The health sector has attracted significant foreign aid; however, evidence on the effectiveness of this support is mixed. This paper combines household panel data with geographically referenced subnational foreign aid data to investigate the contribution of health aid to health outcomes in Uganda. Using a difference-in-differences approach, we find that aid had a strong effect on reducing the productivity burden of disease indicated by days of productivity lost due to illness but was less effective in reducing disease prevalence. Consequently, health aid appeared to primarily quicken recovery times rather than prevent disease. In addition, we find that health aid was most beneficial to individuals who lived closest to aid projects. Apart from the impact of aid, we find that aid tended to not be targeted to localities with the worse socioeconomic conditions. Overall, the results highlight the importance of allocating aid close to subnational areas with greater need to enhance aid effectiveness.

Purpose The purpose of this paper is to examine the effect of coffee production on poverty among smallholder farmers. Design/methodology/approach National Household Survey data for Uganda were triangulated with qualitative field data. A mix of propensity score matching (PSM) and quantile treatment effect techniques was employed. Findings The results reveal a significant effect of coffee production on poverty reduction, through incremental household consumption expenditure. Households engaged in coffee production are associated with a lower incidence of poverty. The interesting evidence suggests that coffee production is a pro-poor intervention. These findings are confirmed by qualitative assessment that reveals farmers’ welfare improved to greater extent to satisfactory levels from coffee income. Research limitations/implications Econometrically robust strategies were employed to ensure minimal estimation bias; however, the authors are mindful of PSM limitation of selection on observables. Originality/value This paper is part of a limited body of literature that combines quantitative and qualitative assessment, a growing issue in contemporary research. In addition to employing one of the conventional impact evaluation techniques, the paper accounts for heterogeneity in the effects of coffee production.