Prsps emerging lessons issues for asia
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PRSPs – Emerging Lessons & Issues for Asia. Asia Programme Managers Meeting Delhi, May 21 st 2002. Origins of the PRSP Idea. Mixed record on poverty reduction in 1990s (Africa, Transition economies, post-1997 Asia) Findings on aid effectiveness – projects,

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PRSPs – Emerging Lessons & Issues for Asia

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Prsps emerging lessons issues for asia

PRSPs – Emerging Lessons & Issues for Asia

Asia Programme Managers Meeting

Delhi, May 21st 2002


Prsps emerging lessons issues for asia

Origins of the PRSP Idea

  • Mixed record on poverty reduction in 1990s

    (Africa, Transition economies, post-1997 Asia)

  • Findings on aid effectiveness – projects,

    policy conditionality, ownership

  • International Development Targets/MDGs

  • Multilateral funding for debt relief (HIPC II)


Prsps emerging lessons issues for asia

Core PRSP Principles

  • Country-led/owned based on broad-based

    participation

  • Comprehensive – macro, structural, social

  • Long term perspective

  • Results-oriented

  • Costed & prioritised

  • Partnership-oriented


What s new

What’s new?

  • ‘Costed’ poverty reduction strategy linked to macro & fiscal framework

  • Outcome focused; making the links between policy & results

  • Opening-up the policy process to participation

  • New incentives, new partnership possibilities & new forms of aid delivery


Prsps emerging lessons issues for asia

Relevance in Asia?

  • Vast majority of poor people still reside in Asia

  • Pro-poor policy framework linked to resource

    envelope has broad relevance

  • Joining-up macro, structural & social policy a

    challenge everywhere

  • Donors role secondary to domestic constituencies


Prsps emerging lessons issues for asia

But context matters

  • Important differences between Asia & other

  • regions and within Asia itself:

    • Poverty trends & history of anti-poverty

      programmes

    • Politics, planning and institutions

    • Country size and federal states

    • Debt, aid dependence & experience of IFIs

  • Principles rather than Paper or Process


Prsps emerging lessons issues for asia

Asia Update

Country

I-PRSP (Due)

PRSP (Due)

PRGF/PRSC

Apr-Jun 02

Jan-Mar 03

Jan-Mar 03

Apr-Jun 02

Oct-Dec 02

Oct-Dec 02

July-Sept 02

Apr-June 02

Jan-Mar 03

PRGF/PRSC

PRGF

PRGF*

PRGF

PRGF*

PRGF

PRGF*

Vietnam

Cambodia

Bangladesh

Pakistan

Nepal

Indonesia

Lao PDR

East Timor

India

China

Myanmar?

Afghanistan?

* New PRGF arrangement


Prsps emerging lessons issues for asia

‘Global’ Highlights

  • PRSs beginning to provide focus for allocation

    & use of domestic & external resources

  • Policy priorities increasingly backed by analysis

    of poverty & linked to outcomes

  • Some opening of the ‘policy space’ to broader

    participation by domestic constituencies

  • ‘Proto’ linkages with other reform processes

    (budgets/MTEFs, sector strategies)

  • New institutional & donor arrangements


Prsps emerging lessons issues for asia

Ongoing Challenges

  • Links to other national planning processes

  • Role of MoF vs. other central/line ministries &

    devolved authorities

  • Feasibility of targets, relevance of indicators,

    appropriate monitoring strategies, risk analysis

  • Sustaining participatory policy processes

  • Donor coordination / alignment of instruments

  • Countries under stress/poor performers


Prsps emerging lessons issues for asia

What does this mean for DFID?

  • Active corporate/country level engagement in all aspects of the PRS process

  • Move towards greater programmatic/budget support where PRS processes are strong

  • Increasingly separating financing & influencing

  • Longer term commitments to provision of aid

  • Working more multilaterally

  • New/different skills


Challenges

Challenges

  • Ownership vs. conditionality

  • Short term results vs. long term perspective

  • Central (federal) vs. provincial (state) level working

  • Balancing between:

    • Strengthening poverty impact of policy

    • Allowing for flexibility viz. country specifics

    • Meeting fiduciary/risk management concerns

  • Joining-up with other donors and within HMG


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