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From the Theory of Aid Effectiveness to the Practice: The European Commission's Governance Incentive Tranche

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  • Nadia Molenaers
  • Leen Nijs

Abstract

Around the turn of the millennium a growing consensus emerged on the dos and don'ts of development assistance, based on lessons drawn from failed aid. Donors now increasingly see aid as a leverage to induce or support governance reforms in recipient countries. The EC, which considers itself to be a forerunner of the new aid approach, has recently launched a new instrument to incentivise such reforms: the 'Governance Incentive Tranche'. However, the evidence presented in this article suggests that, in design and practice, the incentive tranche is surprisingly similar to some of the unsuccessful aid modalities of the past. Copyright (c) The Authors 2009. Journal compilation (c) 2009 Overseas Development Institute..

Suggested Citation

  • Nadia Molenaers & Leen Nijs, 2009. "From the Theory of Aid Effectiveness to the Practice: The European Commission's Governance Incentive Tranche," Development Policy Review, Overseas Development Institute, vol. 27(5), pages 561-580, September.
    • Handle: RePEc:bla:devpol:v:27:y:2009:i:5:p:561-580
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    Cited by:

    1. Molenaers, Nadia & Dellepiane, Sebastian & Faust, Jorg, 2015. "Political Conditionality and Foreign Aid," World Development, Elsevier, vol. 75(C), pages 2-12.
    2. Larsen, Rasmus Kløcker & Mamosso, Christiane Alzouma, 2014. "Aid with Blinkers: Environmental Governance of Uranium Mining in Niger," World Development, Elsevier, vol. 56(C), pages 62-76.
    3. Koch, Svea, 2015. "A Typology of Political Conditionality Beyond Aid: Conceptual Horizons Based on Lessons from the European Union," World Development, Elsevier, vol. 75(C), pages 97-108.
    4. Hackenesch, Christine, 2015. "It’s Domestic Politics, Stupid! EU Democracy Promotion Strategies Meet African Dominant Party Regimes," World Development, Elsevier, vol. 75(C), pages 85-96.
    5. Matthew Dornan, 2017. "How new is the ‘new’ conditionality? Recipient perspectives on aid, country ownership and policy reform," Development Policy Review, Overseas Development Institute, vol. 35, pages 46-63, July.
    6. Stephen Brown, 2016. "Putting Paris into practice: Foreign aid, national ownership, and donor alignment in Mali and Ghana," WIDER Working Paper Series wp-2016-145, World Institute for Development Economic Research (UNU-WIDER).
    7. Hackenesch, Christine & Leininger, Julia & Mross, Karina, 2020. "What the EU should do for democracy support in Africa: Ten proposals for a new strategic initiative in times of polarisation," IDOS Discussion Papers 14/2020, German Institute of Development and Sustainability (IDOS).
    8. Stephen Brown, 2016. "Putting Paris into practice: Foreign aid, national ownership, and donor alignment in Mali and Ghana," WIDER Working Paper Series 145, World Institute for Development Economic Research (UNU-WIDER).

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