Working paper
What is most effective – core funding or earmarked funding?
Global challenges and tightened aid spending reinforce the importance of effective development financing. EBA and the German Institute for Development Evaluation, DEval have compiled what we know about the effectiveness of core funding and earmarked funding to multilateral organisations. The review indicates that core funding is more effective than earmarked funding, as it gives greater autonomy and enables strategic and long-term planning. But there are still some evidence gaps.