Does Aid to Domestic Revenue Mobilization Support Tax Fairness? A synthesis of Oxfam research

Overview

Between 2017 and 2022, Oxfam examined aid to DRM from multiple donors provided to multiple low- and middle-income countries.

This synthesis report seeks to draw lessons across these studies. The key issues examined include tradeoffs between efficiency and effectiveness in generating revenues on the one hand, and equity on the other; whether donors support direct or indirect taxation; the progressivity of instruments supported; whether aid to DRM explicitly links revenues to poverty reduction (health, education, social protection); whether aid supports country ownership; and whether aid explicitly seeks to advance gender equality.