Reforming Performance-Based Aid Allocation Practice

Mark McGillivray and Thi Kim Cuong Pham ()

World Development, 2017, vol. 90, issue C, 1-5

Abstract: Performance-based aid allocation systems are used by a number of multilateral agencies to allocate aid among developing countries. A number of bilateral agencies also allocate aid on the basis of the performance of recipients, albeit in a less systematic way than these multilateral agencies. This paper points to a number of fundamental problems associated with performance-based aid allocation systems, including a problematic balancing of need and performance criteria, being reductionist with respect to the drivers of effective aid and not being sufficiently nuanced with respect to performance by ignoring a lack of human capital and economic vulnerability in recipient countries. Together with providing a theoretical framework that articulates these issues, this paper introduces and outlines the papers that follow in this Special Section.

Keywords: performance; aid allocation; human capital; vulnerability (search for similar items in EconPapers)
Date: 2017
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Citations: View citations in EconPapers (18)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:wdevel:v:90:y:2017:i:c:p:1-5

DOI: 10.1016/j.worlddev.2015.05.006

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