THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN FIRST PROGRESS REPORT: FORGING AHEAD ON DEVELOPMENT-CENTERED CLIMATE ACTION OCTOBER 2022 © 2023 The World Bank 1818 H Street NW, Washington DC 20433 Telephone: 202-473-1000; Internet: www.worldbank.org Some rights reserved This work is a product of the staff of The World Bank. The findings, interpretations, and conclusions expressed in this work do not necessarily reflect the views of the Executive Directors of The World Bank or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of The World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries. Rights and Permissions The material in this work is subject to copyright. 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Credit: ibrahima BA Sané/World Bank THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN iii TABLE OF CONTENTS Abbreviations��������������������������������������������������������������������������������������������������������������������������������������������������vii Acknowledgement�������������������������������������������������������������������������������������������������������������������������������������������ix Executive Summary���������������������������������������������������������������������������������������������������������������������������������������xiii 1.. Forging Ahead on Climate Action�������������������������������������������������������������������������������������������������������������� 1 2.. Delivering on Targets and Lessons Learned ��������������������������������������������������������������������������������������������3 2.1 Overview of Key NG-ACBP Elements������������������������������������������������������������������������������������������������������������������������3 2.2 Progress on Key Commitments and Targets: Translating Commitments into Action��������������������������������4 2.2.1 Levels of Climate Action Across the NG-ACBP Portfolio������������������������������������������������������������������������4 2.2.2 Strategic Directions and Special Areas of Emphasis Across the NG-ACBP Portfolio��������������������6 2.2.3 Transboundary Projects and Regional Integration ����������������������������������������������������������������������������������8 2.3 Projects and Programming—Delivering on Targets and Early Lessons�������������������������������������������������������� 12 2.3.1 Food Security and Resilient Rural Economy �������������������������������������������������������������������������������������������� 12 2.3.2 Ecosystem Stability and Water Security ��������������������������������������������������������������������������������������������������14 2.3.3 Low Carbon and Resilient Energy �������������������������������������������������������������������������������������������������������������� 17 2.3.4 Urban Resilience and Green Mobility ��������������������������������������������������������������������������������������������������������19 2.3.5 Managing Climate Shocks ����������������������������������������������������������������������������������������������������������������������������22 2.3.6 Mainstreaming Climate-informed Macroeconomic Policies into Institutions������������������������������� 24 2.3.7 Digital and disruptive technologies ����������������������������������������������������������������������������������������������������������27 2.3.8 Climate Co-Benefits, Corporate Climate Commitments and Climate Indicators������������������������� 28 3.. Country Engagement Products and Client Engagement���������������������������������������������������������������������� 31 3.1 Country and Climate Development Reports�������������������������������������������������������������������������������������������������������� 31 3.1.1 Key Findings From The First Round of CCDRs�����������������������������������������������������������������������������������������33 3.2 SCDs and CPFs����������������������������������������������������������������������������������������������������������������������������������������������������������� 34 3.3 NDCs ������������������������������������������������������������������������������������������������������������������������������������������������������������������������������35 3.4 Advisory Services and Analytics (ASA)����������������������������������������������������������������������������������������������������������������38 3.5 Trust Funds and Financing����������������������������������������������������������������������������������������������������������������������������������������38 iv THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 4..Strategic Framework and Forward Look������������������������������������������������������������������������������������������������41 4.1 Leveraging IDA20��������������������������������������������������������������������������������������������������������������������������������������������������������41 4.2 Emerging Themes and Areas of Engagement ��������������������������������������������������������������������������������������������������� 43 4.2.1 Carbon Markets������������������������������������������������������������������������������������������������������������������������������������������������43 4.2.2 Digital and Technology Solutions for Climate Resilience ��������������������������������������������������������������������45 4.2.3 Regional Priorities ����������������������������������������������������������������������������������������������������������������������������������������� 46 4.3 Forward Look������������������������������������������������������������������������������������������������������������������������������������������������������������� 47 Annexes����������������������������������������������������������������������������������������������������������������������������������������������������������� 49  hematic Messages from the NB-ACBP Portfolio Review (FY21-22)������������������������������������������������� 50 Annex 1: T Annex 2: Illustrative NDC Client Engagement in AFE and AFW����������������������������������������������������������������������������55 Africa East and South (AFE) Regional Climate Priorities��������������������������������������������������������������������� 64 Annex 3:  Food Security and Sustainable Rural Economy����������������������������������������������������������������������������������������������� 64 Ecosystem Stability and Water Security������������������������������������������������������������������������������������������������������������65 Resilient Energy and Low Carbon Development����������������������������������������������������������������������������������������������65 Resilient Cities and Green Mobility��������������������������������������������������������������������������������������������������������������������� 67 Climate Shocks and Risk Management ������������������������������������������������������������������������������������������������������������� 67 Africa West and Central (AFW) Regional Climate Priorities��������������������������������������������������������������� 70 Annex 4:  Food Security and Resilient Rural Economy����������������������������������������������������������������������������������������������������� 70 Ecosystem Stability and Water Security������������������������������������������������������������������������������������������������������������ 71 Resilient Energy and Low Carbon Development���������������������������������������������������������������������������������������������� 71 Resilient Cities and Green Mobility����������������������������������������������������������������������������������������������������������������������73 Climate Shocks and Risk Management ������������������������������������������������������������������������������������������������������������� 74 Full List of FY21-22 Projects Tagged for Primary Strategic Direction/Special Area of Annex 5:  Emphasis in NG-ACBP������������������������������������������������������������������������������������������������������������������������������������ 76 Focal Points from Global Practices for The Next Generation Africa Climate Business Plan ����� 93 Annex 6:  THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN v FIGURES  ive Strategic Directions in the NG-ACBP Portfolio and Two Cross-Cutting Special Areas Figure 2.1 F of Emphasis������������������������������������������������������������������������������������������������������������������������������������������������������������3  otal Amount of Financing for IDA/IBRD Projects Categorized by Level of Climate Action for Figure 2.2 T FY21 and FY22��������������������������������������������������������������������������������������������������������������������������������������������������������5  umber of Projects by Level of Climate Action per Strategic Direction and Special Area of Figure 2.3 N Emphasis in AFE and AFW FY21-FY22������������������������������������������������������������������������������������������������������������6  rojects by Primary Strategic Direction or Special Area of Emphasis for AFE and AFW FY21- Figure 2.4 P FY22 and Total Financing (USD)����������������������������������������������������������������������������������������������������������������������7 Figure 2.5 Regional vs. Country Specific Projects for AFE and AFW FY21-FY22 ����������������������������������������������������9 Figure 2.6 DPO Financing for AFE and AFW FY21-FY22����������������������������������������������������������������������������������������������25 Figure 2.7 Three Types of DPOs����������������������������������������������������������������������������������������������������������������������������������������25 Figure 2.8 AFE Trends in Climate Co-benefit Investments FY20-FY22������������������������������������������������������������������� 29 Figure 2.9 AFW Trends in Climate Co-benefit Investments FY20-FY22����������������������������������������������������������������� 29 Figure 4.1 Progression of the Climate Change Special Theme from IDA16-20����������������������������������������������������41 Figure 4.2 IDA20 Special Themes and Cross-Cutting Issues������������������������������������������������������������������������������������� 42 vi THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN TABLES Table ES1.1 Key Projects Highlighting Innovation and Climate Smart Solutions (from FY2021/22)����������������xv Table ES1.2 Key Policy Reforms and DPOs (FY21 and FY22)������������������������������������������������������������������������������������xvii Table ES1.3 IDA 20 Climate Change Special Theme Policy Commitments����������������������������������������������������������� xxi Table 2.1a List of Regional Projects in AFE and AFW (FY21)��������������������������������������������������������������������������������������10 Table 2.1b List of Regional Projects in AFE and AFW (FY22)���������������������������������������������������������������������������������������11 Table 2.2 Food Security and Resilient Rural Economy Targets Progress���������������������������������������������������������������� 13 Table 2.3 Ecosystem Stability and Water Security Targets Progress ���������������������������������������������������������������������� 15 Table 2.4 Low Carbon and Resilient Energy Targets Progress����������������������������������������������������������������������������������18 Table 2.5 Resilient Cities and Green Mobility Targets Progress.�������������������������������������������������������������������������������� 21 Table 2.6 Managing Climate Shocks and Risk Governance Targets Progress��������������������������������������������������������23 Table 2.7 Examples of DPOs with Climate Related Policy Actions��������������������������������������������������������������������������� 26 Table 2.8 Climate Co-benefits FY21-22 Africa Region ������������������������������������������������������������������������������������������������� 28 Table 3.1 Strong alignment of CCDR recommendations with the NG-ACBP ��������������������������������������������������������32 BOXES Box 2.1 Level of Climate Action ������������������������������������������������������������������������������������������������������������������������������������������4 Box 2.2 Integrating Climate Along the Agricultural Value Chain in Guinea ���������������������������������������������������������� 12 Box 2.3 Addressing Climate Issues in Fisheries in Africa: Sustainable Fisheries Management in Liberia��������14  pplying Integrated Climate Action Across Urban and Natural Landscapes Towards Flood Box 2.4 A Management and Climate Resilience in Kigali, Rwanda������������������������������������������������������������������������������� 20 Box 2.5 Aligning Higher Education Curricula Objectives with Sectoral Needs in Climate Action��������������������22 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN vii ABBREVIATIONS ADRF Africa Disaster Risk Financing Initiative ICT Information and AFOLU Agriculture, forestry, and other land use communication technology AFE Eastern and Southern Africa IDA International Development Association AFW Western and Central Africa LDC Least developed country ASA Advisory Services and Analytics IFC International Finance Corporation ASP Adaptive Social Protection IMF International Monetary Fund CAFI Central African Forest Initiative IPCC Intergovernmental Panel Cat-DDO Catastrophe Deferred Draw-Down Option on Climate Change CCAP Climate Change Action Plan IPF Investment Project Financing CCDR Country Climate Development Report MDB Multilateral Development Bank CCG Climate Change Group MIGA Multilateral Investment Guarantee Agency CDM Clean Development Mechanism MRV Measuring, reporting, and verification CERC Contingency Emergency NBS Nature Based Solutions Response Components NDC Nationally Determined Contribution CEA Country Environmental Analysis NDC-SF Nationally Determined Contribution CIF Climate Investment Facility Support Facility CMU Country Management Unit NG-ACBP Next Generation Africa Climate COP Conference of the Parties Business Plan CPF Country Partnership Framework OPCS Operation and Policy Country Services CRGE Climate Resilience and Green Economy PAD Project Appraisal Document CSA Climate smart agriculture PforR Program for Results DPF Development Policy Financing PLR Performance and Learning Reviews DPO Development Policy Operation PMI Partnership for Market Implementation ECOWAS Economic Community REDD+ Reducing emissions from deforestation of West African States and forest degradation EO Earth Observation SADC Southern Africa Development Community ERP Emissions Reduction Program SAPP Southern African Power Pool ERPA Emission Reductions Payment Agreement SASPP Sahel Adaptive Social Protection Program FCV Fragility, conflict, and violence SCD Strategic Country Diagnostic FIP Forest Investment Program SDG Sustainable Development Goal GCRF Global Crisis Response Framework SDM Single Digital Market GGW Great Green Wall SFM Sustainable forest management GDP Gross domestic product SLM Sustainable land management GHG Greenhouse gas SME Small and medium enterprise IBRD International Bank for Reconstruction WAPP Wester African Power Pool and Development WASH Water, sanitation, and hygiene viii THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN ix ACKNOWLEDGEMENT The Next Generation Africa Climate Business Plan. First Progress Report: Forging Ahead on Development-Centered Climate Action is an update on the first two years of the Next Generation Africa Climate Business Plan (NG-ACBP). It also presents a forward look to ensure the document remains a galvanizing platform for climate action in Sub-Saharan Africa. The report was developed jointly by the World Bank’s Eastern and Southern Africa (AFE) and Western and Central Africa (AFW) Region under the leadership and counsel of Simeon Ehui (Regional Director for Sustainable Development for Africa), Ayat Soliman (Regional Director for Sustainable Development for Eastern and Southern Africa), and Catherine Tovey (Acting Regional Director). Strategic guidance was provided by Iain Shuker (Practice Manager, Environment, Natural Resource and Blue Economy, AFE) and Sanjay Srivastava (Practice Manager, Environment, Natural Resource and Blue Economy, AFW). The effort was led by Kanta Kumari Rigaud (Lead Environmental Specialist and Regional Climate Change Coordinator) working closely with the Global Practice focal points from AFE and AFW. The report has benefitted from various regional consultations and briefings on climate change—with Global Practices, Country Management Units (CMUs), and the Climate Change Group (CCG). The report was written by a team led by Kanta Kumari Rigaud and a core team composed of Anna Gayatri Singh and Marco Alcaraz— with Global Practice focal point contributions from Nicholas Soikan and Nicolas Perrin (Social Development); Arame Tal and Ellysar Baroudy (Environment, Natural Resources, and Blue Economy); Laura Bonzanigo and Nathan Lee Engle (Water); Ademola Braimoh (Agriculture and Food); Tuan Le (Macroeconomics, Trade, and Investment); Maria Gracheva, Jessica Leete Werner Flannery, Stephen Dorey, and Fatima Barry (Health); Keren Carla Charles (Urban, Resilience, and Land); Edmundo Murrugarra and Caroline Tassot (Social Protection and Jobs); Leena Chaukulkar (Transport and Finance, Competitiveness, and Innovation); Julia Liberman (Education); Sara Ballan and Maria Claudia Pachon (Digital Development); Ruxandra Burdescu, Onur Erdem, Sylke von Thadden, Immanuel F. Steinhilper (Governance); and Celine Ramstein and Koffi Ekouevi (Energy). The team would like to extend special thanks to Sundus Naeem Siddiqi and the entire Climate Indicators team for their valued contributions to this report, as well as Vaaruni Eashwar, Climate Change Specialist, for her inputs on Systematic Country Diagnostics (SDCs) and Country Partnership Frameworks (CPFs). The team is grateful to Diji Chandrasekharan Behr, Ana Elisa Bucher, Urvashi Narain, and Yurani Arias Granada for their contributions. The team would also like to thank Yesmeana Butler, Esther Bea, and Aurore Simbananiye for their critical administrative support throughout the development of the report. Gratitude is owed to Christelle Chapoy, Roxanne Bauer, and Zandile Portia Ratshitanga for advising on the communications for this report, as well as to Cath Croxton for editing and Owen Design Co. for the design and layout. x 2 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN SHARE OF PORTFOLIO WITH CLIMATE CO-BENEFITS FY21–22 39% $4.9B 36% FY22 $6.5B 32% FY22 $4.9B FY21 29% $3.4B FY21 EASTERN AND SOUTHERN AFRICA WESTERN AND CENTRAL AFRICA (AFE) (AFW) PORTFOLIO TAGGED TO NG-ACBP STRATEGIC DIRECTIONS (FY21–22) Food Security and Ecosystem Stability Resilient Rural Economy and Water Security 36 $6.9 24 $4 PROJECTS BILLION PROJECTS BILLION Low Carbon and Urban Resilience Resilient Energy and Green Mobility 44 $8.2 45 $9.9 PROJECTS BILLION PROJECTS BILLION Managing Climate Informed Climate Shocks Macroeconomic Policies 166 $19.8 17 $4.3 PROJECTS BILLION PROJECTS BILLION THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 3 xi PROGRESS TO DATE ON NG-ACBP TARGETS (FY21–22) 24.4 Million farmers 6 countries with timely with access to improved and reliable forecasts and agricultural services warnings (60% progress (100% progress to target) to targert) 6 countries with enhanced $1.1 Billion investment management of landscapes, financing for urban seascapes and watersheds resilience activities (60% progress to target) (55% progress to target) 15 gigawatts of enabling 15 countries supported infrastructre for renewable on NDC engagement energy (54% progress to target) (100% progress to target) *NG-ACBP targets set for delivery under IDA19-20. Results reflect contributions to NG-ACBP targets under IDA19 (FY21-22). KEY TAKEAWAYS FROM AFE AND AFW CCDRS (FY22) CLIMATE CHANGE INCLUSIVE GROWTH DRIVEN GDP LOSS KEY FOR ADAPTATION Climate change could induce Rapid, resilient, and inclusive GDP annual losses ranging growth is both the best form of between 2% and 12% percent adaptation to climate change by 2050 and drive millions and the best strategy for meeting more people into poverty. development goals. BOLSTER INSTITUTOINAL LEVERAGE THE LOW CAPACITY OF COUNTRIES CARBON TRANSITION Strengthening the institutional African countries’ contribution capacity of countries through to global CO2 emissions remain better planning, delivery, and small, but proactivity in managing management of human, natural physical and transition risks can and physical assets is going to be bring large opportunities for early key for addressing climate change. adopters and avoid lock ins. SCALE-UP CLIMATE FINANCING Visit the Next Generation - Africa Mobilizing climate financing to Climate Business Plan website meet countries’ gaps for NDCs For more information or to access and more ambitious climate actions, the entire publication scan the including from the private sector, QR to link to our website. is key especially in the near term. All dollar amouns are stated in US$ Men unload sacks of onions from a truck in Bamako, Mali. Credit: Dominic Chavez/World Bank THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN xiii Executive Summary MESSAGE 1 The climate challenge for Africa continues to escalate. This highlights the urgency for immediate action on the adaptation front. The opportunities to pursue development- centered climate action and leveraging low-carbon opportunities to enhance access are an imperative. The Next Generation Africa Climate Business Plan (NG- damaging between 1.5°C and 2°C at the sub-national, national, and ACBP), launched in 2020, provides a platform to further regional levels. Vulnerability and exposure of Sub-Saharan Africa galvanize climate action by prioritizing its focus on Sub- to climate change is multi-dimensional due to the intersecting Saharan Africa’s development challenges and priorities. nature of environmental, socioeconomic, and political factors. The plan focuses on food security, energy, and environmental As such, cross-sectoral coordination, and engagement at local and water security while also proactively supporting countries to and national levels of government in Sub-Saharan Africa, will manage climate shocks and harness the urban transition through be critical for developing and scaling up robust solutions that climate smart pathways as core strategic directions. Strategic areas maximize delivery of co-benefits to the multifaceted challenges of emphasis include the cross-cutting issues of climate-informed presented by climate change. macroeconomic policies and green and resilient infrastructure. Two years after the plan’s release, this progress report aims to The timeframe for transformative, at scale climate action provide an update on the status of the NG-ACBP, highlighting key to prevent global climate catastrophes and meet the accomplishments and success stories, defining emerging areas of World Bank’s twin goals of ending extreme poverty and engagement, and setting out a roadmap for the next four years of boosting shared prosperity is rapidly shrinking. Most Sub- the plan’s delivery. The latter is especially important as we ensure Saharan African countries will experience unprecedented high full alignment with the International Development Association temperature climates within the next couple of decades, and (IDA) 20 policy commitments, the World Bank’s Climate Change much earlier in the 21st century than wealthier and higher latitude Action Plan (CCAP), and regional priorities for Eastern and countries. Client countries are rapidly running out of time to meet Southern Africa (AFE) and Western and Central Africa (AFW). the United Nations Sustainable Development Goals (SDGs) to end extreme poverty, reduce inequality, and protect the planet by The Intergovernmental Panel on Climate Change 2030. In addition, the World Bank is less than eight years away from (IPCC)’s Climate Change 2022: Impacts, Adaptation and having to deliver on its twin goals of reducing extreme poverty Vulnerability report underscores the severity of climate to less than 3 percent by 2030 and fostering income growth of change and its impacts for Sub-Saharan Africa and the bottom 40 percent of the population in each country.1 In reaffirms the critical and urgent need to take immediate order for the World Bank to meet its twin goals and to deliver and sweeping actions to combat climate change in the tangible adaptation and mitigation solutions throughout Sub- region. Key development sectors have already witnessed Saharan Africa, the World Bank must enable, facilitate and ramp-up severe loss, including water shortages, reduced food production, transformational shifts in partner countries to deliver sustainable biodiversity loss, reduced economic growth and the loss of lives.1 and widespread solutions to the climate crisis. Without climate These impacts are very likely to become more widespread and action, delivering on poverty reduction will be extremely difficult. 1 World Bank Group. 2015. A Measured Approach to Ending Poverty and Boosting Shared Prosperity: Concepts, Data, and the Twin Goals. Policy Research Report. Washington, DC: World Bank. © World Bank. https://openknowledge.worldbank.org/handle/10986/20384 License: CC BY 3.0 IGO. xiv THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN MESSAGE 2 The World Bank remains a leader of climate finance in Sub-Saharan Africa and continues to raise the bar on climate ambition through increased climate co-benefits and leveraging strategic partnerships for action on the ground. The World Bank is leveraging IDA and International Bank 2020 and 2025 to support eleven countries2 that are part of the for Reconstruction and Development (IBRD) financing and Great Green Wall (GGW) Initiative. The focus of this is to improve other partnerships to deliver transformational and at-scale the management of natural resources and promote income- change for countries. IDA19 financed US$ 53 billion to support generation to reduce rural poverty and provide stability and Africa’s most vulnerable countries with calls for resilience capacity security to communities. The GGW Initiative aims to restore 100 building and reducing the risks of climate shocks on human capital million hectares of degraded land, sequester 250 million tons of and poverty. The IDA20 replenishment was advanced by one year carbon, and create 10 million jobs in rural areas across the Sahel by due to COVID-19 and the urgent development needs of countries 2030. The World Bank’s Second Ethiopia Resilient Landscapes to cover the period from July 1, 2022, to June 30, 2025. Under and Livelihoods Project (P174385, US$ 178 million) (Ethiopia IDA20, the World Bank has committed to increasing climate co- Resilient Landscapes and Livelihoods Project (P163383, benefits to equal 35 percent on average over FY23 and FY25—a US$ 129 million)) is building on the success of its parent project3 notable increase from the 30 percent commitment under IDA19. by expanding forest restoration and afforestation activities to improve climate resilience, land productivity and carbon storage, The World Bank continues to leverage other financing to and increase access to diversified livelihood activities in selected accelerate climate action and help countries meet their rural watersheds. Moving to scale is key. The robust replenishment development needs. Under the One Planet Summit in 2021, the for AFE and AFW under IDA20 must maximize impact and World Bank announced its commitment of US$ 5 billion between leveraging partnerships. MESSAGE 3 AFE and AFW have delivered a strong portfolio of green, resilient, and inclusive investments that are driving transformation and innovation. This paves the way for the much needed ramping up of climate action, increased climate financing, and an even stronger delivery on co-benefits. The AFE and AFW portfolios are delivering targeted West Africa Regional Energy Trade Development Policy and transformative climate action in support of the Financing Program (P171225, US$ 300 million) demonstrates strategic directions set out in the NG-ACBP. Projects in how climate action at the macroeconomic level helped promote the portfolio were classified into one of four levels of climate the development of cleaner energy supplies through fiscal reforms action: (1) high, transformative climate action; (2) moderate, which address the regional energy generation mix. Kenya’s sectoral, and integrated climate action; (3) low, limited, or indirect Financing Locally-Led Climate Action Program (P173065, US$ climate action; and (iv) no climate action.4 In FY21, projects with 150 million) takes a multi-sectoral approach to climate action transformative climate action constituted 24 percent (AFE) by ensuring the integration of climate change considerations and 13 percent (AFW) of the portfolio. There is a need to close into planning, budgeting, implementation, and decision-making the gap and addressed missed opportunities through closer at the national and local levels, and nurturing locally-led capacity attention to climate risks. Projects supported transformative to build resilience. Further, Nigeria’s Agro-Climatic Resilience climate action by addressing policy frameworks to strengthen in Semi-Arid Landscapes (ACReSAL) Project (P175237, US$ larger enabling contexts that drive behavioral change. The 700 million) takes a transformative approach to climate action 2 Burkina Faso, Chad, Djibouti, Eritrea, Ethiopia, Mali, Mauritania, Niger, Nigeria, Senegal, and Sudan. 3 This progress report covers fiscal years 2021 and 2022. The analyses, and projects and examples reflected in this report include projects that were approved in these two fiscal years. 4 The level of climate action is not related to climate co-benefits and was determined by the following: High = transformative climate action (enabling and/or economy-wide); Moderate = sectoral/integrated climate action; Low = limited/indirect climate action; None = no direct links to climate action. THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN xv Table ES1.1 Key Projects Highlighting Innovation and Climate Smart Solutions (from FY2021/22) Thematic Takeaways Examples End-to-end integration of climate action along Cameroon’s Valorization of Investments in the Valley of the Benue agricultural value chains (P166072, US$ 200 million) South Sudan Resilient Agricultural Livelihoods Project (P169120, US$ 62.50 million) Landscape Plus: integrating climate action across Guinea Natural Resources, Mining and Environmental Management Project productive and natural landscapes  (P168613, US$ 65 million) Sudan’s Sustainable Natural Resources Management Project Second Additional Financing (P169003, US$ 6 million)  Addressing climate resilience through integrated Senegal Stormwater Management and Climate Change Adaptation Project 2 action across urban and natural landscapes (P175830, US$ 125 million) Mozambique’s Maputo Urban Transformation Project (P171449, US$ 100 million) Digital and Disruptive Technologies: enhancing Madagascar Digital Governance and Identification Management System resilience through increased connectivity, social (P169413, US$ 143 million) inclusion, and access to a modernizing economy  West Africa Food System Resilience Program (FSRP) (P172769, US$ 354 million) Mainstreaming climate into education, health, Strengthen Ethiopia’s Adaptive Safety Net (P172479, US$ 512 million)  and social inclusion and protection Chad’s Additional Financing to Refugees and Host Communities Support Project (P172255, US$ 75 million)  Mainstreaming climate into national Support for Resilient Livelihoods in Southern Madagascar Project institutions, macroeconomic policies  and (P171056, US$ 200 million) enabling environments Cabo Verde: First Sustainable and Equitable Recovery DPF (P174754, US$ 30 million) Increased resilient energy access and  The Liberia Electricity Sector Strengthening and Access Project resilient transport​ (P173416, US$ 59 million)  Enhancing Sierra Leone Energy Access (P171059, US$ 50 million)  by supporting activities for desertification control and landscape action into the conservation and maintenance of fisheries and management by improving the focus on community livelihoods aquaculture and water projects are ensuring resource security and resilience, and strengthening institutions. There is ample in the face of climate threats. Energy projects are tackling opportunity to generate a larger share of projects that deliver fiscal reforms that confront heavily subsidized fuel oil policies robust and transformative solutions to climate change, building in favor of planning cohesive national energy strategies that on good practice, emerging knowledge, and cutting-edge analytics. diversify and expand energy access from renewable sources. At the urban level, countries are working towards mainstreaming The World Bank is pioneering innovation and developing climate resilience into urban planning practices, making flood groundbreaking solutions to pressing climate challenges risk management, nature-based solutions (NBSs), and green in critical sectors in Sub-Saharan Africa (Table ES1.1). infrastructure fundamental components of all projects. In terms Agricultural projects are transforming the supply chain by of managing climate shocks, several projects have deployed integrating end-to-end climate action at each stage along the multi-risk financing strategies to help countries mitigate the food value chain, from production, to storage, to distribution, to socioeconomic and financial impacts of disaster. In addition, commercialization. Ecosystem projects are supporting ocean- many countries have integrated adaptation and mitigation based economic livelihoods by systemically integrating climate strategies into their health, education, and social projects to xvi THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Woman harvesting sea weed, Jambiani, Zanzibar, Tanzania. Credit: MariusLtu/iStock increase the robustness of their climate response, particularly development pathways to meet the energy gap and deliver for their most vulnerable populations. This does not take away robust adaptation and mitigation strategies. Much of Sub- from the urgency for replication and at scale transformations Saharan Africa’s infrastructure, transportation systems and which must be pursued with greater vigor and accompanied by cities are yet to be built, presenting local governments with the climate smart and inclusive policy reforms. opportunity to leverage public and private financing to implement climate-sensitive urban policies that address climate threats Expanding access to affordable and reliable energy including floods, extreme heat, and pollution. For example, the remains a critical objective in Sub-Saharan Africa to unlock Horn of Africa Gateway Development Project (P161305, US$ sustainable economic growth, improve livelihoods, build 750 million) supports Kenya’s National Adaptation Plan through resilience, and support mitigation in the face of climate the prioritization of actions to enhance resilience of infrastructure change. The region continues to have one of the lowest rates in the transportation sector. The project will create a strong of electricity access in the world, with around one half of the network of roads by rehabilitating sections of roads to better population lacking access to energy. In recent years, supported cope with the impacts of climate change. Addressing climate by the drop in pricing, the solar sector has grown exponentially change in the region requires that climate interventions are to reach economies of scale. This is crucial for diversifying the well integrated into spatial planning and design standards. The power generation mix, particularly in oil-dependent countries, energy sector holds massive potential to diffuse renewable energy and expanding electricity access to more of the population.5 technologies, such as wind and solar, throughout existing, and new Increasing clean energy access and mitigating emissions from energy systems, but must take a holistic approach by addressing energy generation has also formed a core part of several Sub- both urban and rural areas. Rwanda’s Energy Access and Quality Saharan African countries’ nationally determined contribution Improvement Project (P172594, US$ 150 million) highlights the (NDC) commitments and is a key consideration in the World energy sector’s potential for mitigating climate change by focusing Bank’s Climate Change Development Reports (CCDRs). on clean energy in grid expansion solutions and supporting off-grid solar power electrification options. Sub-Saharan Africa’s low level of baseline development presents a unique opportunity to leap-frog into low carbon 5 World Bank Group. 2020 Off-Grid Solar Market Trends report. THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN xvii MESSAGE 4 The World Bank continues to make strides on climate through Development Policy Financing (DPF). Strong analytics and learning reviews, climate-informed policy actions can further catalyze transformation at scale. The deepening of corporate climate commitments The retrospective Operation and Policy Country Services through strategies has seen a growing emphasis for policy (OPCS) learning review recommends areas for key policy action through DPF. The portfolio includes Development reforms to strengthen climate action. Programs and their Policy Operations (DPOs) that support both adaptation and policy reforms can be recognized at three levels: (1) those with mitigation focused reforms that are already delivering on clear links with climate; (2) those with less explicit links with climate-related policy actions by transforming fiscal policy to climate, often reflecting missed opportunities; and (3) those support climate goals, supporting long-term climate strategies, with no direct links with climate but represent foundational and mainstreaming climate in public financial management. policy reforms. Such an approach may allow for pragmatism In FY22, AFE had seven DPOs tagged for climate action with and attention to the critical entry points for climate-informed financing of US$ 2.5 billion and AFW had nine DPOs tagged for policy, while allowing at the same time for foundational non- climate action with financing of US$ 875 million. In FY21, there climate reforms to pave the way for new frontier engagement were eight DPOs tagged for climate action in AFE with financing on climate. Lessons from OPCS retrospectives illustrate how to of US$ 3.35 billion, representing 8 percent of projects in the embed climate policies through a range of instruments working region. In AFW, 12 DPOs were tagged for climate action with across sectors (Table ES1.2). These lessons can help teams to be financing of US$ 1.5 billion, representing 12 percent of AFW’s more proactive action to harness missed opportunities can be portfolio for FY21. made to strengthen climate action. Table ES1.2 Key Policy Reforms and DPOs (FY21 and FY22) Thematic Takeaways Examples Transforming fiscal policy to support Benin Second Fiscal Management and Structural Transformation DPF climate goals (P172749, US$ 100 million) Rwanda First Programmatic Human Capital for Inclusive Growth DPF (P171554, US$ 150 million) Supporting long-term climate strategies Mauritania 2nd Private Sector, Digital, And Human Capital Reform DPF (P171238, $30 million) Seychelles First Fiscal Sustainability and Climate Resilience Development Policy Financing (P176420, US$ 35 million) Mainstreaming climate in public CAR Second Consolidation and Social Inclusion Development Program financial management (P168474, US$ 50 million) Kenya Accelerating Reforms for an Inclusive and Resilient Recovery DPF (P175251, US$ 750) Greening the financial system Cabo Verde Second State-Owned Enterprises Reform and Fiscal Management DPF (P171080, US$ 35 million) South Africa Covid-19 Response DPO (P174246, US$ 750 million) Long-term resilient decarbonization in West Africa Regional Energy Trade DPF (P171225, US$ 300 million) key sectors Sudan Reengagement and Reform DPF (P175139, US$ 1375 million) xviii THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN MESSAGE 5 The World Bank’s flagship analytics, including Advisory Services and Analytics (ASA), are key to informing the design of investments, DPOs, client engagement, and country engagement. Pioneering analytics in Africa continue to enhance the CCDRs—but also targeted operations, including the West specialized knowledge and inform dialogue and drive Africa Regional Food Systems Resilience Program (FSRP-2). effective solutions and policy reforms across countries in The Groundswell Africa reports focused on West Africa and the region. Ongoing flagship reports such as the West Africa Lake Victoria—highlighting that without concrete climate Food System Resilience Facility (P172941), the Southern Africa and development action, West Africa and Lake Victoria Basin Drought Resilience Initiative (P173077), the Sahel Groundwater countries could see as many as 32 and 38 million people moving Initiative (P175105) and The Hidden Wealth of Nations: The as a consequence of climate change by 2050. The call for Economics of Groundwater in Times of Climate Change anticipatory and far-sighted planning to address migration as (P178601)—are providing critical insights to operations. These part of the larger development response is key to avert, reduce analytics are not just informing the new country diagnostics— and minimize distress driven migration. MESSAGE 6 The CCDR—a newly introduced diagnostic—is critical for highlighting the intersection between climate and development to achieve robust and long-term solutions to countries’ most pressing climate challenges. The World Bank’s first round of CCDRs for the Africa region which would allow the country to leapfrog into a renewable reflect the instrumental nature of CCDRs in informing and energy source that remains stable under climate change and avoid driving country and client engagement. CCDRs focus on dependency on fossil fuels. However, significant external support will identifying critical and urgent policy shifts at the nexus of climate be needed for just transitions under the Paris Agreement. Countries and development and provide a strong basis for accelerating such as Angola, Cameroon, Ghana, Mauritania, and South Africa, countries’ climate ambition and action consistent with the World have oil and gas economies where just transitions can avoid lock-in Bank’s twin goals of ending extreme poverty and boosting shared and stranded assets, while revenue streams from fossil fuels must prosperity by ensuring trajectory shifts that incorporate climate support diversification and productive climate aware investments. challenges and opportunities. Robust, evidence-base diagnostics, as is being done through the CCDRs, using a combination of CCDRs can inform a country’s NDCs and long-term sector-based deep dives and economy wide macro-models can strategies, and help drive a new generation of climate- help identify key transitions and policy recommendations to informed investments and policy transformations. Building clients on raising climate action and ambition to deliver low carbon on the robust diagnostics from CCDRs and CPFs will help conceive climate resilient pathways. strategic portfolio shifts throughout the project pipeline to facilitate country level transformation and shift trajectories The first set of CCDRs underscore the urgency to bolster towards inclusive and sustainable growth pathways. CCDRs have and re-direct development as a foundational strategy for great potential to harmonize objectives from NDCs into national achieving adaptation as a priority while pursuing leap- development policies and economic strategies and elevate NDCs frogging low-and to avoid costly lock-ins. CCDRs for Ghana, to the Ministries of Finance and Economy. If well-conceived, this Cameroon, and the G5 Sahel highlight the ways in which climate could be instrumental for the delivery of countries’ development change and decarbonization can impact the countries’ development goals. Equally, internally in the World Bank, CCDRs and other pathways while identifying mitigation, adaptation, and resilience- country engagement instruments (such as Country Economic building actions. Low carbon pathways offer the triple wins of Memorandums and Public Expert Reviews) can provide a solid pro-poor co-benefits, leapfrogging, and avoidance of lock-ins. For foundation for enhancing the World Bank’s response to country example, Cameroon has huge prospects for hydroelectric power development objectives and climate priorities. THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN xix MESSAGE 7 The World Bank has a significant opportunity to build on its diagnostic tools (Strategic Country Diagnostics (SCDs), Country Partnership Frameworks (CPFs) and CCDRs) to better inform and support NDCs to deliver comprehensive and robust climate action. The Africa region can build on its current experience to and collaboration across key stakeholders. The World Bank deepen engagement with countries on their NDCs to has supported the institutional mainstreaming of climate achieve transformational climate action that limits the considerations into planning and budgeting processes and impacts of global warming. The World Bank is currently supported the enhancement of private sector participation engaged with ten countries in AFE6 and five countries in through the development of new instruments and innovative AFW7 to advance the implementation of their NDCs with US$ mechanisms. Looking forward, the World Bank has an 13.4 million and US$ 1.84 million in trust fund financing per opportunity to drive transformation at scale by leveraging the region, respectively. The World Bank’s engagement in AFE and World Bank’s comparative advantage through delivering policy AFW has focused on strengthening the enabling context and reforms and investments that support action at scale, including capacities of government agencies, institutional processes, through leverage from the private sector. MESSAGE 8 The NG-ACBP is making steady progress towards delivering on targets and climate co-benefits, climate indicators, and other thematic targets. The NG-ACBP delivered strongly on climate co-benefits increase the focus on climate outcomes. In FY21 and FY22 for in FY21 and ended FY22 with an even higher percentage both AFE and AFW, there is 100 percent compliance to the of co-benefits. In FY21, AFE delivered 32 percent co-benefits climate indicators commitment for IDA and IBRD operations. In and AFW delivered 29 percent co-benefits. In FY22, AFE reached AFE, 31 projects and 27 projects for FY21 and FY22 were required 36 percent co-benefits and AFW reached 39 percent co-benefits. to include at least one climate indicator, both of which have been The FY22 end of year results indicate that the Africa region is fully met. Similarly, in AFW, 31 projects and 25 projects for FY21 strongly positioned to meet IDA20’s commitment of increasing and FY22 were required to include at least one climate indicator, climate co-benefits to equal 35 percent on average over FY23 and again both targets have been fully met. The focus on climate to FY25, while already exceeding IDA19’s commitment of 30 indicators will enable a more formal tracking of outcomes. percent co-benefits. The high level of climate co-benefits in AFE and AFW reflect increased awareness and engagement The portfolios in AFE and AFW are both making by teams to focus on climate vulnerabilities and enhanced considerable strides towards delivering on targets under interventions to address these threats through adaptation and each strategic direction and special area of emphasis mitigation strategies. Additionally, over FY21 and FY22 more than of the NG-ACBP in support of agreed IDA-19 and other 50 percent of co-benefit financing has gone towards supporting corporate targets. To date, progress of targets represents adaptation measures, which are a critical component of the a work in progress, as the plan was conceived to cover 1DA19 region’s response to climate threats. and IDA20. Target contributions were determined through an analysis of the results frameworks and commitments as outlined The NG-ACBP has fulfilled its commitments on climate in the respective Project Appraisal Documents (PADs). Since indicators over FY21 and FY22. Climate indicators monitor the plan’s launch in 2020, key projected contributions include: and track the progress of climate results, measuring outputs (1) 24.4 million farmers with access to improved agricultural or outcomes of mitigation and adaptation interventions in services; (2) US$ 1.1 billion in investment financing for urban projects. Under the IDA19 Policy Commitments and the IDA20 resilience-building activities; (3) six countries with enhanced Results Measurement System, the World Bank requires all IDA management of landscapes, seascapes and watersheds; (4) operations from FY21 onward with more than 20 percent climate six countries with timely and accurate forecasts and warning co-benefits to include at least one climate-related indicator to systems; (5) 15 gigawatts of enabling infrastructure for renewable 6 Botswana, Ethiopia, Mozambique, Namibia, Rwanda, Seychelles, South Africa, Uganda, Zambia, and Zimbabwe 7 Benin, Burkina Faso, Republic of Congo, Guinea, and Niger xx THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN energy; and (6) 15 countries supported on NDC engagement. projects enables delivery of the sectoral and transformative These projected contributions are indicative of the NG-ACBP’s climate action that is urgently needed to strategically address the ability to deliver strongly on key targets and the promising intensifying impacts of climate change on Sub-Saharan Africa’s trajectory that projects under the plan. The support for these most vulnerable populations. MESSAGE 9 The NG-ACBP serves as a dynamic framework to respond to IDA20 priorities which call for both deepening existing commitments and new ones and focusing on other emerging priorities including heightened client engagement. IDA20’s Special Climate Change Theme represents both The strategic priorities identified under the NG-ACBP a vertical deepening and a horizontal expansion to fully remain critical for addressing IDA20 priorities, in addition embed climate risks and opportunities over the medium to to other emerging areas of interest. Alignment with the longer term. IDA20’s overarching theme is Building Back Better new areas of the IDA20’s climate change special theme policy from the Crisis: Toward a Green, Resilient and Inclusive Future commitments (Table ES1.3) and transitions in World Bank CCAP and is introducing human capital as a special theme and crisis on green financing, plus deepening engagement on technology preparedness as a new cross-cutting issue. Around 70 percent solutions and carbon markets will ensure that the plan continues of IDA20’s US$ 93 billion financing package is expected to go to to be forward-looking. Digital and technology solutions focus African countries. Under IDA20, climate co-benefits are to equal on the power of earth observation, sustainable cooling, and 35 percent on average over FY23 to FY25, a notable increase from digitalization in enhancing the climate resilience of Sub-Saharan the 30 percent commitment under IDA19. This commitment is African countries; whereas carbon markets concentrate on reflective of ramped-up climate ambition throughout the World integrating Sub-Saharan Africa into global carbon markets to Bank as exemplified by the CCAP and IDA20’s Climate Change enable countries to benefit from natural carbon sinks, such as the Special Theme Policy Commitments (Table ES1.3). Congo Basin. These emerging areas can be leveraged to deliver robust solutions on specific IDA20 climate priorities and enable The NG-ACBP framework provides for substantial linkages the World Bank to stay ahead of the curve by anticipating issues of climate with four other special themes under IDA20, and responding proactively. Stepped-up client engagement on ranging from human capital, gender, fragility conflict and NDCs including through a focus on long-term strategies and violence (FCV), jobs, and economic transformation. Human Paris Alignment must be a priority. capital is directly challenged in the face of climate change, with impacts on childhood stunting, malnutrition, and the spread Looking ahead, a more granular focus on regional of diseases. Gender and development are key to embedding priorities in AFE and AFW could benefit the regions’ integrative cross-cutting solutions that are gender-sensitive and portfolios to comprehensively address pressing climate inclusive in development initiatives and identifying synergies threats. The plan recognizes the heterogenous nature of across adaptation and mitigation solutions. FCV can compound countries in Sub-Saharan Africa and regional contextual climate vulnerability and contribute, or even lead to, conflicts differences. Climate change is a major threat to development in over limited resources. Equally, climate change and its impacts the region, yet certain hazards may be more pressing to address disproportionately effect poor and vulnerable communities, in one sub-region than the other. Key concerns in AFW include further jeopardizing already marginalized populations. At the hotter and longer heat waves, fewer but more intense rainfall same time, climate change can engender diversification of jobs events, extreme rainfall, and flooding, and increased multi-year into less climate intensive sectors or even the creation of green droughts.8 AFE is already experiencing loss of lives and impacts jobs both in rural and urban contexts. Aligning urban transitions on human health, water shortages, reduced food production, with climate-informed strategies can provide a win-win scenario biodiversity loss and reduced economic growth. The sub- to secure cities as engines of growth and foster green and regional nuance highlights the importance of identifying different resilient job creation. climate priorities in AFE and AFW to better understand what areas require more attention in each sub-region. 8 Climate and Development Knowledge Network. 2022. The IPCC’s Sixth Assessment Report Impacts, Adaptation Options and Investment Areas for A Climate-Resilient West Africa. THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN xxi Strengthening internal dialogue with the Country scale, balance system wide resilience against near term action on Management Units (CMUs) must be a priority moving managing climate shocks, and leverage DPF more systematically. forward. The lessons learned and emerging issues from the Future consultations will aim to explore avenues to drive action NG-ACBP are central to informing and influencing the CMUs towards a more strategic and climate-informed pipeline. on climate action. There is a need to pursue transformation at Table ES1.3 IDA 20 Climate Change Special Theme Policy Commitments Increasing Climate Co-Benefits to 35% Scaling-up green financing Aligning IDA operations with the Paris Agreement Enhancing biodiversity and ecosystem services Transitioning key systems for adaptation and mitigation Strengthening management of fresh water, coastal and marine ecosystems Sustainable energy for all Increasing crisis preparedness and response Woman harvesting tea, Nandi Hills, Kenya. Credit: Jen Watson/Shutterstock THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 1 1. Forging Ahead on Climate Action The Next Generation Africa Climate Business Plan (NG- actions will result in climate mitigation or adaptation co-benefits ACBP) serves as a galvanizing framework for ramping up (see 2.3.8 Climate Co-Benefits, Corporate Climate Commitments climate action in Sub-Saharan Africa through its strategic and Climate Indicators). directions and its special areas of emphasis. The NG-ACBP was conceived to be implemented over two International Development The NG-ACBP was conceived to cover IDA 19-20 and serve as Association (IDA) cycles (IDA2019–20). IDA19 was compressed to a dynamic document that adapts its approach to align with two years (FY2019-20) to support the COVID response. The NG- new developments and updated IDA priorities. The IDA20 ACBP portfolio continues to deliver strongly on climate action. replenishment was advanced by one year due to COVID-19 and Climate co-benefits in FY21 in Eastern and Southern Africa (AFE) the urgent development needs of countries to cover the period totaled 32 percent and in Western and Central Africa (AFE) totaled from July 1, 2022, to June 30, 2025. The IDA20 overarching theme is 29 percent. In FY22 they totaled 36 percent in AFE and 39 percent Building Back Better from the Crisis: Toward a Green, Resilient and in AFW. The following report highlights achievements from the Inclusive Future and introduces human capital as a special theme first two years of the plan’s implementation (FY21 and FY22), and crisis preparedness as a new cross-cutting issue. Human capital draws out early lessons learned, and sets out elements that could joins climate change, gender and development, jobs and economic enhance the plan’s continued implementation. transformation, and fragility, conflict, and violence (FCV) as special themes. Crisis preparedness joins debt and technology as cross- The NG-ACBP portfolio is making considerable progress cutting issues; and governance and institutions has transitioned towards delivering on the target and commitments as set out from a special theme to a cross-cutting issue. It is expected that under IDA19 corporate and regional strategies. To understand 70 percent of IDA20’s US$ 93 billion financing will go to African the changing nature of the portfolio and the commitment to climate countries, a substantial portion of which will go towards tackling action, projects in the portfolio were tagged in parallel for climate climate change, with a concerted focus on helping countries adapt action at two levels. Project Appraisal Documents (PADs), project to intensifying climate impacts and natural hazards. documents (for Additional Funding) and program documents (for DPOs) were reviewed to understand how climate aspects were IDA20 provides the springboard for the NG-ACBP to evolve reflected in the components of the project in support of the project into its next stage. Significant existing overlap between the NG- development objectives and outcomes they were addressing. The ACBP’s targets and IDA20’s climate priorities offer a promising first level of tagging involved assigning each project with a primary start to addressing key delivery elements of IDA20 and generating strategic direction or special area of emphasis that best captured measurable impact for communities in the region over the coming the main components of the project. If projects addressed climate years. There is, however, opportunity to strengthen focus in key outcomes under other strategic directions the project would also areas to deliver climate change adaptation and mitigation solutions be tagged with secondary, tertiary, or even quaternary strategic that are robust and sustainable in the near and long term. The directions. The second level of tagging included assigning a level NG-ACBP consolidates and updates its framework to ensure full of climate action to each project. Projects were tagged according alignment with the new areas of IDA20’s climate change special to the level of climate action they incorporated, based on the theme policy commitments and transitions in the World Bank categories: (1) high if the project was transformative or enabling Climate Change Action Plan (CCAP). The NG-ACBP also of climate action at the economy-wide level; (2) moderate if the recognizes the strong need to integrate the regional contexts of project was integrating climate action at the sectoral level; (3) climate risks into its strategy due to the heterogenous climates of low if projects incorporated limited or indirect climate action; countries in Sub-Saharan Africa. In addition, the NG-ACBP is focused and (4) none if no direct climate action was present in the project. on demonstrating how integrative climate and development action Independently of whether climate co-benefits had been ascertained can drive transformative policy steps towards building climate by the climate group, we define projects with climate action as those resilience, which compliments the thrust of AFE and AFW’s Country which explicitly discuss in their project documents how the project’s Climate Development Reports (CCDRs). Saint-Louis, Senegal. Credit: ibrahima BA Sané/World Bank THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 3 2. Delivering on Targets and Lessons Learned 2.1 Overview of Key NG-ACBP Elements Released in 2020, the Next Generation African Business in Sub-Saharan Africa through three elements: (1) delivering Plan (NG-ACBP) provides a road map and action plan to climate action through investments and policy programs, analytics further galvanize climate action in Sub-Saharan African and country engagement products; (2) deploying International countries and to ramp up climate-smart development at Development Association (IDA) and International Bank for scale in response to the increasing frequency and intensity Reconstruction and Development (IBRD) resources and leveraging of climate shocks throughout the region. The plan focuses on finance; and (3) tracking and monitoring results for climate with food security, energy, and environmental and water security while an emphasis on delivering transformative, systemic, and at-scale also proactively supporting countries to manage climate shocks development throughout the region. This progress report aims and harness the urban transition through climate smart pathways to provide an update on the status of the NG-ACBP, highlighting (Figure 2.1). These areas of focus are highly interconnected with key accomplishments and success stories, defining emerging areas gender, community engagement, fragility, and social inclusion as of engagement, and setting out a roadmap for the next four years components of transformational climate action. The plan sets of the plan’s delivery. out to deliver accelerated, development-focused climate action Figure 2.1 Five Strategic Directions in the NG-ACBP Portfolio and Two Cross-Cutting Special Areas of Emphasis F  ood Security Ecosystem L  ow Carbon Urban Managing and Resilient Stability and and Resilient Resilience and Climate Rural Economy Water Security Energy Green Mobility Shocks Deliver food security Secure both the Drive affordable and Build resilient and clean Protect the vulnerable through an end-to- productive and reliable energy access— cities to drive an urban against climate shocks by end focus on climate protective aspects of and promote clean energy transformation for green preparing for disasters resilience in the ecosystems and water in the face of failing costs— growth, green mobility and mobilizing rapid and agricultural value chain to support economic and green jobs effective responses diversification and jobs Climate-informed G  reen, resilient policies infrastucture Increase engagement with ministries of finance and planning and Renewable energy and battery storage. Low carbon and compact other stakeholders on NDCs. Analytics to inform policy action and urban planning. Integrated, city-based resilience approach. design of prior actions in Development Policy Financing. 4 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 2.2 Progress on Key Commitments and Targets: Translating Commitments into Action 2.2.1 Levels of Climate Action Across the Box 2.1 Level of Climate Action NG-ACBP Portfolio A significant number of projects address either High—Transformative Climate Action transformative climate action through critical reforms, (Enabling and Economy-Wide) or through systemic mainstreaming at sectoral or cross- Climate actions address policy and or institutional aspects, sectoral levels. Projects across the Next Generation Africa including macro-economic policies that strengthen Climate Business Plan (NG-ACBP) portfolio were categorized the larger enabling context to drive behavioral change; by level of climate action (see Box 2.1). In Eastern and South and include in some cases innovative proof of concept Africa (AFE) there were 24 transformative projects in both FY21 approaches with potential for scale-up. and FY22. In Western and Central Africa (AFW) there were 13 transformative projects in FY21 and 18 transformative projects in FY22 (Figure 2.2). An illustrative model of transformative climate Moderate—Sectoral or Integrative Climate Action action is exemplified by Rwanda’s Second Urban Development Climate actions address climate risks and/or opportunities Project (P165017, US$ 175.5 million). The project demonstrates through specific sectoral, cross-sectoral, and systemic a systemic, integrated approach to mainstreaming climate interventions, often targeting specific geographic area resilience into urban planning and flood risk management by and beneficiaries. using grey and green infrastructure, nature-based solutions (NBSs), and flood risk management. The project serves as a model for methodically integrating climate consideration into Low—Limited or Indirect Climate Action urban settings in a manner that is both scalable and replicable in Climate actions are limited or fragmented and reflect in other urban and country contexts. Other transformative climate some cases missed opportunities that could have drawn action projects embed climate-informed macro-policies into from established or good practices. In other cases, low key sectors (agriculture, energy, social protection), adopt end- climate action may be attributed to gaps in knowledge to-end climate action across value chains, and demonstrate and practice which are still evolving. integrative climate action across rural and urban landscapes. Burundi’s Cash for Jobs Project (P175327, US$ 150 million) also takes a transformational approach to climate action. The project None—No Climate Action mechanistically integrates climate change considerations into Interventions have no direct links to climate but represent every aspect of its adaptive safety net program and details how important development priorities which enhance the the various project’s components will increase the resilience of enabling context and may be key to support increased levels the project’s beneficiaries. of climate resilience and or low carbon strategies. In some cases, there may be some missed opportunities. Central Business District, Kigali, Rwanda. Credit: Kelley Lynch/World Bank THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 5 Across the portfolio, most projects encompass a moderate level of climate action, driving mainstreaming through sectoral and integrative action (Figure 2.3). In AFE the largest share of projects falls within the moderate level of climate action for FY21 and FY22. In AFW FY21, an equal number of projects are tagged as having moderate and low levels of climate action, the latter reflecting missed opportunities, with moderate climate action taking up the largest share of projects in FY22. In terms of missed opportunities, Somalia’s Shock Responsive Safety Net for Human Capital Project (P176368, US$ 110 million) demonstrates a low level of climate action because the project finances safety nets that increases climate resilience as a side effect of addressing poor and nutrition challenged populations. However, the project does not explicitly or proactively address climate-specific vulnerabilities. In addition, Nigeria’s Girls Initiative for Learning and Empowerment Project (P170664, Louise Anagovi, Woukpokpoe, Benin. Credit: Arne Hoel/World Bank US$ 500 million) also showcases a low level of climate action because the project focuses on integrating climate education into secondary school curricula. As such, introducing climate to generate a larger share of projects that deliver robust change topics into basic and mid-level education will help foster and transformative solutions to climate change. Projects awareness and behavioral changes in the general population with missed opportunities can address climate action through, for that can help increase their resilience to climate impacts in the example, increased access helpful resources or new technologies. long-term, especially through human capital development and While projects with no climate action do not have a climate focus, diversified job opportunities. The patterns identified in AFE and they are foundational for delivering on development priorities in AFW are largely replicated across FY21 and FY22. the region. For example, Republic of Congo Statistics Capacity Building Project (P177969, US$ 10 million) has no climate action The spread of projects across the four levels of but will address the need for accurate and up-to-date population categorization indicates substantial opportunity for projects statistical information, which is of the utmost importance for to address climate action more explicitly in their objectives disaster risk management and response. Figure 2.2 Total Amount of Financing for IDA/IBRD Projects Categorized by Level of Climate Action for FY21 and FY22 100 N=13 N=24 US$2555M US$3539M N=24 US$6531M N=18 80 US$2939M N=35 US$4559M Number of Projects 60 N=42 US$8309M N=39 N=39 US$7285M US$5581M 40 N=35 US$3442M N=19 US$2850M N=24 N=22 20 US$1427M US$2049M High Climate Action Moderate Climate Action N=15 N=15 US$918M N=9 N=11 Low Climate Action US$899M US$692M US$1427M 0 No Climate Action FY21 FY22 FY21 FY22 N=100 US$15.6B N=96 US$17.7B N=98 US$11.5B N=90 US$12.3B AFE AFW Fiscal Year (FY) by Region 6 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Figure 2.3 Number of Projects by Level of Climate Action per Strategic Direction and Special Area of Emphasis in AFE and AFW FY21-FY22 175 Total: 166 150 28 125 Number of Projects 100 79 75 Total: Total: Total: 50 50 45 Total: 44 12 36 Total: 59 14 20 24 Total: 25 17 50 25 12 16 10 Total: 20 8 6 10 2 2 2 0 Managing Resilient Cities Food Security Clean Energy Ecosystem Special Areas Special Areas No Climate Climate and Green and Resilient and Energy Stability and of Emphasis of Emphasis Action Shocks Mobility Rural Economy Resilience Water Security (Infra) (Macro) Strategic Direction/Special Area of Emphasis Low Climate Action Moderate Climate Action High Climate Action No Climate Action 2.2.2 Strategic Directions and Special Areas of (US$ 2.5 billion), which reflects a harnessing of opportunities to Emphasis Across the NG-ACBP Portfolio leapfrog into renewable energy pathways in parts of the region that have low baseline levels of development. AFW’s second largest Each project in the portfolio was tagged based on what share of funding supports ecosystem services and water security. strategic direction and special areas of emphasis the project is aligned with or addressed through its objectives (Figure The portfolio reveals more integrative action across strategic 2.3). Projects were tagged with a primary strategic direction that directions with many projects addressing multiple priorities. best reflected the core elements of the project. Projects were also More than half the projects in both AFE and AFW address a tagged with secondary and tertiary strategic directions and special combination of at least two or more priorities, reflecting more areas of emphasis when relevant. The analysis reveals that across integrative approaches, which is accompanied by collaborative both FY21 and FY22, managing climate shocks is consistently the action across multiple Global Practices. The strategic direction highest funded strategic direction (Figure 2.1). The focus in the with the greatest number of projects and financing is consistently portfolio under the climate shocks strategic direction on safety managing climate shocks. The overall low amount of financing nets, cash transfers and early warning systems reflects current attributed to ecosystem stability and water security, particularly weak enabling systems and capacities in Sub-Saharan African when compared to the high level of investment in climate shocks, countries and the urgent need to address impacts from extreme across AFE and AFW is of concern since this strategic direction events. Increasingly, the investments under this strategic direction represents an important foundational area of investment for are advancing solutions that enhance resilience and sustainability. building adaptive capacity and resilience. However, both AFW AFE’s next largest share of funding supports resilient cities and green and AFE are stepping up action on this strategic direction. In mobility in FY21 (US$ 3.4 billion) and FY22 (US$ 2.9 billion). The FY22, US$ 2.1 billion of funding in AFW went towards ecosystem attention to resilient cities and green mobility points to the critical stability and water security, which is five times the amount of need for ensuring that urban policy reforms address longer term funding that was attributed to this strategic direction in FY21. and climate smart planning strategies as part of the urban transition Further, AFE’s funding for ecosystem stability and water security underway in many countries in the region. These strategies are increased sixfold between FY21 and FY22 (US$ 1.3 billion). The critical for ensuring that cities can effectively address the impacts significant increase in funding for this strategic direction of climate change, especially in the context of coastal urban areas. highlights the critical nature of productive and protective In FY21, AFW’s next largest share of funding supports clean energy aspects of ecosystems and water in the region. THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 7 Figure 2.4 Projects by Primary Strategic Direction or Special Area of Emphasis for AFE and AFW FY21-FY22 and Total Financing (USD) 100 N=3, $203M N=1 N=4 US$1.0B N=5 US$2.4B US$75M N=2 N=7 US$2.8B US$91M N=3 N=9 US$415M N=5 US$420M US$1.9B N=6 US$1.3B N=21 80 N=12 N=9 US$2.5B US$2.1B N=16 US$1.8B US$3.4B N=8 N=9 US$1.9B N=11 US$1.4B US$1.8B 60 N=11 Number of Projects N=8 US$1.3B US$2.9B N=10 US$1.8B N=8 US$1.9B N=51 40 US$6.8B N=44 N=34 US$5.5B US$3.0B N=37 US$4.5B 20 N=15 N=15 US$918M N=9 US$899M N=11 US$1.4B US$692M 0 FY21 FY22 FY21 FY22 N=100 US$15.6B N=96 US$17.7B N=98 US$11.5B N=90 US$12.3B AFE AFW Fiscal Year (FY) by Region Special Areas of Emphasis Special Areas of Ecosystem Stability Clean Energy and (Infrastructure) Emphasis (Macro) and Water Security Energy Resilience Food Security and Resilient Cities Managing Climate No Climate Action Resilient Rural Economy and Green Mobility Shocks There is a need to shift to a more strategically focused and job diversification alongside anticipatory and far-sighted pipeline that addresses underlying causes and adopts far- planning. Grounded analytics, including through the Country sighted planning for resilience in the face of escalating Climate Development Report (CCDRs), Strategic Country frequency and intensity of climate shocks and stresses. Diagnostics (SCDs), and dedicated Advisory Services and While the focus on adaptive social safety nets is critical in averting Analytics (ASAs), must be used to drive a more strategic, robust, and managing crises response, there is an urgent need to address and inclusive pipeline to advance SCDs and Country Partnership the underlying causes of vulnerability. Moving forward it would Frameworks (CPFs). A stronger emphasis on conceiving a more be important to complement reactive crises response with more strategically focused portfolio of resilient investments through proactive investments that build system-wide resilience with CPFs, under IDA-20, should be a priority. a focus on ecosystem stability, water resources management, 8 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 2.2.3 Transboundary Projects intervention to develop effective solutions. In addition, one and Regional Integration third of Sub-Saharan African countries that are landlocked depend on their neighbors for access to global markets. Often, Country specific projects comprise the dominant share of a resource base is in a country that is geographically distant total projects in both AFE and AFW across FY21 and FY22 from the markets, which contributes to diseconomies of scale (Figure 2.5). In AFE, country specific projects received 97 percent of small and fragmented markets. To achieve economies of scale, of total funding in FY21, of which 85 percent had climate action. it is crucial to seek regional solutions to common challenges that In FY22, 89 percent of total funding went to country specific are found across many countries. For example, the desert locust projects, with 91 percent of projects having climate action. This upsurge has threatened livelihoods and food security in South indicates that in AFE there is a growing share of regional projects Sudan and for its regional trading partners (Kenya, Uganda, and the amount of climate action for country specific projects Sudan, and Ethiopia). The Emergency Locust Response has increased. In AFW FY21, country specific projects received Project (P174546, US$ 53 million) stresses the importance of 93 percent of total funding and 84 percent of country specific a coordinated regional response to the outbreak given the projects had climate action. In FY22, 96 percent of total funding transboundary nature of the crisis. The project encourages all went to country specific projects, with 87 percent of projects countries in the region to act urgently and share lessons learned having climate action. This suggests that the majority of AFW’s with one another to enable a robust and effective response, funding continues to go towards country specific projects, but since this would not be possible solely on the national level. In the proportion of climate action is increasing. The proportion addition, the recently approved Horn of Africa Groundwater of regional projects is small in comparison to country specific for Resilience Project (P174867, US$ 385 million) is another projects but have increased between FY21 and FY22. All but one excellent example of regional coordination. The project regional project does have some form of climate action across aims to increase the sustainable access and management of both regions and FYs (see Table 2.1 for project details). However, groundwater in the Horn of Africa’s borderlands. The project it is important to note that the regional project without climate will engage Ethiopia, Kenya, Somalia, and the Intergovernmental action is additional financing for its parent project, the Great Authority on Development (IGAD) to work together to access Lakes Trade Facilitation and Integration Project (P174814, the region’s largely untapped groundwater resources to US$ 250 million) which does include climate action. cope with and adapt to drought and other climate stressors impacting the region’s vulnerable borderlands. The project Regional integration that centers on climate action is will increase access to water supply and reduce vulnerability crucial for ensuring the robust economic, social, and to climate change impacts for an estimated 3.3 million people, environmental futures of Sub-Saharan African countries. while also improving food security in the face of severe drought Regional responses to climate change enable better in the region. Further, many of the regional projects have over management of shared resources, such as transboundary river 20 percent climate co-benefits which are linked to a particular basins, improved efficiency of transportation and logistics, climate indicator, which helps the World Bank track its progress and enhanced management of food security, energy security, on climate related targets more closely (see 2.3.8 Climate and climate shocks. Natural disasters and epidemics do not Co-Benefits, Corporate Climate Commitments and Climate respect national borders and require collective, multinational Indicators for further details on climate indicators). THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 9 Figure 2.5 Regional vs. Country Specific Projects for AFE and AFW FY21-FY22 AFE (FY21) AFE (FY22) N=8 US$1.4B N=15 US$1.6B N=3 US$813M N=10 US$2.4B N=1 US$23M N=100 N=96 US$15.6B US$17.6B N=82 N=77 US$13.2B US$13.8B Country Specific Projects with Climate Action Country Specific Projects with No Climate Action Regional Projects with Climate Action AFW (FY21) AFW (FY22) Regional Projects with No Climate Action N=15 N=11 US$2.7B US$692M N=4 US$1.8B N=7 US$1.6B N=98 N=90 US$$11.5B US$12.3B N=76 N=75 US$7.2B US$9.8B 10 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Table 2.1a List of Regional Projects in AFE and AFW (FY21) Region Theme Project AFE Improved Efficiency of P161305 Horn of Africa Gateway Development Project US$ 750 million Transport and Logistics Managing Shocks P174546 Emergency Locust Response Project US$ 53 million Management of Shared P175355 Sustainable Groundwater Management in SADC Member States Project Phase 2 Resources US$ 9 million AFW Regional Energy P171225 West Africa Regional Energy Trade Development Policy Financing Program Transition US$ 300 million P174885 Regional Off-Grid Electricity Access Project Additional Financing US$ 15 million P167569 Regional Electricity Access and BEST Project US$ 465 million Management of Shared P173398 Accelerating Impacts of CGIAR Climate Research for Africa (AICCRA) US$ 60 million Knowledge and Resources Improved Efficiency of P173197 Regional Sahel Pastoralism Support Project II US$ 375 million Transport and Logistics P173830 Community-Based Recovery and Stabilization Project for the Sahel US$ 352 million P176313 West Africa Coastal Areas Resilience Investment Project AF BN-TG US$ 36 million Victoria Falls, Zambezi River, between Zambia and Zimbabwe. Credit: Yana Zubkova/Shutterstock THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 11 Table 2.1b List of Regional Projects in AFE and AFW (FY22) Region Theme Project AFE Improved Efficiency of P175751 Additional Financing for the Southern Africa Trade and Transport Facilitation Transport and Logistics (Phase 2) Project US$ 22 million P174814 Great Lakes Trade Facilitation and Integration Project US$ 250 million P1788861 Additional Financing – Great Lakes Trade Facilitation and Integration Project US$ 23 million Managing Shocks P177843 Additional Financing to Emergency Locust Response Project US$ 35 million P178434 Emergency Locust Response Program Phase 1 Ethiopia Additional Finance US$ 60 million P176371 Eastern Africa Regional Statistics Program-for-Results US$ 301 million P178047 Development Response to Displacement Impacts Project in the Horn of Africa Phase II US$ 180 million Resilient Food Security P178566 Food Systems Resilience Program for Eastern and Southern Africa US$ 788 million Management of Shared P174867 Horn of Africa Groundwater for Resilience Project US$ 385 million Resources Management of P176744 Additional Financing for the ACE II Project US$ 70 million Shared Knowledge P176517 De-risking, inclusion, and value enhancement of pastoral economies in the Horn and Resources of Africa US$ 327 million AFW Improved Efficiency of P168386 Lome-Ouagadougou-Niamey Economic Corridor US$ 470 million Transport and Logistics P167798 Cameroon-Chad Transport Corridor US$ 538 million Managing Shocks P175043 Gulf of Guinea Northern Regions Social Cohesion Project US$ 450 million Resilient Food Security P172769 West Africa Food System Resilience Program (FSRP) US$ 330 million 12 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 2.3 Projects and Programming— Delivering on Targets and Early Lessons The NG-ACBP set out key targets that are aligned with the Box 2.2 Integrating Climate Along the World Bank’s corporate and IDA commitments. The priority Agricultural Value Chain in Guinea action areas identified under the five strategic directions and two special areas of emphasis support delivery of corporate and IDA targets as implemented through the portfolio of World In Guinea, the potential for accelerating the development Bank investments. These targets correspond to existing IDA19 of commercial agriculture as a critical engine of growth will (FY21–FY23) and corporate climate commitments up to 2025 require a comprehensive public-private partnership. The and allow for monitoring project contributions under each government will need to deliver considerable investments strategic direction. For non-quantitative targets, an assessment in infrastructure as well as continued reforms. These is made on whether a project contributes to the targets based efforts will enable investors to play their part by delivering on a review of the project documents. A select few targets have the capital, expertise, and knowledge of markets, credit already been met while others are in progress. for inputs, technology, logistics, and commercialization that are required to modernize agriculture in Guinea. At The portfolio is delivering on the agreed targets and analysis the same time, for agriculture in Guinea, rising average reveals areas where reporting against the results framework temperatures and diminishing annual rainfall increase the needs to be stepped up. The portfolio reveals a deepening of risks related to overall productivity, water scarcity, and climate action—both resilience and mitigation—and more storage losses (in the absence of proper storage facilities), holistic approaches, including cross-sectoral collaboration, that and they are also expected to increase the incidence are paving the way for outcomes that reflect scale, systemic of pests (including insects) and diseases outbreaks. A shifts, and transformation. This section highlights emerging predicted more intense rainy season would increase themes and showcases projects that have been approved under flooding, harming not only crops but roads (which are IDA19 (FY21 and FY22). A complete summary of transformative mainly unpaved), reducing the mobility of produce and climate action themes illustrating select tools and instruments goods, increase travel times, and raising transport costs. can be found in Annex 1. The Guinea Commercial Agriculture Development 2.3.1 Food Security and Project is committed to integrating climate actions into Resilient Rural Economy its investments all along the value chain, including: (1) adapting rural roads to all weather use to counteract the End-to-End Integration: Attention on Climate adverse effects of flooding and precipitation; (2) building Risks Along Agricultural Value Chains and market infrastructure, particularly storage facilities Watershed Management designed for climate adaptation (with cooling facilities to adapt to increased temperatures) and mitigation The NG-ACBP sets out the critical importance of an end- (with energy-efficient equipment and efficient waste to-end value chain perspective, effectively connecting management systems); (3) ensuring that a sustainable smallholders to agricultural value chains while addressing financing mechanism is available to maintain improved the rising urban demand for higher-value and more road and market infrastructure for long-term resilience, processed agricultural products amid a changing climate. It including covering the costs of repairing damage caused by involves actions to strengthen several aspects of the agriculture climate change; (4) mainstreaming climate resilience in the value chain, such as: (1) value addition, aggregation, and private investments to be supported under the program certification of agriculture products; (2) financial instruments to (for instance, through the adoption of climate-smart leverage the private sector participation; (3) e-commerce logistic agricultural practices, climate-resilient technology, and approaches to agricultural commercialization, market access, energy efficient equipment); (5) working with value chain and trade; and (4) information and communication technology actors to improve their understanding of climate change (ICT)-empowered market information systems to facilitate and its impact on commercial agriculture; and (6) building regional trade. In watershed management projects, the value their capacity to use tools and techniques for designing chain extends to the water input end of the chain to ensure water and implementing adaptation and mitigation approaches. security for agricultural production under a changing climate. THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 13 Integrating climatic considerations throughout the pandemic disrupting global supply chains, chronic and acute agricultural value chain is key for ensuring productivity in hunger was already on the rise from a combination of factors, the face of worsening climate threats. A primary example including climate, conflict, natural hazards, and pests. Similar of climate action being integrated along the production and impacts are being witnessed in the face of the crises in Ukraine— market chain in the current portfolio is the Guinea Commercial showcasing the impacts of shocks and crises. The Russia- Agriculture Development Project (see 2). Another example is Ukraine crisis is a serious threat to global agricultural value Cameroon’s Valorization of Investments in the Valley of the chains. Together, Russia and Ukraine produce more than one Benue (P166072, US$ 200 million), which focuses on integrating fourth of global wheat exports, and Sub-Saharan Africa is heavily end-to-end climate action into river basin management to dependent on imports from both countries. Wheat imports ensure water security for agricultural food production. The make up 90 percent of Africa’s US$ 4 billion trade with Russia and project aims to enhance water security and governance of almost half of the continent’s US$ 4.5 billion trade with Ukraine. water resources by addressing water infrastructure safety In addition, the price of urea (fertilizer) has gone up by 300 and operations, construction and rehabilitation of irrigation percent since the start of the conflict, threatening agriculture and drainage infrastructure, and support to water users’ production in region. The conflict, in addition to COVID-19 and institutions. The project also includes flood-preparedness and locust outbreaks, is driving inflation in Africa and could trigger transboundary cooperation in the Benue Valley that is part of a food crisis on a scale that the region has not seen since 2008, the regionally significant Niger Basin. In addition, it supports making this issue of paramount importance. technical interventions to increase the resilience of agricultural food production through the introduction of climate-smart The targets on food security as set out in the NG-ACBP are agricultural techniques. The project has been designed to adequately designed and reflected in the portfolio of build resilience against several climate risks facing the north projects (Table 2.2). This strategic direction aims to contribute of Cameroon, especially drought, extreme precipitation, and to Sub-Saharan Africa’s food and nutritional security and support flooding, which would ultimately impact food production and the rural economy to become resilient in the face of climate risks security in the region, through a series of interventions along and opportunities. Between FY21 and FY22, the portfolio had 36 the river basin management chain. projects under food security, totaling US$ 6.9 billion. These projects aim to increase food access and crop production, Addressing food security and resilient rural economies improve the resilience of pastoralists, and strengthening regional remains critically important to Sub-Saharan Africa’s food system risk management. Improved pastoral systems, as socioeconomic development. Even prior to the COVID-19 stipulated under Target 2, has been included into projects in 16 Table 2.2 Food Security and Resilient Rural Economy Targets Progress Target Target Objective Status Illustrative Project Example Number 1 28 million farmers adopt climate In progress ­– P172769 West Africa Food System smart agriculture practices Resilience Program 9.91/28 million farmers 2 Improved pastoral systems in place in 15 countries Approved – P175263 Liberia: Rural Economic Transformation Project 16/15 countries 3 Number of farmers (TBD) with access to improved In progress – P171613 Cote d'Ivoire Agri-Food agricultural services (integrated weather and market Sector Development Project 24 million farmers/ information, financial services including savings, TBD credit, payment, insurance) 4 New climate-smart policies and programs In progress – P174002 Mozambique Sustainable implemented for food and nutrition security Rural Economy Program 16/20 countries in 20 countries 14 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN countries.9 Target 4 calls for 20 countries to develop new climate Box 2.3 Addressing Climate Issues in Fisheries smart policies and programs for food security, including a in Africa: Sustainable Fisheries Management particular focus on end-to-end value chains. Target 1 has made in Liberia considerable progress (9.91 million farmers) towards 28 million farmers adopting climate smart agricultural practices. However, Introducing climate considerations into the Fisheries even as targets are met, action on this critically important food Sector in Africa is a relatively novel concept. As such, the security agenda continues in the context of escalating challenges Liberia Sustainable Management of Fisheries Project including suffering a setback because of the COVID-19 pandemic. (P172012, US$ 40 million) presents an innovative plan which intends to increase resilience of the Liberian coastal 2.3.2 Ecosystem Stability populations to the effects of climate change through the and Water Security systemic consideration of climate in its design process. Landscape Plus: Integrating Climate Action Across First, through the monitoring of oceanic fish stocks Productive and Natural Landscapes over the project lifetime (and analyzing previous fishing stock records from the last 10 years), and by stimulating Climate action that used to be compartmentalized within research on fisheries, Liberia will have more robust World Bank operations is being increasingly integrated into methods and data for assessing fish stocks in the context landscape projects. Integration of climate action across natural of a changing climate, and for developing strategic plans and productive landscapes is a much-needed approach to improve for marine fishing that is more resilient to the impacts of the resilience of rural communities and their livelihoods. For climate on fishing stocks (both artisanal and commercial). example, the conservation and management of natural forest landscapes adjoining agricultural landscapes also supports the Second, through development of marine and inland resilience of farmers. By ensuring the forests’ ecological services fisheries it will ensure that the country’s population integrate sustainable management of agroforestry landscapes, this will continue to have access to fish (animal) protein, will result in carbon emission avoidance and carbon sequestration increasing population resilience. With regards to marine from avoided deforestation and through the reforestation of fisheries, the project envisions the design of a fishery port degraded landscapes. In addition, water, sanitation and hygiene that is resilient to storm surges, coastal erosion, and sea (WASH) programs are essential for delivering reliable water level rise. supplies, particularly in the face of COVID-19. Third, development of inland aquaculture will allow a Several projects in the NG-ACBP portfolio are taking an reduction in the load on marine fishing (currently 52 integrated landscape approach to climate action (Box 2.3). percent of fish for human consumption comes from The Regional Sahel Pastoralism Support Project II (P173197, aquaculture). This will allow the fisheries to naturally US$ 375 million) prioritizes investments that help to increase restore, plus aquaculture is more resilient to climate the resilience of agro-pastoral systems by: (1) enabling animals change in this specific location. Aquaculture is also to resist climate stress; (2) enhancing animal feeding through much more reliable and predictable in terms of output improved governance and management of pastoral lands; volume, than marine fishing, and it is not affected by (3) enhancing and diversifying sources of revenue through the growing dead zones due to eutrophication in the climate-smart investments along agro-pastoral value chains territorial waters and ocean. By performing careful and alternative livelihood options to cope with climate-related species selection and using sustainable climate-smart shocks; and (4) improving data, knowledge, skills, strategies, and approaches to aquaculture, it will allow to adapt for awareness of key stakeholders to take climate-informed and anticipated temperature increase. adapted decisions. In addition, the Niger Integrated Water Security Platform Project (P174414, US$ 400 million) aims to strengthen the management of water resources, increase protection, management and knowledge of water resources access to water services and improve the resilience to climate- and associated natural environments. In AFE, Mozambique’s induced water variability. The project will focus on ecosystem Conservation Areas for Biodiversity and Development restoration and erosion control measures, water storage, and (P172777, US$ 23 million) aims to improve management of target solar-powered water supply and irrigation infrastructure. Thus, conservation area landscapes and enhance the living conditions this project exemplified an integrated landscape approach to of communities in and around these conservation areas. Through climate action by covering a wide scope of action around the avoided deforestation and reforestation of degraded lands, the 9 Ethiopia, South Sudan, Mozambique, Congo Dem., Sierra Leone, Guinea, Guinea-Bissau, Burkina Faso, Mali, Niger, Nigeria, Senegal, Chad, Mauritania, Central African Republic, Liberia THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 15 project estimates it will result net carbon sink of -10,845,249 Change Policy Commitments, with a dedicated target to enhance tCO2-eq over a period of 20 years. The project will also create biodiversity and ecosystem services. jobs and alternate income generating activities that aim to avoid and reduce degradation. Jobs will contribute to diversified agro- The NG-ACBP delivery on targets under the ecosystem ecological food production and livelihood systems, thus reducing stability and water Security strategic direction has been both individual and collective climate vulnerability. In addition, modest (Table 2.3). This strategic direction’s impact aimed to Zambia’s COVID-19 Emergency Response and Health strengthen the integrity of foundational life support systems Systems Preparedness Project (P174185, US$ 20 million) will to secure critical goods and services for rural livelihoods and ensure that investments in WASH activities will account for urban economies and avert or delay triggers of (irreversible) the risks posed by climate change, integrate climate-resilient tipping points. The NG-ACBP portfolio has delivered 24 projects water management at local levels and strengthen capacity of between FY21 and FY22 that address ecosystem stability, totaling WASH practitioners to identify and address climate risk and the US$ 4 billion. These projects aim to deliver on integrated COVID-19 pandemic. river basin management, landscape management, avoiding deforestation, and bolstering water security to meet demand Renewable natural capital is fundamental for building in the face of climate uncertainty. Target 3 is the closest to being climate resilience in people, assets, and economies at large. achieved, with six countries (that is the Democratic Republic Land and ecosystems are essential for helping countries that of the Congo, Guinea, São Tomé and Príncipe, Ghana, Liberia, are rich in biodiversity to design robust ecosystem services Nigeria) pursuing enhanced managements of landscapes, management strategies that maximize contributions to seascapes, and watersheds. Targets 1 and 2 have made some economic growth from agriculture, ecotourism, subsistence progress towards their goals but still have a significant way to farming, flood protection, biodiversity protection and the like. go before being reached. The importance of biodiversity is highlighted in IDA20’s Climate Table 2.3 Ecosystem Stability and Water Security Targets Progress Target Target Objective Status Illustrative Project Example Number 1 Integrated landscape management approach In progress – P166189 Northern Congo for avoiding deforestation, promoting landscape Agroforestry Project 6.45/60 million restoration or sustainable forest management, in up hectares to 20 countries and covering up to 60 million hectares 2 Support at least 10 river basins with climate- In progress – P172848 Nile Cooperation informed management plans and/or improved river for Climate Resilience 3/10 river basins 10 basin management governance 3 Support at least 10 countries to enhance management In progress – P170213 Catalyzing Financing and of landscapes, seascapes, and watersheds Capacity for the Biodiversity Economy 6/10 countries 11 around Protected Areas Project 10 Nile River Basin, Niger River Basin, Pra River Basin 11 DRC, Guinea, São Tomé and Príncipe, Ghana, Liberia, Nigeria 16 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Young woman working in a nursery. Credit: zamrznutitonovi/Envato THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 17 2.3.3 Low Carbon and in providing clean energy for off grid electrification. Since the and Resilient Energy grid electricity in Rwanda is dominated by hydropower (48 percent of installed generation capacity in 2019), providing grid electricity to households in Rwanda is expected to mitigate emissions from Responding to Sub-Saharan Africa’s growing energy needs the lighting alternatives that households will otherwise use. And, by is critical to support the economic development of the supporting solar power based off-grid electrification, the project region, reduce poverty, and build community resilience to will substantially reduce GHG emissions compared to the lighting climate change. Recognizing that the lack of access to reliable alternatives. At the same time, the project introduces resilience electricity and clean cooking have long held back Sub-Saharan measures to a distribution network to mitigate climate risks.  Africa development, increased the vulnerability of communities to climate shocks, and have taken a major toll on the population’s Expanding access to affordable and reliable energy remains health, regional governments are striving to achieve universal a critical objective in Sub-Saharan Africa that can unlock access to energy. The shift toward a low carbon development sustainable economic growth, improve livelihoods, build pathway will help prevent countries from being locked into energy resilience, and support mitigation in the face of climate investments that favor carbon-intensive development. In Sierra change. Sub-Saharan Africa continues to have one of the lowest Leone, the Enhancing Sierra Leone Energy Access Project rates of electricity access in the world, with around one half of (P171059, US$ 50 million) will increase the use of clean energy the population lacking access to energy. In recent years, the to substitute for the use of liquid fuel which has much higher solar sector has grown exponentially to reach economies of GHGs emissions. Under the project’s off grid energy component, scale, which is crucial for diversifying the power generation mix, all consumers will be provided with 100 percent solar-based particularly in oil-dependent countries, and expanding electricity electricity to substitute for liquid fuel electricity. The project will access to more of the population.12 Increasing clean energy also provide some adaption co-benefits by considering resilience access and mitigating emissions from energy generation has measures in designing the sub-transmission and distribution lines also formed a core part of several Sub-Saharan African countries’ and network as well as the solar PV systems. Renewable energy nationally determined contribution (NDC) commitments and is pathways will help reap multiple economy wide and pro-poor a key consideration in the World Bank’s CCDRs. benefits, such as avoiding pollution, rolling out green mobility, boosting job growth, and securing community resilience. Africa’s The NG-ACBP portfolio has a strong focus on increasing large endowment of renewable energy sources, as well as falling clean energy access and diversifying countries’ energy mixes costs of renewable energy, offer an opportunity for the region to to aid the transition towards a low-carbon, sustainable pursue such a low carbon development pathway.  future. Between FY21 and FY22, the portfolio had 44 projects focused on clean energy and energy resilience, totaling US$ 8.2 Addressing resilience in the planning and management of billion. These projects focus on increasing electrification, both energy infrastructure is key in the face of escalating and on the national grid and off-grid, and transitioning towards clean intensifying climate extremes in many African countries. To energy solutions. The clean energy targets are in progress to ensure energy security, governments must account for climate being met through the portfolio of approved projects (Table change impact when planning for new energy infrastructure. 2.4). This strategic direction supports Africa’s achievement of For example, some countries in Africa are heavily dependent on universal access to affordable, reliable, sustainable, modern, and hydroelectric generation, which is vulnerable to hydrological clean energy services by strengthening community resilience changes associated to climate change. Diversifying generation and promoting economic diversification. So far, under Target mix with other utility-scale renewable generations, such as 1, 15 gigawatts of renewable energy have been provided out of solar, wind and geothermal, will help mitigate such risk. Scaling the goal of 28 gigawatts. Under Target 2, 13 countries, including regional power trade is another measure to mitigate such Botswana, Chad, Somalia, and Zimbabwe, are on track to impact. Meanwhile, the Rwanda Energy Access and Quality receiving support to strengthen their energy sector planning Improvement Project (P172594, US$ 150 million) takes a holistic under their NDCs out of the goal of 25 countries. consideration of climate in the extension of the grid for electricity, 12 World Bank Group. 2020 Off-Grid Solar Market Trends report. 18 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Engineers inspect solar panels. Credit: ASphotostudio/Envato Table 2.4 Low Carbon and Resilient Energy Targets Progress Target Target Objective Status Illustrative Project Example Number 1 Provide direct, indirect, and enabling policy support In progress – P166685 Uganda Electricity Access for generation, integration, and for enabling Scale-up Project 15/28 gigawatts infrastructure for at least 28 gigawatts of renewable energy 2 Support 25 Countries to Strengthen Energy Sector In progress – P175934 Botswana Programmatic Planning and Execution with NDCs Economic Resilience and Green 13/25 countries 13 Recovery DPO 13 Botswana, Burkina Faso, Benin, Central African Republic, Chad, Gambia, Niger, Comoros, Somalia, Sudan, Kenya, Namibia, Zimbabwe. THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 19 2.3.4 Urban Resilience in Africa struggle to cope with rapid growing populations where and Green Mobility sprawling development patterns push housing development further away from people’s workplaces, resulting in longer commute Integrated Action Across Urban and Natural times. Despite heavy investment in road infrastructure in major Landscapes: Applying Green and Grey Infrastructure cities, traffic congestion is a daily challenge where new and wider and Nature-Based Solutions To Urban Planning roads push commuters towards using private cars—worsening congestion. Investments and planning efforts that focus on road The World Bank Africa lending portfolio is addressing expansions tend to benefit those who have access to private modes climate resilience through integrated action across urban of transport and does not encourage behavioral shift towards landscapes and the natural landscapes they are embedded sustainable alternative modes of transport. Thus, cities will have an in. Acknowledging that cities and environment are interconnected, important role to play at various levels from the adoption of new a comprehensive approach is needed for managing risks across laws and regulations, to investing in green infrastructure to ensure the natural and built environment. Such an approach responds the best quality of life in urban areas. This will require innovative to the connectivity between land, water, and waste in cities. It solutions and rethinking of urban management and planning. These aims to demonstrate the complementarity and integration of include new urban and territorial structures, green areas, low energy gray infrastructure and nature-based solutions (including green consumption buildings and infrastructures, and the adoption of infrastructure) that can be replicated across countries and advanced technologies that mitigate global emissions and local beyond. This integrated systemic approach has been applied pollution—all of which promote adaptation to climate change, to coastal and riverine cities, where water is a prominent part reduce the energy costs of families and businesses, and improve of the landscape and risk of flooding, coastal storm surges, and the climate of cities. The Horn of Africa Gateway Development erosion is high (Error! Reference source not found.). For example, Project (P161305, US$ 750 million) takes an integrative and Senegal’s Additional Financing for Saint-Louis Emergency innovative approach to urban mobility. The project supports the Recovery and Resilience Project (P170954, US$ 50 million) implementation of Kenya’s National Adaptation Plan 2015-2030 seeks to reduce the vulnerability of the country’s population to through the prioritization of actions to enhance climate proofing coastal hazards along the Langue de Barbarie coastal strip and of infrastructure, such as in the transport sector, ICT, and buildings. strengthen urban and coastal resilience planning of the city of In terms of the transport sector, it will introduce several measures Saint-Louis. The project intends to finance the temporary needs to improve the climate resilience of the road network by selecting of displaced populations from the Langue de Barbarie who have road sections for rehabilitation from the perspective of network been affected by storm surge and coastal erosion disasters and climate resilience enhancement.  facilitate permanent relocation of the most vulnerable populations in the area. Africa is the fastest urbanizing continent in the world and holds massive potential to strategically embed resilience The sustainable urban mobility paradigm has gained into urban planning and policies. Over 40 percent of the prominence in both developed and developing cities, yet the population lives in urban areas, an amount which is expected transition process raises important concerns. Today, cities to increase to 60 percent by 2050. The rapidity in which cities Nairobi, Kenya. Credit: Justin Brian/Pexels 20 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN are being built in the region presents a unique opportunity to at scale through the World Bank’s financial and technical leverage. embed resilience into planning and policies, while also identifying Between FY21 and FY22, the portfolio had 45 projects focused areas to leapfrog and escape carbon lock-in. Climate-smart urban on resilient cities and green mobility, totaling US$ 9.9 billion. planning has the potential to reduce the impacts of the natural Several project focus on enhancing connectivity of goods hazards on cities in Sub-Saharan Africa, bolster environmental and people through the development of climate-resilience sustainability, and create robust urban environments that can roads, improving existing infrastructure, and enhancing urban withstand the worsening impacts of climate change. planning management. Under this strategic direction, significant progress has been made under Target 2, with 31 cities planning The NG-ACBP delivery on targets under the resilient cities on developing an integrated, city-based resilience approach, and green mobility strategic direction is strongly underway and Target 3, with US$ 1.1 billion in investment financing going in key areas (5). This strategic direction supports strengthening towards urban resilience-building activities. Targets 1, 4 and 5 are Africa’s development pathway towards a climate-smart and underway yet will require a more concerted focus going forward. secure future by engendering leapfrogging and transformation Box 2.4 Applying Integrated Climate Action Across Urban and Natural Landscapes Towards Flood Management and Climate Resilience in Kigali, Rwanda Scarce access to land in and around Kigali, Rwanda, To sustain Rwanda’s growth trajectory and gains, an has resulted in unplanned settlements, many of which integrated approach to sustainable urbanization, flood are exposed to climate hazards, particularly flooding. risk management and wetland restoration is being applied The city’s extensive network of wetlands has shrunk through Rwanda’s Second Urban Development Project in from 100 square kilometers (2013) to 72 square Kigali. Households residing in the unplanned settlements kilometers (2019) due to encroachment by industry are particularly vulnerable to the impacts of urban flooding and urban agriculture activities. The Nyabugogo sub- and landslides, which necessitates an integrated approach catchment, within which Kigali urban area is largely to urban upgrading and flood risk management. Specific located, has severely degraded due to deforestation, interventions to mainstream resilience from the upper unplanned settlements, and unsustainable agricultural to the lower catchment and from the top to the bottom practices on the hillsides. Loss of wetlands coupled of the hills include: (1) wetland rehabilitation; (2) green with the inadequate management of solid waste and and grey investments to mitigate erosion, reduce and wastewater reduces the natural ability to reduce flood manage stormwater runoff along settlements, enhance risks and contributes to increased levels of surface wetland buffer zones and address flood hotspots; and and groundwater, all of which negatively impact (3) comprehensive technical support that can improve communities downstream. Increased surface water can citywide flood risk management such as development of damage infrastructure and development of the built-up a stormwater master plan and a solid waste management area can further exacerbate flood risks if unmanaged. strategy. These activities will not only contribute to job creation, but also generate long-term benefits attributed to reduced water scarcity and flood damages, higher agricultural productivity, and lower carbon emissions. Hilltop Unplanned Settlements Wetlands Buffer Zone THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 21 Flooding in Bushmans River, South Africa. Credit: zambezi/Pexels Table 2.5 Resilient Cities and Green Mobility Targets Progress. Target Target Objective Status Illustrative Project Example Number 1 Integrated planning: multisectoral climate- In progress— N/A smart urban and transport plans prepared with status TBD up-to-date data for at least five African cities 2 30 cities with integrated, city-based Approved— P165017 Second Rwanda Urban resilience approach 31/30 cities Development Project 3 US$ 2 billion in investment financing for urban In progress— N/A resilience-building activities US$ 1.1 billion/US$ 2 billion 4 New bus rapid transits in at least five African In progress— N/A cities, making at least 50 percent of jobs status TBD accessible within an hour commute 5 Secure maintenance to make at least 100,000 In progress— P176775 Mali Rural Mobility km of African roads climate resilient 10,613 km/100,000 km and Connectivity - Additional Financing 22 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 2.3.5 Managing Climate Shocks Box 2.5 Aligning Higher Education Curricula Objectives with Sectoral Needs in Climate Action Adaptive Social Safety Nets: Increasing Resilience Through Ex-Ante Interventions Tanzania’s Higher Education for Economic Social safety nets have traditionally been developed as national Transformation Project (P166415, US$ 425 million) programs to provide basic living support to the extreme poor. aims for systemic integration of climate change-relevant However, more recently they have been adapted to respond to content into higher education and technical training emergencies and crises, both anthropogenic in origin and brought programs and curricula. All relevant technical and on by disasters, including climate shocks. Although historically these vocational education and training, and higher education safety nets were designed to be ex-post in nature or as one-off training programs financed by the project will be emergency support in case of a disaster, adaptive social protection required to include climate change related content. Also, (ASP) strategies have increasingly been integrating preparatory the priority areas supported by the project will create measures to increase the climate (and overall) resilience of their capacity in areas that will experience long-term impacts beneficiaries (Box 2.5). Often, ASPs consider longer-term effects by due to climate change, such as in agriculture, extractive incorporating ex-ante measures, in preparation for potential impacts. industries, energy, transport, and others. Specifically, In a traditional safety net system, cash transfers are provided to project activities include support for the integration of beneficiaries fulfilling certain requirements, but are usually related climate change relevant topics in curriculum and support to poverty levels.14 In ASPs, these cash transfers can be assigned to specialization at the postgraduate level. One project populations suffering from the impacts of natural disasters. They subcomponent will include training on climate change can be assigned to: (1) previously belonging as beneficiaries (in and its procurement of equipment will incorporate the which case the regular cash transfers are increased to meet the potential impact of climate change such as droughts, additional demands created by the natural disasters) in vertical flooding, and extreme precipitation through creating and expansions; or (2) populations outside of the normal beneficiary teaching a disaster recovery plan and special protocol for network which have been affected, in horizontal expansions. These machine operation in case a lack of water and flooding cases represent ex-post, one-off interventions which are designed affect the training institutes and machines. Another as emergency interventions. component is expected to train academic and technical staff in the priority disciplines including climate change. Ex-ante interventions are actions which increase the climate Finally, all databases and information systems funded by resilience of beneficiaries in preparation for future shocks. the project will include adequate mitigation measures to Examples of these actions are: (1) training of beneficiaries in avoid data losses potentially caused by natural disasters. climate-resilient or non-climate dependent livelihoods; (2) building of resilient infrastructure through public works programs which also provide additional resilience in the form of reliable income; Safety Net (P172479, US$ 512 million) project. Specifically, this (3) business training with the aim of graduating beneficiaries project will provide support for adaptation by rehabilitating from dependency and into the productive economy (productive the natural resource base to achieve increased resilience to inclusion); and (4) providing training in climate-resilient alternative climate change, through: (1) a focus on integrated watershed livelihoods. In the current FY21 project portfolio, this trend towards development, incorporating adaptive measures such as soil and incorporating ex-ante preparatory measures building resilience water conservation activities and sustainable infrastructure; (2) can be seen by the large share of social protection programs public work activities for reforestation, land management and soil sporting this type of intervention. Out of 20 social protection improvements to mitigate climate change as well as build resilience; programs addressing natural disasters or climate impacts in and (3) the capacity to scale up in response to shocks. The project the Africa region, 16 projects (80 percent – 7/8 for AFE, 9/12 for will also finance investments in underlying systems to ensure AFW) include measures that aim to increase the mid to long term adequate governance of the shock responsive safety net and the resilience of vulnerable populations to disasters. ability to deliver timely assistance. These include early warning and needs assessment systems, pre-negotiated approaches Ethiopia, through its Productive Safety Net Program’s and mechanisms for financing disaster response, evidence and Climate-Smart Initiative, has piloted a range of new ex-ante resource driven planning, and greater clarity in the systems and social protection climate-smart designs and approaches in procedures to be used at all levels in the distribution and delivery Africa (and globally). These pilot programs have been taken of scaled-up responses. The project contributes significantly to to scale through the current Strengthen Ethiopia’s Adaptive climate change mitigation, as evidenced by samples analyzed 14 For further background on the evolution of safety nets in Africa see: Beegle, Kathleen, Aline Coudouel, and Emma Monsalve. 2018. Realizing the Full Potential of Social Safety Nets in Africa. Africa Development Forum, Washington, DC: World Bank. © World Bank. https://openknowledge.worldbank.org/ handle/10986/29789 License: CC BY 3.0 IGO THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 23 by Cornell University of its area closures under which natural 2.6). This strategic direction aims to enhance socio-economic resource management measures have demonstrated significant resilience of the poorest in Sub-Saharan Africa to climate shocks, carbon sequestration. However, this has not been examined yet with effective short term and far-sighted response and delivery as a potential income to beneficiaries through certified carbon systems, and macro-fiscal resilience. Between FY21 and FY22, the capture, which could be envisioned as an enhanced livelihood portfolio had 166 projects focused on managing climate shocks opportunity through payment of ecological services. and risk governance, totaling US$ 19.8 billion, which is by far the highest amount of financing and projects under any strategic Targeted people-centered, community-led, customized direction (see Annex II). Many of these projects have a strong solutions and delivery mechanisms for climate actions are focus on introducing social inclusion programs, scaling-up disaster central to enhancing climate resilience in Sub-Saharan Africa. risk management systems and adaptive social safety nets and Climate change asymmetrically impacts the most vulnerable embedding climate change into educational programs. However, populations and can push sections of the population further into under IDA19, managing shocks has been well supported. The fourth poverty if unaddressed. As such, implementing strategies that policy commitment under IDA19 for the climate change special enable vulnerable populations to respond to climate shocks more theme was centered around supporting at least 35 IDA countries effectively is crucial. Interventions including introducing adaptive to reduce the risks of climate shocks on poverty and human capital social safety nets and other social inclusion programs have the outcomes by supporting programs that incorporate adaptive social power to transform the ability of the poorest households to recover protection into national systems or reduce climate threats to health. more quickly and effectively from climate shocks. This target was well-exceeded with many operations in the Africa region contributing. This is indicative of the need to support clients’ The NG-ACBP delivery on targets under the managing climate immediate needs in an environment of multiple compounding crises shocks and risk governance strategic direction is modest (Table while also building longer-term resilience. Table 2.6 Managing Climate Shocks and Risk Governance Targets Progress Target Target Objective Status Illustrative Project Example Number 1 150 million people have access to impact- In progress— P168608 Resilient Urban based warnings in at least 6 countries 600,000 people (in one Sierra Leone Project country)/150 million people 2 Timely and reliable forecasts and warnings are Approved— P174447 Eswatini—Economic Recovery made available at the national, regional, and 6/6 countries15 Development Policy Financing I local levels and efficiently reach end users 3 Weather, climate, and hydrological services In progress— P168908 São Tomé and Príncipe— for key sectors are developed, delivered, and 3 countries/TBD16 Additional grant for West Africa Coastal trigger coordinated decisions and actions Area Resilience Investment Project 4 Improved delivery systems for cash transfers In progress— P174260 Comoros Emergency DPO for and other social protection programs 6 countries/TBD17 Covid-19 response 5 Increased resilience among poor In progress— P169949 South Sudan Enhancing households across Sub-Saharan Africa 325,400 households/ TBD Community Resilience and Local Governance Project 6 Strengthened financing for disaster risk In progress— P175273 Rwanda Access to Finance for management and climate change adaptation 5 countries/TBD18 Recovery and Resilience Project 15 Burundi, Eswatini, Mozambique, Niger, São Tomé and Príncipe 16 Cameroon, Liberia, São Tomé and Príncipe 17 Angola, Cameroon, Comoros, Madagascar, Somalia, Zambia 18 Djibouti, Ethiopia, Kenya Rwanda, Somalia 24 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Woukpokpoe, Benin. Credit: Arne Hoel/World Bank 2.3.6 Mainstreaming Climate- designed to make polluting more costly while raising resources informed Macroeconomic Policies essential to finance development; and (2) reducing or eliminating into Institutions subsidies (or tax breaks) for fossil fuels. This mixture of explicit and implicit subsidies that encourage the overuse of fossil fuels (and Climate change, including the resulting weather shocks, have discourage investment in alternatives) can be reversed through economy wide-impacts that hit poor households especially the right fiscal policies. hard. African countries need to prepare fiscally for long-term climate change and accompanying climate shocks. Governments Besides tackling fiscal reform related to energy use, climate can support adaption to climate change by: (1) designing public can be integrated into broader policies to modify behavior investment policies and processes that are adapted to climate in positive ways, including through education and training change and which will ensure, for example, that new infrastructure on climate-related fiscal topics.  For example, Nigeria’s is built with the impacts of climate change in mind; (2) building Strengthening Fiscal Transparency, Accountability and buffers to cope with climate shocks, including fiscal reserves or Sustainability Additional Financing for Covid-19 Response national saving funds that can be tapped following shocks; and PforR (P174042, US$ 750 million) will support Nigerian states (3) implementing insurance mechanisms, such as catastrophe to include climate change budget tagging in their FY21 and bonds. Fiscal instruments—the tax and spending choices that FY22 annual budgets, subsequent presentation in their citizens governments make—are among the most effective means to budgets, and reporting in budget implementation reports. All tackle climate change and its impacts. Mainstreaming climate 36 states of Nigeria will be provided technical assistance on and macroeconomic policies into national institutions can play the identification of climate change related activities and an important role in mobilizing resources for climate action. Such expenditures and how these can be tagged in the budget in a regulations and policies include incorporating climate-related manner that can also allow subsequent monitoring of actual financial risks into governance, risk management, and reporting expenditures incurred against the allocations.  and disclosure practices of financial institutions, including commercial and investment banks, insurance companies, and Another way of supporting transformative climate actions is institutional investors. Financial system regulatory measures may through influencing the enabling environment for the adoption shift the allocation of capital towards climate change and must of climate measures, by strengthening the institutions and be considered going forward. For instance, one way is to get the partnerships that are promoting climate smart actions and price of pollution right while helping countries reap co-benefits policies. South Africa’s Covid-19 Response Development from reforms by: (1) introducing environmental tax reforms Policy Operation (P174246, US$ 750 million) includes support THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 25 Figure 2.6 DPO Financing for AFE and AFW FY21-FY22 $3500 Special Areas of Emphasis N=1 (Infrastructure) US$75M Special Areas of Emphasis (Macro) $3000 Ecosystem Stability N=1 and Water Security US$1.4B Millions of Dollars (US$ Million) $2500 Clean Energy and Energy Resilience Food Security and $2000 Resilient Rural Economy Resilient Cities and Green Mobility $1500 Managing Climate Shocks N=4 US$2.3B N=2 No Climate Action US$65M N=6 N=3 $1000 US$1.9B US$650M N=3 N=1 US$140M US$100M N=2 US$275M $500 N=1 N=2 US$400M N=2 N=4 US$100M US$60M N=2 N=3 US$222M N=2 US$490M N=1 N=1 US$250M $0 US$110M US$150M US$80M FY21 FY22 FY21 FY22 N=10 US$3.4B N=9 US$2.6B N=12 US$1.5B N=10 US$1.1B AFE AFW Fiscal Year (FY) by Region for a National Climate Change Bill which defines mechanisms The deepening of corporate climate commitments through and mandates for harmonization of climate change action across strategies has seen a growing emphasis for policy action government and sectors at local, provincial, and national levels. It through Development Policy Financing (DPF). In FY21, there provides the legal basis for the establishment of the Presidential were eight Development Policy Operations (DPOs) tagged Climate Commission for organized labor, civil society, and business for climate action in AFE with financing of US$ 3.35 billion, to advise on South Africa’s climate change response, and to serve representing 8 percent of projects in the region (Figure 2.6). as a national coordination focal point. The Bill charges South Managing climate shocks had the largest share of DPF funding Africa’s Department of Forestry, Fisheries and Environment with in FY21, followed by clean energy. In FY21, there were eight DPOs the responsibility to define, monitor and mainstream adaptation tagged for climate action in AFE with financing of US$ 3.35 billion, objectives into national planning instruments, policies, and programs, representing 8 percent of projects in the region. In AFW, 12 DPOs and to develop climate adaptation scenarios that anticipate the likely were tagged for climate action with financing of US$ 1.5 billion, impacts of climate change in the short, medium, and long term. It representing 12 percent of AFW’s portfolio for FY21. In FY22, AFE also calls for the creation of sectoral adaptation strategies in line had seven DPOs tagged for climate action with financing of US$ with the National Adaptation Strategy and Plan. Finally, to advance 2.5 billion and AFW had nine DPOs tagged for climate action South Africa’s greenhouse gas (GHG) mitigation commitment, the with financing of US$ 875 million. The majority of DPF funding Bill provides a legislative foundation for the creation of a national in AFE in FY22 went towards climate-informed macroeconomic GHG emissions trajectory, the allocation of sectoral emissions policies while in AFW ecosystem stability and water security had targets, and the allocation of carbon budgets, helping form the the largest share of DPF funding in FY22. cornerstone of South Africa’s GHG mitigation policy system, along with the previously legislated carbon tax. Figure 2.7 Three Types of DPOs Clear links with climate Unclear links with climate No direct links but foundational for climate Where we could do better Missed Opportunities The New Frontier 26 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Table 2.7 Examples of DPOs with Climate Related Policy Actions Project Focus of reforms West Africa Regional Energy Pillar 2: Implement least cost investment decisions that consider regional options and regulation Trade DPO that enable cross border trade. Promotes the development of renewable energy and the (P171225, US$ 300 million) integration of national and regional power supply options (mitigation). Adaptations benefits will be derived from more interconnected systems that will enhance the security of the energy supply. Mauritania 2nd Private Sector, Pillar 3: supports reforms to strengthen human capital and promote climate resilience. Digital, and Human Capital Improves the management of the impacts of climate-related shocks through establishing the Reform DPO institutional framework to respond to shocks affecting food and nutrition security (adaptation); (P171238, US$ 30 million) and a focus on greening jobs (mitigation) which will contribute to improving the quality and relevance of skills provided by the national education and training systems. Burkina Faso 3rd Fiscal Pillar 2: prior actions improve natural resource management and livestock productivity Management, Sustainable Growth, through securing state forests against land use change and increasing small ruminants’ and Service Delivery DPO resilience against climate and other shocks through supporting livestock vaccination, with (P173529 , US$200 million) mitigation and adaptation results Pillar 3: prior actions establish a national adaptive safety net system capable of responding to shocks—mostly to those related to climate change The NG-ACBP portfolio reveals that well-conceived policy of missed opportunities, while allowing for foundational non- reforms help transform climate action at scale while also climate reforms to pave the way for new frontier engagement enhancing climate co-benefits. For example, Mauritania’s on climate. DPOs generally fall into projects with clear links Second Private Sector, Digital, and Human Capital Reform with climate, unclear links with climate suggesting missed DPF (P171238, US$ 30 million) supports reforms to strengthen opportunities, and no direct links with climate but foundational human capital and promote climate resilience through establishing for development of climate action (Figure 2.7). For projects an institutional framework to respond to shocks and contributing to with clear links to climate, there is room to mainstream climate the national education and training systems. Through policy reform change into public investment management and bolster multi- and national level action this project addresses both adaptation and country sovereign disaster insurance. DPOs with missed mitigation, delivering climate co-benefits of 13 percent. opportunities can be reformed by private sector development moving from agriculture to urban services and safety nets Many DPOs are not linked to climate but are foundational for providing targeted relief to climate related risks. DPOs that are forming the basis for climate action. Lessons from Operations foundational for climate can be strengthened through budget Policy and Country Services (OPCS) retrospective reveal gains that transparency, financial management and accountability, and can be made on embedding climate policies through a range of sound macro-fiscal buffers. instruments and working across sectors. An OPCS retrospective suggests climate action through DPFs is yielding good outcomes. Climate informed macro policies are gaining traction However, more proactive action to harness missed opportunities in Bank operations as seen from the increase in the can be made to strengthen climate action. As such, both successful number of DPOs that focus on climate adaptation and and disappointing DPOs alike provide instructive lessons on how mitigation. The NG-ACBP special areas of emphasis focus to improve the World Bank’s approach going forward. Robust on bolstering climate-informed policies which lead to better evidence-base diagnostics using combination of sector-based fiscal management and improved environmental and social deep dives and economy wide macro-models will identify key outcomes; and yield multiplier benefits from green and transitions and policy recommendations to clients on raising resilient infrastructure. Between FY21 and FY22, the portfolio climate action and ambition to deliver low carbon climate resilient had 17 projects focused on climate-informed macroeconomic pathways in support of their NDCs and long-term strategies. policies, totaling US$ 4.3 billion (see Table 2.7 for examples). DPOs are increasingly delivering adaptation and mitigation Policy can be leveraged to strengthen DPOs by a three- outcomes through focused policy reform that address climate pronged approach. Such an approach may allow for vulnerabilities through system wide shifts. pragmatism and attention to the critical entry points and areas THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 27 2.3.7 Digital and disruptive technologies Enhancing Resilience Through Increased Connectivity, Social Inclusion, and Access to a Modernizing Economy Digital infrastructures and services support and help modernize developing countries’ economies by strengthening growth, reinforcing security, improving governance, and supporting efforts in key sectors. Leveraging digital technologies can result in indirect climate benefits when employed to improve vulnerable populations’ living conditions and their resiliency to climate shocks. Digital technologies can reduce vulnerability by enhancing social inclusion, through developing e-Government services such as e-Agriculture, e-Health, and e-Education, by reducing the gap in the access to, and use of, digital services between men and women and by supporting financial inclusion through access to mobile accounts and services. Digital communications, a spatial form of mobility that provides excellent connectivity for informal residents and slum-dwellers, provide safe, affordable, and low-carbon forms of movement. Digital financial services allow people to receive remittances or financial help more quickly in case of shocks and save money more regularly on their mobile money accounts, which can offer continuity during and after extreme weather events. For example, Leveraging digital technologies can result in indirect climate benefits. the Niger Smart Villages for Rural Growth and Digital Credit: Pressmaster/Envato Inclusion Project (P167543, US$ 100 million) fully demonstrates the benefits of systemic integration of digital technologies related change data and information with national country planning to reducing poverty and increasing incomes, which at the same processes. Increased use of digital technologies to substitute time will support vulnerable Nigeriens who are at risk of chronic for physical movement of goods and people can reduce GHG climatic shocks, through helping build the adaptive capacity of emissions. In particular, the focus on last-mile connectivity rural residents, particularly farmers, women and economically would reduce the need of rural citizens to travel to government disadvantaged persons, by giving them access to services that offices. Climate-friendly connectivity and digital consumption, could foster their resilience to shock, as well as by investing including e-waste management and energy efficiency in training in the connectivity infrastructure will help facilitate the use of activities, can also result in climate mitigation. Refurbishment of digital technologies for early warning and monitoring (and timely computers can prolong the lifetime of computers and reduce response) of climate-related impacts on agricultural production e-waste and subsequently emissions related to production and soil systems. of devices. Energy-efficient data centers will also reduce emissions. For example, the Madagascar Digital Governance Digital services can also have direct climate benefits in and Identification Management System (P169413, US$ 143 terms of resilience, as extended coverage and services million) project will contribute to increasing resilience to climate of broadband internet to remote areas will enable the change by reducing the vulnerability of the identity management creation of climate early warning and emergency response system and selected public services to natural disasters, through systems through the uninterrupted network available in the developing strong business continuity protocols for service aftermath of a disaster. In a deeper, more transformational interruptions that may result from climate-induced events. The way, integrating digital services can help build the institutional project will also leverage infrastructure, including the cloud, to capacity to coordinate and enhance mainstreaming climate protect critical data, records, and electronic service delivery change and natural disaster data, information, and considerations channels in the case of natural disasters or climate-related at the sector level, and to put in place mechanisms linking climate extreme events. 28 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 2.3.8 Climate Co-Benefits, Corporate Climate commitments and the IDA20 results measurement system, the Commitments and Climate Indicators World Bank requires all IDA operations from FY21 onward with more than 20 percent climate co-benefits to include at least one The AFE and AFW regions delivered strongly on climate climate-related indicator to increase the focus on climate outcomes. co-benefits in FY21 and ended FY22 with an even higher The World Bank hopes to comprehensively capture the results of percentage of co-benefits. The World Bank tracks climate its climate interventions using climate indicators. In FY21 and FY22 mitigation and adaptation co-benefits of the projects it finances for both AFE and AFW, there is 100 percent compliance to the through IDA and the IBRD. A development activity provides climate climate indicators commitment for IDA and IBRD operations. In co-benefits if it promotes mitigation or adaptation and meets the AFE, 31 projects and 27 projects for FY21 and FY22 respectively were requirements of the joint multilateral development bank (MDB) required to include at least one climate indicator, both of which have methodology for tracking climate change finance.19 It fosters been fully met. Similarly, in AFW, 31 projects and 25 projects for FY21 mitigation through efforts to reduce or limit GHG emissions or and FY22 were required to include at least one climate indicator, and enhance GHG sequestration that are compatible with low-emission again both targets have been fully met. development. It promotes adaptation if it explicitly intends to reduce the vulnerability of people or natural systems to the impacts of Climate indicators allow the World Bank to capture the climate change and risks related to climate variability. IDA-funded results of its climate interventions for projects with over 20 climate co-benefits in AFE’s FY21 deliveries increased somewhat percent climate co-benefits. For example, the Cameroon-Chad from FY19 and FY20 to reach 32 percent (US$ 4.9 billion) (Figure 2.8). Transport Corridor Project (P167798, US$ 538 million) which In FY21, AFE delivered 32 percent co-benefits and AFW delivered 29 aims to improve the efficiency and safety of regional trade transport percent co-benefits (Figure 2.9). In FY22, AFE reached 36 percent along the Douala-N’Djamena intermodal corridor has 72 percent and AFW reached 39 percent co-benefits. Notably, more than 50 climate co-benefits. As such, this project has a corresponding percent of co-benefit financing has consistently gone towards climate indicator that measures the length of railway track in supporting adaptation measures, which are a critical component kilometers that will be rehabilitated to climate resilient standards. of the region’s response to climate threats. In AFE, 54 percent (FY21) Another project with 62 percent climate co-benefits and a Climate and 55 percent (FY22) went towards adaptation. In AFW, 61 percent Indicator is the Democratic Republic of Congo’s National (FY21) and 54 percent (FY22) of co-benefit financing went towards Agriculture Development Program Project (P169021, US$ adaptation. Both AFE and AFW delivered impressive co-benefits in 500 million). The project aims to improve agriculture productivity FY22 and as such, the Africa region is strongly positioned to meet and market access of smallholder farmers in selected project areas. IDA20’s commitment of increasing climate co-benefits to equal 35 Through this project’s climate indicator, the project will measure percent on average over FY23-25. the yield of maize from incorporating climate-smart agricultural practices and technologies as a percentage. By measuring the The NG-ACBP has delivered strongly on climate indicators over number of kilometers that meet climate resilient standards and FY21 and FY22. Climate indicators monitor and track the progress the yield of maize linked to climate-smart agriculture, the World of climate results, measuring outputs or outcomes of mitigation Bank will be able to articulate with precision the tangible climate and/or adaptation interventions in projects. Under the IDA19 policy benefits that these projects will achieve. Table 2.8 Climate Co-benefits FY21-22 Africa Region FY Region Total IDA/ Total IDA/ Total Total % IDA Co- % IBRD Co- % IDA/IBRD IBRD IBRD Climate Adaptation Mitigation benefits over benefits over Co-benefits Commitment Co-Benefits (US$ (US$ IDA Total IBRD Total Over Total (US$ million) (US$ million) million) million) Commitment Commitment Commitment 21 AFE 15,615 4,938 2,669 2,269 32 25 32 AFW 11,455 3,362 2,071 1,291 29 44 29 22 AFE 18,176 6,479 3,586 2,892 37 30 36 AFW 12,599 4,897 2,657 2,240 38 53 39 19 2020 Joint Report on Multilateral Development Banks’ Climate Finance (to be found at: https://thedocs.worldbank.org/en/ doc/9234bfc633439d0172f6a6eb8df1b881-0020012021/original/2020-Joint-MDB-report-on-climate-finance-Report-final-web.pdf THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 29 Figure 2.8 AFE Trends in Climate Co-benefit Investments FY20-FY22 25 40% 36% Total Mitigation (US$ billion) 35% Total Adaptation (US$ billion) 32% US$6.5B 20 30% IDA/IBRD Climate Co-Benefits (US$ billion) Percentage of Climate Co-Benefits 30% IDA/IBRD Commitment (US$ billion) US$4.9B Billions of Dollars (US) IDA/IBRD % Climate Co-Benefits 25% 15 US$3.3B 20% 10 US$18.2B 15% US$15.6B US$11.1B 10% 5 US$2.9B US$2.3B 5% US$1.1B US$3.6B US 1.9B US$2.7B 0 0% FY20 FY21 FY22 Fiscal Year (FY) Figure 2.9 AFW Trends in Climate Co-benefit Investments FY20-FY22 39% 40% 25 Total Mitigation (US$ billion) 35% Total Adaptation (US$ billion) 20 IDA/IBRD Climate Co-Benefits (US$ billion) Percentage of Climate Co-Benefits 29% 30% 28% IDA/IBRD Commitment (US$ billion) Billions of Dollars (US) IDA/IBRD % Climate Co-Benefits 25% 15 US$4.9B US$3.4B 20% US$2.8B 10 15% US$12.6B 10% US$11.5B 5 US$9.7B US$2.2B US$1.3B 5% US$1.2B US$2.1B US$2.7B US 1.5B 0 0% FY20 FY21 FY22 Fiscal Year (FY) Factory workers producing shirts for overseas clients, Accra, Ghana. Credit: Dominic Chavez/World Bank THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 31 3. Country Engagement Products and Client Engagement 3.1 Country and Climate Development Reports The Country and Climate Development Report (CCDR) is a identifying opportunities that can be tapped. The content and country analytics product that highlights the intersection analysis of the CCDRs differ based on the level of development of between climate and development to help inform systematic the country and its development goals, vulnerabilities, emissions country diagnostics (SCDs) and country partnership per capita, and available evidence. frameworks (CPFs). CCDRs: (1) help identify opportunities for climate action by the public and the private sector, so that The first eight CCDRs for sub-Saharan Africa were each country’s development goals can be achieved in the context completed at the end of FY22. One CCDR, the G5 Sahel, was of sustainability; (2) draw on existing analytics and emissions a regional report and covered five countries, meaning that data; (3) capture the interplay between green, resilient, and twelve countries in total were covered by CCDRs in FY22. In inclusive development, country’s development goals and climate FY22, the CCDRs covered Cameroon, Ghana, and the G5 Sahel change, in the context of the Paris Agreement and the World (Burkina Faso, Chad, Mali, Mauritania, and Niger), Angola, Malawi, Bank’s commitment to align its portfolio to its objectives; (4) Mozambique, Rwanda, and South Africa. Nine more CCDRs in the analyze how the country’s development goals can be achieved region are set to be carried out in FY23, including Cote d’Ivoire, in the context of mitigating and adapting to climate change; (5) Guinea-Bissau, Liberia, Republic of Congo, Democratic Republic consider and reflect the country’s commitments as embedded in of the Congo, Kenya, Madagascar, Mozambique and Zimbabwe. their nationally determined contributions (NDCs) or longer-term domestic and international commitments; and (6) identify ways The robust CCDR diagnostics reinforce the messages and to support implementation through public and private sector priorities in the Next Generation Africa Climate Business solutions. CCDRs are also critical for addressing climate as a Plan—that tackling the climate crisis in Africa centers around key facet of development objectives. Climate and development good development that builds resilience to climate risks and are becoming increasingly intertwined and cannot be divorced avoids locking into a carbon intensive growth path. Table 3.1 from one another, and as such need to be addressed together to summarizes the key action areas and recommendations of the achieve robust and long-term solutions to pressing challenges. CCDRs. The results reinforce the importance of management CCDRs are designed specifically to tackle disconnects between of the natural capital and the land-water-food nexus, increasing climate and development policies, identify the highest-impact access to clean energy, building green and resilient cities and actions to reduce greenhouse gas (GHG) emissions, and build infrastructure (physical capital), and investing in human capital climate resilience. They add value by drawing out potential as the engines of the structural transformation and pathways to inconsistencies or feasibility issues and correcting them, and by resilient and low-carbon economies. 32 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Table 3.1 Strong alignment of CCDR recommendations with the NG-ACBP CCDR Country Recommendations Mozambique Cameroon G5 Sahel* Rwanda Malawi Angola Ghana Strategic Directions under the Next Generation Africa Climate Business Plan FOOD SECURITY AND A RESILIENT RURAL ECONOMY On-farm and productive landscape solutions­—climate smart agriculture Land-Water-Food Nexus Food value chain solutions­—end to end agric. value chains delivery systems Natural Capital & the Secure enabling solutions—macro-policy and planning ECOSYSTEM STABILITY AND WATER SECURITY Natural capital, macro and sectoral policy Landscapes, seascapes and watersheds Water security CLEAN ENERGY Transitions to Drive Energy Access and (Physical Capital) Renewable energy supply Green Solutions Electricity systems planning Enhanced policv that enables low-carbon development pathways RESILIENT CITIES AND GREEN MOBILITY Policy reform and planning climate smart urban & mobility transitions in place People Centered Climate Action and Solutions (Human Capital) Knowledge and data design of climate-smart investments Skills, talent and workforce in climate smart jobs Catalyzing financing and partnerships MANAGING CLIMATE SHOCKS AND GREEN GOVERNANCE Targeted people-centered, community-led, customized solutions and delivery mechanisms for climate actions Information systems for early warning and decision support Institutional and policy response to climate shocks (and pandemics) SPECIAL AREAS OF EMPHASIS informed Climate- Policies Climate informed macroeconomic policies Macro Green and resilent infrastructure *G5 Sahel as a regional CCDR includes Burkina Faso, Chad, Mali, Mauritania, and Niger THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 33 3.1.1 Key Findings From The First Round stable under climate change and avoid dependency on fossil fuels. of CCDRs Countries such as Angola, Mozambique, Ghana, Mauritania, and South Africa, have oil and gas economies where just transitions Climate change could induce gross domestic product (GDP) can avoid lock-in and stranded assets, while revenue streams annual losses ranging between 2 and 12 percent by 2050 and from fossil fuels must support diversification and productive drive millions more people into poverty. Climate change shocks climate aware investment. However, significant external support will drive 13.5 million people across the Sahel into poverty by 2050 if will be needed for just transitions under the Paris Agreement. no action is taken. In Ghana and Cameroon, climate related damages could increase poverty rates by at least 2 percent by 2050, impacting Strengthening the institutional capacity of countries around one million people directly in each country. These are through better planning, delivery, and management of conservative estimates, as they do not consider deep uncertainties human, natural and physical assets is going to be key for regarding future climate impacts (including those beyond 2050), addressing climate change. In the G5 Sahel countries, there risks of catastrophic outcomes due to tipping points, and the costs is a need to create some of the institutions, capabilities, and of biodiversity loss that affect the welfare of individuals. planning processes currently absent, to realize their climate and development goals. The social protection system is central to Rapid resilient, and inclusive growth is both the best form Malawi’s institutional capacity to protect the most vulnerable of adaptation to climate change and the best strategy for populations and build their resilience, and it underpins other meeting development goals but will require concerted key adaptation measures. Improving the multilevel governance action. In the Sahel, where food security remains a challenge, framework and undertaking reforms to strengthen national adaptive social protection will continue to be important, but and local institutional capacity will facilitate the transition in economic diversification, water security, and land management Cameroon and Mozambique. must remain a priority. Ghana’s CCDR calls for an adoption of an integrated approach to agriculture and the environment, building Mobilizing climate financing to meet countries’ gaps for sustainable cities and infrastructure and boosting disaster NDCs and more ambitious climate actions, including from preparedness. In Malawi, restoring degraded landscapes is crucial the private sector, is key especially in the near term. With to preserving its natural capital, boosting crop productivity, and a price tag of US$ 11 billion over the next 10 years, Rwanda calls building climate resilience—whereas increased land degradation for policy reforms to develop a green finance market as part of could increase inland flooding by as much as 25 per cent by 2050. broader capital market development to mobilize financing. In the G5 Sahel countries as much as US$ 16 billion will be needed African countries’ contribution to global CO2 emissions between now and 2030 for adaptation measures in these remains small, but proactivity in managing physical and countries. In Cameroon, the growth rate could more than double transition risks can bring large opportunities for early (to 9 percent) with investments of US$ 58 billion in adaptation adopters and avoid lock-ins. For example, Cameroon has and mitigation interventions, when combined with a switch in huge prospects for hydroelectric power which would allow the the development model. country to leapfrog into a renewable energy source that remains 34 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 3.2 SCDs and CPFs SCDs and CPFs products are the foundation for the World (4) strengthen climate resilience in climate-vulnerable sectors such Bank’s engagement with each country. Appropriately as agriculture, land-use, water, wastewater, and sanitation sectors. integrating climate change into these products can help link The World Bank will also facilitate the mobilizing of resources to development plans and strategies with climate priorities, finance climate adaptation and mitigation. The results framework strengthen dialogue on climate change, as well as drive and includes climate linkages across multiple objectives, with Objective track climate action. SCDs and CPFs are also a good opportunity 1.2 specifically focused on “Greater climate change resilience and for engagement on country NDCs and their implementation. environmentally sustainable investments in selected sectors”. Climate indicators measure battery energy storage capacity, GHG Africa SCDs and CPFs have been increasingly addressing emissions reductions and reporting, protected management of climate change over the last few years. Over FY21 and FY22, land area, and just energy transition. The CPF also notes the 11 SCDs (Kenya, Eswatini, Namibia, Mozambique, Sao Tome differential impact of climate change on men and women and and Principe, Uganda, Lesotho, Mauritius, Chad, Madagascar, supports gender-sensitive strategies for climate adaptation and Cameroon) and nine CPFs (Rwanda, Comoros, Central African resilience of women and girls. Republic, Nigeria, Malawi, South Africa, Democratic Republic of Congo, Ghana, The Gambia) were approved by the Board. With Performance and learning reviews (PLRs) of CPFs also respect to corporate commitments, in FY21 and FY22, 100 percent provide an opportunity to assess progress on climate- of these Board-approved Africa SCDs and CPFs incorporated related objective and indicators as well as strengthen the climate and disaster risk considerations and reflected NDC narrative and results on climate change, based on recent priorities. In line with the WBG CCAP 2.0 and IDA19 commitments, latest climate developments. For example, as countries update 100 percent of Board-approved Africa CPFs in FY21 and FY22 also their NDCs, these can be appropriately reflected in the PLR incorporated a climate and NDC-related objective and indicator. narrative, and be addressed through new or revised indicators. In cases where climate linkages are weak or missing altogether, Looking at specific examples, the FY22 Chad SCD Update the PLR presents an opportunity to recalibrate and recognize strongly integrated climate change across the narrative the importance of addressing climate change. and solution areas. It identified Chad’s extreme vulnerability to climate change as one of three additional binding constraints The recent Niger PLR (for CPF FY18-FY22) extended the CPF to poverty reduction. The proposed key prerequisites to and proposed adjustments to enhance the focus on climate seize opportunities included adapting to climate change and change and resilience. Climate change was discussed under improving natural resources management, while emphasizing the the PLR’s Emerging Country and Development Issues section, need to promote a green economy to address climate change. particularly the challenges to agricultural productivity, food security, Importantly, it also recommended reducing the environmental sustainable poverty reduction, and fragility. The PLR mentions footprint of the oil and gas sector and pursuing economic Niger’s revised and updated NDC and the World Bank’s continued diversification as well as a planned transition away from fossil support to Niger’s NDC implementation. The FY22 Sahel G5 CCDR fuels, while addressing transition risks such as stranded assets. and the Niger Country Environmental Analysis (CEA) were identified as sources of stronger climate knowledge and analytics for future South Africa’s CPF (FY22-FY26) supports the country’s engagements to draw from. In addition, the PLR also proposes ambitious climate agenda through a complete World Bank increased investments in large-scale, integrated programs to approach, mapping existing and future engagements across strengthen climate resilience. New indicators were introduced to the four practice groups, organized around four themes track early warning and response systems, watershed and water (Annex 6). Climate change was identified as a binding constraint resource management, and land restoration. to inclusive and sustainable economic growth in the SCD, which is reemphasized in the CPF, highlighting the need for decisive While these examples show good progress, with climate reforms and a climate-smart transition. The CPF aims to: (1) change increasingly being reflected in country engagement support the government in integrating climate risks into macro- products, there is room for improvement and a need for fiscal planning and infrastructure investment and effectively additional diagnostics. The CCDRs will serve as useful resources implementing its climate change policy and strategy; (2) support for upcoming country engagement products to strengthen the implementation of South Africa’s NDC commitments through link between climate and development priorities. Going forward, a carbon tax, sector emission and energy efficiency targets, climate change needs to be more systematically integrated in firm-level carbon budgets, scaling-up renewable energy, and scope, depth, and scale in country engagement products.  carbon capture and storage; (3) support achieving a secure and sustainable energy mix while ensuring a just energy transition; and THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 35 3.3 NDCs Countries in Sub-Saharan Africa are working towards of government agencies, institutional processes, and updating versions of their NDCs to address adaptation and collaboration across key stakeholders to support the the transition to low-carbon and resilient economies more implementation of their NDCs. For example, technical ambitiously. The first set of NDCs were submitted in 2015 in the assistance support has supported institutional mainstreaming lead-up to COP21, many of which were criticized for their lack of of climate considerations into planning and budgeting processes ambition and for failing to articulate how exactly the NDCs would through dedicated and hands-on capacity enhancements reduce emissions in a way that was consistent with meeting (Benin, Ethiopia, Guinea, Niger, Uganda) and demonstrated the development objectives.1 In 2020, countries were invited to viability of public investment management focused on green update their first NDCs. The updated NDCs are generally more investments through pilot feasibility studies (Zimbabwe). At ambitious than the first round of reports, with countries setting the same time NDC support has also sought to enhance private more rigorous emission reduction targets and adaptation goals. sector participation (Benin, Ethiopia, Guinea, Niger, Rwanda), All 48 countries in the region have submitted their first NDCs, including through the development of new instruments and with seven countries of those countries (Botswana, Cote D’Ivoire, innovative structures (such as the Rwanda Green Fund). In Eritrea, Equatorial Guinea, Gabon, Lesotho, and Madagascar) yet some cases, technical assistance is supporting the roll-out to produce an update.2 The other 41 countries in the region have of a country’s long-term development plan in line with the submitted an updated version of their NDCs, with the Central NDC commitment (such as Uganda and its Third National African Republic the most recent country to submit its update Development Plan). In another, the support has helped to in January 2022. embed the NDC into the country’s long development plan (such as Ethiopia’s 10-year development plan) and is informing the The World Bank continues to provide support to countries framing of a forthcoming development policy operation in the that are working towards emissions reduction goals as set latter. In Uganda, the NDC program support was linked to the out in their updated NDCs. The World Bank’s support reflects Uganda Programmatic Advisory Services and Analytics (ASA) NDC submissions made in 2015 and subsequent updates and and the investment on forest resilient landscapes. Technical extends to technical support towards the achievement of climate assistance is also enabling knowledge exchange in Benin and goals set out in the NDC. The support for this technical assistance Niger, and supporting participation in international negotiations is provided by the NDC Support Facility (NDC-SF)—a trust in Burkina Faso. In Benin, technical assistance is being provided fund now placed under the umbrella of the Climate Support to streamline environmental fiscal policies to advance climate Facility (CSF) which seeks to align green economic recovery mitigation activities. In Burkina Faso, support is being provided efforts with countries’ national climate goals and long-term, low- to the government to invest in GHG mitigation activities and carbon, climate-resilient strategies. Activities of the NDC-SF are overall improvement of measuring, reporting, and verification implemented in close coordination with country engagement (MRV) systems to centrally monitor all agriculture, forestry, and processes of the NDC Partnership—a global coalition of other land use (AFOLU) operations. countries and institutions, including the World Bank. The World Bank is currently engaged with ten countries in AFE and five The implementation of technical assistance projects has countries in AFW to advance the implementation of their NDCs provided valuable lessons to inform current and future with US$13.4 million and US$ 1.84 million in trust fund financing activities around NDCs. Mainstreaming NDC priorities into per region, respectively (see Annex 2). The World Bank is national development strategies and plans can strengthen buy- supporting analytics, advisory and capacity building efforts in the in on climate action from planning and sector ministries. This region to advance climate action and is making strides through requires a strategic approach that leverages time-sensitive multi-sectoral interventions that are mainstreaming climate into opportunities in countries’ development planning, budgeting, and countries national development plans, institutionalizing climate macro-fiscal planning. At the same time, focused interventions considerations in planning processes, developing renewable and analytics are critical to deepen engagement on key areas energy roadmaps, and increasing engagement with the Ministries based on strong national evidence where knowledge gaps of Finance on climate-informed macro considerations. exist, and to support targeted capacity building around these products. In addition, scaling up MRV systems can help increase The technical assistance programs are supporting the transparency and accountability of NDC implementation. analytics, advisory and capacity building projects that MRV systems can also serve to demonstrate a country’s climate are strengthening the enabling context and capacities action, fostering trust among donors—ultimately leading to 1 World Bank Group. 2021. COP26 Climate Brief: Expanding WBG Support for Country NDCs and LTSs 2 Climate Watch. 2022. Explore Nationally Determined Contributions. https://www.climatewatchdata.org/ndcs-explore 36 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN access to finance. The implementation of NDC roadmaps NG-ACBP nexus, the World Bank has a strong foundation that can foster participation of diverse stakeholders, beyond the can be leveraged to strategically deliver on the NDCs and climate traditional Ministries and include Ministries of Finance who are change objectives more broadly. crucial to the discussion, and sub-national levels of government— including civil society, academia, and the private sector. Further, The World Bank is currently engaged in supporting strong inter-sectoral coordination and broad stakeholder countries on their NDC engagement in both AFE and engagement is crucial to ensure government ownership, and AFW (Table 3.1). AFE is currently working in ten countries the NDC engagement provides a platform to foster this. Legally to advance implementation of their NDCs with trust fund formalizing national inter-sectoral committees for climate funding of US$ 13.4 million. The World Bank is supporting change can galvanize climate actions. Moreover, a specific analytics, advisory and capacity building efforts to advance challenge that can counter the value-contribution of NDC climate action. These activities represent a combination of engagement lies in the (mis)perception that these small technical demand driven and supply driven activities. The World Bank assistance initiatives are not aligned with existing modalities and is having substantive engagement in some countries (Rwanda, business models, and the World Bank’s larger vision. Additional Ethiopia, Uganda, South Africa, Seychelles, and Botswana) and challenges include limited World Bank budget and stretched is making strides through multi-sectoral interventions that are capacity on the client front. mainstreaming climate into countries national development plans, institutionalizing climate considerations in planning and The World Bank and the NDC Support Facility (NDC-SF) are budgeting processes, developing renewable energy roadmaps, providing technical assistance in the form of ‘Deep Dives’ and increasing engagement with the Ministries of Finance on on NDC development and enhancement in Rwanda and climate-informed macro considerations. The timing is now right South Africa. In Rwanda, the NDC Deep Dive is working on to shift towards more strategic dialogues and engagement in enhancing the government’s capacity for financial innovation countries to upscale countries’ NDC ambitions—especially in to accelerate action on adaptation and mitigation.3 The NDC- response to their increased ambition in updated NDCs. Four SF is helping to identify, design and operationalize financial countries in AFE have submitted their NDC updates (Rwanda, instruments and initiatives to leverage private sector climate Ethiopia, Zambia, and Kenya) and South Sudan has recently investments in transportation, water, waste, energy, forestry, submitted its first NDC. AFW is currently working in five and disaster risk management, and risk financing sectors. The countries to advance implementation of their NDCs with trust work will bolster Rwanda’s resilience and help support goals as fund funding of US$ 1.84 million. The World Bank’s engagement outlines in Rwanda’s revised NDC. In South Africa, the NDC Deep in Benin, Burkina Faso, Republic of Congo, Guinea, and Niger has Dive is focusing on three pillars: (1) integrating climate change focused on strengthening the enabling context and capacities of into macro-fiscal planning to support transformative policy government agencies, institutional processes, and collaboration development; (2) assessing infrastructure investment needs; across key stakeholders. It has supported the institutional and (3) targeting sectors at the intersection of land use, water, mainstreaming of climate considerations into planning and and energy as priority action areas. South Africa’s Deep Dive is budgeting processes, and supported the enhancement of well positioned to support a resilient and sustainable recovery private sector participation, through the development of new by implement a green fiscal policy response and just transitions instruments and innovative mechanisms. In some countries in key areas, including water, agriculture, and energy. technical assistance is supporting the design of MRVs which are a critical pillar of NDC implementation, and for baseline and The World Bank has significant opportunity to ramp up monitoring including GHG inventories. engagement on climate change on NDCs through CCDRs. The CCDRs are expected to play a critical role in helping countries The NG-ACBP portfolio is making strides through multi- development, update, and implement their NDCs, particularly sectoral interventions that are mainstreaming climate into by identifying opportunities and trade-offs in reducing GHG countries national development plans, institutionalizing emissions.4 The integration of NDCs into CCDRs will reduce climate considerations in planning and budgeting processes, the current siloed natured of NDCs from national development developing renewable energy roadmaps, and increasing policies and economic strategies to address climate change engagement with the Ministries of Finance on climate- with a more cohesive approach. The NG-ACBP is well positioned informed macro considerations. For example, Rwanda’s to support delivery on NDCs as the plan calls for at least ten Energy Access and Quality Improvement Project (P172594, strategic NDC engagements to inform increased ambition on US$ 150 million) project will finance some of the most important low carbon climate resilience, which can be scaled-up to further mitigation actions under Rwanda’s revised NDC through the align with IDA20 priorities. Through the CCDR, NDC, IDA20 and purchase of emission reduction credits by the Carbon Initiative 3 World Bank. 2021. The World Bank NDC Support Facility: Impacts and Lessons Learned supporting NDC Implementation. World Bank, Washington, DC. 4 World Bank 2020: Next Generation Africa Climate Business Plan – Ramping Up Development Centered Climate Action. World Bank, Washington DC. THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 37 for Development. The West Africa Regional Energy Trade supporting the enabling context to address systemic issues Development Policy Financing Program (P171225, US$ 300 to institutionalize at scale, working across sectors within the million) will aim to enable regional power trade which will assist country and leveraging multiple Global Practices as relevant, countries to meet or exceed their NDCs commitments, by keeping an eye out for ‘bankable investment and policy reforms’ accelerating the up-take of least cost renewable generation, and nurturing climate smart investments, and keeping CMUs rationalizing the use of energy resources (avoided generation) involved and engaged from the outset. The World Bank has made and displacing expensive and high-emitting oil-based capacity a concerted effort to go beyond projects to address systemic in the regional energy mix. The project serves as an example of issues in countries that have prevented institutionalization of referring to NDCs at high level as it states the sector specific aims climate smart initiatives at scale. as outlined in the NDCs of countries in AFW and the expected outcome with reforms that enable trade. Projects that refer While the Bank continues its NDC engagement across to NDCs in a strategic context include Ethiopia’s Resilient several countries, this area requires sustained and more Landscapes and Livelihoods Project - II (P174385, US$ 178.24 integrative engagement going forward, building on the million) which is designed to contribute to the country’s key CCDRs. The NG-ACBP calls for at least 10 strategic NDC national strategies, including its NDC. Similarly, Mozambique’s engagements under the plan and sets out a solid foundation Economic Linkages for Diversification Project (P171664, from which NDC engagement can be scaled-up and depended US$ 100 million) is aligned with the country’s NDC and National at the country level. Sub-Saharan Africa’s new round of Climate Change Strategy to increase resilience in communities engagement should be selective and focus on: (1) removing and the national economy, including reduction of climate risks. critical barriers and support systemic shifts to institutionalize climate mainstreaming; (2) lifting climate ambition through The World Bank’s engagement on NDCs in Sub-Saharan engagement on countries long-term strategies that link the Africa has brought value-addition by strengthening green and resilient agenda; and (3) driving transformation at the enabling context to mainstream climate action as scale by leveraging the World Bank’s comparative advantage an economy wide issue—leveraging the World Bank’s through delivering policy reforms and investments that comparative advantages. This has been achieved through support action at scale, including through leverage from the engaging Ministries of Finance and Planning from the outset, private sector. Woman taking delivery of store merchandise, Ghana. Credit: Arne Hoel/World Bank 38 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 3.4 Advisory Services and Analytics (ASA) The NG-ACBP is levering ASA to deliver lending, analytical Community (SADC). SADRI focuses on the three key pillars of and advisory services and knowledge sharing to drive cities, energy systems and livelihoods and food security through climate action and mainstreaming throughout its portfolio a comprehensive resilience building strategy. to advance countries’ development agendas. The World Bank is providing ASA to support design and implementation of ASA also exemplify integrative showcase projects that better policies, strengthen institutions, build capacity, inform address climate risks through effective solutions and development strategies or operations, and contribute to the policy reforms that can extend to other countries in the global development agenda. ASA outputs include analytical region. The Transforming Agribusiness in Nigeria for reports, policy notes, hands-on advice, and knowledge-sharing Inclusive Recovery, Jobs Creation, and Poverty Reduction: workshops or training programs. Policy Reforms and Investment Priorities ASA exemplifies this approach by illustrating the potential of the agribusiness ASA for sub-Saharan Africa continue to enhance specialized sector to accelerate inclusive growth, create jobs, and reduce knowledge and draw out cross-sectoral collaboration poverty. This ASA suggests that value chains with the most throughout the World Bank that build towards the unifying potential to pursue one policy objective are not necessarily goal of increasing climate resilience. Specialized sector or as effective for other objectives, clearly calling for selectivity thematically focused trust funds, such as the Africa Climate of value chains, depending on policy objectives. The findings Investment Facility (AFRI-RES), are important resources for from this ASA can inform strategies and policy objectives for creating robust analytics and building capacities. They are the many countries in sub-Saharan Africa that are seeking to contributing to knowledge products (such as the resilience diversify their economies into sectors such as agribusiness and booster tool, the climate and health vulnerability assessments and manufacturing. Similarly, the ASA on the Sahel ‘The Urban Link, sector guidance notes (forthcoming) and capacity enhancements Transforming Rural Economies, Addressing Fragility’ has provided to embed resilience into the design and deliver of projects. The an understanding of, and proposes principles for, development Southern Africa Drought Resilience Initiative (SADRI), which of Sahelian cities and their surrounding hinterland based on was launched in 2020, aims to build analytical and institutional territorial endowments, urbanization, migration, and trends and foundations to catalyze national and regional investments in drivers of conflict and climate change which has since influenced drought preparedness. SADRI will help lay the foundation for a the design of projects in Niger, Burkina Faso, and Chad. The study more resilient region to the multisectoral impacts of drought has also led to an increase of interest in the role of border towns that effect sixteen states in the Southern Africa Development in regional economic and social development. 3.5 Trust Funds and Financing African countries urgently need access to finance to adapt lead on climate financing. In FY21, there were 51 trust funded to climate change and shift to a low-carbon growth path. projects with US$ 1.1 billion in financing, dropping dramatically to Climate financing pledges have been slow to materialize and a mere 14 projects in FY22 with US$ 308 million in financing. The there is a growing urgency to filling this gap. While the World decrease in trust fund financing juxtaposes a notable US$ 3 billion Bank remains the largest financier of climate action in the region, increase in International Development Association (IDA) and climate financing is not keeping pace with the large and growing International Bank for Reconstruction and Development (IBRD) demand. Trillions of dollars are needed to fund mitigation and financing in FY22. These numbers indicate that the World Bank adaptation measures on the continent which requires collective remains the primary financer on climate action for the region but global action for these pressing needs to be met. More climate- highlights the critical need for partners to step up and offer much- smart financing from private and public sources is needed, but needed financing. Private sector participation remains essential for barriers to accessing quality finance to support the delivery of addressing climate action in Sub-Saharan Africa. Recognizing that climate action and sustainable development remain despite the IBRD and IDA funding will not be enough to respond to the scale of amount of climate finance increasing. the financing needs, the World Bank will use limited concessional resources to leverage other sources of finance, particularly from Trust fund financing witnessed a sharp drop in FY22 which the private sector. To attract large amounts of private finance, raises the question of which institution should be taking the the World Bank will support countries by providing financial THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 39 instruments to mitigate renewable energy investor risks. These natural disasters and health-related events. It serves as early include supporting special purpose vehicles and escrow accounts financing while funds from other sources such as bilateral aid to mitigate investor risk, as well as restructuring utility debt and or reconstruction loans are being mobilized. The CAT DDO is aiding financial recovery to reduce off-taker risk for Independent most effective as part of a broader risk management strategy in Power Producers and enforce payment discipline. The World countries highly exposed to natural disasters, including health Bank will work with Multilateral Investment Guarantee Agency related events. So far only a few CAT DDOs have been deployed (MIGA) and International Finance Corporation (IFC) to provide risk in the Africa Region. The current AFW FY21 pipeline portfolio guarantees, strategic concessional financing, and blended climate includes the Senegal Disaster Risk Management Development finance maximizing synergies with relevant trust funds, with the Policy Credit with Cat DDO (P172332, US$ 90 million) which will Green Climate Fund and with the forthcoming Climate Investment be the fourth CAT DDO in the Africa Region, and the second in Facility investment program on renewable energy integration.  West Africa (18 have been implemented globally). Specifically, this CAT DDO has integrated the following elements in its design: Innovative financing mechanisms can help to manage (1) sufficient preparatory work, stakeholder consultations and disasters and climate risk using an array of financial technical support to enhance the Government’s understanding protection policies and instruments, including sovereign risk of the CAT DDO instrument and foster ownership of the reform finance, social protection programs, and agriculture and risk agenda; (2) parallel technical assistance support during the life insurance programs. Through the Africa Disaster Risk Financing of the CAT DDO to help achieve the reform program’s targets Initiative (ADRF), the World Bank supports the development of while at the same time building local capacity, which will be useful multi-risk financing strategies to help African countries make to bolster reforms and enhance sustainability and achievement informed decisions and to mitigate the socioeconomic, fiscal, of medium- and long-term goals and reforms, and improve the and financial impacts of disasters, thereby increasing climate ability to measure outcomes; (3) complementarity with ongoing resilience. Some of the financial instruments the World Bank World Bank investment projects for mutual leverage in achieving deploys to this purpose as part of their risk management lending development objectives; 4) the need to position the CAT DDO strategy include Contingency Emergency Response Components within a broader disaster risk financing strategy; and (5) the need (CERCs) and Catastrophe Deferred Drawdown Option (CAT to address the ongoing exceptional external crisis COVID-19. DDOs). A CAT DDO is a contingent financing line that provides immediate liquidity to countries to address shocks related to Kounda Asmaou collects clean water, Badnoogo village, Burkina Faso. Credit: Dominic Chavez/World Bank THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 41 4. Strategic Framework and Forward Look 4.1 Leveraging IDA20 The Next Generation Africa Climate Business Plan new cross-cutting issue (see Figure 4.1). Human capital joins (NG-ACBP) was conceived to cover two International climate change, gender and development, jobs and economic Development Association (IDA) cycles (IDA19–20; FY21–26) transformation, and fragility, conflict, and violence (FCV) as and serve as a dynamic document that adapts its approach special themes. Crisis preparedness joins debt and technology to align with new developments and updated IDA priorities as a cross-cutting issue, and governance and institutions has (Figure 4.1). The IDA20 replenishment was advanced by one transitioned from a special theme to a cross-cutting issue. It year to due to COVID-19 and the urgent development needs of is expected that 70 percent of IDA20’s US$93 billion financing countries to cover the period from July 1, 2022, to June 30, 2025. will go to African countries, a substantial portion of which will The IDA20 overarching theme is Building Back Better from the go towards tackling climate change, with a concerted focus Crisis: Toward a Green, Resilient and Inclusive Future. It introduces on helping countries adapt to intensifying climate impacts and human capital as a special theme and crisis preparedness as a natural hazards. Figure 4.1 Progression of the Climate Change Special Theme from IDA16-20 IDA-17 Horizontal expansion. IDA-19 Focus in interlinkages CASs include CC, DRM; with SDGs, poverty, actions for screen projects; support IDA economic transitions, link CPFs countries on energy action to NDCs, 30% co-beneift target plan, Track climate finance Driving Transformation Targeted Climate to Scale Sectoral Mainstreaming Approach Deepend Climate Country Mainstreaming Engagement IDA-20: Scale up IDA-16 Special CC theme IDA-18 Horizontal and vertical integration, scale introduced, focus on ASAs. expansion. SCDs, CPFs integrate & impact. Focus on CASs; calls for benchmark CC, DRM, quantitative targets sustem transitions, 35% of climate financing. No on NDCs, CSAs, RE (5gW) RE, climate co-benefit, Quantitative targets. Track climate finance multiple system targets 42 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN The NG-ACBP framework provides for substantial linkages Figure 4.2 IDA20 Special Themes and Cross- of climate with the four other special themes under IDA20. Cutting Issues Human capital is directly challenged in the face of climate change, with impacts on childhood stunting, malnutrition, and the spread of diseases. Gender and development are key for embedding integrative cross-cutting solutions that are gender-sensitive and inclusive in development initiatives and identifying synergies across adaptation and mitigation solutions. FCV can compound climate vulnerability and contribute, or even lead to, conflicts Jobs and Economic over limited or transboundary resources. Equally, climate change Fragility, Conflict Climate Change Transformation Human Capital and its impacts disproportionately effect poor and vulnerable Development and Violence Gender and communities, further jeopardizing already marginalized populations. At the same time, climate change can engender diversification of jobs into less climate intensive sectors or even the creation of green jobs both in rural and urban contexts. Crisis Prepardness Aligning urban transitions with climate-informed strategies can Governance and Institutions provide a win-win scenario to secure cities as engines of growth Debt and foster green and resilient job creation. Technology IDA20 provides the springboard for the NG-ACBP to evolve into its next stage. Significant existing overlap between the NG-ACBP’s targets and IDA20’s climate priorities offer a promising start to addressing key delivery elements of IDA20 and generating measurable impact for communities in the and risk governance). There are areas where the NG-ACBP’s region over the coming years. However, there is opportunity to response to IDA20’s climate commitments can be enhanced. To focus more on key areas to deliver climate change adaptation support the goal of increasing climate co-benefits to 35 percent, and mitigation solutions that are robust and sustainable in the the NG-ACBP will aim to address at least one strategic direction near and long term. The NG-ACBP framework provides ample or special area of emphasis in each project to ensure that climate opportunity to align with the new areas of the IDA20’s climate action is being incorporated throughout the portfolio. The NG- change special theme policy commitments and transitions in ACBP will also increase its engagement with NDCs to support World Bank Climate Change Action Plan (CCAP). These new alignment with the Paris Agreement. In terms of scaling-up green areas include: (1) expanding climate-informed macroeconomic financing, the NG-ACBP has revised one of its special areas of policies to include green financing as called for under IDA20; emphasis to include a stronger focus on green financing. (2) green policies will focus on mobilizing capital for a low- carbon and resilient economy and revising financial regulatory In its bid to remain proactive in addressing the most frameworks to manage climate and environmental risks; and pressing climate challenges, the NG-ACBP will continue (3) recasting the second special area of emphasis as ‘Green and to identify emerging areas of focus for ASA and pursue Resilient Industries and Infrastructure’ to focus on manufacturing partnerships or track our growing portfolio on these issues. industries in an end-to-end manner and address global supply The two areas identified currently include digital and technology chains through markets. solutions and carbon markets. Digital and technology solutions will focus on the power of earth observation (EO), sustainable The NG-ACBP was conceived to be implemented over cooling, and digitalization in enhancing the climate resilience two IDA cycles (IDA19–20 and FY21 to FY26) and serves of Sub-Saharan African countries. Carbon markets will as a robust framework to deliver on IDA20’s climate concentrate on integrating Sub-Saharan Africa into global change special theme policy commitments under some carbon markets to enable countries to benefit from natural areas, while others may require stronger emphasis. The carbon sinks, such as the Congo Basin. These emerging areas strategic directions under the NG-ACBP are well placed to can be leveraged to deliver robust solutions on specific IDA20 address IDA20’s climate commitments in terms of providing climate priorities and enable the World Bank to stay ahead of sustainable energy for all (low carbon and resilient energy), the curve by anticipating issues and responding proactively. enhancing biodiversity and ecosystem services (ecosystem Attention to these emerging areas will ensure that client stability and water security), strengthening the management countries have the readiness to engage and benefit from these of marine ecosystems (ecosystem stability and water security), as part of their transition to climate smart economies. and increasing crisis preparedness and response (climate shocks THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 43 In addition, the NG-ACBP will support the Global Crisis supporting production, facilitating trade, supporting the vulnerable, Response Framework (GCRF).24 The NG-ACBP overlaps with and investing in sustainable food systems; (2) protecting people and the four pillars of the World Bank’s global crisis response framework preserving jobs to help mitigate the medium- to long-term impact which is underpinned by green, resilient and inclusive development of crises; (3) strengthening resilience by identifying and supporting principles. The GCRF addresses the multiple overlapping crises that paths to build long-term resilience; and (4) strengthening policies, are affecting the world, including the COVID-19 pandemic, the war institutions, and investments for rebuilding better to utilize long- in Ukraine, rising food and fuel insecurity, and increased fragility and term policies to improve development outcomes. Several strategic conflict and a series of economic shocks. Between April 2022 and directions and special areas of emphasis under the NG-ACBP touch June 2023, the World Bank will deploy an additional US$ 170 billion to on one or more of these pillars. As such, the NG-ACBP can leverage support developing countries navigate these crises. The framework synergies between its existing strategic directions with the GCRF’s focuses on four pillars: (1) Responding to food insecurity through pillars to deliver maximum impact through projects in the region. 4.2 Emerging Themes and Areas of Engagement There are two key emerging areas of focus for strengthening for market mechanisms under which parties can trade emission countries’ responses to climate change: (1) carbon markets; reduction credits (or carbon credits in the generic term). Article and (2) digital and technology solutions. The World Bank 6.8, on the other hand, provides a framework for non-market has adopted a proactive approach to address issues that will approaches to promote mitigation and adaptation (such as directly impact the ability of countries in Sub-Saharan Africa cooperation through provision of finance, technology transfer, to navigate their responses to the increasing threats posed and capacity building, where no trading of emission reductions by climate change and continues to harness opportunities to is involved). African countries have a huge opportunity to benefit leapfrog into low carbon development pathways. Other new from participating in carbon markets, and some countries, such areas will continue to be identified through consultations. as Ghana and Senegal, have already initiated work in this direction. 4.2.1 Carbon Markets The World Bank’s capacity building efforts through programs such as the Climate Market Club aim to ensure that Sub-Saharan Africa holds massive potential to benefit from the necessary institutional frameworks for participation in participation in global carbon markets. Dramatic declines in carbon markets are in place. Under the Clean Development the cost of renewable energy and vast solar potential present an Mechanism (CDM) of the Kyoto Protocol, Sub-Saharan Africa opportunity for the Africa region to decarbonize. Similarly, the participated in a limited way and did not benefit as much as agriculture and food sector, which is responsible for a significant some middle-income countries, in part due to limited readiness portion of emissions in many of the countries in the region, for accessing markets. Under the bottom-up framework of the could benefit from measures to improve productivity, sequester Paris Agreement, early preparation is even more important. carbon through better climate smart adaptation practices and Creating emission reduction credits requires significant capacity reduce emissions with adaptation co-benefits. With rapid ranging from understanding the implications of participating in urbanization, cities present an opportunity for emissions international carbon markets (especially on their ability to achieve reduction from energy-efficient buildings and transport. Such their own nationally determined contribution (NDC)), setting up activities can benefit from access to activity-based climate a crediting strategy, and building institutional arrangements to finance from sources such as the GCF and CIFs, results-based manage international carbon market transactions. Participation climate finance from sources such as the World Bank’s carbon in international carbon markets can also build familiarity with the funds, and carbon revenues from the sale of emission reductions. concept of carbon pricing, and help countries consider the use Article 6 of the Paris Agreement recognizes that countries of carbon pricing as one of the potential climate policy tools that may cooperate voluntarily to allow for higher ambition and to can help achieve their objectives of sustainable development. promote sustainable development and environmental integrity. The private sector will also be essential to the functioning of the Cooperative approaches can have various forms under Article carbon markets being developed and to the provision of disaster 6. Article 6.2 and Article 6.4, for instance, establish framework insurance mechanisms. 24 World Bank. 2022. Navigating Multiple Crises, Staying the Course on Long-term Development: The World Bank Group’s Response to the Crises Affecting Developing Countries. Washington, D.C.: World Bank. http://documents.worldbank.org/curated/en/099640108012229672/ IDU09002cbf10966704fa00958a0596092f2542c 44 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN The generation of revenues through the introduction of Climate Finance, to provide capacity building support on how to carbon pricing can support various fiscal and developmental access international carbon markets, understand opportunities objectives. The region currently accounts for only 2 percent of for carbon pricing, and explore opportunities for harmonization trading in global carbon markets, yet forests cover 675 million at the regional level which can reduce transaction costs and hectares, or 23 percent, of Sub-Saharan Africa’s land area.25 The allow for an integrated approach. Congo Basin alone sequesters around 1.2 billion tons of carbon dioxide, or 4 percent of global carbon emissions, each year.26 Emissions Reduction Programs (ERPs) can build on Participation in carbon markets can generate fiscal revenue, national Reducing Emissions from Deforestation and contributing to regional growth, and provide revenue streams Forest Degradation (REDD+) strategies developed by the for local communities, while additionally combating ecosystem governments and take several actions aimed at addressing degradation and deforestation. The Congo Basin contains the the drivers of deforestation and forest degradation. These world’s second-largest rainforest, crucial for regulating the actions include: (1) transitioning agroforestry towards ‘zero world’s climate. Only the Congo has enough forest left to remain deforestation’ agriculture; (2) afforestation, reforestation and a strong net carbon sink out of world’s three largest tropical restoration of degraded lands and forests; (3) sustainable forest rainforests. The Congo’s tropical rainforest sequesters 600 management (SFM) and conservation of Classified Forests and million metric tons more CO2 per year than it emits. Carbon National Parks; and (5) environmentally friendly mining. ERPs aim sequestration opportunities can also be found in the marine to implement a green development model that offers results- environment and aquaculture. For example, the International based payments that incentivize smallholder farmer participation Monetary Fund (IMF) estimates that a single great whale in the programs. Smallholder participation supports combating sequesters 33 tons of CO2 over its lifetime, putting the value of climate change, diversifying farmers’ incomes, creating zero- each whale at over US$ 2 million.27 Gabon is set to benefit from deforestation agricultural production, protecting natural global carbon markets and is the first African country to receive resources, restoring forest cover, and protecting biodiversity. For payment for reducing its emissions through forest conservation. example, the Cote D’Ivoire Tai National Park Area Emission In 2021, Norway paid Gabon US$ 17 million under the UN-backed Reductions Payments Project (ERP) (P170309, US$ 82.5 Central African Forest Initiative (CAFI) for its protection of the million) incentivizes behavioral change to end deforestation and Congo Basin, the first tranche of the lucrative US$ 150 million forest degradation practices, and reduce carbon emissions and deal struck in 2019.28 Liberia, Cote d’Ivoire and Ghana can also leakage, through a benefit sharing plan. This plan incorporates leverage carbon markets through African forest elephants monetary and nonmonetary benefits distribution, offering which are native to each country. If well-conceived, Sub-Saharan alternatives and results-based payment incentives to combat African countries can generate substantial fiscal revenue that climate change, but also to diversify farmers’ incomes, create contributes to and enables major growth opportunities. zero-deforestation cocoa production, and protect natural resources. The benefits of the ERPs are the net ERP payments— The Partnership for Market Implementation (PMI) is the source of these payments in this case is the World Bank supporting readiness activities for carbon pricing in through the Forest Investment Program (FIP). A benefit Botswana, Guinea, Senegal, and South Africa. Under the sharing arrangement includes a series of institutional resources, PMI, the World Bank’s Climate Change Group (CCG) initiated governance structures and instruments that distribute the net a regional capacity building support program for Sub-Saharan benefits and must be managed in a participatory manner. Africa to help countries better understand the building blocks of carbon pricing, undertake quick assessments on the level of REDD+ is supporting the development of carbon markets, readiness and key gaps that need to be addressed. The program where the emissions reductions in forested countries can includes a national track for conducting a needs assessment be purchased by private companies or other governments and building capacity related to carbon pricing, and a regional looking to offset their carbon emissions towards net track which focuses on regional institutions with whom there zero. In Eastern and Southern Africa (AFE), the Northern is ongoing dialogue related to carbon pricing, such as the West Congo Agroforestry Project (P166189, US$ 15.58 million) African Power Pool (WAPP), the Southern African Power Pool will encourage the adoption of climate-smart agroforestry (SAPP), Economic Community of West African States (ECOWAS), practices that consume less area, generate higher yields, and Southern African Development Community (SADC), the East use diversified crops resilient to climate change. The approach African and West African Alliances on Carbon Markets and will promote the cultivation of cash crops including, but not 25 African Development Bank Group. 2016. REDD+ In Africa: Context, Challenges and Next Steps of REDD+ Mechanisms in the Continent. 26 Peter Yeung. 2021. The Bold Plan to Save Africa’s Largest Forest. BBC. 27 Chami, R., Cosimano, T., Fullenkamp, C., and Oztosun, S. 2019. Nature’s Solution to Climate Change: A Strategy to Protect Whales Can Limit Greenhouse Gases and Global Warming. International Monetary Fund. 28 United Nations Development Program. 2021. Gabon Leads Africa in the Preservation and Conservation of Forests. THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 45 People dancing at the Poverty in Rising Africa launch, Accra, Ghana Credit: Dominic Chavez/World Bank limited to, cocoa, subsistence crops, and a mixture of fruit trees planning, climate monitoring and forecasting, and addressing and tubers (banana, cassava, and African plum). Ultimately, this development priorities. Identifying and mapping hot spots is approach will (1) increase the productivity and resilience of crops necessary for devising adaptation solution to climate hazards. EO in a sustainable way (adaptation); (2) promote the reduction of offers an opportunity to scale-up early warning systems based on greenhouse gas (GHG) emissions (mitigation); and (3) improve temporal data and can support blue economy development by national food security and contribute to the achievement of monitoring coastal erosion and water quality. Ghana and Nigeria Congo’s development objectives. This approach represents an have developed policy that includes geospatial information in their important phase in Congo’s design, development, and testing information and communication technology (ICT) strategies, which of REDD+ activities and ultimately its ability to receive and offers a promising entry point for EO use in Sub-Saharan Africa. distribute payments for carbon performance. The Emission Reductions Payment Agreements (ERPAs) lay the foundation for Currently, less than a third of the population in Sub- the transfer of performance-based payments from the Forest Saharan Africa has access to broadband connectivity. Digital Carbon Partnership Facility Carbon Fund to the Government technologies have a demonstrated ability to enable countries to of Congo for the purchase of up to 8.4 million tons of carbon accelerate economic growth and connect citizens to services and dioxide-equivalent (tCO2e) at US$ 5 per tCO2e. jobs. Just a 10 percent increase in mobile broadband dissemination in the region would result in an increase of 2.5 percent of gross 4.2.2 Digital and Technology Solutions for domestic product (GDP) per capita. The main challenge for Climate Resilience digitalization is scaling-up the digital economy, which includes building digital infrastructure and platforms, teaching digital skills, Technologies can deliver datasets needed for climate and making available digital financial services. A second challenge observation, research, and services. Africa has limited data is the cross-border integration of digital markets towards a Single needed to assess climate risks. EO technology can offer a platform Digital Market (SDM). Digitalization has the potential to increase from which countries can create and implement more robust, resilience through scaled-up early disaster warning systems and and anticipatory solutions to the threats presented by climate dissemination of time sensitive climate threats. Digitalization will change. There is an urgent need to establish sectoral baselines for require a transboundary approach to achieve an SDM. However, agriculture production areas, water availability, energy production, Niger, Uganda, South Sudan, and Madagascar have some of the and infrastructure to gather EO data that is essential for supporting lowest connectivity levels in Sub-Saharan Africa. African countries decision makers with risk assessment, medium and long-term require support for the implementation of digital measurement, 46 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN reporting, and verification (MRV) systems that collect data on GHG 4.2.3 Regional Priorities emissions, climate finance flows, and mitigation and adaptation activities. The CCG’s Partnership for Market Implementation and The NG-ACBP recognizes the heterogenous nature of the Climate Warehouse Program support countries on these countries in Sub-Saharan Africa and regional contextual aspects by facilitating the use of open-source digital technologies differences. Climate change is a major threat to development in for quick deployment and adoption. the region, yet certain hazards may be more pressing to address in one sub-region than the other (see Annex 3 and Annex 4 for The rise in global temperatures caused by climate change will further details). West Africa’s average annual and seasonal surface make heat stress more frequent and intense throughout Sub- temperatures have increased 1–3°C since the mid-1970s, with the Saharan Africa. This will increase workers’ occupational risks and highest increases in the Sahara and Sahel. Key concerns in AFW vulnerability and can lead to heatstroke and death. Temperatures include hotter and longer heat waves, fewer but more intense are more likely to remain high at night, preventing people from rainfall events, extreme rainfall and flooding, and increased multi- getting reprieve from the heat stress. Heat stress is predicted to lead year droughts.30 The number of potentially lethal heat days in to a loss of 2.3 percent of working hours (14 million full-time jobs) AFW reaches 50 to 150 per year at 1.6°C global warming and 100 in 2030 in sub-Saharan Africa. The key challenge for implementing to 250 per year at 2.5°C global warming, with the highest increases sustainable cooling technologies in the region is maintaining stable occurring in coastal regions.31 The impact of projected heat stress temperatures to ensure food safety, refrigeration for vaccines in AFW is further compounded by the expectation that the region and medicine, and comfort and productivity in homes. Increasing is projected to experience a drier, more drought-prone and arid access across Sub-Saharan Africa to cooling technologies is a climate in the coming decades. AFE is already experiencing loss critical challenge, as less than 43 percent of the population has of lives and impacts on human health, water shortages, reduced access to electricity, and therefore cannot access such technologies. food production, biodiversity loss and reduced economic growth. Sustainable cooling can help leapfrog the region to efficient and In AFE, it is expected that less tropical cyclones will make landfall clean cooling technologies and establish cold chains to prevent but have more intense rainfall and higher wind speeds.32 The sub- loss of food and medicine. Countries most at risk to heat stress are regional nuance highlights the importance of identifying different primarily concentrated in West and Central Africa (AFW). In Ghana, climate priorities in AFE and AFW to better understand what areas and Cote d’Ivoire, high ambient temperatures have led to increased require more attention in each sub-region. mortality. In Chad and Sudan, 5.9 percent of working hours are projected to be lost in 2030 due to heat stress.29 29 International Labour Organization. 2019. Working on a Warmer Planet: The Impact of Heat Stress on Labour Productivity and Decent Work. 30 Climate and Development Knowledge Network. 2022. The IPCC’s Sixth Assessment Report Impacts, Adaptation Options and Investment Areas for A Climate-Resilient West Africa. 31 Trisos, C.H., I.O. Adelekan, E. Totin, A. Ayanlade, J. Efitre, A. Gemeda, K. Kalaba, C. Lennard, C. Masao, Y. Mgaya, G. Ngaruiya, D. Olago, N.P. Simpson, and S. Zakieldeen, 2022: Africa. In: Climate Change 2022: Impacts, Adaptation, and Vulnerability. Contribution of Working Group II to the Sixth Assessment Report of the Intergovernmental Panel on Climate Change [H.-O. Pörtner, D.C. Roberts, M. Tignor, E.S. Poloczanska, K. Mintenbeck, A. Alegría, M. Craig, S. Langsdorf, S. Löschke, V. Möller, A. Okem, B. Rama (eds.)]. Cambridge University Press. In Press. 32 Climate and Development Knowledge Network. 2022. The IPCC’s Sixth Assessment Report Impacts, Adaptation Options and Investment Areas for A Climate-Resilient Southern Africa. THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 47 4.3 Forward Look The NG-ACBP remains a dynamic document that offers a recommendations from the FY22 AFE and AFW CCDRs comprehensive framework for addressing climate action revealed strong convergence with the strategic directions that is ensuring strategic alignment with the World Bank’s of the NG-ACBP as related to food security, ecosystem Climate Change Action Plan (CCAP), IDA20 priorities and and water security, clean energy, green mobility and other climate corporate commitments. resilient cities, and the need to manage for climate shocks – emboldening our action would be key – and will allow us to This Progress Report for the NG-ACBP highlights key deliver on our corporate commitments. achievements and lessons learned since its release in June of 2020. Under the NG-ACBP, a total of 449 projects and $58.5 billion 2. Ensure that climate action in Africa is fully cognizant of of Bank financing has been delivered between FY21-22 across emerging challenges and opportunities in the face of a Sub Saharan Africa. The progress report revealed deepening changing climate – so that the region stays ahead of the climate engagement within the region through the IDA19 portfolio curve. Harnessing new and emerging opportunities include and flagship analytics, including the CCDRs, driving development levering carbon markets, addressing sustainable cooling, centered climate action through the priority strategic direction expanding rapidly on digital solutions, but also working to and more climate informed policy reforms. The thematic lessons deliver on our social contract – with a focus on the climate- and takeaways reveal not just a change in individual project design, migration-conflict nexus. but a shift in the portfolio towards climate action that is more deeply embedded in the delivery of outcomes, and reflected also 3. Work to leverage partnerships is an imperative. Creating in the delivery of corporate commitments, including the targets strategic engagement and outreach strategy with clients, on climate co-benefits. external stakeholders, and donors. Equally, within the Bank working even more proactively across the Practice Groups The Africa regions must build on the progress and lessons and Global Practices, and the CMUs, to engage in a sustained to further embolden our climate action in the face of the and effective way with clients. The World Bank recognizes climate urgency as climate impacts accelerate scale and the need for a whole-of-economy and systemwide intensify. Three key areas of action are key as we move forward. approaches to cost-effectively and sustainably reduce the exposure and vulnerability of populations to climate-related 1. Consolidate current priorities in the NG-ACB and drive, shocks in the region. This calls for a long-term programmatic based on lessons learned, an even more strategic and engagement in the climate agenda to generate buy-in for transformative climate-informed pipeline, and policy structural changes and accumulate institutional capacity, reforms that respond more cogently to climate risks working across silos within and between countries, and and opportunities. A review of the core policy areas of regional organizations. Student doing schoolwork Credit: Riccardo Mayer/Shutterstock THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 49 Annexes 50 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Thematic Messages from the NB-ACBP Annex 1:  Portfolio Review (FY21-22) Theme  Climate Action Message Instruments/Tools Illustrative Project Used  Examples  End-to-end Integrating end-to-end climate action Climate-smart (P164184, US$ 50M)  attention on along the food value chain, from Agriculture (CSA) Ethiopia’s Second Agricultural climate risks production to storage to distribution Climate-resilient Growth Project—Additional along agricultural to commercialization ensures storage and Financing production chains continuous volume of food supply transportation (P168074, US$ 80 million)  and in watershed and mitigates potential revenue management and losses by mitigating potential climatic Market Information Sierra Leone’s Additional water security disruptions (droughts, floods) at all Systems including Financing of the Smallholder points of the supply chain.  climatic variables Commercialization and Agribusiness (Guinea, Sierra Leone)  Development Project (P170604, US$ 30 million)  Integrating end-to-end climate action Watershed Cameroon’s Valorization of ensures water security for agricultural Management Plans Investments in the Valley of food production, including by integrating climate the Benue addressing water infrastructure safety considerations  (P166072, $ US$ million) and operations, construction and Water storage  South Sudan Resilient Agricultural rehabilitation of irrigation and drainage Resilient Irrigation Livelihoods Project infrastructure increasing water supply and Drainage (P169120, US$ 62.50 million)  and reducing flooding risk, and support to water users’ institutions.  Infrastructure  CSA  Integrating climate action systemically Multi-hazard mapping Mozambique’s Conservation Areas across natural and productive (WACA)  for Biodiversity and Development landscapes and seascapes increases (CABD) (P172777, US$ 23 million Coastal Risk Mapping ecosystem and community resilience— (WACA) Burundi Landscape Restoration and conservation of natural landscapes Climate-resilient Resilience Project (LRRP) supports sustainable land- and infrastructure (P171745, US$ 6 million)  ocean-based economic activities and livelihoods, while climate-smart and (Liberia)  Sudan’s Sustainable Natural sustainable agricultural and fisheries, Training in resilient Resources Management Project and aquaculture activities, reduce livelihoods (Sahel)  Second Additional Financing impacts on natural landscapes.  (P169003, US$ 6 million)  Climate-smart Aquaculture (Liberia)  Regional Sahel Pastoralism Support Project II (P173197, US$ 375 million)  Liberia Sustainable Management of Fisheries Project (P172012, US$ 40 million)  West Africa Coastal Area (WACA) Resilience Investment Project AF (P168908, US$ 6 million)  Guinea Natural Resources, Mining and Environmental Management Project (P168613, $65 M) THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 51 Theme  Climate Action Message Instruments/Tools Illustrative Project Used  Examples  Resilient and Low Diversifying generation mix with Certified Emission Rwanda Energy Access and Quality Carbon Energy utility-scale renewable generations, Reduction Credits Improvement Project and Transport  such as solar, wind and geothermal, (P172594, US$ 150 million)  Scale-up in production helps mitigate risk to climate- of Renewable Energy The Liberia Electricity Sector vulnerable energy sources, such as Sources for climate Strengthening and Access Project hydropower, or to mitigate emissions mitigation  (LESSAP) (P173416, US$ 59 million)  from fossil-fuel sources. Scale-up in access to clean grid and off-grid Least-cost planning Enhancing Sierra Leone Energy electricity for households, health for generation Access (P171059, US$ 50 million)  clinics and schools, and clean cooking and transmission solutions. Use of resilient energy investments  infrastructure and production, and Diversification distribution networks, ensures of energy mix to uninterrupted energy supply during protect from climate climatic shocks.  shocks (that is droughts, glacier melt affecting hydropower generation)  Resilient Energy Infrastructure (that is transmission towers and distribution poles that are resilient to storms, conductors that can withstand heat waves, location of power plants in non- flood risk areas)  Interventions that integrate climate Resilient Transport Horn of Africa Gateway change resilience and adaptation Infrastructure (that Development Project measures in transport infrastructure is roads with side (P161305, US$ 750 million)  construction design and maintenance, drainage channels, Uganda Roads and Bridges in the institutional capacity building, and bridges designed to Refugee Hosting Districts/Koboko- policy and planning including allow underneath water Yumbe-Moyo Road Corridor Project contingency planning support flow in flooding events)  (P171339, US$ 131 million)  continuous connectivity despite Financial Sustainability climate hazards and shocks. Burkina Faso Emergency Local Mechanisms for Road Development and Resilience Project Network Maintenance  (P175382, US$ 350 million)  52 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Theme  Climate Action Message Instruments/Tools Illustrative Project Used  Examples  Addressing Systemic, integrated approach to Coastal Risk Mapping Rwanda’s Second Urban climate resilience mainstreaming climate resilience (Mozambique, Development Project through into urban planning and flood risk Senegal)  (P165017, US$ 175.5 million)  integrated action management, frequently including NBSs Mozambique’s Maputo Urban across urban integration of grey and green Resilient Transformation Project and natural infrastructure, use of nature- infrastructure (P171449, US$ 100 million) landscapes: based solutions, management of applying green surrounding wetland and coastal (including coastal Senegal Stormwater Management and gray ecosystems, solid waste management protection structures, and Climate Change Adaptation infrastructure strategies allow for an overall flood planting of trees and Project 2 (P175830, US$ 125 million) and nature-based risk mitigation and management vegetation to solidify solutions (NBSs)  solution.  riverbanks and coastlines and protect ridges from landfalls)  Digital and By leveraging digital technologies Digital Digital Tanzania Project disruptive with the objective of reducing Communications (P160766, US$ 150 million) technologies: poverty and increasing incomes (broadband) Niger Smart Villages for rural growth enhancing improves vulnerable populations’ (Tanzania, Niger)  and digital inclusion resilience through living conditions and their resiliency E-government (P167543, US$ 100 million)  increased to shocks; by enhancing social services (Tanzania, connectivity, inclusion and resilience, through Madagascar Digital Governance and Madagascar)  social inclusion, developing e-Government services Identification Management System and access to such as e-Agriculture, e-Health Mobile money (P169413, US$ 143 million)  a modernizing and e-Education; by reducing the accounts and services economy   gap in the access and use of digital (Niger)  services between men and women; by supporting financial inclusion through access to mobile money accounts and services; and through digital communications, by giving them access to services that could foster their resilience to shocks.  Enhancing climate resilience in the Agro-advisory West Africa Food System Resilience agricultural sector by strengthening Hydromet Services  Program (FSRP) regional capacity and institutional (P172769, US$ 354 million)  Early Warning sustainability to provide demand- Systems for food driven digital services including agro- crisis prevention  advisory and impact-based hydromet and climate information and warning services, while promoting their use in agriculture and food crisis prevention, management, and response.  THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 53 Theme  Climate Action Message Instruments/Tools Illustrative Project Used  Examples  Adaptive Social Systemic and at scale deployment Adaptive Safety Nets Strengthen Ethiopia’s Adaptive Safety Nets: of adaptive social safety net including ex-ante Safety Net (P172479, US$ 512 million)  Increasing programs, which build the resilience resilience-building Chad’s Additional Financing to Resilience of vulnerable households before, actions (climate Refugees and Host Communities through Ex-Ante during, and after covariate shocks; resilience-building Support Project Intervention while at the same time, supporting public works, climate- (P172255, US$ 75 million) accompanying measures for the resilient job training, communities targeting the increase in cash disbursements social cohesion and capacity building based on agricultural for the beneficiaries, including on insurance how to better prepare for climate- mechanisms) induced shocks, but also training in climate-resilient job alternatives, including youth- and gender-sensitive employment opportunities.  Mainstreaming Initiatives significantly addressing or Cold-chain vaccine The Gambia Essential Health Climate into mainstreaming climate considerations deployment (Gambia, Services Strengthening Project Education, into their health and education sectors Zambia, Ghana)  (P173287, US$ 30 million)  Health, Social increase the climate resilience of Hydromet services for Zambia’s Covid 19 Emergency Development/ developing countries’ populations disease surveillance Response and Health Systems Protection in direct and indirect ways, including (Gambia, Zambia, Preparedness Project  Sectors and particularly their most vulnerable Ghana) (P174185, US$ 25 million)  populations, while mitigating emissions from vaccine deployment and Targeted Climate Ghana Covid-19 Emergency medical waste disposal. In education, Higher Education and Preparedness and Response integrating climate into curricula, Training (Uganda and Project AF (P174839, US$ 130 million) particularly in higher education or Tanzania)  Uganda’s Secondary Education vocational training, can result in climate Expansion Project resilience by aligning it with sector (P166570, US$ 150 million)  needs.  Tanzania’s Higher Education for Economic Transformation Project (P166415, US$ 425 million) 54 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Theme  Climate Action Message Instruments/Tools Illustrative Project Used  Examples  Mainstreaming Mainstreaming climate into national Fiscal Reforms for West Africa Regional Energy Trade Climate into macro policies, institutions, and climate mitigation Development Policy Financing National enabling environments results in (West Africa, South Program (P171225, US$ 300 million)  Institutions, transformational change at the Africa, Nigeria, Liberia)  Nigeria SFTAS (Strengthening Fiscal Macro Policies sectoral or cross-sectoral level. Climate Budget Transparency, Accountability and and Enabling Includes promoting fiscal reforms Tagging (Nigeria)  Sustainability) Additional Financing Environments   which are conducive to mitigation of Climate-savvy financial for Covid-19 Response PforR emissions and increased resilience services (Liberia) (P174042, US$ 750 million)  sector-wise or across sectors.  Kenya’s Financing Locally-Led Climate Action Program (P173065, US$ 150 million)  Seychelles First Fiscal Sustainability and Climate Resilience Development Policy Financing (P176420, US$ 35 million) Cabo Verde: First Sustainable and Equitable Recovery DPF (P174754, US$ 30 Mmillion South Africa Covid-19 Response Development Policy Operation (P174246, US US$ 750 million) Liberia Investment, Finance and Trade Project (P171997, US$ 40 million) Deployment of multi-risk financing Catastrophe Deferred Malawi Financial Inclusion and strategies helps African countries Draw-Down Option Entrepreneurship Scaling Project make informed decisions and mitigate (Cat-DDO) (Senegal)  (P168577, US$ 86 million)  the socioeconomic, fiscal, and Agricultural Insurance Rwanda Access to Finance and financial impacts of disasters, thereby (Malawi)  Digital Inclusion Project increasing climate resilience.  Climate Insurance (P175273, US$ 150 million)  (Rwanda)  South Sudan Enhancing Community Resilience and Local Governance Project (P169949, US$ 45 million)  Senegal Disaster Risk Management Development Policy Credit with Cat DDO (P172332, US$ 90 million)  THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 55 Annex 2: Illustrative NDC Client Engagement in AFE and AFW AFE Country Source of Value added of World Bank Sector(s) World Thematic TTLs and Funds and engagement (strategic— Bank’s Pillars Global Amount ($) support SCDs/CFP, policy Support Practice dialogue, investment, other) Areas Botswana GFR for Just Support the development of a Energy and Anas Benbarka in Time (JIT) renewable energy roadmap Extractives (Energy) Development to help the country develop Policy Financing its huge renewable energy (DPF) Grant potential. On-going DPO to support the green recovery (US$ 70,000) and on-going TA to explore carbon taxation. Ethiopia Climate Action Mainstream the NDC and Macroeconomics, Pablo Cesar Enhancement Climate Resilience and Green Trade, and Benitez Ponce Climate Package (CAEP) Economy (CRGE) into the Investment Resilient (Environment Grant ten-year development plan, and Green Agriculture and Natural provide analytical support Economy (US$ 500,000) Resources) to update Ethiopia’s NDC, Water (CRGE) JIT for policy support Ethiopia’s CRGE and Environment and reforms NDC implementation through Natural Resources (US$ 70,000) private sector participation in the forest sector development, advance climate policy reforms (for forthcoming DPO), support climate and disaster risk screening. Global TF- Develop climate-informed Governance Jay-Hyung Kim Mainstreaming guidelines; public Onur Erdem Climate Change investment management in Governance supporting adaptation and (Governance) Program mitigation outcomes (US$ 100,000) = Analysis & Knowledge Sharing =Cross-sectional Coordination = Monitoring & Evaluation = Capacity Building = Budgeting & Investments = Policy, Strategy & Legislation 56 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Country Source of Value added of World Bank Sector(s) World Thematic TTLs and Funds and engagement (strategic— Bank’s Pillars Global Amount ($) support SCDs/CFP, policy Support Practice dialogue, investment, other) Areas Mozambique EcoAdv GOV Through financial and Energy and Ruxandra technical support, the WB Extractives Burdescu (US$ 200,000) helps Mozambique achieve (Governance) Macroeconomics, the Partnership Plan for Trade, and climate action as well as Investment the NDC Road Map. The Mainstreaming Climate Agriculture Change in Governance Water Program (P172569) targets macroeconomic Environment and planning and policy, Natural Resources specifically: 1. Assessment of COVID-19 impacts on NDC implementation and climate ambition; 2. Screening, assessment, and recommendation of measures and low carbon and climate resilient investments for the National immediate and medium- term COVID-19 Response Plan; 3. Mainstreaming climate change into the 5-year Development Plan, the Economic and Annual Social Plan (PES), and the corresponding sectoral and subnational plans; 4. Capacity building for national experts at MEF, and sector units in mainstreaming CC across planning and budgeting processes. Namibia NDC-SF Support integrated landscape Agriculture Christine Track 3 Grant and watershed management Heumesser Water for increased resilience (US$ 500,000) (Agriculture) and mitigating GHG Environment and emissions through analytical Natural Resources work and capacity building activities include technical assessments; and South-South Knowledge Exchanges. = Analysis & Knowledge Sharing =Cross-sectional Coordination = Monitoring & Evaluation = Capacity Building = Budgeting & Investments = Policy, Strategy & Legislation THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 57 Country Source of Value added of World Bank Sector(s) World Thematic TTLs and Funds and engagement (strategic— Bank’s Pillars Global Amount ($) support SCDs/CFP, policy Support Practice dialogue, investment, other) Areas Rwanda NDC-SF Deep Advance financial innovation, Macroeconomics, Pablo Cesar Dive Grant policy dialogue, leverage Trade, and Benitez Ponce Deep dive: private sector investments Investment Advancing (US$ 1,750,000) (Environment across various sectors. Financial Environment and and Natural Pilot Program Support NDC flagship projects Innovation Natural Resources Resources) for Climate identified in the National to scale up Resilience Strategy for Transformation. Transport Climate Action (PPCR) Support Rwanda Green Rwanda Fund and Min of Finance and (US$ 2,850,000) Strategic Economic Development to Support to develop new instruments Advance NDC and innovative structures. Implementation NDC-SF Track Evaluate priority interventions to Energy and 3 Grant (US$ be included in Rwanda’s revised Extractives 500,000) and NDC. Support Rwanda to revise Macroeconomics, CAEP Grant its Environment and Natural Trade, and Resources Sector Strategic (US$ 200,000) Investment Plan to align with the new NDC priorities and to adequately Environment and capture the adaptation and Natural Resources mitigation metrics. Mainstream Transport Rwanda’s updated NDC in districts development strategies and annual performance plans; provide technical assistance to develop and elaborate the MRV. Seychelles CAEP 2 Energy Energy sector development Energy and Zayra Romo Grant to analyze alternative Extractives (Energy) emission reduction pathways (US$ 300,000) and gaps in the existing energy policy framework. Develop a roadmap of regulatory improvements and design data templates for monitoring government actions. CAEP2 Blue Support the update of the NDC, Blue Economy Julien Marie Economy Grant especially the adaptation section, Francois Million with a specific focus on the Blue (US$ 150,000) (Environment Economy. The work is ongoing and Natural with a gap analysis and will be Resources) supported by the submission by Seychelles of their updated NDC to the UNFCCC by May 2021. = Analysis & Knowledge Sharing =Cross-sectional Coordination = Monitoring & Evaluation = Capacity Building = Budgeting & Investments = Policy, Strategy & Legislation 58 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Country Source of Value added of World Bank Sector(s) World Thematic TTLs and Funds and engagement (strategic— Bank’s Pillars Global Amount ($) support SCDs/CFP, policy Support Practice dialogue, investment, other) Areas South Africa Deep Dive Grant Support implementation and Energy and Neha Mukhi update of NDC across multiple Extractives (Deep dive) (US$ 4,000,000) (Energy) sectors and around three pillars: Macroeconomics, transformative policy, closing Trade, and the financing gap, sectoral Investment and spatial actions. Integrate climate change into macro- Water fiscal planning and budgeting Environment and processes, assessment of Natural Resources mitigation policy options with focus on carbon budgets Social, Urban, and tax, engagement across Rural and multiple sectors including Resilience energy, environment, urban. Support provided to Dept of Env, Forestry and Fisheries, National Treasury and Dept of Mineral resources and energy. Uganda NDC-SF Track Supporting institutional Environment and Kanta K. Rigaud 3 Grant mainstreaming of climate Natural Resources (Environment change in support of the (US$ 950,000) and Natural countries 3rd National Resources) Development Plan (NDP3) and NDC. Mainstream climate and disaster risk screening, support Climate Change Budgeting Tagging and Expenditure Tracking Tool in support of national planning circulars and budget planning circulars, and development of climate-informed macro- models to guide more informed decision support. Working with Ministry of Finance, National Planning Authority and Ministry of Water and Env and Climate Change Dept. = Analysis & Knowledge Sharing =Cross-sectional Coordination = Monitoring & Evaluation = Capacity Building = Budgeting & Investments = Policy, Strategy & Legislation THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 59 Country Source of Value added of World Bank Sector(s) World Thematic TTLs and Funds and engagement (strategic— Bank’s Pillars Global Amount ($) support SCDs/CFP, policy Support Practice dialogue, investment, other) Areas Zambia NDC-SF Comprehensive assessment Energy and Rama Krishnan of the country’s institutional Extractives Venkateswaran (US$ 235,000) framework towards Macroeconomics, (Governance) mainstreaming the climate Trade, and change agenda in the context Investment of its National Development Plan Agriculture Water Environment and Natural Resources = Analysis & Knowledge Sharing =Cross-sectional Coordination = Monitoring & Evaluation = Capacity Building = Budgeting & Investments = Policy, Strategy & Legislation 60 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Country Source of Value added of World Bank Sector(s) World Thematic TTLs and Funds and engagement (strategic— Bank’s Pillars Global Amount ($) support SCDs/CFP, policy Support Practice dialogue, investment, other) Areas Zimbabwe NDC-SF Track 3 Mainstream climate change Energy and Tuan Minh Le implementation in Public Extractives (MTI) (US$ 400,000) Investment Management Agriculture Jay-Hyung Kim (PIM). Strengthen capacity for implementing NDC and Environment and (Governance) operationalizing the Climate Natural Resources Finance Facility, support the Infrastructure Development Bank of Zimbabwe with a focus on green infrastructure projects. Develop pre- feasibility studies for at least two projects. CAEP (US$ Develop climate-informed Public Energy and Jay-Hyung Kim 500,000) Investment Management (PIM). Extractives (Governance) Set of stakeholder workshop and Macroeconomics, Tuan Minh Le capacity building exercises. Trade, and (MTI) Revision of PIM Guidelines Investment by incorporating climate Agriculture change considerations into capital budgeting and public Water investment procedures. Environment and Revision of sector-specific Natural Resources manuals for project appraisal by incorporating climate change considerations into the capital budgeting and public investment in sectors of energy, transport, water, and irrigation. EcoAdv GOV Provision of two Economic Energy and Jay-Hyung Kim (US$ 200,000) Advisers. Inform the Extractives (Governance) development of post- Macroeconomics, Tuan Minh Le pandemic economic recovery Trade, and (MTI) strategies supporting Investment climate outcomes and NDC commitments. Two EAs Agriculture contracts are recently finalized. Water Environment and Natural Resources = Analysis & Knowledge Sharing =Cross-sectional Coordination = Monitoring & Evaluation = Capacity Building = Budgeting & Investments = Policy, Strategy & Legislation THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 61 AFW Country Source of Value added of World Bank Sector(s) World Thematic TTLs and Funds and engagement (strategic— Bank’s Pillars Global Amount ($) support SCDs/CFP, policy Support Practice dialogue, investment, other) Areas Benin NDC-SF Provide technical Macroeconomics, Nathalie Climate Action assistance for streamlining Trade, and Picarelli and Enhancement environmental fiscal Investment Leif Jensen Package policies to advance climate Finance, (MTI) mitigation activities. Creation (CAEP) Grant Competitiveness, of a country tailored CGE and Innovation (US$ 150,000) model to model policy/ expenditure choices from the NDC strategy and environmental taxation options, including training. Assessment of the planning and budgeting mechanisms for climate-related public expenditure. Strengthening the role of the Ministry of Finance in climate change policy formulation. Contribute towards the development of a regional initiative for countries in the West African Economic and Monetary Union. Burkina Faso NDC-SF Track Support the government of Agriculture Loic Jean 3 Grant Burkina Faso to improve its Charles Braune Environment and institutional framework to (US$ 500,000) Natural Resources (Environment foster private investment in and Natural GHG mitigation activities. Set Resources) up crediting framework to facilitate the creation of carbon credits, including a central registry of carbon operations. Improve the MVR system to oversee all AFOLU operations through a single system that covers REDD+ and climate smart agriculture (CSA). Assist in capacity building and knowledge for participation in international negotiations on Article 6 and the link between NDC reporting and the carbon market. = Analysis & Knowledge Sharing =Cross-sectional Coordination = Monitoring & Evaluation = Capacity Building = Budgeting & Investments = Policy, Strategy & Legislation 62 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Country Source of Value added of World Bank Sector(s) World Thematic TTLs and Funds and engagement (strategic— Bank’s Pillars Global Amount ($) support SCDs/CFP, policy Support Practice dialogue, investment, other) Areas Republic of NDC-SF Support the establishment Blue Economy Ousmane Deme Congo of a partnership plan for (US$ 285,000) (Governance) the implementation of the Republic of Congo’s NDC, identifying financing strategies, supporting project monitoring, and participating in the works of the Blue Fund and conducting relevant training workshops Guinea NDC-SF Track 3 Support the Government Agriculture Ellysar Baroudy of Guinea to set up a strong (US$ 400,000) Environment and (Environment basis for strengthening Natural Resources and Natural its NDC and subsequent Resources) implementation. Build a Energy and coordination framework Extractives of key government entities, technical and financial partners, private sectors, and other stakeholders. Investment plan for identification of additional funding needs. Strengthen inter-sectoral coordination to build a common understanding of national climate commitments and thus, the capacity for intervention. Guinea agreed to increase ambition through inclusion of the land-use sector through WB support; it will also start an assessment of MRV needs; and it has legally formalized a national inter-sectoral committee on climate change. = Analysis & Knowledge Sharing =Cross-sectional Coordination = Monitoring & Evaluation = Capacity Building = Budgeting & Investments = Policy, Strategy & Legislation THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 63 Country Source of Value added of World Bank Sector(s) World Thematic TTLs and Funds and engagement (strategic— Bank’s Pillars Global Amount ($) support SCDs/CFP, policy Support Practice dialogue, investment, other) Areas Niger NDC-SF Track 3 Develop NDC investment Agriculture Ellysar Baroudy plan, strengthen inter- (US$ 500,000) Environment and (Environment sectoral and institutional Natural Resources and Natural coordination for NDC Resources) implementation. Regional Energy and coordination between G5 and Extractives Sahel countries to enable knowledge exchange. Strategize financing with private sector and multilateral support. Strengthen institutional arrangements for efficient implementation, monitoring and update of NDC. = Analysis & Knowledge Sharing =Cross-sectional Coordination = Monitoring & Evaluation = Capacity Building = Budgeting & Investments = Policy, Strategy & Legislation 64 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Africa East and South (AFE) Annex 3:  Regional Climate Priorities Food Security and Sustainable Rural Economy Eastern and Southern Africa (AFE) has several least income countries. Agriculture is also the largest engine of developed countries (LDCs), with a lower gross domestic economic growth in Africa, representing 15 percent of the product (GDP) and per capita income, and a high proportion continent’s total GDP (World Bank, 2021).34 AFE countries of poor and vulnerable populations. One of the main concerns have 9 out of 13 of those Sub-Saharan African countries at the regional level, is food security for its vulnerable inhabitants, where agriculture contributed to at least 20 percent of the and how climate impacts increase vulnerability of the agricultural country’s GDP. Therefore, integrating climate-resilient actions food supply, particularly through droughts. Africa remained in the agricultural supply chain, as well as supporting integrated as the continent most affected by food crises, accounting for sustainable land management (SLM) which includes both climate- 54 percent of the global total number of people in crisis or worse. smart agriculture as well as sustainable forest management is key Within Africa, AFE contained the highest number of countries in AFE. AFE countries, having a high proportion of savannah and population with food insecurity issues. In 2019, the number and steppe type ecosystems (typically easily convertible to in Southern Africa was the highest at 30.4 million, increasing agricultural landscapes, but also relatively dry or semi-arid from 23.3 million in 2018. This was partly due to the addition ecosystems easily vulnerable to drought), would require more of three countries (United Republic of Tanzania, Angola and emphasis on climate resilient agricultural interventions.  Namibia) where data was unavailable last year, but also due to a deterioration in the acute food insecurity situation in the An example of a World Bank project in AFE which addresses Democratic Republic of the Congo, Zambia and Zimbabwe. Six this issue through end-to-end climate integration into the East African countries accounted for 27.5 million people in food agricultural food production chain is Ethiopia’s Second crisis, representing a slight increase from 2018 (26.7 million), Agricultural Growth Project - Additional Financing (P168074, mainly due to weather-related shocks in Kenya, conflict and US$ 80 million). This project has a particular focus on building persistent economic challenges in South Sudan and the refugee resilient infrastructure along the agricultural market chain such influx and weather extremes in Uganda (Anthem, 2020).33 In as resilient market buildings, warehouses, and footbridges. comparison, countries in West Africa and the Sahel, and Access to footbridges improves connectivity to markets, which Cameroon (Western and Central Africa (AFW)) accounted for is especially important during the time of flooding and heavy more than 12 million people in crisis). rainfall, during which the communities (residing in highland areas) get cut off from the rest of the country. The warehouse Overall, the main drivers of food insecurity in Africa tend to helps them store grains and agricultural produce for a long be conflict, natural disasters, and economic shocks, in that time and not get exposed to losses due to weather vagaries. order. However, in AFE, natural disasters are the most important The design and construction of market infrastructures would factor as countries were badly affected by weather events in consider weather variability and ensure that the facilities are Eastern (13.2 million people) and Southern Africa (11.2 million climate resilient. Agricultural climate-smart interventions people). The severe desert locust outbreak (where climatic using drought-resistant crops and soil carbon and moisture factors were a contributing factor), which happened in 2019 in conservation techniques are applied here as well, addressing the East Africa, likely aggravated acute food insecurity in 2020. Poor threat of drought while mitigating carbon emissions.  rains combined with high food prices and unresolved political and economic instability could worsen acute food insecurity in Southern Africa as well from 2020.  Overall, agriculture is one of the sectors most vulnerable to climate change, particularly affecting the most vulnerable populations: small-scale producers in low- and middle- 33 Anthem, Paul. 2020. “Risk of Hunger Pandemic as COVID-19 Set to Almost Double Acute Hunger by End of 2020.” World Food Programme Insight, April 16, 2020. https://insight.wfp.org/covid19-will-almost-double-people-in-acute-hunger-by-end-of-2020- 59df0c4a8072. 34 World Bank. 2021. Climate Change Action Plan 2021–2025. Supporting Green, Resilient, and Inclusive Development. World Bank Group. THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 65 Ecosystem Stability and Water Security Geography plays a key role in the types of climate impacts mitigation of pests by offering shelter to natural predators of pests, expected and the kind of adaptations and solutions needed protection of soils from erosion and landslides, as well as climate for different regions in Africa. The Sub-Saharan Africa region mitigation services—such as heat protection, wind protection, and has three major climate types: (1) arid, including desert and steppe increased water availability through evapotranspiration and the subtypes which are prevalent in much of the AFE region; (2) retention and filtration of rain water) remain intact or increase. tropical, including rainforest, monsoon, and savannah subtypes, Mozambique’s Conservation Areas for Biodiversity and covering large parts of the DRC; and (3) temperate, found Development (CABD) (P172777, US$ 23 million), which aims to primarily in southern parts of the region. Overall, AFE countries improve management of target conservation area landscapes and are vulnerable to droughts and water scarcity issues. Over the enhance the living conditions of communities in and around these last three decades, rainfall has decreased over eastern Africa, and conservation areas, made up of three different land uses, and monsoonal precipitation has declined throughout much of the the Burundi Landscape Restoration and Resilience Project Great Horn of Africa over the last 60 years (Niang et al., 2014).35 (LRRP) (P171745, US$ 6 million), which similarly tries to balance Regional climate model studies suggest drying over most parts achieving conservation targets with the increase in the welfare and of Kenya, South Sudan, and Uganda in August and September by resilience of communities living in and around the conservation the end of the 21st century. Over Southern Africa a reduction of areas, are examples in AFE of World Bank projects at the SLM, summer precipitation has been reported over its western parts, climate mitigation, and resilience nexus. These projects aim to while modest downward trends in rainfall are found in Botswana, achieve sustainable management of agroforestry landscapes, western South Africa, and Zimbabwe (Niang et al., 2014). In the which will result in carbon emission avoidance and carbon AFE region, particularly in the central and southern Africa basins, sequestration from avoided deforestation and reforestation of there are river basins (Congo, Orange, and Zambezi) which will degraded landscapes. Similarly, Ethiopia’s Resilient Landscapes be affected by droughts and occasionally by flooding. This will and Livelihoods Project (P163383, US$ 129 million) aims to translate into the hydropower and water sectors underperforming improve climate resilience, land productivity and carbon storage, in many climate scenarios, which could translate into water and and increase access to diversified livelihood activities in selected power shortages for some of its inhabitants, as well as lost revenue.  rural watersheds through SLM practices. Sustainable management adds to the climate resilience of the local inhabitants using climate The conservation and management of the natural forest resilient crops and other climate-smart agricultural interventions, landscapes adjoining the agricultural landscapes is key in while conserving the ecosystem services of the forests adjoining supporting the resilience of the farmers. By ensuring the the agricultural landscapes, including what could be classified as ecological services provided by the forests (which include climate mitigation services. Resilient Energy and Low Carbon Development Emergence of renewable, off-grid solutions enable a new shocks, such as using communication devices, solar-based approach for electricity access, even in fragility, conflict, and water pumping to mitigate drought impacts, increased access violence (FCV) countries and subnational regions, in which to electricity for the storage of agricultural products, and cooling grid-based electricity access is challenging due to security technologies to cope with extreme heat. Moreover, access to concerns, limited governance, and weak utilities. These clean cooking solutions reduce pressure on deforestation and countries—and populations deprived from access to electricity ecosystem services that are essential to buffer climate shocks. services—are often the most vulnerable to climate change. FCV countries and populations deprived of energy access exist Access to modern energy services brings tangible benefits in the AFE region and ensuring their connectivity to modern to empower the communities to be more resilient to climate energy services is a priority. 35 Niang, Isabelle, Oliver C. Ruppel, Mohamed A. Abdrabo, Ama Essel, Christopher Lennard, Jonathan Padgham, and Penny Urquhart. 2014. “Africa.” In: Climate Change 2014: Impacts, Adaptation, and Vulnerability. Part B: Regional Aspects. Contribution of Working Group II to the Fifth Assessment Report of the Intergovernmental Panel on Climate Change. dited by Vicente R. Barros, Christopher B. Field, David Jon Dokken, Michael D. Mastrandrea, Katharine J. Mach, T. Eren Bilir, Monalisa Chatterjee, Kristie L. Ebi, Yuka Otsuki Estrada, Robert C. Genova, Betelhem Girma, Eric S. Kissel, Andrew N. Levy, Sandy MacCracken, Patricia R. Mastrandrea, and Leslie L. White, 1199–265. New York: Cambridge University Press. 66 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Some countries in Africa are heavily dependent on in those key minerals, will support the sustainable extraction, hydroelectric generation, which is vulnerable to hydrological processing, and recycling of minerals and metals needed to changes associated to climate change. Regional drought has secure supply for low-carbon technologies by minimizing the resulted in major power shortages and significant economic climate and material footprints throughout their value chain. impacts in countries, particularly in AFE, such as Ethiopia and This would result not only in climate mitigation benefits, but Zambia that depend on hydropower. Diversifying generation mix also in climate adaptation benefits through, for example, with other utility-scale renewable generation plants, such as solar, integrating Forest-Smart Mining with landscape management wind and geothermal, will help mitigate such risk. approaches, and ensuring adequate and innovative mining waste management solutions are applied (Hund et al., 2020).36 Mineral- Low carbon energy policies contribute to improving Africa’s rich countries that make it a priority to reduce emissions from macroeconomic resilience. This is an issue that frequently mineral production, through climate-smart mining practices, affects AFE countries such as Angola and Sudan, where energy could integrate their decarbonization efforts in their NDCs under is one of the largest budgetary expenses and subsidies create the Paris Agreement. external payment obligations in hard currencies and make the countries vulnerable to global energy price shocks. A suite of Overall, many African countries are planning for low policy actions for the low carbon energy sector—which will carbon, climate-resilient strategies through robust include phaseout of fuel subsidies, optimizing electricity tariff, long-term strategies by their updated NDCs, including lowering cost of energy supply through a shift in the energy Ethiopia and DRC in AFE. While adaptation is the priority for mix and improved operational efficiency, and managing energy Sub-Saharan Africa, countries can leapfrog into low carbon demand growth—will help countries reduce their energy- pathways that are pro-poor and that generate local benefits related expenditure and create fiscal space to invest in other while avoiding being locked into conventional technologies. developmental priorities.  Examples of low carbon energy development which also integrate climate resilience measures in the development of This energy transition depends critically on key minerals, energy access and distribution networks in AFE include the several of which are sourced from African countries Rwanda Energy Access and Quality Improvement Project themselves. The rising global demand for batteries and clean (P172594, US$ 150 million), which has a holistic consideration energy technologies could foster economic growth and shared of climate in the extension of the grid for electricity, and in prosperity in the region. Some countries in the region, including providing clean energy for off grid electrification. In terms the Democratic Republic of the Congo, South Africa, and of climate mitigation, since the grid electricity in Rwanda is Zimbabwe, are home to large reserves of strategic minerals and dominated by hydropower (48 percent of installed generation metals required for batteries and for clean energy technologies. capacity in 2019), providing grid electricity to households in In fact, most of the known reserves in Africa are in AFE, where Rwanda is expected to mitigate emissions from the lighting South Africa leads in aluminum and platinum production, Zambia alternatives that households will otherwise use. Over a lifetime does so for copper production, and Mozambique (aluminum) of 20 years, the grid electrification component is expected and DRC (copper) also have important reserves. If exploited with to mitigate 1.7 million tons of CO2 equivalents against the high environmental and social standards, these resources could alternative sources of lighting. Also, by supporting solar power represent a promising revenue potential for the region. based off-grid electrification, the project will substantially reduce GHG emissions compared to the lighting alternatives. In addition to clean energy-related minerals, AFE countries At the same time, the project introduces resilience measures such as Mozambique, Madagascar, Tanzania, Uganda, DRC, to a distribution network to mitigate climate risks. Thus, the Angola, Zambia, Zimbabwe, and South Africa have extensive electric wires, poles, and other infrastructure to be built for grid gold, diamonds, copper, cobalt, and other mineral deposits densification will use materials resilient to high temperatures also frequently extracted under poor environmental and and the construction will accommodate for the impact of social standards. The World Bank, through its Climate Smart potential flooding. Mining initiative and by supporting private sector mining projects 36 Hund, Kirsten, Daniele La Porta, Thao P. Fabregas, Tim Laing, and John Drexhage. 2020. Minerals for Climate Action: The Mineral Intensity of the Clean Energy Transition. Climate-Smart Mining Facility report. Washington, DC: World Bank Group. https://pubdocs.worldbank.org/en/961711588875536384/ Minerals-for-Climate-Action-The-Mineral-Intensity-of-the-Clean-EnergyTransition. THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 67 Resilient Cities and Green Mobility Poor urban households in Africa are more exposed to floods be integrated into climate-smart city plans. Ensuring a stable than the global average. In AFE, this is particularly the case for and cheap water supply for the growing urban population and cities in low elevation coastal zones which are also affected by managing for the increasing frequency of floods may require seasonal cyclones and tropical storms that regularly cause severe cooperation with catchments beyond city jurisdictions—in damage and losses, more typically along the southeastern coast addition to proximate catchments. City governments must of the Indian Ocean, primarily in Madagascar and Mozambique.37 partner with subnational and national authorities to ensure that upstream watersheds are well managed to secure water security The World Bank is stepping up support to cities, including and flood regulation downstream. NBSs, such as restoration, technical assistance and financing, to help them protection, and management of mangroves, coral reefs, and decarbonize and build resilience. This means: (1) ensuring other coastal ecosystems, can reduce the impact of storm surges, policies, regulations and investments are in place to improve decrease climate vulnerability, and increase resilience.  urban air quality; (2) decarbonizing urban energy systems; and (3) promoting green and resource-efficient buildings and Examples in AFE of project aiming to increase urban infrastructure. For example, in 2021 the World Bank financed resilience through integrated landscape approaches include the study Safe to Breathe? Analyses and Recommendations Rwanda’s Second Urban Development Project (P165017, US$ for Improving Ambient Air Quality Management in Ethiopia 175.5 million), which presents a systemic, integrated approach which details the state of air quality in Ethiopia and offers to mainstreaming climate resilience into urban planning and policy recommendations to improve the country’s Air flood risk management, including integration of grey and green Quality Management. Such support can also: (1) include new infrastructure, use of NBSs, management of surrounding wetland construction or retrofitting; (2) promote integrated solid-waste ecosystems, solid waste management strategies, and overall flood management and circular-economy approaches; (3) improve risk management solutions; and the Mozambique’s Maputo urban transportation, including public transit and non-motorized Urban Transformation Project (P171449, US$ 100 million), which options; (4) improve the coverage and efficiency of urban finances several gray and green infrastructural interventions to sanitation and wastewater treatment; and (5) adopt nature- manage the risk of flooding in Maputo, along with regulatory based solutions (NBSs) for urban cooling. Improving urban land reforms to improve the financial sustainability of municipal storm use planning and regulations is particularly important. A key water management services, and a management plan for protected enabler of all this work will be the City Climate Finance Gap Fund.  areas to include specific activities and recommendations in consideration of climate change, flood risk, and biodiversity issues. The protection of ecosystems and NBSs to increase resilience of cities to climate shocks and stresses needs to Climate Shocks and Risk Management Poverty exacerbates the exposure to climate impacts. In 278 million in 1990 to 416 million in 2015, or approximately 41 Africa generally, poor people are more exposed to floods, drought, percent of the population.39 As discussed above, there is a similar and high temperatures than the rest of the population due to a proportion of LDCs in both AFE and in the Africa region and a higher vulnerability of assets and livelihoods, lower ability to cope similar proportion of poor populations in countries across sub- and recover from disasters, and the effects of risk on saving and Saharan Africa. Therefore, there is also a similar breakdown of investment behavior.38 This represents a sizable proportion of high vulnerability to climate impacts, with a slight bias towards the total population of the region, as the number of people living vulnerability to droughts of the poor population in AFE as in extreme poverty in the region has grown from an estimated compared to the Africa region overall due to eco-geographical 37 Hallegatte, Stéphane, Mook Bangalore, Laura Bonzanigo, Marianne Fay, Tamaro Kane, Ulf Narloch, Julie Rozenberg, David Treguer, and Adrien Vogt-Schilb. 2016. Shock Waves: Managing the Impacts of Climate Change on Poverty. Washington, DC: World Bank. doi:10.1596/978-1-4648-0673-5.  38 Hallegatte, Stéphane, Jun Rentschler, and Julie Rozenberg. 2019. Lifelines: The Resilient Infrastructure Opportunity. Washington, DC: World Bank. doi:10.1596/978-1-4648-1430-3  39 World Bank. 2018. Poverty and Shared Prosperity 2018: Piecing Together the Poverty Puzzle. Washington, DC: World Bank. https://openknowledge. worldbank.org/handle/10986/30418 68 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Deadvlei, Sossusvlei, Namibia. Credit: hdbernd/Unsplash differences between the subregions as discussed in the Ecosystem urgent and immediate attention. For durable outcomes, these Stability and Water Security section above, but similar in responses must go beyond the proximate causes to address vulnerability to floods and water-based disasters. the underlying drivers, including environmental and climate- related factors that jeopardize livelihoods and fuel conflicts. This By 2050, work-hour losses by country due to heat are should include investing in human capital, including in health, expected to result in GDP loss of 6 percent per annum in education, and job creation, as well as establishing adaptive the worst-affected regions. As warming increases, a 2 percent social protection systems which protect the most vulnerable per capita annual loss over 30 years could have cumulative households from the impacts of climate, and thus increasing effects— reducing by more than half the overall growth in GDP the overall climate resilience of the poorest. In particular, the per capita.40 Increases in average temperatures are predicted composition of social safety net portfolios at the World Bank to be stark in several AFE countries. In the past five decades, is highly diverse, ranging from ex-post emergency responses to countries such as Botswana, Sudan, and Uganda have already ex-ante, longer term socially sustainable tools. While safety net experienced substantial rise in temperature—from 1°C to over options are used to respond to climate shocks, if well-designed 3°C.41 Rwanda is especially at risk from the health effects of heat and integrated as part of larger development strategies, they can stress, and as such, it is the first country to adopt a road map also contribute to development goals. to adopt model regulations and supporting policies for energy- efficient and climate-friendly cooling solutions. Therefore, it Examples of proactive approaches in AFE to build climate could be considered that risk management of climate shocks resilience to shocks and improve risk management is of high priority for AFE, and particularly in terms of drought include the current Strengthen Ethiopia’s Adaptive Safety and heat stress risk management in cities across the region, and Net (P172479, US$ 512 million) project. This project will for risk of high impact storms and flooding on the Indian Ocean provide support for adaptation by rehabilitating the natural coastal cities.  resource base to achieve increased resilience to climate change, through: (1) a focus on integrated watershed development, Governments must shift from reactive to proactive and incorporating adaptive measures such as soil and water anticipatory responses. Addressing crisis hotspots requires conservation activities and sustainable infrastructure; (2) 40 SEforALL. 2018. Chilling Prospects: Providing Sustainable Cooling for All. Vienna, Austria: SEforALL (Sustainable Energy for All).  41 IMF. 2019. Fiscal Monitor: How to Mitigate Climate Change. Washington, DC: IMF (International Monetary Fund).  THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 69 public work activities for reforestation, land management and risk finance, social protection programs, and agriculture soil improvements to mitigate climate change as well as build and risk insurance programs. At a deeper structural level, resilience; and (3) the capacity to scale up in response to shocks. far-sighted planning and effective macroeconomic-resilient The project will also finance investments in underlying systems policy response needs to regularly integrate climate shocks to ensure adequate governance of the shock responsive safety and adaption into core macrostructural modelling, as climate net and the ability to deliver timely assistance. These include: change is a whole of economy issue, posing risks to poverty levels, (1) early warning and needs assessment systems; (2) pre- economic growth, and macroeconomic stability. Examples of negotiated approaches and mechanisms for financing disaster these in the region include, for instance, the Malawi Financial response which increases the predictability of financing; and Inclusion and Entrepreneurship Scaling Project (P168577, (3) evidence and resource driven planning and greater clarity US 86 million) which envisages the provision of de-risking in the systems and procedures to be used at all levels in the tools, such as agricultural insurance. Agricultural insurance as distribution and delivery of scaled-up responses.  a risk-management mechanism can contribute to increased productivity in agriculture and other related sectors by: (1) The use of digital technologies can also improve the managing climate-related risks; (2) improving access to credit resilience of communities to the impacts of climate by for farmers and small and medium enterprizes (SMEs); and providing access to transport and ICT infrastructure year- (3) contributing to macroeconomic stability. This project will round as well as access to economic centers/towns with carry out a feasibility study that will analyze the current state essential services, health clinics and schools, which can be of agricultural insurance markets and programs, identifying converted into shelters, in the event of natural disaster or any barriers to growth, and exploring potential opportunities extreme weather event. Having an increased connectivity also to expand crop and livestock insurance in Malawi, with a view brings better integration opportunities into the local economies, of enhancing the climate resilience of these sectors. Another another source of resilience. Examples of AFE projects taking this example is the Rwanda Access to Finance and Digital Inclusion approach include the Horn of Africa Gateway Development Project (P175273, $150M) which aims to increase access to Project (P161305, US$ 750 million) which aims to enhance finance and support recovery and resilience of businesses resilience of the information technology sector by building the affected by the COVID-19 pandemic. In doing so, it provides institutional capacity to coordinate and enhance mainstreaming a bridge lending window for vulnerable SMEs, which will fund climate change and natural disaster data, information and the creation of a new financial de-risking tool to cushion SMEs considerations at the sector level, and by putting in place against compounding climatic shocks. The tool will consist mechanisms linking climate change data and information with of a bridge-lending facility (Bridge Lending Window) [BLW]) national country planning processes. that will provide short term lending to climatic shock-affected vulnerable SMEs through a Business Development Fund (BDF) Finally, innovative financing mechanisms can help to and a backstop insurance mechanism to protect the BLW’s manage disasters and climate risk using an array of financial capital from depletion.  protection policies and instruments, including sovereign 70 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Africa West and Central (AFW) Annex 4:  Regional Climate Priorities Food Security and Resilient Rural Economy AFW has several LDCs with a lower GDP and per capita income, of CSA techniques. The project has been designed to build resilience with a high proportion of poor and vulnerable populations. against several climate risks facing the North of Cameroon, especially Therefore, one of the main concerns at the regional level, is food drought, extreme precipitation, and flooding, which would ultimately security for its vulnerable inhabitants, and how climate impacts impact food production and security in the region, through a series increase vulnerability of the agricultural food supply, particularly of interventions along the river basin management chain.  through droughts. Africa remained as the continent most affected by food crises, accounting for 54 percent of the global In the Sahel, drought and arid conditions are more prevalent total number of people in crisis or worse. Within Africa, AFW is than in the tropical central western Africa regions. Livestock one of the regions globally with the highest number of people and pastoral productive systems are more prevalent in the AFW in suffering food insecurity. Although not as stark as in AFE with 27 the Sahel belt. The integration of climate action across rangelands million people in food crisis in 2019, West Africa and the Sahel, and (natural landscape) and pastoral production systems addresses Cameroon accounted for more than 12 million people in food crisis. climate risks and vulnerabilities in this region by prioritizing Of these, Burkina Faso, Niger, Nigeria, and Cameroon accounted investments that help to increase the resilience of the agro-pastoral for 73 percent. It was also estimated that, due to protracted systems. A World Bank project that exemplifies this is the Regional conflict and insecurity in tandem with the damages incurred by Sahel Pastoralism Support Project II (P173197, US$ 375 million), 2019 flooding, many areas will either maintain or increase acute will provide investments including strengthening the capacity to food insecurity levels in parts of Central Africa for 2020 and after. improve animal production and health, promoting SLM, improving livestock value chains, and building social resilience through Overall, agriculture is one of the sectors most vulnerable economic improvement measures. This project will fill gaps in to climate change, particularly for the most vulnerable climate knowledge and data by supporting institutional capacity populations—small-scale producers in low- and middle-income to use satellite imagery and digitally disseminate information, and countries. Agriculture is also the largest engine of economic growth it will finance investments to enhance climate adaptation and in Africa, representing 15 percent of the continent’s total GDP in mitigation in pastoral livestock systems that provide livelihoods four countries in AFW it represents at least 20 percent of their GDP for millions of vulnerable people across the Sahel. Project activities (Chad, Mali, Nigeria, and Ghana). Therefore, integrating climate- will support climate adaptation by: (1) enhancing animal health resilient actions in the agricultural supply chain, as well as supporting (enabling animals to resist climate stress); (2) enhancing animal integrated SLM (including climate smart agriculture (CSA) and feeding through improved governance and management of sustainable forest management (SFM), is key in AFW.  pastoral lands (enabling livestock mobility and access to new grazing areas, restoring degraded rangelands, reducing water stress, and AFW is a subregion with several large rivers in its central areas increasing the availability of and access to cultivated fodder, to whose levels will fluctuate increasingly due to climate change— complement supplies from rangelands and pastoral ecosystems); making integration of climate variability into adequate river (3) enhancing and diversifying sources of revenue through climate- basin management key in this region. Providing an example smart investments along agro-pastoral value chains and alternative of in river basin management that integrates end-to-end climate livelihood options to cope with climate-related shocks; and (4) action to ensure water security for agricultural food production improving data, knowledge, skills, strategies, and awareness of is Cameroon’s Valorization of Investments in the Valley of the key stakeholders to take climate-informed and adapted decisions. Benue (P166072, US$ 200 million) project, which aims to provide Some interventions will also contribute to climate mitigation, water security through efficient governance of water resources, including but not limited to carbon sequestration on millions including by addressing water infrastructure safety and operations, of hectares of rangeland, improved feed efficiency, and energy- construction and rehabilitation of irrigation and drainage efficient infrastructure.  AFW countries need adaptive social infrastructure, and support to water users’ institutions. The project protection programs to enhance the resilience of their poorest includes flood-preparedness and transboundary cooperation in and most vulnerable populations to climate shocks, whether due to the Benue Valley that is part of the regionally significant Niger drought—more likely in AFW countries in the Sahel belt—or floods basin. In addition, it supports technical interventions to increase (threatening livelihoods but also physical infrastructure) and more the resilience of agricultural food production through introduction likely in AFW countries outside of the Sahel belt.  THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 71 Ecosystem Stability and Water Security Geography plays a key role in the types of climate impacts time supporting the preservation of natural forest ecosystems, expected and the kind of adaptations and solutions needed which will indirectly contribute to the resilience of productive for different regions in Africa. The Sub-Saharan Africa region ecosystems by preserving and enhancing the ecosystem services has three major climate types: (1) arid, including desert and they naturally provide. An initiative in AFW which supports steppe subtypes which are found mainly in the Sahel belt in the implementing payments through the REDD+ mechanism is the north of West Africa; (2) tropical, including rainforest, monsoon, Cote D’Ivoire Tai National Park Area Emission Reductions and savannah subtypes, which cover large parts of West Africa Payments Project (ERP) (P170309, US$ 82.5 million), where outside of the Sahel Belt; and (3) temperate, which is not very payments are shared among stakeholders that contributed prevalent in AFW. Overall, this translates into some differences in to emission reductions, with the aim to incentivize behavioral proportion of vulnerability to different climate challenges, with change to end deforestation and forest degradation practices, the countries in AFW more vulnerable to water-based impacts and reduce carbon emissions and leakage, through a Benefit (floods and coastal impacts from sea level rise and storm surges) Sharing Plan. The Benefit Sharing Plan incorporates both in the central/coastal countries, but more vulnerable to droughts monetary and nonmonetary benefits distribution. It is fully in the northern Sahel band.  aligned with the national REDD+ strategy adopted by the Government in 2017, and based on actions aimed at addressing AFW countries, which proportionally have a larger share the drivers of deforestation and forest degradation. The of forests, should take advantage of opportunities offered Emission Reductions Payment Agreement (ERPA) is part of a by performance-based payments for reducing emissions green development model that offers alternatives and results- from deforestation and forest degradation (REDD+) and based payment incentives to combat climate change, but also enhanced carbon stocks, as those supported by the Forest to diversify farmers’ incomes, create zero-deforestation cocoa Investment Program (FIP), under the Climate Investment production, protect natural resources, restore forest cover, and Facility (CIF). Perhaps as importantly, climate funds which are protect biodiversity. captured for financing carbon sequestration are at the same Resilient Energy and Low Carbon Development Emergence of renewable, off-grid solutions enable a new Low carbon energy policies contribute to improving Africa’s approach for electricity access, even in FCV countries macroeconomic resilience. This is an issue that affects some and subnational regions, in which grid-based electricity countries in AFW, where energy is one of the largest budgetary access is challenging due to security concerns, limited expenses and subsidies create external payment obligations in governance, and weak utilities. These countries—and hard currencies and make the countries vulnerable to global populations deprived from access to electricity services—are energy price shocks. A suite of policy actions for the low carbon also often the most vulnerable to climate change. Access to energy sector—which will include phaseout of fuel subsidies, modern energy services brings tangible benefits to empower optimizing electricity tariff, lowering cost of energy supply the communities to be more resilient to climate shocks, such through a shift in the energy mix and improved operational as using communication devices, solar-based water pumping efficiency, and managing energy demand growth—will help to mitigate drought impacts, increased access to electricity for countries reduce their energy-related expenditure and create the storage of agricultural products, and cooling technologies to fiscal space to invest in other developmental priorities. Examples cope with extreme heat (World Bank, 2020).42 Moreover, access of projects in AFW increasing the use of clean energy and to clean cooking solutions reduce pressure on deforestation and renewables while integrating climate resilience into the design ecosystem services that are essential to buffer climate shocks. of the electricity systems include: (1) The Liberia Electricity FCV countries and populations deprived of energy access exist Sector Strengthening and Access Project (LESSAP) in the AFW region and ensuring their connectivity to modern (P173416, US$ 59 million), which improves access to electricity energy services is a priority for both.  while promoting climate mitigation through the curbing of emissions from the sector through grid-connected and off-grid 42 World Bank. 2020. Next Generation Africa Climate Business Plan – Ramping Up Development Centered Climate Action. World Bank, Washington DC. 72 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN components (the off-grid component would extend solar PV natural resources (land use planning, water management and electricity services primarily to remotely located health facilities). sustainable financing) and in doing so strengthens Guinea’s The project supports the design and implementation of a pilot capacity to respond to its international engagements on for a more concessional approach to deploy solar home systems climate change including from mining and land use. The to households in very remote and dispersed communities and project components in particular include activities directly and support single-community smaller mini-grids in areas where it is indirectly related to climate change adaptation and mitigation feasible. This operation also addresses resilience by supporting related to mining activities and land use, including through: adaptation policies in the design of supported infrastructures. (1) improved land-use planning and zoning (A2); (2) managing The project will fully integrate resilience in its preparation and maps and cadasters to enable such planning, for example using design in line with the World Bank’s “Good Practice Note for the mining cadaster to ensure no mining licenses are provided Energy Sector Adaptation”; and (2) the Enhancing Sierra Leone within protected areas (B1); (3) ensuring through this planning Energy Access Project (P171059, US$ 50 million) will provide that protected areas will not be included in mining plans and or primarily mitigation co-benefits by increasing the use of clean activities; (4) ensuring that all major investments (such as mines, energy to substitute for the use of liquid fuel which has much roads, dams) follow high environmental and social standards higher GHGs emission. Under the project, the consumers will including impact mitigation hierarchy avoiding deforestation be provided with imported electricity which consists of 80 and forest degradation through strengthening the Ministry percent gas and 20 percent hydropower to substitute liquid of Environment’s capacities to systematic use and monitor all fuel electricity. Under the project’s off grid energy component, relevant environmental and social standards tools. all consumers will be provided with 100 percent solar-based electricity to substitute for liquid fuel electricity. The project will Recognizing that IBRD and IDA funding will not be enough also provide some adaption co-benefits by considering resilience to respond to the scale of the financing needs in the energy measures in designing the sub-transmission/distribution lines sector, the World Bank will use limited concessional and distribution network as well as the solar PV systems. resources to leverage other sources of finance, particularly Technical assistance will also be provided to strengthen climate from the private sector. To attract large amounts of private resilience of the power network through improved operation finance, the World Bank will support countries by providing and maintenance practices.  financial instruments to mitigate renewable energy investor risks. These include supporting special- purpose vehicles and escrow Mineral-rich countries that make it a priority to reduce accounts to mitigate investor risk, as well as restructuring utility emissions from mineral production, through climate-smart debt and aiding financial recovery to reduce off-taker risk for mining practices, could integrate their decarbonization Independent Power Producers and enforce payment discipline. efforts in their NDCs under the Paris Agreement. An example The World Bank will work with MIGA and IFC to provide risk of an AFW project integrating climate action across extractive guarantees (partial risk guarantees), strategic concessional (mining) and natural landscapes, is the Guinea Natural financing, and blended climate finance maximizing synergies Resources, Mining and Environmental Management Project with relevant trust funds, with the Green Climate Fund and with (P168613, US$ 65 million), which supports the development of the forthcoming Climate Investment Facility (CIF) investment tools to enhance intersectoral management of mining and program on renewable energy integration.  THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 73 Resilient Cities and Green Mobility Poor urban households in Africa are more exposed to floods which 60 percent was urban (World Bank, 2021b).44 About 90 than the global average.43 This is more prominent in AFW percent of the industries in Senegal are located within the Dakar where poor households are overexposed and in countries with coastal zone. In Ghana, Benin, Togo, Sierra Leone, and Nigeria, large rivers (such as Benin, Cameroon, and Nigeria). The densely most of the economic activities that form the backbone of the populated Niger Delta is directly exposed to sea level rise, storm national economies are located within the coastal zone. The surges, erosion, and land subsidence. Another highly relevant coastal nations of west and central Africa have low-lying lagoonal aspect of African cities’ vulnerability to climate are their lack of coasts that are susceptible to erosion and hence are threatened appropriate solid waste management and drainage/sewerage by sea-level rise and storm surges, in addition to marine and systems, which can be important elements conducive to flooding, coastal pollution issues which exacerbate coastal and riverine along with an increase in water-borne diseases. In AFW countries flooding. In the areas of coastal resilience and urban resilience, such as Niger, this is reflected as one of their main targets for NBSs, including green infrastructure, will play a critical role in improvement in terms of adaptation under their NDCs. meeting the climate challenge, and the World Bank is working to scale up the adoption and integration of these next-generation The World Bank will step up support to cities, including solutions into sustainable investments. NBSs that use ecosystem- technical assistance and financing, to help them decarbonize based approaches and hybrid green-grey interventions are and build resilience. This means ensuring policies, regulations critical tools for addressing climate adaptation and mitigation and investments are in place to: (1) improve urban air quality; challenges while driving biodiversity and ecosystem services. In (2) decarbonize urban energy systems; (3) promote green the case of coastal resilience, this includes conserving coastal and resource-efficient buildings and infrastructure—whether ecosystems that naturally mitigate impacts from sea level rise through new construction or retrofitting; (4) promote integrated and storm surge, and implementing combinations of green and solid-waste management and circular-economy approaches; (5) grey infrastructure by technical design to this purpose (such as improve urban transportation, including public transit and non- by growing artificial reefs or planting vegetation on sand dunes). motorized options; (6) improve the coverage and efficiency of urban sanitation and wastewater treatment; and (7) adopt The World Bank is working to scale up its work on NBS NBS for urban cooling. Improving urban land use planning and through the development of a dedicated global program regulations is particularly important. A key enabler of all this that will strengthen support to governments and World work will be the City Climate Finance Gap Fund.  Bank teams. This will translate down the line into greater IDA and IBRD investments dedicated to NBS addressing climate The protection of ecosystems and NBSs to increase challenges. Examples of projects addressing urban resilience in resilience of cities to climate shocks and stresses need to the coastal zone in AFW include Senegal’s Additional Financing be integrated into climate-smart city plans. Ensuring a stable for Saint-Louis Emergency Recovery and Resilience Project and cheap water supply for the growing urban population and (P170954, US$ 50 million), which seeks to reduce the vulnerability managing for the increasing frequency of floods may require of populations to coastal hazards along the Langue de Barbarie cooperation with catchments beyond city jurisdictions—in coastal strip and strengthen urban and coastal resilience planning addition to proximate catchments. City governments must of the city of Saint-Louis. It will do this through: (1) financing the partner with subnational and national authorities to ensure that temporary needs of displaced populations from the Langue de upstream watersheds are well managed to secure water security Barbarie affected by storm surge and coastal erosion disasters; and flood regulation downstream. NBSs, such as restoration, (2) planned relocation of the most vulnerable population along protection, and management of mangroves, coral reefs, and the Langue de Barbarie to the permanent relocation site; and (3) other coastal ecosystems, can reduce the impact of storm surges, urban and coastal resilience planning through development of decrease climate vulnerability, and increase resilience.  detailed urban development plans for local communities, as well as implementing early warning systems for coastal climate risks. A large percentage of West Africa’s urban population lives Regionally, the West Africa Coastal Area (WACA) Resilience in coastal cities. For example, in 2006 in Nigeria, about 40.4 Investment Project and its currently active AF (P168908, US$ million people (19 percent of the national population) lived along 6 million), provide a good model of coastal zone adaptation the coastal zone; about 7.8 million people in Senegal (52 percent to climate change in urban and rural coastal communities, of the national population) live in the Dakar coastal area, of addressing physical and socioeconomic vulnerability to the 43 Hallegatte, Stéphane, Mook Bangalore, Laura Bonzanigo, Marianne Fay, Tamaro Kane, Ulf Narloch, Julie Rozenberg, David Treguer, and Adrien Vogt-Schilb. 2016. Shock Waves: Managing the Impacts of Climate Change on Poverty. Washington, DC: World Bank. doi:10.1596/978-1-4648-0673-5.  44 World Bank 2021b. West Africa Coastal Areas Management Program. Accessed September 2021 at: https://www.wacaprogram.org/country 74 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN coastal impacts of climate change, such as sea level rise and Local Development and Resilience Project (P175382, US$ 350 coastal erosion. Ecosystem based adaptation approaches (a type million), is an example of a project which introduces improved road of NBS), such as mangrove restoration as coastal protection, are design standards and data for climate change adaptation including frequently supported through this regional project.  hydraulic sizing of medium-size drainage structures (that is, bridges and culverts) at the engineering design stage using hydrologic data Securing sound road maintenance practices is critical based on climate change projections and the most recent rainfall to minimize and adapt to the impacts of climate change. data as developed by Burkina Faso’s weather forecast agency. A Analysis conducted by the World Bank (Hallegatte, Rentschler recent World Bank analysis covering most road funds in Africa and Rozenberg, 2019)45 shows that road maintenance is the first points out that in some countries, road funds could generate and most economical line of defense against climate change. resources based on user charges. These could be dedicated more Precipitation caused by climate change is expected to lead to efficiently to cover maintenance needs combined with rehabilitation rehabilitation costs 10 times above historical conditions, and stresses investments under performance-based contracts (World Bank/IFC imposed by flooding will lead to a 17-fold increase. Countries in AFW, 2019).46 By strengthening mobility services, overall national resilience being overall more prone to flooding, would be more vulnerable improves because mobility of people and goods is a fundamental to road erosion and therefore in higher need of road design and component of resilience to shocks.  maintenance for resilience. In AFW, the Burkina Faso Emergency Climate Shocks and Risk Management Poverty exacerbates the exposure to climate impacts. should include investing in human capital, including in health, In Africa generally, poor people are more exposed to floods, education, and job creation, as well as establishing adaptive drought, and high temperatures than the rest of the population social protection systems which protect the most vulnerable due to a higher vulnerability of assets and livelihoods, lower households from the impacts of climate, and thus increasing ability to cope and recover from disasters, and the effects of the overall climate resilience of the poorest. In particular, the risk on saving and investment behavior. This represents a sizable composition of social safety net portfolios at the World Bank proportion of the total population of the region, as the number is highly diverse, ranging from ex-post emergency responses to of people living in extreme poverty in the region has grown ex-ante, longer-term socially sustainable tools. While safety net from an estimated 278 million in 1990 to 416 million in 2015, or options are used to respond to climate shocks, if well-designed approximately 41 percent of the population.47 Given that there is a and integrated as part of larger development strategies, they similar proportion of LDCs in both AFE and AFW, there is a similar can also contribute to development goals. Examples of proactive proportion of poor populations in countries across sub-Saharan approaches in AFW to build climate resilience to shocks Africa. There is also a similar breakdown of high vulnerability to and improve risk management include the current Chad’s climate impacts, with a slight bias towards vulnerability to floods Additional Financing to Refugees and Host Communities of the poor population in AFW as compared to AFE due to eco- Support Project (P172255, US$ 75 million), which expands on an geographical differences between the subregions as discussed ‘adaptive cash transfers’ pilot implemented under the regional in the Ecosystem Stability and Water Security section above, but Sahel Adaptive Social Protection Program (SASPP), to tackle similar in vulnerability to droughts. food insecurity and the economic impact of the COVID-19 crisis. The purpose of the SASPP is to build resilience of households to Governments must shift from reactive to proactive and covariate shocks such as drought or floods which, among other anticipatory responses. Addressing crisis hotspots requires factors, play an important role in the food insecurity experienced urgent and immediate attention. For durable outcomes, these by poor and vulnerable households. In Chad, the traditionally responses must go beyond the proximate causes to address food insecure areas (suffering from a significant lack of access to the underlying drivers, including environmental and climate- water), overlap with refugee hosting areas. The SASPP is entering related factors that jeopardize livelihoods and fuel conflicts. This its second phase (2020-2025) and is expanding on pilot activities 45 Hallegatte, Stéphane, Jun Rentschler, and Julie Rozenberg. 2019. Lifelines: The Resilient Infrastructure Opportunity. Washington, DC: World Bank. doi:10.1596/978-1-4648-1430-3 46 World Bank/IFC. 2019. Scaling Up Private Sector Participation in Road Asset Management in Sub-Saharan Africa. Agency Report. 47 World Bank. 2018. Poverty and Shared Prosperity 2018: Piecing Together the Poverty Puzzle. Washington, DC: World Bank. https://openknowledge. worldbank.org/handle/10986/30418 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 75 such as shock responsive cash transfers and productive inclusion transformational impact through macro fiscal reform is undertaken across countries between 2015 and 2019. Adaptive the Nigeria SFTAS (Strengthening Fiscal Transparency, safety nets delivery can help the government and its partners Accountability and Sustainability) Additional Financing transition from ad hoc emergency response to a longer-term, for Covid-19 Response PforR (P174042, US$ 750 million). The planned approach aimed at: (1) proactively building resilience Program for Results (PforR) will support Nigerian states to and strengthening livelihoods at the household level; and (2) include climate change budget tagging in their FY21 and FY22 designing systems that can scale up (vertically by increasing Annual Budgets, subsequent presentation in their Citizens transfers to beneficiaries or horizontally by expanding coverage) Budgets, and reporting in budget implementation reports. in case of an emergency. Funds from the SASPP trust fund will All 36 states of Nigeria will be provided technical assistance support the scale up of adaptive cash transfers under the Chad on the identification of climate change related activities and additional financing reaching up to 14,000 beneficiaries during expenditures and how these can be tagged in the budget in a the duration of the project. This will be complemented with manner that can also allow subsequent monitoring of actual additional technical assistance to national institutions working expenditures incurred against the allocations. States will also be on early warning systems.  supported to disclose the climate change related expenditures as part of their quarterly budget implementation reports. A At a deeper structural level, far-sighted planning and planned package of technical assistance support includes effective macroeconomic-resilient policy response needs sensitization to the states at the political and technical level, to regularly integrate climate shocks and adaption into provision of comprehensive toolkits with guidelines, Microsoft core macrostructural modelling, as climate change is a Excel-based templates and videos, delivery of virtual and face whole of economy issue, posing risks to poverty levels, to face technical workshops, and customized advisory support economic growth, and macroeconomic stability. In AFW, to individual States reviewing drafts of documents prepared. a unique, innovative example of this, with the potential for 76 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN  ull List of FY21-22 Projects Tagged for Annex 5: F Primary Strategic Direction/Special Area of Emphasis in NG-ACBP Food Security and Resilient Rural Economy FY Project Project Title Financing Number (US$ million) 21 P170604 Additional Financing of the Smallholder Commercialization and Agribusiness Development 30.00 Project P164184 Guinea Commercial Agriculture Development Project 100.00 P174336 Guinea-Bissau Emergency Food Security Project 15.00 P173398 Accelerating Impacts of CGIAR Climate Research for Africa (AICCRA) 60.00 P174114* NIGERIA: COVID-19 Action Recovery and Economic Stimulus Program 750.00 P174315 Burkina Faso COVID-19 Crisis-Response Development Policy Financing 100.00 P173197* Regional Sahel Pastoralism Support Project II 375.00 P171613* Cote d'Ivoire Agri-Food Sector Development Project 250.00 P175263* Liberia: Rural Economic Transformation Project 55.00 P176418* Additional Financing to Agricultural and Livestock Transformation Project 39.54 P176754* Central African Republic (CAR) Emergency Food Crisis Response Project 50.00 P164920* Tanzania Roads to Inclusion and Socioeconomic Opportunities (RISE) Project 300.00 P168074* AGP2 - Additional Financing 80.00 P168577 Financial Inclusion and Entrepreneurship Scaling Project 86.00 P169021* National Agriculture Development Program 500.00 P169120* South Sudan Resilient Agricultural Livelihoods Project 62.50 P172479* Strengthen Ethiopia’s Adaptive Safety Net 512.50 P174002* Sustainable Rural Economy Program 150.00 P174546* Emergency Locust Response Project 53.70 P176368* Shock Responsive Safety Net for Human Capital Project Additional Financing 110.00 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 77 FY Project Project Title Financing Number (US$ million) 22 P172769* West Africa Food System Resilience Program (FSRP) 330.00 P175614* Climate Resilient Agriculture and Productivity Enhancement Project (PROPAD) – Additional 15.00 Financing P173240 Acceleration of the Digital Transformation of Cameroon Project 100.00 22 P173070* Gambia Inclusive and Resilient Agricultural Value Chain Development Project (GIRAV) 40.00 P160865* Livestock Productivity and Resilience Support Project 500.00 P176758* National Agricultural Value Chain Development Project (Navcdp) 250.00 P177606* Support for Resilient Livelihoods in the South of Madagascar AF 100.00 P171462* Commercialization and De-Risking for Agricultural Transformation Project 300.00 P176744 Additional Financing for the ACE II Project 70.00 P177305* Smallholder Agricultural Transformation Project 300.00 P177782 Emergency Project to Combat the Food Crisis in Cameroon 100.00 P178434* Emergency Locust Response Program Phase 1 Ethiopia Additional Finance 60.00 P178566* Food Systems Resilience Program for Eastern and Southern Africa 788.10 P178650 Burkina Faso Emergency Local Development and Resilience Project - Additional Financing 123.00 P173677 Liberia Women Empowerment Project 44.60 P178816 DRC Multisectoral Nutrition and Health Project 50.00 * Projects with over 20 percent Climate Co-Benefits 78 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN Ecosystem Services and Water Security FY Project Project Title Financing Number (US million) 21 P166072 Valorization of Investments in the Valley of the Benue 200.00 P168613* Guinea Natural Resources, Mining and Environmental Management Project 65.00 P169267 Support to Land and Mining Management Strengthening Project 150.00 P174041 Uganda COVID-19 Response and Emergency Preparedness Project 12.50 P174635* Northern Mozambique Rural Resilience Project 150.00 P176449* Additional Financing to the Sustainable Landscape Management Project 40.00 22 P174414* Niger Integrated Water Security Platform Project (Niger-IWSP Project) 400.00 P171933* Ghana Landscape Restoration and Small-Scale Mining Project 75.00 P168772* Valorization of Investments in the Valley of the Logone 200.00 P173529* Burkina Faso Third Fiscal Management, Sustainable Growth, and Service Delivery 200.00 Development Policy Financing P175342 SL First Inclusive and Sustainable Growth DPO 75.00 P175237* Agro-Climatic Resilience in Semi-Arid Landscapes (ACReSAL) 700.00 P172012* Liberia Sustainable Management of Fisheries Project 40.00 P176704* Additional Financing for Coastal Region Water Security and Climate Resilience Project 150.00 P177004* Climate Resilience and Water Security in Angola-RECLIMA 300.00 P175982* Forest Investment Project, phase 2 P175982 P174477* Madagascar National Water Project P174477 P170482 Communal Climate Action and Landscape Management Project P170482 P174867* Horn of Africa - Groundwater for Resilience Project P174867 P176981 Resilient Tourism and Blue Economy Development in Cabo Verde Project P176981 P176575* Shire Valley Transformation Program - Phase 2 P176575 P177031 Sierra Leone Land Administration Project P177031 P177179 Tourism Diversification and Resilience in The Gambia P177179 P177983* Second Additional Financing for the Rwanda Quality Basic Education for Human Capital P177983 Development Project * Projects with over 20 percent Climate Co-Benefits THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 79 Low Carbon and Resilient Energy FY Project Project Title Financing Number (US$ million) 21 P171225 West Africa Regional Energy Trade Development Policy Financing Program 300.00 P173113 Niger Second Laying the Foundation for Inclusive Development Policy Financing 250.00 P169921 Edo Basic Education Sector and Skills Transformation Operation 75.00 P172749 Benin Second Fiscal Management and Structural Transformation DPF 100.00 P171059* Enhancing Sierra Leone Energy Access 50.00 P172891* Nigeria Distribution Sector Recovery Program 500.00 P174885* Regional Off-Grid Electricity Access Project Additional Financing 15.00 P173416* Liberia Electricity Sector Strengthening and Access Project (LESSAP) 59.00 P174757 Senegal Jobs, Economic Transformation & Recovery Program 125.00 P176441 Sierra Leone COVID-19 Emergency Preparedness and Response Project Additional 5.00 Financing P176335 Togo, Additional Financing to the COVID-19 Emergency Response and System 25.00 Preparedness Strengthening Project P167569* Regional Electricity Access and BEST Project 465.00 P176485 Ghana COVID-19 Emergency Preparedness and Response Project Second Additional Financing 200.00 P173749* Benin Electricity Access Scale-up (BEAS) Project 200.00 P166785* Solar Energy and Access Project 75.00 P176562 Second Additional Financing for the COVID-19 Preparedness and Response Project 30.00 P176336 Additional Financing on Vaccines for the Liberia COVID-19 Emergency Response Project 7.00 P176526 Additional Financing for the Mauritania COVID-19 Strategic Preparedness and Response 15.00 Project (SPRP) P176706 Additional Financing for COVID-19 Emergency Response and System Preparedness 28.20 Strengthening Project P176721 Guinea-Bissau Covid-19 Vaccine Project 5.00 P177181 Cabo Verde COVID-19 Emergency Response Project - Third Additional Financing 10.00 P166805* Angola - Electricity Sector Improvement and Access Project 250.00 P169561* Zanzibar Energy Sector Transformation and Access Project 117.00 80 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN FY Project Project Title Financing Number (US$ million) 21 P171742* Access to Distributed Electricity and Lighting in Ethiopia (ADELE) 500.00 P172594 Rwanda - Energy Access and Quality Improvement Project 150.00 P175139* Sudan Reengagement and Reform Development Policy Financing 1375.00 22 P166685* Electricity Access Scale-up Project (EASP) 568.00 P176347 Republic of Mali Second Additional Financing to MALI COVID-19 Emergency Response 52.50 Project P170236* Renewable Energy and Improved Utility Performance Project 7.00 P176513* Benin First Unlocking Human and Productive Potential DPO series 100.00 P174034* Niger Accelerating Electricity Access Project (Haské) 310.00 P173088* Somali Electricity Sector Recovery Project 150.00 P175295* Sustainable Energy and Broadband Access in Rural Mozambique Project 300.00 P173506* Access Governance & Reform for the Electricity and Water Sectors Project 600.00 P174495* Chad Energy Access Scale Up Project 295.00 P176620* Senegal Energy Access Scale Up Project 150.00 P172723 First Equitable and Resilient Recovery in Senegal DPF 300.00 P173168 Primary Health Care Investment Program 150.00 P176683 CAR-Electricity Sector Strengthening and Access Project 83.00 P176707 Additional Financing for the Energy Access and Quality Improvement Project 14.35 P177646* Comoros Solar Energy Access Project 40.00 P178615 AF for Comoros Support to COVID-19 Vaccine Purchase and Health System Strengthening 25.00 P178886* Additional Financing for Somalia COVID-19 Vaccination Project 20.00 P178894 Niger COVID-19 Emergency Response Project- Second Additional Financing 26.70 P178914* Emergency Power Restoration Project 60.00 * Projects with over 20 percent Climate Co-Benefits THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 81 Urban Resilience and Green Mobility FY Project Project Title Financing Number (US$ million) 21 P167543 Niger: Smart Villages for rural growth and digital inclusion 100.00 P170452 Burkina Faso - Education Access and Quality Improvement Project Additional Financing 100.00 P171620* Ghana Additional Financing for Greater Accra Metropolitan Area Sanitation and Water Project 125.00 P175382* Burkina Faso Emergency Local Development and Resilience Project 350.00 P174600* Chad Rural Mobility and Connectivity Project - Additional Financing 15.00 P171793* Enhancing Niger Northeastern Connectivity 175.00 P168332 Third Fiscal Consolidation and Inclusive Growth DPO 100.00 P170734* Nigeria Sustainable Urban and Rural Water Supply, Sanitation and Hygiene 700.00 Program-for-Results P168608* Resilient Urban Sierra Leone Project 50.00 P176450* CAR - Emergency Infrastructure and Connectivity Recovery Project 75.00 P160766 Digital Tanzania Project 150.00 P161305 Horn Of Africa Gateway Development Project 750.00 P164847* Southern Africa Trade and Connectivity Project 380.00 P165017 Second Rwanda Urban Development Project 150.00 P165128* Boosting Inclusive Growth for Zanzibar: Integrated Development Project 150.00 P167814 Second Kenya Informal Settlements Improvement Project 150.00 P171034 Ethiopia Digital Foundations Project 200.00 P171141* Kinshasa Multisector Development and Urban Resilience Project 500.00 P171305 Uganda Digital Acceleration Project - GovNet 200.00 P171339 Uganda: Roads and Bridges in the Refugee Hosting Districts/Koboko-Yumbe-Moyo Road 130.80 Corridor Project P171449* Maputo Urban Transformation Project 100.00 P171664 Economic Linkages for Diversification 100.00 P174769 Somalia Capacity Advancement, Livelihoods and Entrepreneurship, through Digital Uplift 50.00 Project (Scaled Up) Additional Financing 82 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN FY Project Project Title Financing Number (US$ million) 21 P175087* Additional Financing to Integrated Urban Development and Resilience Project 50.00 for Greater Antananarivo P176157 Northern Crisis Recovery Project 100.00 P176811* Madagascar Road Sector Sustainability Project 200.00 22 P176775* Mali Rural Mobility and Connectivity - Additional Financing 30.00 P168386* Lome-Ouagadougou-Niamey Economic Corridor 470.00 P175751* Additional Financing for the Southern Africa Trade and Transport Facilitation (Phase 2) Project 22.28 P173373 Digital Acceleration Project 100.00 P173711* Connecting Madagascar for Inclusive Growth 400.00 P167798* Cameroon-Chad Transport Corridor 538.00 P176448* Additional Financing for Mozambique Urban Sanitation Project 50.00 P176419* Enhancing Connectivity in the Northern and Central Agricultural Production Areas of Senegal 200.00 P176995* Additional Financing for Lilongwe Water and Sanitation Project 45.00 P175266* Mozambique Northern Urban Development Project 100.00 P174814 Great Lakes Trade Facilitation and Integration Project 250.00 P171189* Tanzania Cities Transforming Infrastructure & Competitiveness Project 278.00 P175660* Greater Kampala Metropolitan Area Urban Development Program 566.00 P167795* Douala Urban Mobility Project 420.00 P176274 CAR Investment and Business Competitiveness for Employment 30.00 P165660* Tanzania Transport Integration Project 550.00 P161877* DRC Transport and Connectivity Support Project 500.00 P169718 Liberia Urban Resilience Project 40.00 P177247 Additional Financing for Second Rwanda Urban Development Project 10.23 P178427 Ghana Secondary Cities Support Program Additional Financing 145.00 * Projects with over 20 percent Climate Co-Benefits THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 83 Managing Climate Shocks FY Project Project Title Financing Number (US$ million) 21 P170561 Secondary Education and Skills Development Project 125.00 P170664 Adolescent Girls Initiative for Learning and Empowerment 500.00 P174155 Mauritania COVID-19 Emergency DPO 70.00 P164271 Governance of Extractives for Local Development & COVID-19 response Project 100.00 P173980 Nigeria COVID-19 Preparedness and Response Project 100.00 P170954 Senegal - Additional Financing for Saint-Louis Emergency Recovery and Resilience Project 50.00 P168474 Second Consolidation and Social Inclusion Development Program 50.00 P172255 Additional Financing to Refugees and Host Communities Support Project 75.00 P174376 Togo Emergency Covid-19 DPO 2021 70.00 P174108 Cameroon COVID-19 Preparedness and Response Project 29.00 P173287 The Gambia Essential Health Services Strengthening Project 30.00 P163143 Mauritania - Basic Education Sector Support Project - Phase 2 40.00 P174839 Ghana Covid-19 Emergency Preparedness and Response Project Additional Financing 130.00 P172885 Additional Financing for the Education Reform Support Project 45.00 P174547* AF for COVID-19 Response under the Service Delivery and Support to Communities 16.00 Affected by Displacement Project P170425 Benin Youth Inclusion Project 60.00 P171854 Congo Rep. Additional Financing for Skills Development for Employability Project 15.00 P175946 Additional Financing for COVID-19 Response to the Social Inclusion Project 10.00 P175807 COVID-19 Emergency Response Project Additional Financing on Vaccines 5.00 P174110 Cote D'Ivoire COVID-19 Emergency DPO 2021 300.00 P164032 Mali Improving Education Quality and Results for All Project (MIQRA) 80.00 84 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN FY Project Project Title Financing Number (US$ million) 21 P173013* Niger Adaptive Safety Net Project 2 Additional Financing 100.00 P174266 Togo Essential Quality Health Services for Universal Health Coverage Project 70.00 P174417 Recovery of Economic Activity for Liberian Informal Sector Employment Project 10.00 P175588* Ghana Productive Safety Net Project 2 100.00 P176257 Côte d’Ivoire COVID-19 Strategic Preparedness and Response Project Additional Financing 100.00 on Vaccines P176125 Second AF to The Gambia COVID-19 Vaccine Preparedness and Response Project 8.00 P175805 Republic of Congo COVID-19 Emergency Response Project - Additional Financing 12.00 P175992 Additional Financing for the Senegal COVID-19 Response Project 134.00 P173344* Third Additional Financing for Social Safety Net Project 80.00 P167890 Republic of Congo, Kobikisa Health System Strengthening Project 50.00 P173830* Community-Based Recovery and Stabilization Project for the Sahel 352.50 P176460 Additional Financing to the Safety Nets and Basic Services Project 20.00 P176313* West Africa Coastal Areas Resilience Investment Project AF BN-TG 36.00 P164416 Burundi Skills for Jobs: Women and Youth Project 80.00 P166415* Higher Education for Economic Transformation Project 425.00 P166570 Uganda Secondary Education Expansion Project 150.00 P167054 Improvement of Skills Development in Mozambique 104.00 P168335 STP COVID-19 Human and Economic Response, Recovery and Resilience DPO 10.00 P168336 Second Angola Growth and Inclusion Development Policy Financing Operation 700.00 P168699 Girls Empowerment and Learning for All Project 250.00 P168993 Strengthening Quality of the Social Protection System 30.00 P169222 Girls Empowerment and Quality Education for All Project 15.00 P169413 Digital Governance and Identification Management System Project- PRODIGY 140.00 P169943 Urban Productive Safety Net and Jobs Project 400.00 P169949 South Sudan Enhancing Community Resilience and Local Governance Project 45.00 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 85 FY Project Project Title Financing Number (US$ million) 21 P176824 Additional Financing for the Sudan COVID-19 Emergency Response Project 22.00 P176841 Support to COVID-19 Vaccine Purchase and Health System Strengthening 100.00 P176751 Additional Financing for the Equity with Quality and Learning at Secondary 150.00 P176215 Additional Financing DRC COVID-19 Strategic Preparedness and Response Project 75.00 22 P173178 Managing Public Resources for Service Delivery 80.00 P171238 Mauritania 2nd Second Private Sector, Digital, and Human Capital Reform DPF 30.00 P172800 Cote d'Ivoire Youth Employment and Skills Development Project - Phase 3 150.00 P172504 Health System Performance Strengthening Project 90.00 P172674 Togo, Improving Quality and Equity of Basic Education Project 45.00 P176464 Gabonese Republic Additional Financing for COVID-19 Strategic Preparedness and Response 12.00 P172102 Sierra Leone - Quality Essential Health Services and Systems Support Project 40.00 P171767 Niger, Improving Women’s and Girls’ Access to Improved Health and Nutrition Services in 100.00 the Priority Areas Project – LAFIA-IYAL P176385 Additional financing for the Chad COVID-19 Strategic Preparedness and Response Project 38.20 P175768 Benin Vocational Education and Entrepreneurship for Jobs Project 300.00 P177076 Nigeria COVID-19 Preparedness and Response Project Additional Financing 400.00 P174754 Cabo Verde: First Sustainable and Equitable Recovery DPF 30.00 P174903 Pandemic Preparedness and Basic Health Services Delivery Project 100.00 P176935 National Social Safety Net Program-Scale Up 800.00 P177263 AF to The Gambia Essential Health Services Strengthening Project 50.00 P177850 Sierra Leone COVID-19 Emergency Preparedness and Response Project Second 18.10 Additional Financing P176630 Angola COVID-19 Strategic Preparedness and Response Project 150.00 P175298* Investing in Inclusive Human Capital Development in Northern Mozambique Project 100.00 P175327* Cash for Jobs Project 150.00 P173065* Financing Locally Led Climate Action Program 150.00 86 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN FY Project Project Title Financing Number (US$ million) 22 P176997* Additional Financing for Strengthen Ethiopia’s Adaptive Safety Net Project 37.50 P174329 Malawi Education Reform Program Project 93.50 P176956 Somalia COVID-19 Emergency Vaccination Project 45.00 P172350 Digital Governance and Economy Project 150.00 P169916 SENEGAL - Project for the Improvement of Education System Performance - PAPSE 100.00 P173640* Social Protection and Economic Resilience Project 126.50 P169380 Boost Primary Student Learning 500.00 P173518* Rural and Small Towns Water Security Project 150.00 P172922 Additional Financing to the Citizen-Centric Judicial Modernization and Justice Service 90.00 Delivery Project P176420* Seychelles First Fiscal Sustainability and Climate Resilience Development Policy Financing 35.00 P174274 Second STP COVID-19 Recovery and Resilience Development Policy Operation 12.00 P173680 Second Programmatic Human Capital for Inclusive Growth DPF 175.00 P171762 Enhancing Collection of Revenue and Expenditure Management Project 250.00 P175325* Casamance Economic Development Project 45.00 P175363* Adaptive Safety Nets and Economic Inclusion Project 160.00 P175043* Gulf of Guinea Northern Regions Social Cohesion project 450.00 P176789* Productive Social Safety Nets and Youth Employment 40.00 P176867 Primary Education Equity in Learning Program 200.00 P177093* Enhancing Community Resilience and Local Governance Project Phase II 120.00 P177273 Additional Financing to Uganda COVID-19 Response and Emergency Preparedness Project 164.30 P177618 Central African Republic COVID-19 Preparedness & Response Additional Financing 25.50 P177843* Additional Financing to Emergency Locust Response Project 35.00 P177906 Second AF for the Ethiopia Covid-19 Emergency Response Project 206.00 P177956 Togo Second Additional Financing to the COVID-19 Emergency Response and Systems 25.00 Preparedness Strengthening Project THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 87 FY Project Project Title Financing Number (US$ million) 22 P178043 Angola Strengthening Statistical Capacity 60.00 P178068 COVID-19 Strategic Preparedness and Response Project Additional Financing 100.00 P178070 Northern Crisis Recovery Project - Additional Financing 100.00 P178100 Second Additional Financing for the Mauritania COVID-19 Strategic Preparedness and 20.00 Response Project (SPRP) P178102 South Sudan COVID-19 Emergency Response and Health Systems Preparedness Additional 200.00 Financing P178279 Additional Financing to Support to COVID-19 vaccine purchase and health system 41.00 strengthening P178282 Third Additional Financing Rwanda COVID-19 Emergency Response Project 32.00 P172940 Benin Health System Enhancement Program 187.00 P173151 Strengthening Early Childhood Development and Basic Education Systems to Support 27.35 Human Capital Development in Eswatini Project P173114 Comoros Interisland Connectivity Project 20.00 P175857 Niger Integrated Urban Development and Multi-sectoral Resilience Project 250.00 P175592 Congo Digital Acceleration Project 100.00 P177003 CAR Health Service Delivery and System Strengthening Project (SENI-Plus) 58.00 P176371 Eastern Africa Regional Statistics Program-for-Results 301.00 P175828 Cabo Verde Human Capital Project 26.00 P176517* De-risking, inclusion and value enhancement of pastoral economies in the Horn of Africa 327.50 P176898 Somalia Empowering Women through Education and Skills Project - "Rajo Kaaba" 25.00 P176396 Burundi Digital Foundations Project 50.00 P175594 Côte d'Ivoire Social Safety Nets System Strengthening Program 200.00 P175803 CHAD Improving Learning Outcomes Project 150.00 P176948 Enhancing Connectivity in Northern Guinea-Bissau Project 70.00 P177233* Response - Recovery - Resilience for Conflict-Affected Communities in Ethiopia Project 300.00 P177453 First Additional Financing for the Lisungi Emergency COVID-19 Response Project 83.00 88 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN FY Project Project Title Financing Number (US$ million) 22 P177663* South Sudan Productive Safety Net for Socioeconomic Opportunities Project 129.00 P177814 Pathways to Sustainable Livelihoods Project 26.50 P177836 Côte d'Ivoire COVID-19 Strategic Preparedness and Response Project Second AF 80.00 P177900 Somalia Recurrent Cost & Reform Financing Project - Phase 3 - Additional Financing 62.00 P178018 Social Protection COVID-19 response and recovery 18.00 P178047 Development Response to Displacement Impacts Project in the Horn of Africa Phase II 180.00 P178054 Ghana COVID-19 Emergency Preparedness and Response Project Third Additional Financing 60.60 P178095 Second Additional Financing for Malawi COVID-19 Emergency Response and Health 49.90 Systems Preparedness Project P174822 Niger - Public Sector Management for Resilience and Service Delivery 191.50 P177813* Additional Financing for Social Support for Resilient Livelihoods Project 187.50 P178126 AF3 Republic of Congo COVID-19 Emergency Response Project 30.00 P178965 Third AF to The Gambia COVID-19 Vaccine Preparedness and Response Project 12.00 P179095 Scaling up Shock Responsive Social Protection 94.00 * Projects with over 20 percent Climate Co-Benefits THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 89 Climate-informed Macroeconomic Policy FY Project Project Title Financing Number (US$ million) 21 P171080 Cabo Verde Second State-Owned Enterprises Reform and Fiscal Management 25.00 Development Policy Financing P174042 Nigeria SFTAS Additional Financing for Covid-19 Response PforR 750.00 P175570* Liberia Second Inclusive Growth Development Policy Operation 40.00 P172425* Competitive Value Chains for Jobs and Economic Transformation Project 200.00 P174388 Madagascar Covid-19 Response DPO 75.00 22 P171997 Liberia Investment, Finance and Trade Project 40.00 P172023* Togo Second Fiscal Management and Infrastructure Reform DPF 100.00 P169983* Third Angola Growth and Inclusion Development Policy Financing 500.00 P174246* South Africa Covid-19 Response Development Policy Operation 750.00 P176903* Accelerating Reforms for an Inclusive and Resilient Recovery DPF 2 750.00 P173150 The Gambia Second Fiscal Management, Energy and Telecom Reform Development 20.00 Policy Financing P175783 Lesotho Competitiveness and Financial Inclusion Project 45.00 P176747 Generating Growth Opportunities and Productivity for Women Enterprises Project 217.00 P176445 PFM for Service Delivery Program 150.00 P177460* DRC Foundational Economic Governance Reforms DPF 250.00 P178045 Support to Regional Knowledge Capacity on Economic Transformation, Resilience, 8.00 and Recovery P178176 Empowering Women Entrepreneurs and Upgrading MSMEs for Economic Transformation 300.00 and Jobs in DRC Project * Projects with over 20 percent Climate Co-Benefits 90 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN No Climate Action FY Project Project Title Financing Number (US$ million) 21 P164212 Sierra Leone Economic Diversification Project 40.00 P174063 Guinea COVID-19 Crisis Response Development Policy Financing 80.00 P169742 Ghana Development Finance Project 250.00 P171099 Digital Cabo Verde Project 20.00 P174898 Cabo Verde Access to Finance for Micro, Small and Medium Enterprises AF 10.00 P168812 Promote Access to Finance, Entrepreneurship and Employment in Mali 60.00 P175830* Stormwater Management and Climate Change Adaptation Project 2 155.00 P172422 Senegal Cadastre and Land Tenure Improvement Project 80.00 P175085 Additional Financing for COVID-19 Response under Cross-Border Tourism 25.00 and Competitiveness P169945 Additional Financing for West Africa Regional Communications Infrastructure Program 11.00 (WARCIP) Togo Project – APL2 P176345 Niger COVID-19 Emergency Response Project - Additional Financing 28.00 P172492 Accountable Governance for Basic Service Delivery 40.00 P172528 State-Owned Enterprises related Fiscal Management Project - Additional Financing 10.00 P162916 Mauritania Youth Employability Project 40.00 P171158 Central African Republic Human Capital and Women and Girls' Empowerment 50.00 (Maïngo) Project P166193 Comoros Financial Inclusion Project 20.00 P168411 Additional Financing to GEQIP-E for Refugees Integration 55.00 P172657 Improving Learning and Empowering Girls in Mozambique 160.00 P173252 Health System Support Project (KIRA) Additional Financing 2 50.00 P174152 Mozambique Covid19 Response DPO 100.00 P174153 Sao Tome and Principe: Institutional Capacity Building Project - AF 7.00 P174163 Additional Financing for Uganda Reproductive, Maternal and Child Health Services 15.00 Improvement Project P174227 Additional Financing Comprehensive Approach to Health System Strengthening 5.00 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 91 FY Project Project Title Financing Number (US$ million) 21 P174260 Comoros Emergency DPO for Covid-19 response 10.00 P174539 Social Protection and Skills Development Project Additional Financing 8.00 P174874 Ethiopia Women Entrepreneurship Development Project Additional Financing 100.00 P175045 Ethiopia Small and Medium Enterprises Finance Project - Additional Finance 200.00 P175172 Additional Financing to Madagascar Integrated Growth Poles and Corridor SOP2 33.00 P175188 COVID-19 Health Emergency Response Project 50.00 P175955 Second Additional Financing for Girls’ Education and Women’s Empowerment and 105.00 Livelihood Project - COVID 19 Scale-up of Social Cas 22 P175987 Digital Gabon Project 68.50 P171607 Uganda: Investment for Industrial Transformation and Employment 200.00 P176214 Zambia Emergency Health Service Delivery Project 155.00 P175256 Niger Building Institutions and Human Capital DPO 250.00 P175017 Supporting Access to Finance and Enterprise Recovery (SAFER) 100.00 P176761 Public Financial Management and Institutional Strengthening Project 34.00 P164906 Land Tenure Improvement Project 150.00 P177969 Additional Financing: Republic of Congo Statistics Capacity Building Project 10.00 P178198 Additional Financing for the Guinea-Bissau COVID-19 Vaccine Project 2.20 P178255 Additional Financing for Cameroon COVID-19 Preparedness and Response Project 29.60 P174620 CAR- Public Sector Digital Governance Project 35.00 P175317 Eswatini Economic Recovery Development Policy Loan II 75.00 P176126 Ghana Digital Acceleration Project 200.00 P174259 South Africa COVID-19 Emergency Response Project 480.00 P177535 Additional Financing for the Burkina Faso COVID-19 Preparedness and Response Project 48.30 P178245 Benin COVID-19 Emergency Preparedness and Response Project Third Additional Financing 10.70 P178492 Zambia Devolution Support Program 210.00 P178479 Liberia COVID-19 Emergency Preparedness and Response Project Second Additional Financing 12.70 92 THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN FY Project Project Title Financing Number (US$ million) 22 P178602 Second Additional Financing to Guinea COVID-19 Emergency Response and System 25.43 Preparedness Strengthening Project P178681 Additional Financing - Great Lakes Trade Facilitation Project 23.00 * Projects with over 20 percent Climate Co-Benefits Mohammed Abdel Ati Alhusein, Kassala, Sudan. Credit: Salahaldeen Nadir/World Bank THE NEXT GENERATION AFRICA CLIMATE BUSINESS PLAN 93  ocal Points from Global Practices for The Annex 6: F Next Generation Africa Climate Business Plan Global Practice/Role Focal Point(s) Regional Climate Change Coordinators Kanta Kumari Rigaud (Lead Environmental Specialist, AFE/AFW) Agriculture and Food Ademola Braimoh (Senior Agriculture Economist) (for AFE/AFW) Digital Development Sara Ballan (Senior Digital Development Specialist, AFE) Maria Claudia Pachon (Senior Digital Development Specialist, AFW) Education Julia Liberman (Senior Education Specialist, AFE) Energy Koffi Ekouevi (Senior Economist, AFW) Celine Ramstein (Climate Change Specialist, AFW) Environment, Natural Resources, Ellysar Baroudy (Lead Natural Resources Management Specialist, AFW) and Blue Economy Arame Tal (Senior Environmental Specialist, AFE) Governance Ruxandra Burdescu (Lead Governance Specialist, AFE) Onur Erdem (Senior Public Sector Specialist, AFE) Immanuel F. Steinhilper (Senior Public Sector Specialist, AFW) Sylke von Thadden (Consultant, AFW) Health Maria Gracheva (Senior Operations Officer, AFW) Fatima Barry (Health Specialist, AFW) Stephen Dorey (Consultant) Jessica Leete Werner Flannery (Consultant) Macroeconomics, Trade, Tuan Le (Lead Economist, AFE)/ Steve Loris-Gui Diby (AFW) and Investment Social Development Nicolas Perrin (Lead Social Development Specialist, AFW) Nicholas Soikan (Senior Social Development Specialist, AFE) Social Protection and Jobs Edmundo Murrugarra (Senior Social Protection Economist, AFE) Caroline Tassot (Senior Economist, AFW) Transport and Finance, Leena Chaukulkar (Senior Strategy and Operations Officer) Competitiveness, and Innovation Urban, Resilience, and Land Keren Carla Charles (Senior Disaster Risk Management Specialist, AFE); Luc Bonnafous Water Laura Bonzanigo (Senior Water Specialist, AFE) Nathan Lee Engle (Senior Climate Change Specialist) Consultants Marco Alcaraz (Consultant, AFE) Anna Gayatri Singh (Consultant, AFW) 1818 H Street NW Washington, D.C. 20433