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An Independent Review of World Bank Support to ... - DAG Ethiopia

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exclusively by balance <strong>of</strong> payments and budget support conditionality and ESW (exceptprocurement reform). The social sec<strong>to</strong>rs were supported mainly by studies and training(studies constituted the only earmarked support given since the mid-1990s).Table 4.6: Use <strong>of</strong> Capacity Building ToolsSec<strong>to</strong>r TA Training ESW/Studies <strong>Support</strong> conditionalityRoad Substantial Substantial Modest SubstantialEducation None Uncertain c Substantial a NegligibleHealth None Substantial Substantial a ModestPublicModest b Modest High HighExpenditureManagementa. Including PER work focused on the social sec<strong>to</strong>rs. Funds have been committed under the CBDSD andPSCAP, but are not broken down by nature <strong>of</strong> support and have for the most part not been utilized.b. On procurement. Some inputs under CBDSD started in 2003/04 but not quantified.c. No records available. Indications are that the <strong>Bank</strong> funded some local training4.51 Usefulness <strong>of</strong> Different <strong>Bank</strong> Instruments: The instruments used by the <strong>Bank</strong>include (i) investment lending, (ii) adjustment lending, (iii) technical assistance lending,(iv) IDF grants, and (v) analytical work.4.52 Investment lending has funded effective training activities in roads, andsubstantial training <strong>of</strong> front-end service delivery staff in health and education. In addition,the instrument has been used <strong>to</strong> promote institutional reform in the roads sec<strong>to</strong>r by tyingappraisal and effectiveness <strong>of</strong> the large, and much desired by government, civil worksprogram <strong>to</strong> agreed reform measures. Investment lending has also been instrumental indelivering organizational change in the core institution <strong>of</strong> the roads sec<strong>to</strong>r.4.53 Investment lending <strong>to</strong> finance sec<strong>to</strong>r-wide investment programs helped <strong>to</strong> ensureappropriate funding <strong>of</strong> all aspects <strong>of</strong> the respective SDPs. However, the <strong>Bank</strong>’s ability <strong>to</strong>influence the direction, scope and quality <strong>of</strong> capacity building activities has been reducedunder this type <strong>of</strong> financing.4.54 Adjustment lending (including PRSC budget support grants) has had mixedsuccess. Indications are that supported actions were implemented only where theimplications <strong>of</strong> the actions agreed (studies and plans) were limited, or where theGovernment would have implemented the actions irrespective <strong>of</strong> the financial support<strong>of</strong>fered (though it is difficult <strong>to</strong> assess if the negotiations with the <strong>Bank</strong> on thesearrangements have focused the Government on important changes it would otherwisehave ignored or delayed).4.55 TA projects have proven difficult <strong>to</strong> implement with serious start up delays. Onlyone objective (CSRCB) has been achieved, and that was an objective introduced by a redesign.It could well be that the experience is a function <strong>of</strong> these instruments beingapplied only in relation <strong>to</strong> public sec<strong>to</strong>r management reform, rather than the nature <strong>of</strong> the28

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