Capacity and Service Delivery in Education

1. Capacity and Service Delivery in Education Rising to the Challenge Ruth Kagia Education Director World Bank IWGE Meeting Rome June 11-15, 2006

2. We often talk about….. ……. building institutions or building capacity. ….it suggests you can come in like an outside contractor and bring some bricks and mortar and you construct capacity. It doesn't work that way. You grow it. Its got to be indigenous. It's got to have indigenous roots. You can fertilize it. You can water it. You can rip the weeds out, which I think is part of fighting corruption. Or you can help people do it. But they need to do it themselves. Paul Wolfowitz in an address to World Bank Staff (July 27, 2005)

3. What is Capacity? • The ability of people, organizations and society as a whole to manage their affairs successfully • In development jargon – capacity generally refers to the ability of nations to plan for and implement external assistance • 70,000 African professionals leave the continent annually (200 million immigrants & 9 million refugees)

4. Capacity – A Complex Issue • Capacity to do what? • Create a vision/strategy and develop policies and programs • Mobilize, plan for and manage resources • Deliver services - implement programs and measure results • Whose capacity? • Country? • Sector? • Regions? • Capacity is fundamentally a governance issue

5. Why Does Capacity Matter? • Ultimately this is what development is about • Reaching the MDGs depends on faster economic growth and on translating growth into basic services that can reach poor people • 2002-2010 period of largest ever increase in development assistance -- implementation capacity is necessary for achieving development outcomes • Must ensure that increased resources are translated into tangible HD outcomes at the country level

6. Capacity to Raise Education Outcomes Socio-Economic Factors Policies & Actions Institutions and Systems Outcomes Education Service Availability, accessibility, quality of education service, affordability Behaviors & Risk Factors Utilization of public and private education services, gender, care & stimulation of children, health/nutrition etc. Overall Strategy Macro Policies Governance Aggregate resources, resource allocation in public sector, input costs and utilization, accountability and delivery Education Financing Public Financing and allocation, private. Education Outcomes Socio-Economic Transformation Household Resources Income, assets, land, education etc. Supply in related Sectors Roads, transport, water and electricity, school health/nutrition, early child development Other Govt. Policy Infrastructure, water and sanitation, health/nutrition, social protection Community Factors Rural/urban, cultural, values, social capital etc. Diagnostics Monitoring and Evaluation

8. Implementation Capacity Factors That Affect Outcomes • The mix of inputsprocured with available financial resources: • What inputs are brought into the ‘production process,’ in what magnitude? • Example:Teachers, in-service teacher training, textbooks, teachers guides, classrooms and other facilities, supervision, assessment, parent participation • The utilization of these inputs once they are in the mix: • Are all resources in the mix utilized in full? • Example:Do teachers work a full load? Are textbooks being used in the classroom and at home? Do school inspectors visit the schools? Do parents participate in school affairs and in their children’s education? • The efficiency of inputs while they are being utilized: • How much output, or how much ’good’ output, is produced by these inputs? • Example:How well do teach when they are in the classroom? How well organized and how good is in-service training? How well do teachers and pupils use available textbooks? How effective are the PTAs?

9. The New Aid Architecture • The MDGs and the Monterrey Consensus created a powerful global compact for development • The compact is anchored on mutual accountability and explicitly recognizes the close inter-linkages between debt, trade, levels of aid and aid effectiveness • Rome and Paris High Level Forums provided framework for improving aid effectiveness and mutual accountability for results • Credibility of commitments will be tested by quality of implementation • Emphasis is on: • Local ownership, • Political leadership • Governance systems, • Creating opportunities • Setting limits for capacity

10. The new aid architecture: key elements • Country ownership e.g. PRSPs • Multiple cooperation modalities—global partnerships, budget support, Bank has over 600 partnerships and more than $8bn trust funds in 2005 • Focus on service delivery & accountability –buoyed by a watchful civil society and press • Focus on results e.g. MDGs, Monterrey’s emphasis on performance for aid

11. ODA Projections 2004 -2010 • Between 2004 -2010 ODA projected to increase by $50 billion (from $79 -$129 billion) • ODA to Africa is expected to double from $25 to $50 billion • Part of projected increase reflects emergency aid, debt relief, and technical assistance • But usable financial resources for development programs will increase in the next several years to record levels

13. Paris Declaration • Paris Declaration built on platform of ownership, harmonization, alignment, managing for results and mutual accountability: • Making aid more effective: • Use of Country Systems • Strengthen capacity --avoid parallel implementation structures • Aid is more predictable • Aid is untied

14. “Voice” “Compact” Citizens/clients The state Client power Poor Non- poor Management Politicians Policy- makers Short route Services Providers Front-line Providers (schools) Provider organizations (ministries) Long route of accountability

15. What Works?Harmonization in Action • Tanzania – “Mkukuta” forms the basis for a government-led Tanzania Joint Assistance Strategy (TJAS), which challenges donors to live up to the Paris 2005 Harmonization Commitments with: • Efficient division of labor among DPs, • Use of country systems, • Continued shift toward budget support, and • Flow of all donor resources through the Government’s Budget • Fast Track Initiative - dynamic and effective platform for donor harmonization alignment and coordination: • 30 partners, • global action anchored at country level

16. What Works?Direct Support to Beneficiaries India Elementary Education Project –Allocations of funds to decentralized project entities through state societies, expenditures under the project have exceeded estimated levels to $400 million in less than two years Mozambique Direct Support to School Program - Each school receives $175- $3,000 depending on size; programs have been run on community radios and local radios in vernacular languages; for each tranche there has been a small handbook with detailed forms to be completed and signed by the school council and head of the school Kenya Primary Education Project – Funds have been disbursed directly to schools and this has enhanced ownership and built capacity within schools in procurement, financial management and conservation and use of instructional materials; guidelines provided by MoEST to schools on the use of FPE funds have been effective in assisting schools in management of these funds; during the financial years 2002/03 and T 04, 78% of funds available for FPE were utilized Yemen Social Fund For Development –MoE unit cost per school was reduced from $476 to $126 through SFD

17. Good Practices • Stay focused on results: • Sustained improvement in country outcomes • “From day one to day done” • Take action at three levels: • In countries—where results are achieved • Within agencies—to be more effective partners • In partnership—to harmonize and coordinate support • Governments must become competitive employers of their skilled workforce : • Enhanced compensation arrangements and Project Implementation Units that parallel or duplicate local structures should be avoided • Work with existing institutions

18. Performance Driven Aid for Fragile States • Fragile states do not receive sufficient aid and aid is highly volatile • Models of effective cooperation: • Use existing local institutions and social capital (build from the ashes of conflict) • Provide direct assistance to households and communities • Work through civil society, private sector, independent service authorities • Ring–fence particular sectors e.g. education or health • Weak country capacity for monitoring results adds to the challenge in selecting activities with the highest poverty payoff • The challenge of performance based aid