Bangladesh: partnership or posture in aid for development?

Government‐donor relations in Bangladesh are shaped by a history of donor dependence and reaction against it. Sustained growth, substantial social sector achievements and a growing proportion of the investment budget serviced from national resources now gives the government confidence and increasing room for manoeuvre. But many in Bangladesh see donor pressure for public sector reform as a sign of low government ownership and a loss of sovereignty in economic management. Donor policies can be seen as a result of ‘group think’ at the top level of agencies, leading to the perception that donors are ‘ganging up’ on the government. Each donor, at implementation level, tends to demand compliance, leaving little room for local interpretation of needs. On the government side the centre—perceiving itself to be weak and subject to sustained criticism—tries to keep a hold on funds and programmes, leaving little room for manoeuvre or discretion on the part of programme‐level officers. The resultant tension between the government and the donor community underlies aid management relationships and stands in contrast to the language of partnership that donors these days propose. This article reviews the concerns of Bangladesh government officials managing aid in regard to donor practices, particularly the difficulties that they perceive in donor conditionality; and donors' seemingly poor appreciation of the government's systems, priorities and limited capacity. Donor perspectives on the other hand are conditioned by the ever‐changing value imperatives of aid as well as the ever‐present need to disburse. Experience with the Local Consultative Group, a donor side initiative to build partnership, illustrates the theme. Copyright © 2005 John Wiley & Sons, Ltd.