Patrick Guillaumont

Performance-based allocation (PBA) of foreign aid : still alive?

Performance-based allocation is a principle for the allocation of development assistance between countries, governed by a simple formula for several decades and considered as accepted wisdom, at least at the multilateral level. An official of one of the major donors once even said: “the PBA is a global public good”. In this chapter we explain first what is the meaning of this common principle, now declined in various formulas, second how it has generated major misunderstandings, undermining its legitimacy, third why the exceptions progressively brought to the principle have limited its impact, and finally which options are opened for the revision, the replacement, or the extension of the PBA.

Un indicateur de besoin d'intégration régionale

In spite of fifty years of presenting regional integration as a key element for Africa’s development, its progress remains stunted by several factors among which the insufficient funding dedicated to integration projects. For increasing this funding and its effectiveness, we need equitable allocation criteria. This paper presents an indicator of the need for regional integration based on the size of the domestic market and the remoteness from foreign markets, taking into account the geographical distance, the possible landlockness and the state of infrastructure. Simulations of the need for regional integration in African countries are proposed in Annex, according to various measurement methodologies.