PRESENTATION: Francois Boulanger, Team Lead, Nodalis Conseil
Enabling low-income people to access urban transport services is critical to reducing poverty and sharing the agglomeration benefits of more populated, denser, and more productive cities. Yet national and local governments in the Bank's client countries typically cannot afford to subsidize urban transport at the levels seen in more developed economies.
The Global Partnership on Output-Based Aid (GPOBA) aims to make the use of government resources more accountable by disbursing public funds based on concrete outputs and results and more effective by targeting the subsidies to the poor. OBA schemes have been used successfully for basic infrastructure services, such as water, sanitation, and electricity, however, applying the approach to mobility services poses specific challenges. In this context, GPOBA is funding a scoping study to analyze how the OBA approach could be applied to urban transport services and develop pilot projects for selected urban areas. The event will discuss the initial findings of the GPOBA study and foster discussion around this important topic. It will also address the key messages and operational recommendations from a new report recently published by the French Development Agency (AFD), focusing on the social and economic rationales for subsidising urban transport.