Key Principles Underlying the New Modes of Aid Governance in Asia

Based on the recent experience of several Asian developing countries and interviews in Vietnam, Indonesia and Laos with aid practitioners from donor institutions and Non Government Organizations (NGOs), this paper investigates ways to improve aid governance with all types of donors, both from public and private sources. It develops a framework for donors and recipients to ensure good governance in the management, administration and evaluation of aid at the national and sub-national levels, based on the key principles underlying the new modes of aid governance in Asia. The framework is anchored on three broad principles: disaggregation, inclusiveness and incentivization.