Development Cooperation in Fragile Contexts Presentation on the Occasion of the 5th Annual Meeting of the Practitioners‘ Network Isabelle Steimer Promotional Policy, EU & international Development Cooperation Jens Clausen Crisis Response & Governance Asia Contents 1. Financial Cooperation in Fragile States 2. Case Example 1: The Peace Fund in the Democratic Republic of the Congo 3. Case Example 2: Pakistan-Afghanistan-Tajikistan Regional Integration Programme (PATRIP) Financial Cooperation in Fragile States – Escaping the Vicious Circle State-Building; „Legitimate State“ Weak Government Risk of Crisis/ Violence Rapid Successes have Psychological Impact: „Peace Dividend“ Urgent Need of Reconstruction Investment in Economy and Infrastructure 3 Financial Cooperation in Fragile States Areas of conflict in the design of projects in fragile states: Non-Governm. Actors Partners Governmental Actors Sectoral Objectives Objectives Stabilisation Objectives Non-Discrimination Target Group Positive Discrimination Quick Impact Sustainability Structural Reconstr. Predictability Structure Flexibility 44 The Peace Fund in the DR Congo Case Example 1: The Peace Fund in the Democratic Republic of the Congo 5 DR Congo – Situation Then and Now ● Disastrous civil war from 1997 to 2002 ● Peace agreement in 2002 and first free elections in 2006 improvement of security situation; high economic growth rate ● But still… …continuous regional fightings between army and rebel groups …DR Congo is one of the least developed countries in the world …economic situation is marked by high unemployment, high corruption rate and insufficient legal security ● Especially in the east part the trust of the population in the state is very low ● Lack of perspectives leads to incentives to join criminal activities 6 The Concept of the Peace Fund: Creating Perspectives, Supporting Peace-Building ● Three main kinds of projects: ● Social infrastructure, economic infrastructure and agriculture ● Programme Objective: ● The different projects create income and employment ● Regional business circles are stimulated ● Overall Development Objective: ● People get a perspective and lose incentives to engage in criminal activities ● Reconstruction of the State-Society Relationship: People gain trust in their government Peace Fund supports the consolidation of peace and the reduction of poverty 7 The Peace Fund in the DR Congo Main areas of rebel activity Area 1 of the project Area 2 of the project 8 Facts ● The Peace Fund started in 2008 ● Total commitments by the BMZ (German Federal Ministry for Economic Cooperation and Development): EUR 50m (EUR 20m in preparation) ● 45 projects in the regions of Kinshasa, Maniema and Nord-/South-Kivu ● Status quo of project development: ● 472 class rooms built ● 41 health centers rehabilitated ● 2.842 hectares of land re-cultivated ● 446 rural roads rehabilitated ● Rehabilitation of the essential transport axis between Obokote and Punia ● Over 1600 permanent posts created ● More than 70.000 months of short term contracts 9 Project Regions Kinshasa North-Kivu Maniema South-Kivu 10 The Peace Fund: Special Situations need Special Requirements ● Trade-off State <-> NGO: ● Involvement of Congolese government necessary to build up legitimate state But: state often has low capacities and/or little development-orientated policies Alternative: working with NGOs (local NGOs know the needs of the population) ● Solution: the administrative structure of the Peace Fund involves both actors (s. fig.) ● State is involved in the decision process; population observes the state as a supporter of development ● Local NGOs have the possibility to suggest projects (allows Peace Fund to react flexibly with upcoming problems) ● Additionally, the civil society is represented in the Comité de Pilotage 11 Administrative Structure of the Peace Fund German Federal Ministry for Economic Cooperation and Development (BMZ) Provides equity and commitments for projects Mandate of Congolesian Ministry of Planning Contracts Implementation KfW GOPA (Management of Fund) Preselects (Dis-)approves decisions Comité de Pilotage (Composed of members of civil society, church, economy and state) Suggests pre-selection of NGOs (Dis-)approves pre-selection Make suggestions Selects Local and international NGO‘s carry out projects 12 Lessons Learned: Strengths and Challenges of the Peace Fund Strengths ● ysd Challenges ● Quick impact Intensive support ● Large project intervention area needed ● Large target group ● Conflicting interests of state actors ● Employment generation ● Reduced sustainability ● Visibility due to large volume („Light House“) ● Security situation high costs ● High flexibility ● Low capacities of NGO ● Strengthening civil society ● Accompanying measures (DNH, HIV/Aids, Visibility) 13 Outlook ● The fifth stage of the Peace Fund (EUR 20m) is planned to begin at the end of 2012 ● Perspectives: ● Higher integration of governmental administration into the planning process ● Further increase of sustainability of projects ● Higher cooperation between donor organisations ● Additional component: violence prevention in Kinshasa Thanks for your attention! 14 Contact Carla Berke Division Chief Peace and Conflict Division South and Central Africa KfW Development Bank Palmengartenstraße 5–9 60325 Frankfurt am Main Phone: 069 / 7431-3826 carla.berke@kfw.de Philipp Wyrsch Principal Projectmanager Peace and Conflict Division South and Central Africa KfW Development Bank Palmengartenstraße 5–9 60325 Frankfurt am Main Phone: 069 / 7431-4643 philipp.wyrsch@kfw.de 15 Regional Integration of Border Areas Pakistan-Afghanistan-Tajikistan Regional Integration Programme PATRIP Foundation Jens Clausen Division Chief Crisis Response & Governance Asia PATRIP Regional integration of border areas Tajik ● Ethnic groups overlap the border areas between Pakistan – Afghanistan Tajikistan ● Regional integration crossing the border lines is therefore necessary ● This contributes to stabilization of fragile and underdeveloped areas. Baluchi Pashtun 17 Pakistan – Afghanistan – Tajikistan Regional Integration Programme (PATRIP) ● PATRIP is a governance programme in fragile border areas where well – rooted NGOs support (weak) local and provincial governments to find access to the local population which have little confidence in their government. ● Through the PATRIP Foundation international donors provide pooled funds for NGOs. ● Total funds so far provided by PATRIP total to about EUR 20 million. 18 PATRIP Objectives and Concept ● PATRIP aims to improve legal cross-border traffic which will contribute to integration of these border areas and finally to stability ● Programm Area: close border districts in Afghanistan, Pakistan and Tajikistan ● Measures: small to mid-scale social and economic infrastructure ● Selection: by the local communities, local administration and / or by non-governmental organisations ● Implementation: by international or national non- governmental organisations in consultation with local governments 19 PATRIP: Close border Projects Afghanistan -Tajikistan ● Total Funds donated by the German Federal Foreign Office and by Luxembourg for this area: EUR 14 million ● Programme area: the border areas between Afghanistan and Tajikistan ● Main Implementing Partner here is the Aga Khan Development Afghanistan Network (AKDN) Vanj Bridge and river stabilization along Panj river - close border road 20 PATRIP – Projects between Tajikistan and Afghanistan Aga Khan Development Network (AKDN) AKDN: Bridges, roads, river stabilization, transmission lines from Tajikistan to Afghanistan along the border river 21 PATRIP: Border projects between Afghanistan and Tajikistan ● Bridges and adjacent close border markets promote regional exchange ● River bank Vanj Bridge along border River bank stabilization close to border stabilization to preserve agricultural land ● Close border markets stimulate economic development in fragile areas Markets close to bridges and border lines 22 PATRIP – Projects in border areas of Afghanistan - Pakistan Projects in FATA by NGO „CAMP“ esp. roads & bridges across the border Projects in Paktia (AFG) by NGO “ORD“ (e.g. schools for Pakistani and Afghan students in Afghan border area) Projects in Balochistan by NGO “BRSP“ 23 Organizational Set - up The PATRIP Foundation welcomes other donors to provide funds for these border area programme to be implemented by NGOs. 24 Contact Jens Clausen Division Chief Crisis Response and Governance Asia KfW Development Bank Palmengartenstraße 5–9 60325 Frankfurt am Main Phone 069 / 7431-2623 jens.clausen@kfw.de Daniela Henrike Klau-Panhans Principal Projectmanager Crisis Response and Governance Asia KfW Development Bank Palmengartenstraße 5–9 60325 Frankfurt am Main Phone 069 / 7431-2634 daniela-henrike.klau-panhans@kfw.de 25