Results-based Aid Approach Can Improve Access to Basic Services for the Poor, Says New World Bank Study

News Release No. 2010/1

In Washington:

Cathy Russell, tel. (+1) 202 458 8124 email: crussell@worldbank.org

WASHINGTON, DC, March 25, 2010—Output-based aid (OBA), an innovative approach that ties payment of aid to the delivery of concrete results, has proven advantages over traditional aid approaches and is helping to improve the delivery of basic services to the poor says a new World Bank study released today.

According to Output-Based Aid: Lessons Learned and Best Practices, output-based aid (OBA) is becoming more popular as a way to deliver energy, clean water, healthcare and other basic infrastructure and social services to the poor. OBA can help to make these services affordable for poor customers while at the same time giving service providers an incentive to offer them.