Annex 2 - Results Framework: Intervention Logic and Short-Term Business Planning - More and Better Jobs

Jul 19, 2026

Upload by Levi

Annex 2 presents the results framework and intervention logic for delivering “More and Better Jobs” through short-term business planning. It diagnoses macroeconomic and fiscal constraints across PIC9 small states, including limited trade and investment activity, narrow production bases, weak business capabilities, and fiscal vulnerability tied to volatile revenues and underperforming state-owned enterprises. The framework targets debt sustainability reforms, improved tax collection equity, trade facilitation, strengthened customs and logistics, and expanded inclusive financial services, linking these actions to resilient, job-creating private sector-led growth.

LanguageEnglish

CategoryResearch & Report

FormatPDF

Pages10

Reading Time25 min

Annex 2: Results Framework

Intervention Logic

Short-Term Business Planning

Pub lic Disc losure Authorized Annex 2: Results Framework: Intervention Logic and Short-Term Business Planning More and Better Jobs | RPF Outcome 1: More effective macroeconomic and fiscal management | | | | | | | --- | --- | --- | --- | --- | --- | | Rationale: The PIC9 face major challenges in macro-fiscal management and economic resilience, shaped by small domestic markets, exposure to external shocks, and constrained public finances—challenges common in micro and small states as highlighted in the WBG Small States Strategy (SSS). The PIC9 were slow to reduce barriers to trade and investment and now tend to have a much narrower production base, with exports dominated by tourism, fish, and agricultural products. The capabilities of most businesses are limited, constrained by difficult business environment and insufficient access to skills, technology, and financing. Fiscal sustainability is undermined by volatile revenues, limited domestic financing, and underperforming state-owned enterprises, while public financial management systems often lack transparency and efficiency. Weaknesses in statistical data collection makes evidence-based policymaking more difficult. These factors weaken the overall environment for job creation. | | | | | | | INDICATOR | INTERVENTION LOGIC | BUSINESS PLANNING | | BASELINE/TARGET | | | | | Ongoing Portfolio | Pipeline | FY26 | FY31 | | Indicator 1.1: Percentage of economies in or athigh risk of debt distress that implemented reforms towards debt sustainability | The WBG will enhance macrofiscal management practices and increase economic resilience across the PIC9, tailored to each country’s specific needs. DPOs will promote fiscal and structural reforms to support private sector development, human capital development, and mitigate vulnerability to natural disasters, climate change, and other external shocks. IPFs will facilitate improvements in fiscal management and transparency, establish foundational financial processes, and modernize procurement frameworks while addressing data deprivation. These efforts will strengthen the foundation for robust economic frameworks and public economic management institutions, enabling the PIC9 to establish an environment more conducive to stable, private sector-led, jobcreating growth while withstanding unforeseen challenges. The WBG will also provide strategic support for regional trade facilitation—including digitalizing | LEN: - P177794: Kiribati First Resilient Growth DPO/Cat DDO - P504373: RMI Enhancing Fiscal Management and Building Resilience DPO/Cat DDO - P179813: Tonga First Fiscal, Disaster, and Climate Resilience DPO/Cat DDO - P509760: Tonga Second Fiscal, Disaster, and Climate Resilience DPO - P172614: Tuvalu Second Resilience DPO/Cat DDO - P179820: Tuvalu First Climate and Disaster Resilience DPO/Cat DDO - P506356: Tuvalu Second Climate and Disaster Resilience DPO - P506285: Vanuatu Resilience DPO/Cat DDO - P510280: RMI Strengthening Public Financial Management II - P181237: FSM Strengthening Public Financial Management II - P171377: Statistical Innovation and Capacity Building in Tonga - P168122: Statistical Innovation and Capacity Building in the Pacific Islands - P181456: Samoa Finance Sector | LEN: - P511822: Kiribati Second Resilient Growth DPO/Cat DDO - FSM Fiscal Management and Resilience DPO/CAT DDO - Samoa New DPO - Tonga New DPO/Cat DDO - Tuvalu New DPO/Cat DDO - Vanuatu New DPO/Cat DDO - Regional Poverty and Statistics Project | Kiribati, Marshall Islands, Tonga, Tuvalu, Vanuatu implementing reforms toward debt sustainably Micronesia, Nauru, Palau, and Samoa not currently at high risk or in debt distress | 100%—All PIC9 at high risk or in debt distress implementing reforms toward debt sustainability | | Indicator 1.2: Number of economies with tax revenues-toGDP ratio at or below 15%(including social security contributions)

FAQs

What core challenge does the rationale describe for PIC9 countries regarding job creation?

It highlights weaknesses in macro-fiscal management and economic resilience, including slow trade and investment reform, narrow production bases, limited business capabilities, and fiscal sustainability risks from volatile revenues and inefficient public financial management.

What does the framework target under Indicator 1.1?

It focuses on increasing the share of economies implementing reforms toward debt sustainability for those at high risk or in debt distress, supported by macrofiscal improvements and resilience-building reforms.

Which areas of intervention are emphasized to support private sector development and cross-border trade?

It emphasizes digitalizing border processes, strengthening customs and biosecurity, upgrading regional logistics infrastructure, and improving financial institution capacity to expand inclusive lending and product offerings.

Jul 19, 2026

Upload by Levi