EFA: Resource Mobilization and Aid Effectiveness

1
EFA Resource Mobilization and Aid Effectiveness

• Presentation to the EFA Working Group Meeting,
  UNESCO, Paris, July 19-21, 2005
• Soe Lin, Advisor, Harmonization Unit
• World Bank

2
Outline of Presentation

• MDG Context
• Changing environment for resource mobilization
• Refocusing resource mobilization
• Significance of Paris Declaration
• What it means for EFA-FTI programming
• Building a stronger FTI platform
• Key Messages

3
MDG Context
4
Meeting Commitments on MDG Agenda

• The MDGs and the Monterrey Consensus created a
  powerful global compact for development
• The compact anchored on mutual accountability
  explicitly recognized the close interlinkages
  between addressing debt, trade, levels of aid and
  aid effectiveness.
• Rome and Paris High Level Forums provided
  framework for improving aid effectiveness and
  mutual accountability for results
• Credibility of commitments will be tested by
  quality of implementation
• There is both good and bad news on the EFA front

5
Several regions are off track to achieve
universal primary completion by 2015
6
Two million additional primary school teachers
are needed in Africa by 2015
7
Low-income countries are spending more on health
and education
8
ODA is rising but short of what is needed
Donors need to raise their post-Monterrey
commitments and extend them beyond 2006
9
Changing environment for resource mobilization
10
ODA projections following Gleneagles G-8 Summit

• Official Development Assistance projected to
  increase from 79 billion in 2004 to 129
  billion in 2010-- by around 50 billion.
• Aid to Africa expected to double from 25 billion
  to 50 billion
• Part of projected increase reflects emergency
  aid, debt relief, and technical assistance
• But usable financial resources for development
  programs will increase in the next several years
  to record levels.
• Resource mobilization environment for EFA has
  improved

11
Strong commitment for education ODA

• Education ODA in 2002 was 5.9 billion or about
  8 of total ODA
• Between 2000-2002 it increased by 23
• G-8 leaders reaffirmed importance of education
  for development and commitment to support EFA
  agenda in Africa
• We will work to support the Education for All
  agenda in Africa, including continuing our
  support for the Fast Track Initiative (FTI) and
  our efforts to help FTI-endorsed countries to
  develop sustainable capacity and identify the
  resources necessary to pursue their sustainable
  educational strategies.

12
But financing gaps remain large

• FTI Secretariat has estimated that if 65
  additional countries are to achieve universal
  primary education with gender equality, required
  funding levels will at a minimum increase by 3.7
  billion per year.
• This increase alone represents 4.7 percent of ODA
  in 2004

13
Refocusing Resource Mobilization
14
A multi-pronged approach to accelerate progress

• Anchor efforts to achieve the MDGs in country-led
  development strategies that aim higher
• Partner countries improve policy environments for
  growth, private sector development, investment.
• Strengthen good governance and institutional
  building
• Scale up human development services
• Substantially increase the level and
  effectiveness of aid

15
Broader perspective on resource mobilization

• Mobilizing resources to close large financing
  gaps for EFA when donor aid commitments are
  increasing substantively, pose a different
  challenge

16
Broader perspective on resource mobilization
-continued

• Continue efforts to raise profile of education
  and EFA in the fora and agendas of development
  financing.
• Key is to help develop and implement country-led
  sustainable education strategies
• This can have large payoffs in resource
  mobilization

17
Significance of Paris Declaration on Aid
Effectiveness
18
Paris Declaration

• Paris Declaration built on platform of ownership,
  harmonization, alignment, managing for results
  principles, mutual accountability
• Who signed it?
• 35 donor countries
• 26 multilateral donor agencies.
• 56 countries that receive aid.
• 14 Civil society organisations
• more effective aid
• 56 specific commitments.
• 12 Indicators of progress.

19
Targets agreed (9) and under discussion (3 square
bracked ) for 2010 (1/1)
20
Targets agreed and under Discussion for 2010 (2/2)
21
Targets Under Discussion for 2010 (3/3)
22
What It Means for EFA-FTI Programming
23
Supporting and implementing EFA-FTI effectively

• Partner Countries
• Lead in articulating country education
  strategy/priorities
• Properly cost the strategies,specify medium
  expenditure frameworks, prepare annual budgets
• Improve public financial management, procurement
  systems
• Define capacity building needs linked to
  national/sector strategies

• Donors
• Align support with country-led strategy/priorities
  
• Provide financial support on budget
• Provide technical cooperation through
  multidonor/coordinated arrangements.
• Use country systems and procedures for
  budgeting, accounting, auditing, financial
  reporting, procurement
• Reduce number of parallel project implementation
  units

24
Supporting and implementing EFA
effectively-continued

• Partner Countries
• Develop and monitor performance assessment
  frameworks
• Undertake independent or joint assesssments (with
  donors) in meeting commitments

• Donors
• Disburse aid resources in accordance with agreed
  schedule
• Continue making progress on untying aid
• Support program based approaches in education
  sector, using common arrangements for funding,
  procurement, reporting
• Increase number of joint missions and analytic
  work

25
Selected examples of good practices

• Bangladesh Primary Education Program (PEDP 11)
• Mozambique Performance Assessment Framework
• Ethiopia Public Sector Capacity Building Program
• Bolivia Education Swap
• Norway/Sweden reciprocal delegated cooperation in
  education and health sectors

26
Building a Stronger FTI Platform
27
Evolving FTI

• FTI shifted focus to country-led process
• Focus on country program development and resource
  mobilization
• Key role of Country Coordinating Agency in
  program endorsement
• Increased donor coordination and harmonization
• Capacity development support through Education
  Program Development Fund
• Resource mobilization through Catalytic Fund
• FTI Partnership provides global development
  platform

28
To conclude

• The FTI has taken on board key characteristics of
  a global partnership that mobilizes resources at
  country level to support sound/credible
  country-led education sector plans within the
  context of a completed PRSP
• Indeed, the promise of additional resources is
  galvanizing political momentum for bolder and
  more ambitious actions.

29
To conclude-continued

• The FTI has evolved in a way that is well placed
  to shoulder burden of education sector
  development and facilitate achievement of all EFA
  goals in low-income countries.
• Guided by the Paris Declaration commitments, the
  partner country and its donors can ensure that
  the totality of the resource and aid package is
  consistent with a holistic education program.