IDEAL DONORSHIP AND UNDP CAPACITY DEVELOPMENT ASSETS

1. IDEAL DONORSHIPAND UNDP CAPACITY DEVELOPMENT ASSETS Draft for Internal Discussions, Wandel/Hanspach

2. Our Interest • The outcome we seek is that each country we work with achieve a high level of human development and become a responsible multilateral actor and donor • Leverage our capacity development expertise, country knowledge and relationships to effectively support countries along this path.

3. Triangulation with UNDP as Facilitator & Build Capacity for Learning/Action

4. Donor Path to Multilateral Donor Recepient

5. Maturity Model on Donors

7. How should donors relate to global funds related to environment?

8. Untied aid Path to Effective Aid Tied aid

9. Partnership Benefits • Visibility • Executive Board Membership • Multilateral Reach • Crisis • Climate Change • Invite donor to participate in solving global multi-lateral issues.

10. UNDP Operational Value Proposition • Direct capacity development assistance (substantive) • UNDP would welcome increased involvement in UN activities through an active JPO programme • Central Trust Fund that access the UN Agency family • Trust fund that can co-develop interventions in multiple countries (listed above) • Project level collaboration • Establishing pipeline world wide • [Expand the list based on country experience….]

11. Typology of Donors/Partners • OECD/DAC donors • Non-DAC donors - Emerging donors (new or re-emerging donors such as new EU members states becoming by definition “donors”) - Range of middle income countries (calling themselves partners, not donors) that are active in establishment of development cooperation partnerships with recipient countries, mostly under South-South cooperation label

12. Approach • Visible Broad Framework Approach (South Korea – and now Russia/Turkey) • Inquire about their interests • UNDP assets • Political attention • Outcome: i) core funding up; ii) co-financing to show results along the way; iii) substantive collaboration Experience: very time consuming but start paying off. New partnership: i) first activities needs to be well managed; and ii)

13. Current Role of UNDP vis-à-vis Different Categories of Donors • Partly big traditional donors dependent • South-South cooperation agenda, rhetoric and cooperation activities pursued and implemented (the extent to be exactly determined) • New innovative and business model partnerships established with new donors in RBEC (Emerging Donors Initiative and “East-East” cooperation)

14. New Roles for UNDP Globally • Major “development cooperation partner” to non-DAC donors as well as those donors, who consider themselves as partners under S-S cooperation paradigm • Partner role of UNDP may read as - facilitator of capacity building for development cooperation and of establishing ODA delivery mechanisms - regional enabler and provider of structures and framework for S-S and E-E cooperation - knowledge and best practice transferer

15. UNDP as a Partner for Emerging Donors – Comparative Advantages • Promotion of the transitional experience, national best practices, specialists and young professionals – logical next step in the partnership with the governments of graduating countries, especially during the grace period • Quality assurance, transparency, management, administration, sound programming and reporting • Assistance in establishing appropriate institutional infrastructure for ODA • Public awareness raising and MDG advocate • Network of UNDP Country Offices and RP

16. UNDP as a Partner for Emerging Donors - Challenges • Get the profile right for new type of partnerships • More engagement with partner governments to find out their demands as “new” donors • Less pre-occupation with ourselves • More strategic and pro-active approach • Reaching out and not loosing partnership opportunities • From databases to action • Capitalizing on Aid Effectiveness and Donor Coordination agenda (Accra Agenda for Action) with a clear focus on the role of new donors

17. Keys to Success for UNDP • Reflecting changing realities by own pro-active action • Long-term strategic partnerships with MFAs • National capacity building projects for ODA as the first step and basis for day to day working contacts and mutual trust building • Involvement in programming the first ODA budgets/UN contributions • Get UNDP profile right (enabler, facilitator) • Ensuring synergies among multiple national ODA stakeholders who tend to be in conflict • Respecting individuality of each partner country

18. Remaining Challenges for the Emerging Donors in RBEC • Setting up national institutions dealing specifically with development cooperation issues in a coordinated and efficient way • Human resources for development cooperation • Programme based and demand driven approach • Partnership agreements with the target countries • Effective use of multi-lateral channels • Monitoring and evaluation mechanisms • Coordination with other donors • ODA budgets (0,1% of GNI at the moment, EC targets for EDs 0,17 by 2010 and 0,33 by 2015)

19. Generic Qualities of a Donor • Engagement (issues of conditionality may arise) • Demand driven programme approach • Relevance, effectiveness, efficiency, sustainability and responsiveness • Public and political support to ODA • Monitoring and evaluation capacities • Professional capacities for ODA management and donor coordination • Scaling up financial resources adequately to the ODA programme in terms of geographic and sectoral priorities

20. Building Blocks of a Donor’s Portfolio • Country specific policy, legal and management frameworks • ODA as an expression of a foreign policy translated into concrete forms of: • Bilateral aid (target countries and sectors) • Multilateral aid (strategy and priorities) • Emergency/crisis response/humanitarian aid

21. Human Resources for ODA • Cadre of ODA professionals available at the national level • Promotion of nationals in international donor institutions and UN system • National volunteer systems (UNV, Peace corps, NGO based, others) • Junior Professional System with UN • UN Assosiations/UN Models

22. National ODA Constituency • Political support to ODA translated into increasing and predictable ODA multiyear funding frameworks • Parliamentary support to ODA • Strong NGDO platform • Private sector engagement • Research and academia • Public (development education programmes and awareness raising activities)

23. Dilemmas • Focus on MFA while we work with other institutions • Close the office – then what?