Can output-based aid work for water?

The World Bank hopes that subsidising tariffs might help attract investment in the water sector. It won’t be simple, reports Frederic Blanc-Brude.

After a long period of neglect, subsidies are now out of the closet and back on the agenda of development banks in the form of ‘output-based aid’ (OBA).

On 4 March, the UK’s Department for International Development committed £20 million to a Challenge Fund with the World Bank to boost the Global Partnership on Output-Based Aid (GPOBA) - a multi-donor ...

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