Select Committee on International Development Minutes of Evidence


Examination of Witnesses (Questions 158 - 159)

TUESDAY 2 MAY 2006

PROFESSOR ROBERT PICCIOTTO

  Q158  Chairman: Good morning, Professor Picciotto. Thank you for coming. I know you have been in front of the Committee before, but not in my time. Welcome and thank you for coming here to give us evidence. As you know, we are doing an inquiry on conflict, particularly post-conflict resolution and reconstruction, although, of course, the conflict dimension is not an avoidable topic. In the submission you made to us[1], which was both helpful and interesting, at one point you make a fairly obvious statement, but quite an important one, that the international community will not make poverty history without making war history. You also slightly quantified the risks. I think you put it down that a country with a per capita income of $1,000 is three times more at risk than a country with a per capita income of $4,000, and, therefore, the role of aid in raising per capita income, and presumably distributing it effectively, is crucial. Therefore, I think perhaps to start the discussion off, what would be interesting for us is for you to give us an assessment of our own Government's performance in that context. They claim that they are well-placed to deliver effectiveness in peace-keeping, conflict reduction and reconstruction and they are concentrating in particular areas. I wondered if you could give us your view of how you think the British Government is performing, where they are doing well and where they are not doing so well?


  Professor Picciotto: I have not devoted expert attention to UK internal policies but can confirm that the UK is perceived as a leader in the development business in terms of its policies and its performance. This does not mean it cannot do better, but, in the end, since it accounts for probably less than 10% of total aid and since it has a comparative advantage in intellectual, partnership and linkage assets, it seems to me that focusing exclusively on how well the resources directly allocated to aid may not be the fundamental point. More relevant is the UK contribution to getting the global system to function better. It is a more subtle criterion. It is a criterion which evokes the positive leverage that UK aid can have on the global development cooperation system. What is striking to me, and I spent 40 years in the development business, is that we have been steeped in a paradigm which, essentially, ignores conflict. Since 9/11 there has been a certain amount of reconsideration, but policies are still massively "path dependent", in the sense that the whole system is still geared to a way of thinking whereby conflict is here and development is there and the twain rarely meet. The thrust of my testimony is to suggest that there is a need for a very basic policy transformation, and it seems to me that the DFID White Paper, which is coming to you should be judged in terms of whether or not security and development policies will be integrated in a fundamental way and not simply in terms of an add-on to existing policies. That is why I believe that conflict prevention is a crucial aspect of development policy. Of course, good post-conflict work is also preventative, since half of the conflicts recur. Thus a focus on post-conflict policies is appropriate. If you do good post-conflict prevention, post-conflict reconstruction or rehabilitation, peace-keeping and peace-making, then presumably conflict prevention follows; but my point is that the policies, the processes and the partnerships should be reshaped and that these kinds of adjustment are more important than the structural solutions in addressing the question of policy coherence.

  Q159  Chairman: To clarify that, you are separating, as you put it, the intellectual contribution from the financial contribution, but an awful lot of the time, when, for example, the British Government use budget support as a principal instrument, part of the justification for budget support is it gets you alongside the Government and gets you into a partnership. Is not the reality that your ability to influence that policy depends, to some extent, on how many dollars you have got in the bank?

  Professor Picciotto: There is no question about that, and I think the volume of aid is important and the sooner the UK can reach the 1% (or the 0.7% of Gross National Income threshold at the very least) the better since money provides the muscle and the fuel to get the right things done, but, in that respect, 10% of UK aid has been going to fragile states. That is too low, and a big policy question is: how much money goes to the fragile states. We have developed an aid allocation system in development which has emphasised "performance" of countries, and the fact of the matter is we do not really measure performance in allocating aid. The indicators we are using to assess performance essentially reflect the weakness of the state and the initial conditions, and, therefore, we have created aid orphans and aid darlings with a view to satisfy voters that aid is performing well. I know it will be politically difficult to argue for greater risk taking, but to get the best results you have to look at aid as venture capital. If you can prevent one war, it means $60 billion in the bank, which is equivalent to the totality of all aid. So you must take more risks to tap more rewards. The key idea that I am pushing in the book which I have just written for the Swedish Government[2] is that we need to focus on human security instead of human development, the current model in the development community. Human security transforms this agenda by looking more systematically at down-side risks and by also taking conflict explicitly into account in the design of countries and global strategies. I am not sure I have answered your question.


1   Ev 145 Back

2   Global Development Studies No.3, Global Development and Human Security: Towards a Policy Agenda-a policy review commissioned by the Ministry for Foreign Affairs, Sweden Robert Picciotto, Funmi Olonisakin and Michael Clarke, 2005. Back


 
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