When the US had just decided to freeze its aid, dissolve USAID and review support for multilateral organizations, FUF members Lennart Wohlgemuth and Anna Sjöberg Tibblin met with Sida employees to discuss their report on development effectiveness in multi-bi assistance. The discussion turned to the consequences of the US's restructuring for Swedish aid.
The meeting was attended by Sida staff around the world responsible for the agency's relations with multilateral organizations. Head of Department Annika Otterstedt, also spokesperson for USAID issues, emphasized how the dismantling of American aid affects the entire framework for effective aid and the importance of adhering to the principles of effectiveness:
– We must change the world in a direction that we believe in. In order for us to be able to pursue issues without the risk of others perceiving it as “Swedish vested interests”, this common framework is required.
The US is now expressing a direct lack of interest in areas such as SRHR, women's health and LGBTQI issues. Several voices from the floor therefore emphasized the importance of Sweden once again prioritizing these types of normative issues, but also that no individual countries can pursue them alone. Otterstedt commented:
– Sida needs to be proactive here. What we are talking about are basic principles that we have all signed up to. It is nothing radical. We should be partners for the people who live in poverty and oppression. What comparative advantage do Sweden and the EU otherwise have?
Need for a strengthened EU role
Lisa Hedin, Head of Multilateral and Partner Coordination at Sida, addressed the need to “tie together” the UN system and the EU in a geopolitically shaky time. Voices from the floor also emphasized that increased European engagement and cooperation will be required going forward, and that the work needs to be solution-focused.
Among other things, the discussion focused on how the principles of effectiveness can be used in development financing work, especially in relation to private capital flows that often lack the transparency and accountability mechanisms that development aid funds have. Otterstedt added:
– How come many of the countries we have supported for a long time still have major problems with policies that are far from what we believe in? Inequalities are growing. We need to talk about this more – also in relation to the private sector, because it does not solve everything. Here the EU and the UN can be strong actors, and we must ensure that these issues end up on the table.
Ownership a key
The EBA report Swedish Multi-Bi Aid and Development Effectiveness which formed the starting point for the discussion shows, among other things, that over the years there has been a shift in the focus of development effectiveness principles at the international level: from ownership and coordination to a greater focus on results and transparency – something that risks jeopardising the sustainability of aid efforts. One risk with an increased proportion of multi-bi aid – as the report also notes – is that local ownership becomes more difficult. However, one participant commented that the concept ownership has been widened:
– It is not always in governments that the best ownership is found. The UN has moved in the direction of a 'whole of society approach', but this is now being jeopardized by developments in the USA.
Johan Romare, Development Advisor in Ethiopia, participated via link and highlighted the challenges and opportunities of working with multilateral organizations as intermediaries regarding the principle of local ownership:
– The challenge is to find the real ownership. For example, we can build relationships with the leadership of the UN system in a country and drive reforms to strengthen this work. Building trust in an informal dialogue is also important. We can also be helpful through our funding, since different bodies have different mandates.
Moderator Malin Elisson, UN coordinator at Sida, concluded the meeting by stating that we are in uncertain times, but that it also means opportunities to further sharpen and focus the work:
– The principles of efficiency and international frameworks are more important than ever.
Want to know more? Listen to the EBA podcast How is development effectiveness ensured in a changing donor landscape? where Lennart Wohlgemuth (FUF) and Annika Otterstedt (Sida) participate.
Is there something in the text that is not correct? Contact us at opinion@fuf.se