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This guidance note examines how outcomes-based financing (OBF) can be applied to early childhood care and education (ECCE) systems in Sub-Saharan Africa. OBF links funding to verified results, but its effectiveness depends on how well it aligns with system realities.

The note focuses on four key areas: national priorities, governance and financing, service delivery and workforce, and data systems. It highlights common challenges such as gaps between policy and provision, fragmented systems, reliance on non-state providers, and limited data.

Rather than promoting a one-size-fits-all approach, the guidance emphasises designing OBF initiatives that are context-sensitive and aligned with existing systems. When well-designed, OBF can support better coordination, equity, and quality in ECCE.