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Evaluation of Thematic Governance Assistance to Sri Lanka

Evaluation of Thematic Governance Assistance to Sri Lanka

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This paper forms part of the Country Assistance Program Evaluation for Sri Lanka conducted by the Operations Evaluation Department.

ADB's governance assistance for Sri Lanka underwent major shifts. During 19952003, support was essentially limited to the Government's economic management agenda and policy reforms, mainly in the key areas of public enterprise reform, public sector management, regulation, and local government strengthening. Subsequently, it was anchored on the broader goals of poverty reduction and reconstruction of conflict-affected areas (20042008). Focal areas comprised pro-poor service delivery, improved public sector expenditure management, resource mobilization, decentralization of public service delivery, corporate governance of state-owned enterprises, and regulatory framework (public utilities, banking, and finance). Notably, governance assistance underscored the mainstreaming of governance in sector investments and the formulation of a service delivery framework, and supported community-based decision making processes to promote equitable access to services.

Programs and projects with explicit governance components after the passage of ADB's governance policy (1995) are still ongoing, having been approved mostly during the first half of this decade. Overall, the performance of governance assistance is rated likely to be partly successful . It is assessed as highly relevant at the time of formulation, likely to be less effective, likely to be efficient, and likely to be sustainable over the medium term. Its overall contribution to development impact is likely to be modest, particularly if existing macroeconomic and political risks persist in the long term.
This paper forms part of the Country Assistance Program Evaluation for Sri Lanka conducted by the Operations Evaluation Department.

ADB's governance assistance for Sri Lanka underwent major shifts. During 19952003, support was essentially limited to the Government's economic management agenda and policy reforms, mainly in the key areas of public enterprise reform, public sector management, regulation, and local government strengthening. Subsequently, it was anchored on the broader goals of poverty reduction and reconstruction of conflict-affected areas (20042008). Focal areas comprised pro-poor service delivery, improved public sector expenditure management, resource mobilization, decentralization of public service delivery, corporate governance of state-owned enterprises, and regulatory framework (public utilities, banking, and finance). Notably, governance assistance underscored the mainstreaming of governance in sector investments and the formulation of a service delivery framework, and supported community-based decision making processes to promote equitable access to services.

Programs and projects with explicit governance components after the passage of ADB's governance policy (1995) are still ongoing, having been approved mostly during the first half of this decade. Overall, the performance of governance assistance is rated likely to be partly successful . It is assessed as highly relevant at the time of formulation, likely to be less effective, likely to be efficient, and likely to be sustainable over the medium term. Its overall contribution to development impact is likely to be modest, particularly if existing macroeconomic and political risks persist in the long term.

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11/05/2014

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Sri Lanka Country Assistance Program Evaluation:
Evaluation of Thematic Governance Assistance
August 2007
Operations Evaluation Department
 
 
CURRENCY EQUIVALENTS
(as of 27 April 2007)Currency Unit — Sri Lanka rupee (SLR)SLR1.00= $0.0092$1.00= SLR109.27
ABBREVIATIONS
ADB Asian Development BankCIABC Commission to Investigate Allegations of Bribery and CorruptionCPI — corruption perception indexGDP gross domestic productOECD Organisation for Economic Co-operation and DevelopmentSOE state-owned enterpriseTA technical assistanceWGI worldwide governance indicator 
NOTE
In this report, “$” refers to US dollars.Director General Bruce Murray, Operations Evaluation Department (OED)Director R. Keith Leonard, Operations Evaluation Division 1, OEDEvaluation Team Leader Njoman Bestari, Principal Evaluation SpecialistOperations Evaluation Division 1, OED
Operations Evaluation Department
 
CONTENTSPage
A. Scope and Purpose 1B. ADB’s Governance and Anticorruption Policies 1C. Country Context 3D. Governance and Corruption Indicators 6E. Governance in ADB Country Strategies and Programs 9F. Lending Operations: Programs and Projects 15G. Technical Assistance 20H. Contribution of the ADB Assistance Program 22I. Overall Assessment of the Governance Assistance Program 23Njoman Bestari (team leader, principal evaluation specialist) was responsible for thepreparation of this evaluation working paper. Administrative and research assistance wasprovided by Caren Joy Mongcopa (senior operations evaluation assistant). Brenda Katon(consultant, evaluation research associate) and Jennifer Simon (consultant, evaluationresearch associate) collaborated with the evaluation team leader in the preparation of thispaper.The guidelines formally adopted by the Operations Evaluation Department (OED) onavoiding conflict of interest in its independent evaluations were observed in the preparationof this report. To the knowledge of the management of OED, there were no conflicts of interest of the persons preparing, reviewing, or approving this report.

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