U4 Issue | Development cooperationPublic financial managementBudget process

Direct budget support and corruption

By Ivar Kolstad
Bergen: Chr. Michelsen Institute (U4 Issue 2005:1)

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This publication is from 2005. Some of the content may be outdated. Search related topics to find more recent resources.

How does corruption affect the appropriateness and design of budget support? The aim of this issue paper is to compare the effectiveness of budget support versus that of other aid modalities - in particular project support - in partner countries characterized by corruption. It discusses how corruption affects or mediates the impact of budget support on developmental outcomes such as growth and poverty, but also the impact of budget support on institutional reform.

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