{RE-}EMERGING AS DONOR Russia - PowerPoint PPT Presentation

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{RE-}EMERGING AS DONOR Russia

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... granted to countries, which declared their 'socialist orientation' significant contribution to development of many countries ... – PowerPoint PPT presentation

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Title: {RE-}EMERGING AS DONOR Russia


1
RE-EMERGING AS DONORRussias Participation In
Global Development Cooperation
  • Alexander Alimov
  • Department of International Organizations
  • Ministry of Foreign Affairs
  • of the Russian Federation

2
Russia long history of engagement
  • Russia being the Soviet Union successor has a
    long history of engagement in development
    cooperation
  • USSR one of the worlds major donor states and
    creditors
  • considerable amounts of external assistance
  • aid policy largely determined by ideological
    considerations, granted to countries, which
    declared their socialist orientation
  • significant contribution to development of many
    countries
  • necessary institutional arrangements in place
  • 1990s Russia transformation to a recipient of
    international aid
  • exodus from recipient countries
  • no new conceptual policy framework for
    international assistance
  • no special decision-making body set up to ensure
    implementation of such a policy
  • USSR legacy, including debt assets and
    liabilities
  • financial and technical support from
    international financial organizations, UN
    system, bilateral pertners
  • 2000s back to a donor

.
3
Back to donor status
  • graduation from the role of a recipient of
    international assistance, attainment of the MDGs
    domestically through own efforts and at own
    expense
  • search for an optimum balance between the need to
    address domestic issues and the need to increase
    participation in international efforts to support
    development
  • commitment to the global partnership for
    development as set out in the Millennium
    Declaration, the Monterrey Consensus, the
    Johannesburg Plan of Implementation and the 2005
    World Summit Outcome
  • recognition of the centrality of mobilizing
    financial resources and their effective use to a
    global partnership for development in support of
    the achievement of the internationally agreed
    development goals, including the MDGs
  • strong support of multilateralism and the United
    Nations
  • UN Security Council Permanent Member
  • Group of Eight member and President in 2006
  • Development assistance activity restarted

4
Russia as Development Assistance Donor Factual
Situation
  • Federal Budget factual expenditures for
    development assistance 2005 - USD 97
    million2006 to USD 100 million.Total amount
    of commitments taken in 2006 for the next 3-4
    years - USD 250 million
  • Debt relief Russia has cancelled or committed to
    cancel USD 11,3 billion of debt of African
    countries, including USD 2,2 billion of the
    outstanding debt of eligible heavily indebted
    poor countries under HIPC initiative
  • Financial support to international initiatives
  • Global Fund to Fight AIDS, Tuberculosis and
    Malaria USD 40 million pledged for 2002-2008,
    USD 217 million, which would be distributed to
    fund projects in Russian Federation, will be
    reimbursed to the Fund
  • Global Polio Eradication Initiative USD 18
    million pledged for 2003-2008
  • Global Plan of Action to Fight the Bird Flu and
    Pandemic Flu USD 44,7 million pledged
  • International Energy Partnership Fund Global
    village USD 30 million pledged
  • Education for All Initiative USD 7,2 million
    pledged

5
Russia as Development Assistance DonorFactual
Situation
  • Voluntary contributions to UN funds, programmes
    and specialized agencies have been increased, in
    some instances doubled (WFP USD 11 million,
    UNHCR USD 2 million, UNDP USD 1,1 million,
    UNICEF - 1 million, UN-Habitat - USD 0,4 million,
    UNFPA 0,3 million,)
  • Contribution to IDA replenishment for 2003-2014
    USD 80 million
  • Contribution to several IMF programmes around
    USD 50 million
  • Work is underway to make contributions to the
    Central Emergency Relief Fund (CERF) and the
    Peace-Building Fund
  • Innovative sources of financing
  • Advance Market Commitments (AMCs) on vaccines

6
Russia as Development Assistance DonorFactual
Situation
  • Emergency humanitarian assistance to countries,
    which have been victims of natural and man-made
    disasters over USD 55 million for last five
    years
  • USD 30 million of targeted humanitarian,
    technical and medical aid in the beginning of
    2005 to Asian and South-East Asian countries
    affected by the catastrophic tsunami
  • Iran, Pakistan, Lebanon, Algeria, Angola, Mali,
    Sudan, Cuba, Bolivia, Mexico, Ecuador
  • Training of specialists for CIS countries and
    developing states about 8 thousand foreign
    students in Russian higher education institutions
  • Target for future USD 500 million per year

7
Russia as Development Assistance DonorProfile
  • In absolute amounts Russia is far behind
    developed donor-countries
  • Russia is not OECD DAC member
  • Debt relief dominates over all other assistance
    flows
  • Multilateral channels more emphasis on the BWI
    than on UN development system
  • Russia - both donor and recipient
  • Russia a higher middle-income country with GNI
    per capita USD 4,650 in 2005
  • Significant regional disparities challenges to
    achieve the MDGs in some regions HDI in Russian
    regions that are lagging behind is comparable to
    that of developing countries
  • Russia has its own debt obligations
  • Gradual phasing out of international assistance
  • Enhancing its own development cooperation

8
Enhancing development cooperation Challenges
  • Need for a comprehensive and coherent system
  • Responsibilities are spread across different
    ministries
  • Steps taken are fragmented
  • Absence of a National Development Assistance
    Agency
  • Lack of conceptual basis and well-designed
    long-term strategy
  • Legal and regulatory frameworks need to be
    improved
  • The concept of international development
    assistance including the term ODA, is still
    not included in the Budget code of the Russian
    Federation, other federal laws and the federal
    budget
  • Cumbersome Budgeting Process
  • Specific Government ordinance/regulation is
    needed for every budget expenditure
  • Hard-to-get approval of the Finance Ministry
  • Insufficient institutional capacity of relevant
    ministries
  • Infrastructure for providing bilateral assistance
    still to be developed

9
Way aheadNational Development Assistance
Mechanism
  • Ensuring political will at the highest level
  • In May 2005 the President of the Russian
    Federation set the task of creating an effective
    development assistance mechanism.
  • Further elaboration of the conceptual as well as
    regulatory and legal framework
  • Concept of Russian Federations International
    Development Assistance
  • Amendment of the Budget code of the Russian
    Federation
  • Institution building, improving operational
    effectiveness and efficiency
  • Improving coordination among relevant Government
    agencies
  • Creating a working inter-ministerial mechanism
    for project approval and formulating proposals
    for budget allocations
  • Involving non-government stakeholders, including
    private sector
  • Involving regional authorities long term
    perspective
  • Mobilizing public support
  • Seeking for further increase in volume of
    assistance
  • Increased contributions to UN funds and
    programmes

10
Concept of Participation in International
Development Cooperation
  • Prepared by MFA and Ministry of Finance
  • Main elements agreed by the Government in
    November 2006
  • To be presented to the President of the Russian
    Federation
  • Sets the principles, goals, forms and priority
    areas of Russias international development
    assistance
  • Outlines conceptual, regulatory and legislative
    basis of the national system of international
    development assistance and of the mechanism for
    planning and managing the external aid

11
Role of UNDP RUSAID Project
  • 2004-2005 joint UNDP Russia and MFA preparatory
    assistance project Russia as Emerging Donor.
    Strategic Research, Consultations and Training
  • 2006 full fledged project aimed at providing
    practical assistance to the process of building
    up Russia s ODA agency/mechanism, including
    through
  • Provision of advisory services to the appropriate
    government ministries, involved in the
    preparation of the concept on Russian development
    cooperation policy and establishment of a
    national development assistance mechanism
  • Enhancing coordination and interaction between
    the relevant Russian government agencies and
    establishing partnership with the non-government
    stakeholders, including academic institutions,
    civil society and the corporate sector
  • Establishing the information exchange and
    cooperation channels with other ODA agencies or
    structures worldwide
  • Support to the specific pilot initiatives aimed
    at realization of Russias donor capacity
  • Elaboration of the basic principles, main
    elements and structure of Russian development
    assistance agency/mechanism and working out
    concrete proposals related to the establishment
    of the national ODA agency for the Governments
    consideration.

12
Role of UNDP
  • The Ministry of Foreign Affairs is the Executing
    Agency of the project on behalf of the Russian
    Government
  • Government expectations for the project
  • Enhanced institutional, staffing and technical
    capacity within the respective Government
    entities to support the establishing of the
    national TA agency/mechanism
  • Establishing a mechanism for funding JPOs and
    other national experts for assignment within the
    UN System elsewhere
  • Exploring links between the ODA agenda and
    Russias G-8 chairmanship in 2006
  • Learning, adapting and replicating international
    best practices and lessons learned
  • Joint resource mobilization efforts including
    close collaboration with the corporate sector
  • Transparent resources and results management
  • Access to the international fora and events and
    communications with ODA agencies worldwide.

13
Role of UNDP
  • Mainstream the activity to support emerging
    donors efforts into UNDPs major strategic
    planning documents
  • No appropriate service line in the MYFF for
    2004-2007
  • Mechanisms and regulations governing resource
    mobilizations should be conducive to increased
    contributions from the emerging donors
  • Possibility for tied-up contributions
  • More active promotion of the thematic trust funds
  • Attractive recovery rates
  • Active domestic resources mobilization for UNDP
    country programmes
  • Concrete project proposals to be presented
    regularly to interested Governments
  • Quick impact MDG related projects within and
    beyond region
  • Provide platform for regular information exchange
    and enhanced cooperation among emerging donors

14
Thank you
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