Disbursement Linked Indicator Approach

Origin Traditional Funding

•

Characteristics

Funding based on input factors

• Expenditures

Issues

• No talk of performance of institutions: • Quality of education • Learning/employability • • • Scale-up of education Research publication and outreach to companies Institutions pursue their goals

Performance-Based Funding

• • • • •

Aim:

To achieve better results Respects institutional autonomy and leadership, and still align institutional goals with development goals Improve Institutional capacity to plan, decide and implement Increase accountability Objective, predictable, and transparent funding allocation • Additionally for the WB: support a government program, pilot an approach to results-based financing, and use of government procurement rules to strengthen capacity



Govt, WB and institutions design a government program: performance and funding agreement to establish Africa Centers of Excellence:

1.

Results: measurable and within control of institution 2.

Disbursements 3.

    Linked to results and Reimbursement of selected costs Costs: Investment line - in budget regular salaries and other recurrent costs– in budget

WB Govt Institution Financing Agreement: nt Results - Disburseme - Costs + TA = Performance Agreement: Same Results - Same Disb.

- Same Costs • Govt only disburses when WB disburses => no financial risk to government

  ◦ ◦ ◦ ◦ DLI 1: Regional specialization endorsed and institutional readiness (800,000) DLI 2: Excellence in education and research capacity and development impact (6,400,000) New short term students in ACE courses of which 30% must be regional students -$400 per student (double regional) New Master students in ACE courses of which 30% must be regional students -$2000 per student (double regional) New PhD students in ACE courses of which 30% must be regional students-$10000 per student (double regional) N# of outreach “periods” for faculty, master and PhD students-2000 per outreach period (double within the region) 5

 ◦ ◦ ◦ ◦ ◦ DLR#2.5: International evaluation and accreditation of quality of education programs.

Amounts: 600,000 per program internationally accredited; 100,000 per program nationally or regionally accrediated; 100,000 per program per gap-assessment certfied or undertaken by an international quality assurance agency; 100,000 per program for self-evaluation a satisfactory international standard; 100,000 per program description meeting international standard

   ◦

DLR#2.6 Published articles in internationally recognized and peer reviewed journals

Amounts: 15,000 per article and 30,000 per article with a regional co-author.

DLR#2.7: Externally revenue generation

◦ ◦ Amounts: US$ 1 per externally generated revenue, and US$ 2 per externally generated revenue from the region

DLR#2.8: Meeting milestones for improved learning and research environment specified in the Performance and Funding contracts.

Amount per milestone: 400,000

  ◦ ◦ ◦ ◦ DLI 3 Timely, transparent and institutionally reviewed Financial Management (400,000) DLI : Timely withdrawal application supported by financial reporting for the ACE account for the period DLI: Functioning Audit Committee under the university council DLI: Functioning internal audit unit for the university DLI : Web Transparency on Financial management (web access to audit reports, interim financial reports, budgets and annual work plan) ◦ ◦ DLI 4 Timely and audited Procurement (400,000) DLI: Timely procurement audit DLI : Timely and Satisfactory Procurement Progress 8

Objective Indicator Minimum target (project duration) Institutional readiness Strengthen education capacity (excellence)      Approval of MoU for regional specialization through the ACEs Creation of ACE endowment fund Signed Govt-ACE Performance agreement with partner agreements N# of new students in ACE courses (30% must be regional students):  New PhD students New Master students New Short term students (min. 40 hours) Strengthen Education Capacity & Dev. impact Strengthen education capacity (excellence) Strengthened research capacity (excellence) Strengthen education and research capacity Strengthened education and research capacity Financial Management  Procurement         $ externally generated revenue       N# of outreach “periods” (faculty and students working 1 months outside of ACEs) International accreditation Gap assessment undertaken by an international QA agency Self-evaluation undertaken following a satisfactory international standards Regional or National Accreditation or ISO Bologna Compliant programs N# of published articles in internationally recognized and peer reviewed journals Improved teaching and learning environment as per approved proposal (institutional specific annual milestones) Timely withdrawal application Functioning Audit Committee Functioning internal audit Web Transparency on Financial management DLI: Timely procurement audit DLI : Timely and Satisfactory Procurement Progress TOTAL         40 200 1,000 200       Institutional and/or 2 program accreditation Gap assessment Self-evaluation Regional accre Bologna compliant 40   $1,200,000 1 annual milestone Timely submission         Expected Disbursemen t  800,000 400,000 400,000 400,000 800,000 800,000 800,000 1,200,0 00 1,600,0 00 400,000 400,000 8,000,00 0 Unit price  800,000   $10,000 $2,000  $400 (x2 for regional students)  $4,000 (x2 for regional periods)  $600,000 (Institutional acc.)  $100,000 (per program acc. And per other quality result) • $15,000 (x2 if co-authored regionally)  $1 (x2 for regional revenue)  400,000 (per annual milestone)  100,000 (per annual milestone)  100,000 (per annual milestone)

We welcome opportunities for collaboration and partnerships hbayusuf @worldbank.org

and Andreas Blom, [email protected]

More info on Africa Centers of Excellence on www.aau.org

WB support and analysis of Africa higher education: www.worldbank.org/afreducation #sci4dev 10