Many agricultural research systems have performed unimpressively, prompting re- thinking about funding mechanisms. CATFs – or competitive agricultural technology funds – have been adopted in a number of countries in an attempt to make agricultural research and development more efficient, effective, relevant and accountable. Donors have supported this initiative despite the relative lack of evidence as to how and how well they function. Collaborative research co- ordinated by the UK Overseas Development Institute, indicates that although competitive funds offer the potential for significant improvements in performance there are no automatic benefits. Assumptions about benefits may not hold in all contexts, particularly where government commitment is weak.