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Financing for sustainable development

Multilateral Development Finance

Towards a New Pact on Multilateralism to Achieve the 2030 Agenda Together

Published on November 29, 2018

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This report contributes to the broader international debate on why we need multilateralism and how to make it more effective to achieve the 2030 Agenda. At a time when the value of multilateralism is being questioned, the report provides new evidence and recommendations for a new “pact” on multilateralism. This pact would be founded on recognition of the mutual responsibility of sovereign states and multilateral institutions to create a stronger, more effective multilateral system.The report offers a detailed overview of official development assistance (ODA) spending through the multilateral system. This year’s edition introduces three innovations. First, it examines the growing role of China, other sovereign states, philanthropy and the private sector as funders of multilateral organisations. Second, it analyses concessional and non-concessional spending by multilateral institutions, and discusses how multilateral action needs to adapt to the new development agenda. Third, it presents a new multi-dimensional metrics to measure the quality of multilateral funding, using financing to the World Health Organisation as a case study. Building on this evidence, the report outlines policy recommendations that provide a sound basis for principles of good multilateral donorship to deliver on the 2030 Agenda.

SUMMARIESavailable in 6 languages

English Multilateral Development Finance (Summary in English)
Spanish Financiamiento del Desarrollo Multilateral
German Multilaterale Entwicklungsfinanzierung
Japanese 国際開発金融
Italian Finanziamento multilaterale per lo sviluppo
Portuguese Financiamento Multilateral do Desenvolvimento

TABLE OF CONTENTS

Foreword
Editorial: We need a new pact on good multilateral donorship
Abbreviations and acronyms
Executive summary
Infographic: New Principles on Good Multilateral Donorship
Overview
Key funding trends in the multilateral development system2 chapters available
Funding to the multilateral development system
Funding from the multilateral development system
Towards principles of good multilateral donorship5 chapters available
Good multilateral donorship for the 2030 Agenda
Building an evidence base on policies, decision-making and monitoring practices
Building an evidence base on good multilateral funding
Glossary of the terms used in this report
Country fact sheets: How are DAC members using the multilateral development system?
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HIGHLIGHTS


NEW PRINCIPLES ON GOOD MULTILATERAL DONORSHIP

MDF Principles 350  
  • Adopt whole-of-government approaches to define expected outcomes of multilateral partnerships and establish adequate co-ordination mechanisms.
  • Strengthen collective initiatives to assess multilateral performance, such as multilateral organisations’ evaluation units and MOPAN.
  • Promote harmonised working practices of multilateral organisations and encourage discussions on systemic gaps and division of labour. 
  • Fill gaps in underfunded areas by funding thematic windows and softly-earmarking funds instead of strictly earmarking at project level. 
  • Increase predictability of funding by making multi-annual commitments linked to the strategic plans of multilateral organisations.
  • Use evidence to make decisions on earmarked funding and ensure alignment with the mandate and priorities of multilateral organisations.

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COUNTRY FACT SHEETS: HOW ARE DAC MEMBERS USING THE MULTILATERAL SYSTEM?

The Multilateral Development Finance Report provides country fact sheets of the ODA contributions to the multilateral system by the 30 members of the Development Assistance Committee. The country fact sheets contain data on both core and earmarked to multilateral agencies.

Australia
Austria
Belgium
Canada
Czech Republic
Denmark
European Union
Finland
France
Germany
Greece
Hungary
Iceland
Ireland
Italy
Japan
Korea
Luxembourg
The Netherlands
New Zealand
Norway
Poland
Portugal
Slovak Republic
Slovenia
Spain
Sweden
Switzerland
United Kingdom
United States

 


THE OECD METRICS ON GOOD MULTILATERAL FUNDING: PROFILES OF 12 SELECTED CONTRIBUTORS TO THE WHO 

Through a pioneering multi-dimensional metrics, the Multilateral Development Finance Report attempts to quantify key components of good multilateral funding. The new OECD metrics was developed from a case study on the World Health Organization that quantitatively assesses the quality of funding provided by 12 contributors based on a number of evidence-based indicators.

Overview
Australia
Bill and Melinda Gates Foundation
Canada
European Commission
France
Germany
Japan
Norway
Sweden
Switzerland
United Kingdom
United States


DATA

OECD database on members' total use of the multilateral system


PREVIOUS EDITIONS

2015 Multilateral Aid 2015
2013 Multilateral Aid Report
2011 DAC Report on Multilateral Aid
2010 Multilateral Aid
2008 DAC Report on Multilateral Aid
   

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