DFID’s Use of Contractors


Supplementary written evidence from Adam Smith International


  1. Introduction

Adam Smith International is pleased to submit this additional written evidence, primarily to clarify various points submitted in written evidence and raised during oral evidence.


  1. DFID staffing levels

2.1              Contrary to oral evidence, DFID staffing levels have doubled since 2004 not fallen.  In 2004 DFID headcount totalled 1,700. Today it is 3,600. There has also been a major shift off staff to the frontline. DFID now has at least three times as many staff assigned to frontline tasks compared with 2004.

2.2              It is important that the trend towards more international deployment of staff continues. DFID’s people are more effective when they are based in the countries they are supporting. Having some expertise in regional hubs is also valuable. Local knowledge, expertise and pragmatism in DFID field offices are of great importance. To have a close and meaningful working relationship with host country government ministers and civil servants is critical to the success of DFID programmes.


  1. DFID’s openness to global competition

3.1              Contrary to oral evidence, DFID provides the most open and globally competitive market in the world for contracted international development services.   Of the top eleven DFID contractors, four are foreign, five are British and two are multinationalFirms just outside the top eleven also demonstrate a broad range of origins.  For example, IPE, an Indian company, is now a significant player.  Moreover, the team members who implement contracts come from a wide variety of nationalities.  The ownership of the contracted company might be American or German, for example, but the team members will be from the country in which the contract is being implemented, as well as Britons, French, Australians and many others.

3.2              It is extremely misleading to look solely at the country of registration of bidding entities and draw the conclusion that DFID work is cornered by British-owned, British-run and British-staffed firms. Any organisation that makes a serious attempt to secure DFID contracts will certainly set up a base in the UK. This requires a registered subsidiary in order to be able to employ staff and comply with other requirements. This cuts both ways of course. For example, when we decided to enter the Australian market, we naturally set up an Australian subsidiary.

3.3              In contrast, France does not in practice have an open market for contracted international development services.  Little data is available, but firms active in these markets internationally report that they don’t have contracts to implement projects funded with French aid.


  1. Profitability

4.1              The facts demonstrate that DFID contractors are not earning higher than market salaries nor higher than market profits, but the reverse. As set out in written and oral evidence, the facts show that salaries and profits of companies active in this market are significantly below levels in comparable companies, such as multinational professional services companies operating internationally, and that salaries are in line with those in the NGOs. Profit percentages are in single figures, and dividends, if paid at all, are modest.  Our own company, for example, has only paid two dividends in the last five years, amounting to only 3.4% and 1.5% of gross annual profits respectively, (information readily available from our audited accounts filed at Companies House).


  1. Delivery by local individuals and organisations

5.1              The majority of DFID’s programme of contracted services is currently delivered by local individuals and organisations. Oral evidence that it is primarily delivered by British or other international staff is not supported by the evidence. For example, over 90% of our programmes in Pakistan are delivered by Pakistani professionals. In Syria and Nigeria the figure is around 80%. It is not only in conflict-affected countries that these ratios are high; our KEEP education programme team in Kenya is 75% Kenyan, including the Technical Team Leader and the Project Manager.

5.2              A team that combines international and national skills delivers the best value for money. International and national partners have different and complementary skills and experience. Combining international expertise, global best practice and sophisticated management skills with local networks, connections and a deep understanding of the socio-political context is essential if programmes are to deliver results.

5.3              Moreover a remarkable transfer of skills is occurring. As DFID programmes continue, local capacity is developed, and national professionals take the lead. Our flagship Extractives Sector Support Programme in Afghanistan is a good example. We have now fully localised the leadership of the team, with an Afghan Team Leader (Javid Ahmadi) and Afghan Technical Leads. Javid started off as a translator, but as we mentored and developed him over the years he grew into the top leadership role in the project. KS Manu, who started as a National Adviser in our Ghana water project in the 1990s, is now Team Leader of a highly successful water sector reform project in Sierra Leone. We have many other similar examples that demonstrate our commitment to developing local capacity through programme implementation.

5.4              It is also worth stressing that our local partners are all SMEs. This is a common feature of DFID contracts. This approach helps deliver technical advice and support more cost effectively and, through the process, builds capacity of local SMEs. The Somalia Stability Fund (SSF) is a good example of how we have partnered with, and invested in, Somali SMEs to deliver better results, more cost-effectively while leaving a sustainable capacity impact in the host country. For instance, SSF supported the creation of a research unit within the Somali Heritage Institute of Policy Studies and invested in strengthening its capacity to the point that is now a revenue-generating service provider to others.

6              Strong beneficiary support

6.1              Beneficiaries of DFID-funded contracted assistance in developing countries are highly appreciative of the quality of support that they receive. They report major advances achieved as a result. We have gathered many illustrations of the strength of this support and attach some examples in Appendix 1 to this note.


Appendix 1: The views of beneficiaries of contracted assistance


Submission of Written Evidence for International Development Select Committee Inquiry on the Department for International Development’s use of Contractors from Damilola Ogunbiyi


1.0   This submission is made in my capacity as Senior Special Assistant on Power to the President, Federal Government of Nigeria. As part of my role, I act as lead liaison with several development partners who are active in the Nigerian Power Sector.


1.1   My relationship with the Department for International Development (DfID) has been through my management of client agencies, drawing on technical assistance from two major national infrastructure programmes; Nigeria Infrastructure Advisory Facility (NIAF) and Solar Nigeria Programme (SNP), both implemented by Adam Smith International.


1.2   DfID’s commitment to the Nigerian Power Sector and the programme of technical assistance which it provides differs from other development partners in that it is able to move flexibly to match the ambition of Government of Nigeria in addressing power supply challenges, and responds quickly maintaining a firm grasp of the issues across the entire sector.


1.3   The NIAF and SNP programmes continue to meet and exceed the expectations of the administration. The programmes’ broad base of expertise means that they are well placed to assist the Government address several priorities concurrently whilst supporting the overall growth of the sector.


1.4   The NIAF and SNP programmes were particularly supportive in the period following the election of President Muhammadu Buhari. The programmes responded with great speed to the request of His Excellency the Vice-President of Nigeria in the formation of an Advisory Power Team, and laid the foundations for this performance management body to oversee the development of the sector and provide critical project information to the Honourable Minister of Power, Works and Housing during the handover period.


1.4.1         The NIAF team’s ability to support the implementation of a fully staffed Advisory Power Team within the Office of Vice-President within one month was an impressive feat and demonstrated how attuned the Programme is to the needs of the Federal Government.

1.4.2         NIAF continues to structure its advice appropriately for the Federal Government, supporting the Advisory Power Team with a pool of deep institutional and technical knowledge of the Nigerian Power Sector. This is an invaluable source of information and advice which is available on-demand.

1.4.3         The SNP programme has responded dynamically to meet His Excellency the President’s vision of a national solar plan supported through the Office of the Vice-President.


1.5   The contractor model has been vital to NIAF and SNP providing the Federal Government of Nigeria with the right quality of support. As the needs of our government have changed, the programmes have been able to rapidly deploy new resources to meet new challenges. A staff implementation approach would have been less flexible, and Britain would now be a less reliable partner for Nigeria through these critical reform processes.



To:              International Development Select Committee House of Commons

London SW1A OAA


Re: Using privately owned companies to channel aid


Dear Committee:


I am sending this note in support of DFID's approach of using private contractors to channel aid to fragile states such as Somalia.


Although I am a politician, I have been a development practitioner for long time and have worked for non-governmental organizations as well as UN agencies. As a politician, I have engaged and continue to engage various non-state actors in the development community including privately owned companies, which now manage multi-donor funds in Somalia and elsewhere.


The advantages of using privately owned companies to channel aid to developing nations such as Somalia include broadening the diversity of the actors in the development arena, hence reducing 'monopolistic competition' that exists among non-state actors. The point here is not to suggest that NGOs are ineffective. It is to recognize that healthy and non-monopolistic competition encourages innovation in the delivery of aid in Somalia. Another comparative advantage of using contractors is that they often carryout strong due diligence process that requires implementing partners to demonstrate effective implementation capabilities. This reduces waste and harmful aid. Finally, privately owned companies are agile and that flexibility is needed to adapt to the ever-evolving policy environment in a post conflict state-building process context such as Somalia.


These qualities are exemplified by the effectiveness of the Somalia Stability Fund (SSF}, which is managed by a privately owned company. The SSF has been instrumental in the state formation process, rebuilding state institutions, and delivering peace dividend projects in districts recovered from Al-shabaab terrorist group.


Agile and innovative contractors are playing critical role in improving the delivery of aid in Somalia and are supporting my government to achieve long-term developmental goals. I hope DFID will consider this and continue using diverse set of actors including contractors to channel resources and deliver aid.

Submission to the International Development Committee inquiry on DFID’s Use of Contractors relating to support for Cabinet Decision-making in Sierra Leone and Elsewhere in Africa              

I am writing to express appreciation for the valuable support being provided by the UK Government to Sierra Leone and other African Governments through DFID’s Building Capacity for Use of Research Evidence (BCURE) programme. I take this opportunity to provide some details on how this support is already starting to make a difference in how key Government decisions are made.


The BCURE programme is assisting the Africa Cabinet Government Network (ACGN) to improve support for Cabinet decision-making through a strong partnership with Adam Smith International. In-country support has been provided in Sierra Leone, Liberia and South Sudan, with other African Cabinet Secretariats benefiting from a series of international activities.


In Sierra Leone and the other countries involved, all major policies and programmes must be considered and approved by Cabinet. It is in the Cabinet process that the priorities, coordination and cooperation across the government are determined. A more effective Cabinet is thus a key step to increase the nation’s ability to lead and own the strategies and plans, consistent with the New Deal’s emphasis on country-led and country-owned state-building.


Despite the delays caused by Ebola, I am pleased to report that we have made significant progress in improving the use of evidence in Cabinet decision-making in Sierra Leone as a result of the DFID support. A new Cabinet Manual was approved by Cabinet in March 2015 and steps have been taken to implement its new procedures, which require that policy proposals to Cabinet are supported by evidence on options, likely impact, resources required and implementation.


These steps include strengthening the Cabinet Secretariat, with a new Cabinet Policy Review Unit (CPRU) and new Cabinet Implementation Monitoring and Support Unit (CIMSU), and training their staff, as well as establishing a network of trained Cabinet Focal Persons in all Ministries.


Since the new procedures were approved by the Government in March, all Cabinet proposals have complied with the new memo format, which requires Ministers to provide evidence on critical issues, and the CPRU has worked closely with Ministers and their officials to improve the quality of proposals coming forward. CIMSU’s new implementation monitoring system is now operational.


Our priorities this year have been to deepen the capacity of Ministers and line Ministries to seek and assess available evidence more rigorously and use it more effectively in developing proposals for Cabinet.


His Excellency, the President of Sierra Leone, Dr Ernest Bai Koroma, has been at the forefront of the reforms and, from my discussions with him, I know he greatly appreciates the UK Government’s support to make the Government’s decision-making more evidence-informed.


There has also been strong support from Cabinet Ministers. In October 2015, my Office conducted a written survey of 14 Ministers to obtain feedback on the new Cabinet Manual and support to implement it. The result was very positive, with 100% of the responses rating the guidance provided in the new Manual as ‘good’ or ‘excellent’, and all expressing strong approval of the support being provided to implement the new procedures.


Substantial progress has been made in Liberia and South Sudan as well, again despite the impact of Ebola and conflict, respectively. The DFID assistance has supported both Secretariats to develop revised Cabinet Manuals to facilitate evidence-informed proposals and the ACGN/ASI team members have worked with Secretariat staff to build their capacity to encourage greater use of evidence.


It is too early to see the ultimate benefits of any of the improved decision-making, for example in better service delivery on the ground, and it will always be hard to attribute such outcomes to procedural reforms. But we see these as vital to a nation’s development and prosperity. Better decision-making by the Cabinet potentially benefits every sector and every corner of the nation.


I can also report progress in formalizing the ACGN and engaging with other Cabinet Secretariats across Africa. ACGN has held three very successful Roundtable Meetings of Cabinet Secretaries in 2014, 2015, and 2016 in Addis Ababa, Accra and Lilongwe respectively, as well as three international training workshops for policy analysts from Cabinet Secretariats in Kigali, Accra and Entebbe. As a direct result of DFID’s support, 15 Secretariats have now participated in ACGN’s international activities: Botswana, Ethiopia, Ghana, Lesotho, Liberia, Malawi, Rwanda, Sierra Leone, Somalia, Somaliland, South Sudan, Tanzania, Uganda, Zambia and Zanzibar.


I have the privilege of chairing the Roundtable Meetings of Cabinet Secretaries as the President of the Council of African Cabinet Secretaries established in 2014. Based on my discussions with the other participating Secretaries and their formal feedback, I know that all have found the meetings and training very beneficial for their organizations as they support their Governments to make challenging and far-reaching decisions.

ACGN is now formalized as an International NGO registered in Sierra Leone and has agreed to maintain its momentum beyond the current DFID funding through membership contributions and help from other donors for specific projects.


In providing the keynote address at our second Roundtable, the President of Ghana, His Excellency John Dramani Mahama, referred to the meaningful contribution the Network will make to Africa’s development through its peer support for evidence-informed government decision-making on a wide range of development issues. If we can draw more effectively on the experience of other African nations in developing our policies and programmes, then we can avoid making some of their mistakes and benefit from their successes.


Here in Sierra Leone and across the ACGN, we greatly appreciate that the UK Government has recognized both the importance of improving African Cabinet decision-making and the benefits of peer support in doing so. Too many development projects attempt to transplant outside concepts and strategies without regard to the lessons from other parts of Africa.


On behalf of the Sierra Leone Cabinet Secretariat and my African peers, we sincerely thank the UK Government for its foresight and support for the ACGN and its members. We especially express our appreciation for the invaluable contributions by the DFID BCURE programme, Adam Smith International and the team led by Dr Mark Johnston.


Yours sincerely,




Secretary to the Cabinet and Head of the Civil Service, Sierra Leone

President, Council of African Cabinet Secretaries



Honorable Members of the International Department Select Committee:


I am pleased to provide my views on DFID’s use of contractors in Afghanistan.  As the Aid Management Director, I oversee and analyze the official development assistance provided to Afghanistan by all donors.  Since 2002, DFID has been a proactive donor, providing support to Afghanistan in a number of sectors, both bilaterally, and multilaterally through the Afghanistan on-budget mechanisms, for which we are very grateful.  From an aid effectiveness perspective, DFID’s approach to providing bilateral support, particularly in delivering technical assistance through its contractors, has been exemplary.  Our analyses indicate that costs of delivery of technical assistance through DFID’s contractors is very cost effective in comparison with other donors.  Furthermore, we have found that DFID’s model of technical assistance support is very effective as expert provided through DFID contractors (both national and international) are embedded within government institutions and work with them closely on a daily basis.


Shall you require further evidence in this regard, please do not hesitate to contact me.



Mustafa Aria

Director, Aid Management






1.                 INTRODUCTION


1.1             Sierra Leone has substantial deposits of mineral resources, including iron ore, diamonds, gold, rutile, bauxite amongst others. Revenues earned from such resources have the potential to support Sierra Leone to develop an economy sufficiently robust to support improved living standards and improved quality of healthcare and education for their citizens. Currently, Sierra Leone's post-Ebola recovery particularly requires its mineral sector to play a significant role in generating export and government revenues which can be used to finance development. As Sierra Leones' biggest economic sector, the mineral sector plays a major role in reducing dependence on aid from the UK amongst other donors.

1.2             Unfortunately, as in many countries, the minerals sector has historically not led to the prosperity which it is capable of producing. This is generally referred to as the "resource curse" During the civil war revenues from diamonds were a significant contributory factor due to the funding it provided to rebel groups. The tendency for natural resource wealth to generate corruption, bad governance and conflict is far from unique to Sierra Leone. This tendency for natural resources to coexist with poor governance  means that effective governance of Sierra Leone's mineral sector was and still is an essential requirement for Sierra Leone's successful development. The current government has taken significant steps since it was elected in 2007  to reverse the so-called resource curse.



2.1              As part of the UK's substantial commitment to Sierra Leone, DFID has contributed to the establishment of a policy and regulatory framework for the mining sector in recognition of its importance to Sierra Leones' economyThe critical factor in the state ·of Sierra Leone's economy and fiscal position is the performance of the mining sector. DFID has played a key rol in this helping to put in place an international standard  mining sector  institutional and legal framework.

2.2             From 2007 to 2009, DFID funded a two and half year project supporting the 'Ministry of Mineral Resources and other stakeholder groups in improving the governance of Sierra Leone's minerals sector. Key project activities included:


                     Advising  the  Government   of  Sierra  Leone  on  developing   a new institutional  model for the minerals sector;

                      Developing and implementing more effective and efficient procedures for the operation of the Diamond Area Community Development Fund (DACDF) after the fund had been stagnant for a long period;

                      Supporting the Ministry in developing a new strategy for the artisanal mining sub-sector ;

                      Establishing new functions within the Ministry including a Human Resource Management Unit and strengthening communications functions ;

                      Supporting the Ministry in finalising new legislation, in particular a new Mines and Minerals Act and a Diamond Trading Act, the latter seeking to enforce compliance with the Kimberley Process to certify diamonds as conflict free.


                     Supporting              the              development              of              aspects              of              a              new              regulatory framework ;

                      Providing technical assistance and financial support to the United Mineworkers Union;

                      Establishing a Chamber of Mines; and


                      Managing an essential equipment fund for the Ministry for upgrading important infrastructure.




Partly as a result of an improved investment environment, Sierra Leone began to attract interest from mining companies , particularly into its iron ore sector. The opening of two iron ore mines in late 2011 led to an increase in GDP of nearly 20% in 2012, making Sierra Leone one of the fastest growing economies  in  the  world   i20 12Government   capacity   and  investor

confidence have been transformed, with a huge effect on Government revenues.

2.4             Such impressive macroeconomic statistics hide the lack of impact at  the citizen and community level. There unavoidable lead times between the commencement of mining operations and increased government revenue, exports and jobs and business opportunities for Sierra Leonean citizens. However, a failure to translate macroeconomic success into equitable growth and poverty reduction will lead to ongoing suffering and significant social tensions . Thus it is particularly important to ensure that benefits from the minerals sector trickle down to the population.

2.5              In order to manage the increased activity in the sector, Sierra Leone needed institutional reforms to ensure that the revised legislation was effectively enacted and to ensure compliance with the new legislation. Advice resulting from   DFID'project  was  that  a  specialist  regulatory  agency  should be established to govern the sector.




3.1               Following the drafting of crucial legislation and regulations, DFID supported Sierra Leone in the creation of a specialist regulatory agency tasked with promoting investment in Sierra Leone's mining sector. Given the spectacular growth in the minerals sector, establishing a competent and independent regulatory agency was seen as essential for governance of the sector.

3.2              DFID employed contractors to do the following specific activities:


                      Review the draft National Mineral Agency (NMA) Act and define the NMA's objectives, functions and responsibilities and clarify the division of responsibilities between the NMA and the Ministry of Mineral Resources;

                      Conduct              sensitization              of              stakeholders              such              as              Cabinet              members, Parliamentarians, government officials and the public to understand the NMA

Act and ensure full consultation and input to the final Act;


                      Support the establishment of the NMA Board which is responsible for day-to­ day operations, staffing and budget;

                      Provide technical and administrative support to recruiting and training technically  qualified   professionals   to  senior   positions   in  the  NMA  in  a


transparent manner and support the senior staff to recruit mid and junior  level staff;

                      Support the newly recruited NMA staff to develop Human Resource Management Policies, Financial Management Systems and processes related to licensing and monitoring;

3.3              The National Minerals Agency was founded in April 2012 with the National Minerals Agency Act. With DFID support, the Board put a plan in place to recruit high-quality senior management and staff, commencing operations in March 2013. The Organisation is set up to be efficient in enforcing laws and regulations, performing to international standards and staffed with technically qualified professionals. The resulting increase in institutional capacity to regulate the mining sector will see wide-ranging benefits including environmental protection, increases in state revenue, improvement of the health & safety of mine workers, transparency of contracts and concessions, increased investor confidence and investment, and finally significant improvements in economic and social development of Sierra Leone.

3.4              The quality of technical assistance received from DFID has been exemplary and the support and advice of consultants contracted by DFID was invaluable in the successful set-up of the  National Minerals Agency  as well as the drafting of much legislation and regulation for the sector.

3.5               In addition to support to Sierra Leone's Mineral sector, DFID has been supporting Sierra Leone's National Revenue Authority (NRA) for some years and progress has been made in strengthening revenue administration and increasing the quantity of revenue raised. In the current  phase of support, this includes support to the NRA in terms of revenue  collection from  the mining sector. DFID has also provided support to the Ministry of Trade and Industry in the maximisation of local content from the mining industry.

4.                  .              POST CREATION OF THE NMA


4.1               DFID support to the NMA ceased with the commencement of operations of the new agency in March 2013 . Since then, Sierra Leone's minerals sector has suffered as a result of a decline in international prices,  particularly for iron ore, as well as the economic consequences of the Ebola virus. As  a result of fiscal pressures on the Government of Sierra Leone, a consequence of both low mineral prices and Ebola, the NMA has suffered budget reductions.


4.2              With the end of the Ebola virus and the change in ownership in the two big iron ore mines in 2015, economic recovery is to a large extent dependent on  a growing and well governed minerals sector. The NMA is thus a critical institution in ensuring that Sierra Leone's minerals sector leads to broad human development.

5.                  CONCLUSION


5.1              DFID's supply of technical assistance to the Government of Sierra Leone to help establish new mining legislation and regulation and the establishment of the National Minerals Agency has played a significant role in improving governance in Sierra Leone's most important economic sector.

5.2               DFID's use of technical assistance by qualified contractors has been an effective model of assistance given the ability of advisors to introduce international best practice and to train local staff in minerals sector governance.

5.3              We would be grateful if DFID support should continue and be intensified , given the huge importance of this sector to the future of Sierra Leone.








Samburu County Headquarters

PO Box 3- 20600, Maralal

International Development Committee

House of Commons

London SW1A 0AA


Dear Committee,

Re: Partnership with ASI in Samburu County in Kenya


The County Government of Samburu in Northern Kenya has been working closely with Adam Smith International (ASI) in the implementation of the Kenya Essential Education Programme (KEEP) funded by the UK Government’s Department for International Development (DfID). ASI has worked closely with my office from the project design, implementation and quality assurance, highlighting the level of participation of the county government and other stakeholders in the project.


ASI has invested time in allowing the participation of the key leaders, including myself as the Governor of the County, in regards to the design of the project allowing for the identification of interventions that aptly suit the needs of our communities. This bottom–up approach adopted by ASI ensures the design of projects reflect the reality and address the core barriers to education in a county such as Samburu which lags behind in key education indicators.


Through this close working relationship, the County Government of Samburu has leveraged the KEEP project through construction of additional dormitories as safe houses for girls rescued from early and/or forced marriage, classrooms and fencing of schools as part of sustainability measures of the project. ASI identified implementing partners through similar participatory process consulting communities and leaders. This has also led to selection of strong reputable organisations with rich history in working in Samburu County.


One of the many strengths of the partnership with ASI has been the intense engagement with stakeholders including my office, relevant County government departments and communities. This level of engagement ensured participatory project implementation involving all stakeholders taking accountability of donor funds higher.


As part of my commitment to the sustainability of the project as greed with ASI, I have personally overseen, accompanied by other political leaders, the opening of several project activities such as

dormitories and classrooms. This level of engagement is uncommon from development partners that work in our county. ASI has shown the way that county governments play a significant role in ensuring the donor funds are effectively utilised. I therefore welcome further partnership on education, water and health


On behalf of the people of Samburu Government, I will like to thank DFID for their continued support.

Yours Sincerely,

H. E. Moses Lenalkulal

Governor, Samburu County







Monday, 23rd May, 2016


International Development Select Committee





To Whom it May Concern:


Use of Contractors on DFID Programmes: Submission to Enquiry of the International Development Select Committee


I understand the UK Parliament’s International Development Select Committee is currently conducting an enquiry into the use of contractors on development programmes funded by the Department for International Development (DFID). As a long term beneficiary of technical advice funded by DFID and delivered through the Nigeria Infrastructure Advisory Facility (NIAF), I would like to draw the attention of the Committee to the eperience of the Bureau of Public Enterprises (BPE).


The BPE was established by the Federal Government of Nigeria to manage the transition of publicly owned enterprises from government to private sector ownership through concession. The large number of public enterprises across a wide variety of sectors requires specific industry expertise to ensure deals can be structured that are both financially beneficial to the government and profitable to the concessionaire. As you can imagine, it would not be cost effective for BPE to retain sufficient in-house expertise to deliver the planned privatisations effectively. Fortunately, we have been able to benefit from the support of NIAF to address this technical expertise gap.


NIAF has been working closely with BPE since 2010 across a number of sectors both to establish the enabling legislative and regulatory environment necessary to support successful concessions and in structuring the deals themselves. In the power sector privatisation, NIAF was instrumental in the successful unbundling of the Nigerian Electric Power Authority (NEPA) into 18 successor generation and distribution companies establishing the first competitive market for wholesale power in Africa. NIAF was able to deploy experts across the range of expertise, from legal and regulatory to electric engineering, necessary to

deliver this complex privatisation. The programme’s support on managing the labour and pensions issues arising from the privatisation process was integral to our ability to proceed with the power reforms. The resulting policies provided a fair and equitable basis for the power reforms for our current and former employees, and I am firmly of the belief that the privatisation would not have been as successful as it has been without NIAF support. Investment is now flowing in that will enable many poor Nigerians to receive grid electricity.


In the transport sector, NIAF has been working with BPE to establish a new regulatory environment that supports equitable access to multi-modal transport while ensuring that private sector operators can sustainably provide critical transportation services in the roads, rail, maritime and other sub-sectors. NIAF has also provided extensive support to the BPE in developing an outline business case for the concession of the Nigeria Railway Corporation (NRC). In producing the business case, NIAF was able to deploy rail experts, economists, legal experts and safeguards experts to confirm whether there is an economic and financial case for the concession while ensuring social and environmental safeguards are met. The business case will be the foundation of the concession of the narrow gauge rail system, which is so critical to the Nigerian economy.


What has impressed me most over the period of collaboration with NIAF is their ability to identify and deploy such high calibre expertise for short, defined inputs that have delivered such high value. As noted above, it would not be efficient for a public sector entity such as BPE to retain the range of expertise that has been necessary to deliver these critical infrastructure projects. In my experience in public service, the government is typically not able to mobilise short term expertise in a quick and expedient manner and for this reason I am very grateful that NIAF has been so instrumental in supporting BPE deliver its mandate. My understanding is that it is for this reason that DFID makes use of contractors in delivering many of its development interventions across the world and I am deeply grateful for the support we have received from the British Government.


While I understand the current NIAF programme is scheduled to come to a close in December this year, I very much hope that DFID will continue to make available the type of support we have received over the past six years through NIAF to continue in our efforts to deliver high quality infrastructure to help unlock the growth potential of Nigeria.


Please accept the assurances of my highest regards





Dr. Vincent Akpotaire

Ag. Director General




County Treasury,             

Treasury Sq. 

P.O. Box 90440-80100 

Mombasa.                                                                                                                                                     EMAIL: countyfinance@mombasa.go.ke


Ref: CECM/F&EP/05-16/650              23rd May 2016



The International Development Committee,

The House of Commons,

United Kingdom (UK).



I started working with Adam Smith International (ASI) in September 2013. At the time I was the County Executive in charge of Youth, Gender & Sports in Mombasa County. The major challenge at the onset was determining the right strategy to deploy in order to address the issue of youth unemployment. I found the consultants from ASI to be supportive; we seemed to be on the same page when it came to finding solutions to the challenge we had at hand.


ASI at the initial stages of engagement were able to offer valuable expertise by taking the strategic plan we had at the youth department and incorporating realistic interventions which were guided by youth surveys previously conducted by ASI. A key example is the implementation of Labour Market Information and Training Centres (LMITCs); though a priority for the County Government, the initial program needed to be amended to address the needs of the youth as was reflected in the previous surveys carried out. Initially the County Government had planned to set up a One Stop Centre, but the surveys by ASI indicated that at least one centre should be set up in each sub county so as to enable easy access by the youth.


The Kuza Project implemented by ASI is a strong partner for the County Government and their commitment to addressing youth unemployment is evident. We have been able to adhere to agreed timelines on the implementation of programs, and have consistently been able to achieve our targets especially where youth training and job placements are concerned.


The implementing partners who have executed some of our programs are professional and have been engaged in a consultative manner to ensure that we work with organizations that have the right expertise. The structures that have been laid out by The Kuza Project in their engagement with the County Government have also ensured that the program will be run through to completion, regardless of regime.


Hazel Koitaba


County Executive Committee Member,