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Tunisia - Fourth Northwest Mountainous and Forested Areas Development Project : restructuring

The development objectives of the Fourth Northwest Mountainous and Forested Areas Development Project (PNO4) for Tunisia are to improve the socio-economic conditions of the rural population and promote better protection and management of natural resources in the project area using an integrated participatory approach to community-based development. The restructuring involves the following changes: (i) increase of the percentages of expenditures to be financed (inclusive of taxes) by the International Bank for Reconstruction and Development (IBRD) loan 7986-TN supporting the project from their current levels of 80 percent and 88 percent to 100 percent for all categories of eligible expenditures; (ii) modification of the description of the promotion of income generating activities sub-component under component two support for agricultural and pastoral production and income-generating activities in the project area to allow the provision of goods (in the form of livestock, small scale equipment, and materials) in support of income generating activities to benefit eligible vulnerable groups; and (iii) reallocation of loan proceeds from the unallocated category to the other categories of eligible expenditures of the loan. The restructuring involves also changes to the performance monitoring indicators framework to: (a) include core indicators added during implementation in compliance with the Bank updated requirements and guidelines, and (b) update baseline values of indicators as well as target values of relevant indicators to reflect the actual priorities adopted by the beneficiary communities in the participatory development plans elaborated with the support of PNO4.