“Asif - Yes, aid can be motivated by development fads or political interests, instead of ground realities and recipient preferences, but OBA schemes seek to avoid this because they are demand driven.
It's true the RBF/OBA approach works well in some contexts and not others. Its success depends on factors like access to finance, sustainability of tariffs, demand creation, etc. Ideally, you make sure these macro factors are solid before you begin the project. But I disagree with you on the corruption point - the opportunities for "plunder" and corruption are much less with OBA schemes, since independent verification is an integral part of the funding disbursement process.”