Slide 1

The Challenge of Challenge Funds

19th November 2013

David Elliott

•Towards a Definition•Design Issues•Diversity of Beneficiaries•Attractiveness to Donors•Results Measurement•The Next Generation

Slide 2

Presentation

Towards a Definition•Competitive business proposals•Grants, loans, technical assistance on a partial or fully matched basis

•Commercial viability and development benefits

•Subsidy required for project to go ahead

Slide 3

Design Issues•Objectives and rationale•Stand alone or part of a programme•Encouraging partnerships or sole beneficiaries•Broadcast or narrow targeting: geographies, sectors, gender, etc

•Levels and types of incentive/reward• In-house or contracted out

Slide 4

Diversity of Beneficiaries•Business Innovation Facility

•Food Retail Industry Challenge Fund

•Afghanistan Business Innovation Fund

•Girls Education Challenge• ‘You Win’ Nigeria

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Attractiveness to Donors•Transparency• Innovation•Efficiency•Leverage•Scalability and

Replication

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Results Measurement•Focus has been on process indicators•Limited evidence on impact•Project impact or systematic change•Additionality or just displacement

Slide 7

The Next Generation•Objectives and Theory of Change more clearly defined

• Increased use of internet technologies•One of a series of interventions•Partnerships encouraged•Either narrowcast or broadcast•Packaged rewards rather than single prizes•More emphasis on impact and results measurement

Slide 8