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CONDITIONALITY REFORMULATED THE BURKINA FASO PILOT

CONDITIONALITY REFORMULATED THE BURKINA FASO PILOT. Conditionality Reformulated The Burkina Faso Pilot. Four objectives : to improve government ownership to smooth aid flows and reduce lumpiness and number of disruptive suspensions;

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CONDITIONALITY REFORMULATED THE BURKINA FASO PILOT

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  1. CONDITIONALITY REFORMULATEDTHE BURKINA FASO PILOT European Commission DG DEV B2

  2. Conditionality Reformulated The Burkina Faso Pilot • Four objectives: • to improve government ownership • to smooth aid flows and reduce lumpiness and number of disruptive suspensions; • to enhance aid effectiveness through monitoring of performance indicators for the areas of budget management and of equitable growth; and • to improve donor co-ordination. MANDATE - December 1996 European Commission DG DEV B2

  3. Conditionality Reformulated The Burkina Faso Pilot Agreement given by Burkina Faso Government in 1997 Chronology Two missions in 1998 Two missions in 1999 Final mission June 2000 Involved: B, Dk, D, F, J, Nl, CH, EC, WB, A, C, UNDP IMF European Commission DG DEV B2

  4. Conditionality Reformulated The Burkina Faso Pilot • “Ownership” was limited to few individuals • Reform objectives and expected results are not explicit or well known in gvt • Neither side inclined to measure effectiveness of policies • Burkina is a “good performer” - yet results on the ground often disappointing Need to question current aid modalities confirmed European Commission DG DEV B2

  5. Conditionality Reformulated The Burkina Faso Pilot European Commission DG DEV B2

  6. Conditionality Reformulated The Burkina Faso Pilot European Commission DG DEV B2

  7. Conditionality Reformulated The Burkina Faso Pilot • Ownership is not the adoption of the “politically correct” rhetoric • Government must be sovereign in choice of policies and measures • Shift from conditionality to agreement on policy objectives and more result-oriented support CONCLUSIONS TO DATE - Ownership European Commission DG DEV B2

  8. Conditionality Reformulated The Burkina Faso Pilot • Indicators are necessary both for government and donors • Possible to identify useful indicators: • on service delivery in social sectors • on efficiency in budget mgmt • in other sectors? • Care is needed when government sets its objectives (trend based) CONCLUSIONS TO DATE - Indicators European Commission DG DEV B2

  9. Health indicators • Fréquentation des centres de santé : nombre de nouveaux consultants/ population • Taux de vaccination (distinguer privé/public) • Nombre de césariennes effectuées • Taux de vaccination (BCG, DTCP3, Rougeole) • Nombre de 2ème consultation prénatale • Coûts des services. European Commission DG DEV B2

  10. Education • Taux brut de scolarisation (garçons/ filles) (public/privé) • Taux d’inscription en première année de primaire (garçon/filles) • Taux de réussites aux examens primaire • Nombre de livres par élève (stat ou enquête) • Coûts des services European Commission DG DEV B2

  11. Budget management • Ecart entre les inscriptions budgétaires et les objectifs affichés au niveau sectoriel • Taux d’exécution du budget • Part du budget allant aux structures les plus périphériques (par enquête) • Coûts unitaires de produits de consommation dans les marchés publics/ achats locaux du secteur privé (ou bailleurs de fonds) (par enquête) • Délais de paiement des fournisseurs European Commission DG DEV B2

  12. Conditionality Reformulated The Burkina Faso Pilot European Commission DG DEV B2

  13. Conditionality Reformulated The Burkina Faso Pilot • Link between results and disbursement is necessary for transition from traditional dialogue • The disbursement of funds should be graduated • A shift to performance based disbursement must be gradual CONCLUSIONS TO DATE - Aid flows European Commission DG DEV B2

  14. Conditionality Reformulated The Burkina Faso Pilot • International developments make focus on performance a necessity (HIPC II, PRSPs) • Focus on policy objectives and performance leads to broader dialogue and... • to a contractual relationship based on mutual obligations. MAIN CONCLUSIONS European Commission DG DEV B2

  15. Macroeconomic support Linked to public finance mgmt Linked to social services delivery Conditionality Reformulated The Burkina Faso Pilot Basic Resources Evaluated by IMF Disbursed in ”all or nothing” form New mechanism for EC Quick Disbursing Support Additional Resources (disbursed in graduated form) Policy Review Public analysis of previous years results using efficiency indicators Size of disbursement dependent upon achievement of targets Institutional support Public analysis of previous years results using outcome indicators European Commission DG DEV B2

  16. Conditionality Reformulated The Burkina Faso Pilot • Can the approach be used/adapted to other donors ? • How could donors implement new approach in light of HIPC II/ PRSPs ? • How to avoid “opaque selectivity” ? ISSUES FOR DEVELOPMENT European Commission DG DEV B2

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