In 2012, ODI began investigating one of the most debated issues in aid effectiveness: whether and how to provide funds directly to local actors. Through literature analyses, country visits (Guatemala, Liberia and Uganda) and interviews, the project has sought to:
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Analyse the value of localising aid for strengthening systems and organisations in recipient countries.
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Give preliminary guidance to donors on how to localise their aid most effectively.
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Assess any supply-side blockages to localising aid, particularly perceptions of risk.
Ten headline messages have emerged from the research:
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Localising aid to the state can work in all country contexts.
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There is mixed evidence on the overall importance of localising aid.
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Most donors should localise more aid.
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More aid should be localised to the private sector.
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International civil society organisations have an important role to play.
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There is more than one route to aid effectiveness.
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Localised aid is no more risky than non-localised aid.
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Information is still very poorly shared.
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The complexity of systemic change should be operationalised by donor agencies.
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Donors should focus more on principles and human capital than rules.
Localising aid – a challenge to the orthodoxy?
What if much of the orthodox aid effectiveness agenda that has dominated aid discussions for a decade is misguided? And what if the calculations aid givers make when assessing risk are wrong? This event will present the findings of ODI’s Localising...