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2012 DAC Report on Multilateral Aid

2012 DAC Report on Multilateral Aid
Better Policies for Better Lives

2012 DAC Report on Multilateral Aid

Widely seen as an appropriate vehicle for responding to today’s global challenges, multilateral aid plays a vital global role. As they govern the multilateral system jointly and invest increasing amounts of money in it, donors and governments have a responsibility to ensure its effectiveness. Only by working together can they bring about reform. This report is intended as a tool to help policy makers make informed decisions about multilateral aid and support collective efforts to improve it.

Chapters 1 and 2 explore the multilateral aid landscape. Trends in multilateral aid are the subject of Chapter 1, which shows that while core multilateral aid continued to increase slightly – by 5% in 2010 and 1% in 2011 – non-core resources grew at a much faster pace – 8% in 2010. Of all the official development aid (ODA) that donors channel through multilateral organisations, almost 70% is core and only slightly more than 30% non-core – i.e. earmarked for a specific country, region, sector or theme.

How does the growth of non-core contributions affect fragmentation of aid ? Chapter 2 answers that question by explaining that multilateral aid is less fragmented than bilateral aid. It then qualifies that assertion by pointing out that fragmentation increases if non-core multilateral aid to multilateral agencies – also known as “multi-bi aid” – is reattributed from bilateral to multilateral organisations). The chapter concludes that the rationale for providing multi-bi should be given careful consideration.

Chapters 3 and 4 deal with collective efforts to improve the multilateral system. Chapter 3 looks at the different bilateral and joint assessments and finds that there is a high-level of convergence in the criteria they use to rate to rate aid agencies. Chapter 4 takes stock of lessons learned from multilateral aid over the past decade. It presents emerging principles that can serve as DAC’s contribution to discussions within the Global Partnership for Effective Development on ways to reduce the proliferation of
multilateral channels

Keywords : Aid Effectiveness

Publié le 22 avril 2013