PHA-Exchange> World Bank PSD

[aviva]

---
Subject: World Bank PSD

I wrote to Clare Short expressing concerns about the Privare Sector 
Development Strategy.

I thought to you would be interested to hear the response from the
British 
Dept of International Development on behalf of the Minister.  These are
the 
main points from the letter I received:

"I would like to reassure you that the UK has been stressing many of
the 
points you make .. for example, private sector interventions from the
World 
Bank will have to be very much set in the context of consultative
country 
owned strategies such as the PRS Papers...

The precise mix between public and private provision will be determined
on 
a country-by-country basis..
"for a vast number of the world's poorest...the only source of provison
now 
and in the foreseeable future for basic social services is from private
sector sources - not-for-profit as well as for-profit."

Re User fees : "the position of the World Bank and DfID is clear -
neither 
supports user fees for primary education and primary health service 
delivery"

the use of output-based aid should be piloted....  we are keen to see
that 
the debate includes evidence on effectiveness.

the Strategy deliberately avoids links to the WTO

"we have extensive evidence that PSD approaches can work to reduce
poverty 
... but a great number of factors need to be taken into account to make
sure they do.."

"there is no way that low-income countries are going to experience 
substantial poverty reduction without far reaching reforms that develop
both the private sector and the public sector"

I plan to respond to this -
best wishes
Nicola Ruck


Nicola Ruck
Health and Development consultant
UK
Email  nicola_ruck at bigfoot.com