Marian Leonardo Lawson
Analyst in Foreign Assistance
In
most cases, the success or failure of U.S. foreign aid programs is not entirely
clear, in part because historically, most aid programs have not been
evaluated for the purpose of determining their actual impact. The purpose
and methodologies of foreign aid evaluation have varied over the decades,
responding to political and fiscal circumstances. Aid evaluation practices and
policies have variously focused on meeting program management needs,
building institutional learning, accounting for resources, informing
policymakers, and building local oversight and project design capacity.
Challenges to meaningful aid evaluation have varied as well, but several are
recurring. Persistent challenges to effective evaluation include unclear
aid objectives, funding and personnel constraints, emphasis on
accountability for funds, methodological challenges, compressed timelines,
country ownership and donor coordination commitments, security, and agency and personnel
incentives. As a result of these challenges, aid agencies do not undertake
rigorous evaluation for all foreign aid activities.
The U.S. government agencies managing foreign assistance each have their own
distinct evaluation policies; these policies have come into closer
alignment in the last two years than in the past. The Obama Administration’s
Quadrennial Diplomacy and Development Review (QDDR) resulted in, among
other things, a stated commitment to plan foreign aid budgets “based not
on dollars spent, but on outcomes achieved.” This focus on evaluating the
impact of foreign assistance reflects an international trend. USAID put
this idea into practice by introducing a new evaluation policy in January
2011. The State Department, which began to manage a growing portion of
foreign assistance over the past decade, followed suit with a similar policy in
February 2012. The Millennium Challenge Corporation, notable for its demanding
but little-tested approach to evaluation, also recently revised its
policy. While differing in several respects, including their support for
impact evaluation, the policies reflect a common emphasis on evaluation
planning as a part of initial program design, transparency and accessibility of evaluation
findings, and the application of data to inform future project design and
allocation decisions. Aspects of the three evaluation policies are
compared in Appendix A.
Though recent evaluation reform efforts have been agency-driven, Congress has
considerable influence over their impact. Legislators may mandate a
particular approach to evaluation directly through legislation (e.g., H.R.
3159, S. 3310 in the 112th Congress),
or can support or undermine Administration policies by controlling the
appropriations necessary to implement the policies. Furthermore, Congress
will largely determine how, or if, any actionable information resulting from
the new approach to evaluations will influence the nation’s foreign assistance
policy priorities.
Date of Report: February 13, 2013
Number of Pages: 27
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