Making Aid Agencies Work

Terry Gibson combines large-scale industry analysis with attention to the lives and worlds of the people the aid industry aims to serve, and he demonstrates how to overcome barriers between the two worlds and free flows of learning, resources, and even political influences that might lead to better outcomes.

An encouraging account of the potential of foreign aid to reduce poverty and a challenge to all aid organizations to think harder about how they spend their money. With more than a billion people now living on less than a dollar a day, and with eight million dying each year because they are simply too poor to live, most would agree that the problem of global poverty is our greatest moral challenge. The large and pressing practical question is how best to address that challenge. Although millions of dollars flow to poor countries, the results are often disappointing. In Making Aid Work, Abhijit Banerjee—an "aid optimist"—argues that aid has much to contribute, but the lack of analysis about which programs really work causes considerable waste and inefficiency, which in turn fuels unwarranted pessimism about the role of aid in fostering economic development. Banerjee challenges aid donors to do better. Building on the model used to evaluate new drugs before they come on the market, he argues that donors should assess programs with field experiments using randomized trials. In fact, he writes, given the number of such experiments already undertaken, current levels of development assistance could focus entirely on programs with proven records of success in experimental conditions. Responding to his challenge, leaders in the field—including Nicholas Stern, Raymond Offenheiser, Alice Amsden, Ruth Levine, Angus Deaton, and others—question whether randomized trials are the most appropriate way to evaluate success for all programs. They raise broader questions as well, about the importance of aid for economic development and about the kinds of interventions (micro or macro, political or economic) that will lead to real improvements in the lives of poor people around the world. With one in every six people now living in extreme poverty, getting it right is crucial.

Since the Colombo Plan in the early 1950s, food aid has been an important and highly visible component of the Canadian development assistance program. Until the early 1970s, however, the Canadian food aid program was little more than a loosely connected collection of disparate programs designed to meet a host of sometimes conflicting objectives. In the wake of the world food crisis of 1972-75, a growing number of groups began to question the developmental effectiveness of food aid. In response, the Canadian government undertook an extensive review and assessment of its food aid program, which resulted in a series of new policy initiatives designed to change both the substance of food aid programs and the manner in which they were administered. These changes marked a watershed in the history of the Canadian food aid program, setting out the fundamental policy themes that have been consolidated and refined in the 1980s and early 1990s. Mark Charlton examines the evolution of the Canadian food aid program during this critical period of policy reform. Focusing on the rationale of the food aid program, the nature of the planning and programming process, the selection of delivery channels, the make-up of the food aid commodity basket, and the nature of donor-recipient relations, Charlton provides useful insights into the overall objectives and priorities of Canadian foreign policy in the developing world. He also reveals the impact of domestic economic interests, Canadian political culture, bureaucratic politics, and the global food aid regime on the evolution of Canadian aid policies.

Worldwide, the number of poor people increased during the past decade, despite technological improvements, more open trade, and improved policy frameworks in developing countries. Regional conflicts, adverse shifts in terms of trade, and marginalization of poor countries in the new global economy explain this outcome. This highlights the need to reform development assistance and improve its effectiveness. Making Development Work examines the four key principles of the Comprehensive-Development Framework, a World Bank initiative currently being piloted in twelve developing counties. The initiative promotes a holistic long-term vision of development, domestic ownership of development programs, and focus on results; and stronger partnership between government, the private sector, and the civil society. The first section of the volume describes the evolution in development thinking that culminated in this new consensus. The second focuses on country ownership of development policies and programs. Based on empirical evidence, it proposes a new view of the aid relationship as a mutual-learning process. The third section focuses on results and on the ways aid agencies might enhance development impact of their operations. It concludes with a preliminary assessment of strategies for scaling up from specific projects to sector and programmatic approaches, and suggests ways to adapt them to counter conditions. The experience of a bilateral aid agency, U.S. Agency for International Development (USAID), is examined in this context. The fourth section focuses on partnership, emphasizing that aid agencies must be explicit about the kinds of partnerships they seek with countries and the kinds of strategic selectivity they will exercise. The final chapter pulls together the lessons of development experience at various levels of operation. It outlines key tensions between comprehensiveness and selectivity, ownership and conditionality, speed and broad-based ownership, focus on results and poor local evaluation capacity, and enhanced country focus and globalization. Promising approaches to manage these tensions are put forward to replace one-size-fits-all prescriptions with client empowerment and social learning. Making Development Work offers rich lessons on improving the effectiveness of aid. It will be of particular interest to development practitioners, students and professors of development economics studies. Nagy Hanna is a lead corporate strategist and evaluation officer at the World Bank. He has published extensively on development, management, and knowledge. Robert Picciotto is director-general of Operations Evaluation at the World Bank.

The controversy surrounding the effectiveness or counter-productivity of foreign aid is one of the great issues facing the world today. The first edition arose from a study conducted by the World Bank and the International Monetary Fund, concerning the effectiveness of aid. Now in this thoroughly revised and updated second edition, Robert Cassen incorporates the research and debate in this area since 1986. He has updated the text and tables, added a section to each chapter reviewing recent findings, and removed some of the highly technical parts of the text, making this edition accessible to a wider audience of students approaching the topic for the first time as well as specialists in development economics. The analysis reveals that most aid succeeds in terms of its own objectives and obtains a reasonable rate of return. At the same time, the report analyzes the failings of aid projects, compares these failings with other forms of private and public investment, and proposes measures for improving aid effectiveness.

This book provides an overview of what aid is, how it has changed over time and how it is practiced, as well as debates about whether aid works, for whom and what its future might be. The text shows how ‘aid’ is a contested and fluid concept that involves a wide and changing variety of policies, actors and impacts. It equips the reader with an understanding of what aid is, where it comes from and where it goes, how it is delivered and what its impacts are, and whether shortcomings are a result of a fundamental problem with aid, or merely the result of bad practices. It explores the changing political ideologies and conceptions of development that continually reshape how aid is defined, implemented and assessed, and how, despite a global commitment to the Sustainable Development Goals, we are at a point where the very notion of aid is being questioned and its future is uncertain. Each chapter includes case studies, chapter summaries, discussions, weblinks and further reading, to help strengthen the reader’s understanding. Aid and Development provides an important resource for students, development workers and policy makers seeking an understanding of how aid works.

This book explains why some international institutions succeed and others fail - and what we can do to improve them.

“What motivates any of us to do the work we do? And more importantly does that work make a difference?” This is the question film producer and founder of filmaid.org, Caroline Baron, reflects on when she calls Chasing Misery an “unblinking” account of what it's like to be a woman on the front lines of global humanitarian responses. Twenty-one first person essays and 23 stunning photographs give readers a glimpse into the lives of real women who respond to emergencies—their hopes, fears, questions, challenges, frustrations as well as glimpses of the humour, beauty, and hope they find in the midst of misery.