Evaluation of the Sida-USAID/DCA Guarantee to Zanaco
The purpose of the evaluation is to inform key stakeholders, i.e. the Embassy of Sweden, the Loans and Guarantee Unit of Sida, the Development Credit Authority (DCA) of USAID, USAID Zambia and Zanaco, about results on activity, output, and outcome levels.
The evaluation includes both a summative and a formative element.
The summative component aims to assess and provide a comprehensive account of the achievements of the programme results in accordance with the five OECD/DAC standard criteria; effectiveness, relevance, efficiency, impact and sustainability.
The formative part of the evaluation will provide evidence-based learning and advice – lessons learned and recommendations allowing for a better understanding of cause and effect relationships between pursued results, and facilitate evidence-based discussion on the way forward by all the stakeholders.
The overarching objective is to determine to what extent the guarantee has contributed to:
- Changes in the bank’s loan appraisal methodology, assessment of risk, capacity to interact effectively with rural clients, etc. Thereby, better enabling the bank to provide loans to people that are not its traditional customers.
- Systemic change in the financial market as it pertains to the banking sector’s risk assessment of agricultural lending, including lending to female farmers and to more remote geographic areas.
The evaluation will apply the DAC criteria for evaluating development assistance: relevance, efficiency, effectiveness, impact and sustainability. This evaluation was oriented towards a participatory approach with methods focusing on both the learning and improvements parts of the evaluation process to maximize utilization.