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Three changes the OECD needs to make to guard the poorest in new aid rules

Jeroen Kwakkenbos, Jesse Griffiths

20 Feb 2017 12:56:01

Originally published by Devex It has been a busy couple of years for the OECD’s Development Assistance Committee, the body in charge of determining what can and cannot be counted as “aid” to poor countries, or official development assistance. Major changes to aid have already been made during a year-long process of modernization of the ODA rules, but the biggest change in decades is yet to come. This March, the DAC will decide on how to include what are known as private sector instruments in aid. This could mean a dramatic increase in the use of aid to invest in or give loans to private companies, or to agree to bail out failed private sector projects through guarantees. Without strong safeguards and transparency standards there is a real risk that aid could be used as a backdoor subsidy ...
This paper has been coordinated by the European Network on Debt and Development (Eurodad), with the input of various Civil Society Organisations (CSOs). It provides an analysis, with key recommendations in bold, of the proposals made by the Development Assistance ...

Mixed progress on improving aid quality, but half of aid contracts still go back to rich country firms

Friday November 4 2016 RICH countries need to come clean about how much aid money they plan to use to subsidise their own companies. A ‘Progress Report’ published last night (November 3) by the Global Partnership for Effective Development Co-operation (GPEDC) states that nearly half of the aid money used to procure goods and services still goes back to suppliers in their own country – a practice known as ‘tied aid’. The practice continues even though Global Partnership figures ...
The Organisation for Economic Co-operation and Development (OECD) Development Assistance Committee (DAC) aims to promote greater private sector engagement in development by including allocations to private sector financing instruments (PSI) ...
Eurodad submitted comments to the Global Partnership for Effective Development Cooperation (GPEDC) Monitoring Advisory Group (MAG) consultation on reforming the indicators of the Busan Monitoring Framework. The comments focus on proposed reforms to indicators ...

EU development ministers must step up fight to end extreme poverty

***CSO media reaction to outcomes of the EU Foreign Affairs Council***   12 May 2016 Aid figures published ahead of today’s Foreign Affairs Council meeting showed that the EU is still failing to live up to commitments made more than 10 years ago. The data, which is included in an annual report prepared for this meeting, showed that the EU is only dedicating 0.47% of GNI to its aid budgets, falling far short of the 0.7% promise. Even more worryingly, at least 12.5% of that aid was ...
Ministers and senior officials of developed countries agreed major changes today to what can be counted as Official Development Assistance (ODA, or ‘aid’), opening the door for greater use of aid to subsidise private companies. A push by some states ...

What happened to the good guys?

Jeroen Kwakkenbos

15 Oct 2015 12:36:11

The Danish Government recently announced a cut in its development aid budget of almost 20%, under the guise of reshuffling priorities to address the current migrant crisis in Europe. These cuts were announced less than a week after the Danish Prime Minister presided over the adaptation of the new Sustainable Development Goals (SDGs) where it was made clear that more resources will be needed to meet the objective of ending global poverty by 2030. The SDGs aside, apart from the faulty logic that somehow more can be achieved in promoting development with less resources, this shift is a clear example of national self-interest taking priority over global solidarity as far as eradicating poverty is concerned. It is a huge step backwards for a country that has been seen as a champion of international ...

TOSSD overboard? Will this new acronym spell the end of development aid targets?

Jeroen Kwakkenbos, Jesse Griffiths

02 Oct 2015 10:17:21

The rich country think tank – the Organisation for Economic Co-operation and Development (OECD) – is embarking on a major change to the way that financial flows between rich and poor countries are assessed, which could have major implications for aid, global public goods and private investment. A new way of measuring development finance At the moment, the OECD’s Development Assistance Committee (DAC) measures Official Development Assistance (ODA – or ‘aid’) pretty well. Their statistics are the basis for assessing how many developed countries have met the long-standing target of giving 0.7% of gross national income as aid.  Now, the DAC has set its ambitions much higher. The acronym they’ve chosen is not very sexy – they want to measure ‘total official support for development’ ...