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Aid for Trade and Development Results

A Management Framework

image of Aid for Trade and Development Results

This study presents a tool to help design logical frameworks for results-based management of aid for trade. What are donors and partner countries trying to achieve?  Three different levels of possible objectives (i.e. direct, intermediate and final) are explored. Trade is treated as an intermediate objective, serving as a transmission mechanism, with an increase in the value for trade as the final objective. Six case studies - Bangladesh, Colombia, Ghana, Rwanda, Solomon Islands and Viet Nam - provide a comprehensive overview of the challenges involved in introducing a tool for managing results in an agenda that covers a broad area of interventions that are aimed at building trade-related supply side capacities.

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Managing aid for trade and development results in Rwanda

The case study of Rwanda highlights that both trade and development assistance have played an important role in catapulting the country to the top of Africa’s growth charts. The case study shows that the government has developed a robust set of indicators that span the broad aid-for-trade agenda. While the monitoring and evaluation system is complex and has minor gaps, taken as a whole, it has produced effective implementation. The system is predicated upon a set of output and outcome indicators to be attained through enumerated (and often quantified) policies and actions that begin at the highest level of government and cascade down through the various ministries and agencies. Each level of government has its own outputs/outcomes and associated implementation plan. The government, working with donors, has also established a comprehensive Donor Performance Assessment Framework as part of its administration of official development assistance. Beyond this, the framework is intended to contribute to meeting Rwanda’s 2020 goal of raising incomes to the level where aid of any kind will no longer be necessary. All in all, the case study tends to corroborate the findings of Bruno Versailles (2012c), who concluded that “…Rwanda now boasts what is very close to ‘best practice’ in mutual accountability frameworks”. Nonetheless, this review points to a few ways in which the management of aid for trade might be improved, if at the margin.

English

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