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Measuring outcomes is a critical aspect of outcomes-based financing (OBF) initiatives, determining payments based on pre-agreed achievements. However, early childhood care and education (ECCE) projects face unique challenges in this process due to the multidimensional nature of child development, significant variability across the 0-8 age range, and the diversity of service delivery settings. These factors are compounded by the limited availability of valid, reliable, and contextually appropriate measurement tools.

This practice note explores key issues and considerations for outcomes measurement in OBF for ECCE projects, drawing on real-world experiences from project design to completion. It aims to support OBF for ECCE project designers and inform researchers and practitioners about the complexities and current state of outcomes measurement in the sector.