IFC Core Indicators for Technical Assistance Projects

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1 IFC Core Indicators for Technical Assistance Projects Mark Bardini SME Department IFC BEE Conference Cairo, Egypt December 1, 2005

2 Background & Criteria for Standard Indicators Core indicators for Technical Assistance projects undertaken by IFC regional facilities refined by IFC M&E Department, seven facilities ies and an external consultant Indicators selected on the basis of the following criteria: Relevance: : The extent to which the indicator relates to the types of technical assistance most frequently undertaken by IFC in developing countries. Validity: The extent to which the indicator provides accurate reflection of the underlying concept that is supposed to be measured. Reliability: The extent of potential measurement error. Practicality: The potential for obtaining necessary data in a cost-effective manner.

3 Purpose of Standard Indicators Standard indicators created to track volume, quality, and impact of IFC s s Technical Assistance projects. Goal is to create indicators for each technical assistance area that are relevant, universal, reliable, and relatively easy to collect. Will provide an accurate picture of IFC s s full range of technical assistance work Core indicators will be collected for all technical assistance projects M&E Unit in SME Dept. will assist regional facilities and departments with systems, processes and resources to collect the core indicators

4 How Standard Indicators Are Used to Improve IFC Projects Provides an objective basis for assessing project performance Provides a solid foundation for management decisions Learn Facilitate learning within IFC and external stakeholders, including donors Design Aggregation of TA performance data Assess Implement

5 IFC Regional TA Facilities 6 DFOs currently under IFC management 109 million total expenditure in FY05 7% of IFC staff are engaged full time in DFO work TATF FIAS CBF DevCo DevCo /FPF FPF SGBI SME Initiatives LACP CCF EOF SFMF INCaF IFC Managed GEF Funds PEP-MENA -ME BIDF PEP Iraq SBFF Mozambique SME Initiative Additional DFOs approved: Community Development and Extractive Industries Facility PEP Global Housing Finance Facility IFC-PACE (Phillipines) SLDP

6 Program Logic Model for TA Indicators Outputs Outcomes Impacts Products of Program Activities: Number of Trainings Changes in knowledge, behavior and performance of beneficiaries: SMEs reporting increased skills Benefits accruing to target population: Change in sales Number of Businesses Advised SMEs reporting improved business processes SMEs reporting increased profits

7 Three IFC Programs Three IFC TA Programs selected for standard indicators: Business Enabling Environment (BEE) Access to Finance Business Linkages Indicators also developed for training and advisory services activities

8 Doing Better Business in Burkina Faso Activities/ Activities/ Inputs Inputs Output Output Outcome Outcome Impact Impact Business Registration Consultations with Policy makers on Business Registration Procedures - Legislations drafted/amended Number of legislative acts passed and adopted (lowering time and cost) Increase in number of registered firms Contract Enforcement Assessments to identify key constraints Recommendations for reform, including arbitration Implementation of recommendations (lowering time and costs) Increased number of disputes resolved through courts, arbitration etc.

9 Business Registration Simplification Objective Simplify business registration procedures Outputs Changes in business procedures recommended Outcome Govt implements recommendations-- Reduced time and cost to register Impact 20% increase in business registration

10 Outcome Indicators for Technical Assistance (Training) Construct Learning in terms of knowledge and skills Indicator Training participants perception of the degree to which they obtained new knowledge and skills as a result of training five point scale Data Source Training Participant Survey

11 Output Indicators for Advisory Services and Training Activity Advisory Services Training Indicator Number of advisory service hours provided by IFC and third-parties under contract to IFC (by target group) Number of laws/regulations drafted or contributed to the drafting Number of unique organizations to which advisory services were provided (by target group) Number of training courses provided Number of training participants (by target group) Data Source Number of participant-training training hours provided (by target group) Number of unique organizations that sent individuals for training (by target group)

12 Outcome Indicators for BEE Construct Indicator Data Source Population Outcomes Changes in laws and regulations related to business enabling environment projects Yes/No (based on standard checklist) Program records N/A Changes in relevant administrative procedures Yes/No (based on standard checklist) Program records N/A Transaction cost for specific procedures Total cost (excluding unofficial payments) born by company to complete specific procedures, including fees to government and third-parties (e.g., attorneys) Doing Business SME survey N/A SMEs that completed procedures in the last 12 months Days required to complete specific procedures Time (calendar days) Doing Business or SME survey N/A SMEs that completed procedures in the last 12 months Corruption Value of unofficial payments to public officials SME Survey SMEs in region Policy advocacy by business associations Yes/No (based on standard checklist) Program records and Business Association survey Participating business associations Sustainable business associations Number of dues-paying members Business Association survey Participating business associations

13 Further Information Mark Bardini, Sr. Evaluation Officer, IFC