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It Takes Two to Quango: Does the UK’s Independent Commission for Aid Impact Duplicate or Add Value?

The United Kingdom has been a stalwart funder and innovator in foreign assistance for almost 20 years. In 2011, it created the Independent Commission for Aid Impact (ICAI) to report to Parliament on the country’s growing aid portfolio. ICAI is a QUANGO in Brit-speak – a quasi-public non-governmental organization - with a 4-year mandate which is undergoing review this year. Recently, I took a look at the reports it has produced to see whether the organization is fulfilling its role in holding the country’s overseas development aid programs accountable.  I found one fascinating report which shows what ICAI could be doing and many more reports that made me wonder whether ICAI is duplicating work already within the purview of the agency, Department for International Development (DFID), which accounts for most of the UK’s foreign assistance programs.

Asset Recovery = Development Issue

As attention shifts from traditional foreign aid to private and domestic sources of finance for development, recovering stolen assets is not only a matter of justice but increasingly a development issue in its own right. That’s why organizations like the StAR initiative (a joint effort of the World Bank and UNODC) and NGOs like Transparency International and Global Witness have been making these points and successfully pushing the agenda.

Render unto Caesar

An obscure reference to reforming the taxation of multinationals in the UK budget speech might be more important for developing countries than the big increase in aid that was announced at the same time. Mandatory ‘combined reporting’ by multinationals could enable countries to tax multinationals properly.

Institute of Medicine Pushes PEPFAR on Data Collection, Disclosure

The Institute of Medicine, the prestigious health arm of the National Academy of Sciences, has weighed in with a massive report on the President’s Emergency Plan for AIDS Relief (PEPFAR), the multibillion dollar US effort to confront the epidemic in the developing world. The evaluation validates PEPFAR’s enormous reach during its first 10 years and identifies concrete actions that Congress and PEPFAR should take for the program to become more sustainable moving forward.

The ALMOST Feedback Loop

Mike is in a hurry to get home from work – eager to see his family and put his feet up after a long shift.

It’s 5pm on a chilly winter day in Detroit and he’s waiting for his bus to come. Thanks to TextMyBus.com and the Detroit Department of Transportation, he is able to use his cell phone to discover that the next bus is due in just 10 minutes. A few minutes go by and he heads outside right before it’s scheduled to stop. But after 10 minutes, no bus. After 30 minutes, his bus finally shows, but spending an extra 20 minutes in below freezing weather and snow means that Mike gets a nasty cold and misses a few days of work.

In my recent blog post, "Make a Consumer Reports for Aid," I detailed four questions that are important to answer in the quest for fully realizing the benefits of feedback loops. In this post, we focus on framing question #4:

A Critical Moment for COD Aid or “The Trouble with Targets”

As mentioned in our last post, aid agencies are experimenting with programs that incorporate the main features of COD Aid: paying for outputs and outcomes, giving the recipient greater discretion to spend as they see fit, independent verification, and transparency. Once these results-based programs are up and running, they face a critical test when the first results are reported. In particular, most programs create expectations by setting annual targets and are then judged relative to those targets rather than to their baseline. And this means that even successful programs will be viewed as failures (a point also made in an earlier blog). By refusing to set targets, a results-based program can avoid this pitfall. How is it that targets can create such a problem?

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