Context: The Governance Trust Fund (GTF) is a multi-donor, thematic fund, established in November 2010. It comprises financial contributions from the governments of Norway, Sweden and Switzerland, and amounts to USD 6.8 million.
Objective: The GTF provides support to small-scale operations that are not normally eligible for financing through the Bank’s traditional instruments. These operations represent an important learning opportunity for Regional Member Countries and the Bank, as they allow for the testing of new and innovative solutions to persistent governance challenges. They serve as a vehicle for the Bank to engage with different development partners, in particular, with civil society organisations. The GTF is also helping to start the process of mainstreaming governance across Bank operations. This is particularly important in the infrastructure and social service delivery sectors, where governance challenges can be a significant impediment to development.
Key highlights: A total of 21 projects worth USD 6.2 million have been approved. While the GTF’s original mandate was only for three years, the donors granted a no-cost extension of the GTF to November 2016 to ensure that committed resources would be fully used to support the Bank’s governance operations.
The Bank’s Governance Department (OSGE) is responsible for management of the GTF. An independent evaluation of the GTF, conducted in 2014, found that the fund has supported demand-driven, innovative projects that have led to some substantial achievements.