A New Deal Compact for Somalia
Draft concept note (20 June 2013)
This draft note sets out the proposed elements and principles for developing a New Deal compact in
Somalia. The note has been prepared by the compact working group on behalf of the New Deal High
Level Task Force.
1. Background: What is a compact?1
A compact is both an instrument and a process enabling a host government and international partners
to reach agreement on priority actions requiring a collective effort to move from conflict and fragility
to peace and recovery. It is meant to provide a light yet overarching strategic framework for
coordinating political, security and development efforts towards a clear set of shared priorities for
key national stakeholders and the international community over the short term. The identification of
priorities should be based on an assessment of the drivers of conflict and fragility, including the key
risks for a relapse into violence. In addition, an understanding of required and available funding
should be a key consideration for the setting of key priorities. The development and negotiation of a
compact also provides countries with an opportunity to structure their partnership with the
international community along the TRUST principles of the New Deal and to define the strategy and
mechanisms through which donor funding should be provided. A compact should not be a static
instrument, but a dynamic process whereby key national stakeholders lead a regular and organized
dialogue with the international community to review progress and challenges towards meeting shared
goals. To this end, a compact and the related dialogue mechanism should be supported by a wellresourced compact secretariat.
2. The role of a compact in the current context of Somalia
The proposed objectives of a compact are to:
 Provide a strategic framework and define a limited number of critical and realistic priorities
for peacebuilding and statebuilding in Somalia, within a specific time-frame;
 Strengthen effectiveness of donor interventions and aligning funding behind identified
priorities by establishing a mechanism for coordinating donor financing instruments and
setting out key donor commitments for aid delivery and design of aid operations;
 Establish a mechanism for regular dialogue, joint working and greater mutual accountability
between government and donors.
3. Key elements of a compact
As indicated in diagram 1 three main elements are proposed for a compact for Somalia. These
elements are closely interrelated and will need to be developed in parallel (see section 4).
1
This section is drawn from the draft guidance note from the International Dialogue on Peacebuilding and Statebuilding
1
Diagram 1: Key elements of the compact
Policy framework with
key priorities
Compact
Mechanism for dialogue,
coordination and
monitoring
Financing strategy and
Aid delivery principles
A) Policy framework with strategic goals, key (funding) priorities and commitments against key
priorities
This part of the compact should set out a strategic policy framework which identifies the critical
pillars or goals for peacebuilding and statebuilding in Somalia. This framework could be defined
drawing on the President’s Six Pillar Policy and the five Peacebuilding and Statebuilding Goals
(PSGs)2. Agreement on the overall framework should be reached early on in the process. A brief
overarching vision statement for Somalia should frame this section allowing for the critical pillars to
help realise the vision.
For each of these pillars or goals the compact should identify a limited number of priorities (i.e. not
more than 3 per goal) that require collective action and are critical for sustaining progress in
Somalia. This list should not be comprehensive but focus on the “make-or-break-issues” that, if
unresolved or managed ineffectively could result in protracted violence or conflict or breakdown of
the political process. Priorities could be drawn from existing sector strategies (security, justice, PFM,
stabilization) and identified with the help of existing working group mechanisms. For pillars/goals
where no dialogue mechanism and/or sector strategy is currently in place, a light government-led
prioritisation and consultation process (e.g. through a series of meetings bringing key stakeholders
together) should be convened by the government with international support.
The fragility assessment plays a critical role to help identify and rank priorities in order of
importance. The document and literature review as well as a series of pre-consultations will provide
an opportunity to identify what experts as well communities themselves see as critical issues for
peace and successful statebuilding in Somalia. The final element of the fragility assessment, a series
of workshops in Mogadishu, planned for mid August 2013, will provide an opportunity not only to
2
The 5 PSGs are i) inclusive politics, ii) security, iii) justice, iv) economic foundations, v) revenue and services (includes
PFM).
2
agree on key causes and drivers of fragility and resilience but also to consult and build consensus on
priority actions.
Finally, this element of the compact could also include a set of commitments for each (or selected)
priorities. Such commitments could define key milestones or important actions that will be taken by
the government or the international community in support of a priority. It will be necessary to
monitor and review progress against priorities and commitments (see part C).
B) Overview of financing architecture and principles for aid delivery with international
commitments for improving support
This part of the compact should describe which funding instruments will be used to deliver on the
compact priorities and what mechanism will be created to ensure co-ordination between these
different donor funding instruments. It should clarify the purpose and the division of labour between
various funding mechanisms. It should outline the timeline for transitioning to a new financing
architecture which would reduce complexity and over time progressively use country systems. It is
expected that this part of the compact would be complemented by a supplementary document on the
proposed financing architecture for Somalia.
This part of the compact should also define a set of core principles or benchmarks to guide the
partnership between the government and the international community and to improve aid
effectiveness and aid delivery. These benchmarks would build on the New Deal TRUST principles
and other global commitments on aid effectiveness. These could include, for example the need for
aid to be aligned with overall compact priorities and sector policies and plans, or for government to
be involved in the design and management of aid programmes. This section could also identify a
number of specific commitments from the Somali and international community to achieve the agreed
benchmarks. The compact could cross-reference related documents such as a donor code of conduct
for employment and remuneration of national advisors.
C) Overview of framework for strategic dialogue, aid co-ordination and monitoring including
support arrangements
This element of the compact should provide an overview of the main mechanisms for strategic
dialogue and aid coordination. It will be critical that the compact establishes a regular high-level
dialogue mechanism for key stakeholders from government and the international community to
review progress towards meeting compact priorities and agree on any necessary adjustments. Such a
forum should bring together security, political and development actors. Lessons from other countries
highlight the importance of keeping this forum small to ensure strategic and focused discussion. This
mechanism should be complemented by an aid coordination architecture with regular governmentdonor meetings and sector/thematic working groups, ideally structured according to the key Compact
pillars/goals. It is expected that the framework for dialogue and coordination will be outlined in a
supplementary document which would provide role and responsibilities for each of the suggested
bodies/mechanisms. This document could also identify the support structure(s) which would be
3
required to provide adequate support to support regular dialogue, aid-coordination meetings and to
monitor progress.
Finally, this part of the compact should also set out the main elements of a monitoring and review
mechanism. Progress should be monitored at two levels: i) progress against agreed priorities
identified in the compact (these should track strategic outcomes and progress in delivering key
commitments/actions) 3 , ii) performance of donors against the aid delivery benchmarks and
commitments defined in the compact. Monitoring could combine a regular qualitative review and a
reporting mechanism with a set of indicators. If feasible, a list of indicators to measure progress and
donor performance should be attached as an annex to the compact. Regular reviews (e.g. annually)
will allow to take stock of progress and obstacles to reaching agreed objectives, and will help to
further develop and update the priorities and funding mechanisms.
4. Process and timeline for developing a compact
The timeline for endorsing a compact at the Somalia Brussels conference on 16 September is very
ambitious. It will be necessary to develop the three proposed elements of the compact in parallel
tracks while ensuring close linkages between these different components. It is proposed to set up
three small working groups to advance the development of each element. The working groups will
report regularly to the New Deal High Level Task Force on progress. These working groups would
be kept small and composed of government officials, development partners and civil society (perhaps
with a lead government agency, supported by a lead development partner). In addition a limited
number of high-level discussions with broader government and international community
participation will be convened ahead of the Brussels conference. These high-level preparatory
meetings will be a key vehicle to discuss, negotiate and build consensus on the compact before it is
formally endorsed at the Somalia conference in Brussels. In addition, the multi-stakeholder
workshops for the fragility assessment taking place in mid August will provide an important
opportunity to consult and, if necessary review, the emerging priorities in the compact.
Table: Proposed working group (coordinated through the New Deal Desk)
Working Group
Government
Development partner
representation
support
Policy framework and
priorities
OOP, OPM, MOF
UN, World Bank, EU
Nongovernmental
representation
CSO
Financing Architecture
and delivery strategy
OOP, OPM, MOF
UN, World Bank, EU/donor
CSO
Dialogue/coordination
structure and monitoring
OOP, OPM, MOF
UN, World Bank, EU/donor
CSO
3
The International Dialogue’s Peacebuilding and Statebuilding indicators could be integrated into this list,
supplemented by any additional country-specific indicators.
4
The design of the three elements will be preceded by a general sensitization phase, where agreement
is reached by the High-Level Task Force and between the government and its partners on the role,
purpose and key elements for a compact. This high-level buy-in and consensus is an essential prerequisite to the subsequent design phase. It will require a series of briefings on the compact,
including: i) a briefing for senior government officials, in particular for PSG focal points, ii) a
briefing for the cabinet, iii) a briefing for civil society and parliament, iv) a briefing for development
partners.
Key activities/steps to define strategic policy framework and key priorities
 Sensitize key stakeholders (government, CSOs, parliament) and discuss concept note with
development partners at Brussels core group meeting
 Agree on draft overall framework based on six-pillar policy and 5 PSGs
 Government establishes interim sector working groups or planning/prioritisation mechanisms
for critical areas in the policy framework (e.g. inclusive politics, economic foundations,
revenue & services)
 Compact working group organises briefings for working group focal points to explain
purpose of a compact and role of working groups to identify critical priorities.
 Sector working groups identify critical priorities based on guidance from compact working
group.
 Second Brussels Core Group Meeting discusses overall policy framework and emerging
priorities (late July)
 Circulate first draft of compact to key constituencies
 Consult and refine compact priorities based on feedback from stakeholders and on the basis
of fragility assessment multi-stakeholder consultations
Key activities/steps to define delivery strategy and financing architecture with international
commitments for improving support
 Government/UN/WB/donors workshop on financing architecture and aid delivery principles
to discuss and agree on basic parameters
 Small FGS/development partner working group follows through on design and prepares draft
concept note on financing architecture and draft set of principles, commitments for aid
delivery
 Concept note is circulated to key stakeholders for consultation and summary of key points to
be included in the compact
 Second Brussels Core Group Meeting discusses and reviews concept note (late July)
 Concept note on financing architecture circulated for Brussels Conference
Key activities/steps to define framework for strategic dialogue, aid co-ordination and monitoring
 Government/UN/WB/donors consultations to discuss basic parameters for strategic dialogue
and aid coordination for the New Deal;
 Small FGS/development partner working group follows through on design and prepares draft
concept note on the proposed aid coordination mechanism;
5

Concept note is circulated to key stakeholders for consultation and summary of key points to
be included in the compact;
 Second Brussels Core Group Meeting discusses and reviews concept note (late July)
 Finalized concept note is circulated for Brussels Conference
\
Monitoring Framework
[to be discussed]
6