Try to imagine a well-functioning economy without having secure land tenure and property rights established. Would investors and service providers enter such a risky environment? Would banks be wary of offering and lending? Could conventional commerce or business transactions even operate optimally?
This session looked at the use of output-based aid (OBA) and results-based financing (RBF) in fragile and conflict states; examining experiences in West Bank/Gaza, Nepal and Indonesia. OBA and RBF use innovative financing mechanisms to provide basic services -- like solid waste management, water, transportation and electricity – to the very poor.