Considering vulnerability as an aid allocation criterion

In IDA, as in the main multilateral development banks (MDBs) the allocation of aid among eligible countries is ruled by a formula called “performance based allocation“, PBA. With some small differences from one MDB to the other, the formula is intended to determine the amount of aid per capita to be received by each country according to two main indicators, income per capita and “performance”, the latter having an overwhelming weight. Several exceptions, caps, floors, as well as special windows, are also applied to temperate the results of the formula, in particular to address the case of the very large, the very small and the fragile states.

Guillaumont, P. "Considering vulnerability as an aid allocation criterion", PNoWB, Network Review  n°6, septembre 10