Institutional Assessment and Capacity Development: Why, what and how?

This note offers a conceptual framework for dealing with 1) institutional and capacity assessment; and 2) capacity development issues, mainly in the public sector areas. This framework will be particularly useful in the in the preparation of support to sector programmes and budget support exercises. More generally the objective of the note is to enable readers to engage in dialogue with stakeholders and specialists about issues regarding institutional assessment and capacity development, as well as support to capacity development, in design and implementation of sector or budget support operations. The note reflects recent international debates about capacity issues and seeks to translate them into more operational guidance.