan Proposed Indicative Indicative Major Evaluations 20 22 20 22 22 22 22 EINs, JITs 2 2 1 2 2 2 2 RAPs 3 2 2 3 3 3 3 CPEs 7 4 7 7 7 8 8 Major Work Program Sub-Total 32 30 29 34 34 35 35 PPAR and Validation Tasks 14 16 17 16 16 16 16 Learning and Knowledge Services 9 8 9 9 9 9 9 Learning Engagements 1 0.2 0 1 1 1 1 ECD/GEI 9 10 5 6 6 6 6 Methods Advisory Function 3 2 3 4 4 4 4 Other Process Tasks 3 6 5 4 4 4 4 Work Program Total 70 72 69 74 74 75 75 Learning 3 3 4 3 3 3 3 Sustaining 20 16 17 19 19 19 19 Indirect Costs 3 9 9 4 4 3 3 Total All 97 100 100 100 100 100 100 33 Annex 1: IEG Product Descriptions Thematic and Corporate Evaluations IEG conducts major evaluations to assess the WBG’s performance and identify lessons for improving WBG operations across projects with regard to a particular theme, sector or corporate process. These are multi-level, multi-project evaluations which rely on elaborate mixed methods designs that usually combine synthetic analyses at the overall portfolio level with in-depth analyses at country, project or other levels of analysis. Within the framework of major evaluations, IEG employs a range of methodological approaches including, inter alia, portfolio analyses, structured literature reviews, econometric analysis, geospatial analysis, process tracing, surveys, Delphi panels, and case study analyses. Data sources include internal (WBG and IEG) data, external data sets, internal and external (to the WBG) documentation, and interviews with different groups of stakeholders. Evaluation design, including (e.g.) issues of scope, delimitation, sampling and other data collection and analysis issues are discussed in (peer reviewed) approach papers. Major evaluations undergo extensive internal quality assurance reviews, and external peer reviewers are engaged to review and comments both at the concept stage and before finalization of the evaluation report. In addition, WBG Management teams are invited to review draft concept notes and draft reports before finalization. Country Program Evaluations IEG’s Country Program Evaluations (CPEs) assess the evolution of the Bank’s support to a client country over a period of about ten years, and the extent to which the Bank Group has adapted its support to changing circumstances, shocks, evolving country priorities, and learning from experience. CPEs involve dynamic assessments and higher-level strategic questions relevant to each country, to enhance the operational relevance and strengthen IEG’s ability to draw meaningful lessons to inform future country engagements. CPEs employ similar methods as IEG’s major evaluations. Project level evaluation and validation products Project Performance Assessment Reports Project Performance Assessment Reports (PPARs) are independent field-based project evaluations and may be conducted at any point after a self-evaluation (ICR) has been completed. While they formally follow the same rating criteria as the ICRR, PPARs are evaluations rather than validation exercises, and they rely on a much broader set of evidence. PPARs rely on a mixed methods approach which usually includes (but is not limited to) literature review, portfolio analysis and a country mission, involving site visits and semi-structured interviews with different stakeholders. In the case of IFC and MIGA, PPARs are conducted based on a cluster/theme and can cover the IFC’s investment projects, IFC’s advisory service projects, or MIGA guarantee projects, a total of 5-6 projects per year. As a final output, IEG prepares a synthesis report in the form of the Clustered PPAR, based on these underlying PPARs for IFC and MIGA projects. 34 Implementation Completion and Results Report Review (IBRD/IDA) To assess the Bank’s performance and identify lessons for improving Bank operations at project level, IEG undertakes a validation process for 100% of the World Bank’s Implementation Completion and Results Reports. The IEG Implementation Completion and Results Report Review (ICRR) is an independent, desk-based, critical validation of the evidence, content, narrative and ratings included in the World Bank’s Implementation Completion and Results Reports (ICR). The review is conducted within 180 days of the submission of the World Bank’s self-evaluation Implementation Completion and Results Report to IEG. Based on the evidence provided in the ICR and an interview with the last task team leader, IEG arrives at its own ratings for the project, based on the same evaluation criteria used by the World Bank project teams. IEG’s ICRRs serve as an independent validation of the results in the ICR and contribute to both learning and accountability. Completion and Learning Review Validation (IBRD/IDA) At completion of each Country Partnership Framework (CPF), the WBG team prepares a Completion and Learning Review (CLR). The CLR is a critical input in the design and implementation of the next CPF. IEG conducts a desk-based review of the CLR and provides an independent validation and rating of the CLR. IEG’s submits the CLR to the Board in time for its discussion of the new CPF. In producing a CLR Validation (CLRV), IEG uses a shared methodology with WBG. It involves looking at what was achieved in terms of the stated objectives, how well the WBG designed and implemented the program, and the alignment with the WBG corporate strategy. IEG’s validation of the CLR provides an independent rating on two key dimensions: the CPF’s development outcomes and WBG’s performance. Expanded Project Supervision Report Evaluative Note (IFC) An Expanded Project Supervision Report (XPSR) is a self-evaluation document of IFC Investment Operations at the project level. Every year, XPSRs are prepared for a representative random sample of 40% of mature projects typically five-years old, selected by IEG. An XPSR assesses and provides ratings for a project’s emerging development outcome (based on business performance, economic sustainability, environmental and social effects, and private sector development), IFC’s investment performance, IFC’s work quality, and additionality. IFC’s investment staff complete the self-evaluation based on IFC and IEG joint XPSR guidelines. The self-evaluation typically includes a field visit to the client. IEG in turn validates the XPSR findings and lessons and independently rates development results summarized in an Evaluative Note (XPSR EvNote). The validation process involves in-depth desk reviews of all the relevant project documentation and external or independent sources of information. Where appropriate, for a small number of projects, IEG may supplement the desk-based validation with a field visit to observe the results on the ground and interview the project’s clients and stakeholders in person. Some of the selected projects may be closed (loan repaid or equity sold); in such cases IEG prepares an independent Project Evaluation Summary (PES) instead of an XPSR. The PES evaluation methodology, rating framework and benchmarks are identical to those for an XPSR. 35 Project Completion Report Evaluative Note (IFC) Project Completion Reports (PCR) are self-evaluations of IFC’s Advisory Services projects. A PCR assesses and rates a project’s Development Effectiveness, IFC’s Work Quality and IFC’s Role and Contribution. The PCR also includes lessons learned. The self-evaluations are prepared by the IFC’s advisory project teams for 100% of projects, following the evaluation framework outlined in the jointly (IFC and IEG) developed PCR Guidelines. Every year IEG selects and validates a sample (50-60%) of the PCRs completed in the previous fiscal year. For all selected projects, IEG records IEG's independent assessment of the project development results and IFC’s work quality and lessons, based on the same PCR guidelines, and produces an Evaluative Note (PCR EvNote). The validation process involves in-depth desk reviews of all project documentation and external or independent sources of information, based on the same PCR guidelines. IEG may selectively supplement the desk-based validation with a field visit for a small number of projects to observe the results on the ground and interview the project’s clients and stakeholders in person. Project Evaluation Report Validation Note (MIGA) A Project Evaluation Report (PER) is a self-evaluation document of MIGA Guarantee Operations at the project level. PERs are prepared by MIGA staff for 100% of mature projects (five-year old) and typically involve a field visit. A PER assesses and provides ratings for a project’s emerging development results (based on business performance, economic sustainability, environmental and social effects, and foreign investment effects) as well as MIGA’s effectiveness (MIGA’s strategic relevance, role and contribution, and work quality). MIGA’s staff complete the self- evaluation based on PER guidelines jointly developed by MIGA and IEG. IEG validates 100% of PERs, their findings and lessons, and independently rates development results summarized in a Validation Note (PER ValNote), based on the same PER guidelines. The validation process involves in-depth desk reviews of all the relevant project documentation and external or independent sources of information. IEG may selectively supplement the desk-based validation with a field visit to observe the results on the ground and interview the project’s clients and stakeholders in person. Intermediate products – use of existing evaluative evidence to generate insights, learning, and inform decisions Evaluation Insight Notes IEG undertakes Evaluation Insight Notes (EIN) to generate new insights from existing evidence that address knowledge gaps and contribute to enhanced operational learning. An EIN synthesizes existing knowledge by systematically organizing evidence from disparate IEG evaluations, validations and other work, and can be supplemented by additional existing studies. Questions can focus on, for example, effectiveness, the qualities of especially well or poorly functioning operations, and the best evidence available on types of approaches. An EIN may also reuse existing background material from published reports, such as country case studies and interview notes to help deepen understanding of existing findings. New evidence gathering is not within the scope of EINs. 36 Learning Engagements IEG’s Learning Engagements (LE) are collaborative initiatives between IEG and WBG staff designed to maximize learning from existing evidence on a well-defined operational issue. They allow for early course correction by identifying and filling knowledge gaps. LEs are initiated throughout the year, based on demand; strategically important engagements may be planned to respond to specific requests from WBG Management and the Board. LE outputs come in different formats and are not publicly disclosed. Just-in-Time Notes Just in Time Notes (JIT) are short (generally 3-7 pages) notes on a very targeted subject, meant to inform specific decisions or discussions. The notes allow IEG to quickly summarize existing evaluative evidence at the request of the Board, including past findings and recommendations. They do not collect or generate new evidence, analysis, findings and recommendations, and as such do not undergo review by WBG Management. JIT notes are not publicly disclosed. Sector Highlights Sector Highlights (SH) are prepared by IEG to address lack of collective knowledge and evidence on projects’ evaluation results and performance at the sector level, for investment and advisory projects. Sector Highlights’ intended audience are IFC/MIGA senior and middle management in IFC/MIGA and operational teams. The SH remain largely internal documents, with few exceptions when the SH were shared with the Board. They synthesize knowledge from existing IEG validations and evaluations of IFC and MIGA projects to summarize results and draw meaningful lessons from the aggregation of evidence and knowledge of a sector in a 3 to 5 - year timeframe. They do not include a collection of new or additional evidence or field visits. IFC and MIGA technical counterparts are frequently engaged during the preparation process of the SH, but the study is prepared by IEG. Each SH typically includes a deep dive on one topic, encompassing more in-depth analysis of the sub-portfolio of the sub-sector or theme within the sector, and factors contributing to their performance. There is some evidence that some of the Sector Highlights resulted in a change of IFC’s policy and/or procedures. 37 Annex 2: IEG Historical Outputs FY21-24 Thematic, corporate, and country evaluations FY21-24 Thematic Streams FY21 FY22 FY23 FY24 • Natural Resources Degradation • Disaster Risk Reduction • Demand-Side Energy Efficiency Blue Economy Planet • Renewable Energy • Agri-Food Economies • Private Sector Participation in Climate Action WBG Support to Aging Countries Undernutrition COVID-19 Human Capital Learning Crisis People • Addressing Country Level Fiscal and Financial • COVID-19 Economic Implications IDA Support to Jobs Sector Vulnerabilities • Financial Inclusion Prosperity • Public Finance and Debt Management • Domestic Revenue Mobilization • SOE Reforms Urban Spatial Growth Solid Waste Management Infrastructure Digital Transformation Crosscutting themes • Engagement in Situations of Conflict Fragility, Conflict, and • IFC & MIGA Support for Private Inv. Violence in FCS (incl. PSW) Gender Mid Term Review Gender Equality in FCVs Gender • Private Capital Mobilization IFC Investment in K-12 Education IFC Additionality in MICs IDA PSW Update Private Capital • IDA PSW Corporate and Country Focused • Disruptive Technology WBG Readiness • Sustainable Development Finance • RAP 2022 • Capital Increase Package WBG Corporate • Outcome Orientation at Country Level Policy (SDFP) • Low Income Countries Debt Validation • RAP 2020 • Global Footprint Effectiveness Sustainability Framework • RAP 2023 Effectiveness • Doing Business • RAP 2021 • Bangladesh • Kyrgyz Republic • Papua New Guinea Country Program • Chad • Morocco • Ecuador • Ukraine Evaluations • Mozambique • Madagascar 38 Annex 3: Synopses of Proposed FY26-27 Evaluations, by IEG Thematic Streams Planet SDG goals #6,7,13,14,15: Clean Water & Sanitation, Affordable The WBG is committed to help its client countries meet the goals & Clean Energy, Climate Action, Life Below Water, Life on Land of the Paris Agreement. Climate change is a priority corporate WBG Global Challenge Programs: goal for the WBG, as laid out in the capital increase package and Fast-Track Water Security and Climate Adaptation; Energy IDA special theme. Similarly, promoting environmentally sound Transition, Efficiency, and Access, Forests for Development, development is a central part of the capital package, and Climate, and Biodiversity achieving the twin goals in a sustainable manner. IDA 20 Special Themes: Climate Change IFC 3.0: Cross Sector Impacts: Climate Action FY22 FY23 FY24 FY25 FY26 FY27 • Disaster Risk Reduction Private sector in Blue Economy Biodiversity Food and • Water Resource • Demand-Side Energy Climate Action Nutrition Management 1 Efficiency Security • Carbon Finance Instruments Food and Nutrition Water Resource Management 1 (FY27) Carbon Finance Instruments Security (FY26) (FY27) Between 2016 and 2022, the Water resources are stressed, due to rapidly Carbon finance and results-based climate number of people facing food crisis increasing demand, unsustainable use, and finance play an important role in helping or worse conditions increased from pollution. More than 733 million people live in a countries meet climate goals by incentivizing 105 million to 258 million. The country with high or critical water stress. Half the GHG emissions reductions. The World Bank Bank’s GCP on Food and Nutrition world’s rivers cross borders, yet only one-third have helps countries participate in carbon markets Strategic Security aims to scale up activities international agreements, heightening potential by (i) advising on policies, regulations, and Relevance in agriculture, nutrition, social tension. Climate change is intensifying floods and institutions for carbon market development; protection, and trade for both droughts creating pressure on already stressed (2) developing standards, methodologies, short-term crisis prevention and water resources. Improved water resources and tools to credibly measure, report on, preparedness, as well as long-term management is crucial for improving outcomes for and verify emission reductions; and (3) food system transformation. people, production, and the planet. financing investments that generate high integrity emission reductions as a bridge to expected demand from carbon markets. The evaluation will take a forward- This evaluation will assess the relevance and This evaluation will cover the period since looking approach, aligned with the effectiveness of the WBG’s efforts to improve water IEG’s 2018 evaluation of support to carbon GCP framework and its key action resource management (WRM), including the Bank’s finance. It will examine the effectiveness and areas and themes. The evaluation role in strengthening policies and institutions for efficiency of the Bank’s lending instruments will likely cover medium to long- cross-sectoral planning and transboundary water for generating credible GHG emissions term country-based prevention and management to ensure equitable water allocation reductions, primarily through amendments preparedness. It will include the across sectors and balance competing demands. to disbursement or repayment terms (e.g. WBG’s (WB, IFC, MIGA) large The evaluation will also assess the Bank’s role in results-based climate finance, green bonds). Key financing portfolios relevant to improving management within the water sector It will not encompass support for carbon Issues Food and Nutrition Security; how through solutions such as wastewater reuse, pricing, carbon registries or other forms of the WBG leverages knowledge to desalination, water use efficiency, and the technical assistance for participation in inform policies and drive results; its integration of nature-based solutions into carbon markets. Effectiveness will be defined work on “repurposing” public development and management of water resources. in terms of crowding in of other financing, subsidies; and its partnerships with A subsequent evaluation will assess efforts to and the additionality and sustainability of FAO, WFP, CGIAR, and others. mitigate floods and droughts through risk emissions reductions relative to conventional reduction measures, and investments in multi- financing. Efficiency will be defined in terms purpose infrastructure, including water storage of transactions costs and the calibration of systems and dam safety to enhance water security. incentives to reduce emissions through grant financing. Scope WBG IBRD/IDA WBG 39 People SDG goals #: 2,3,4 Good Health, Quality Education, Zero Hunger To meet its twin goals, the WBG recognizes that it must invest WBG Global Challenge Programs: in developing human capital in client countries. This includes Enhanced Health Emergency Prevention, Preparedness, investing in peoples’ knowledge, skills, and health to enable and response; Food and Nutrition Security them to realize their potential as productive members of IDA 20 Special Theme: society. The WBG announced the Human Capital Project in Human Capital 2017 and has made this an institutional priority. IFC 3.0: Sector Impacts- Health and Education FY22 FY23 FY24 FY25 FY26 FY27 COVID-19 Response: Learning Crisis Adaptive Social Emergency Health Vocational and protecting human capital Protection Preparedness/ One health Jobs Training Emergency Health Preparedness (FY26) Vocational and Jobs Training (FY27) Emergency health preparedness is integral to strengthening Across various workstreams, IEG’s evidence gap map resilience in countries to reduce the risk of disease outbreaks indicates that more evaluative work could be carried out leading to epidemics and potential pandemics and social and on the WBG’s support to jobs related to training systems economic costs. Success requires cross-sectoral actions that and programs for unemployed, informal sector and include private sector and engage sectors beyond health formal and vocational training. The topic has been (including agriculture, rural and urban development, and touched on in several evaluations, as part of larger topics, environment). One Health provides an integrated approach for most recently in the evaluations of IDA Support to Jobs public health and multisector health preparedness. WBG support (2024) and Youth Employment Programs (FY13). TVET emphasizes strengthening areas such as One Health networks systems and skills development training programs are Strategic and workforces, public health institutions, early warning systems, underdeveloped in many developing countries. Those Relevance environmental health, animal health, and supply chains. The focus systems are experiencing pressure as young people move on emergency health preparedness and One Health increased through higher levels of education and require specific following Avian influenza in 2006 and Ebola in 2015, though the skills on entering the workforce. The question of skills scale up of this support has been challenging, with cycles of mismatch – skills required by employers versus available neglect following epidemics. Since COVID-19, the WBG has skills sets - also arises. TVET and training systems are also prioritized support to reduce risk of outbreaks and epidemics and pertinent for those already in work who require re-skilling in turn future pandemics. Key investments include large regional / upskilling to secure their employment. The proposed projects, advisory support and analytics, projects, trust funds, Vocational and Jobs Training (FY27) evaluation will look support to country partnership frameworks, technical at this important piece of the puzzle on how to create partnerships, and the Pandemic Fund. The success of these efforts and maintain more and better jobs. in supporting results is critical. The evaluation will assess how well the WBG is supporting The evaluation will assess the WBG’s support for emergency health preparedness, emphasizing One Health. The vocational systems, skills development and training evaluation will look at the relevance of the WBG’s support, and programs between fiscal years 2016-2026 to generate the extent that the support is effective. Relevance will consider lessons related to three purposes: (1) assess how effective how well the WBG’s support is focusing on countries’ needs, the World Bank has been at helping client countries adopting a One Health approach, leveraging partnerships, and improve the quality of these systems and programs to Key Issues building on lessons learned on what works. The assessment of the translate into better jobs outcomes- and among which effectiveness of the support will consider the extent that past beneficiaries (2) examine the knowledge transfer of the support has achieved outcomes to sustainably strengthen WBG to clients to monitor impact of investment to ensure preparedness in countries, and that the WBG’s current support is sustainability (3) evaluate the effectiveness of the supporting pathways to achieving preparedness outcomes coordination across the WBG and clients and partners as (including technology, institutional strengthening, multi-level multiple Ministries and sectors implement these training engagement, data and knowledge, and people investments)? programs and systems. Scope IBRD/IDA, IFC IBRD/IDA, IFC 40 Prosperity SDG goals #1,2,8,9,10,11,16: Zero Hunger, Decent Work & Economic Growth, The WBG’s mission is more urgent than ever as extreme Industry Innovation and Infrastructure, Reduced poverty remains at over 700 million people and income growth Inequalities, Sustainable Cities and Communities, is insufficient to achieve shared prosperity. Among its Peace and Justice priorities, the WBG must work towards fostering growth and IDA 20 Special Themes: creating jobs. The IDA 18 and 19 replenishments have also Jobs & Economic Transformation adopted Jobs and Economic Growth as special themes. IDA 20 Cross-cutting Theme: Governance & Institutions IFC 3.0: Cross Sector Impacts: Employment Creation & Economic Growth FY22 FY23 FY24 FY25 FY26 FY27 • COVID-19 Response: • Domestic Revenue IDA Support WBG Support for Jobs JET Economic Implications Mobilization to Jobs Debt Sustainability cluster • Agri-Food Economies • LIC DSF • Financial Inclusion WBG Support for Debt Sustainability (FY26) Jobs JET cluster (FY27) In 2023, the rise in debt stock of the world’s poorest More organized sector jobs and better paid, more inclusive countries—those eligible for IDA concessional financing— work, are the key to sustained improvements in living outpaced the rise in other LMICs. It increased by 4.8 standards and to achieving the WBG’s twin goals. These percent to an all-time high of US$1.1 trillion. The level of objectives entail structural transformation and growth driven debt in IDA countries is now 18 percent higher than it was by private investment and demand for workers from firms in 2020 before the pandemic. The debt-to-GNI ratio of outside of traditional agriculture, expanding markets, a IDA-eligible countries increased to 40.6 percent by the end growing share of organized wage work, and a conducive, of 2023, remaining on an upward trajectory, while risk of regulatory environment. WBG support in this context has Strategic debt distress increased significantly. The combined debt been wide-ranging. In terms of horizontal reforms, it has Relevance stock of IDA-eligible countries has been on an focused on the macroeconomic policy framework, investment uninterrupted upward trend since 2007, yet gross national climate, financial access and capital markets, and investments income was stagnant in 2023, raising concerns about debt in education, health and nutrition. In terms of vertical/sector- vulnerability and sustainability for this group of countries. based support, the main focus has been on “labor-intensive” High levels of debt and debt servicing divert financing agri-business, manufacturing and tourism, with growing from development critical needs. The support provided by recognition of the jobs and investment potential of energy, the World Bank and development partners that supports healthcare and infrastructure. There is an ongoing effort to improved debt sustainability and helps lower the risk of develop a systematic approach to frame WBG support to debt distress is critical from a development perspective. economic growth and jobs, which this evaluation will inform. This evaluation is of WBG support to debt sustainability for This evaluation will build on and complement the first stage IDA-eligible countries over 2014-24 with the over-arching evaluation of IDA’s support to jobs and labor market reforms objective of assessing whether the World Bank’s in IDA published in 2023. It will cover the FY15-25 period and engagement has been coherent, anchored in country will take a “country cluster” approach. The approach will allow context and diagnostics, and contributed to both improved focus on a selected mix of IDA-eligible and middle-income debt sustainability and reduced risk of debt distress. countries while facilitating a comprehensive view of WBG Key Issues support. This is necessary to ensure tractability given the broad range of WBG support to economic growth and jobs. This evaluation will assess the evolution of and innovation in WBG support provided over the past decade, including within the “JET” framework, and analyzes the extent to which this support was relevant and effective, with a view of informing the engagement going forward. Scope WBG WBG 41 SDG goals #6, 7, 9, 11: Infrastructure Clean Water and Sanitation, Affordable and Clean Infrastructure is core to the WBG’ support to developing Energy, Industry Innovation and Infrastructure, countries. Reliable infrastructure promotes economic growth, Sustainable Cities and Communities improves livelihoods, and improves basic services to people. WBG Global Challenge Programs: Providing basic services such as clean water and sanitation, Fast-Track Water Security and Climate Adaptation; Energy Transition, Efficiency, and Access reliable energy, and transportation services are needed to IFC 3.0 reach the SDGs. Sector Impacts: Infrastructure FY20 FY21 FY22 FY23 FY24 FY25 FY26 FY27 • Sustainable Urban Spatial Demand-Side Electricity Access Climate Resilient Irrigation Growth Energy Efficiency Transport • Renewable Energy Electricity Access (FY26) Climate Resilient Transport (FY27) Electricity access enables transformative progress in human Investing in climate-resilient transport infrastructure could lead welfare, quality of life, and economic development. An to an estimated $4.2 trillion increase in global GDP by 2040 estimated 675 million people worldwide are without through improved access to markets and services. Since its Strategic electricity access. Of these, 4 out of 5 people are in sub- 2017 commitment to climate change co-benefits, the Bank has Relevance Saharan Africa. Delay in providing electricity to those increasingly shifted its focus from providing transport access without access amounts to depriving another generation of and connectivity to climate resilient transport access and the benefits of modern services, especially for education connectivity. Recent years have seen the largest financing and health. commitments for climate adaptation in the transport sector. The evaluation will cover lending, investment, advisory, The evaluation is likely to cover all products generated by the guarantees, technical assistance, knowledge products, intra- World Bank Group over the last decade, which include lending, WBG collaboration, and external partnerships directed investment, guarantees, technical assistance and capacity towards scaling up electricity access over the 2015-2024 building related products, country level knowledge, advisory period. The focus is on the WBG’s support for client and analytical products, as well as global knowledge products. countries with low electricity access to rapidly scale up This could include IFC and MIGA products. The evaluation is Key Issues affordable, reliable, and sustainable electricity service to expected to shed light on the definition of climate resilience in those that are currently without access, in moving towards transport lending/investment projects, how the World Bank the SDG 7 goal of achieving universal energy access by designs climate resilient transport projects, how it tracks its 2030. The evaluation will also examine the lessons learnt progress in building and enhancing climate resilience in its from applying the recommendations from the 2015 IEG transport lending and investment portfolio, and what works evaluation of the WBG’s support for electricity access. and does not in providing climate resilient transport infrastructure. The evaluation is also expected to identify main factors for strengthening client interest in climate resilience. Scope WBG WBG 42 Digital Transformation Digital technologies are increasingly central to our economic and social SDG goals #9: lives and can be powerful tools to help unlock economic growth and Industry Innovation and Infrastructure opportunity, tackle development challenges, ease access to services, and WBG Global Challenge Programs: improve lives. The WBG’s work on Digital Transformation will include a Accelerating Digitalization range of products, services, and partnerships to advance global IDA 20 Cross-cutting Theme: knowledge around key digital development topics and to support Technology countries to define and implement their vision for digital transformation. FY27 FY28 e-Government Digital Public Infrastructure e-Government (FY27) The WBG has supported the implementation of digital technology solutions in its client countries by financing over 1,400 digital government projects since 1995. Over the past decade, investments in digital solutions have grown significantly, reflecting the WBG’s increasing commitment to this area. Strategic The portfolio of digital government projects is expected to expand further, driven by technological Relevance advancements and the WBG’s new emphasis on enabling digitalization to address global challenges. This focus is outlined in the WBG's evolution strategy and is reflected in its corporate scorecard, specifically under Outcome Area 11: Digital Services, which aims to increase the use of digitally enabled services in client countries. This evaluation would assess the relevance and effectiveness of the WBG’s support to digital transformation solutions in client countries. By analyzing a portfolio of lending and analytical activities Key Issues with digitalization components, the evaluation would assess how well these interventions align with countries’ needs and priorities, and their impact on enhancing government efficiency, improving access to and quality of public services, and strengthening governance and oversight of core government operations. Scope WBG 43 Gender SDG goal #5: Gender Equality Gender has been a longstanding strategic priority of the WBG ever since WBG Cross-cutting theme: the approval of the 2001 Gender Strategy. It has also been a special Gender theme in IDA since the 16th replenishment in 2010. Gender equality is IDA 20 Special Theme: central to the WBG’s goals of ending extreme poverty and boosting Gender shared prosperity in a sustainable manner. Promoting gender equality is IFC 3.0 Cross-Sector Impacts: also ‘smart development policy’. Gender Equality FY21 FY22 FY23 FY24 FY25 FY26 FY27 Gender Strategy Mid- Gender Inequality in FCV WBG Gender Strategy Enabling Economic Term Review Opportunities for Gender Equality Enabling Economic Opportunities for Gender Equality (FY27) The World Bank Group’s Gender Strategy 2024-2030 emphasizes women's access to economic opportunities as crucial for advancing gender equality. It focuses on quality employment, closing the gender pay gap, and removing Strategic barriers to female entrepreneurship. The World Bank and IFC leverage their comparative advantage to promote Relevance economic opportunities for women, which are essential for gender equality and economic development. The proposed IEG evaluation will review the progress and achievements of the World Bank Group’s support to creating an enabling environment for gender equality in formal and informal markets. The IEG evaluation will build on previous work assessing the institution's role in promoting gender equality, including reports on gender inequalities in fragile contexts and World Bank and IFC engagement for gender equality. The new evaluation will focus on the World Bank and IFC’s efforts to enhance gender equality in economic Key Issues opportunities, such as closing the gender gap in farm productivity, supporting female participation in formal labor markets, and closing the gender pay gap. It will assess the impact of key factors on women’s and girls’ economic empowerment—factors such as education and reskilling, sexual violence in the workplace, mobility, asset ownership, childcare, and social norms. The specific focus of the evaluation will be determined in the scoping phase Scope IBRD/IDA and IFC 44 Fragility, Conflict, and Violence SDG goal #16: With almost two-thirds of the world’s extreme poor projected to be in Peace, Justice and Strong Institutions countries affected by fragility, conflict and violence (FCV) by 2030, WBG Cross-cutting theme: addressing their specific challenges is critical to advance the Bank Group’s FCV twin goals of eliminating extreme poverty and boosting shared prosperity. WBG FCV Strategy The WBG is committed to enhance its effectiveness to support FCV IDA 20 Special Theme: countries through a differentiated approach to FCS by helping them Fragility, Conflict and Violence address the drivers and impacts of conflict, strengthening their resilience, IFC 3.0 and MIGA FY21-23 Increased focus on FCS especially for the most vulnerable and marginalized populations. FY22 FY23 FY24 FY25 FY26 FY27 SDG goal #16: With almost two-thirds Mozambique CPE of the world’s extreme poor projected •to be in CPE • FCV Strategy Ethiopia Operational • Madagascar CPE Papua New Peace, Justice and Strong Institutions countries affected by fragility, conflict • Gender Equality in and violence (FCV) by 2030, • Somalia CPE WBG • Democratic Republic Engagements in Guinea CPE Cross-cutting theme: addressing their specific challenges is critical to advance the Bank Group’s FCV of Congo CPE FCV FCV twin goals of eliminating extreme poverty and boosting shared prosperity. WBG FCV Strategy The WBG is committed to enhance its effectiveness to support FCV IDA 20 Special Theme: countries through a differentiated FCV Strategyapproach (FY26) to FCS by helping them Operational Engagements in FCV (FY27) Fragility, Conflict and Violence The objective address the drivers of the WBG’s and impacts FCV Strategy of conflict, is to enhance strengthening Fragility, conflict and violence (FCV) have been on the rise their resilience, the WBG’s effectiveness to support countries in IFC 3.0 over the past decade and and MIGA the WorldFY21-23 Bank list of fragile and especially for the most vulnerable and marginalized populations. Increased focus on FCS addressing the drivers and impacts of FCV and conflict-affected situations (FCS) has grown. In the future, strengthening their resilience, especially for their most global poverty will be increasingly concentrated in FCS: by vulnerable and marginalized populations. The strategy 2030, more than half of the global poor are expected to live Strategic sets out a framework for understanding FCV and to in FCV countries. FCS affects both IDA and middle-income Relevance increase the effectiveness of WBG development support countries and involves complex challenges that are to both low- and middle- income countries that are compounded by climate change and natural disasters, food dealing with FCV challenges, including high levels of insecurity, macroeconomic instability, and gender violence, forced displacement shocks, and subnational inequality. Generating evidence on what works under what conflict. circumstances and for whom in FCS is critical for making progress on the World Bank’s mission to end extreme poverty and boost shared prosperity on a livable planet. This evaluation will consider whether the WBG’s FCV The evaluation will be designed to go build on the FCV strategy and its framework have helped operational Strategy evaluation, with a focus on assessing the teams (i) develop improved strategies, programs, and effectiveness of the Bank Group’s engagements in helping projects; (ii) improve implementation in FCV countries; countries combat the drivers of fragility and conflict. This and (iii) whether elements of the framework have helped evaluation will examine country-level outcomes of the Bank improve the effectiveness of the WBG’s engagement in Group’s support through prevention of fragility & conflict, Key Issues FCV countries. engagement during conflict, and transitioning out of fragility. It will assess the effectiveness of specific WBG FCV modalities in different contexts with a focus on the effectiveness of the One WBG approach at the country level. The FY27 evaluation will provide implications on factors enabling engagement and results in different country contexts. Scope WBG WBG 45 Private Capital SDG goal #: 17 The WBG recognizes the need to leverage the private sector in Partnerships for the Goal ways that optimize the use of scarce public resources. Private IDA 20 Special Theme: Private Capital Capital is a critical component to address global development Fragility, Conflict and Violence challenges at scale. To reach its twin goals, The WBG must draw IFC 3.0: on the substantial experience across the institution in Creating Markets, Mobilize Private Investors supporting governments to crowd in the private sector. for the Goal FY22 FY23 FY24 FY25 FY26 FY27 The WBG recognizes the need to leverage the private sector in ways that optimize IFC Additionality in the use of scarce public resources. IDA Private PSW Update Guarantees Credit Lines Capital is a critical component to address global development MICs FY26 challenges at scale. To reach its twin goals, The WBG must draw on the substantial experience the institution in across (FY26) Guarantees Credit Lines (FY27) supporting governments in increased to crowd to One of the impediments the private sector. capital mobilization in Currently, Lines of Credit (LOCs) make up about 3-5% of WB developing countries is that the private sector perceives lending, and about 28% of IFC investment. Many of them are Strategic that the risk-return ratio is too high. Guarantees can be in countries with difficult economic environments, and with Relevance used to lower both actual and perceived risk, thereby weak financial institutions. LOCs are often used to target encouraging more private sector investment in developing underserved groups. countries. This evaluation will look to benchmark progress against the In 2006, IEG evaluated World Bank Lines of Credit (LOCs), findings from the 2007 IEG review of the guarantee finding that they had generally had poor outcomes and instrument. In particular, the evaluation will look at whether frequent cancellations. However, better outcomes for lines or not the external (demand) and internal (organization) of credit were found to be associated with (i) stable factors have changed such that there are different macroeconomic conditions; (ii) stronger financial sectors conclusions. It will seek to assess the role, complementarity, including good legal and regulatory regimes governing and utility of the guarantee instruments of all three financial institutions, and mostly market determined interest institutions to mobilize private capital, and under which rates, few distortionary credit and tax policies, and limited Key Issues circumstances different guarantees worked well and where state ownership of financial institutions; (iii) use of clear guarantees could be scaled up. In addition, the evaluation eligibility criteria in the selection of participating financial will assess progress against the previous recommendations intermediaries, and (iv) use of only private sector financial and look at the organizational structures required to deliver intermediaries. As the use of LOCs has expanded into the range of guarantee products, and to improve weaker economic and institutional environments, this complementarity of instruments. It will seek to tackle and evaluation would assess under what circumstances LOCs are answer the question on the development impact of more likely to be successful, and when LOCs have a guarantees, something not covered previously. sustained development impacts. Scope WBG WBG 46 WBG Corporate Effectiveness SDG goals #17: For the WBG to achieve its strategic goals, it is critical to understand Partnerships for the goals whether it is functioning optimally as a development institution. This WBG Corporate Effectiveness is a cross cutting theme which will include evaluations of the WBG’s Forward Look & Capital Increase corporate effectiveness, including its policies, instruments, Better and Stronger WBG corporate commitments, knowledge agenda, etc. FY22 FY23 FY24 FY25 FY26 • Doing Business Capital Increase • Learning from WB Lending • WB Environmental and Social Framework • Sustainable Development Package Validation Operations • Corporate Scorecard formative Finance Policy • WB Procurement evaluation Framework for IPF • IFC Sustainability Framework • Multiphase Programmatic Approach • Doing Business Annually: Results and Performance (RAP) Report and Management Action Record (MAR) Validation WB Environmental & Social Framework (FY26) Corporate Scorecard (FY26) The ESF applies to Annually: all IPF and Results projects initiated (RAP) Performance on or after The new World Report and Management Bank Action Group Record Scorecard (MAR) is designed to Validation October 1, 2018. It supports green, resilient, and inclusive support results-oriented management and communication development by strengthening protections for people and for the entire institution. It has been developed through the environment and making important advances in areas extensive consultations with the Board and is underpinned such as labor, inclusion and non-discrimination, gender, by a set of methodologies to generate data on a newly Strategic climate change, biodiversity, community health and safety, defined set of results indicators as well as results narratives Relevance and stakeholder engagement. The ESF places an emphasis that articulate the linkages between WBG support at country on strengthening national environmental and social and sector levels to results. A formative mid-term evaluation management systems and institutions and supporting conducted by IEG was planned at the outset of the new Borrower capacity building. A key part of the ESF is to scorecard development process. develop approaches that protect women, children, and other populations at risk where Bank projects occur. This evaluation is designed as an early-stage evaluation of The evaluation will assess whether the scorecard fulfils its ESF implementation experience. It is designed to assess dual purpose of fostering results-oriented decision-making progress against the World Bank’s ESF objectives laid out in and effective communication. In addition, the evaluation will the 2016 Board Paper. The evaluation includes a focus on assess the extent to which the necessary building blocks are adaptive risk management, the application of principles in place for the scorecard to fulfil these roles. Among other (flexibility and proportionality), the development of things, these include: the adequacy of the indicator Borrower systems for managing E&S risk, World Bank framework as a set of proxies for WBG performance and implementation support, ESF policy harmonization, results; the availability and quality of data collected; the Key Issues coherence, and alignment with development partners and institutionalization of the scorecard in WBG operations (e.g. to the extent that evidence is available, the contribution of inclusion in country strategies, project design); the systems, ESF to enhanced development outcomes. The evaluation practices and incentives in place to collect data; the will also cover ESF tools developed to identify and mitigate adequacy and coverage of results narratives at country and the risks of Sexual Exploitation and Abuse/ Sexual sector levels; the accessibility and use of the scorecard Harassment where Bank projects occur. IEG’s evaluation is platform. The findings of the evaluation are intended to complementary to the recent work of GIA’s relating to the inform the Board and Management on whether the ESF, which focused on Internal Capacity (FY21), Client scorecard is fit for purpose as well as any course corrections Capacity Building (FY22), Grievance Response Mechanism needed to enhance the use and robustness of the scorecard. (FY23), and Streamlining (FY24). Scope IBRD/IDA WBG 47 IFC Sustainability Framework (FY26) IFC’s Sustainability Framework (SF) articulates IFC’s strategic commitment to sustainable development and is an integral part of its approach to risk management. Adopted in 2006, and last updated in 2012, IFC is again updating its SF to better align it with global industry norms and the evolving priorities of the World Bank Strategic Group. IFC aims to deliver a revised SF by FY27, following internal analyses and consultations. The Committee Relevance on Development Effectiveness requested that IEG provide evaluation evidence to inform this reform process. IEG has provided some analyses, using existing performance standard data, to IFC and CODE (in FY24), however this analysis was partial, covering only the performance of the performance standards. This evaluation will be timed to follow IEG’s evaluation of the World Bank’s Environmental and Social Framework evaluation scheduled to be delivered to CODE in FY26, which will also identify cross-cutting lessons relevant for the IFC SF reform. The scope of the evaluation will be determined through an evaluability exercise and consultations, that will be reflected in the approach paper to be submitted to CODE in FY25. The evaluation is likely to cover (i) institutional issues focused on adaptive management and learning, including monitoring and reporting; (ii) IFC Key Issues and client performance, building on IEG’s assessment of the performance standards and issues raised in its sector highlights notes, and also client capacity building; (iii) aspects pertaining to a “One W orld Bank Group Approach”, taking into account differentiated needs for IFC’s private sector clientele and that of differentiation amongst IFC instruments, amongst other issues. Scope IFC 48 Annex 4: IEG FY26-27 Evaluations – primary and intersecting themes ✱ = main thematic stream FRAGILITY, PRIVATE CORPORATE PLANET PEOPLE PROSPERITY INFRA DIGITAL GENDER CONFLICT, ✓ = Intersecting stream CAPITAL EFFECTIVENESS VIOLENCE Food and Nutrition Security ✱ ✓ ✓ Emergency Health Preparedness/OneHealth ✓ ✱ WBG Support to Debt Sustainability ✱ Electricity Access ✓ ✱ FY26 FCV Strategy ✱ ✓ Guarantees ✓ ✱ WB ESF ✓ ✓ ✱ IFC Sustainability Framework ✓ ✓ ✱ Corporate Scorecard ✱ Water Resource Management 1 ✱ ✓ Carbon Finance Instruments ✱ ✓ ✓ Vocational and Jobs Training ✱ ✓ ✓ Jobs JET cluster ✱ ✓ FY27 Climate Resilient Transport ✓ ✱ e-Government ✓ ✱ Enabling Economic Opportunities for Gender Equality ✓ ✱ FCV Country Level Outcomes ✱ Credit Lines ✓ ✱ 49 Annex 5: IEG Budget Request – additional information For its FY26 budget proposal, IEG requests US$1.7 million in additional funding, after structural increase (2.9 percent estimated inflation factor for FY26, as per BPS). In IEG’s FY25 budget request, IEG provided an indicative budget projecting a need for a real increase of US$2.9 million after structural increase over the FY26-27 period. IEG is requesting that the funding be slightly frontloaded, with a real increase of $1.7 million in FY26 (3.8% real growth), and an increase of $1.2 million (2.6% real growth) in FY27. Specifically, the FY26 budget request reflects required investments to support planned (i) augmentation of IEG capacity in digital technology, data sciences, and artificial intelligence; (iii) support the ownership of self-evaluation practices in IFC/MIGA, expanded validation coverage, and expanded scope of thematic and country evaluations to cover “One WBG” approaches; and (iii) scale up its investment in partnerships to increase the evaluative capacity in developing countries through IEG’s Global Evaluation Initiative (GEI). In FY28, IEG is projecting a request to realign and bolster its expertise in GCP areas. Many of these initiatives will be partially financed through reallocation of savings from canceled vacancies, reductions in STC costs, and more efficient use of data analytics. In addition, IEG recently lost its top Methodology Advisor to another development bank. In order to continue to maintain IEG’s role as a technical leader in the evaluation community, it is important to be able to attract and retain top experts in Evaluation Methodology. In reviewing the competition for the top talent in this area, IEG believes that a GI level position (Senior Advisor for Evaluation) will be needed to attract the best candidates. IEG is seeking to upgrade the GH position vacated by its previous Methods Advisor to a GI position. IEG will not seek additional funding for the costs of the upgrade but will repurpose savings from tightening its A2D ratio to pay for this upgrade. (i) Augment IEG capacity in evaluation methodology, digital technology, data science, and artificial intelligence (AI) – request $1.2 million in FY26. IEG has significantly expanded its capacities in data science technologies in recent years, including through redeploying funds to advance its cutting-edge work such as in AI powered analytics and geospatial analysis. The strengthening of IEG’s Methods Advisory function to respond to the need for innovative evaluation methodologies to harness the full potential of data mining and analysis, has proven effective and the small but productive Methods Team continues to lead the evaluation community in the application of – and experimentation with – data science and AI techniques. In particular, this will enable IEG to better mine existing evaluative evidence and meet demand from the WBG Board and Management for rapid synthesis of evidence to support decision making. IEG is currently a technical leader in the evaluation community, with many other evaluations agencies seeking advice. In addition to providing training and knowledge sharing, IEG is hosting secondees from other evaluation agencies who are seeking to learn from IEG, and has a waitlist of requests from other agencies. 50 IEG has been reallocating funds from its own budget to support these initiatives. In FY23, IEG conducted a review of its software and websites, and saved $187,000 per year by cancelling underused or duplicative software and website services, and redeployed the use of these funds to advance its cutting-edge work such as in AI powered analytics. Given the competitive market for data scientists, the need to invest in cutting edge training and software for its data scientists to stay on top of innovations, and the need to retain those data scientists, IEG is shifting from using ETCs and STCs to hiring data scientists through staff positions. IEG is now seeking to hire three data scientists at an estimated cost of $900,000. In addition, IEG seeks to hire 5 data analysts to be embedded with evaluation teams within IEG. The cost of these 5 positions is estimated at $950,000. Of the total of $1.85 million in proposed costs, IEG expects to fund $650,000 through a reduction in ETC/ STC expenditure. However, IEG requests $1,200,000 for the remaining costs of expanding its cadre of data scientists. IEG recently lost its top Methodology Advisor to another development bank. In order to continue to maintain IEG’s role as a technical leader in the evaluation community, it is important to be able to attract and retain top experts in Evaluation Methodology. In reviewing the competition for the top talent in this area, IEG believes that a GI level position (Senior Advisor for Evaluation) will be needed to attract the best candidates. IEG is seeking to upgrade the GH position vacated by its previous Methods Advisor to a GI position. IEG will not seek additional funding for the costs of the upgrade but will repurpose savings from tightening its A2D ratio to pay for this upgrade. (ii) Support the ownership of self-evaluation practices in IFC/MIGA, expand validation coverage, and expand One WBG coverage in evaluations - request US$300,000 in FY26. In line with recommendations from the 2022 External Review, IEG is working with IFC and MIGA to promote a stronger self-evaluation culture. Additionally, IEG has been in discussions with IFC and MIGA to expand both the breadth and depth of IEG validation of IFC/MIGA’s self-evaluations. Validations will expand from 40% coverage to 100% coverage for IFC and MIGA. In addition, WB ICR validations have increased by 43% over the last five years. IEG also has been expanding the scope of its thematic and country evaluations to include One WBG approaches, in particular, closer reviews of IFC and MIGA work. To allow for the expansion of validation work at the project level by IEG, and expanded work for major evaluations, additional IEG reviewers will be needed. IEG estimates a need for US$300,000 in FY26 to carry out initial pilots of the revised self-evaluations and validations for IFC and MIGA, cover the increase in IEG validations of self-evaluations across all three institutions, and to increase the scope of major evaluations. IEG expects to submit a request for approximately an additional $600,000 for new staff in FY27, to cover the expanded validations and evaluation work. 51 (iii) Scale up investment in partnerships to increase evaluative capacity in developing countries through GEI – request US$200,000 in FY26. The indicative FY27-28 budget request includes an investment into expanding bilateral and multilateral partnerships within IEG’s Global Evaluation Initiative (GEI) network, which promotes the use of evidence in decision-making, by strengthening national monitoring and evaluation (M&E) systems in developing countries. The GEI Trust Fund has started working with donors on replenishment. However, even with a successful replenishment, IEG anticipates that the GEI will need additional Bank budget resources in the medium term to expand the breadth and depth of GEI’s program. Currently, the level of GEI funding allows support of 24 focus countries; GEI would like to deepen the work in those countries, as well as expand the number of focus countries. In addition, GEI will need additional funding to (i) strengthen the capacity of GEI’s implementing partners, such as Centers for Learning on Evaluation and Results (CLEAR Centers) in India, Pakistan, South Africa, Senegal, Brazil and Chile, as well as possibly expand the number of CLEAR centers (MNA, EAP); (ii) enhance the GEI knowledge platform by adding new content, such as on national M&E systems, evaluation design, etc., with AI-driven chatbot function, which can be accessed by all client countries (not only focus countries); (iii) design and deliver new M&E courses, targeting WBG and other MDB clients; and (iv) manage additional grants for new clients. IEG estimates that the proposed enhancements and expanded activities will increase GEI costs by approximately US $200,000 in FY26, with an additional request for $500,000 in FY27. The total request has been downsized from previous estimates of $1.2 million, but will be re- evaluated in the next budget cycle, depending on the results of the Trust Fund replenishment, as well as the complexity of the clients’ and partners’ capacity development needs. (iv) Strengthen areas of focus for the GCPs The WBG has launched six priority GCPs as well as increasing its emphasis on Climate and Digital technologies. IEG is seeking to realign its staff skills to reflect the priorities of the WBG. In FY25, IEG focused on strengthening its expertise in Climate and Digital Technology. In FY26, as the GCPs have greatly increased the focus on infrastructure, IEG expects that additional skill areas may need to be bolstered. IEG is not seeking funding for skills realignment at this time, but projects that additional positions will be needed by FY28. Currently, IEG estimates that two new positions at a cost of $500,000 may be needed, but will revisit and revise that number during future budget cycles. 52 Annex 6: IEG Monitoring, Evaluation, and Learning Plan IEG’s objective is to help the WBG meet its goals and enhance its development effectiveness through timely, robust evaluation. IEG has set up multiple mechanisms to help itself and the Bank Group’s shareholders understand its performance and influence: • IEG’s Theory of Change sets out IEG’s main areas of work and how they influence the behavior of actors inside and outside the WBG and contribute to enhanced accountability and learning for development effectiveness. • IEG’s results framework reports annually on key performance indicators aligned with the theory of change and the WBG Evaluation Framework. • IEG’s annual work program proposes the annual budget and a three-year rolling work program. • Quarterly reporting to CODE reports on progress against budgetary and delivery benchmarks. • IEG’s annual report presents and illustrates IEG’s deliverables – validations, evaluations, evaluation capacity development, communication, and outreach—and highlights aspects of IEG’s visibility and influence. • IEG’s annual client survey gathers feedback from IEG’s key stakeholders in the Board of Executive Directors, operations, and externally on the quality, relevance, and usefulness of IEG’s work. • An external review of IEG is conducted every five years by independent international experts and peers, this review examines the independence, credibility, and utility of IEG’s work and proposes recommendations for the future. A self-assessment exercise conducted by IEG provides inputs to the external review. Monitoring Plan Evaluation Plan Learning Plan The results framework in IEG regularly reviews and IEG’s leadership team regularly discusses the following pages evaluates the influence and the mentioned reviews and initiatives to constitute the annual utility of its work to the World identify areas and actions for monitoring plan. The Bank Group, either through improvement, in consultation with IEG framework describes internal reviews or through staff. The independent external quantitatively IEG’s strategic external consulting firms. IEG evaluation of IEG will also involve the level outcomes (Tier 1), also regularly evaluates how it formulation of an action plan in outputs (Tier 2), and manages its resources. It does response to recommendations. operational effectiveness bi-annual strategic staffing (Tier 3). reviews to manage its human In addition, the “IEG Academy” resources. organizes annual Learning Days and Several indicators from the other trainings geared to address results framework derive individual learning and skills gaps. IEG’s data from IEG’s annual Methods Advisory Function hosts BBLs client survey on stakeholder and courses on cutting edge evaluation perceptions of the quality, methods. And many individual IEG staff relevance, and usefulness of deliver seminars and trainings at IEG’s evaluations and evaluation and Bank Group seminars engagements. and conferences. 53 Tier 1: Strategic Results Direct and medium-term outcomes that IEG is achieving in accordance with its strategic objectives. ACCOUNTABILITY IEG evaluations provide relevant information to the Board on WBG’s results and development effectiveness. Indicator FY24 3 yr avg IEG products improved the Board’s understanding of WBG’s development 46% 77% effectiveness IEG evaluations align with the WBG’s strategic priorities 60% 78% FEEDBACK LOOPS, LEARNING, AND KNOWLEDGE IEG evaluations inform decision-making processes at different levels in the WBG to improve the development effectiveness of the WBG’s programs and activities, and their responsiveness to member countries’ needs and concerns. Indicator FY24 3 yr avg Use of IEG to learn about factors of development effectiveness across sectors/ 37% 41% themes Use of IEG to learn about factors important to the design of a specific lending/ 37% 32% non-lending operation NEW INDICATOR FY23: Use of IEG products to inform the design of a specific 81% (FY23: lending /non-lending operation7 83%) EVALUATION CAPACITY DEVELOPMENT IEG strengthens M&E capacity, systems, and culture in WBG client countries through partnerships and direct efforts. Indicator FY24 FY23 7 Over the years of IEG’s Client Survey, the positive responses for the indicator on the use of IEG reports to learn about fact ors important to the design of a specific lending/ non-lending operation have averaged around 32%. In analyzing this low result, IEG learned that many of the respondents were (i) not involved in design or supervision of an operation in recent times, (ii) were not in positions where engagement with IEG products were relevant, and/or (iii) had no opinion. In FY23, IEG added a new question on the usefulness of IEG products in the design or supervision of an operation, and focused on the respondents which had a view on the use of IEG products for operational design or supervision. When the relevant sub-sample is used, 81% engage with IEG products to learn about project design or supervision. 54 Number of policies, strategies, and/or plans supported by/contributed to by the 51 37 GEI network Number of M&E systems receiving GEI technical assistance 21 11 Number of countries undertaking government led evaluations (including sub- 1 0 national) Tier 2: IEG Outputs Activities and outputs delivered by IEG that contributes to achieving its strategic objectives. ACCOUNTABILITY IEG assesses WBG programs and activities on their expected results through evaluations and project validations. Indicator FY24 Target as per WP for FY24 Number of evaluations, including thematic evaluations and the annual 8 12 RAP Number of country program evaluations per year 2 4-5 IEG reviews and validates self-evaluations conducted by the WBG of 100% ICRR 100% ICRR its strategies and operations 40% XPSR 40% XPSR 51% PCR 51% PCR 100% PER 100% PER 100% CLRR 100% CLRR FEEDBACK LOOPS, LEARNING, AND KNOWLEDGE IEG ensures its evaluations are widely disseminated, understood and valued, by its stakeholders. IEG engages directly with WBG staff to help answer development effectiveness questions using evaluative evidence. Indicator FY24 Previous year (FY23) Number of DGE statements sent to the Board, including Regional and 3 3 Global Updates Number of Learning Engagements 1 3 Number of Evaluation Insight Notes (previously JIT notes and 2 3 Synthesis reports) Number of WBG learning events co-sponsored by IEG 66 33 55 Level of engagement with IEG outreach platforms, per IEG client 18% 39% survey (client survey) EVALUATION CAPACITY DEVELOPMENT IEG contributes to the management and implementation of evaluation capacity development programs. FY24 FY23 Percentage of participants that provide positive feedback on 91% 87% training relevance, quality and knowledge acquired Number of trainings provided with global, regional, national or 71 36 subnational reach Number of people trained 5,394 2,826 Number of knowledge products (co-) created by GEI Network8 74 30 Number of users reached by GEI's Digital Media 1.3 million 1.2 million Number of page views of GEI's external knowledge platform 1.8 million 2 million (BetterEvaluation) Number of GLOCAL knowledge events held 367 369 Tier 3: IEG Performance Measures IEG’s operational effectiveness and its contribution to corporate objectives. EVALUATION PLANNING IEG prepares its work program in consultation with key stakeholders and responds to their needs. IEG also delivers it work program in a resource efficient manner. Indicator FY24 3 yr avg Satisfaction on timeliness of IEG reports 77% 79% Satisfaction with the relevance of evaluation reports 84% 82% Satisfaction with the process of engagement on IEG evaluations 76% 76% IEG’s budget as a percentage of WBG total administrative budget 1% 1% Indicator FY24 Target % of evaluations delivered in Q4 of the fiscal year 33% <25% 8 GEI network implies the Global team and 8 implementing partners 56 % of overall IEG budget overrun/underrun Est: 0.1-0.5% 1-2% CONTRIBUTION TO CORPORATE GOALS IEG is committed to ensuring a diverse and inclusive workplace for its staff. Indicator FY24 Target IEG Gender Balance Ratio 0.768 1.0 Indicator Last survey (FY22) 3 yr average IEG Inclusion Index from the staff engagement survey 64% 62% EVALUATION IMPLEMENTATION IEG conducts its evaluations through a collaborative approach, using rigorous evaluation methods, adhering to adequate quality assurance processes, and delivers in a timely manner. Indicator FY24 3 yr avg % of local consultants hired 14% 10% Satisfaction with overall quality of IEG products 82% 81% Indicator FY24 Targets Average time between approach paper and final delivery of evaluations 13 months 15 months EVALUATION CAPACITY DEVELOPMENT PERFORMANCE IEG delivers on its evaluation capacity development mandate through collaborative approaches Indicator FY24 FY23 Expanded institutional, thematic, or geographic coverage of GEI work 61 54 through new or existing partnerships 57