Protection of Basic Services (PBS III) Results Enhancement Fund (2012-2013)

websitebuilder-hub • 23 September 2018

OpenCities were hired by DFID to help design a performance-based element to PBS III (a multilateral trust fund with funding from the World Bank and a range of bilateral donors) and write the operational manual. 

The key feature of the final design was a system of rewarding superior delivery by regional and local governments. It was proposed that the Fund would have a budget of US$75 million (10% of the total budget for the PBS Program).
As part of this work Dr Stephens co-designed (with a counterpart from the Ministry of Finance) a Results Enhancement Fund that aimed to incentivise strong delivery (in water, roads, education, health and agriculture) by regional governments while taking account of the need to build capacity in weaker regions. He travelled extensively around the country, engaging with local government at various levels, and produced a complete operational manual for the fund. Key sections of the Manual included: overall program design, indicators for assessing performance, planning, basic reward mechanism, equity considerations, scheme for ranking of performance, verification of results, payment systems, responsibilities, institutional arrangements, flow of funds, procurement, reporting, monitoring and evaluation, internal and external audit, non-compliance, corruption, modifications, entry into effect.
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