Progress report strengthening the national statistical system of the islamic republic of afghanistan

5. Problems and challenges of the project

The third reporting period gave the project team much deeper understanding of the current situation in the country in general and CSO in particular that helps to make the project more efficient and to achieve better results in future. The project had faced some problems and challenges during these three quarters that can be outlined and combined in several aspects, some of which can be overcome with better management and more effective organization of the work at the CSO/PICT level, knowing that Afghanistan do require some more time for any simple activities. There are another group of issues that do require government input and we do hope that can be solved only with joint actions of all the relevant parties.

One of the biggest challenges that PICT still has is the difficulties of the planned funds disbursement indicated in the budget. From the PICT point of view there are two main reasons to be taken into account:

• 
  Budget preparation initially was based on the agreed documents (PAD, POM and FMM) of the project according to which the twinning arrangement activities supposed to start from the second quarter of 1390 and some of actions were reflected in the budget that was submitted and approved in May (May 16, 2011). It seems that these actions will not be implemented as it was initially proposed, although the project has still two more quarters ahead to the end of the year and does hope to assimilate most of the planned amount;
  

• 
  CSO/SRF presumes that the project is time bounded which requires better time management process in the organization to meet the deadlines and implement the actions as per the project’s plan. In order to improve the system and track the project’s activities it has agreed to develop the project budget and its activities on the monthly and component bases which enable the CSO/SRF to find and check the problematic areas and solve it in time;
  
• 
  SRF realizes that some of the CSO departments have been working with several international agencies and each one of them has its own plan of actions, strategies, working ways and policies that sometime do not fit with others. So, for the Department heads this action can create additional problems of interacting among all various institutions and it can create occasionally, although it is not the case, the vision of lack of interest from their side. In order to eliminate these kinds of problem, it is very important to establish and improve mutual cooperation among all the players that can reflect the matter of department's involvement with every simple project or institution and make the planning much easier.
  

• 
  Over ten years of international help in a wide range of fields to certain extent affected the country and making it much more dependent on the foreign help and support. Moreover, different institution during their activities due to the lack of cooperation, although are developing good system, but sometimes the system creates problem for certain institutions. As an example, we can indicated that with the suggestion of international agencies the Law of Civil Servants was implemented and it was strictly advised to follow this Law to make the government staff's employment as transparent as possible, which, in fact, is very good step forward. Unfortunately, this issue creates problems for involvement of the new generation to Government agencies, as long as it does require one year of experience for the young people. Especially this is blocking the University graduators to apply for any positions and make these pure new graduators not eligible to apply for any position at any government institutions. In regards to statistics, Kabul University has a division of statistics and every year approximately over 20 students have been graduating it, who are looking for job outside of CSO. So far, CSO has only 12%¹ of staff with Bachelor's and Master's degree and it requires solid improvement to achieve real capacity building.
  
• 
  CSO/SRF has been meeting for almost five months with the KU to start the educational program for 14 years educated staff members that do have economic and statistics backgrounds and still this issue is not finalized and not quite clear for CSO when it is going to start. CSO/PICT suggest to approach any private universities to arrange this action and implement the educational program in time to improve the capacity of 27 staff members from CSO and another 8 potential students from the line ministries that are involved with statistics there.
  

6. ANNEXES

Annex 1.

Minutes

of pre-proposal conference with the firm of TRAINING AND TECHNOLOGY TRANFER LTD (TTT), New Zealand on Sep 5, 2011 at 8:00 AM

Venue: CSO, Main building, Conference Room on 3^rd floor

Presented in the meeting:

1. 
   From CSO:
   

- Mr. Ramzi Esmatullah Statistical Advisor of CSO

• 
  Mr. Naimi Moh. Ibrahim Head of National Accounts Dep. of CSO
  
• 
  Mr. Bowary Mir Afghan Head of Learning Center Dep. of CSO
  
• 
  Mr. Faqiri Azizullah Head of Economic Statistics Dep. of CSO
  
• 
  Ms. Arif Rahila Head of Demography & Social Statistics
  
• 
  Mr. Samoon Moh. Eid-marjan Head of Dissemination & Mass Media
  
• 
  Mr. Rajabekov Safdar SRF Project coordinator
  
• 
  Mr. Mosawi Yaqoob Ali SRF Procurement Officer
  

2. 
   From TTT:
   

• 
  Mr. Chris Andersen, International Projects Manager
  
• 
  Mr. Murray McDowell, Quality Assurance
  
• 
  Ns. Sacha, Overseas Programme Coordinator
  
• 
  Mr. G. Khan, Executive Director International Cooperation
  

Pre-proposal conference agenda:

1. 
   Opening remarks
   
2. 
   TTT information
   
3. 
   Discussion
   
4. 
   Conclusion
   

1. 
   Opening remarks
   

Pre-proposal conference was opened by Mr. Rajabekov who talked on the importance of pre-proposal conference for the finalizing and submission of the RFP for the Twinning Arrangement and introduced the presented members from CSO. He also welcomed all the members of TTT New Zealand who took part in this pre-proposal conference meeting and requested them to raise any questions/comments they would have.

2. 
   TTT information/introduction
   

Mr. Andresen expressed that TTT does not have any specific question and everything is clear from the RFP that in details covers all the required information. On behalf of TTT he also welcomed all CSO participants for their big interest to the mentioned assignment and pointed out the following issues:

• 
  TTT is very pleased and deeply honored, to have been short-listed for this project and pointed out the importance of this particular project for them on which a big group of staff members have been working and it will be finished on time.
  
• 
  TTT is an organization which has its representatives in twenty two countries and it is now trying to spread out these recourses worldwide and Afghanistan is going to be one of them.
  
• 
  TTT has gone through TOR, the instruction to consultant (ITC) and is familiar with many processes in which it was involved with other projects and is aware of WB procedures.
  

3. 
   Discussion.
   

CSO expressed its readiness for any kind of help that required from their side at this and any further stages prior to the final bid day (Rajabekov);

TTT mentioned the high level of the RFP that gives them the scope to put together everything to address the bid (Andresen)

CSO thanked TTT for their presents and readiness to prepare their offer and their serious approach to SRF, Twinning Arrangement (Rajabekov)

TTT expressed its thankfulness as well (Andresen)

4. 
   Conclusion
   

It was agreed that both sides will be ready to discuss any issue as soon as they will come up prior to the bidding deadline.

Annex 1.1

Minutes

of the pre-proposal conference with the firm of PROGNOZ (USA) CRG (USA) and Saber System, INC (USA) 05 Sep 2011 at 4:30 PM

Venue: CSO, Main building, Conference Room on 3^rd floor

Presented in the meeting:

From CSO:
Mr. Ramzi Esmatullah - Statistical Advisor of CSO Mr. Naimi Moh. Ibrahim - Head of National Accounts Dep. of CSO Mr. Bawari Mir Afghan - Head of Learning Center Dep. of CSO Mr. Faqiri Azizullah - Head of Economic Statistics Dep. of CSO Ms. Arif Rahila - Head of Demography & Social Statistics Mr. Samoon Moh. Eid-marjan - Head of Dissemination & Mass Media Mr. Rajabekov Safdar - SRF Project coordinator Mr. Mosawi Yaqoob Ali - SRF Procurement Officer

From PROGNOZ: Mr. Vladimir Eskin - Vice president of PROGNOZ
Pre-proposal conference agenda:
1. Opening remarks 2. PROGNOZ information 3. Discussion 4. Conclusion

1. 
   Opening remarks
   

Pre-proposal conference was opened by Mr. Rajabekov who talked on the importance of pre-proposal conference for the finalizing and submission of the RFP for the Twinning Arrangement and introduced the presented members from CSO. He also welcomed Mr. Vladimir Eskin the representative of the PROGNOZ who took part in this pre-proposal conference and requested him to raise any questions/comments he would have.

2. 
   PROGNOZ information/introduction
   

Mr. Vladimir Eskin explained briefly that PROGNOZ has been working to finalize the proposal. The PROGNOZ has the capacity team that can deliver what the CSO expected from this project. On behalf of PROGNOZ he also welcomed all CSO participants for their big interest to the mentioned assignment.

3. 
   Questions/Discussion
   

In the discussion there was an exchange of information among both parties and the following things were outlined:

• 
  The RFP indicates the deadline for submission as of September 21^st and PROGNOZ needs a few weeks or the couple of days to finalize the proposal and to present it accordingly. PROGNOZ wants to know about the flexibility and possibility of deadline extension if it needs some additional time (Eskin);
  
• 
  CSO presumes that PROGNOZ is familiar with the WB rules and procedures and knows that the time was set up and CSO is not able to change it. So it is better that you prepare all the documentation by the mentioned deadline (Rajabekov);
  
• 
  The next issue that the company is thinking of refers to the separate specific security cost which is cooperated in the proposal and it wants to know to what extent these issue was taken in to account in your proposal (Eskin);
  
• 
  If you go through the terms of reference (TOR) it indicates that the twinning partner will be responsible for providing necessary and adequate security arrangements for its staff and consultants. The security provided should meet MOSS standard. CSO does not take the responsibility of company’s security (Rajabekov);
  
• 
  PROGNOZ is interested to know CSO’s expectation about the timeline of the project such as inception face, establishing implementation and so on (Eskin);
  
• 
  Whenever CSO gets your RFP, it will only evaluate and submit the documents to the World Bank for finalization. Then starts the negotiation prior to the signing of the contract with the selected company as it has mentioned in the RFP. CSO tries to implement it as soon as possible and tries to start the activities in the current year (Rajabekov);
  
• 
  PROGNOZ appreciated the confidence and takes this project very seriously because of its importance and tries to prepare the RFP at its best way and standards (Eskin);
  
• 
  CSO expressed its readiness for any kind of help that required from their side at this and any further stages prior to the final bid day and mentioned that if there are any issues or question from the companies it will be sent to both bidders as a matter of transparency (Rajabekov).
  

4. 
   Conclusion
   

It was agreed that both sides will be ready to discuss any issue as soon as they will come up prior to the bidding deadline.

Annex 2

Minutes

of the SRF Meeting with CSO on September 12, 2011 at 10.00 AM
Participated: Mr. Ghafoori - CSO President General (in Chair)

Ms. Zurmati - DFID Statistics Adviser

Mr. Rajabekov - SRF, PICT Project Coordinator

Mr. Ramzi - CSO, Adviser of the President General

Mr. Samoon - CSO, Head of Stat. Dissemination Dep.

Mr. Sael - CSO, Head of Admin and Finance Dep.

Mr. Wali - IT manager of CSO

Mr. Mosawi - SRF, PICT Procurement officer

Meeting agenda:

1. 
   Opening remark
   
2. 
   Change in the Procurement Plan
   
3. 
   IT issues and its discussion
   
4. 
   Conclusion
   

1. Opening remark

Mr. Ghafoori expressed his thankfulness to all participants to gather at a short notice and asked the SRF team to present the issues that the project has.

2. Change in the Procurement Plan

Mr. Mosawi updated all the participants with regard to the planned WB procurement post review of the activities that were implemented during the current year. He in his speech particularly pointed out:

• 
  SRF project has been implementing for almost six months from the day of its official effectiveness and have conducted a number of activities that are known by all the participants;
  
• 
  According to the WB procedure all the activities that belong to prior review are already checked by WB and it does not have any issues with them, but at the same time there are certain activities that are implemented without informing it as a post review and they need to checked by WB;
  
• 
  So far PICT have been implemented 7 activities as a post review (3 as goods and 4 as consultant services) that will be checked by the team;
  
• 
  There are two main issues in the PP that needs to be addressed as well and namely IT consultant for preparation of IT infrastructure report and IT infrastructure updating itself that is not clear yet whether it will be done by CSO staff members or SRF needs to hire somebody from outside and I think this issue will be in more detail given to all participants by Mr. Rajabekov;
  

3. IT issues

Mr. Rajabekov mentioned about the IT development issue that is reflected in the PP and pointed out the following aspects:

• 
  IT development is an important part of the SRF project and the capacity building in general and needs to be taken into account which was reflected already in the PP;
  
• 
  SRF requires an IT expert who will clarify the state of play of IT status of CSO and submits a detail report on IT development and its further improvement for the next 5 to 10 years;
  
• 
  SRF and WB do not have any problem if CSO will be able to implement this activity with its IT staff members and if this action needs to be removed from the PP list of activities;
  

Discussion

• 
  CSO understands the IT importance for its further activities and that is why is happy to implement this, but at the same time it is not interested to invite somebody from outside who will do the same activity with full support and ideas of IT staff of CSO and gets the assigned amount and goes away and CSO will remain with its problems (Ghafoori);
  
• 
  Actually the IT issues of CSO is clear to the IT department and it has already prepared some projection for its further development as well and if this action will be given to IT team they are able to implement it (Wali);
  
• 
  According to the Bank's rules CSO's IT department will not be paid if they will do the same activity and along with their daily activities (Zurmati);
  
• 
  It was clearly mentioned several times that IT department of CSO will not be paid if they will take over this action as long as they are government employees (Rajabekov);
  
• 
  This issue came up several times and CSO is aware of Banks rules and IT staff members are also expressed their readiness to do this action as their additional task (Ghafoori);
  
• 
  SRF indicates once more that WB does not have any problem with the issue who will do the activity provided that it will be done on the high level and professionally with well designed and detail report (Rajabekov);
  
• 
  CSO and personally I have seen so many projects that have acted with the donor money where the donors are interested in the in time disbursement of money and in most of the cases they do not have good impacts on the organization. It is everywhere in our life today. If CSO does not need this action it is better to give back the money to Bank rather than to spent it uselessly (Ghafoori);
  
• 
  One of the issue is the servers and equipment that CSO has got with the support of UNFPA and still does not have access to it, if this issue will be discussed with UNFPA then the list of equipment also might change and CSO will require less mount of funds for IT infrastructure (Wali);
  
• 
  UNFPA servers and other equipments were obtained for the demography and census issues and it can be used by them up to the time that UNFPA works with CSO. These equipment will be given to CSO only when they will leave CSO that is why we should not account on them today (Ramzi);
  
• 
  It needs to be discussed first with Ms. Tia and then we can make a decision on these equipments (Wali);
  
• 
  CSO will discuss this issue with UNFPA tomorrow and will let know SRF the final results based on which the next steps will be taken (Ghafoori);
  

4. Conclusion

CSO made a final conclusion that it will coordinate with UNFPA and find out the final needs for IT and then make its decision how to act with the IT development plan and its reflection in the Procurement Plan.

Annex 3
Experience exchange report

Name of components	Finance and Budget Division of Admin and Finance Department of CSO
The issue of training course	Exchanging ideas between Statistics Agencies of Republic of Tajikistan in regard to financial and accounting issues
Participants	Mr. Sayed Wahid Sadat - Financial Officer of SRF Mr. Saied Mohsen - Member of Goods Management, Mr. Dur Mohammad - Manager of Office Affairs, Mr. Saied Khalil Rahman - Budget Manager, Mr. Mohammad Masoom - Manager of Salaries, Mr. Habibullah - Manager of Economic Sector, Mr. Hameed - Manager of Special Payments of MOF.
Date of travel	September 5 – September 13, 2011
Avenue	Statistic Agency of Republic of Tajikistan.
Date of presenting report:

1. Basic Report

1.1 Introduction and acknowledgement:

CSO financial team is happy to indicate that the experience exchange was started from the meeting at the airport on the first day of visit, where the Statistical Agency representatives came to meet us and take to the place of our destinations which was close to the SA office and very reliable to interact. The team is really appreciated by the meeting that was organized on the second day of our mission with the Director of SA Mrs. Bakhtiya Mukhammadieva and her deep interest in the cooperation of these two countries in all matters of statistical activities. The group had realized that SA already had the required preparation for the visit and the team was introduced to the Chief Accountant of SA - Mrs. Nazeera Saburova who was in charge of all budgeting and accountant action at the agency. The Chief accountant have introduced the team with all the financial and accountant related staff members and was involved with us during the entire week and took us to one of the nearby districts as well to see the workload on the district level as well, which the group of deeply thankful for. We express our deep gratefulness to Mr. Bahrom Barotov for his support and help during our visit and to the entire agency for their readiness to share their style of work although we do realize that some of the actions are different in these two countries.

1.2 The issues of exchange experience

It was initially expected that the team will check the financial activities at the Statistical Agency of Tajikistan level and present the financial issues that are applicable in Afghanistan. At the same time the MoF team that were included in the group envisaged to share the financial activities with Ministry of Finance of Tajikistan to check the similarity and discrepancy of financial activities of these two countries.

The visit to Tajikistan coincide with the 20 years of independence from the Soviet regime and that is why the team worked only during three official days during which it was introduced with financial system and its peculiarities at the SA level. As the team was observed during the discussion Statistical Agency in fact has some openness in its activities or some priorities that enable it to have an income from selling of its publication and other transactions. So, SA of Tajikistan has the right to use 85% of all the income that make during a year for its own purposes and only 15% will be given to the government budget. As for the CSO it does not have the right to use any income for its purposes directly and first of all submits it to Da Afghanistan Bank's Account (600100) in accordance with the financial rules of the Islamic Republic of Afghanistan and then can ask for additional investment which means that this amount can be used by other institutions as well.

It should be mentioned that most parts of Afghanistan’s national budget are funded by international community such as IMF and WB. But in Tajikistan most parts of budget are funded by its national incomes. There is very little assistance of international community in the country. The prioritization of development programs is taken placed under the supervision of ministry of economy of both countries based on minister’s strategy, sectoral strategy and national strategy.

2. The results of training course

Although the official working time of the visit was for three days it was very informative for the team to know how financial activities have been implementing in other countries and what can be done in this sphere.

It is very important to know and Afghan team was please to know that MoF of Tajikistan does not deal with foreign members and does not except any external intruders, but taken into account long term relationship, common problems and a mutual interests of these two countries they have agreed to meet the team explain us all the issues that has been implementing at the MoF of Tajikistan. The presentation that was made by the team was thoroughly analyzed and openly explained by the ministry members and our team was taken to all the required offices and showed us all the ways of working system in this institution.