Project Outcomes for the Project include: Stakeholder Effects: Employees: The labor market in Tanzania is largely informal, with an informal employment rate of 93.6%. The level of assessed vulnerability in employment (informal work arrangements, limited social protection or safety nets) is also high: 89.3% among women and 78.8% among men, higher than the average for Sub-Saharan Africa. The Project will sustain existing direct jobs and create new jobs, as well as seasonal employment opportunities. These are formal jobs with training and benefits, which are scarce in the local communities. Economy-wide Effects: This Project is expected to have positive economy-wide impacts, including job creation, contribution to GDP, and higher revenues for the Government of Tanzania and its agencies, including Tanzania National Parks and the Ngorongoro Conservation Area Authority. The refurbishment of SXR and NXR will allow the Group to maintain and even expand its positive economic impact on local communities, and the extension of the existing NXR to include N20 will create new business opportunities for local suppliers. Environmental Effects: Environmental stewardship is essential to maintain the sensitive ecosystem of wildlife conservation areas. This Project will contribute to climate change mitigation through green building practices, by achieving EDGE Basic certification for SXR, NXR, and N20. The Project's contribution to market creation includes: Sustainability: The green buildings ecosystem in Tanzania is still very nascent, and lags behind that of neighboring Kenya. Additionally, existing use of EDGE (or similar green building certifications) in the safari sub-sector is limited. This Project will contribute to market sustainability by demonstrating the viability of green building practices, particularly for facilities in remote areas. This demonstration effect should encourage other accommodation operators to adopt green building practices on their own properties.

Financial Additionality: Financing structure: IFC is providing financing with a 10 year tenor that is not immediately available on the local market. Non-financial additionality: Standard-setting: IFC will support EDGE certification for SXR, NXR, and N20, as well as support for EDGE Gender certification. Knowledge, Innovation, and Capacity Building: IFC will provide labor & workforce advisory services to strengthen the client’s HR function.

Indicator	Metrics	Comments
Hotels: Number of Hotel Rooms Built/Refurbished (#)	Rooms (#) [Actual]

This is a Category B project as per IFC’s Policy on Environmental and Social Sustainability. Based on IFC’s review, the project is expected to have limited adverse E&S risks and/or impacts which are generally site-specific and readily addressed through established mitigation measures.

The key E&S issues associated with the project include; (i) adequate E&S assessment of the construction and operational phase risks and impacts associated with the project; (ii) adequacy of the group’s E&S management system (ESMS) to identify and manage project related E&S risks and impacts; (iii) assurance of fair, safe and healthy working conditions for workers in line with IFC PS2 and legal requirements; (iv) management of water, energy, waste etc. in line with the IFC General Environmental, Health, and Safety Guidelines, and those for Tourism and Hospitality Development; (v) implementation of suitable biodiversity management and mitigation measures associated with operations within a UNESCO world heritage site, and (vi) stakeholder engagement and grievance management.

Please refer to the related Environmental and Social Review Summary (ESRS) document for this project.