1. … using an approach to Bank assistance that maximizes the effectiveness of scarce resources
Greater emphasis on dialogue and analytical work that builds ownership and capacity:
Strongly engages the client and other partners in the design and execution of AAA to ensure relevance and complementarity with other development actors
Systematically assesses and pinpoints key policy, institutional, and organizational constraints to allow baselining and tailoring of interventions
Feeds analytical work findings more directly into sector dialogue, sector strategies, and lending, including PRSCs
Focuses on entry points where there are champions for reform
Uses lending as an entry point to address cross-cutting constraints within overall strategic frameworks (e.g., RMP-2)
Targets lending and non-lending to complement and support the effective use of other development resources
Nests Bank assistance within broader sector strategies and frameworks
Leverages CB grant funding with
Emphasizes and strengthens systems to measure development outcomes
Creates a platform for broader stakeholder participation in implementation and monitoring
Retrofits the ongoing portfolio toward CAS goals as needed

2. Doing Business Differently
AAA:
Diagnostic work and Core ESW (CFAA, CPAR) baselines cross-cutting capacities using 3-level framework
Sector strategies identify constraints at the 3 levels, and make recommendations for eliminating those constraints to achieve results. (e.g. decentralizing organizational capacities in RMP2)
Analytical work should involve participation of local experts and/or partners upstream in design and implementation to build capacities for future replicability.
PRSC
The higher order results matrix is an opportunity for GoL and donors to agree on the capacity constraints and to coordinate assistance to eliminate those constraints.
Lending
New Lending: In the design stages of the project identify with counterparts baseline capacities and key constraints, structure CE interventions and select monitoring indicators to assess progress
Ongoing Lending: Determine baseline capacities at any stage of a project, identify key constraints, target interventions and select indicators to measure progress

3. An Example of CE on the Ground – in the Transport Sector
Rationale
RMP1 made credible case with GoL and donors for road maintenance culture so that investment in transport is balanced between maintenance and new road construction
Scaling up the road maintenance program requires CE at the sub-national level and in engaging the local private sector and mobilizing smaller communities
RMP1’s success in decentralization was limited to two piloted provinces
In RMP2 a comprehensive HR strategy was developed for the Ministry to institutionalize skills and processes required for decentralization in all provinces
How does RMP2 reflect new approach to capacity enhancement?
WB has played an influential role in developing a road maintenance culture, harmonizing donor activities, and introducing a systematic approach to capacity as well as making the important link between capacity and results
Explicit Agreement between the WB and GoL to submit a satisfactory CE proposal
Intense consultative work with client resulted in agreement to move to systematic approach to CE using 3-level framework (consultancy process currently underway to determine baseline capacities and evidence progress in CE at both national and sub-national levels)
Agreement among Donors to embody a financing plan for RMP2 which integrates support to “hard” physical resources with “soft” capacity building
Monitoring and review/supervision of the project will be undertaken jointly by donors
PHRD capacity building grant tied to RMP2 to build sub-national capacity and more effectively implement the maintenance program