BP 2.11 - Country Assistance Strategies

1. The Country Assistance Strategy (CAS) identifies the key areas in which Bank Group¹ support can best assist a country in achieving sustainable development and poverty reduction.²  It is the central tool with which Management and the Board review and guide the Bank Group’s support for the country’s development programs. Oriented toward results and based on systematic Bank Group collaboration, it is prepared in consultation with country authorities, development partners, and other stakeholders as appropriate.

2.  The CAS starts from the country’s vision of its development goals, which may be set out in a poverty reduction strategy (PRS) or other country-owned and -led strategy process. The CAS sets out the Bank’s diagnosis of the country’s development situation and a selective program of planned Bank Group support that is tailored to the country’s needs, against the background of the government’s development objectives and strategy, the Bank’s ongoing portfolio, and the activities of other development partners. The CAS is grounded in a results framework that highlights the outcomes that are expected from Bank support during the implementation period. The document highlights any differences between the country and the Bank on the approach outlined in the CAS.

Frequency and Products

3. A CAS is normally prepared every four years for each country in which the Bank has a planned or ongoing assistance program; its timing is aligned with country conditions (e.g., PRS preparation, election cycles).³ At the midpoint of the implementation of a CAS, the Bank prepares a CAS Progress Report (CASPR), a brief document focusing on key developments since the CAS, with a view to introducing mid-course corrections as necessary.⁴  For a country that is not ready for a CAS, the Bank may prepare an Interim Strategy Note (ISN),⁵ which covers a period of 12 to 24 months, until a CAS can be prepared.

4. Each year, the Region consults with OPCS and the Board Operations Division, Corporate Secretariat (SECBO) to plan the tentative timing of the CASs, CASPRs, and ISNs to be distributed to the Board during the coming fiscal year.

5. Each year, the Bank and IFC and, as appropriate, MIGA, jointly determine the extent of their collaboration in the preparation of CASs planned for the coming fiscal year.⁶  CASPRs normally reflect the same level of collaboration among the Bank, IFC, and MIGA as the CASs on which they are based. As appropriate, ISNs may also be prepared jointly.

Preparation and Consultations

6. The country team normally leads the preparation of the CAS, CASPR, or ISN.⁷  Throughout preparation, the task team leader coordinates closely with relevant Bank Group units, development partners (IMF, regional development banks, bilaterals, etc.), and other sources of expertise to elicit informed views on the key issues to be highlighted in the CAS, CASPR, or ISN. The task team leader informs the Executive Director representing the country of the status of the CAS, CASPR, or ISN and provides him/her with copies of any drafts that are sent to country officials.

7. The CAS and, to the extent possible, the ISN are developed in close consultation with the government, usually through several ministries and agencies and at various levels. To help increase the Bank’s understanding of country conditions, and to promote public acceptance of the CAS, the Bank seeks the government’s prior agreement to hold consultations (through workshops, roundtables, etc.) on the proposed CAS with nongovernmental stakeholders, such as community-based organizations and the private sector. CAS consultations for IDA-eligible borrowers build on the country’s PRS consultations.

8. The Bank collaborates with development partners to ensure greater harmonization and coherence across institutions in support of the country’s development efforts. The objective is to promote country ownership and country-led donor coordination, reduce aid management and delivery transaction costs, and increase selectivity in line with the Bank’s mandate and comparative advantage.

9. Early in the preparation of a CAS, in enough time to derive lessons for CAS design, the country team prepares a CAS Completion Report (CASCR) to review the effectiveness of the previous program⁸ in achieving progress toward stated objectives/outcomes—based on the results framework set out in the previous strategy.⁹  The CASCR is reviewed together with the draft CAS during the Bank Group-wide review process. The final version is included as an annex to the CAS. The Operations Evaluation Department reviews the final CASCR to validate the self-evaluation by the country team.

Review Process

10. Two Bank Group-wide reviews of the CAS or ISN are conducted during preparation: (a) the upstream review occurs following country team/Regional concept discussions, but before extensive external consultations, to provide Bank Group-wide guidance on the development of the strategy;¹⁰ (b) the final review occurs after government and external stakeholder consultations have been held and the country assistance program has been elaborated, to provide Bank Group-wide input on the strategy before final clearance ahead of Board distribution. Early in the preparation process, the Region consults with OPCS to determine whether such reviews should be at the level of an Operations Committee meeting chaired by the Managing Director, Operations (MDO), or a Regional Operations Committee meeting chaired by the relevant Regional vice president (RVP).¹¹  Network anchors and other relevant Bank Group units are invited to participate and comment in these reviews. The CASPR is subject to one Bank Group-wide review at the level of a Regional Operations Committee meeting.

Clearance, Board Distribution, and Disclosure

11. Following the final review, the task team leader seeks the clearance of the Credit Risk Department (if the country is eligible for IBRD financing) and/or the Resource Mobilization Department (if the country is eligible for IDA financing) and consults with the Legal Department on the final draft CAS, CASPR, or ISN.¹²  The country director sends the final draft CAS, CASPR, or ISN to the RVP (with a copy to Country Economics, OPCS) for review and clearance according to Regional procedures.

12. Once the RVP has cleared the document, the task team leader forwards the final draft to the MDO (with a copy to Country Economics, OPCS) for review and clearance; and, if the document is prepared jointly with the IFC, the task team leader also sends it to IFC’s Executive Vice President and Managing Director for clearance.¹³  After receiving the clearances, the task team leader sends the package to SECBO for printing and Board distribution.¹⁴

13. Disclosure of the CAS, CASPR, or ISN, and the Chairman’s Concluding Remarks summarizing the Board of Executive Directors’ discussion of any of these documents, is governed by The World Bank Policy on Disclosure of Information.¹⁵

Link with Operations

14. For each lending operation, the Project Appraisal Document (PAD) or Program Document (PD) notes the date of the most recent CAS, CASPR, or ISN and outlines how the proposed operation derives from the results framework of the CAS, CASPR, or ISN. If an operation deviates significantly from the CAS results framework, the PAD or PD explains why; such an operation is not eligible for presentation under streamlined procedures.¹⁶

Implementation

15.  The Bank collaborates with the government and external partners in implementing CAS activities. The country team monitors and evaluates progress toward achieving CAS objectives, including outcomes identified in the results framework. The CAS monitoring and evaluation system uses national monitoring and evaluation systems, where possible, and draws on the monitoring and evaluation arrangements built into Bank operations.

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1. "Bank Group" refers to IBRD, IDA, IFC, and MIGA; “Bank” refers to IBRD and IDA; and “lending operation” includes IDA credits and IDA grants.
2. OP 1.00, Poverty Reduction.
3. CASs for IDA-eligible (i.e., IDA and blend) countries are normally based on the country’s PRS, and the CAS is presented to Executive Directors only after the presentation of the PRS on which it is based. For IDA-eligible countries that have not yet completed a PRS, the Bank’s assistance program is usually updated in an Interim Strategy Note, covering a period of up to 18 months and focusing on the Bank’s support to the country in its preparation of its PRS.
4. Some flexibility is permitted in the timing of CAS and CASPR preparation to take into account relevant country developments. CAS teams should consult with OPCS if CAS or CASPR preparation is expected to deviate significantly from the standard frequency.
5. For countries affected by conflict, the Bank prepares the ISN in accordance with OP and BP 2.30, Development Cooperation and Conflict. For further guidance on preparing an ISN in a low-income country under stress (LICUS) that is re-engaging with the Bank, staff should refer to Guidelines for Preparation of Interim Strategy Notes for LICUS Re-Engagement.
6. For details on the level of collaboration between the Bank, IFC, and MIGA, and for workflow arrangements relating to such cooperation in CAS preparation, staff should refer to CAS Guidelines.
7. For guidance on CAS, CASPR, and ISN content, staff should refer to CAS Guidelines, BP 2.30 for countries affected by conflict, and Guidelines for Preparation of Interim Strategy Notes for LICUS Re-Engagement for LICUS re-engaging with the Bank.
8. The previous program may have been set out in a CAS, an ISN, or other strategy document.
9. In some cases, the preceding strategy document will lack a results framework. Staff should refer to CAS Guidelines.
10. ISNs for countries affected by conflict are not subject to Bank Group-wide review but instead receive technical advice during preparation from an advisory committee as set out in BP 2.30.  For ISNs prepared in situations where speed is critical, the Region consults with OPCS to determine whether one or two Bank Group-wide reviews will be conducted and at what level. For ISNs for LICUS re-engaging with the Bank, staff should also refer to Guidelines for Preparation of Interim Strategy Notes for LICUS Re-Engagement.  If the upstream review is for a CAS, the CASCR is included in the Upstream Review package; see CAS Guidelines.
11. For guidance on the preparation and conduct of Bank-group wide reviews, staff should refer to CAS Guidelines.
12. If there  are outstanding issues with the Credit Risk Department and/or the Resource Mobilization Department, the Region succinctly highlights outstanding issues in a memo seeking MDO guidance and clearance. For ISNs for countries affected by conflict, the ISN is cleared by the Legal Department and others, according to Regional procedures, as set out in BP 2.30.
13. For guidance on the workflow processes related to CAS clearance, staff should refer to CAS Guidelines.
14. CASs and ISNs are distributed to the Board of Executive Directors for discussion; CASPRs are distributed on an absence of objection basis, i.e., in the absence of a request by Executive Directors to schedule a CASPR for discussion, minutes of a subsequent Board meeting record that Executive Directors noted the CASPR. For workflow processes relating to Board distribution of CASs, CASPRs, and ISNs, staff should refer to CAS Guidelines.
15. See The World Bank Policy on Disclosure of Information. For workflow processes related to disclosure of these documents, staff should refer to The Disclosure Handbook.
16. If the preceding strategy document lacks a results framework, the PAD or PD outlines how the proposed operation fits with the strategy. See CAS Guidelines and BP 10.00, Annex K, Streamlined Procedures for Board Presentation.