Digital Economy and Market Development (DEMD)

Quarterly Report December 1, 2019 – February 29, 2020

Contract No. 7200AA19M00016

March 13, 2020

Submitted to: Paul Fekete

Contracting Officer’s Representative

Submitted by: Resonance Global, LLC 1121 12th Street, NW

Washington, DC Phone: (202) 548-7107

Shannon Gaffney: Chief of Party (COP)

Email: sgaffney@resonanceglobal.com

This document was produced for review by the United States Agency for International Development. It was prepared by Resonance for the Digital Economy and Market Development (DEMD) Mechanism, contract No. 7200AA19M00016.

Table of Contents Acronym List .................................................................................. i

Activity Overview .......................................................................... 2

Summary of Major Activities and Achievements – December 1, 2019 – February 29, 2020 .......................................................... 2

Component 1: Technical Analyses, Assessments, and Diagnostics .................................................. 3 Component 2: Rapid Response and Short-Term Assistance Teams ................................................ 3 Component 3: Stakeholder Communications and Knowledge Generation and Management ... 3 Component 4: Training ............................................................................................................................... 4

Cross-cutting Themes .................................................................. 6

Challenges Encountered and Proposed Remedial Actions ...... 6

Monitoring & Evaluation ............................................................... 6

Annex 1- Indicator Table .............................................................. 8

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Acronym List CLA Collaborating, Learning, and Adapting CO Contracting Officer COP Chief of Party COR Contracting Officer’s Representative DEMD Digital Economy and Market Development E&E USAID’s Bureau of Europe and Eurasia E3 USAID’s Bureau of Economic Growth, Education and Environment LOE Level of Effort M&E Monitoring and Evaluation MBIO Missions, Bureaus, and Independent Offices OUs Operating Units SOW Scope of Work STAS Short-Term Activity Support STTA Short-Term Technical Assistance TCA Trade and Competitiveness Activity TRR USAID’s Office of Trade and Regulatory Reform WTO World Trade Organization

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Activity Overview USAID’s Bureau for Economic Growth, Education, and Environment (E3) utilizes central mechanisms to support Missions and deliver technical assistance to partner countries. The Office of Trade and Regulatory Reform (TRR) is home to the Agency’s experts on trade, investment, regulatory environment and private sector development. TRR’s work is predicated on the principle that a level playing field and more efficient market systems benefit both U.S. and host country companies. The Digital Economy and Market Development (DEMD) project enables USAID/Washington, USAID Missions, and other Bureaus and Operating Units (OUs) to access expert technical assistance in a single mechanism to design, implement, and evaluate a range of activities to meet digital economy, trade capacity building, private sector development, and business enabling environment needs of developing country partners. DEMD’s work is divided into the following six component areas: Component 1: Technical Analyses, Assessments, and Diagnostics – Inventory and prioritize needs; design and implement new tools; and provide on-demand assessment, analysis and diagnostic support to Missions, Bureaus, and Independent Offices (MBIOs). Component 2: Rapid Response and Short-Term Assistance Teams – Provide on-demand and rapid short-term services to MBIOs and country stakeholders. Component 3: Stakeholder Communications; Knowledge Generation and Management – Develop a project fact sheet to drive buy-ins; enhance the availability and visibility of TRR tools and resources available to Missions and other Bureaus; generate learning and facilitate stakeholder engagement in emerging technical areas. Component 4: Training – Identify TRR training needs; contribute to TRR training development/upgrades and delivery in Washington, D.C. and to other MBIOs as requested. Component 5: Short-Term Activity Support (STAS) – Execute small-scale, on-demand and rapid short-term technical services for MBIOs in areas that complement their existing portfolios. Component 6: Monitoring and Evaluation (M&E) – Provide on-demand support and guidance on tools, data sources, M&E frameworks, and cross-cutting impact and performance evaluations for trade, investment, private sector development, and business enabling environment programs.

Summary of Major Activities and Achievements – December 1, 2019 – February 29, 2020 During Year 1 Quarter 2, activities were focused on targeted outreach to public and private stakeholders, TRR-led trainings, and activity prioritization, design, and mobilization. Achievements between December 1, 2019 and February 29, 2020 are organized by component.

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Component 1: Technical Analyses, Assessments, and Diagnostics • 1.1: Targeted outreach to inventory and prioritize TRR and MBIO stakeholder needs During the reporting period, the Chief of Party (COP) and Administrative Specialist met with various stakeholders, resource partners, and consultants, including individuals from the Office of the United States Trade Representative, the Corporate Council on Africa, the Information Technology and Innovation Foundation, the Nextrade Group, Canopy Lab, and Nathan Associates to identify short-term priorities and discuss possible areas for collaboration under DEMD during the first year of project implementation, based on the needs of USAID and TRR. In addition, numerous consultations were held with the Bureau for Europe & Eurasia (E&E) regarding a possible field-based training on the USAID Framework for Employment Programming, which included development of a draft agenda, survey, and communications to E&E Missions to gauge their interest and availability to participate in such a training.

Based on these initial consultations and stakeholder meetings, and in cooperation with TRR colleagues, DEMD will work with TRR in Quarter 3 to identify and explore new thematic and technical areas that would benefit from analyses and summaries of existing research and evidence. This might include, for example, updating the Theories of Change: High-Growth Small and Medium Enterprise Development study with additional evidence and examples of interventions intended to accelerate SME development. DEMD will develop a clear scope of work with proposed Level of Effort (LOE), work plan, deliverables schedule, and budget for Contracting Officer (CO)/Contracting Officer’s Representative (COR) approval prior to development of new or upgraded tools, or conducting an analysis, assessment, or diagnostic.

Component 2: Rapid Response and Short-Term Assistance Teams • 2.2: Development of Consultant Database/Skills Matrix Building on the roster of experts Resonance submitted as part of the proposal, DEMD developed a consultant database and skills matrix with contact information, geography, language capabilities, and technical expertise. These experts reflect a broad range of technical and geographical expertise. The database is hosted in Microsoft Excel for easy use and updating, and therefore aims to ensure that on-demand short-term technical assistance (STTA) teams are ready to deploy rapidly, drawing from the best possible mix of experiences and backgrounds. The database was shared with the COR for feedback and input and will continue to be updated regularly. Component 3: Stakeholder Communications and Knowledge Generation and Management • 3.3: Knowledge Product Development As part of the USAID Framework for Employment Programming training (detailed below under Component 4: Training), the DEMD COP developed five tailored case studies representing a diverse set of country contexts (including low-income, middle-income, conflict, Muslim-majority, rural, and presence of organized crime) and target populations (including rural and urban residents, migrant workers, youth, and women). During the training, participants used the case studies to discuss and apply approaches across these country contexts using the Employment Framework Playbook. Participants also shared insights based on their personal

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experiences and added various topics to the “parking lot” for further research/elaboration by USAID in future iterations of the training. In Quarter 3, DEMD will prioritize updating the Digital Trade Subject Area Summary Booklet to make the content more practical so that Missions can apply it to their activities (i.e. through providing best practices, model projects, and/or procurement resources under each topic area). The booklet will integrate relevant content, case study examples from developing countries, and good regulatory practices/policy approaches from the materials developed as a follow-up to the 2018 E-commerce and Trade Facilitation for Economic Development training. This may include some additional desk research and interviews on a limited basis. DEMD will prepare a comparison of the existing topics and draft a SOW that outlines proposed next steps. In addition, DEMD will also update a set of Aid for Trade project fact sheets for TRR to disseminate at the upcoming World Trade Organization (WTO) committee meetings and the Twelfth WTO Ministerial Conference taking place in June 2020. As an initial step, DEMD will work with TRR to catalog the projects to highlight at the beginning of Quarter 3.

• 3.5: Project Tracker Building on efforts under the Trade and Competitiveness Activity (TCA), DEMD updated the quarterly database that tracks and organizes all USAID-funded trade and competitiveness projects (and those that are under design). The tracker is color-coded and includes technical details on each project. DEMD has added a column to highlight projects with a digital lens. Component 4: Training • 4.2 and 4.3: Organize, Plan, and Deliver USAID Framework for Employment

Programming Training On December 20, 2019, USAID/TRR approved the USAID Framework for Employment Programming Training scope of work (SOW), with the following objectives: i) build USAID Mission and partner staff capacity to diagnose and design evidence-based interventions to improve employment outcomes; ii) provide participants with practical, hands-on experience through real case studies; and iii) serve as a platform for exchange of ideas and best practices, linking USAID staff and expert points of contact at USAID/Washington.

Figure 1 Employment Programming Training participants assess their knowledge of employment programming outcomes

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Throughout the planning process, DEMD remained in close, continuous contact with TRR to ensure the agenda, training modules, and case study examples (as mentioned above in section 3.3 Knowledge Product Development) reflected the most current understanding of participant and agency staff needs worldwide. The training, which took place on February 6-7, 2020 at the Washington Learning Center, consisted of classroom-style training and interactive discussions with time built in for dialogue, deliberation, and break-out discussions. The sessions were tailored to an audience of USAID backstops from a range of disciplines including Economic Growth Officers, Education Officers, and General Development Officers. The course content drew on materials developed by USAID experts from a variety of technical perspectives.

DEMD oversaw the logistics, facilitated the two-day training, developed tailored case studies, and supported TRR in providing feedback on training content. The training reached 23 individuals (39% female) from 10 USAID Missions, five USAID/Washington units, and two other U.S. Government agencies. Overall, the participants were highly engaged, which led to rich discussions throughout the training. One hundred percent of those that responded said that they would recommend the training to others and reported that the framework/playbook, information on evidence and tools, and the case studies to be the most useful portions of the training. Participants valued the varied viewpoints from the mix of speakers and liked the combination of lectures and group discussions, although some requested more breakout groups, interactive sessions, and additional real-world examples. DEMD will utilize the training evaluations, feedback from each training module/day, and after-action review with USAID, to integrate lessons learned and suggestions for improvement into future trainings. “I learned quite a bit! I would suggest adding a day to allow for even more discussion.” – USAID/Washington Training Participant After the training, DEMD provided USAID with notes from each session, high-level summaries of each day’s discussions, and a list of topics in the “parking lot” to be examined further for future iterations of the training. Finally, DEMD compiled and shared with participants reference materials from the training, including: • Getting Employment to Work for Self-Reliance: A USAID Framework for Programming; • The Employment Framework Playbook; • A roster of contact information for all participants and speakers; and

Figure 2 Employment Programming Training participants share insights and experience with colleagues

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• All speaker presentations and the course agenda.

• 4.5: Update existing training/propose new training content DEMD, in coordination with TRR, had planned to organize and deliver a follow-on Framework for Employment Programming training in Washington, D.C. in April 2020 to reach USAID Education officers attending the USAID Global Education Conference. This has since been postponed until Fall 2020 due to concerns relating to COVID-19. Once the Conference is rescheduled, DEMD will resume planning and organization for the follow-on training. In addition, DEMD is in discussions with the E&E Bureau regarding implementing a field-based Framework for Employment Programming training in Skopje, North Macedonia in May 2020. While this event has since been postponed owing to travel restrictions related to COVID-19, DEMD will provide limited remote support focused on tailoring training materials and case studies to the regional context. The E&E Bureau also requested support on developing ideas for virtual training modules. As a follow-up to the four-day E-commerce and Trade Facilitation for Economic Development Training, funded under TCA, DEMD is working with TRR to develop a tentative plan to organize a field-based training in Frankfurt. In Quarter 3, DEMD will identify which private sector companies, donors, and others that participated in the DC training have representation (offices or affiliates) in Germany. DEMD is also exploring virtual platforms for offering this training, along with adjustments to scheduling, speakers, topics, etc. that would necessitate.

Cross-cutting Themes Gender concerns were addressed in a multi-faceted approach through the Framework for Employment Programming training. An initial session was dedicated to addressing barriers to women’s employment, recruitment, retention, and promotion. These themes, problems, and solutions were further elaborated through question & answer discussions in later sessions related to skills, positive youth development, and monitoring and evaluation. Statistics on women’s workforce participation and cultural factors inhibiting women’s employment were also woven into each of five country case studies prepared for discussion purposes on the second day of the training. Gender and other cross-cutting themes, including climate change, will be incorporated into discussions with USAID OUs as SOWs are developed for future activities.

Challenges Encountered and Proposed Remedial Actions DEMD did not face any major challenges during Q2. We will continue to monitor any potential challenges and develop plans for necessary remedial actions on an ongoing basis.

Monitoring & Evaluation Throughout the life of the activity, DEMD will collect and analyze performance data to evaluate overall activity performance and to facilitate learning for improved programming. DEMD applies an adaptive management approach to inform and improve activity and task design over the course of activity implementation. Following the Collaborating, Learning, and Adapting (CLA) principles of iterative learning, DEMD is working internally to identify opportunities for

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improvement – and will additionally support OUs and external stakeholders assisted by DEMD to implement adaptive management principles. DEMD’s M&E system has two primary roles: 1) to provide reliable, timely, and accurate data used to measure activity performance and impact against targets and 2) to provide additional opportunities for insight and improvement through routine solicitation of client feedback, periodic data reviews, and interactive analysis. The indicator table in Annex 1 and indicator performance tracking table are updated on a quarterly basis.

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Annex 1- Indicator Table

Digital Economy and Market Demand (DEMD) Performance Management Plan (PMP) Matrix Q1 Q2 Q3 Q4

YTD Total

Year 1 Target % Achieved

LOP Actual

LOP Target

∞ GENERAL INFORMATION

O/P 1 Number of total OUs or external stakeholder units supported by DEMD

0 17 17 17

(Disaggregated by sector; operating unit or external stakeholder unit type)

O/P 3 Number of organizations, associations, businesses, or governmental entities that have collaborated with DEMD

0 0 0

(Disaggregated by sector) C.3.1 Technical Analyses, Assessments, and Diagnostics

O/P 4b

DENOMINATOR: Number of technical analyses, assessments, or diagnostic exercises conducted by DEMD

0 0 0 0

(Disaggregated by sector; operating unit or external stakeholder unit type)

C.3.2 Rapid Response and Short-Term Assistance Teams

O/P 5b DENOMINATOR: Number of short-term assignments fulfilled by DEMD 0 0 0 0

(Disaggregated by component; sector; cross-cutting topic; operating unit or external stakeholder unit type)

C.3.3 Stakeholder Communications and Knowledge Generation and Management

O/P 6 Number of new or improved stakeholder events, dialogue platforms, or knowledge products organized or designed by DEMD

0 5 5 5

(Disaggregated by sector; event, platform, or product type; new/improved; focus on women’s ability to equitably participate in, contribute to, or benefit from economic opportunities)

O/P 7 Number of participants or consumers of stakeholder events, dialogue platforms, or knowledge products organized, designed, or curated by DEMD

0 23 23 23

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Digital Economy and Market Demand (DEMD) Performance Management Plan (PMP) Matrix Q1 Q2 Q3 Q4

YTD Total

Year 1 Target % Achieved

LOP Actual

LOP Target

(Disaggregated by sector; event, platform, or product type)

O/P 8b DENOMINATOR: Number of participants or consumers of stakeholder events, dialogue platforms, or knowledge products organized or designed by DEMD that responded to DEMD survey request

0 0 0 0

(Disaggregated by sector; participant or consumer type; event, platform, or product type)

C.3.4 Training

O/P 9 Number of new or improved training modules designed by DEMD 0 1 1 4 25% 1

(Disaggregated by sector; new/improved)

O/P 10 Person-hours of USG-supported training completed in trade and investment (F Standard EG.2-1) 0 360 360 1,600 23% 360

(Disaggregated by female/male)

O/P 11b DENOMINATOR: Number of individuals who have received training provided by DEMD 0 23 23 23

(Disaggregated by sector; operating unit or external stakeholder unit type; female/male)

C.3.5 Short-Term Activity Support

Results for tasks under this component will be presented with Component 3.2 indicators above. C.3.6 Monitoring and Evaluation

O/P 12b

DENOMINATOR: Number of M&E tools and services provided by DEMD 0 0 0 0

(Disaggregated by sector; operating unit or external stakeholder unit type)

Notes

1. ∞ O/P = Output. Only output-level indicators are presented in quarterly performance reports. Both output-level and outcome-level indicators are presented in annual performance reports.

2. Disaggregation categories and tallies for each indicator are available in the DEMD IPTT. 3. “DENOMINATOR” indicates a sub-indicator that provides context for some outcome-level indicators that will be populated on an annual basis. 4. Definitions for all indicators can be found in the DEMD MEL Plan.

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