This video presents three basic elements that distinguish results-based financing from traditional development funding:
1. Service providers of results-based funding projects get paid only if the planned results are achieved
2. Results have been predefined and contractually agreed upon between the parties
"The Application of Results-Based Financing for Urban Transport” webinar focus on urban transport systems, which are crucial for connecting poor populations to jobs, education and health services. As the developing world rapidly urbanizes, there is an opportunity to build safer, cleaner and more inclusive transport systems.
As GPOBA explores the use of OBA in less tested sectors, GPOBA is working with Bank teams to analyze the use of OBA in urban transport. In urban transport, there is a need to find a balance between cost recovery fares and socially inclusive solutions for the poor.
This report discusses the applicability of output-based aid (OBA) to the urban transport sector in cities of developing and emerging countries, and draws recommendations for the design of OBA-financed projects – and, more broadly, of output-oriented pro-poor projects – that address the issues that typically affect the sector.
Despite Chad's recent debut as an oil exporter, its people rank among the world's poorest. Large parts of the country are left in extreme isolation by the lack of a backbone road network that is passable year-round. To tackle the poor internal integration, the government formulated the National Transport Program in 1999.