1. Title/basic act/ CRIS number

Transcription

1 EN ANNEX 2 to the Commission Decision on the 2017 Annual Action Programme in favour of Antigua and Barbuda to be financed from the 11 th European Development Fund Action Document for Technical Cooperation Facility and Support Services to the National Authorising Officer and Non-State Actors Advisory Committee Antigua and Barbuda INFORMATION FOR POTENTIAL GRANT APPLICANTS WORK PROGRAMME FOR GRANTS This document constitutes the work programme for grants in the sense of Article 128(1) of the Financial Regulation (Regulation (EU, Euratom) No 966/2012), applicable to the European Development Fund by virtue of Article 37 of the Regulation (EU) No 323/2015 in the following sections concerning grants awarded directly without a call for proposals: section Title/basic act/ CRIS number 2. Zone benefiting from the action/location 3. Programming document 4. Sector of concentration/ thematic area 5. Amounts concerned Technical Cooperation Facility and Support Services to the National Authorising Officer and Non-State Actors Advisory Committee Antigua and Barbuda CRIS number: 2017 / financed under the European Development Fund Antigua and Barbuda 11 th European Development Fund - National Indicative Programme ( ) for co-operation between Antigua and Barbuda and the European Union Various Sectors (including Public Financial Management and Revenue Reform) DEV. Aid: YES Total estimated cost: EUR (20 % of the National Indicative Programme) of which : Total amount of the European Development Fund contribution: EUR Antigua and Barbuda contribution: EUR [1]

2 6. Aid modality(ies) and implementation modality(ies) Project Modality - Direct Management ( direct operating grant; procurement of services for TCF) - Indirect Management with Antigua and Barbuda 7 a) DAC code(s) (TCF) (NAO) (NSA) b) Main Delivery Channel 8. Markers (from CRIS DAC form) EU General policy objective Not targeted Significant objective Main objective Participation development/good x governance Aid to environment x Gender equality (including Women x In Development) Trade Development x Reproductive, Maternal, New born x and child health RIO Convention markers Not targeted Significant objective Main objective Biological diversity x Combat desertification x Climate change mitigation x Climate change adaptation x SUMMARY The overall objective of the Technical Cooperation Facility and Support Services to the National Authorising Officer (NAO) and the Non-State Actor (NSA) Advisory Committee programme is to ensure the efficient and effective utilisation of EU development assistance in support of the implementation of Antigua and Barbuda's development strategies and policies. The current and future portfolio of the NAO features a number of EU-funded programmes that are key to the country's development, namely the 11 th European Development Fund Public Financial Management (PFM) & Revenue Reform Programme, to build on 10 th EDF progress in the institutional and organizational strengthening of the country's public financial management and revenue administration systems. This Action will support the operations of, and improve the institutional capacity within, the Office of the NAO for the efficient planning, implementation and monitoring of development projects and programmes financed by the EU, under both the National Indicative Programme (NIP) and the Caribbean Regional Indicative Programme (CRIP). It will also improve awareness among key actors in the country of general development and of EU policies in these areas. An indicative amount of maximum EUR is foreseen for support to the National Authorising Officer. [2]

3 The support to the Non-State Actors (NSA) Advisory Committee will foster structured civil society participation in the national development agenda and the partnership with the EU in order to ensure that civil society perspectives are reflected and, as a result, achieve a broader based support for projects and programmes in the country. This will be done by strengthening institutional arrangements for dialogue between NSAs and the Government while enhancing capacities of NSAs to hold the local authorities accountable and effectively influence and monitor national and regional policies. An indicative amount of maximum EUR is foreseen for the support to the Non-State Actors (NSA) Advisory Committee. Another important component is the Technical Cooperation Facility (TCF) for the provision of technical assistance to the focal sector and other areas of common interest. The TCF will be used to provide short- and long-term technical assistance, policy advice and studies as needed in 11 th EDF A envelope programme, and in the event of B-envelope projects, the programming, preparation or implementation of these actions. The TCF may also be used for audits and evaluations if not covered under the respective FAs. Additionally, it will be used to support the country's public financial management (PFM) reform agenda. An indicative amount of maximum EUR is foreseen for the TCF. 1 CONTEXT 1.1 Country Context Historically, Antigua and Barbuda has been one of the Caribbean's most prosperous nations, with a vibrant tourism industry and offshore financial services. However, the country s tourism-dependent economy has been severely impacted by the global economic and financial crisis. Falling tourism and Foreign Direct Investment (FDI)-related construction activities triggered the worst recession in decades and contributed to a sharp decline in Government revenue. The strains from the economic crisis also led to the collapse of one of the largest domestic banks, ABI Bank Ltd. (ABIB), which was intervened in July 2011 by the Eastern Caribbean Central Bank (ECCB). This aggravated an already unsustainable fiscal position, and as a result of the crisis the Government of Antigua and Barbuda has been working towards the strengthening of macroeconomic and public sector management. The authorities developed (i) the National Economic and Social Transformation (NEST) Plan, where fiscal consolidation plans were outlined, and (ii) the Public Sector Transformation Strategy (PSTS). Antigua and Barbuda received support for its fiscal consolidation efforts from the Caribbean Development Bank through a USD 30 million Policy Based Loan and from the International Monetary Fund (IMF) with a 36-month Stand-By Arrangement (SBA) which was successfully completed in June 2013, and is now in the post-monitoring phase. Still, macroeconomic conditions remain weak and financial conditions challenging as the bank resolution is now only nearing completion. A relatively new government, elected June 2014, is grappling with cash flow problems, accumulation of arrears and rising debt levels. Therefore, the authorities have acknowledged the need for further fiscal consolidation, including measures to improve tax collection and administration, and to reduce expenditure particularly on state-owned enterprises, alongside a better functioning Public Financial Management (PFM) system. [3]

4 The Government has recently approved a new Medium Term Development Strategy (MTDS) for ; see summary presentation attached. The MTDS will focus on four sustainable development dimensions: 1: Optimal Generation of National Wealth; 2: Enhanced Social Cohesion; 3: Improved Health of the Natural Environment and Sustained Cultural Assets; and 4: Enhanced Citizen Security. In its new strategy Government will continue to address a history of weak fiscal management, an unsustainable debt burden and fragile institutional structures; interventions to support revenue reforms, PFM and public sector reform will be maintained as priority for the overall success of the country and is an important element of the new strategy. There is therefore political commitment to build on progress in PFM and revenue reform achieved under the 10 th EDF Programme. As such, the Government has again chosen PFM and revenue administration reform as the focal sector under the 11 th EDF programme to be implemented through an international restricted tender. This Action provides support measures to this programme. An important part of this programme is the Support to the Non State Actors (NSA) Advisory Committee which was established in August 2011 based on a recommendation from the EU, citing the important role that civil society should play in the EU-country development partnership. Under the 10 th EDF, after discussions to assess the best possible way to integrate the NSA Advisory Committee into the realm of Antigua and Barbuda-EU relations, it was agreed that the focus should be on capacity building for civil society organizations. Based on the feedback from a questionnaire while consulting NSA during the 11 th EDF preparation process, the 11 th EDF National Indicative Programme (NIP) includes a component to strengthen the participation of civil society in the EU-Antigua and Barbuda partnership Public Policy Assessment and EU Policy Framework The MTDS addresses the government s fiscal consolidation programme which will combine several revenue and expenditure measures. These measures are intended to address on-going fiscal space challenges, enhance the payment capacity of the Government, and support development initiatives over the medium term. The strategy also aims to make the domestic banking sector more robust. The MTDS, which will soon be published having recently received approval by Cabinet, speaks specifically to PFM reform objectives. It is the Government s intention to focus on procurement and contract administration; strengthening the internal audit function; improving the oversight and monitoring of state-owned enterprises (SOEs); enhancing the relevant PFM legislation; and improving the budget process and macro-fiscal function. Under the 10 th EDF Programme, following the completion of the PEFA assessment and in response to the Government's request, consultations were held with the authorities and then implementing partner (IMF), to take stock of reform progress, the results of the PEFA and government priorities, in order to develop a new PFM Reform Action Plan. The PFM Reform Action Plan has been fairly well defined, having been discussed in-depth during a workshop with senior and mid-level officials from various government departments. There is therefore also a large degree of local ownership. The PFM Reform Action Plan places priority on strengthening core PFM functions (financial compliance and fiscal control), and on completing ongoing reforms (full roll-out of the IFMIS - Free Balance, and the [4]

5 revision of the legal framework). It responds to key areas of weakness identified in the PEFA, such as arrears monitoring and oversight of fiscal risks related to SOEs, but is selective in the activities over its three-year horizon, given government priorities and capacity. There will be a need for this PFM and revenue reform programme to have an element of capacity building; in this regard this Action will provide additional support. The Government of Antigua and Barbuda has limited fiscal space, and so plans to enhance domestic revenue mobilisation and revenue administration are also outlined in the MTDS. However, a concrete assessment of the gaps in this area will be conducted at the beginning of the 11 th EDF programme to develop a detailed action plan for revenue administration reform. For this purpose, the authorities will conduct a Tax administration Diagnostic Assessment Tool (TADAT) assessment. Follow-up actions would be funded with the 11 th EDF TCF funds; specific actions to be financed will be determined during the formulation of the focal sector programme. This Action will support the implementation of the Government s PFM and revenue reform objectives. It is therefore in line with the Addis Ababa Agenda of Action, the EU's "Collect More Spend Better" message and the EU flagship Domestic Revenue Mobilisation Initiative that will assist countries in achieving the Sustainable Development Goals (SDGs) in a sustainable manner Stakeholder analysis Prime beneficiaries will be the public and private sector agencies actively involved in the execution of EU-funded programmes; through programming, identification, formulation and implementation. This will include the Office of the National Authorising Officer, Ministry of Finance and Corporate Governance, Inland Revenue Department, Customs and Excise Division and the Audit Department. Additionally, the capacity of NSAs will be strengthened to allow them play a role in policy making and implementation. NSA Panels comprise some 8-13 organisations representative of the full civil society spectrum 1 and have provisions in place to ensure rotation in membership. Membership will reflect, but not be limited to the focal sector of the 11 th EDF NIP Priority areas for support/problem analysis The EU support aims at supporting the efforts of the Government of Antigua and Barbuda to improve its public finances and the overall governance of the public sector, through the institutional and organizational strengthening of the country's public financial management and revenue administration systems, ultimately helping to restore fiscal sustainability and assisting the country in achieving the SDGs in a sustainable manner. The 11 th EDF intervention will assist Antigua and Barbuda in achieving the PFM and revenue reform objectives outlined in Antigua and Barbuda's new PFM Reform Action Plan (funded under 1 Non State Actors are by definition independent from the state and voluntary based entities upon which they come together to act and promote common interests; i.e. trade unions, employers organisations, chambers of commerce, non-governmental organisations (NGOs), community based organisations (CBOs), faith based organisations (FBOs), business organisations, gender groups and local authorities, etc. [5]

6 the 10 th EDF) and Medium Term Development Strategy (MTDS). The 11th EDF also reserves an allocation for strengthening of the role of the civil society in the country. Under the 11 th EDF, the Office of the NAO (ONAO) will have responsibility for the monitoring and evaluation of the focal sector (Public Financial Management and Revenue Reform) interventions (EUR 2.4 million), for other line ministries' interventions supported under the TCF, and possibly for B-envelope projects. Additionally, with more EU resources being channelled through the regional envelope, the ONAO will be required to play a greater role in the coordination of regional programming, ensuring that national interests are sufficiently represented. This project aims at supporting or accompanying the programming, preparation or implementation of these actions under the 11th EDF. It will support all stages of the project cycle and will address specific needs to enhance policy dialogue in strategic areas, particularly between the government and civil society. Specifically, the project will focus on providing technical support to adequately formulate, implement and manage the overall 11 th EDF programme; assisting the implementation of the public finance management reform strategy; facilitate the creation of sector cooperation and governance systems in the areas supported by the 11 th EDF; assess the institutional capacity constraints; better address the incorporation of the crosscutting issues and performance monitoring; and develop and implement an effective communication and visibility strategy, of the EU's contribution to the development of Antigua and Barbuda. Support to NAO: This programme aims to provide support for the institutional functioning and capacity strengthening of the Office of the NAO to execute the main stages of the project cycle and ensure the effective implementation of the National Indicative Programme (NIP) and other EU programmes in favour of the country s development strategy. In order to ensure maximum benefits from the EU support to Antigua and Barbuda, the Office of the NAO will also play a greater role in donor coordination efforts; the outcome of which is expected to be the reduction of duplication within the different projects/programmes being implemented, and the development of more focused initiatives to better address challenges that affect the sector. An important part of the remit of the Office of the NAO is to monitor, and coordinate where required, regional programmes of the European Development Fund being implemented at the national level. Antigua and Barbuda has submitted jointly with other CARIFORUM countries three projects for consideration under the Multi-Country facility of the 11 th EDF CRIP. It is expected that these projects will come on stream over the course of the next 2 to 3 years. As such, the ONAO will play an integral role in the coordination of these projects. There are many opportunities to be explored for Antigua and Barbuda within the context of the expanded regional portfolio allocation of the 11 th EDF. Support to the NAO under this programme will provide the necessary technical expertise to participate in the development of joint initiatives to access the available regional funding. The ONAO through the additional technical capacity provided by the programme will monitor the implementation of the regional portfolio in an effort to identify opportunities where Antigua and Barbuda can benefit. [6]

7 The Office of the NAO bears responsibility for participation in regional dialogue on the EDF. Consequently, the NAO or designated representatives from the ONAO often participate in various forums of regional dialogue on the Caribbean Regional Indicative Programme. The ONAO also provides support to the designated Minister for his or her participation in political dialogue on the EU-CARIFORUM development partnership. This includes regular participation in the meetings of the CARIFORUM Council of Ministers. Technical Cooperation Facility: By facilitating short- and long-term TA and studies, on an adhoc basis, the TCF will be a flexible instrument that will strengthen capacities in the relevant government ministries, while also responding quickly to technical needs as they arise during project implementation. It is expected that the TCF will be used to address capacity issues in economic, social and environmental dimensions of national development, particularly those that relate to the PFM and revenue reform agenda; it will also be used for studies and training activities in these areas. The ONAO, working with the Ministry of Finance and Corporate Governance will engage stakeholders during the implementation of the focal sector project to determine where there is need for supplementary support. For the A and possibly B-envelopes, TA will be engaged to assist with specific tasks related to: identification, preparation and assistance with tender procedures and with evaluation and monitoring or audit for EU projects/programmes where this has not been provided for in the project itself, or the project has already been closed. Support to NSA Advisory Committee: Last but not least, this programme will further professionalise the NSA Advisory Committee, structure civil society participation in the national development agenda and promote a conducive environment for Civil Society Organisations (CSOs) in general. The Eastern Caribbean is characterised by an emerging civil society movement. Since 2005 in line with the Cotonou Agreement's requirements of involving NSAs in political dialogue and cooperation policies and programmes NSA Advisory Panels have been set up, with assistance of the EU, in Barbados and the Eastern Caribbean Countries, including Antigua and Barbuda. Although there is a willingness on the part of policy makers to include CSOs in the decision-making process, human, technical and financial capacity issues affect CSOs at the national and regional levels, resulting in difficulties to take a proactive attitude, give effective advice to policy making, and demand a free flow of information from decision-makers. NSA panels have yet to evolve into platforms or continuous dialogue fora for CSO networks, umbrella organisations, governments and relevant decision makers to allow for a more structured exchange between civil society and policy makers, as well as a follow-up mechanism and therefore need continued support. [7]

8 2 RISKS AND ASSUMPTIONS Risks Inadequate financial support to cover full cost of the intervention in order to realise full benefits, given the limited capacity within key technical agencies. Technical needs for the focal sector may exceed the TCF allocation. [TCF] Risk level (H/M/L) M Mitigating measures After accounting for activities the TCF will cover, ensure that technical needs are foreseen/analysed and necessary activities planned for and costed in the focal sector programme. The Government to coordinate and direct TA from other donors accordingly. Inability to retain staff already trained and experienced in EU procedures, due to job uncertainty linked to the cyclical nature of funding of the Office of the NAO. [NAO] The Government is unable to carry out a large number of reforms simultaneously. [TCF & NAO] Enabling space not provided for civil society to interact with GoAB and/or weak capacity of CSOs to adequately do so. [NSA] L The Government, in association with the EU, to devise a strategy to ensure consistent funding of the operations of the Office of the NAO. M Close monitoring of policy implementation and continued dialogue with the authorities. M The NSA component of this programme is designed to mitigate such risk through capacity building and institutionalised, systematic consultations. Assumptions Government will maintain its provision of salaries and stipends to the NAO and the Deputy NAO. [NAO] The Office of the NAO is able to retain suitably qualified, dedicated and motivated staff; and acquire the appropriate information, materials and equipment. [NAO] All contracts financed from the TCF show a clear capacity building emphasis either through short term training or exchange visits. [TCF] The Government will maintain most of its efforts at capacity building in relevant ministries. [TCF & NAO] Continued spirit of volunteerism among NSAs. [NSA] Absence of monopolistic power structures within civil society. [NSA] Departments collaborate to achieve results. [TCF, NAO & NSA] Communication amongst all stakeholders is timely and effective. [TCF, NAO & NSA] [8]

9 3 LESSONS LEARNT, COMPLEMENTARITY AND CROSS-CUTTING ISSUES 3.1 Lessons learnt The Office of the NAO has successfully played a very important role as interlocutor between the Government and the European Union, particularly the EU Delegation to the Eastern Caribbean countries, OECS and CARICOM/CARIFORUM. Lessons from the ongoing EU funded programmes indicate the need to continue to foster coordination, information sharing and participation among different stakeholders. In accordance with the European Consensus for Development and the objectives of the Paris Declaration on Aid Effectiveness and the Backbone Strategy on Technical Cooperation and Project Implementing Units, it is a priority to reinforce and coordinate technical cooperation activities with donors and stakeholders. Implementation of earlier projects within Antigua and Barbuda has demonstrated the need for closer alignment of all projects with government development policies as well as greater consideration of civil society concerns expressed in stakeholder consultations in order to achieve, as a result, a broader based support for projects and programmes in the country. This suggests the need for an approach, which engenders coherence between donor interventions guided by objectives that are driven by reform priorities identified at the sector level as well as by full civil society buy-in. Lessons learnt through the implementation of projects in Antigua and Barbuda, include: 1) the need for increased community involvement at all levels of the project; 2) the need for a strong publicity component in the project to keep information flowing to the beneficiaries on a continuous basis and 3) the need to ensure that reporting lines and roles are clearly defined to reduce ambiguity in lines of communications. The principle lesson learnt regarding the TCF is that it needs to be a flexible instrument. Support for the NAO, capacity building and training, is important, but so is the ability to support, expand, fine tune and add value to the main policy instruments relevant to the EU programme in the country. As project implementation unfolds, oftentimes complementary needs arise for specific evaluation, studies, events, trainings and other capacity-building activities. If this flexibility can even go outside, but always relevant to, the main lines of intervention, it becomes even more useful. By providing opportunities for capacity building and specialised assistance to targeted agencies, the TCF also contributes to sustainability. 3.2 Complementarity, synergy and donor coordination As mentioned above, the current and future portfolio of the Government of Antigua and Barbuda with funding from the European Union (EU), includes the following key development programmes: - The 10 th EDF EUR 3.68 million programme with a Public Financial Management (PFM) reform project of EUR 3 million which has been implemented via a contribution agreement between the EU and the IMF signed in October 2011 for strengthening both tax and customs administration and PFM. The balance of EUR 0.68 million is being implemented through a contribution agreement between the EU and UNCTAD signed in November 2011 to implement Automated System for Customs Data (ASYCUDA) World Implementation to support trade facilitation. [9]

10 - The 11 th EDF PFM and Revenue Reform Programme (EUR 2.4 million) to be implemented through an international restricted tender to further reforms undertaken under the 10 th EDF programme The Office of the NAO will also be involved in the project cycle management of the 11 th EDF Caribbean Regional Indicative Programme, which will focus on Regional Economic Cooperation and Integration; Climate Change, Environment, Disaster Management and Sustainable Energy; and Crime and Security. By enhancing the capacity of the NAO and providing technical support as needed (through the TCF) as well as ensuring the adequate reflection of civil society perspectives, this Action will support the implementation of these programmes. This Action therefore also complements the activities of other donors/agencies that are aiding in PFM and revenue administration reform efforts. The Action will benefit from CSO country allocations under the DCI-funded Civil Society Organisations Thematic Programme that will contribute to strengthen a basis of more professional and representative CSOs, thus providing NSA Panels with a solid constituency from which to draw their members for policy dialogue. 3.3 Cross-cutting issues Cross cutting issues were identified as good governance, gender and climate change. Good governance: Promoting Good Governance and Increasing the Effectiveness of Public Administration is a specific objective of the NEST Plan and is considered an essential prerequisite of economic growth and socio/economic development. Gender equality: The Government of Antigua and Barbuda has signed several international treaties and conventions for the protection and empowerment of women. Climate change: Over the last two decades, the effects of climate change have become a serious development challenge. Small countries such as Antigua and Barbuda are at potential risk of negative impact, disproportionate to their contribution to climate change. Accordingly, the Government is adopting policies and advancing mitigating and adaptation measures to reduce these effects. The activities contribute to sustainable development, by making meaningful contributions to capacity building at various levels in the public sector, which assists the Government in meeting its social development and poverty reduction goals. Enhanced consultative and participatory processes and involvement of civil society in sector dialogue will contribute to better governance and the promotion of human rights. 4 DESCRIPTION OF THE ACTION 4.1 Objectives/results This programme is relevant for the United Nations 2030 Agenda. It will facilitate implementation of EU programmes in Antigua and Barbuda in support of the country's efforts at furthering ongoing reforms in PFM and revenue administration. These revenue reforms [10]

11 would enhance domestic revenue mobilisation and therefore lead to the progressive achievement of the SDG target(s). This does not imply a commitment by the country benefiting from this programme. The overall objective of the programme is to ensure the efficient and effective utilisation of EU development assistance in support of the implementation of the Government's development strategies and policies. The specific objectives of the intervention will be: 1. To improve the design and implementation of development programmes and projects by line ministries; 2. To improve the formulation, implementation, monitoring and administration of EU programmes by the ONAO; 3. To strengthen institutional arrangements for dialogue between civil society and the Government and enhance capacities of NSAs to hold the local authorities accountable, participate in the decision making processes, and effectively influence and monitor national and regional (development) policies (Support to the NSA Advisory Committee). 4.2 Main Activities This programme is relevant for the Agenda 2030 and will focus on achieving the following expected results: Output 1: Improved technical capacity of the Office of the NAO and relevant line ministries This will be achieved through the provision of policy advice and expertise of technical consultants that will assess the existing capacities, policy framework and support with other donors The main activities would include: Technical assistance (long and short-term experts per the operational needs); Capacity development and expert advice: workshops, seminars, etc. on the main issues regarding development cooperation, EU policies and strategies, planning, monitoring and evaluation, effective management and implementation and effective partner coordination; Studies and workshops to support implementation of public reforms; Output 2: Strengthened operational capacity of the Office of the NAO This will be achieved by providing the NAO an operating grant to be used to contribute to the "running costs" of the Office of the NAO. [11]

12 The support would be used to contribute to: the NAO office staff salaries; the general administrative expenditure necessary for the running of the ONAO; Trainings in project cycle management and EU procedures; Capacity building in NAO and line ministries for EU budget support programmes in the future; Participation in forums that monitor and provide implementation support to the regional integration process of CARIFORUM; other activities as approved in the work programme drawn up for the purposes of the grant Output 3: Enhanced policy dialogue in the focal sectors of the 11th EDF Bilateral programme through the Technical Cooperation Facility (TCF) to address strategic needs for intervention. This will be achieved through the provision of policy advice and expertise of technical consultants. The main activities would include: Complementary technical assistance for the line ministries; Studies and pilot projects to address the needs of emerging economic sectors; Technical expertise to design and facilitate capacity development activities; Support for identification of programmes for 11th EDF; Feasibility studies and legal support; Audits and evaluations of projects that do not have funds earmarked for such activities Output 4: Strengthened institutional arrangements for dialogue between civil society and the Government and enhanced capacities of NSAs to effectively influence and monitor national and regional (development) policies under the 11th EDF This will mainly be achieved through facilitation of institutional arrangements/platforms for dialogue between NSAs and the Government, administrative support and capacity building measures. The main activities would include: Capacity building of CSOs through training on ICT, proposal drafting, project cycle and financial management; Consultation meetings and debates, inter alia, relating to Social Contracts, Civil Society Bills and the Economic Partnership Agreement; Facilitation of the participation of NSA representatives attending local/regional conferences/seminars/meetings on development, or other issues of national importance; Active participation of the NSA Advisory Committee members in the design of the national country strategies and/or development of Alternative Growth and Poverty Reduction Strategies; [12]

13 Community-oriented support initiatives through Social Investment/ Poverty Reduction Funds; Public outreach activities through media publications and television appearances.) Output 5: Improved awareness among key actors of general development and of EU policies in the areas of the 11 th EDF and the CRIP This result will be achieved by improving the communication on the EU's policies, programmes and contribution to the country's development. The Communication and Visibility Strategy will encompass all the relevant activities to ensure a stronger, more coherent promotion of the EU and its cooperation. The main activities would include: Conduct communications audit and develop a comprehensive communication strategy and implementation plan; Visibility events around key issues of EU policies directed to major stakeholders; Targeted communication around key issues including media and opinion leaders. 4.3 Intervention logic The overall objective of this action is to guarantee the efficient and effective use of EU development funds allocated to Antigua and Barbuda, with the 11 th EDF focal sector being Public Financial Management and Revenue Reform. Given no shift in government priorities, for there to be more efficient and effective use of EU funds, there is a need to improve the quality of formulation, implementation, monitoring and administration of EU programmes by the NAO, and of implementation of projects by the relevant line ministries, as well as the level of community support for the programmes. Assuming the active and coordinated involvement of all stakeholders, this can be achieved by strengthening the operational and technical capacities of the NAO Office and relevant line ministries through technical assistance and institutional support to the NAO, and by greater civil society participation. A preliminary logframe is provided in the Annex. The TCF and the support to NAO aim to provide a rapid response tool to mobilise resources, whether expertise, logistical support or other to further NIP objectives: The development of proper communication and visibility tools Cross cutting themes such as gender, environment, climate change and inclusion of civil society Institutional strengthening of actors /in sectors relevant to the main areas of intervention Involvement in the regional integration processes (CARIFORUM) Other relevant and complementary areas of development with the NIP , the CRIP and the National Development Strategy Capacity built in the NAO office and in other line ministries with a part to play in the NIP and the Caribbean Community buy-in and broad based support for projects and programmes [13]

14 Value added to EU policy instruments such as the NIP, the CRIP and also the National Development Strategy. The ability of Antigua and Barbuda to explore emerging sectors and to facilitate the sustainable development of the economy. 5 IMPLEMENTATION 5.1 Financing agreement In order to implement this action, it is foreseen to conclude a Financing Agreement with the partner country, referred to in Article 17 of Annex IV to the ACP-EU Partnership Agreement. 5.2 Indicative implementation period The indicative operational implementation period of this action, during which the activities described in section 4.1 will be carried out and the corresponding contracts and agreements implemented, is forty-eight months (48) months from the date of entry into force of the financing agreement. Extensions of the implementation period may be agreed by the Commission s authorising officer responsible by amending this decision and the relevant contracts and agreements; such amendments to this decision constitute non-substantial amendment in the sense of Article 9(4) of Regulation (EU) No 322/ Not Applicable 5.4 Implementation modalities Output 1, 4 and 5 - Indirect management with Antigua and Barbuda These elements of the action will be implemented in indirect management with Antigua and Barbuda (in particular the organisation of the National Authorising Officer) in accordance with Article 58(1) (c) (i) of the Regulation (EU, EURATOM) No 966/2012 applicable by virtue of Article 17 of the Annex to Regulation (EU) No 567/2014 according to the following modalities: The partner country will act as the contracting authority for the procurement and grant procedures. The Commission will control ex ante all the procurement procedures except in cases where programme estimates are applied, under which the Commission applies ex ante control for procurement contracts above EUR and may apply ex post control for procurement contracts up to that threshold. The Commission will control ex ante the contracting procedures for all grant contracts. Payments are executed by the Commission except in cases where programmes estimates are applied, under which payments are executed by the partner country for direct labour and contracts below EUR for procurement and up to EUR for grants. In accordance with Article 190(2)(b) of Regulation (EU, Euratom) No 966/2012 and Article 262(3) of Delegated Regulation (EU) No 1268/2012 applicable by virtue of Article 36 of the [14]

15 Regulation (EU) No 323/2015 and Article 19c(1) of Annex IV to the ACP-EU Partnership Agreement, the partner country shall apply procurement rules of Chapter 3 of Title IV of Part Two of Regulation (EU, EURATOM) No 966/2012. These rules, as well as rules on grant procedures in accordance with Article 193 of Regulation (EU, EURATOM) No 966/2012, will be laid down in the financing agreement concluded with the partner country. The financial contribution does not cover the ordinary operating costs incurred under the programme estimates. a) Overview of Implementation Activity/objective/result, include location Output 1: Improved technical capacity of the Office of the NAO and relevant line ministries Output 4: Strengthened institutional arrangements for dialogue between civil society and the Government and enhanced capacities of NSAs to effectively influence and monitor national and regional (development) policies under the 11th EDF Output 5: Improved awareness among key actors of general development and of EU policies in the areas of the 11th EDF and the CRIP Type of financing (works, supplies, or service contract, grant, programme estimate) Programme Estimate Programme Estimate Programme Estimate b) Implementation through programme estimates The contracting authority for these activities shall be the National Authorising Officer of the Antigua and Barbuda. An imprest administrator and an imprest accounting officer, and their deputies, shall be appointed for the management and implementation of the programme estimate by the contracting authority, in agreement with the Head of Delegation. In accordance with the powers delegated to them by the partner country authority that appointed them, the imprest administrator and the imprest accounting officer shall draw up and implement programme estimates, award contracts and grants, commit expenditure and make the corresponding payments. The imprest administrator and the imprest accounting officer shall submit their technical and financial reports to the project steering committee, where applicable, and to the National Authorising Officer of Antigua and Barbuda and a copy to the Head of the EU Delegation. [15]

16 5.4.2 Output 2 - Direct management (Operating Grant) (a) Objectives of the grant, fields of intervention, priorities of the year and expected results The objective of this operating grant is to enhance the NAO's capacity to formulate, implement and monitor EU programmes, fulfil EU administrative requirements, coordinate donor activity, and facilitate dialogue between EU and relevant line ministries. As mentioned in section 4.1, the expected results are: Enhanced human resource capacity of the NAO office for programming, management and implementation of EU development cooperation instruments; A strengthened monitoring system to allow management for results; The general public sensitised about the various dimensions of the partnership between EU and Antigua and Barbuda. (b) Justification of a direct grant Under the responsibility of the Commission s authorising officer responsible, the recourse to an award of a grant without a call for proposals is justified because the beneficiary is in a legal monopoly situation. As per Annex IV Article 35 of the Cotonou Agreement, the National Authorising Officer is appointed by the Government of Antigua and Barbuda to represent it in all operations financed from EU resources. (c) Maximum rate of co-financing The EU financial contribution could not be more than 90 % of the annual budget of the NAO. (d) Indicative trimester to conclude the grant agreement: third trimester of Output 3 - Direct management Subject in generic terms, if possible Type (works, supplies, services) Indicative number of contracts Indicative trimester of launch of the procedure Technical Cooperation Facility Services/ framework contracts 3 Third trimester of Scope of geographical eligibility for procurement and grants The geographical eligibility in terms of place of establishment for participating in procurement and grant award procedures and in terms of origin of supplies purchased as established in the basic act and set out in the relevant contractual documents shall, subject to the following provisions. [16]

17 The Commission s authorising officer responsible may extend the geographical eligibility in accordance with Article 22(1)(b) of Annex IV to the ACP-EU Partnership Agreement on the basis of urgency or of unavailability of products and services in the markets of the countries concerned, or in other duly substantiated cases where the eligibility rules would make the realisation of this action impossible or exceedingly difficult. 5.6 Indicative budget EU contribution (EUR) Indicative Government contribution (EUR) TOTAL (EUR) Output 1: Improved technical capacity of the Office of the NAO and relevant line ministries - 28, ,413 (indirect management) Output 2: Strengthened operational capacity of the Office of the NAO - (Direct management 271, , ,187 - directly awarded Operating grant) Output 3: Enhanced policy dialogue in the focal sectors of the 11th EDF Bilateral programme through the Technical Cooperation 90, ,000 Facility (TCF) to address strategic needs for intervention. (direct management) Output 4: Support to NSA Advisory Committee to enhance capacities of NSAs to effectively influence and monitor national and regional 150, ,000 (development) policies under the 11 th EDF (Indirect Management) Output 5: Improved awareness among key actors of general development and of EU policies in the areas of the 11 th EDF and the 60, ,000 CRIP (indirect management) Totals 600, , , Organisational set-up and responsibilities The Contracting Authority for the project shall be the beneficiary the National Authorising Officer. The overall responsibility for the implementation of the programme lies with the National Authorising Officer, who may request the Commission to implement technical assistance contracts on his/her behalf under Article 19 (c)(4) of Annex IV to the Revised Cotonou Agreement (Decision No.3 of the ACP EC Council of Ministers to adopt amendments to Annex IV to the revised Cotonou Agreement). Activities could be implemented through framework contracts for amounts under EUR , through service contracts or through Programme Estimates. [17]

18 5.8 Performance monitoring and reporting The day-to-day technical and financial monitoring of the implementation of this action will be a continuous process and part of the implementing partner s responsibilities. To this aim, the implementing partner shall establish a permanent internal, technical and financial monitoring system for the action and elaborate regular progress reports (not less than annual) and final reports. Every report shall provide an accurate account of implementation of the action, difficulties encountered, changes introduced, as well as the degree of achievement of its results (outputs and direct outcomes) as measured by corresponding indicators, using as reference the logframe matrix (for project modality). The report shall be laid out in such a way as to allow monitoring of the means envisaged and employed and of the budget details for the action. The final report, narrative and financial, will cover the entire period of the action implementation. The Commission may undertake additional project monitoring visits both through its own staff and through independent consultants recruited directly by the Commission for independent monitoring reviews (or recruited by the responsible agent contracted by the Commission for implementing such reviews). A visibility survey will be conducted by the NAO. It would be funded under the amount allocated for Output 4 at Section Evaluation Having regard to the nature of the action, an evaluation will not be carried out for this action or its components. In case an evaluation is not foreseen, the Commission may, during implementation, decide to undertake such an evaluation for duly justified reasons either on its own decision or on the initiative of the partner Audit Without prejudice to the obligations applicable to contracts concluded for the implementation of this action, the Commission may, on the basis of a risk assessment, contract independent audits or expenditure verification assignments for one or several contracts or agreements Communication and visibility Communication and visibility of the EU is a legal obligation for all external actions funded by the EU. This action shall contain communication and visibility measures which shall be based on a specific Communication and Visibility Plan of the Action, to be elaborated at the start of implementation. In terms of legal obligations on communication and visibility, the measures shall be implemented by the Commission, the partner country, contractors, grant beneficiaries and/or [18]

19 entrusted entities. Appropriate contractual obligations shall be included in, respectively, the financing agreement, procurement and grant contracts, and delegation agreements. The Communication and Visibility Manual for European Union External Action shall be used to establish the Communication and Visibility Plan of the Action and the appropriate contractual obligations. [19]

20 Overall objective: Impact 6 APPENDIX - INDICATIVE LOGFRAME MATRIX (FOR PROJECT MODALITY) The activities, the expected outputs and all the indicators, targets and baselines included in the logframe matrix are indicative and may be updated during the implementation of the action, no amendment being required to the financing decision. When it is not possible to determine the outputs of an action at formulation stage, intermediary outcomes should be presented and the outputs defined during inception of the overall programme and its components. The indicative logframe matrix will evolve during the lifetime of the action: new lines will be added for including the activities as well as new columns for intermediary targets (milestones) for the output and outcome indicators whenever it is relevant for monitoring and reporting purposes. Note also that indicators should be disaggregated by sex whenever relevant. Results chain Indicators Baselines (2015) Targets (incl. reference year) Sources and means of verification Assumptions To ensure the efficient and effective utilisation of EU development assistance in support of the implementation of the Government's development strategies and policies. 1.1 % expenditure of the total amount of the 11 th EDF PFM and Revenue Reform Programme* 1.1 0% (May 2016) % (Mar 2018) 70% (Dec 2018) 1.1 Implementing partner's (World Bank) project implementation and financial reports to EC 1.2 % expenditure of the total amount of the 10 th EDF ASYCUDA World Project % (May 2016) % (Dec 2017) 1.2 Implementing partner's (UNCTAD) project implementation and financial reports to EC [20]

21 Specific objective(s): Outcome(s) Results chain Indicators Baselines Targets Sources and means (2016) (incl. reference year) of verification Assumptions 1. To improve the design and implementation of development programmes and projects by (project related or relevant) line ministries. 1.1 Quality of design of development programmes and projects from line ministries 1.1 The projects submitted by MDAs for review by the Public Sector Investment Unit in 2016 do not meet all the standards for project screening set out by this Unit. 1.1 The projects submitted by MDAs for review by the Public Sector Investment Unit in 2018 meet more of the standards for project screening set out by this Unit. 1.1 Reports by Public Sector Investment Unit Economic and social partners will fulfil their obligations and responsibilities; Officers will apply acquired skills and to design and implement development programmes and projects Number of EU projects/ programmes evaluated as successfully implemented th EDF PFM and Revenue Programme, and 10 th EDF ASYCUDA project not yet evaluated th EDF PFM and Revenue Programme, and 10 th EDF ASYCUDA project evaluated as successfully implemented EU Evaluation reports, Project implementation reports, Steering committee meeting reports. [21]