After Busan, the Emerging Development Agendas

1. After Busan, the Emerging Development Agendas Hubert de MILLY, Aid Quality & Architecture Division Development Co-operation Directorate, OECD

2. HLF-4: a turning point for international development co-operation • Conclusion of a 10-year process : Monterrey (2002), HLF-1 in Rome (2003), HLF-2 in Paris (2005), HLF-3 in Accra (2008), HLF-4 in Busan(2011). • First three HLF: transformed the way we do aid:Principles of local ownership, alignment, harmonisation, mutual accountability and management for development results. • HLF-4: seals a new global partnership for development, including more development sources – and not just aid.Builds on the support of diverse development actors.

3. Outcome of the HLF-4 : The Busan “Global Partnership for Effective Development Co-operation”Broader and more inclusive than ever before • Includes donor countries, low-income and middle-income countries, emerging economies, civil society organisations, multilateral organisations, parliaments, the private sector, and climate finance institutions. • Re-endorses Paris: partners who signed up to Paris and Accra will intensify their efforts to implement their respective commitments in full (article 16). • “The principles, commitments and actions agreed in the outcome document in Busan shall be the reference for South-South partnerson a voluntary basis” (article 2).

4. After the HLF-4: design and agree arrangements for the Busan “GP-EDC”by June 2012 Agree on: • “light working arrangements” for the Global Partnership on Effective Development Co-operation (art 36b) • global-level indicators and process for monitoring Busan agreement (art 35b) • institutional arrangements (with funding) for joint OECD-UNDP secretariat support to the Global Partnership (art 36d)

5. After the HLF-4 : implement core Busan partnership commitments (thematic work) • Review plans to further untie aid (BP §18e) • Implement common, open standard for electronic publication of timely, comprehensive and forward-looking information (BP §23c) • Full implementation of AAA commitments on 3-5 year forward rolling plans (BP §24a) • Agree principles and guidelines to guide joint efforts in reducing the proliferation of multilateral / global fund and programme channels (BP §25b) • Agree on principles to address issue of countries that receive insufficient assistance (BP §25c) • Review delegation of authority to the field (all providers of development co-operation) (BP §25d)

6. After Busan: implement the voluntary initiatives (Busan “building blocks”) • Implementation of the “Busan Action Plan for Statistics” • Implementation of the “Busan Joint Action Plan on Gender Equality and Development” • Following up on the “New Consensus on More Effective Institutions for Development” (building block) • Results and accountability building block • Transparency (both on development flows and domestic resources) building block • Building block on Managing Diversity and Reducing Fragmentation

7. Voluntary initiatives (continued) • Building block on South-South and Triangular Co-operation • Implementation of the “New Deal for Engagement in Fragile States” • “Expanding and enhancing public and private co-operation for broad-based, inclusive and sustainable growth” building block • Efforts in the area of “Climate Change Finance and Development Effectiveness”

8. The OECD Development Strategy • Why a Development Strategy? • What is OECD’s Comparative Advantage? • 3 levels and 4 areas of focus • The way forward

9. 1. Why a DS? – The world has changedAnnual world GDP (PPP) growth rate (3-year moving average)

10. 1. Why a DS?More heterogeneity in the developing world 1990s 2000-2007

11. 2. What can OECD offer developing countries? Example: Pre-tax vs. post-tax GINI differ more in the OECD area

12. 2. OECD’s comparative advantage • Data collection, statistics. • A variety of tools and approaches (arm’s length diagnostics, multidisciplinary analysis peer reviews, policy reviews, standards and norms…) • Policy sharing and dialogue platforms (task teams, working parties, etc…). • Home of PD.Support coordination and effectiveness • Facilitating a space for developing countries to share knowledge and create a “network of influence”

13. 3. A 3-level strategy to support development • Countries to develop own strategies: • facing domestic issues (e.g. greater income inequality, vulnerable middle class, rising expectations) • taking also into account sequencing and implementation • Shared challenges– clusters of countries whith common constraints ( e.g. natural resources or migration) • Global governance mechanisms have an equally important role

14. 3. Four main areas of focus: Some emerging proposals….. • Innovative and Sustainable Sources of Growth • Mobilising Resources for Development • Governance for Development • Measuring Progress

15. Innovative and Sustainable Sources of Growth What the OECD isknown for – whatitcandeliver • Policy support for individual countries • Diagnostic phase to identifybindingconstraints (e.g. à la Going for Growth) • Policy support phase --country/thematicreviews (e.g. à la innovation or entrepreneurshipreviews) • Sharedgrowth challenges – clusters of countries whithcommongrowthconstraints • Global outputs – expandingcurrentoutcomes to the global levele.g. Perspectives on Global Development (DEV), PISA (EDU) or global foodsecurity (TAD/DCD)

16. Mobilising Resources: Emerging Proposals The broad spectrum: domestic resources; investment; trade; aid etc. Whole of OECD approach needed in, for example: • Policy Coherence • Linking revenue to expenditure procedures and outcomes • Application of OECD transfer pricing standards through effective exchange of information • Best practice model on inter-agency collaboration on illicit flows • New tools and instruments • Launch a tax statistics database for developing countries and a tax incentives Transparency Framework • Join Convention on Mutual Administrative Assistance in Tax Matters • Flagship Publications • Aid as a catalyst for mobilising other finance for development • Focus on development financing in other flagship reports on Africa, South East Asia

17. Governance • Country and Regional Level work • Country/thematicreviews (e.g. governancereviews) based on country demand • Linkages between regional dialogues and networks on Governance (Anti-Bribery Convention, OECD/AFDB Joint Initiative on Business Integrity) • New tools and instruments • Narrower set of indicators for measuring governance improvement in developing countries (public sector metrics) • Policy guidance for improving governance (e.g. Policy Framework for Investment) with policy benchmarks • Global Fora for Dialogue on Applicability of Tools and Instruments • Strengthen Global Forum for Development to involve non-members in testing approaches and proposals on Governance • Include non-members in the Public Governance Committee to shape good practices in addressing Governance challenges

18. Measuring Progress • BetterPolicies for BetterLives – implications for the DevelopmentStrategy: • Measuringwell-being - beyond GDP, to includeequity, sustainability, satisfaction • Lookingbeyond the MDGs/2015 towards global progressindicators • Proposals • Measurewhatmatters to people – extend the "How’s Life" framework • Statisticalsystemscapacitydevelopment – extend Paris 21 • OECD global dialogue – strengthen links betweenstatistics and policy

19. 4. How is it progressing? • Inter-directorates working teams (until end of 2011) • Consultation with members and non-members through informal working group, existing committees, etc • The OECD Strategy on Development is being elaborated for endorsement at the 2012 MCM (May 2012)

20. www.busanhlf4.org www.oecd.org/dac