Development Partners Mapping Study Steve Rogers, FAO Consultant

Overview of presentation Aid effectiveness – Paris Declaration, Accra Agenda for Action Background to study Main questions addressed Objective Methods and structure of the report Synopsis of key findings Key messages

Paris Declaration on Aid Effectiveness Five Main Principles: 1. Ownership 2. Alignment 3. Harmonization 4. Managing for Results 5. Mutual Accountability

Key points agreed in Accra Agenda for Action Predictability – donors will provide 3-5 year forward information on their planned aid to partner countries. Country systems - partner country systems will be used to deliver aid as the first option, rather than donor systems. Conditionality - donors will switch from reliance on prescriptive conditions about how and when aid money is spent to conditions based on the developing country’s own development objectives. Untying - donors will relax restrictions that prevent developing countries from buying the goods and services they need from whomever and wherever they can get the best quality and the lowest price.

Background Many development partners providing substantial assistance to the PICs. In July 2007 Pacific Aid Effectiveness Principles signed FAO programming assistance to the Pacific region. Detail and analyse current and planned activities of key development partners in the broader agriculture sector in 14 PICs and in the region.

Main Questions addressed Who are the main development partners providing assistance to the sectors of the study? Where do these partners focus their support (geographically – in which PICs) and which sector areas? How do they deliver their support? What are the strategic frameworks in which this support is provided?

Objective To enhance harmonization and complementarity of development resources based on respective comparative advantages.

Method used for the study Search of websites. Face to face (and telephone) interviews. Questions forwarded to key informants in the region. Study of project documents and development partner. support strategy/policy documents. Study undertaken during February-May 2008.

Structure of the report Short summary report (30 pages) Summary tables Regional overview paper 14 Country overview papers  Because of the breadth of the study (both geographically and across sectors) it cannot be considered exhaustive.  The Mapping Study is available on FAO website

context in which the key development partners to the region are defining their operational focus for assistance to the sector. Development of the primary sectors in the Pacific will only come about in an environment where stability and good governance operates (including law and order). It will be driven by private sector-led activities. Governments have an important facilitating role through :  supporting a strong enabling policy and business environment  improved transport and communications infrastructure  information and skills training  secure access to land and access to affordable financial services Regional integration and a strengthened regional architecture to deliver policy and technical support to the countries in the region are also necessary.

Synopsis of key findings The agriculture sector remains central to economic growth, poverty reduction and food security in the Pacific. Funding has failed to keep pace with need in many countries. Rebuilding rural infrastructure (notably transport systems) and agriculture research and extension systems are seen as priority areas needing support. Much of what happens in agriculture lies in the hands of the private sector, thus providing an enabling environment for private-sector growth has been targeted for support by key development partners in the region. Climate change (mitigation/adaptation) and disaster preparedness are becoming a key focal areas for increased development assistance.

Synopsis of key findings At least 12 international donors, several UN and regional agencies are active in the sectors in the PICs. Development partners have concentrated bilateral assistance in agriculture sectors to relatively few PICs. Bulk of assistance to Melanesian countries. For smaller nations programmes of CROP & UN agencies are particularly important. For many PICs development support (and national budget allocation) to the agriculture sector (particularly for production & productivity) has been relatively small over recent years.

Synopsis of key findings Development partners are paying increasing attention in the way they do business to aid effectiveness, by stressing country ownership, alignment and harmonisation, and managing for development results. Almost all development partners use country-level strategies with linkages to partner country planning, particularly the local national sustainable development strategy. Many PICs do not have strong agriculture sector plans that provide coherent policy framework for investment.

Goals/pillars common to several regional & national strategies/frameworks for cooperation Poverty Alleviation - Achieving Millennium Development Goals – Sustainable Development Food Security Improved Governance Gender Equality (Private sector-led) Broad-based Economic Growth – Improved Employment Opportunities and Income - Equity Sustainable Livelihoods Sustainable Environmental Management – Reduced Vulnerability – Increased Resilience Regionalism – Economic Integration Harnessing Trade for Development Improved Infrastructure Improved Service Delivery Aligning – Coordinating – Harmonising Development Support

Synopsis of key findings Instruments, approaches and modalities The bulk of development assistance is provided as grants Development partners use several different approaches to deliver their development assistance to the PICs. These approaches include: Technical Assistance and Advisory Services Programme funding for CROP agencies Project Assistance Programme Based Assistance Competitive Research Funds Competitive Enterprise Funds Participation Funds Scholarships & Training Opportunities Twinning and Mentoring There are no SWAps in agriculture.

Synopsis of key findings donor coordination All of the major donors have emphasized donor coordination as a tool for improving efficiency. Donor coordination offers the potential to consolidate efforts and overcome high transaction costs. Many PICs have established aid coordination points within their administration to better facilitate donor coordination. But many are struggling to cope with the high demands faced.

Key messages  An anticipated substantial increase in volume of aid to the agriculture and environment sectors will require improved approaches and modalities for delivery.  Whilst there is an increased interest in budget support mechanisms (general and sector) this has not been widely adopted yet in the PICs.  The project approach still dominates in the sector.  Donor fragmentation remains a challenge, and building coherence across development interventions should remain a priority.  Need for more division of labour according to agency comparative advantages.  A robust programme design, based on regional coordination and partnerships, with national implementation, could be an effective and efficient means in coordinating predictable and transparent investment to strengthen food security and sustainable livelihoods in the region!

Agriculture Sector Goals Pillars 2 13 National Development Goals 23 Actions Donor funds Budget TA MTEF 1 Policy dialogue Policy dialogue Aid coordination

And thanks also to all agencies and individuals who kindly shared information for this study.