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In Burkina Faso, where most live on less than $2 a day, people want better infrastructure even more than they want jobs. In Benin, Guinea, Liberia, Mozambique, Tanzania – some of Africa’s poorest nations – it is the same. In fact, the cry for more and better basic services is heard in nearly every African country.
An increasing number of aid agencies are experimenting with programs that incorporate the main features of COD Aid: paying for outputs, giving the recipient greater discretion to spend as they see fit, independent verification, and transparency. (See our brief and book for more details). We’ve argued that the design of COD Aid programs can be rather easy, though the quality of the indicators chosen and the verification process are certainly critical to success. We have spent less time talking about what happens once the program is up and running. In particular, what happens when you find out how much progress actually occurred?
As the troubling details of the Department of Energy's loan program continue to roll out, I can’t help but think of another beleaguered agency…USAID. And, I also wonder if, in thinking how to generate new clean energy technology at home, we might also find insights to better promote development abroad? Here’s how:
In a refreshing discussion of COD Aid that’s what Andrew Rogerson calls our idea. Rogerson is an experienced player in aid delivery, having been at DfID and the OECD/Development Assistance Committee. His smart summary covers the latest news, including a pilot of COD Aid for Ethiopia being planned at DfID. It is smartly presented (as in COD implies for the recipient “no free lunch”), with an eye on the practical questions sponsors of COD Aid face.