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The UK is in an influential and important position to influence development outcomes across the world. It remains the only country to meet both the targets to spend 0.7 percent of its national income on overseas aid and 2 percent on defence. It is also the largest “multilateral” aid donor—providing over a third more in aid through the multilateral system than the United States.
The UK has taken up several ideas developed or supported by CGD fellows. Recently, this includes the use of disaster risk insurance and cash transfers in humanitarian relief; committing to an improved trade for development regime after Brexit; pushing for humanitarian reform; using the CDI to assess policy coherence; and using development impact bonds and advanced market commitments.
Browsing through Wikileaks to try to understand what the fuss was all about, Alan came on an interesting cable (10Beijing367) about African views on possible cooperation between China and Western donors on aid to Africa. According the summary of a cable from the U.S. embassy in Beijing, reporting on the views of African diplomats stationed there:
The UK Department for International Development is getting down to real business on adopting results-based approaches to aid. It will allocate future resources across country and regional programs on the basis of “results offers”, as explained here. (DFID spends annually almost 3 billion pounds, about $4.5 billion, on these programs – exclusive of its allocations for humanitarian assistance and for support of multilateral programs.) DFID recently wrapped up one step of the process, in which all country and regional teams set out their “results offers” for the period 2011/12 – 2014/5 (“indicative results teams proposed to deliver” ) for review and evaluation (and some sort of ranking we assume) by internal advisers and a panel including external experts. The reviews were asked to assess the extent to which the results offers are “realistic and evidence-based”. Now ministers will consider them as they determine their aid allocations for the next four years. According to an earlier press release the results offers will cover about 90 countries.
The UK coalition government yesterday announced its spending plans for the next four financial years (to 2014-15). These spending plans are subject to scrutiny and approval by Parliament, though the tradition in Britain is that the spending plans are usually approved without significant amendment.