New development tools or empty acronyms?: the reality behind the Comprehensive Development Framework and Poverty Reduction Strategy Papers

New development tools or empty acronyms?: the reality behind the Comprehensive Development Framework and Poverty Reduction Strategy Papers

Do the IMF and World Bank demonstrate sufficient flexibility with regard to national processes in employing PRSP and CDF tools?

Within the last couple of years there has been a re-examination of how aid is delivered in the light of concerns about its effectiveness particularly for reducing poverty. Whilst "pro-poor" policies are debated, attention has focused on developing integrated frameworks to deliver focussed, coordinated programmes for poverty alleviation whilst emphasising the role of governments and civil society in developing them. The Bank launched the Comprehensive Development Initiative in January 1999, which was followed by the joint IMF-WB Poverty Reduction Strategy Paper in September 1999.

This article examines:

  • What forces have led to these changes
  • What is the Comprehensive Development Framework (CDF)?
  • What is the poverty reduction strategy paper (PRSP)?
  • What are national strategies for Sustainable Development?
  • What changes will the PRSP and CDF bring in practice

Recommendations:

  • The World Bank and IMF need to develop, in consultation with civil society, operational directives for participation to guide staff
  • A major step forward for both the PRSP and CDF is that they advocate coherence between all reform measures.
  • Unless the IMF and World Bank clearly demonstrate that they can be flexible about the contents of programmes they are willing to support then there can be not effective ownership by developing countries.
  • The World Bank and IMF need to change incentive structures so that staff are better rewarded for the effort they put into these processes.
  • The IMF and Bank intend to base their lending programmes and draw their conditionality from the PRSP or national strategy
  • The Bank and Fund must demonstrate flexibility and organise themselves around national processes.

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