2008 DAC Report on Multilateral Aid by OECD

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If a multilateral is deemed to be relevant contributions will depend on its effectiveness and the progress it is making to improve effectiveness. The Strategy directs that financing should contribute to adequate and predictable funding, and indicates that Sweden prefers non-earmarked contributions and long-term financing. The Strategy explains the risks in earmarking funding, including a lack of focus on core activities, lack of clarity in distribution of work and the danger of undermining accountability.

1b Multilateral 9 5 Bilateral DAC (excl. fragile states) Fragile states Multilateral (excl. fragile states) Fragile states 23 59 Bilateral DAC (excl. fragile states) Fragile states Multilateral (excl. fragile states) Fragile states Source: DAC Aggregate Statistics Note: Data on the multilaterals are incomplete. Around 23 of the major organisations are included, including eight UN agencies. 3 shows the geographical distribution of commitments of multilateral non-core funding. The share of non-core aid allocated to global programmes is relatively large.

Administration fees may encourage some bilateral donors to earmark funding or to choose one agency over another. 5. Management of European Commission assistance The European Commission (EC) is unique among DAC members in that it plays a dual role in development assistance. The EC manages funds on behalf of the EU (European Union), acts as a “federator” of aid from the 27 EU Member States and contributes non-core funding to multilateral organisations. 7 billion committed to the tenth replenishment covering 2008-13.

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