In line with their new priorities and growing responsibilities, IFC and MIGA have adapted and are improving their monitoring and evaluation (M&E). IFC is a leading player among private sector development (PSD) agencies in monitoring, evaluating, and disclosing its development results. It has developed systems for investments (Development Outcome Tracking System—DOTS) and an advisory projects results measurement system. Its indicators and development targets are used in corporate and departmental scorecards, in strategies, and in the IFC Development Goals (IDGs). They are embedded within business processes and are influencing internal staff incentives. IFC uses self-evaluation extensively, with oversight by the Development Impact Department (CDI); it also publishes results data in its annual report.

MIGA’s M&E is constrained by its business model as a political insurance provider. The arms-length nature of its relationship with the project company also limits the scope and depth of M&E. Despite this challenge, MIGA has recently started a self-evaluation system and developed a new Development Effectiveness Indicator System. Management intends to push results measurement further.

This Biennial Report on Operations Evaluation is an evaluation of these systems. It takes stock of the
strengths and weaknesses of the development results frameworks in place for IFC Investment Services, IFC Advisory Services, and MIGA guarantees, and determines whether they (1) provide mechanisms to generate credible, timely, and relevant information; (2) support evidence-based decision making and learning; and (3) improve the performance and results of IFC’s or MIGA’s activities. Where they fall short, this report offers recommendations for improvements.