Transcript External Funding for EFA Is EFA-FTI living up to its potential?

External Funding for EFA
Is EFA-FTI living up to its potential?
Intent
• EFA-FTI: to facilitate low income countries to
achieve or make major progress towards
achieving the education MDG’s and therefore EFA
itself
• To be understood, must be seen in context of the
1990-2000 EFA experience
• Despite initial miscommunication (and a
misleading name), there is growing recognition
that EFA-FTI is not all about external financing
• Increased financing is critical, but in particular, the
issue is one of more efficient expenditures
• Initial focus on financing almost derailed EFAFTI, led to dissatisfaction on all sides
• Some plans were endorsed that on reflection, were
not necessarily credible or sustainable (i.e., plans
that address data, policy and capacity constraints,
in addition to financing)
• In spirit of learning by doing - and perseverance the EFA-FTI Partnership is now clearly advancing
progress at the country level
• Focus is on quality, efficiency and equity of basic
education
• Neither is EFA-FTI all about budget support, as
desirable as this may be
• What’s important is to end fragmentation; semiindependent or parallel project implementation
driven by supply rather than demand
• EFA-FTI is synonymous with a single national
planning process and development of a national
education sector plan
• Room for project approach when they support
activities that are clearly within the national plan
• Project Approach used to complement a ProgramBased Approach in line with the findings of “Joint
Evaluation of External Support to Basic
Education”
Consensus on External Financing
• EFA-FTI links increased external financing to
country performance
• Country performance measured against EFA-FTI
Indicative Framework benchmarks – based on
evidence of EFA success in “on track’ countries
• Framework provides a guide for policy reform and
analysis of costing and domestic financing
• If unit costs are too high (i.e. inefficient, therefore
unsustainable) the national plan would not be
considered ready for funding without a mutual
examination of reducing those unit costs
• Similarly, Donors Indicative Framework offers
opportunity to analyze donor performance
Financing Progress
• EFA-FTI lays claim to mobilizing $200m
for first 7 countries – 50% increase
• Approximately $250m has also been
committed by 5 bilaterals to the Catalytic
Fund for a three year period
• However, estimated that $4-5B per year is
needed to achieve UPC in LDC’s
Catalytic Fund
• Crucial, but not what its all about – majority of
external funds will come from a bilateral
commitments
• Transitional fund of last resort - meant to kick start
implementation of national plans in advance of
bilateral funding commitments
• Yemen, Nicaragua originally lacked bilateral
champions; now getting behind national plan
• Mozambique with 26 donors, has no need
• Countries such as Uganda, Tanzania or
Bangladesh would also not be eligible for CF
Example of Honduras
•
•
•
1.
2.
3.
4.
5.
Strong Government/Donor partnership made possible by
hard work and EFA-FTI
Result:10 donors signed MOU with GoH defining how
they will work together in support of a single program
led by Secretariat of Education
Endorsed plan based on 5 components:
Efficiency of basic education (improving the flow of
student cohorts through the primary cycle)
Strengthening pre-school
Raising quality of classroom instruction
Equity and access to bilingual education
Rural educational networks
Flexible modalities of donor support
(Honduras cont’d)
1. Pooled Fund (direct support to national plan
using gov’t administrative systems)
2. Projects (traditional bilateral projects articulated
within EFA-FTI/national plan)
3. Non-Project Technical Assistance (e.g.
UNICEF)
4. Co-ordination (e.g.. WFP school feeding)
Working towards harmonization, but trying to
ensure donor group did not break into inner and
outer circles
Funding Results (Honduras cont’d):
Pooled Fund Support
(including interim arrangements)
Bilateral Project Support
SIDA
- USD 18,000,000
USAID
- USD 9,000,000 – EFA; CETT
- USD 2,000,000 - existing projects
CIDA
- USD 15,000,000
KfW (Germany)
- USD 17,000,000
World Bank
- USD 5,000,000
GtZ (Germany)
- USD 3,000,000 - PREDES
- USD 2,000,000 - EFA-related
CIDA
- USD 2,000,000 - education fund JICA
- USD 10,000,000 –
World Bank
- USD 5,700,000 - -
Total USD 55,000,000 in new funding
(planned, announced or committed)
Total USD 13,000,000 new funding
Total USD 7,700,000 previous funding
• Similar examples of increased external funds to
national plans in Nicaragua, Yemen and Vietnam,
but also Tanzania and Bangladesh
• Commonality is not necessarily FTI, but strong
donor collaboration working with strong MoE
leadership (also key to additionality)
• Tanzania feels increased external support due to
– Political will and good governance
– Country ownership
– National policies which take into account local
circumstances and local development plans
(not by chance that these are all principles of EFA-FTI)
Where’s the Money?
• Continue to press for achievement of O.7 goal
• Nordics, NL led the way; France, UK , Spain have made recent
announcements; USA’s Millennium Challenge Account
• Canada is currently working on an 8% annual increase, but would need
10% to meet our share of the cost of achieving the MDG’s. This will
be dependent on priorities of future governments
• Strengthening Aid Effectiveness calls for concentrating resources in far
fewer countries and reducing active sectors. This is a common
approach – will it increase donor darlings/donor orphans?
• What of unanticipated emergencies? -- Afghanistan, Iraq and Haiti are
top receivers of Canadian ODA despite the fact they had previously
not been in CIDA plans
• Achievement of MDG’s mean developing countries need long term
predictable financing commitments, but this is extremely difficult
when global situation itself is unpredictable
Conclusions
• Increasing external support dependent on
increasing political support
• G8 Education Task Force helped create
momentum in Canada to increase support
• We welcome the UK presidency which looks to
put education back on the G8 agenda in 2005
• Explicit reflection on EFA-FTI by Development
Committee Ministers also needed in order to
generate renewed political commitment and
momentum
Conclusions (cont’d)
• The real work takes place at the country level i.e.,
EFA Framework MOU in Honduras
• EFA-FTI principle of country-led process, based
on reciprocal obligations, gives best chance of
developing credible plans for meeting EFA targets
• Donor Political Will needed for the Big increases
in ODA, but increased funding to national sector
plans will be country by country, and will go to
the country and the sector with credible plans