Improving Aid Coordination and Effectiveness in BiH Dusanka Basta, Assistant Minister, BiH MoFT Richard Moreton, ACE Project Team Leader Bosnia and Herzegovina Ministry of Finance and Treasury of BiH Sarajevo, 6 October 2009

Aid Coordination and Effectiveness (ACE) Project GOALIndicator 1 To improve the effectiveness of international development assistance by application of Paris Declaration Principles Self-assessment by the BiH Government of adherence to PD principles. Indicator 2 Assessment of volume and effectiveness of external assistance to BiH

PURPOSEIndicator 1 Extent of compliance by Governments and donors with documented architecture and operating procedures The creation and adoption of a functional aid coordination architecture, to facilitate development and improvement of a process of planning, programming and management of external funds in line with BiH development priorities. Indicator 2 Percentage volume of new project funding approved by CoM of BiH as being compatible with development priorities Aid Coordination and Effectiveness (ACE) Project

Outputs to Purpose PURPOSE The creation and adoption of a functional aid co- ordination architecture, to facilitate development and improvement of a process of planning, programming and management of external funds in line with BiH development priorities. OUTPUT 1 Established, adopted and implemented mechanism for the coordination, supervision and monitoring of international aid, driven by national and sector planning priorities. OUTPUT 2 Paris Declaration signed and its principles, in line with the Accra Agenda for Action, applied at all levels of government in BiH and amongst the donor community. OUTPUT 3 The Public Investment Programme (PIP) to become effective as a functional and respected instrument for project programming and funding mobilisation. OUTPUT 4 Effective and efficient operation of the Sector for Coordination of International Aid (SCIA) in coordinating these functions and processes. OUTPUT 5 Capacity of entity ministries responsible for Aid Coordination and PIP improved to coordinate their operation effectively with the SCIA. OUTPUT 6 Board for Coordination of International Aid (BCIA) verified by the Council of Ministers (CoM) and operational as an effective governance mechanism.

SCIA Plans for the Period October 2009 to September 2010 Donor Mapping Report Published BiH endorsement of the Paris Declaration on Aid Effectiveness Baseline Assessment of Paris Declaration on Aid Effectiveness implementation in BiH Written mechanism and procedures for aid coordination MoUs signed with donors committing to new mechanism and procedures

SCIA Plans for the Period October 2009 to September 2010 Unified criteria for project selection and prioritisation at state and entity level Public Investment Programme harmonised with the MTEF and Budget Monitoring and Evaluation guidelines for development projects at state and entity level prepared Preparation of information systems development plan HRD programme for key state and entity aid coordination staff

Responsibilities of MoFT and DEI in Aid Coordination In accordance with the Law on Ministries and other Bodies in BIH :  MoFT of BiH is responsible for “the coordination of international economic assistance to BiH, excluding assistance from the EU” International assistance from all bilateral donors (EU member states and others) and all multilateral donors, except for the European Commission.  DEI is responsible for “the coordination of assistance from the EU to BiH” Programming and coordination of all assistance from the EU provided by the European Commission, predominantly IPA.

Thank you! Questions and Discussion