Education

Improving education, and in particular girls' education, has far reaching economic and social benefits. It is associated with increases in individual income, reduced fertility rates, and improved health and nutrition. Improved education can also play a central role in reducing social inequalities, by decreasing income disparities and promoting participation in society and the political system of those individuals who are most disadvantaged.

The link between education and poverty reduction is reflected in the Millennium Development Goals (MDGs), where two out of the eight goals are directed at improved primary and secondary education. However, developing countries face compelling constraints in achieving universal primary completion, expanding access to secondary education, and ensuring the balanced development of the education sector overall. Some of these challenges are:

  • a narrow tax base and limited resources to finance education;
  • education expenditure that has limited impact on stated goals;
  • uncertainty about the most effective policy solutions; and
  • weak institutions and inappropriate organisational structures which restrict the impact of policy interventions.

OPM has the capacity to support countries in overcoming these constraints by providing a combination of economic analysis, financial management, organisation development and statistical services. OPM’s education work is focused in four areas:

Policy and programme analysis and design

OPM uses a range of analytical tools to support policy dialogue and programme development in the education sector. The sector expenditure reviews and household surveys carried out by OPM have paved the way for debates on the role of the public sector in education financing and provision. Rapid expansion of private schooling in many countries in recent years has made this debate particularly relevant.

OPM has built a strong reputation in using education simulation models to develop policy scenarios within realistic forward resource frameworks. These strategic planning exercises highlight potential resource conflict and help countries clearly understand the tradeoffs they face in choosing particular policies.

Financing mechanisms and public expenditure management

Effective financing mechanisms are needed to ensure that public resources for education reach their intended beneficiaries. OPM works on improving education sector budgetery processes. Key aspects of this work include: advising on the implementation of medium term expenditure frameworks (MTEFs); providing hands-on support to budget officers in developing activity and output based budgets; and designing mechanisms for managing external assistance. OPM contributed to some of the seminal work on sector wide approaches (SWAps) and multi-donor budget support (MDBS). OPM has also conducted detailed analytical work on the effectiveness of demand-side financing mechanisms (conditional cash transfers) and direct grants to schools.

Analysis and development of organisational structures and accountability in education provision

Organisational constraints and weak accountability, particularly to parents and students, can hamper effective service delivery. OPM has conducted several large studies to look at management and control systems in the education sector, focusing particularly on the informal systems of payment and teacher management which can distort incentives for managers and teachers to deliver high quality education. Results from these studies have been used to support organisational change with the aim of improving transparency and accountability at various levels of the education system.

OPM’s work on organisational development is particularly relevant in a climate where many central education ministries are decentralising key management functions and developing partnerships with non-state providers.  

Monitoring and evaluation of education programmes

OPM uses a range of survey instruments (public expenditure tracking, service delivery, household and community focus groups, key informant interviews, and participatory approaches) to understand the impact of education policy reform. As well as serving as a monitoring tool to inform policy makers of changes in coverage and effectiveness of education provision, survey evidence has also been used to analyse demand for schooling and the distribution of public spending on education across different socio-economic groups (benefit-incidence analysis). Work on national education accounts (NEAs) combines data from surveys and routine sources, such as education management information systems (EMIS), to provide a comprehensive picture of expenditure flows in the sector.

Project Examples

Bangladesh Social Sector Performance Survey
Client: Government of Bangladesh
Funder: DFID

Higher and Technical Education Cost and Financing Study
Client: Government of Tanzania
Funder: World Bank

Basic Education in Western Areas of China
Client: Government of China
Funder: DFID

Costing of the PSRP Education Strategy
Client: Government of Pakistan
Funder: DFID

Evaluation of Education Sector Support Programme (ESSP)
Client: DFID Ghana
Funder: DFID Ghana

Medium Term Expenditure Framework for Developing a New Education Strategy
Client: Government of Lesotho
Funder: World Bank

Unit Cost Study for the Ministry of Education Strategic Planning Task Force
Client: Ministry of Education, Government of Zambia
Funder: DFID

Education Impact and Expenditure Review: Andhra Pradesh
Client: Government of Andrah Pradesh
Funder: DFID India