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Progress-linked finance: A study of the feasibility and practicality of a proposed WASH financing approach

ODI's Water Policy Programme will provide an informed scoping study to assess theoretical feasibility of the progress-linked finance (PLF) model and uptake by development actors, developing a number of options for how PLF might work in different contexts.

The key components of the study are:

  1. Desk study to understand PLF's place within the evolving urban infrastructure financing environment
  2. Key informant interviews with urban programme managers and financing specialists to identify strengths, weaknesses, opportunities and threats for PLF as a financing modality.
The study answers questions such as:
  1. What are the transferable lessons from other modalities and sectors?
  2. What are the opportunities and threats in relation to broader political economy considerations, including: legal status of informal settlements and small service providers; financial autonomy of utilities and sub-national government; dynamics of participation and accountability within and between communities and government?
  3. What is the structure and format of PLF pre-agreeements likely to look like?
  4. What are the likely support mechanisms and transaction costs for assisting actors to reach "readiness"?
  5. What is the nature of PLF conditions/criteria?
  6. What are the responsibilities and processes for verification of readiness?

Staff

Nat Mason, Josephine Tucker, Christian Kingombe

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