Transcript US Foreign Aid: Meeting the Challenges of the 21st Century

US Foreign Aid: Meeting the Challenges
of the 21st Century
US Agency for International Development
January 2005
Development can succeed…
► 50
Years of Development Gains:
► Average
infant mortality in developing countries equivalent to
1950s industrialized countries
► From
1951 to 1998, % if population living on $1/day
dropped from 55% to 20%
► In
1950s, 27% world population had life expectancy less than
40 years. By 2000, only .2% remain that low.
► In
1950s, Korea, Taiwan, Singapore, Malaysia and Thailand all
considered “basket cases”
Challenges are growing….
► Post-Cold
War context –Globalization and
War on Terror
► Increasing
► Multiple
demands for foreign aid
actors in foreign aid
Mission
State Department and US Agency
for International Development
► Create
a more secure, democratic and
prosperous world for the benefit of the
American people and the international
community.
► Principal aims are anchored in the
President’s National Security Strategy—
diplomacy, defense and DEVELOMENT.
Creating a more secure,
democratic and prosperous world
► First,
we will strive to build and maintain
strong bilateral and multilateral relationships
in pursuit of our mission.
► Second, we must protect our nation, our
allies, and our friends against the
transnational dangers and enduring threats
arising from tyranny, poverty and disease.
Create a more secure, democratic
and prosperous world (cont.)
► Third,
in confronting the intersection of
traditional and transnational challenges, we
will combine our “diplomatic skills and
development assistance” to act boldly to
foster a more democratic and prosperous
world integrated into the global economy.
Protect US national interests and
advance peace, security and
sustainable development
► Focus
on the following key priorities during
the FY 2004-2009 timeframe
► --Arab-Israeli Peace
► --A Stable and Democratic Iraq
► --Democracy and Economic Freedom in the
Muslim World.
National interests,advance peace,
security,sustainable development
(cont.)
►A
Stable and Democratic Afghanistan
► Reduction of the North Korean Threat to the
Region and World.
► Reduction of Tensions between India and
Pakistan
► Drug Eradication and Democracy in the
Andean Region
► Strengthen Alliances and Partnerships
National interests,advance peace
and security, and sustainable
development (cont.)
►A
more Effective and Accountable United
Nations.
► HIV/AIDS Prevention, Treatment and Care.
► Reduced Threat of Famine.
► Accountable Development Assistance**
► Aligning Diplomacy and Development
Assistance.
Advance Peace and Security
►Regional Security—Avert and resolve
local and regional conflicts to preserve
peace and minimize harm.
► --Israel and the Palestinians
► --South Asia
► --East Asia and the Pacific
► --Europe and Central Asia
Advance Peace and Security
(cont)
►Regional Security (cont)
► --Persian Gulf
► --Africa
► --Sudan
► --Western Hemisphere
Counter-Terrorism—Prevent attacks
against the US, our allies, and our friends,
and strengthen alliances and international
arrangements to defeat global terrorism.
Advance Peace and Security
(cont)
►Homeland
Security—Protect the homeland
by enhancing the security of our borders
and infrastructure.
►Weapons
of Mass Destruction—Reduce
the threat of weapons of mass destruction
to the US, our allies, and our friends.
►International
Crime and Drugs—
Minimize the impact of international crime
and illegal drugs on the US and its citizens.
Advance Sustainable Development
and Global Interests
►Democracy and Human Rights—
Advance the growth of democracy and good
governance, including civil society, the rule of
law, respect for human rights, and religious
freedom.
►Economic Prosperity and Security—
Strengthen world economic growth,
development, and stability, while expanding
opportunities for US businesses and ensuring
economic security for the nation.
Advance Sustainable Development
and Global Interests (cont.)
►Social and Environmental Issues—
Improve health, education, environment, and
other conditions for the global population.
►Humanitarian Response—Minimize the
human costs of displacement, conflicts, and
natural disasters.
Promote International
Understanding
►Public
Diplomacy and Public
Affairs—Increase understanding for
American values, policies and initiative to
crease a receptive international environment.
More Accountable
Development Assistance?
►
National Security
Strategy>>>>>>>>>>>

To clarify the challenges of the
“development” leg of the NSS

To apply the effectiveness principles of
the MCA to our development assistance
►
Effectiveness >>>>>>>
►
Policy Coherence >>>>

To reduce conflict among multiple
objectives/goals of bilateral foreign aid
►
Strategic Mgt/Results >>>

To manage more strategically and get
greater & clearer results
Five Core Operational Goals
 Promote
transformational development
 Strengthen
fragile states
 Support
strategic states
 Provide
humanitarian relief
 Address
global, transnational and other
special concerns
A New Approach to Foreign Assistance—Clarify
Goals, Align Resources, Manage Strategically
Targeted resources for each goal
Distinct approaches for each goal
Different yardsticks for measuring results of each goal
Country performance-based programming where it makes the most sense, and
More centralized programming where that makes the most sense
Transformational Development
Tailor assistance to the different opportunities
presented by each sub-group:
Threshold countries. Qualify countries for MCA.
• Good performers. Support development
progress in ruling justly, economic opportunity and
investing in people.
• Fair performers. Support reasonable
opportunities (e.g., committed leadership) for
development.
• Middle income countries. Smooth and phase
the shift from development resources to private
resources.
•
Strengthen Fragile States
► “Fragile
states:” umbrella term for failing,
failed and recovering states.
► Many weak performers may actually be
fragile states.
► Poor governance is a central issue; most
lack legitimacy and/or effectiveness
► Approach:
 Goals: stabilization, reform and recovery
 Priority Sectors: security, political, economic and
social
 Partners: assist state and non-state actors
 Integrated Responses
Support Strategic States
► The
Congress or the Administration identifies
countries and sets levels based on foreign
policy priorities, not development criteria.
► Programs defined by foreign policy objectives
but may also address development or fragility
issues.
► Policy goals supporting development
objectives will improve likelihood of long-term
success.
► Success measured against objectives of
assistance—which may or may not include
development.
Provide Humanitarian Assistance
► Available
to all countries without conditions.
► Provide
based on urgent need; not on
performance criteria.
► Address
systemic failures where disasters
have become a chronic condition.
Address Global/Transnational
Issues
► Selection
of countries and resource levels
based on severity of the problem and
problem’s importance to U.S. security.
► Coherent
vital.
USG approach across agencies is
► Public/private
partnerships particularly
relevant in this goal area.
Improving Effectiveness

Aid effectiveness requires progress in two areas:
Selectivity
Among countries
Assistance priorities within countries
Policy coherence
Identification of clear goals
Integrated approaches across sectors and agencies
for each goal
Development Assistance Strategy
Economic
Democracy,
Prosperity and Governance
Security
and Human
Rights
Promote Transformational
Development
--Performers/Reformers
--Fair Performers
--Non-Reformers
Strengthen Fragile States
--Vulnerable
--Crisis
Support Strategic States
Address Transnational
Issues
Social and
Environment
Issues
Humanitarian
Ass’t
Thank you.
Arigato!