Division of Labour in International Development Cooperation

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Division of Labour in International Development
Cooperation

• The Status Quo
• Informal Policy Workshop
• on
• Delivering Aid Effectiveness Improving Division
  of Labour
• Andreas König, GTZ
• Paris, 8 December 2008

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Content

• The DoL Concept
• Division of Labour an integral part of the PD
• WP-EFF Task Team Complementarity/Division of
  Labour
• EU Initiatives for better division of labor/
  complementarity
• Progress so far next steps
• Challenges in DoL/Complementarity

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• The DoL-Concept A Reminder
• Division of Labour and Complementarity are
  crucial for enhancing aid effectiveness
• More effective use of resources through reduced
  fragmentation of donor inputs
• Making use of comparative advantages of donors
• Less overlaps and less transaction costs at the
  partner side for donor co-ordination,
  consultation aid bureaucracy
• Scaling up of aid, contributions of all
  development actors/ non-DAC-donors should also be
  consciously managed

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The DoL Process

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2. DoL/Complementarity an integral part of the
PD/AAA

• in the PD
• Excessive fragmentation of aid at global,
  country or sector level impairs aid
  effectiveness. A pragmatic approach to the
  division of labour and burden sharing increases
  complementarity and can reduce transaction
  costs.
• Partner countries commit
• to provide clear views on donors comparative
  advantage and on how to achieve donor
  complementarity at country and sector level.
• Donors commit
• to make full use of their respective comparative
  advantage at sector or country level by
  delegating, where appropriate, authority to lead
  donors for the execution of programmes,
  activitities and tasks.

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in the AAA

• Donors will respect developing countries
  priorities, ensuring that new arrangements on the
  division of labour will not result in individual
  developing countries receiving less aid.
• complete good practice principles on country-led
  division of labour
• start dialogue on international division of
  labour across countries and address the issue of
  countries that receive insufficient aid

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3. WP-EFF Task Team Complementarity/Division of
Labour

• Draft Good Practice Principles
• Round Table Accra Harmonization rationalizing
  aid delivery, complementarity, division of
  labour
• The Roundtable addressed two topics ,
• (i) in-country division of labour, focussing on
  the bottlenecks to successful division of labour
  and ways to overcome them and
• (ii) cross-cutting issues like human rights,
  gender equality and environmental sustainability
  and their promotion through harmonized
  approaches.

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Accra HLF Roundtable Results DoL

• DoL practices to be systematically reviewed
• International good practice principles were seen
  as a useful instrument
• A methodology to measure progress and outcomes to
  be developed

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4. EU Initiatives for better division of labour/
complementarity

• Code of Conduct on EU division of labour (2007)
• 11 guiding principles in 3 closely interrelated
  dimensions
• Dimension 1 Division of Labor in partner
  countries (Guiding Principles 1 to 6)
• Dimension 2 Cross-country division of labor
  (Guiding principles 7 und 8)
• Dimension 3 Sectoral Profiling/ Division of
  Labor(Guiding principle 9)
• Goal
• Higher development effectiveness of EU-ODA via
  increased effectiveness and efficiency of aid and
  a reduction of transaction costs.

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Fast Track Initiative on DoL and Complimentarity
Main objectives of FTIDoL better development
results through more effective aid

• Targeted results
• Commitment by Governments and donors in partner
  countries to DoL process.
• Enhanced capacity of partner countries to lead
  for results oriented aid management, including
  DoL process.
• Enhanced capacity of donor offices to implement
  DoL.
• Planning and organisation of DoL process started
  and/or progress achieved in partner countries.
• Creation of opportunities for streamlining donor
  presence.
• Identification of possibilities for co-financing
  identified at the country level.
• Identification of challenges to implementation of
  DoL at country level and communication to
  capitals.
• Better communication and understanding of DoL
  processes between HQ and field.

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5. Progress so far next steps

• (I) DAC Task Team Complementarity/Division of
  Labour
• Finalization of Good Practice Principle on
  in-country Division of Labor (GPP)
• Monitoring - Qualitative assessment of progress
  on in-country DoL
• - Development of a methodology for measuring
  quantitative progress on in-country DoL
• - Analysis of the status quo and relevant issues
  around cross-country DoL/Compl.
• Organise outreach and establish an electronic
  communication and information platform allowing
  for South-South information sharing and dialogue
  on DoL
• Dialogue on cross-country DoL/Complementarity

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• (II) At EU level, contributing to the Post-Accra
  Process
• Facilitation of Fast Track Initiative DoL
• Monitoring of DoL in Fast Track Countries (in
  coordination with WP-EFF-Task Team DoL)
• Increased utilisation of Delegated Cooperation
• Promotion of the EU Toolkit on DoL

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6. Challenges in DoL/Complementarity

• Assuring partner country ownership
• Encouraging DoL based on strong country
  strategies which allocate donor roles based on
  their comparative advantages to achieve results
• Balancing the goals of reducing donor
  fragmentation and maintaining a sufficient
  diversity in terms of approaches and instruments
  
• the need to further associate all development
  actors and global programmes with in-country DoL
  processes
• Assuring the consideration of cross-cutting
  issues
• Defining a common understanding on cross-country
  DoL

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• THANK YOU
• FOR YOUR ATTENTION