This note disseminates key lessons learned from a World Bank–financed project in the Republic of Yemen, “Monitoring and Evaluation of the Poverty Reduction Strategy Paper and Reform Programs,” which established and operationalized a Poverty Reduction Strategy Monitoring Unit. The approaches used, such as a study tour to Uganda, focused international training sessions, and the successful work on improving and minimizing the number of indicators, provide some lessons learned for other countries seeking to build M&E capacity. Policy makers learned from Uganda’s good practices of connecting accountability with resource allocation and of the importance of a strong and independent statistics office. The Republic of Yemen’s experience also illustrates the value of having a powerful M&E champion to support such a significant initiative. Finally, the inclusion of civil society organizations in the planning process and in M&E outputs, especially on the central level and on policy matters, increased popular support and was an important factor in building M&E capacity.