Aid effectiveness is the impact that aid has in reducing poverty and inequality, increasing growth, building capacity, and accelerating achievement of the Millennium Development Goals set by the international community. Aid effectiveness is about improving the delivery and management of aid so that partner countries can more easily achieve their development objectives.
Since the formal inception of the global aid effectiveness agenda through the 2005 Paris Declaration, the World Bank has embraced and championed it, continuously improving its own processes to implement aid effectiveness principles at the country and institutional levels and shaping the global agenda to focus attention on selected key substantive issues:
• A shift from a discussion about traditional donor harmonization and alignment to one of supporting country-led management with a focus on results
• The expanding role of new development partners, such as middle-income countries and the private sector
• The growing importance of aid as a resource for catalytic change and institutional development
• The emergence of new technologies to increase transparency and accountability
The World Bank Group has focused on promoting the leadership and ownership of its partner countries, improved aid management and more effective institutions, development partnerships beyond aid, transparency, and results.
Recognizing that progress on aid effectiveness at the global, institutional, and country levels is linked, the Bank Group continues its engagement and leadership by participating in international initiatives, partnerships, and platforms; leads and innovates through institutional reforms, policies, and practices; and promotes support for country-led and -owned development efforts.