The U.K. is possibly in for a radical reform of foreign aid, according to The Economist.
U.K. Secretary of State for International Development Andrew Mitchell is open to “radical thinking” when it comes to running foreign aid programs.
The U.K. aid chief, influenced by the Washington think-tank, Center for Global Development, said he intends to encourage a new form of overseas aid known as “cash on delivery,” where donors will disburse agreed funding once partner nations chart specific outcomes such as reducing HIV levels or child mortality. Donors cannot intervene on how such specific outcomes will be achieved, while an auditor decides how financing is disbursed.
The “cash on delivery” concept allows aid-recipient nations to have more control over spending development assistance. CGD chief Nancy Birdsall is delighted that Mitchell is ready to implement this idea.
Mitchell has also vowed to increase aid transparency by posting more official documents on the Department for International Development’s website. A review of the work of U.K.’s partner international aid organizations is also planned.
The British government will end its assistance programs in China and Russia. India, however, will continue receiving U.K. aid.