Publication

This paper discusses an approach to scaling up foreign aid to meet the Millenium Development Goals (MDG) that is explicitly aimed at strengthening local capacity and institutions, including in fragile states. The authors suggest that donors would bind themselves as a group to pay a specific amount for clear evidence of progress against one or more agreed goals in low-income developing countries. Payments would be determined as a function of the outcomes. The authors conclude with a summary of the advantages for donors and recipients.