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The authoritative source of information on the foreign aid policies and programmes of donor countries, the annual Development Co-operation Report by the Chair of the OECD Development Assistance Committee (DAC) presents detailed statistics and analysis, this year providing an insight into some of the urgent and intractable issues that members have been working together to address in 2005.
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Will donor countries reach the annual target of USD 130 billion by 2010? Where is aid going and how can it be used more effectively? Does technical co-operation - paying experts from developed countries to work in developing countries - make sense? Is enough being done to stimulate growth to benefit the lives of poor people? As always, this account is complemented by comprehensive statistical information on aid flows, reflecting the DAC's role in accounting transparently for the activities of its members.
Tables and charts are available via StatLinks.
"Anyone wanting to know the state of the art in development assistance should read the Development Co-operation Report 2005."
- Dr. Michael Hofmann, Director of the Federal Ministry for Economic Co-operation and Development,
"Essential reading for anyone involved in aid, development co-operation and poverty reduction…
The statistical section of the report is a mine of authoritative information."
- Judith Randel, Partner, Development Initiatives, Somerset, United Kingdom
"This authoritative report surveys the field, celebrates progress and, in some areas, signals problems ahead."
Simon Maxwell, Director of the Overseas Development Institute, London, United Kingdom
"This report brings clear analysis of aid’s shortcomings."
- Nancy Birdsall, President of the Center for Global Development, Washington, D.C., United States of America
Content by chapters
Preface by the OECD Secretary-General
Foreword by the Chairman of the Development Assistance Committee
Chapter 1. Overview by the DAC Chair
Aid budgets are set to increase, but can aid be delivered more effectively? This chapter focuses on how much aid will be delivered, by when, to whom and how. It looks at the need to show real results to OECD taxpayers, and reflects on the lessons learnt from our collective failure to achieve the gender equality in school target in 2005.
Chapter 2. Promoting Pro-Poor Growth
We are at a critical junction. A dramatic increase in the rate of growth is needed to meet the MDG poverty goal by 2015. By focusing on pro-poor growth, donors increase the ability for the poor to participate and benefit from growth. This chapter sets out the main policy dimensions of such an agenda and examines how donors can help partners in its implementation.
Chapter 3. Aid Effectiveness: Three Good Reasons Why the Paris Declaration Will Make a Difference
There are at least three good reasons to be confident that the Paris Declaration on Aid Effectiveness will increase the impact of aid: it goes beyond previous agreements; it has twelve practical indicators to monitor progress; and it creates stronger mechanisms for accountability by donors and developing countries.
Chapter 4. Policies and Efforts of Bilateral Donors
Aid is going up in most OECD DAC member countries. A significant proportion of the increased volume however, came in the form of debt relief. This chapter reports on each OECD DAC member countries' policies and efforts in the last few years including measures taken to improve aid effectiveness. The findings of the 2005 Peer Reviews of Belgium, Germany, New Zealand, Sweden and Switzerland are also included.
Chapter 5. Technical Co-operation
Technical co-operation (TC) has always played a central role in aid programmes, but has come under repeated criticism for being too costly, inappropriate to recipients' needs, or for fostering dependency. This chapter explores the extent to which OECD DAC statistics can throw light on the controversies surrounding TC, and flags recent proposals to improve TC, including current DAC work to improve the data.
How to obtain this publication
The DAC Journal: 2004 Development Co-operation Report
The DAC Journal: Development Co-operation Report 2003