Between high expectations and reality: An evaluation of budget support in Zambia

This report includes the results of an evaluation of general budget support and sector budget support in Zambia. The evaluation assesses how GRZ and cooperating partners have applied the instrument of budget support in Zambia and how the aid modality has given the government the means of implementing national and sector policies related to economic development and poverty reduction. The evaluation also assesses how successfully these policies have contributed to economic development, improved service delivery and the eradication of poverty. Budget support has contributed to these policies, through funding, but also through the policy dialogue, conditionalities and technical assistance.

The evaluation concludes that budget support has helped to realize a number of objectives in Zambia. Budget support was especially effective in sectors and situations where there was strong government ownership and where the government and cooperating partners were in broad agreement about priorities. Nevertheless, the evaluation also concludes that budget support could have been more effective in Zambia. Weaknesses on the part of the government of Zambia as well as a lack of harmonization on the donor side have undermined the potential of the instrument.