IDEAS home Printed from https://ideas.repec.org/p/iob/dpaper/2010006.html
   My bibliography  Save this paper

Budget support and policy/political dialogue: donor practices in handling (political) crises

Author

Listed:
  • Molenaers, Nadia
  • Cepinskas, Linas
  • Jacobs, Bert

Abstract

Budget support entered the aid scene at the turn of the millennium and it is considered as the aid modality par excellence to foster ownership and more effective aid through institutional reform. In 2008-2009 a number of political events in aid receiving African countries however pointed at the difficult relation between budget support and (political) governance. The paper analyzes donor policies and practices surrounding policy/political dialogue and budget support and offers a number of policy recommendations on where and how to deal with “political” issues. Based on a desk study carried in March-May 2010 at the request of the Belgian Directorate-General for Development Cooperation, the paper presents a substantial analysis of Mozambique and Zambia where two recent political crises were successfully resolved by five donor countries. The authors argue that using budget support to drive both democratic and economic change is hazardous. Acknowledging the synergy between policy and political dialogue, the paper posits that technocratic and democratic issues should be separated because there are obvious trade-offs between them. Democratic governance issues should be dealt with in a separate high level forum, and in a pro-active rather than reactive way. In addition, donors need to ensure their interventions do not undermine recipient countries efforts to democratize. In effect, they should lower their ambitions: 1) with regard to what they can do: change cannot be bought, it can only be supported; 2) with regard to what recipient governments can do: even when there is commitment, change is most often gradual, not in big leaps. If anything, politics and political savvy should be brought in more, because every reform (however technocratic) is profoundly political.

Suggested Citation

  • Molenaers, Nadia & Cepinskas, Linas & Jacobs, Bert, 2010. "Budget support and policy/political dialogue: donor practices in handling (political) crises," IOB Discussion Papers 2010.06, Universiteit Antwerpen, Institute of Development Policy (IOB).
  • Handle: RePEc:iob:dpaper:2010006
    as

    Download full text from publisher

    File URL: https://medialibrary.uantwerpen.be/oldcontent/container2143/files/Publications/DP/2010/06-Molenaers-Cepinskas-Jacobs.pdf
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Haley J. Swedlund & Malte Lierl, 2020. "The rise and fall of budget support: Ownership, bargaining and donor commitment problems in foreign aid," Development Policy Review, Overseas Development Institute, vol. 38(S1), pages 50-69, May.
    2. Lise Rakner, 2012. "Foreign Aid and Democratic Consolidation in Zambia," WIDER Working Paper Series wp-2012-016, World Institute for Development Economic Research (UNU-WIDER).
    3. repec:unu:wpaper:wp2012-16 is not listed on IDEAS
    4. Susan Dodsworth, 2017. "How Does the Objective of Aid Affect Its Impact on Accountability? Evidence from Two Aid Programmes in Uganda," Journal of Development Studies, Taylor & Francis Journals, vol. 53(10), pages 1600-1614, October.
    5. Arjan de Haan & Ward Warmerdam, 2012. "The politics of aid revisited: a review of evidence on state capacity and elite commitment," Global Development Institute Working Paper Series esid-007-12, GDI, The University of Manchester.
    6. Rakner, Lise, 2012. "Foreign Aid and Democratic Consolidation in Zambia," WIDER Working Paper Series 016, World Institute for Development Economic Research (UNU-WIDER).
    7. Svea Koch & Stefan Leiderer & Jörg Faust & Nadia Molenaers, 2017. "The rise and demise of European budget support: political economy of collective European Union donor action," Development Policy Review, Overseas Development Institute, vol. 35(4), pages 455-473, July.
    8. Vaughn F. Graham, 2017. "Toward a Conceptual Expansion of Ownership and Post‐2015 Global Development Policy: Illustrations from the Jamaican Experience," Development Policy Review, Overseas Development Institute, vol. 35(3), pages 373-395, May.
    9. Molenaers, N. & Gagiano, A. & Smets, L. & Dellepiane, S., 2015. "What Determines the Suspension of Budget Support?," World Development, Elsevier, vol. 75(C), pages 62-73.
    10. Fisher, Jonathan, 2015. "‘Does it Work?’ – Work for Whom? Britain and Political Conditionality since the Cold War," World Development, Elsevier, vol. 75(C), pages 13-25.
    11. Johannes Schmitt, 2017. "Budget Support, Budget Transparency and Domestic Accountability in Mozambique," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 29(1), pages 246-262, January.
    12. Geske Dijkstra, 2021. "Not such a good bargain for (the evidence on) budget support," Development Policy Review, Overseas Development Institute, vol. 39(6), pages 1031-1035, November.

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:iob:dpaper:2010006. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: . General contact details of provider: https://edirc.repec.org/data/iobuabe.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Hans De Backer (email available below). General contact details of provider: https://edirc.repec.org/data/iobuabe.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.