Case Study: The Market Systems Diagnostic

To improve how markets function, particularly for the poor and most vulnerable, we need to understand the underlying determinants that indicate whether a market system is becoming more inclusive, competitive and resilient.

To respond to this need, ACDI/VOCA developed a Market Systems Diagnostic methodology for assessing the overall health of a market system, helping inform how our projects are contributing to broader changes within a system as well as providing insightful learning on how market systems function and where interventions can have the biggest impact. This methodology aligns with USAID’s Market Systems Resilience Measurement Framework, a key part of USAID’s Market Systems Resilience Measurement Resources, and the system health tools developed for USAID’s Leveraging Economic Opportunities (LEO) project.

This case study reflects on how ACDI/VOCA has adapted the Diagnostic methodology to the different contexts of its activities in Honduras and Myanmar, on the results observed, and on key learnings for future application.