Aid effectiveness in Mozambique Bruno Leclerc, AFD Maputo 11/06/2010 1. PARTNERSHIP GoM/DONORS – AID IN MOZ. 1.1. Aid and budget 1 internal resources (50 %) external resources (50 %) Budget (on and off) Framework : PARPA, PES, etc. 2 - 30 % aid: GBS - 20 % aid: common funds - 50 % aid: projects - donors - NGOs - vertical funds - others Conclusion: Aid plays a crucial role, with 3 challenges : •aid effectiveness •ownership/partnership •how to reduce aid dependency 1. PARTNERSHIP GoM/DONORS – AID IN MOZ. 1.2. GBS/G19: heart of the dialogue on devt GoM 5 pillars 23 WGs G19 Troïka + Assoc. (USA-UN) Macro Econom. Main tools Political dialogue Heads Mission 4/year Technical dialogue Heads Coop. 1/month Econom. 2/month Govern. Economic Develop. Human Capital Crosscutting - MoU - Annual reviews (2/year) - 2 matrixes (GoM and PAPs/G19) - Database ODAMOZ - Joint works (PEFA, IMF, poverty, etc.) 1. PARTNERSHIP GoM/DONORS – AID IN MOZ. 1.3 SOME GOOD PRACTICES – Dialogue GoM/PAPs (example of "intensified" policy dialogue 12-2009 03-2010) – 12 common funds – Matrix of indicators (1 GoM and 1 PAPs) – Working groups, importance of economists’ WG – Peer review of new GBS agreements – Data base of external aid (ODAMOZ) – Quantity and quality of aid effectiveness reports for Mozambique 2. AID EFFECTIVENESS IN MOZAMBIQUE 2.1. ACHIEVEMENTS Task-Forces - on WGs created in 11/2006 - on DoL created in 08/2007 - merged in 09/2008 What has been done so far: - mapping exercises for 22 donors (G19 + 3) on DoL (3rd year) and on WGs (4th year) - note on good practices for WGs - Training seminars for new WGs focal points/new HOCs - Action plan for aid effectiveness (03/2010) 2. AID EFFECTIVENESS IN MOZAMBIQUE 2.2. ACTION PLAN (03/2010), 8 ISSUES 1. 2. 3. 4. 5. 6. 7. 8. DoL/sectors of concentration : consider overcrowded and orphan sector when preparing new strategies, and be more active in less sectors Non-focal sectors: to be avoided Comparative advantage: OK with self-assessment Delegated cooperation/silent partnerships: may be relevant in some cases Reduction of number of WGs: 2 HOCs to prepare proposals Coordination of analytical work: 2 HOCs appointed Number of activities/projects/agreements: 2 HOCs appointed Technical Assistance/Cooperation: ongoing work Methodology: test ideas at EU level, then go to G19 2. AID EFFECTIVENESS IN MOZAMBIQUE 2.3. CHALLENGES AHEAD GoM assessment in the AR 2010: - Need for restructuration and simplification of the WGs architecture, making them more flexible - Have less members in each WG and allocate donor staff with good technical skills What has to be done: - Work with GoM, wait for and discuss GoM's suggestions Results on the 8 issues of the action plan Continue with annual mapping of WGs and DoL Continue with annual training of new focal pts/new HOCs Report regularly 3. AID EFFECTIVENESS IN MOZAMBIQUE DIVISION OF LABOUR • Interviews end of each year (PAPs and non PAPs), 3 tables – strategies and financial instruments – comparative advantages – sectors of concentration – intentions to actively participate in WGs • 10 sectors of concentration: health, HIV/AIDS, education, agriculture/rural development, environment, transports, water, energy, financial sector, governance • Main results of mapping exercise – Some exit strategies already decided for greater concentration (for example: DK, Irl, S, UK) – Some delegated cooperation, few silent partnerships – Commitments to be more active in less WGs 4. MAIN ACRONYMS AR: DoL: GBS: GoM: HOC: HOM: MoU: PAP: PARPA: PES: WG: Annual Review (of GBS) Division of Labour General Budget Support Government of Mozambique Head of Cooperation Head of Mission (ambassador) Memorandum of Understanding Programme Aid Partner (member of G19, GBS donor) Plano de Acção para a Redução da Pobreza Absoluta Plano Economico e social (social and economic plan) Working Group Thank you for your attention