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GHANA AID POLICY & STRATEGY. by Veronica Rita Sackey - MDBS Coordinator. Accra, 23 September 2010. Presentation Outline. What is the Ghana Aid Policy & Strategy Rationale for the Policy Highlights of the Policy Objectives of the Policy Overview of Challenges Policy/Strategy Areas
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GHANA AID POLICY & STRATEGY by Veronica Rita Sackey - MDBS Coordinator Accra, 23 September 2010
Presentation Outline • What is the Ghana Aid Policy & Strategy • Rationale for the Policy • Highlights of the Policy • Objectives of the Policy • Overview of Challenges • Policy/Strategy Areas • What is New? • Implementing the Policy • Next Steps
What is the Ghana Aid Policy & Strategy • A coherent and consolidated framework in the management and coordination of external aid. • Sets out policies and strategies for the sourcing and utilisation of aid. • Under-pinned by the principles agreed to in the PD and reinforced in the AAA.
Objectives Ownership & Leadership Move beyond aid dependency Effective aid coordination & mgmt Promote aid effectiveness Strengthen mutual accountability Manage for development results
Overview of Challenges I • Aligning aid: Much of the assistance provided remains off-plan and off budget. • Non-use of Country Systems: Despite improvements in PFM systems, DPs’ use has declined. • Fragmentation in sourcing/managing aid: Contracting of aid is currently not centrally coordinated. • Transaction Costs: Demand on GoG in terms of time, reporting needs, uncoordinated missions, etc
Overview of Challenges II • Inadequate capacity for aid delivery: Absence of national capacity development strategy. • Conditionality & Unpredictability of aid: Use of policy/process conditionalities affects predictability of aid (volume, quality, timing, etc) • Information on aid flows: Incomplete reporting of ODA hinders monitoring & management of aid received. • Inadequate coordination of aid: Lack of strong linkages within MoFEP and with MDAs as well as non-alignment of DP commitments to GoG priorities.
Policy/Strategy Areas I: • Legal Framework • Sourcing/Mobilization of external aid (Aid Modalities) • Technical Cooperation & Capacity Development • Aid Coordination • Aligning Aid with Development Priorities
Policy/Strategy Areas II: • Harmonization • Financial Oversight & Accountability • Mutual Accountability • Managing for Development Results • Institutional Framework for Sourcing & Managing Aid
What is New? • Legal framework governing aid, which provides the basis for additional documents to complement the Policy. • Mutual Accountability Framework: Independent monitoring group • Aid Management Information System • Capacity Development Framework • GoG Coordination: National Aid Roundtable • Coordination with DPs: Government-DP Group
President’s Office Parliament MoFEP NDPC GSS DP Quarterly Pr. Review; DP Portfolio Reviews; Annual Policy Hearings Regional Monitoring Group CSPG(MDAs, CSOs) Development Coordination Architecture - Ghana Aid Coordination Mechanisms and M&E of Development Framework District Monitoring Group GoG – DP Group CSO Umbrella Group CSO Group on Aid Effectiveness MDBS Group legend Heads of Mission Group Government Gov - DP SWG SWG 16 SWGs in total Dev. Partners Heads of Cooperation Group CSO SWG SWG
Implementing the Policy Specific roles are identified for the following Government institutions: • Cabinet • Parliament • MoFEP • MDAs • Ghana Audit Service • NDPC • BoG • CAGD
Next Steps • The development of additional documents to fully operationalize the Policy document. • Development and approval of roadmap towards implementing the Aid Policy and Strategy