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ICAI grades for spending directly evaluated (Depts reviewed and >1% UK aid)

How Effective Is UK Aid? Assessing the Last 8 Years of Spending

In our new policy paper, we take advantage of the fact that the impact of UK aid is independently assessed by the Independent Commission on Aid Impact (ICAI). Looking back over 8 years and 65 graded assessments, even with a focus on riskier projects, we find that almost 80 percent of UK aid assessed was well spent. With a spending review on the horizon, HM Treasury will be looking closely at departmental performance and should use ICAI’s findings to shape their allocations. 

R&D ODA by UK, compared to other DAC donors ($ millions)

ODA for Research & Development: Too Much of a Good Thing?

If you line up all countries ranked by their ODA spending on research and development (R&D) in 2017, the UK has spent more than the next 15 combined. This has the potential to generate new technology and ideas that accelerate the increase in living standards we are witnessing across the globe. But for it to fulfil this potential, there are a series of questions that should be considered concerning its allocation.

Chinese flag

Common Values, Common Rules: How Should DAC Countries Engage with China in International Development?

A truly global international development regime should be based on shared values and common rules, while also respecting the wants and rights of recipient countries and societies. If the Development Assistance Committee (DAC)—the “traditional donors”—find common ground and build mutual trust with China, improved understanding and learning, and transparency, may follow.

2018 Aid Transparency Index

UK Aid: Which Departments are Missing Their Transparency Target?

The UK’s 2015 National Aid Strategy committed all departments to be “Very Good” or “Good” on Publish What You Fund’s Aid Transparency Index (“the Index”). We look at a leading indicator of transparency and conclude that, beyond DFID, progress has been almost non-existent. With a spending review to set budgets to 2022 expected next year, departments should take the last chance to step-up their performance and HM Treasury should not renew their spending if they don’t.

A chart of aid quantity (ODA/GNI) vs. aid quality score

How Do You Measure Aid Quality and Who Ranks Highest?

Donors have lost their focus on aid effectiveness in the last decade, limiting aid’s impact. Aid effectiveness still matters enormously to the world’s poor; donors should revisit effective aid principles and agree measures which take better account of today’s challenges and context.

The International Finance Facility for Education: The Wrong Answer to the Right Question?

Donors are considering a proposal for a new “innovative finance mechanism” to increase funding for education, based on recommendations from Gordon Brown’s Education Commission. We agree that we need to finance an expansion of education in the developing world. But sadly, the International Finance Facility for Education (IFFEd) proposal is too good to be true. Using donor guarantees to increase lending by multilateral banks could increase the supply of loans—but there are simpler ways to do that without setting up a new facility.

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