German Poverty and Social Analysis Fund (GPSAF)

The German Development Cooperation supports Poverty and Social Impact Analysis (PSIA) at the World Bank through the German Poverty and Social Analysis Fund. The Trust Fund’s broad objectives are to:

• raise awareness of poverty and social impacts of policy reforms in partner countries
• promote evidence-based policy making in partner countries, based on the analysis of poverty and social impacts of policy reforms
• strengthen the World Bank’s policy advice regarding poverty and social impacts of policy reforms
• facilitate closer cooperation between the World Bank and German development agencies

In its first phase (2004-2006), the German Poverty and Social Analysis Fund (GPSAF) provided €1.38million in funding for a total of 22 PSIA studies, for two World Bank staff members to support PSIA work as well as workshops and the development of learning materials on PSIA.

 

In its second phase (2006-2008), the GPSAF will allocate approximately 40 percent of a total of €1.35million to 4 low-income countries: Malawi , Tanzania , Vietnam , and  Honduras . In these countries, the funds will support anchoring the PSIA approach in government institutions. The objective is to facilitate a process where the practice of poverty and social analysis of reforms becomes an institutionalized approach in government units.

 

The remaining funds will provide support in three main areas. Firstly, the funds will support a  capacity development initiative being developed by the donor network on PSIA. Secondly, support will be given to knowledge sharing and learning activities based on the past experiences with PSIA. This will include a review of the outcomes of 17 PSIA studies funded by the GPSAF as well as the development of guidance material in innovative areas, such as the political economy of reforms.

 

Finally, the GPSAF funds will support the dissemination of PSIA findings and the process of policy dialogue related to PSIA in a range of partner countries.