1. 11 EIB REsults Measurement (REM) Framework Sabine Bernabè Luis Hebrero 26 th April 2012

2. 2 1.Background External Lending Mandate review: requests EIB to report on expected and actual results achieved. Banks Economic and Social Impact Assessment Framework (ESIAF) was not an adequate tool for measuring & monitoring results. New REM Framework launched 1 January 2012. REM framework has three aims: i.Improve ex-ante assessment of expected project results. ii.Develop monitoring & ex-post evaluation of results. iii.Enhance reporting to external and internal stakeholders. Harmonization of results indicators with other IFIs: IFI & EDFI Results Indicators Harmonization Working Group: 15 organisations. Dialogue on results measurement with other partners: EC (DEVCO), NGOs, some EU development agencies

3. 3 2.Purpose of the Framework A.PROJECT ASSESSMENT THROUGHOUT PROJECT LIFE-CYCLE 1.Ex-ante rating for project selection: a.Contribution to mandate objectives. b.Expected Results based on monitorable, standard indicators with baselines, timelines and targets. c.Additionality: financial and non-financial. 2.During Project Implementation and Operation: Monitoring of results indicators against expected results are we achieving expected results? How can we improve our projects in the future? 3.Ex-post: Indicators used for ex-post evaluation. 3

4. 4 3.Purpose of the Framework, cont. B.REPORTING 1.External reporting on results: e.g. How many SMEs have improved access to finance in FEMIP thanks to our financing? 2.External reporting on mandates (Parliament, EC, etc.): How well are we achieving our mandate objectives? What is our additionality? 3.Internal reporting on performance: How good are our projects in terms of expected results and additionality? How well are we achieving our results targets? 4

5. 5 4. REM Conceptual Framework Additionality

6. 6 5. Ex-ante project rating: the three pillars Pillar 2: How good are expected results? Pillar 1: How well do expected impacts contribute to our mandate objectives? Pillar 3: How good is the EIB additionality?

7. 7 1A. Consistency with EIB Mandate Objectives 1. Development of Social and Economic Infrastructure 2. Local Private Sector Development in Particular Support to SMEs 3. Climate change Mitigation and Adaptation Regional Integration among Partner Countries 6. Pillar 1 – Contribution to Mandate Objectives 1B. Contribution to EU and Country Development Priorities OutputsOutcomesImpacts Contribution to EU and Country Development Priorities Pillar 1 Rating : 4-Excellent; 1- Unsatisfactory

8. 8 7.Pillar 2- Expected Results (microfinance example)

9. 9 8.Pillar 3 - Ex-ante Rating EIB Additionality Inputs Market alternative Additionality -= Financial Instrument (rating 1-4) Technical and Sector Contribution Standards & Assurance Long term financing Local currency funding Grant element Innovative products Project preparation Project implementation support Sector support and operations Leadership in structuring a bankable project Participation in mutual reliance initiative Contribution to raise standards (ESG, procurement)

10. 10 9.REM indicators Standardized, Aggregable Indicators 4 types of indicators: Mandatory core indicators - all projects all sectors Employment effects Fiscal effects (private sector) Energy efficiency Carbon footprint Environmental and social safeguards Corporate governance (private sector) Mandatory sector specific indicators - all projects in a given sector or sub-sector Other indicators, where relevant Custom indicators - project specific

11. 11 10.Ex-post Reporting – Aggregating of Development Results 602,000 jobs were provided in East Asia and the Pacific (IFC) 500,000 women borrowers were served in the Middle East and North Africa (IFC) 19.1 million people were supplied with power in Sub-Saharan Africa (IFC) $4.1 Billion microfinance loans were made in Latin America and the Caribbean (IFC) Almost 6.8 million people in project areas were provided with access to Improved Water Sources (WB) About 334,000 new piped household water connections were established, and another 157,000 were rehabilitated (WB)