Memorandum submitted by One World Action

1. One World Action is a UK based NGO working with 41 local partners in Africa, Asia and Latin America. We create the power and opportunity for the poorest citizens to transform their own lives and we challenge international policies that make and keep people poor. One World Action is a PPA agency. This submission includes feedback from some of our partners.

 

 

Concern with classification of countries and subsequent 90:10 split in funding

 

DFID's classification of middle income countries as defined by 'gross national income per capita' masks deep inequalities and absolute poverty - this decision excludes some of the world's most marginalised people from receiving UK government aid.

Jen Albano, Institute for Politics and Governance, Philippines

 

2. A third of the world's people who survive on less than $1 a day are living in middle income countries (MICs). Latin America which has the majority of MICs is the most unequal region in the world. In Africa 4 out of the 10 highest HIV prevalent countries in the world are MICs. Research shows there is also a correlation between HIV spread and inequality, for example the sex trade tends to grow in areas where large wealth disparities exist. Using a classification based on income per capita is too blunt a tool that poses a barrier to the attainment of the MDGs.

 

3. While we welcome DFID's emphasis on aid to low-income countries, we would urge that the needs and interests of the poorest women, men and children in MICs are more fully addressed.

 

 

Absence of Governance in the Report - the Missing MDG

 

4. DFID has a vital role to play in promoting democratic inclusive governance that is vital to reducing poverty, gender inequality and achieving the MDGs in sustainable ways.

 

5. Although good governance is mentioned as a strategic objective DFID does not report against any governance indicators and there is no mention of the Country Governance Analysis tool. The only other mention of governance (p146) is in relation to the role that civil society plays.

 

6. A challenge to all countries is building accountable and democratic governments and public sector institutions, and increasing the influence of citizens in decision-making. Supporting mechanisms to strengthen government accountability is the most sustainable way to ensure partner country ownership. If we are to see more democratic and legitimate governments and policies responsive to human rights and civil liberties DFID must recognise the key role that civil engagement can play in developing and strengthening the demand side of good governance - through funding civil society organisations (for example to lobby for gender equity policies at local level, to work with national commissions to implement and monitor national gender action plans, to reduce structural political violence and impunity that prevent women becoming engaged in governance issues) and establishing and reporting against governance indicators (including local governance) in future annual reports.

 

 

Building an Effective Organisation

 

7. We welcome the joint DFID/BERR unit on trade but are still concerned about the lack of policy coherence across Government. DFID has a critical role to play in ensuring that eliminating poverty and promotion of human rights and sustainable development are not undermined by other UK policies, particularly those of trade, defence and security. Future Annual Reports should report against outcomes related to policy coherence and how DFID are meeting targets in this area.

 

8. Given the emphasis on building public support for development, One World Action was concerned to see recent research revealing DFID is only recognised by 4% of the UK public. More emphasis is needed on evaluating public contact and supporting genuine and accessible engagement with new audiences. This must be reported on in future Annual Reports particularly if aid targets are to be welcomed and supported by UK tax payers.

 

9. Future reports should outline the strategies that will be used by DFID to ensure an adequate level of commitment to and expertise on DFID's core values, in particular on gender equality, women's empowerment and good governance, from the increasing number of private companies and consultants that are employed to implement DFID policies. It would be useful if the Annual Report could outline whether adequate resources are being deployed to build capacity and understanding in these areas.

 

10. We would recommend that future reports include an evaluation into the use of private companies to administer Government funds. This is particularly relevant given the delays with decisions on the Governance and Transparency Fund that caused great uncertainty for civil society groups in the South and undermined DFID's reputation internationally.

 

11. We welcome the attention and inclusion of gender analysis throughout the report but would suggest including data on the political participation of women in local government and public institutions.

Effectiveness of DFID's Mechanisms for Evaluating the Impact of its Aid

12. We welcome direct budget support (DBS) as an opportunity to reform the relationship between donors and developing countries. DBS can increase country ownership and enhance long term financial planning by recipient governments. However DFID is accountable to Parliament for ensuring that its expenditure on DBS is properly accounted for and used for the intended purposes of poverty elimination.

 

13. When funds are granted to the recipient government DFID is not directly responsible for the use of those funds. Therefore the report should include greater acknowledgement of the associated risks and the subsequent assessment and monitoring procedures that will be used for DBS - for example when channelling funds to governments such as Cambodia. The next report should include a comprehensive overview of how DFID will mitigate and monitor these risks.

 

14. DFID should take steps to make funds available to civil society organisations and particularly women's organisations.

 

15. The risks of weakening linkages between state and civil society by increasing DBS should also be better acknowledged and addressed.

 

16. DBS and other forms of financing for development which foster country ownership and pave the way for better governance must have a framework for consulting with civil society, in particular women's organisations which will lead to more gender sensitive resource allocation.