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The Matrix System at Work - Independent Evaluation Group - World ...

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APPENDIX C<br />

RESPONSIVENESS AND EFFECTIVENESS OF THE BANK’S COUNTRY PROGRAMS<br />

despite past experience with long-standing implement<strong>at</strong>ion constraints and limits to<br />

institutional capacity.<br />

19. <strong>The</strong> next most common reason for low realism was over-ambitiousness in<br />

lending targets. This was evident in Romania (FY06-09) where lending targets were<br />

high despite the government’s moder<strong>at</strong>e interest in remaining engaged with the<br />

Bank, and the Russian Feder<strong>at</strong>ion (FY03-06) where the Bank proposed a large<br />

lending program in the face of slow disbursement of existing project loans and a<br />

general reluctance to borrow.<br />

20. An over-estim<strong>at</strong>ion of government commitment was evident in about a third of<br />

uns<strong>at</strong>isfactory country programs. In Mauritius (FY02-06), the str<strong>at</strong>egy was bold, but<br />

similar to the previous str<strong>at</strong>egy, which was unable to influence policy reform. <strong>The</strong><br />

government declined to take on two of the three public expenditure reform loans, an<br />

action th<strong>at</strong> may have been predicted given the knowledge th<strong>at</strong> Mauritius often<br />

cancels requests for donor financing. In Ethiopia (FY03-07), the Bank overestim<strong>at</strong>ed<br />

the government’s commitment to priv<strong>at</strong>e sector development, and so made little<br />

progress on key issues in th<strong>at</strong> area.<br />

21. Lack of selectivity also limited a program’s realism. For example, the program in<br />

Ukraine (FY04-07) was set up to support all seven of the country’s development<br />

pillars, and in Cambodia (FY00-03), the program was too broad, placing heavy<br />

demands on limited field-based staff and spreading resources too thin. Figure C. 3<br />

summarizes the frequencies of each of these characteristics among the 65 country<br />

programs with low realism r<strong>at</strong>ings.<br />

Figure C.3. An Overestim<strong>at</strong>ion of Capacity Was the Most Frequent Shortcoming of Unrealistic<br />

Programs<br />

Flexibility<br />

22. In 57 programs—roughly two-thirds of those where a judgment could be made—<br />

flexibility in responding to changes in government demand or changes in country<br />

129

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