World Bank Document...MANPOWER AND EDUCATION DEVELOPMENT PROJECT STAFF APPRAISAL REPORT Credit and...

Document of

The World Bank

FOR OFFICIAL USE ONLY

G a o to - RC) V 1eport No. 8065-DJI

STAFF APPRAISAL REPORT

REPUBLIC OF DJIBOUTI

MANPOWER AND EDUCATION DEVELOPMENT PROJECT

NOVEMBER 17, 1989

Population and Human Resources Operations DivisionSouth Central and Indian Ocean Department, Africa Region

This document has a restricted distribution and may be used by recipients only in the performance oftheir official duties. Its contents may not otherwise be disclosed without World Bank authorization.

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Currency Eauivalents

Currency Unit Fr .c Djibouti (FD)US$1 - FD 176.83FD 100 e USS 0.56

Measures

Metric British/US Equivalent1 meter (m.) . 3.28 feet1 square meter (sq m.i) 10.76 square feet1 kilometer (1 km.) 0.62 mile1 square kilometer (sq km) 0.39 sq. mile

Glossary and Abbreviations

AfDF African Development Fund (Fonds Africain de Ddveloppement)BaccalaurAat Upper Secondary School DiplomaBEPC Brevet d'Etudes du Premier Cycle

(Lower Secondary School Certificate)BEP Brevet d'Enseignement Professionnel

(Vocational Training Diploma)CAP Certificat d'Aptitude Professionnelle

(Vocational Training Certificate)CEP Certificat d'Etudes Primaires

(Primary Education Certificate)CNFE Conseil National de la Formation et de l'Emploi

(National Council for Training and Employment ,&!TE)CRIPEN Centre de Recherche, d'Information et de Production

de l'Education Nationale(National Center for Education Research, Information andProduction)

DGEN Direction Gendrale de l'Education Nationale(National Education General Directorate)

FED Fonds Europeen de Developpemnent(European Development Fund EDF)

LEP Lycee d'Enseignement Professionnel(Vocational Training School)

LIC Lycee Industriel et Commercial(Upper Secondary Industrial and Commercial Lycee)

MEN Ministare de i'Education Nationale(Ministry of National Education)

MFEN Ministbre des Finances et de l'Economie Nationale(Ministry of Finance and National Economy)

MTPUL Ministere des Travaux Publics, de l'Urbanisme et du Logement(Ministry of Public Works, Urban Planning and Housing)

MTPS Ministare du Travail et de la Prevoyance Sociale(Ministry of Labour and Welfare)

PTP Project Task ForceGroupe de Coordiatation du Projet

SNE Service National de l'Emploi(National Service for Employment)

SOE Statement of Expenditures(Etat certifie de depenses)

SPE Service de la Planification de l'Education(Service for Educational Planning)

UNDP Programme des Nations-Unies pour le D6veloppement (PNUD)(United Nations Development Program - UNDP)

Fiscal Year School Year

January 1st - December 31 October - June

FOR OFmFCIAL USE ONLYDJIBOUTI


TABLE OF CONTENTS

PaRe

DOCUMENTS IN PROJECT FILE

CREDIT AND PROJECT SUMMARY

I. INTRODUCTION ..................................................... 1

II. THE EDUCATION AND TRAINING SECTOR .. . 1

A. General Characteristics . . . 1B. Sectoral Issues ............................................... 2

1. Coordination of vocational training with the labor market 22. Access to education . . . 33. Quality of education ... 34. Educational management .... . 55. Financial constraints . . . 5

C. The Government's sectoral strategy and investment program ..... 6D. The Bank Group's Role ............ 8

III. THE PROJECT

A. Project Objectives and Description .... 81. Coordination of vocational training . . 82 . Access to education ....... ..................... 93. Quality of education . . . 94. Educational management . . . 105. Costs and financing ..................................... . 11

B. Project Costs and Financing . . . 121. Project costs . .. 122. Project financing . . . 15

C. Project Management and Implementation . . 151. Procurement .............................................. 172. Special account . . . 183. Accounting, auditir.g, reporting . . 184. Disbursements . . . 18

IV. PROJECT BENEFITS AND RISKS ....................................... 19

V. AGREEMENTS REACHED AND RECOMMENDATIONS ........................... 19

This report is based on the findings of an appraisal mission that visitedDjibouti in May-June 1989. The mission members were Messrs. DjamalddineRouag (Mission leader, Sr. Education Planner), Edmond de Gaiffier (Sr.Economist), Alain Papineau (Architect) and Andre Berruer (Educator/Consultant). This report was prepared by Mr. Rouag with contributions ofMr. Papineau and edited by Mrs. Whitney Watriss. Mmes. Duchesne,Ryckebusch and Vaselopulos assisted with the preparation of the report.

This document has a restricted distribution and may be used by recipients only in the performanceof their official duties. Its contents may not otherwise be disclosed without World Bank authorization.

Table of Contents (continued)

ANNEXES

1-1 Basic Data Sheet2-1 Socio-economic Background2-2 Overview of the Education and Training System2-3 Organization chart of MEN and MTPS2-4 Information on the management of the labor market2-5 Status of Languages of Instruction2-6 List and Status of cost reduction measures3-1 Project Summary Accounts3-2 Project Implementation Schedule3-3 List of Specialist Services and Training3-4 Schedule of disbursement

Maps IBRD No. 21906

DJIBOUTI

MANPOW'ER AND EDUCATION DEVELOPMENT PROJECT

DOCUMENTS IN PROJECT FILE

REF NO. DOCUMENTS--------------------------------------------------------------- __----------

1. Ministare de l'Education Nadionale; Statistiques scolaires 1987-88 et1988-89/ Ministry of National Education. Educational Statistics 1987-88 and 1988-89.

2. Ministare de l'Education Nationale; Preparation du plan quinquennalde devt ppement de l'education: Elements de strategie, demethodoiogie et de calcul du plan, fevrier 1988I Ministry of NationalEducation; Preparation of the education five year plan: Strategy,methodology and computation, February 1988.

3. Ministare de l'Education Nationale; Projet de plan quinquennal del'education, fevrier 1988/ Ministry of National Education; Draft ofthe education five year plan, February 1988.

4. Minist&re de l'Education Nationale; Deuxihme projet Oducation.RequAte du Gouvernement de la Republique de Djibouti I la BanqueMondiale, Mars 1988/ Ministry of National Education, Second EducationProject: Government of Djibouti request to the World Bank; March1988. I

5. Unesco: Republique de Djibouti: Education formation et emploi,I et II, Juin 1988/ Unesco; Republic of Djibouti; Education, Trainingand Employment I and II, June 1988.

6. Renforcement du service national de l'emploi/Strengthening of thenational service for employment (working paper), June 1989.

7. Conseil National de la Formation et de l'Emploi/National Council fortraining and employment (working paper), June 1989.

8. Programme de construction d'ecoles primaires/ Primary schoolsconstruction program (working paper), June 1989.

9. Centre de Recherche, d'Inforaation et de Production de l'Educationnationale/ National Center for education research, information andproduction (working paper), June 1989.

10. Inspections primaires/ Primary education inspectorates (working paper)June 1989.

11. Planification et administration/ planning and management (workingpaper) June 1989.

12. Gestion du projet/ Project management (working paper) June 1989.

13. Servicua architecturaux, construction et passation des marches/Architectural services, construction and procurement (working paper),June 1989.

14. Fonds Africain de Ddveloppement: Rapport d'4valuation du projet delycde industriel et commercial; fevrJer 1989/ African DevelopmentFunds appraisal report of the industrial and commercial lycee,February 1989.

DJIBOUTI



Credit and Proiect Summary

Borrower: Republic of Djibouti

Beneficiaries: Ministry of National Education (MEN)Ministry of Labor and Welfare (MTPS)Prime Ministry

Amounts SDR 4.6 million (US$5.82 million equivalent)

Terms: Standard with 40 years maturity

Proiect Description:

Objectives: The objectives of the project are to: (a) improvethe coordination of vocational training inrelation to labour market patterns; (b) increaseaccess to primary education; (c) upgrade therelevance and quality of education at the primaryand lower secondary levels; and (d) improve themAnagement capazity of the Ministry of NationalEducation while reducing costs and betterallocating resources

Components: (a) Coordination of Vocational Training.Improve the technical capacities of theNational Service for Employment andestablish a National Council for Trainingand Employment.

(b) Access to Primary Education. Establishthree primary schools in Djibouti-City andone in Ali Sabieh, with a double-shiftenrollment capacity of 4,500 students.

(c) Quality of Education. Establish a NationalCenter for Educational Research, Informationand Production and two regionalinspectorates.

(d) Educational Management. Strengtheneducational planning and management throughspecialist services and training.

Benefits: The proposed project would establish a frameworkfor expanding the education sector by: (a)increasing its cost-efficiency while tyingsectoral investments to the Government's capacityto meet the incremental recurrent costs; (b)

improving the relevance and quality of education;and (c) assisting in institution-buildingthroughout the education and training sector.The project would provide spaces for 4,500primary school-age children, an increase of 17percent over the enrollment in 1988/1989, but themore important long-range benefit to the sectorwould be reduction of the costs of primaryteachers without sacrificing theirqualifications, more relevant curricula at theprimary and lower secondary levels and changes invocational education, to be introduced by theNational Council for training in that sub-sector.

Risks: The risks include the iL 1equate staffing andtechnical capacities of the institutionsInvolved. Arrangements on additional staffingand a s4zable tra'.ning program, supplemented byspecialist services in the key areas addressed bythe proposed project, would help overcome theseweaknesses.

Estimated Costs: ----------US$ million-------Local Foreign Total

(a) Coordination Vocational training 0.04 0.68 0.72(b) Access to primary education 1.54 1.46 3.00(c) Quality of education 0.71 1.53 2.24(d) Educational management 0.16 0.52 0.68Ce) Studies and preparation of - 0.08 0.08

future investmentsTotal base cost 2.45 4.27 6.72Physical contingencies 0.22 0.23 0.45Price contingencies 0.13 0.22 0.35

Total project cost 2.80 1/ 4.72 7.52

Financing Plans ----------US$ million------Local Foreign Total

IDA 1.91 3.91 5.82UNDP 0.01 0.41 0.42FED _ 0.40 0.40Government 0.87 2/ - 0.87

Estimated Disbursements: ----------------USS million--------FY 1991 1992 1993 1994 1995

IDAAnnual 0.8 1.3 1.6 1.4 0.7Cumulative 0.8 2.1 3.7 5.1 5.8

Economic Rate of Return: Not applicable

1/ of which 0.1 million taxes and duties

2/ of which 0.1 million taxes and duties

DJIBOUTI



I. INTRODUCTION

1.01 The Government of Djibouti has requested IDA's assistance infinancing a project with the objectives of: (a) improving the coordinationof the vocational training subsector in relation to labor market patterns;(b) increasing access to primary education; (c) upgrading the relevance andquality of primary and lower secondary education; and (d) improving themanagerial capacity of the Ministry of National Education (Ministere del'Education Nationale - MEN) while reducing costs and better allocatingresources. The estimated project cost is US$7.5 million equivalent (net oftaxes and duties, except for operating costs), with a foreign exchangecomponent of US$4.7 million (about 62 percent). The European DevelopmentFund (Fonds Europ4en de D4veloppement - FED) and the United NationsDevelopment Program (Programme des Nations Unies nour le Developpement -PNUD) would contribute US$0.40 million and US$0.42 million, and theGovernment would contribute about US$0.9 million equivalent to the project,respectively. The remainder of US$5.8 million equivalent would be financedby IDA.

1.02 The proposed project would be IDA's second contribution to thedevelopment of Djibouti's education and training sector. Its objectiveswould be to assist in the financing of the Education Five-Year InvestmentProgram within a strategy aimed at increasing the cost-efficiency of thesector and improving the relevance and quality of education. IDA is in afavorable position to help in this effort, as over the last two years it hasbeen engaged in an intensive policy dialogue on the sector with theGovernment. The basic data sheet is in ANNEX 1.1.

II. THE EDUCATION AND TRAINING SECTOR

A. GENERAL CHARACTERISTICS

2.01 Labor Market. Djibouti's labor market is very small. Of a laborforce of 160,000 in 1987, only 48,000 held permanent jobs, with 24,000 inthe formal sector (6,700 in the public, 4,000 in the para-public and therevt in the private sector). This disequilibrium results from the high rateof population increase (about 3.0 percent per annum) and difficultconditions for the growth of the p.imary and secondary sectors, ?'hiledevelopment of the tertiary sector faces severe constraints (shortages ofskilled labor, weak administration and high costs of qualified labor).Detailed socioeconomic background information is provided in Annex 2.1.

- 2 -

2.02 Education and Training. Djibouti's formal education and trainingsystem is very closely modeled after the French system. It consists of sixyears of primary education starting at age six, followed by four years oflower and three years of upper secondary education (general and technical).Higher education is undertaken abroad with Government and bilateralfinancing (about 350 students). In addition, the country has developed alimited non-formal education and training system with about 2,000 trainees.The non-formal vocational training is funded largely out of public revenues.Public education accounts for about 90 percent and 85 percent of primary andsecondary enrollments, respectively. Annex 2.2 provides an overview of theeducation and training sector, including a chart showing the structure ofthe education and training system.

2.03 Organization and Administration. The administrative responsibilitiesfor education, training and labor are shared by three ministries: (a) theMEN for primary, secondary and higher schooling (both genera'. andtechnical); (b) the Ministry of Labor and Welfare (Ministere du Travail etde la Pr4voyance Sociale - MTPS) for vocational training and labormanagement; and (c) the Prime Ministry (Primature) for policy andcoordination of manpower development and training. The Ministry of Financeand National Economy (Ministere des Finances et de l'Economie Nationale -tFN) and the Ministries of Health and Justice have their own trainingcenters. In addition, there are several institutions (e.g., the Chamber ofCommerce and Industry, the Postal Service and the Electricity Corporation)and associations (e.g. the National Youth Association, Mother and ChildCenter and National Union of Djiboutian Women) that also manage trainingcenters. These programs currently involve only a few trainees but anexpansion of capacity is envisaged. Without adequate planning and controlhowever, this scattering of technical and vocational training and theenvisaged expansions will result in overlapping and excess capacities.Organization charts for the MEN and MTPS are given in Annex 2.3.

B. SECTORAL ISSUES

1. Coordination of Vocational Training with the Labor Market

2.04 Along with a high level of unemployment (para. 2.01), Djibouti facesa serious shortage of trained manpower, particularly at the middle andhigher professional and management levels, while having excess trainingcapacity for some lower level skills (e.g., masonry, plumbing andmechanics). Expatriates account for about 5 percent of total employment inthe formal sector but hold about 40 percent of the professional, supervisoryand higher level technical positions, including in the education sector.Between 1983 and 1985, 95 percent of higher, secondary and technicaleducation graduates found employment, but the employment rate for graduatesat 'he level of skilled worker was low, varying with the subsector (E.g., 35percent for construction workers, 47 percent for mechanics and 49 percentfor clerical staff), indicative of a disequilibrium between labor demand andsupply at this skill level.

2.05 The main Government law guiding Djibouti's economic and socialorientation (no. 251/AN/82) stresses the strategic role of human resourcesin economic development, particularly in relation to the goal of makingDjibouti an international center for commerce and banking. This emphasis isnot, however, reflected in the current levels of institutional developmentand performance of the education and training sector. The National Trainingand Employment Program (Programme National Formation et Emploi) under thePrime Minister, -4iich is intended to coordinate and develop manpower

-3-

training in line with labor market requirements, is constrained by itslimited ateffing, lack of resources, scant statistical and information base,and inadequate involvement of employers. Until recently, the MEN largelyneglected the labor market environment becausa of a lack of technicalexpertise regarding policy analysis and planning for human resources (para.2.15). The other relevant Government ministry, MTPS, is weak. While it hasa total staff of about 90, its capacity for data collection and processing,analysis of the labor market, and policy development through its mainagency, the National Service for Employment (Service National de l'EmIloi -SNE) is negligible. As a result, the training system is not geared to thecurrent and future needs of the labor market. Annex 2.4 provide, additionalinformation on the status of the management of the labor market.

2. Access to Education

2.06 There are no reliable data on population for Djibouti because of theprevalence of nomadic and semi-nomadic herdsmen, who wander across thefrontiers, and the uncertain number of immigrants and refugees fromneighboring countries. Estimates of the population and primary school agegroup published by the Djibouti National Directorate of Statistics in 1986suggest a gross primary school enrollment rate of about 36 percent. Thisrelatively low level is explained by the high unit costs and, to someextent, lack of school buildings and, in a more general way, by the nomadicnature of part of the country's population. Admi_sion to primary educationis conditioned by the provision of a Djiboutian birth certificate. Thispolicy inherited from the previous governing power seems also to be appliedin order to avoid enrollment of children from neighboring countries at theexpense of nationals. Because of the low level of primary enrollment, andthe share of Djibouti-City in the overall population; the sectorauthorities'indications, that the demand of students with birth certificatesis still higher than available capacity, seem plausible. A decentralizationlaw has recently been promulgated which would allow the regional authoritiesto establish nationality and to issue birth certificates: this shouldprovide a partial solution to the problem of equity of access. However, theproblem of providing access to Oresidents children from neighboringcountries needs still to be addressed. Girls account for 42 percent of totalprimary enrollment but only about 33 percent in rural areas.

2.07 Transition rates from primary to lower secondary and then to uppersecondary education decreased between 1980/1981 and 1988/1989 from about 51percent to 24 percent and from 39 percent to 26 percent, respectivelybecause of insufficient capacity. Secondary school enrollment in Djibowti-City, which accounts for almost 85 percent of total secondary enrollment,exceeds the physical capacity by about 20 percent. The share of girls intotal secondary enrollment is about 35 percent, but only about 23 percent inrural areas.

3. Quality of Education

2.08 The teaching conditions within the education system are good byAfrican standards. However, the output levels do not correspond to theseconditions. Success rates on the final examinations at the primary(Certificat d'Etudes Primaires - CEP), lower (Brevet d'Etudes du PremierCycle - BEPC) and upper secondary (Baccalaureat) levels are low, averagingabout 25 percent, 48 percent and 56 percent for the 1984-1989 period. Forvocational training within the MEN, the situation is similar withexamination pass rates of 46 percent for the Commercial Vocational TrainingCertificate (Certificat d'Aptitude Professionelle - CAP) and 53 percent for

the Vocational Training Diploma (Brevet d'Enseignement Professionel - BEP)for the same period.

2.09 Several factors are adversely affecting the capacity of the averageDjiboutian student to succeed in the education system. They relate to thecurricula, languages of instruction, primary teacher training, pedagogicalsupport and supervision.

2.10 Curricula. The Primary education programs are still very similar tothose in place before the country's independence. The curricula have notbeen sufficiently modified to take account of the conditions in the countryand of the students and their sociocultural background. In secondaryeducation, the curricula and organization are still those applied in theformer metropolis.

2.11 Languages of Instruction. French is the main language ofinstruction. It is taught at the primary level through a method developedin a West African country and which needs serious review and adaptation inorder to be relevant for Djibouti. Arabic is taught as a second language inthe last two years of primary school; iti instruction shares the sameweaknesses as does French. In secondary education, French is taught withthe same objectives and content as in France to students who are unfamiliarwith the implicit cultural context and whose proficiency in French fallsshort of the requisite level. Annex 2.5 providei additional information onthe status of languages of instruction.

Z.12 Primary Teacher Training. In addition to the limited relevance ofthe primary school curricula, and methods of language instruction, thequality of primary education is depressed by the fact that one-third of theteachers have not received any professional training. Furthermore, thestudents at the teacher training college of Djibouti, the education level ofwhich has increased in recent years (from 10 to about 11-12 years), havebeen following curricula that do not pay sufficient attention neither to thestudents improved educational level nor to the content of primary educationand to teaching practices including for the languages of instruction.

2.13 Pedagogical Support. The Pedagogical Office for Primary Education,created in 1986 under MEN to develop curricula and instructional materials,strengthen in-service training and evaluate educational outcomes, has notbeen able to achieve its objectives except for some in-service training andinstructional materials. Its main weaknesses -- an inadequate mix ofskills, absence of nationals staff and poor operating conditions -- areshared by the parallel institution at the next higher level, the PedagogicalOffice for Secondary Education also under the MEN. The existing educationprintshop operates adequately but suffers from lack of space to operatefully.

2.14 Supervision. The country's three primary education inspectors aremainly involved in administering the primary education system, and only 2 ofthe 11 pedagogical counselors are stationned outside the capital to supportrural teachers. With 1 counselor for about 100 teachers and the extremeisolation of many rural schools, pedagogical support is inadequate. Inaddition, the support the counselors provide is no more than a transmissionof pedagogical formula rather than the development of an independent andflexible approach to teaching.

-5-

4. Educational Management

2.15 The MEN capacity for policy analysis and planuing, budgeting andresource management is weak. The Schools Organizatiln Office, which couldbe considered as an embryonic planning office, is understaffed. The Officeof Administration Services, in charge of budgeting tad cost control, lacksthe necessary expertise, as does the Office of Personnel, which in additionperceives its functions to be limited to staff records and promotion.

5. Financial Constraints

2.16 Between 1981 and 1987, Government expenditures on education grew innominal terms at an average rate of 4.7 percent p.a., the same rate as theoverall budget. In that period, education accounted for about 12 percent ofthe Government's recurrent budget, compared with about 18 percent for Sub-Saharan Africa. Since 1987, the growth of the Government's budget hasslowed to an average of 3.3 percent and is expected to be about 1 percentp.a. over the next five years.

2.17 In 1988, about Franc Djibouti (PD) 3.7 billion, or 13.9 percent ofthe Government's recurrent budget, were allocated to education, a figurebelow the average for french-speaking Sub-Saharan countries. 1/ However,these figures greatly understate the total amount of financing available toeducation, as they exclude most French assistance, which is roughly eaual tothe Government's own education budget. The national development budget forthe sector consists mainly of counterpart funding for externally financedprojects.

2.18 Compared with other African countries, the unit costs for educationare high, amounting in 198511986 to US$372, US$576 and US$983 equivalent forprimary, secondary and vocational education, respectively, and to US$4,103for teacher training.

2.19 Teachers' salaries make up a large percentage of the primary andseccadary education budgets (in 1985, about 88 percent and 93 percent,respectively). These salaries are high compared with those prevailing inSub-Saharan Africa (for a primary teacher, about US$6,975 in Djibouti vs.US$2,255 for the region). These high salaries are explained by therelatively high starting point and rapid progression for primary school(instituteurs) and other teachers. Teachers housing benefits. While civilservants benefits comprise housing, the Ministry of Education has startedreplacing provision of housing (monthly renting costs averaging FD 100-120,000) by a monthly indemnity of PD 30,000 for single and 40,000 formarried teachers. Monthly pre-salaries for trainee teachers came to PD80,000, about six times the official minimum wage. As to support grants forsecondary students, in 1987/1988 its total budget amounted to PD 80 millionand for fellowships in secondary and higher education abroad to FD 184million. No differentiating criteria such as economic need, academicperformance or field of study are used in awarding the support grants andfellowships. These policies were perhaps appropriate at the time ofindependence, when the country urgently needed to develop its human resource

1, The 1983 average for French-speaking Sub-Saharan countries was about 26percent. (World Bank, 'Education in Sub-Saharan Africa: Policies forAdjustment Revitalization and Expansion' pp. 144).

-6-

base, but they are no longer relevant in view of the effective demand foreducation and the financial constraints.

2.20 In view of the limited prospects for medium-term financing for thesector and the high unit costs, Djibouti started to reexamine certainfundamental parameters of the education sector, beginning with the level ofrecruitment of teachers and their salaries (as part of a general review ofcivil service status) and fellowship policies, in order to be able to expandand improve education services.

C. THE GOVERNMENT'S SECTORAL STRATEGY AND INVESTMENT PROGRAM

2.21 The Government, fully aware of the sector's importance for theeconomic development of Djibouti has designed a medium-term educationstrategy addressing the issues discussed above and whose wain elements andsub-elements are as follows:

(a) Coordination of vocational training with the labor market --(i) improvement of decision-making in vocational training through more andbetter information; (ii) Creation of a vocational training coordinatingbody;

(b) Access to education -- (i) Increase in primary educationenrollments by 4,500 and lower secondary by 800; (ii) maintenance of thecurrent level of general upper secondarl enrollments; (iii) creation of anupper secondary industrial and commercial Lyc4e (750 students); (iv) phasingout of the vocational lower secondary school (Lycee d'EnseignementProfessionnel -LEP-) of MEN, and preparation of commensurate expansion ofu-noer secondary schooling through the rehabilitation and conversion offacilities; and (v) increases in hiaher education enrollments abroad beyondthe present level through private and bilateral financing.

Cc) Quality of education -- (i) Curriculum adaptations with a view toacL.ieving more relevant primary and lower secondary education and betterfranch language teaching; (ii) strengthening of supervisory capacity inrural areas; (iii) improving of pre- and in-service training for primary andlower secondary teachers, primary inspectors and pedagogical counselors; and(iii) development of an education research, information and productioncenter with an evaluation capacity, and.

(d) Costs and financina -- (i) replacement of current teachertrainees pre-salary by an indemnity at least one third less than the pre-salary; (ii) introduction of the new civil service statute devised for theentire civil service, including teachers, and of the new category of lesserpaid but qualified primary teachers (instituteurs adjoints); (iii)cancellation for upper general secondary, of new fellowships abroad; (iv)reduction of the number of support grants for secondary education anddevelopment of awarding criteria; (iv) development of criteria for awardinghigher education fellowships and freezing of related budget; and (v)strengthening of education management.

2.22 To pursue this strategy, the Government has developed a Five-YearEducation Investment Program for the period 1990-1994, the result ofintensive analysis and discussions aimed at reconciliating needs and means.Approval of the investment program by the Minister's Council on March 9,1989 has been the latest step in this process and the Government and IDAhave agreed upon the five-year program. Its main features are the strategydescribed above, the investment program and the estimation of its

-7-

incremental recurrent costs provided in Table 2.1. The level of foreignfinancing, and the budgetary allocation by the Government needed to meet theincremental recurrent coste, are provided in paras. 2.23 and 2.24.

TABLE 2.1: Education Investmnt P rora - Evolution of the IncgJmntal Recurrent Cost.(In thousands of FD)

Progrs 1 2 4 a

Primary School V 42,606 5,012 127,516 127,510

Second IDA Proj et 40,352 89,345 167,OP4 251,834 297,671

Loer Secondary School !/ 29,622 59,245 89,700

Upper Secondary Industriala Comercil Lyc&e /

Staff Training Centr ev 11,220 11,220 11,220 11,220

Rehabi I I tation/TransforationLEP!/ 40,8398

2.23 The financing of the program components, except for therehabilitation/transformation of the existing vocational secondary schools{Lycde d'Enseignement Profeesionel - LEP) which is still at an early stage,is divided among the following donors: IDA, through the ongoing FirstEducation Project. US$1.8 million equivalent and through the proposedproject, US$5.8 million equivalent, vith co-financing by the EuropeanDevelopment Fund (FED), US$0.4 million equivalent, and the United NationsDevelopment Program. US$0.4 million equivalent (para. 4.09): the Governmentof Kuwait, about US$5.0 million equivalent; the African Development Fund(A£DP), US$12.8 million equivalent; and the French Government, US$1.2million equivalent. The Government would provide counterpart funding,mainly for local expenses.

2/ Three additional schools financed by the proceeds of the FirstEducation Project (Cr. 1543-DJI).

3/ Lower secondary school (Balbala) of about 1,200 places to be fizancedby Kuwait. During the Program period, the level of enrollment at theschool will reach about 800 students, or 651 of capacity.

4/ Upper Secondary Technical and Commercial Lycee of about 750 places,to be financed by the AFDB. No incremental recurrent costs areexpected because of the transfer to the new school of the existingvocational upper secondary school (Lycee d'Enseignement Professionnel- LEP), budget and staff.

5/ Teacher and supervisory staff training center, to be financed byFrance. The incremental recurrent costs are estimated at 100secondary school students equivalent.

6/ Rehabilitation/transformation of existing LEP into a general uppersecondary school. Enrollment in the first year ix, estimated at 360,or 40 percent of capacity.

- 8a-

2.24 Assuming one percent annual growth in the Government's budget innominal terms, the maintenance of the present level of french bilateral aidto the sector, and the application of the cost reduction measure (para.3.16), timely implementation of the investment program would increase, asagreed with the Ministry of Finance, the share of education in the recurrentbucget from 13.9 percent in 1989 to about 16 percent at the end of the five-year sector program.

2.25 To sum up, the Government's strategy addresses the major educationissues and deserves support. Its main aims are to improve cost- efficiencyand quality and expand access. It calls for severe cost reduction measures,which have already been introduced in part (Annex 2.6), although the mostdifficult ones are still to be implemented (para. 3.16). In addition,better access to and relevance of education and improved management of thesector remain the major challenges. The main purpose of the present projectis to assist the Government in implementing its education sector strategyand completing the financing of its investment program.

D. THE BANK GROUP'S ROLE

2.26 Djibouti joined the Bank Group on October 1, 1980. Six IDA creditshave since been approved for a total of US$34.6 millions TechnicalAssistance (1982), Highway Maintenance (1983), Geothermal Exploration(1984), Urban Development (1984), First Education (1984) and a secondgeothermal development project (1969). The Bank Group's assistance isfocused on broadening the country's development base through theinvestments proposed in IDA's current five-year lending program. Thatprogram includes, in addition to the proposed manpower and educationdevelopment project, a second urban development (FY91) and two reserveprojects (health and third geothermal) in the out-lying years.

III. THE PROJECT

A. PROJECT OBJECTIVES AND DESCRIPTION

3.01 The proposed project is designed to complement the contributions ofother donors for the implementation of the Government's medium-term sectorprogram, as outlined in Chapter II. Within this framework, its objectivesare to: (a) improve the coordination of vocational training with labormarket pattern; (b) to increase access to primary education; (c) to upgradethe relevance and quality of education at primary and lower secondarylevels, and (d) to improve the management capacity of the Ministry ofNational Education while reducing costs and better allocating resources. Tothis end the proposed project would finance a part of the proposedinvestments program (paras. 3.02-3.15).

1. Coordination of Vocational Training

3.02 To strengthen the coordination of vocational training with labormarket patterns, the project would improve the technical capacities of theNational Service for Employment located in the MTPS and establish acoordinating body for planning and policy-making in this subsector locatedin the Prime Ministry.

- 9 -

3.03 National Service for Employment. This project component would aim atdeveloping a solid data base on employment, and implementing studies mainlygeared to the re-definition the HTPS' Vocational Training Center missions inrelation with the rehabilitation/transformation of the LEP of the HEN (para.2.21); and restructuring of the Directorate of Training-Employment withinthe MTPS. These informations and studies would support the planned NationalCouncil for Training and Employment (CNFE), which is to redirect vocationaltraining streams and expansion. The proposed project would finance 46 man-months of technical assistance, 26 man-months of training, equipment,furniture and related operating costs. During negotiations, the Governmentgave assurances that the National Service for Employment would bestrengthened by two additional staff holding at least the equivalent of ajunior college diploma. Thie strengthening would be a condition ofdisbursement for the component.

3.04 National Council for Trainina and Employment (Conseil National de laFormation et de l'Emploi (CNFE). This council, to be established under thePrime Minister, is to be responsible for assuring proper linkages betweenvocational training and the labor market, propose necessary adjustments inthe composition, content, duration and volume of training, and reviewproposed investments. The council would be comprised of representatives ofinterested parties, including employers. It would be assisted in its workby a secretariat staffed by a high-level public servant with at least threeyears of higher education and a technician. The proposed project would helpestablish this council through the financing of 9 man-months of training,equipment, materials, and related oeerating costs. During neaotiations, theGovernment provided assurances that it wills (a) issue the decree creatingthe CNFE. The decree is to be a condition of disbursement for thecomponent; and (b) staff its secretariat with two staff persons having therequired qualifications at the latest by September 30, 1990.

2. Access to Primary Education

3.05 The project would support a primary school construction program, laythe foundations for educational research and development of relevantprograms/supply of primary education textbooks, and strengthen supervisorycapacity in rural areas.

3.06 Primary School Construction Program. To improve access to primaryschool education, the proposed project would finance the construction,equipping and furnishing of three schools in the suburbs of Djibouti-City(36 classrooms) and one school in the southern region in Ali Sabieh (9classrooms). The design to be used was developed under the First EducationProject (Cr. 1543-DJI). It is expected that these schools would be used fordouble shifts, providing an enrollment capacity of 4,500, or 17 percent ofthe 1988-89 enrollments. During negotiations, the Government gaveassurances that at least 90 percent of all the primary teachers who will berecruited during the project implementation period would be at theinstituteur-adioint level.

3. Qualitv of Education

3.07 National Center for Education Research. Information and ProductionCenter (CRIPEN). To provide the pedagogic support and leadership requiredto improve the relevance and quality of education (para. 2.13), the proposedproject would assist in establishing a National Center for Education

- 10 -

Research, Information and Production (Centre de Recherche. d'Information etde Production de 1'Education Nationale - CRIPEN) by merging andrestructuring the two existing pedagogical offices (para. 2.13). The Centerwould adjust the educational programs to the realities of the country,develop appropriate teaching guides and other documentation, evaluate theoutcomes of primary and lower secondary school programs and assist in thetraining of education staff.

3.08 The proposed project component related to the Center would helpimplement an agreed-upon work program, to consist of: Reviews of thecurricula for primary and lower secondary education and for primary teachertraining; development of teaching guides for primary education; evaluationof student achievement in primary and lower secondary schools; and togetherwith the teacher and supervisory staff Training Center financed by France(para. 2.23), upgrade the skills of primary education supervisors.

3.09 The proposed project would finances Construction of the Center, andspace extension at the education existing printshop (about US$ 25,000),equipment and furniture; textbooks for mathematics and sciences anddictionaries for French and Arabic for the last two years of primaryeducation; 65 man-months of specialist services; 40 man-months of foreigntraining; and related operating costs. During negotiations, the Governmentgave assurances that it will, prior to proiect effectiveness, legallyestablish (a) the CRIPEN, appoint its national director and authorize itsoperating budget for the first year; and (b) the commissions for the reviewof the primary and lower secondary curricula. In addition, it gaveassurances that it will: (a) assign, by December 31, 1990, two nationaleducators to the Center and three more by December 31, 1991; (b) provide IDAwith the revised primary education curricula, by June 30, 1991 at thelatest, with the revised primary teacher training curricula by December 31,1991 and with the revised lower secondary curricula by June 30, 1992 and (c)review with IDA the annual work programs of the Center before Hay 31 of eachyear.

3.10 Insvectorates. To increase the frequency and quality of pedagogicalsupport for teachers in rural areas through on-site observation and adviceand local training as well as support to studies initiated by CRIPEN, theproposed project would finance civil works for two regional primaryeducation inspectorates, one in Tadjourah (North) and the other in Dikhil(South); equipment, furniture and vehicles; 20 man-months of training; andincremental operating costs. Durins negotiations, the Government gaveassurances that it will, Prior to project effectiveness, legally establish anew statute for primary education inspectors.


3.11 To strengthen the Ministry's capacity for planning and management,the existing School Organization Office (para. 2.15) has been transformedinto a Service of Educational Planning (Service de la Planification del'Education - SPE) within the General Directorate of National Education(Direction Generale de lVEducation Nationale - DGEN) by Law No. 89/AN/2 ofJuly 27, 1989. The new service would be organized and staffed to assume theadditional responsibilities that derive from the sector policy measuresdiscussed in para. 3.16 and the needs for further policy analysis andplanning. To this end, the service woulds (&) intensify the collection ofeducation data and conduct of analyses, particularly on non-satisfiedprimary education demands (para 2.06) and for higher education; (b) conducttwo studies on the costs and financing of education; (c) complete school

- 11 -

mapping for primary and secondary education; (d) carry out, in collaborationwith the CRIPEN, a tracer study of the Ministry's vocational traininggraduates; (e) conduct an organization and management study of the MENt and(f) prepare annual reviews of the sector investment program and, inparticular, of the next annual program tranche and its budgetaryimplications (para. 3.16). During project implementation, one additionalstaff would be assigned to the SEP, with qualifications equivalent to atleast two years of higher education (para. 5.03).

3.12 The proposed project would financet furniture, equipment andvehicles; 24 man-months of technical assistance; 38 man-months of training;and incremental operating costs.

3.13 Durina negotiations, the Government provided assurances that it will:(a) assign to the SPE, by December 31. 1991, one additional staff withrequired qualifications (para. 5.03); and (b) complete (i) the Ministry ofEducation Organization Study by June 30, 1991, the cost and financingstudies by December 31, 1991 and 1993 respectively and discuss their outcomeand follow up with IDA; (ii) the school mapping for primary education byJune 30, 1992 at the latest; and (iii) the vocational education graduatestracer study by June 30, 1993 (para. 3.11).

3.14 Proiect Management. To strengthen the operational capabilities ofthe DGEN which would be responsible for project management (para. 3.27), theproposed IDA credit would finance: furniture, equipment and vehicles; andfunds for auditing the project accounts, for operational travel and forincremental operating costs, including the costs of local training of about60 primary education supervisors.

3.15 Studies and Preparation of Future Investments. The proposed projectwould provide funds for further sector studies to be agreed with IDA and forthe possible preparation of future investments.

5. Costs and Financing

3.16 The proposed project would support the Government's Education Five-Year Investment Program through the implementation of the followingadditional cost reduction measures (para. 3.06).

(i) replacement, by March 31, 1991, of current teachers traineespre-salary by an indemnity at least one third less than the pre-salary (para. 2.21);

(ii) cancellation, by December 31, 1990, effective the followingschool year, of new fellowships abroad for upper secondarygeneral education (para. 2.21);

(iii) reduction by 60 percent in the number of support grants forsecondary education, by January 31, 1991, while retainingcriteria for eligibility designed to increase female enrollmentin secondary education (para. 2.21);

(iv) introduction, by January 31, 1991, of new criteria for awardingfellowships for higher education, while providing incentives forthe higher education of females and freezing the related budget(para. 2.21);

- 12 -

tv) assurance to undertake, by November 15 of each year at thelatest, an annual Government/IDA review of the draft invertmentand recurrent education budgets for the upcoming fiscal year toensure financing of the education program.

3.17 The MEN would implement the above measures in close consultation withthe MFE. Prior to negotiations, the Government provided IDA with a policystatement encompassing the Government's medium-term strategy, to include theabove measures, the related investment program and its financingarrangements. Durint negotiations, the Government gave assurances that itwill implement the measures, assurances and reviews specified in para. 3.16according to the schedule agreed to with IDA.

B. PROJECT COSTS AND FINANCING

1. Proiect Costs

3.18 Summary of Proiect Costs. The project costs are estimated at FD1,330 million or US$7.52 million equivalent and includet civil works(construction and site development) and related professional services;provision of furniture, equipment, vehicles and textbooks; specialistservices and fellowships; incremental operating costs; and funds for studiesand preparation of future investments; summary of project costs are shown inTable 3.1 and incremental recurrent costs for the project items are shown inTable 2.1. (para. 2.22). Main project summary accounts tables are providedin Annex 3-1.

- 13 -

TABLE 8.1s Sumary ot Project Cost by Projoet It,"

Lo¢nl Forelgn Total Local Foreign Total of Foreign ot TotalFD (lIllon) - USt (thousands) - bass cost

1. Coordination ofVocational TraTnlna

1.1 National Servicefor Employmnt 4,674 109,682 114,205 26 620 648 96 l1

1.2 Natlonal Councilfor Training andEmploymnt 1 521 11 889 12 910 9 64 78 88 1

Aw a1t-1 1273 a a 9 ,95I ii it2. Acces to Primary

Itouear on

Primry SchoolsConstr. program 918,164 57,967 531,691 1,W5 1,410 8,118 49 45

8. quality of Education

8.1 National Centerfor Education,Rearch, Inform-ation ondProduction 68,488 206,767 205,220 8W 1,169 1,69 76 22

8.2 Inspectorates 68 887 68 VW 181 927 88a6 86 746 48 11me: 20' 3 10:147 7o 1,w Yw ra u

4. Educational Mansment

4.1 MInistry'sPlanningand ResourceManagement 8,854 69,54 72,902 19 898 412 96 6

4.2 ProjectManagement 24 812 28.7W 486 72 187 184 272 49 4

Wn, 9.:i. ig17W- E in ra 19

5. Studi and Prp rationof f-utureInvestments_. 1 .38 J 1 1

Total Base Cost 488,716 756,674 1,109,689 2,458 4,275 6,727 64 100= _ _ _= = =

Phyolcalcontingencies 88,180 40,448 7,622 216 229 445 51 7

Price contingencles 28,289 89,454 62,722 182 228 855 68 6

TOTAL PROJECT COST 495,168 8835,77 1,880,988 2,860 4,728 7,527 68 112_ _ _ -

- 14 -

3.19 Basis of the Cost Estimates. IDA has reviewed the cost estimates forthe civil works with the staff of the Ministry of Public Works (Ministbredes Travaux Publics, de l'Urbanisme et du Logement - MTPUL). Theconstruction costs are based on the results of recent bidding for similarfacilities; without/with site development they average US$3651495 per grosssquare meter for urban primary schools, US$4351590 for rural primaryschools, US$590/740 for rural inspectorates, and US$535/750 for the CRIPEN.IDA has reviewed the costs of the furniture and equipment with the HENstaff; they are based on contracts awarded under the ongoing first IDAeducation project and on quotations obtained during the appraisal missionfor comparable items. The technical assistance costs -- US$121,200 per yearfor long-term specialists, US$10,200 per month for short term consultants,US$2,870 per month for foreign fellowship training -- are based on UNDPrates. The costs for the long-term specialists include housing, relocation,salaries, subsistence, office services, fees,.overhead and recruitment. Thecosts for the fellowships include travel, tuition and subsistence. The basecost estimates reflect prices at the time of appraisal (May 1989).

3.20 Customs Duties and Taxes. In accordance with the normal practice ofthe Govervaent, the project will be exempted from duties and taxes, exceptfor small purchases related to operating costs and which amount to US$0.13million.

3.21 Area and Cost Rer Student. The area allocated per student place iseconomical, about 1.15 net sq.m. for primary classrooms. Utilization rateswould be high, since the primary classrooms are expected to be used indouble shifts. The cost per student place, assuming a double shift, averageUS$285 for the civil works in urban areas and US$339 in rural areas, andUS$107 for furniture/equipment and US$59 for textbooks and educationalmaterial at the primary level.

3.22 Oleratina Costs. These costs are related to the maintenance andoperation of the furn'.ture/equipment financed by the project, the salariesfor incremental staff of the implementing unit (junior accountant and twodrivers), and the costs of local training of primary school supervisors.

3.23 Contingency Allowances. The project costs include an allowance forphysical contingencies equal to 7 percent of the estimated base cost (US$6.7million) for civil works, furniture, equipment, vehicles and textbooks.Annual rates for price increases have been applied for both local andforeign costs and for all categories at a rate of 4.1 percent for theperiod. The price contingencies are estimated at 5 percent of the base costand the total contingencies at 12 percent.

3.24 Foreign Exchange Component. The foreign exchange component wasestimated as follows: (a) civil works, 40 percent; (b) furniture, 80percent; (c) equipment, vehicles and textbooks, 100 percent; (d)professional fees and technical assistance, 100 percent; (e) trainingabroad, 100 percent; and (f) operating costs, 30 percent. These percentageswere determined by estimating the percentage of imported constructionmaterials and by assuming that all equipment, furniture, vehicles andtextbooks would be imported and that all project-financed specialists wouldbe foreign. Including the contingencies, the resulting foreign exchangecomponent is estimated at US$4.7 million, or about 63 percent of totalcosts.

- 15 -

2. Proiect FinancinA

3.25 The plan for project financing specifies an IDA contribution ofUS$5.82 million equivalent (77 percent of total project costns). Assistancefrom the European Development Fund (mainly for the National Service forEmployment component) would amount to US$0.40 million equivalent (or 5percent) and from the United Nations Development Program (for the educationplanning component) to US$0.42 million equivalent. The Government wouldfinance the balance of the project costs equivalent to US$0.9 million (orabout 12 percent) as indicated in Table 3.2. A condition for the crediteffectiveness would be that conditions for effectiveness of the co-financingby UNDP and FED have been fulfilled.

TABLE 8.2: FinancIng Plan

EstimtedJuss'e. Share of IDA

Ceteory of Expenditure IDA OUP FED GOVERNMT TOTAL Financing

Proef;n. Ie s 51 ^ - - 51 100

Civil Works 8,40? So1 4,608 as

Equipmsnt, Textbooks, 614 2? 48 - 68 soand Vehicles

Furniture 888 8 - - 841 95

Technial Aslsitance 1,006 266 252 - 1,674 S8

Training 98 128 100 - 811 28

Operating Coot. 175 21 - 271 407 88

Studies and Future Investments 85 - - - es 1to

TOTAL if U4 4W U 7W 7

C. PROJECT MANAGEMENT AND IMPLEMENTATION

3.26 Status of Preparation. The project is at an advanced stage ofpreparation. Six of the seven construction sites have been identified;surveys and soil tests as well as sketch designs for the civil works areunderway. The seventh site (for the CRIPEN) is being studied, and theresult will be reviewed with IDA. The Service of Educational Planning hasbeen created and an additional staff person was assigned to it (para 3.11).The MEN has also provisionally created the CRIPEN (Decision No. 1470 ofSeptember 27, 1988) and two staff were sent abroad for training ineducational research and supervision.

3.27 Project Implementation Unit. The proposed project would beImplemented by the DGEN under the MEN according to arrangements that becameeffective with the First Education Project (Cr. 1543-DJI). A Project TaskForce (Groupe de Coordination du Projet - PTF) is to be in charge ofimplementation, to be comprised of the Director General of NationalEducation as project director (part-time), assisted by his expatriatetechnical advisor; the Chief of MEN Financial Services as deputy directorand procurement officer, supported by the MEN accountancy section; the Chief

- 16 -

of the Educational Pianning Service (MEN), the Director of Urban Planningand Housing (MTPUL) vith responsibility for the design, procurement andsupervision of civil works; the Director of the National Service forEmployment of the MTPS responsible for the SNE component; the head of theNational Commission for Vocational Training Coordination responsible for theCNFE component; and the Director of Finance (MFEN). The PTF would beresponsible for overall planning, general coordination and monitoring ofproject progress and for procurement. Liaison with the Aasociation andproject accounting would be the responsibility of the DGEN through itsDirector. The expatriate advisor to the Director General and the expatriateaccountant in the MEN Financial Service would continue to assist the DGENstaff; consequently, no additional technical assistance would be needed forproject management. Funds have been added for equipment and vehicles,operational travel and incremental operating costs. Annex 3.2 shows theproject implementation schedule.

3.28 Civil works and related professional services. Ic necessary, theMTPUL would hire consultants, in accordance with Bank gStdelines, for anyprofessional services related to the civil works for the CRIPEN. Inaddition, the MTPUL would, in liaisnn with the DGEN, be responsible forsite identification and survey, civil works design and procurement,construction, supervision and maintenance. More specifically, this workwould be undertaken by MTPUL's Directorate of Urban Planning and Housing,coordinating the Division of Urban Planning and Housing and the Division ofPublic Construction (which consists of about 10 architects/urban planners,civil engineers and draftsmen); MTPUL's Procurement Section would reviewbid documents and contracts for all civil works.

3.29 Technical Assistance and Training Abroad . All specialists' serviceswould be procured under contracts on terms and conditions acceptable to IDAin accordance with IDA's guidelines for the use of consultants. List ofspecialist services and training is given in Annex 3.3. Duringnegotiations, the Government confirmed its intention to apply IDA'sguidelines for the use of consultants.

3.30 Maintenance. In the past, the MTPUL, the mobile unit of the MEN andthe local governments in rural areas have maintained well the ongoingproject's institutions as well as the other education buildings. Thispractice is expected to continue.

3.31 Ernvironmental ImPact. This project is not expected to have anyadver,e effect on the environment, because of the small size of theconstructions involved.

3.32 Women's Edacation. As provided in para. 2.06, the proportion offemales in primary school enrollment is reasonably high considering therecent growth of country's education system and its nomadic population. Theproportion of females is lower in secondary (35 percent) and highereducation (8 percent) because of the time needed for enrolled populationincluding girls to move through primary education and to transfer into theupper levels. Further expansion of primary education will boost femaleaccess to this level. Durina necotiations, the Government agreed tomaintain financial incentives to increase females access to secondary andhigher education (para. 3.16).

- 17 _

?. Procurement

3.33 The procurement arrangements shown in Table 3.3 vould apply (thefigures in parentheses show the IDA financing).

TABLE 3.3: Aneunts and dghd of Procursmnt(USS militon - figures In parenthews re the aount financed by IDA)

Procu-r_nt ethodds TotalProjeet Element iCe LC8 Other N.A. Cot

Profeslonal Fe" 0.1 6.1(M.1)/ (0.1)

Civil Works 4.0 4.6(8.4)1/ (8.4)

Equlpmet, Textbooks, 0.7 0.1 6.2 1.6Vebicles, and Furniture (067)/ (0.1)j/ (.11)/ (.09)

Technical Assltnce 1. 1and Training Abrod (1.1)y (1.1)

Incremntal 06. 6.5operating Coat (0.2)2/ (0.2)

Studies and Preparatlon 0.1 6.1ov Fure Investments t°1)V (6.1)

Total .7 4.1 2.2 6.6 7.5

(0.?) (8.5) (1.4) (0.2) (6.0)

:/ Consultant contract would be awardd accerding to IDA uidelines.

b/ Construction contracts for the primary chools (US82. 8), the Inspectorates (15,?) , theEducation Resserci and Production Center nd the extension of the education printahop(USS6.5) would be marded through local competitive bidding (LCB) proedures acceptableto IDA, In which foreign bidder. have the opportunity to participate.

St Contracts for major packges of equipment, textboooks, vehicles and furniture would beawarded on the basle of intrnatlonal competitive bidding (ICB) In accordance wlth IDAguidelines Including foreign end local bidding advertieme t, public opening of bide andaward to lowest bidder. (a mrgtn of prtfrence equal to 15 percent of th c.i.f. bidprice of I"ported oode or the actual custom duties and Import duties, whichever islee, will ba llow d for domestic *xnufacturer.).

/ Contracts for equipment, vhicles and furniture valued between US825,0 aid USU60,Mwould be awarded through LCB procedures accptable to IDA.

/ Contracts for Items of low than US25,06 would be awarded on the bsis of at slentthree price quotations.

V Twecnical assitonce contracts would be awarded In accordance wIth IDA guidelines for theuse of consultants.

g/ Reca&rrent exp nswould be lncurred through normal Government procedures acceptble toIDA.

3.34 Given the experience under the First Education Project withinternational competitive bidding (ICB) for civil works, it is expected thatprojected contracts, due to their small size (averaging US$0.7 million),would fail to attract overseas bidders and would therefore be awarded afterlocal competitive bidding (LCB), according to procedures acceptable to IDA(Under the ongoing project, ICt for contracts of this size have not resultedin any bid from abroad). Equipment, furniture, vehicles and textbooks would

- 18 -

be grouped to the extent practical into packages suitable for biddings whichwould account for about 80 percent of the total value of goods. Theremaining 20 percent would be grouped into minor packages suitable for otherprocurement methods acceptable to IDA, as per the footnotes of the abovetable. Procurement packages (announcements, bid documents at±d proposedawards) exceeding US$500,000 for civil works and US$50,000 for goods wouldbe subject to IDA's prior review, and wou..ld cover about 90 percent of theestimated value of the contracts. For goods contracts valued at betweenUS$25,000 and US$50,000 equivalent, two confirmed copies of each contractwould be subject to post-review by IDA before withdrawal of the funds fromthe credit account. Contracts valued at less than US$25,000 equivalentwould be held by the borrower for review by IDA supervision missions and foraudit. During negotiations, the Government confirmed its intention to applythe procurement procedures and arrangements outlisned above.

2. Special Account

3.35 To facilitate disbursement, an amount in FD equal to US$0.3 millionequivalent, would be advanced from the IDA credit and deposited in aninstitution acceptable to IDA. That amount is estimated to cover aboutthree months of expenses for all project expenditures finaaced by theproposed credit.

3. Accounting. Auditing-and RePorting

3.36 The Project 'Director would maintain separate accounts for the IDAcredit. These accouits would be subdivided into expenditures for eachcomponent. Durina negotiations, the Government gave assurances that: (a)IDA project accounts, including disbursements against statements ofexpenditures (SOEs), would be audited annually by an independent auditoracceptable to IDA, within the six months following the end of the borrowerfiscal year beginning in 1991; (b) the Project Director would submit to IDAsemi-annual reports on project implementation and expenditures by June 30and December 31 of each year beginning in 1990, and a completion reportwithin six months of the closing date of the proposed credit.

4. Disbursements

3.37 Disbursements under the proposed IDA credit would be made on thebasis of categories and percentages shown in Table 3.4. Applications to IDAwould be aggregated into packages of at least US$20,000 equivalent.Expenditures for operating costs and expenses related to contracts and/orexpenditures valued at less than US$25,000 equivalent would be reimbursedagainst certified statements of expenditures (SOEs), for which thedocumentation would be retained at the DGEN, for review by IDA supervisionnissions and for annual audits. Applications for reimbursement would alsoinclude a bank statement of the account transactions since the lastapplication, with the balance certified by the bank holding the account.The estimated quarterly disbursement schedule is shown in Annex 3.4.

- 19 -

TABLE 8.4: Allocation and Disbursement of th- IDA CreditUSS '000)

Proposed IDA Porcentage of ExpendituresCategory of Expenditure Allocation Financed by IDA

1. Professtonal Fee 40 106

2. Civil Works 2,700 e6

8. Furniture, Equipmewst,Vehicles, and Textbooks 7560 10

4. Specialist Services andTraining Abroad 920 100

5. Incremental Operating Co s 140 40

S. Studies/Preparation 76 l0

7. Unallocated 1,205

TOTAL 6,926

C=

IV. PROJECT BENEFITS AND RISKS

4.01 Benefits. The project would establish a framework for expandingthe education sector by: increasing its cost-efficiency; tying sectoralinvestments to the Government's capacity to meet the incremental recurrentcosts; and for improving the relevance and quality of aducation whileassisting in institution-building throughout the sector.

4.02 The most immediate direct impact of this IDA-financed project onprimary education would be a 17 percent increase in enrollment. Moreimportant long-range contributions would be: a restructuring and reductionof the costs of primary teachers without sacrificing their quality;important revisions of the curricula at the primary and lower secondary.Levels and for primary teachers' training, leading to quality upgrading; andthe progressive structuring, through the National Commission for VocationalTraining and Employment, of the Vocational Training sub-sector.

4.03 Risks. The risks include inadequate staffing and technicalcapacities throughout the educational and training system. Agreementsreached on additional staffing and a sizable training program supplementedby specialist services in key areas are included in the proposed project tohelp overcome these weaknesses.

V. AGREEMENTS REACHED AND RECOMMENDATIONS

5.01 Prior to negotiations. The Government has provided IDA with a policystatement encompassing the Government's medium-term strategy and relatedmeasures investment program and financing arrangements (para. 3.17);

- 20 -

5.02 During negotiations. The Government and IDA agreed onprocurement procedures (paras. 3.29 and 3.34).

5.03 iae Government also gave assurances that it will:

(a) staff the Secretariat of the CNFE with two p ople with therequired qualifications by September 30, 1990 (para. 3.04);

tb) recruit at least 90 percent of all primary teachers to berecruited during the project implementation period at theinstituteur-adioint level (para. 3.06)t

(c) assign to the CRIPEN by December 31, 1990 two national educatorsand three more by December 31, 1991 provide Ibh with therevised primary education curricula by June 30, 1991 at thelatest; provide IDA with the revised primary teacher trainingcurricula by December 31, 1991; by June 30, 1992, provide IDAwith the revised lower secondary curricula; and review with IDAthe annual work program of the CRIPEN before May 31 of each year(para. 3.09);

(d) assign to the SPE by December 31, 1991, one additional staffwith required qualifications, and completes Mi) the Ministry ofEducatitai organization study by June 30, 1991; (ii) the cost andfinancing studies by December 31, 1991 and 1993 and discusstheir outcome and follow up with IDA; (iii) the school mappingfor primary education by June 30, 1992; and (iv) the vocationaleducation graduates tracer study by June 30, 1993 (para. 3.13);

(e) replace by March 31, 1991, current teacher trainees pre-salaryby an indemnity at least one third less than the pre-salary(para. 3.16);

Cf) cancel by December 31, 1991, and effective the following schoolyear, new fellowships abroad for general secondary education(para. 3.16);

(g) reduce by 60 percent the number of secondary education supportgrants, by January 31, 1991 while developping criteria aimed atincreasing female enrollment in secondary education (para.3.16);

(h) introduction, by January 31, 1991 of new criteria for awardingfellowships for higher education, while providing incentives forthe higher education of females and freezing related budget(para. 3.16);

(i) undertake, by November 15 of each year at the latest an annualGovernment/IDA review of the draft investment and recurrenteducation budgets for the upcoming fiscal year to ensurefinancing of the education program Cpara. 3.16);

(j) implement the proposed project according to the procurement(paras. 3.29 and 3.34), and the accounting, auditing andreporting (para. 3.36) procedures agreed upon during appraisaland confirmed during negotiations.

- 21 -

5.04 Conditions of effectiveness. The conditions of effectiveness wouldbet (a) the legal establishment of the CRIPEN, nomination of its Director,authorization of its budget and setting up of the commissions to review theprimary and lower secondary curricula (para 3.09); (b) the legalestablishment of the statute of primary education inspectors (para 3.10);and (c) that conditions for effectiveness of the co-financing by UNDP andFED have been fulfilled (para 3.25).

5.05 Conditions of disbursement. The conditions of disbursement on (a)strengthening of the National Service for Employmnt t component, would be thehiring of two additional staff holding at least the equivalent of a juniorcollege diploma (para. 3.03); and (b) the CNFE, the issuance of the decreecreating it (para. 3.04).

AF3PHNovember 1989

- 22 -

ANNEX 1.1Page 1 of 2

DJIBOUTI


BASIC DATA

STRUCTURES OF THE EDUCATION SYSTEM

A. GENERAL

Land area s 23,000 sq. km.Population (estimated) s 400,000 - 450,000Population growth rate (estimated): 3 percent

B. EDUCATION DATA

Enrollment in 1989 in public and private institutions:

Level Public Private Total X Female

Primary 26,809 3,235 30,044 41.8General secondary 5,550 986 6,536 34.4Technical and vocational 1,187 1,082 2,269 54.3Teacher training 116 n.a. 116 30.1Higher education (abroad) 350 n.a. 300 8.0

Teachers (Public) Number X Diiboutian

Primary 635 88.4General secondary 327 35.7Technical and vocational 69 34.7Teacher training 13 7.7

Education Financing (1988)

Government recurrent expenditures on educations

As a percentage of totalrecurrent Government expenditures al 13.9

Recurrent Costs per Student (US$ . 1986) a/

Primary 372General secondary 576Technical and vocational 983Teacher training 4,103

a/ Public schools only.

- 23 -DJIBOUTI

MANPOWER AND EDUCATION DEVELOPbIENT PROJECT ANNEX 1.1STRUCTURE OF THE EDUCATION AND TRAINING SYSTEM/ Page 2o f

STRUCTURE DU SYSTEME D'EDUCATIONJ ET DE FORMATION

I~~~

II 1~~~~~~i1!!

- 24 - ANNEX 2.1_ Page I of 2

DJIBOUTI


SOCIO-ECONOMIC BACKGROUND

A. THE COUNTRY

1. The Republic of Djibouti is a small country of 23,000 sq. km.with several social and economic difficulties that hinder its development.Located at the mouth of the Red Sea, Djibouti is bordered on the north, westand southwest by Ethiopia and on the southeast by Somalia. Djibouti becameindependent in 1977 and joined the World Bank in 1980. It is classified bythe United Nations in the least developed countries group.

2. The country is characterized by a rugged topography, withelevations ranging from 150 meters (m.) below sea level to 2,000 m. above.Its climate is very hot, and in the absence of any perennial rivers, thelack of fresh water is a major physical constraint. An estimated 1 millionhead of livestock are herded by the nomads who comprise roughly 20 percentof the total population. Only about 600 hectares of land are cultivated,although some 6,000 hectares are potentially cultivatible. The country'sfishing potential is just beginning to be exploited. Apart from reservoirsof the geothermal steam, there are few proven natural resources exceptsalt, limestone, gypsum and other raw materials used in construction. Themanufacturing sector is limited to a number of small-scale establishmentsproducing for the domestic market.

B. THE POPULATION

3. The population was estimated at between 400,000 and 450,000 inmid-1986, including about 40,000 refugees from neighboring countries. Abouttwo-thirds of the population live in Djibouti-City. The rate of populationgrowth is estimated at about 3 percent. Nearly 40 percent of the populationis below 14 years of age. The age structure of the population, its rapidincrease and the influx of refugees have resulted in acute employmentproblems.

C. THE ECONOMY

4. In spite of its unfavorable climate and limited resources,Djibouti has been able to benefit from its strategic location and itsbistorical and regional ties to build upon the service-oriented economyinherited at independence. While both the primary and secondary sectors areunderdeveloped, accounting for less than 20 percent of GDP, there is arelatively important tertiary sector based mostly on official and unofficialtrade with neighboring countries and the presence of a large number ofFrench military and civilian personnel. Other services center around theport of Djibouti, shipyards a-id the railway to Ethiopia. The activities are

_ 25 _ ANNEX 2.1Page 2 of 2

vulnerable as they depend highly on the fluctuating external demand forservices.

5. The economy is highly open, notable for a complete absence oftrade barriers and exchange restrictions, and there is a free trade zone atthe port. Merchandise exports of local origin are insignificant, and thecountry depends heavily on imports of food and other consumer goods.

D. RECENT DEVELOPMENTS

6. Real GDP declined on average by about 2 percent p.a. during theperiod 1984-88, as compared with an average rate of growth of 3 percentbetween 1978 and 1982. The main reason was the sharp drop in service andconstruction activities. In 1989, the economy suffered a further setbackbecause of torrential rains that caused heavy floods and affected about 50percent of the population of Djibouti-City.

7. The external current account deficit improved substantially from17 percent of GDP in 1984 to an estimated 4 percent in 1987 owing to areduction in imports and a sizable increase in unrequited transfers. On thefiscal front, however, the budgetary deficit is worrisome. As a result ofsome remedial measures taken recently with support from France, the overalldeficit, including grants, declined from 6.4 percent of GDP in 1984 toaround 5 percent in 1988. Capital expenditures have been reduced inconjunction with a more cautious approach to borrowing and external debtmanagement.

8. Djibouti is highly dependent on foreign assistance. Externalaid finances more than 40 percent of Government expenditures and representsnearly 25 percent of GDP. About two-thirds of the total foreign assistanceare in the form of grants and one-third in the form of external borrowing,mostly on concessionary terms. External debt outstanding at the end of 1987amounted to US$152 million, or 40 percent of GDP. Because of heavyborrowing in the early 1980w to finance infrastructure projects, debzservice payments increased rapidly from US$3 million in 1982 to US$13million in 1987. They reached 7 percent of total exports, including re-exports.

- 26 - ANNEX 2.2

Page 1 of 2

DJIBOUTI


OVERVIEW OF THE EDUCATION AND TRAINING SYSTEM

A. THE SYSTEM

1. Djibouti's formal education system is closely modeled on theFrench system. It consists of siX years of primary education, followed byfour years of lower and three years of upper secondary education, bothdivided into general and technical streams. In addition, the country has alimited non-formal education and training system of about 2,000 trainees;this system is scattered through different ministries, national corporationsand associations, as a result of which there is overlapping and inefficientuse of resources. Since Djibouti's small size does not justify thedevelopment of a higher education system, students (about 300 in 1989) aresent abroad, mainly with government scholarships. Despite liberalgovernment policies regarding private education, the public education andtraining sector still accounts for over 85 percent of primary and generalsecondary enrollment. Vocational training is also largely funded out ofpublic revenues.

B. ENROLLMENTS

2. The recent development of the Djiboutian public education systemhas been impressive. Between 1980/1981 and 1988/1989, enrollment at theprimary level increased at 8.3 percent p.a. and at the secondary level at4.9 percent p.a. as compared with a population growth rate of 3 percentp.a.. moving at the primary level from about 15,300 students to 26,80 mndat the secondary from about 3,500 to 5,500. These improvements in accesshave been achieved in part through a policy of double shifts which in198711989 were applied to 80 percent of the urban and G0 percent of therural classrooms. Private education, which was very limited and stagnantuntil 1984/1985, developed at a rapid pace between 1985 and 1989, moving atthe primary level from 1,234 students to 3,225, at the secondary from 148to 986, and at the vocational from 457 to 1,082. In 1988/1989, femalestudents accounted for 41.8 percent of total primary and 34.4 percent ofsecondary school enrollments.

C. TEACHING CONDITTONS AND EFFICIENCY

3. The teaching conditions within the education system are good ascompared with other African countries. In orimary education, almost all theteachers are academically qualified, and 67 percent have received somepedagogical training. The teacher/student ratio is 1 to 43; however, theclassroom/student ratio is 1 to 64 because of the double shifts. Theschools are well-provided with basic collective teaching materials. Theonly textbooks available are for French language (one for two). Because ofthe policy of automatic promotion, the repetition and drop-out rates arelow, and it takes only 7.6 instead of 6.0 student-years to produce a sixthgrade leaver. However, achievement is low as evidenced by the low level ofsuccess on the final examinations which average 25.4 percent for the period1984-89. This shortfall, as at the lower secondary level, is mainly the

_ 27._ ANNEX 2.2Page 2 of 2

result of poor teaching French (along with Arabic in the last two years) andthe inappropriate cultural and environmenta. content of the curricula andresulting inappropriate examination standards. In general secondaryeducation, the level of qualification of teachers (of which 65 percent areforeigners) is adequate, and since 1981 the teacherlstudent ratio has beenstable at 1 to 23. The classistudent ratio, although higher than in 1981,is still 1 to 33. Although this ratio seems acceptable,it masksovercrowding in the general secondary schools in Djibouti-City. In thetechnical streams, the teacherlstudent ratio is 1 to 15. The secondaryschools are well-provided with teaching materials; textbooks are accessibleto students through a rental scheme; and the laboratories and workshops arefully used. Internal efficiency is reasonablet it takes about 5.1 insteadof 4.0 years, and 4.1 years instead of 3.0, to produce a lower and uppersecondary last grade leaver, respectively. However, the rate of success onthe graduation examination is low, averaging, between 1984-89, 47 percentfor lower and 56 percent for upper general secondary (baccalaureat) and 46percent at the lower and 53 percent at the upper technical education levels.

mm--FaC_OR 90 ERINM n .rMT TIN

amy w 1nszs w mui. rn

Coblopt du Uinietr.

Sec rdtarkat

SQltVIc CES "U S

u _ -tcgs a zmtl

~j~VCZ DE IAL[:IVUtlICAITION DE| s }[ rmi F | 0 E

EUI m m

Ore. Scolair. | rre e dCrdre |:a | i l.t eaInnd|.r i:-sir'

bueau d 'lforft on ul | reau de a LI cnu Iet d'Orientation Conptabailti n£t f | P isu

Sureeu des L L re CaS diBormem Naidriol P+dap4kque Cb*

| lareeg Js 11[F | LYC1S

I C*IPII Centre de Ibcherc. d'lInforatdn at do Productionde I Eedcateon I tlon l.

* rIPZN Centra de formation de Peronnels de IEuucataon national.

G _Mi IiTn EUT TRFS Su US_K MI VAU.OMIT AMTIIE WfM IF UINISM OF LAM

| Ministre|

| . 0 ~~~~~~~~~Conseliler technique|

u 1 ~~~~~(9)rtaire gener sertra atcle

Direction du travail Direction de l'emplol et do ie (0)formation professlonnelle

Service de l'inspection du Services des aftairestravail (13) administratives et Service national de ( Centre de formation

_ _ l luridiques rlemploi profesalonnelle pow

_________________________ g ) aduItes Io ~~~Section frgamme jSection Sertices g~4ax(47)

rapports I Ix(0

Section S&curlt& I I Section Juridique Section Enquetesacthniq9edcuritl ( Etudes - Documentation (0) Statlstiques (2)|~~~ehiu du travail

Secon yiine du [-Section Relations Section Informationi ~~~iiravsai .0 l

jSection Statistiques (0) 1Inspections locales (t) Btreaux exterleus (a)

0*1

= Etabtssements autonomes

(n) = Effectifs

-30- ANNEX 2.4Page 1 of 4

DJIBOUTI


MANAGEM4ENT OF THE LABOR MARKET

A. Flexible Planning

1. The development efforts since independence have yielded tangibleresults as regards investment and accumulation of capital. 'While theresults are real and important, all the available economic analyses (seeWorld Bank reports of 1983 and 1986) have stressed the relative fragilityand imbalances of the Djibouti economy, as reflected by the simultaneouslyambitious and constraining nature of planning procedures.

2. Law 251/AN/82 governing the "economic and social direction ef theRepublic of DjiboutiO defines the general development framework for theperiod running from 1983 to 1989. The Law, which is the basic point ofreference for the decisions by the authorities for promoting the country'sdevelopment, sets both the objectives and the means.

3. The economic and social objectives were set as follows (see Title I,Article 2):

- the development of Djibouti as a major international maritime center;- efforts to lessen urban and rural poverty;- reduction in Djibouti's food expenditures;- industrialization;- reduction in the country's energy dependence.

4. In order to obtain those objectives, the Law stresses training as acritical factor and proposes three general thrusts:

- reform of teaching and education to help future generations reachtheir potential through programs adapted to national realities andteaching cycles compatible with the technical and cultural needs ofthe country;

- establishment of quasi-academic (,eri-scolaires) institutions to helpthe country's youth enter the national economy through theestablishment of small units and businesses that provide on-the-jobtraining (entreprises-6coles) geared toward the introduction of thenew technology needed by the country;

- establishment ef continuous and accelerated training cycles forDjibouti's managers through a transfer adapted to the real and directneeds of the country of the know-how of existing managers,cooperation personnel and international assistance missions.

- 31 -


S. Training as a vehicle for the country's development is critical,given the scarcity of Djibouti's resources beyond tha skills and quality ofits manpower.

6. Two other aspects of that Law should be brcaght out:

- the relatively precise and operational nature of the proposals forthe development of human resourcas. There is a heavy stress onstrengthening the direct abilities of local managers and manpower;

- the inadequacy, if not total lack, of features aiming at loweringunder-employment and the need, if the above-mentioned objectives areto be achieved, to implement an active policy in that area.

B. Structural Weaknesses

6. These ambitious objectives are hampered by insufficient diagnosticstudies on the establishment and running of the structures. In thisconnection, there seems tG ve a definite insufficiency in funding and pooroversight by the government entities directly involved in the management ofthe labor market.

7. The Planninm Department is a lightweight structure that has beenattached to various ministries. It first reported direct to the Office ofthe President, then to the Ministry of Economic Affairs and Finance, and isnow under the Prime Ministry. It has an important task in taking stock ofthe last 10 years and, on the basis of a systematic survey of the pertinentministerial departments, subsequently preparing a report on the achievementsin each area. This exercise should yield extremely useful information fordecision-making on the economic and social directions that more clearlyreflects the progress made as well as the constraints of the currenteconomic situation.

8. The Ministry of Labor and Welfare has overall responsibility for themanagement of the employment system, as well as the means associated withthe welfare payments policy. Its funding seems limited, if not inadequate,given the development of problems related *;o employment. In point of fact,as direct resources the Ministry has only some 90 staff, i.e. 1.4Z of alltotal government workers, and the operating funds at its disposal are lessthan 1Z of the national budget.

9. The planned organization for this ministry calls for theestablishment of a Department of Employment and Vocational Training, butthus far no such department has been set up. This is an impediment to thedevelopment of a more active employment and vocational training policy.

- 32 -


10. The diagnostic study of the Ministry's structures suggests that itis, primarily for reasons related to its means, limited to legal (laborinspections) and management functions. This is unquestionably a priorityarea requiring attention and proposals.

11. The National Emplovment Office (SHE) is located within the Hinistryof Labor. it essentially performs a recording function for the mandatoryfiling with the SNE of all offers of and requests for employment. Inpractice, it appears that there is not always compliance with thisrequirement and SNE's real impact on actual placement procedures is somewhatlimited, for both the public and private sectors.

12. The current sources (for data) on employment are essentially relatedto the processing of administrativs data. There is no independent dataccllection and compilation system. Two sources provide valuable informationon employment and can be used to trace developments in the sectors

- registrations of firms with the Welfare Payments Fund (Caisse dePrestations Sociales -- CPS) can be used to estimate the total numberof firms, their distribution by economic activity and wage-earningpersonnel;

- the filing of offers of the requests for employment with SNE can beused to estimate hiring flows and the permanent level of under-employment.

13. The inventory on the organization of the management of the labormarket can be supplemented by a determination of the pertinent human andfinancial resources of the Ministry of Civil Service and Industry. Thestaffs of those two departments are respectively some 30 and some 15 strong,whereas the total operating means at their disposal does not exceed 0.4? ofthe country's operating budget.

14. In sum, the weaknesses of the resources allocated to the managementof the labor market are both quantitative and organizational in nature.This undoubtedly is responsible for two adverse consequences relating to theproblems analyzed aboves

- poor assessment of the scope and rhythm of phenomena linked toemployment and imbalances in the labor market;

- poor diversification of possible policy responses, which logicallymeans that the solutions for finding a better fit to the needs of theeconomy are left in the hands of the training structures alone.

- 33 -


C. An Attempt at Coordination: The National Training-Employment Program

15. In order to help overcome the weaknesses discussed above, aninterministerial coordination program was established two years ago and isoverseen by the Prime Minister. The program has a comprehensive two-prongedplan:

- quantitative approach, for implementing the means, techniques,projects and procedures that generate jobs;

- qualitative approach, for reconciling training and the immediate andlong-term needs of the labor market.

16. Without attempting to assess the success of the program, severalpoints can be raised:

- the advantage of having a complete frame of reference for theproblems associated with training and employment;

- the laudable ambition of the program aimed at simultaneouslydeveloping study and analysis processes and organizational measures;

- the introduction of a real process for centralizing and formattingemplcyment data;

- identification of major quantitative imbalances in the currentemployment situation in Djibouti;

- implementation of permanent labor procedures for the ministerialdepartments involved and the establishment of a network forexchanging the basic information that would result.

17. However, it should also be noted that this program is aimed atcoordination and not implementation and as such actual progress depends andwill depend largely on the primary work carried out by the pertinentdepartments and institutions and in particular the availability of detailedinformation on employment and what becomes of students after they leave thevarious training centers.

- 34 -


DJIBOUTI


LANGUAGES OF INSTRUCTION

I. Teaching of French

1. The teaching of French is now based on a method used in all schools(CLAD method) and a text entitled 'Livre Unique de Frangais, Pour ParlerFrancais' published by EDICEF. Developed by the Applied Linguistics Centerof Dakar for Senegalese students, the CLAD method does not, at first sight,seem totally relevant to the Djibouti context. It however does have themerit of being used, with a sufficient number of texts, in all classes. Italso responds to certain linguistic dictates in learning a foreign languageand is thus, from a pedagogical standpoint, relatively suitable forDjibouti.

A. The CLAD Method

2. This method is based on six principles defined by CLAD as follows:

(a) priority of spoken French over written French;

(b) gradual and systematic introduction of phonetic and grammaticaldifficulties detected by comparative studies between French and themajor languages in Senegal;

(c) language elements in "basic French,* whose base lexicon of 1,200words was established scientifically;

(d) lessons constructed around realistic dialogues, associated withfamiliar situations and using audio-visual aids;

(e) the teacher's tasks are detailed and teaching plans provided for eachlesson;

(f) simple and economical teaching aids.

3. The adaption of the first book for teaching French by the Ministry ofEducation and which has just been published satisfies a number of theseprinciples (a,c,f, and in part d). However, the gradual introduction ofphonetic and grammatical difficulties (b) is largely based on Senegal's

- 35 -


linguistic situation and hence not suitable for Djibouti. Because it wasurgent to make certain readers more relevant for students in Djibouti, theywere transcribed rather than adapted. As a result, several themes such ashunting and water are still occasionally removed from Djibouti context. Itwould therefore not be advisable to proceed in the same way for the otherFrench texts or those for other subject matters, as adaption cannot consistmerely of several cursory refinements of vocabulary and illustrations.

4. Beyond the phonetic aspects of teaching French that must be :eviewed,the texts and lesson plans for the teachers were modified very little andshould therefore be revised. As regards, methodology, several refinementscould be made. The CLAD method, developed for Senegal, was designed morefor lower-level instructors (moniteurs) then primary school teachers(instituteurs) and as such is extremely directive and constraining, takingabove all an overall approach to reading and grammar. Djiboutian teachers,especially those at the primary level with tenure, would wish to have, inaddition to that method, texts that would enable them to introduce elementsof more analytical and normative pedagogy that would also be more responsiveto the types of question in the sample CEP tests and those for promotion tothe sixth year. With a general level that tends to rise with admission tothe teacher training schools, upgrading the quality of teaching requires adiversification in teaching methods and approaches.

II. Teaching of Arabic

5. Like French, the teaching of Arabic should also be based on existinglinguistic and phonetic studies on the national languages. The teachers ofArabic from the national Youth Association (ANJ) have begun an importantstudy of methodology for earning Arabic that incorporates certain steps andthemes used in the teaching of French. As such, they can use the sameteaching aids, e.g. feltboard with the same figures and learning situations.Research and experimentation in the learning of French and Arabic wouldcertainly benefit from close coordination from both the linguistic andpedagogical standpoints. Such coordination would be enriching for theeducation advisors specializing in the teaching of the two languages.

I

- 36 -


DJIBOUTI


LIST AND STATUS OF COST REDUCTION MEASURES

1. Cost reduction measures taken

(a) Teacher's career time span. In April 1989, the civil servicecareer time span was lengthened by about six years (from 19 to 25) whilemaintaining the salary scale. The expected result is the slowing downovertime of the promotion pace and related salary growth. In addition, thenew statute created a one year probation level (stagiaire) at a lowersalary than previous entry level;

(b) New primary teacher category. The new statute increased theacademic requirement (baccalaureat) for recruitment at the existinglinstituteur' level and created a new "instituteur-adjoint' category withthe academic requirements previously requested for *instituteur level"while scaling down its salary scale.

(c) Teachers'housinR benefits. While the Government is consideringthe revision of existing civil servant housing benefits, the Ministry ofEducation has, in the last two years, started replacing these benefits(monthly house renting cost averaging FD 100-120,000) by a monthlyindemnity of PD 30,000 for single and PD 40,000 for married teachers.

2. Cost reduction and efficiency measures agreed upon.

(a) Pre-salary of trainee teachers. Replacement of the currenttrainee teachers pre-salary of FD 80,000 by a fellowship amounting to aboutFD 55,000.

(b) Support grant to secondary students. Cancellation of about 60 Xof the support grant to secondary students. Remaining support would beawarded according to criteria taking into account students socio-economicbackground, academic performance and gender.

(c) Fellowship for education abroad. Cancellation of fellowships forattendance of general secondary education abroad. Higher educationfellowship budget is expected to be frozen for the period and newfellowships (under bilateral financing) would be awarded according tocriteria taking into account socio-economic background, academicperformance, field of study and gender.

OJD3I01TINMUR AND t TIOSl D8PIENT PRUCT

S1MM AOCUNTS COST SIDARY

(FD '000) (USS '000)

2 Total 2 TotalI Foreign Des Z Foreign 8ase

Local Foreign iotal Exchar Costs Local Foreign Total Exchane Costs

I. nwmsw cMsTs

A. PWESSIA ES - 7,870 7,870 100 t 45 45 (00

B. CIVIL VWS 371,220 247.480 610.700 40 52 24099 :p400 3,499 40 52

C. EIIIPNENT NOD VEHICLES - 1069776 106,776 100 9 - 604 o04 100 9

D. FURNITURE 10.575 42,302 52,877 s0 4 60 239 299 80 4

E. TECMhICAL ASSISTANCE - 263685 26,685 100 2^ ',491 1.491 100 22

F. TRAINING - 52,248 52,249 100 4 - 295 2.95 100 4

S. WORTING COLTS 51.920 22.251 749171 30 294 126 419 30 6

H. STUIIES AND P1JECT PREPARATION - 13,262 13.262 100 1 - 75 75 100 1

Total BASELINE COSTS 433,715 755,874 1,189,589 64 100 29453 49275 6,727 64 100

Piwical Contingmncies 38,180 40,443 78,622 51 7 216 229 445 51 7

Pric Carintnncies 239268 39 454 62,722 63 5 132 223 355 63 5

Total PRDECT COSTS 495,163 835.770 1,330.933 63 112 2.800 4,726 7,527 63 112- - - - - -- -- - - -- - - - - - -

Se teber 11 18 12:33

NWUE MM EMCTION DE ETS A Pr.1ECTFinaeinr Plan bv Suaarv Amunts

(us$ '000)

IDA 13? FED Governent Total Local-- _____ ---- (Excl. Dutis A

Am_ t I Amot I AmOt I Amut I Aount 2 Fort Exch. Taxs Tamu2= 580: 2= o 23os:_.o- __3 =o=

I. mR COSTS

A. FWESSIDI S --- 51 10o - -551s.Co S 3407 95 - - - - 601 15 4WO 53 1,03 2,5 -

C. EDUI ANID IEHCLES 614 89 27 4 48 7 - - 689 9 699 - -

D. FUMNaTE 3318 3 1 - - - - 341 5 273 68E. IClCIIM . ASSISTINC 1.06 68 255 16 252 16 - - 1,574 21 1,574 - -

F. RIMISD 88 28 123 0 100 32 - - 311 4 311 - -

S.o U ITI tCOMS 175 38 21, 4 - - 271 59 467 6 140 196 131H. SImMDANO.ECTPPARATION 8 5 100 - - - - - 85 1 85 - -

TotallPJE ENTSTS 5,825 77 429 6 40 5 872 12 7n27 100 4,72 2.669 13:Total Disburunont 5,925 77 429 6 400 5 972 12 7,527 100 4,726 2,669 131

Setthbr Its 1M 12:33

0

" -uq.-

OJIUGUTIMPIWER AND EDUCATIN DEV0ELPENT PROJLCT

S9 rA kemat by Prvoect Comnt(FD Nillion)

COORDINATION OF VOCA.TIO ACCESS TM LITY OF EUTIONTRIiN ElUCAI UTION EDTIOAL AMET

- - - - --3- 310 EDUCATION120 NTIONAL 210 PRIMARY RESERCH 410 STUDIES Physical

110 NATIONL COMNCIL FOR SL INFMTION AND STUDIES AND ContikeieSSERVICE FM TRAININ AND CONSTRUCTION AND PROWCTION 320 PROIUMIND 420 PRJECT FUnIE PROJECTEIENT T T PRRM CENTK INSPECTOIATE SERIMCE WAMT PRERTION Total I bowmt

I. I l CEST OST co

A. PROFESSIi FE - - - 8 - - - - 8 10.0 18. CIwIL vn - - 442 74 103 - - - 619 1O.O 62C.o EMIET AND U EHItS 8 4 49 19 12 4 12 -- 107 10.0 11D.oFUNNIIEE 1' - 41 8 2 1 - - S310.0 5E. TEMOICL ASSISTANCE 82 - - 138 - 43 - - 264 0.0 0F. TRAINING 17 7 - - 6 21 2 - 52 0.0 0G. WUETIN MCOSTS 6 2 - 17 9 5 35 - 74 0.0 0H. STUDIES ND PJCT PP nTION - - - - - - 13 13 0.O 0

Total DINVETME COSTS 114 13 531 265 132 73 48 13 1,190 66 79 s

Total 1ASELINE COSTS 114 13 531 265 132 73 48 13 1t.90 6*6 79Phtsical Contir_nies 1 0 53 11 12 0 1 - 79 C.O 0Price Contingmncius 7 1 24 14 7 4 4 *2 63 5.1 3

Total PROJECT COSTS 122 4 608 291 150 77 54 15 1.331 6.1 *82_- - - -- s- --- --- --- -- -- -- - - .- -- s== = u v = _

Tom 2 1 - 5 3 1 11 - 23 0.0 0Foreig Exehane 117 12 295 224 72 74 27 i 1s 836 5.0 42

S mbetr 11, 18 12:33

l~~~~~~0

DJt00UTIIW IPE M EMUOATION DEIELOPIET PROJECT

Finaird Plan b ProJect CawuwntsCUSS '000)

IDA MIr FED Govenumnt Total Local(Excl. Butieu I

Ammt I int Z Ammt I Auwnt Z Awnt Z For, Exch. Taxes) Taxes== _C 52 e=G G- t:2=: =: = t ::G-= :::-:- __-

A. COWINATION W AT IRAINIJI

l1O NATIL SEVICEM FURE YN 264 38 - - 400 58 23 3 688 9 659 18 1112 NTI C UlCl:L FOR TRAININGIAND OI I 72 90 - - - - 8 10 80 1 70 6 4

Sub-Total COORDINATION OF OCATIONAL TRAINING 336 44 - - 400 52 31 4 767 1^ 729 24 15

D. ACCES To EOCATION

210 PRINARY KM101 COSCTION PROSRAN 3.011 88 - - - - 429 '12 3.441 46 1671 1770 -

Sub-Total ACMESS T EDUCATION 3.011 98 - - - - 429 12 3.441 46 1:671 1770 -

C. Um O EDUCATION

310 EWU4TION RSEARCWIONTION AND PDTION CENTRE 1,505 92 - - - - 139 9 1,643 22 1,267 346 31

320 IISECTATE 716 84 - - 134 16 950 11 408 426 16

Sub-Tol ULITY OFf EDCAtION 2.221 89 - - - - 273 '1 2.494 33 '675 772 47 o

D. EUCATIONAL 1A11T

410 SUDIES AND PRO SERVICE - - 42998 -- 8 438 6 417 13 8

420 PROECT IANAET 172 57 - - - 131 43 303 4 150 91 61

SuTotal EUTIONAK NANAGSE 172 23 429 58 - - 139 19 740 10 367 104 69

E. STUIIES AND FUtURE PROJECT PREPARATION 8 100 - - - - - - 85 1 a5 - -

Totl Disbu0semnt 5.82 77 429 6 400 5 872 12 7.527 100 4.726 2.669 131= It==s= _G8= = =: = 2

Swuur 11. 198 12:33

MW R AND EDUCATION DMM OPT PROECTPROJECT COST SlR

(FD '000) (USS '000)

I Toal Z TotalZ Forein Bm Z Foreisgn ase

Local Foreign Total ExcwkMe Cnsts Local Foreig Total Exehare Costs

A. CMID TION OF OCATIONML TRAINING

110 NATIONAL SERVICE FO ElOYME 4,574 109,632 114,205 96 10 26 620 646 96 10120 NATIONAL COUICIL FOR TRAINING IND EIPlOY1ENT 1,521 11s399 12,910 88 1 9 64 73 88 I

Sub-Total COORDINATION OE VOCATIONL TRAINING 69095 121.020 127,115 95 11 34 684 719 95 113. ACCESS TO EDUCATION

210 PRIIRY SCOL CONSTRUCtION PROMI 273184 257.907 531.091 49 45 1.545 1t459 3,003 49 45

Sub-Total ACCESS TO EOCATION 273.184 257P907 5314091 49 45 1,545 1459 34003 49 45Co QUAITY OF EDCATION

310 EDUCATION RESEARCH INFI ATION AND PRODCION CENTRE 58.433 206.787 265.220 78 22 330 1,169 1,500 78 22320 INSPECTORATE 68,337 63.590 131.927 48 11 386 360 746 48 11

ub-Total QUALITY OF EDUCATION 126,770 270,377 397.147 68 33 717 1.529 2,246 69 33D. EDUCATIONAL NAAGENENT

410 STUDIES AND PRORWAINB SERVICE 3,354 69,548 72.902 95 6 19 393 412 95 6420 PROJECT NANASEiNT 24,312 23.760 48,072 49 4 137 134 272 49 4

Sub-Toal EDUCATIONAL NANAME 279666 93.308 120.974 77 10 156 528 684 77 10Es STUDIES AND FUTURE PRJECT PREPARATION - 139262 13.262 100 1 - 75 75 100 1

Total BASELINE COSTS 433,715 755.874 1#1894589 64 100 2,453 44275 6,727 64 100Phusical Contingencies 38B180 40,443 78,622 51 7 216 22? 445 51 7Price Contingencies 23,268 39,454 62,722 63 5 132 23 355 63 5

Total PROJECT COSTS 4959163 935,770 1,330,933 63 112 2.800 49726 7.527 63 112

_ _ _ _- -- -- - - -- - -_------------ - - _

Sweber 11. 19 '.2:n q

DJWBOUTI


IMPLMENETATION SCHEDULE/CALENDRIEF D'EXECUTION

~~~~~~~~~~~ 1989 ti1 cbr9tdcF>to 1991 ang 191 149 _ f_ . , ;|___

-- AI SiONOLJlF M 04j J A S CdO'J D AA.*J AS N~ MM 0tdJJ MA.f A S0 DJMAIJ ASN DJ IF fIJI

A. CCORDMNATION OF VOCATIONAL TRAINING/COORDIMATI ______ ______

DE LA FORWATION PROFESSIOWELLE1 * RATIONA SERVICE FOR REMPLOYMNRIT

- Furniture/Mobilier

- Equipaent/Equipeaten -- -----

- Technical Aasistance/Assistance Technique

- Trainv Abr adl Form a tion a l'tranger- Operating coatafColts diophration _________>

2. NATIORAL COUNCIL FOR TRAINING & DEVELOPMENT I

- FuraiturelMobilier

- Equipment/EquipemeiI

- Training AbroadtFormstion; l'etranter

-. ACCESS TO EDUCATION ACCES A L' EDUCATION I

Primary school construction program/progrsamm e

de constructlon d'dcoles primaires

- Civil work GAnie Civil- Furniture/Eobslier

- Equipment/Euipament

C. UAITOF EDUCATION UALITE DE L.'EDUCATION1. EDUCATION RESEARcN CENTERs (c -.N

- Architectural Des mobldi r httecpmntlo,

F urniture/Nobilier

Equipdngt/Equipoment *

- Technical Assistance/Aasistance techiqiue

- Training Abroad Formation I'Stranotr

- Oer~jQi got,/ At

ACTIVITIES *Conseil National de is Formation et de I Emplio.

Architectural design/Furniture. Equipment 11stsDocuments Architectursux/Listes de mobilier et equipement

B~X idding documents and awards/Appal d'offre at attributioaExecution/mEse sn oeuvre

In operation/En fonctionnement

AF3PRSeptember 1989

DJ IBOUTI


IMPLEMENTATION SCHEDULEICALENDRIER D'EXECUTION

=_L .lo . 1991 ; 1992 L 199q . _-ZY. 94 FY 92 _ FY 9j3 --

J A A S OiN D F M A_ , J ,. I ,ASNbJ S OP .s

2. INSPECTORATED/INSPECTIONS . . -I-- -*-- ---- -. _ .

- Arch~itectural DeisJn/Etudes architecturales Z * * -- _

- Civil work/Ginie Civi_- Furnhture/Mobilier ____ .

- Equipment/Equipementr - -- , L::- Training Abroad/Formation g' l'Etranger r = -- * _ , .-_Operatinx CostsaCut d'oprto _.:-7

D. EDUCATIONAiL MANAGEM6NT/GESTTOM DR I 'FnUA!N' D=--..w_._.--_- ;

I .TImTF5 AND PROCRAMMINC. qFR rLFI5RY1r, n- . . - - . .__ _ : _ _-

ETUDES Er DE LA PROGRAMATION _ ,. ! = , _ - , - _ ____.__r ____I=

- Furniture/M4obilier Z ______._ -_

-quipmnt/Euipement

-Technical Asqistance/Assistancc Techni.u | =..|~~~|~=

- Operating costs/Couts d'operation

2. PROJECT MANAGEMENT

-E p upment Eculsn=t- _-_e__ e=_-t

E. STUDIES AND FUTIJRE PROJECT PREPARATION th__ t= - : : i' '_73~-. ,'t :1

tIt - _ _+__ ___---_ -.:fi

_ || |I -1 + * .'' * :: . * i :…-!'------' -ti $ _ ' '- S t--;r A I I i

AF3PHSeptember 1989

r C

- 44 - ANNEX 3.3Page 1 of 2

DJIBOUTI


LIST OF SPECIALIST SERVICES AND TRAINING

A. COORDINATION OF VOCATIONAL TRAININGSource of

Staff/months financing

1. National Service for Employment

Specialist in employment and 24 EDFqualification analysis 12 IDA

Consultants for (a) study of 10 IDAthe MTPS Vocational TrainingCenter; (b) restructuring ofthe Directorate of Trainingand Employment; and (c) analysisof non formal education.

Training in employment 26 EDFstati tics and administration

2. National Commission for Trainingand Employment

Training in analysis of employment, 9 IDAqualification and training

B. ACCESS TO PRIMARY EDUCATION

C. QUALITY OF EDUCATION

1. National Center for EducationResource

Specialists in curriculum development 60 IDAand evaluation and measurement

Consultants for (a) evaluation of 5 IDA(i) primary teachers pre-servicetraining; (ii) evaluation of in-service teacher training; inspectors,pedagogical counselors and headmasters;(b) training of primary educationsupervisors.

- 45 - ANNEX 3.3Page 2 of 2

Training in (a) measurement and evaluation; 40 IDA(b) didactic of French language;(c) editing and (d) design ofinstructional material.

2. Inspectorates

Training of inspectors in 20 IDAsupervision theory and practice


Specialist in education planning 18 UNDP

Consultants for (a) organization 6and management analysis; (b)school mapping; (c) costs and financing;and (d) administration (budget andfinancing, management of personnel andgeneral administration)

Training for administration 38 UNDPof education, (budget and financing;management of personnel and generaladministration).

- 46 -


DJIBOUTI


ESTIMATED SCHEDULE OF DISBURSEMENTS

CALENDRIER DES DECAISSEMENTS

(In US$ million)

ACCUMULATED UNDISBURSEDQUARTER DISBURSEMENTS DISBURSEMENTS BALANCE

FY904 0.0 0.0 5.8

FY911 0.3 0.3 5.52 0.2 0.5 5.33 0.2 0.7 5.14 0.2 0.9 4.9

FY921 0.3 1.2 4.62 0.3 1.5 4.33 0.3 1.8 4.04 0.4 2.2 3.6

FY931 0.4 2.6 3.22 0.4 3.0 2.83 0.4 3.4 2.44 0.4 3.8 2.0

FY941 0.4 4.2 1.62 0.4 4.6 1.23 0.3 4.9 0.94 0.3 5.2 0.6

FY951 0.3 5.5 0.32 0.2 5.7 0.13 0.1 5.8 0.0

IEBD 2 906

T Pw ' 695gra / \< ~~~~~~~~~~~~~~~~~~~~~~~~~~~~PEOPLEjS\JA <'- \> YEMEN DJIBOUTI OFYEMEN.

N. >-wf ARMANPOWER AND EDUCATION , N

N. ,.6 DEVELOPMENT PROJECT -

r ^ . />- ~~~~~~~~~~- -~ 'NMdi, SO.MAIA

-08CK It

o,.~~~~~~~-I

7-=' / \ Z _ I'; > z s v~~~~~~~~~~~~~~~~~S

/- ' e* TADJOURA tj , -

%~~~~~~~~~~~~~~~~~~~

\jE1 ooSa \ tf s',%&E ADl.N~~~~~~~ClUf (

'--'-,< ~~~~~G4CWADFf

t ' EDIKHIL O a s

JX g _ ~~~~~~~~~~~~~~~~~~~~~~~~~~~- td "~ IN,di T_'

Of ALI 0 0&~

r*: , P ' \ / X4 5AB/EH, ' / ° =i'

PLAIN OFSPS -;N kt-

GO114,. a - 11 E lM

ETHIOPIA o Sld- %Ift. -d T- _V. E- R.& 1a1

X ¢ w | - hSah lalE E

b wass A|SS,sE all 155111/s

fl I>dhg SV + A Idd E zd 1/p E

SEPTEMR l!lE9

World Bank Document...MANPOWER AND EDUCATION DEVELOPMENT PROJECT STAFF APPRAISAL REPORT Credit and...

Documents

Transcript of World Bank Document...MANPOWER AND EDUCATION DEVELOPMENT PROJECT STAFF APPRAISAL REPORT Credit and...