Glossary

 

A/B/C/D/E/F/G/H/I/J/K/L/M/N/O/P/Q/R/S/T/U/V/W/X/Y/Z

Annual Budget

 

 

 

 

 

 

Is the annual budget as it was originally approved by the legislature. In order to support discipline and credibility of the budget preparation process, subsequent revisions to the original annual budget - even when approved by the legislature - should NOT be recorded under question Qg14. This is because it is the credibility of the original, approved budget that is important to measure and because revisions to the annual budget in many cases are retroactive.

 

Aid for the government sector

ODA disbursed in the context of an agreement with administrations (ministries, departments, agencies or municipalities) authorised to receive revenue or undertake expenditures on behalf of central government. This includes works, goods or services delegated or subcontracted by these administrations to other entities such as:

• Non-Governmental organisations (NGOs);
• semi-autonomous government agencies (e.g. parastatals), or;
• private companies.

All parallel PIUs used in the context of aid for the government sector should be reported for the purpose of calculating indicator 6. This includes parallel PIUs where aid for the government sector is provided through – for example – Non-Governmental Organisations (NGOs). Aid to or through Non-Governmental Organisations which is not deemed to be for the government sector should not be reported.

 

Aid policy or strategy (Qg31) 

A document which sets out agreed approaches to the delivery of aid in the partner country, containing agreed principles, processes and/or targets designed to improve the effectiveness of aid. This may take the form of a stand-alone policy or strategy document, or may be addressed within another document (for example, as part of a national development strategy or similar). The document has been the subject of consultation and agreement between government and donors.

 

Assessments towards aid effectiveness targets (Qg33)

A formal process of assessment towards the targets agreed by government and donors. Such an assessment is undertaken on a regular basis (e.g. one to two years) and might be supplemented through independent/impartial reviews. The results of such assessments should be made publicly available through appropriate means to ensure transparency.

 

Baseline data (Indicator 11)

Data is available at the start of the period covered by the national strategy, relating directly to outputs and outcomes targeted by the strategy, which serves as a basis for comparison – and therefore the monitoring of progress - with the subsequently acquired data.

 

Broad-based dialogue

Mutual assessments should engage in dialogue a broad range of government ministries (including line ministries and relevant departments) and donors (bilateral, multilateral and global initiatives). Government and donors should also consider engaging with non-executive stakeholders, including parliamentarians and civil society organisations.

 

Capacity Development

Different organisations use different definitions for capacity development. According to the OECD-DAC Network on Governance, capacity development is the process whereby people, organisations and society as a whole unleash, strengthen, create, adapt and maintain capacity over time. Recent research  shows that capacity development is more likely to be effective when:

  • Capacity development is treated as a goal in its own right and that increased efforts are made to identify the objectives it seeks to achieve (“Capacity development for what?”).
  • Support for capacity development addresses three dimensions: human capacity, organisational capacity and broader institutional capacity.
  • Capacity development is country owned rather than donor driven.  

Co-ordinated Country Analytic Work

 

 

 

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Co-ordinated country analytic work is: (i) CAW undertaken by one or more donor jointly; (ii) CAW undertaken by one donor on behalf of another donor (including work undertaken by one and/or used by another when it is co-financed and formally acknowledged in official documentation); (iii) CAW undertaken with substantive involvement from government.

Co-ordinated Missions

Co-ordinated missions are: (i) missions undertaken by one or more donor jointly, or (ii) missions undertaken by one donor on behalf of another donor (delegated co-operation).

Co-ordinated Technical Co-operation 

Co-ordinated technical co-operation means free-standing and embedded technical co-operation that respects the following principles. Ownership -- Partner countries exercise effective leadership over their capacity development programmes. Alignment – Technical co-operation in support of capacity development is aligned with countries’ development objectives and strategies. Harmonisation – Where more than one donor is involved in supporting partner-led capacity development, donors co-ordinate their activities and contributions.

Donor are invited to review all their development activities with a view to determining how much technical co-operation was disbursed through co-ordinated programmes that meet BOTH criteria below:
1. Have relevant country authorities (government or non-government) communicated  clear capacity development objectives as part of broader national or sector strategies?  (Y/N)
2. Is the technical co-operation aligned with the countries’ capacity development  objectives? (Y/N)

AND at least ONE of the criteria below:
3. Do relevant country authorities (government or non-government) have control over the  technical co-operation? (Y/N)
4. If more than one donor is involved in supporting country programmes, are there  arrangements involving the country authorities in place for co-ordinating the technical co- operation provided by different donors? (Y/N)

Country Analytic Work (CAW)

 

 

 

 

 

 

 

 

 

 

 

 

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Country analytic work (CAW) encompasses the analysis and advice necessary to strengthen policy dialogue, develop and implement country strategies in support of sound development assistance. Good analytic work is essential for well-focused development policy and programmes. It should include major pieces of analytical work such as:

  • Diagnostic reviews (e.g. Country Procurement Assessment Report, Country Financial Accountability Assessments etc.).
  • Country or sector studies and strategies.
  • Country or sector evaluations.
  • Cross-cutting analytical work such as gender assessments.

 

Country level aid effectiveness targets (Qg32)

Country targets for improved aid effectiveness have been established, including within the framework of the agreed Partnerships Commitments and Indicators of Progress included in the Paris Declaration (PD §9). They may, however, go beyond the Paris Declaration wherever government and donors agree to do so. Targets exist for both the partner country government and donors.

 

Direct Budget Support

Direct budget support is defined as a method of financing a partner country’s budget through a transfer of resources from a donor to the partner government’s national treasury. The funds thus transferred are managed in accordance with the recipient’s budgetary procedures. Funds transferred to the national treasury for financing programmes or projects managed according to different budgetary procedures from those of the partner country, with the intention or earmarking the resources for specific uses, are therefore excluded from this definition of budget support (Source: OECD 2006, Harmonising Donor Practices for Effective Aid Delivery, Chapter 2, Vol. 2). This definition also includes sector budget support provided and general budget support.

 

Direct Budget Support provided in support of Programme-Based Approaches (Qd15)

This includes all direct budget support provided in support of PBA under the definition of PBA for the survey. Direct budget support — including general and sector budget support — is defined as a method of financing a partner country’s budget through a transfer of resources from a donor to the partner government’s national treasury.

 

Disbursements

A disbursement is the placement of resources at the disposal of a recipient country or agency (see OECD-DAC Statistical Directives para. 15-18). Resources provided in kind should only be included when the value of the resources have been monetised in an agreement or in a document communicated to government.

Where ODA is provided to the partner country as part of a donor’s regional (multi-country) programme and it is possible to identify those activities and disbursements that are specific to that partner country, these disbursements should also be recorded. In order to avoid double counting in cases where one donor disburses ODA funds on behalf of another, it is only the donor who makes the final disbursement to the government who should report on these funds. The only exception to this is Qd5, against which donors should record total ODA funds channelled through other donors (in the case of delegated co-operation, funds provided through multilateral organisations at the country level or multi-donor trust funds administered by another donor).

 

Disbursements: (OECD Statistical Directives, para 15-18)

www.oecd.org/dac/stats/dacdirectives

15. A disbursement is the placement of resources at the disposal of a recipient country or agency, or in the case of internal development-related expenditures, the outlay of funds by the official sector. Disbursement may be measured in various ways at different stages of the transfer process:
16. For financial loans and grants, subject to the availability of the necessary records, preference should be given to the stage closest to balance-of-payments treatment, e.g.:
i.  the payment by the source agency for goods to be shipped (or other payments to a third party on behalf of the recipient);
ii.  in the case of contributions to multilateral agencies in the form of a note or similar instrument encashable unconditionally at sight at the discretion of the recipient, on issue or deposit of the note;
iii.  the placement of funds at the recipient.s disposal in an account in the donor country, in the recipient country or in a third country;
iv.  the withdrawal of funds by the recipient or use on his instructions of funds in an account in the donor country, in the recipient country or in a third country.
17. However, where funds are transferred to an account in the recipient country but held by the donor for release to the recipient on production of relevant documents, the balance-of-payments effective transaction is the conversion of foreign exchange, and this should be recorded as a disbursement.
18. For provision of resources in kind, disbursement can be considered as occurring at the stages of purchase by the source agency of goods for shipment, receipt, or transfer of ownership. Preference should be given to the latter as the stage which is closest to balance-of-payments treatment. For development-related outlays within the donor country, disbursements are measured at the point of payment by the official sector. 

 

Disbursements for the Government Sector

ODA disbursed in the context of an agreement with administrations (ministries, departments, agencies or municipalities) authorised to receive revenue or undertake expenditures on behalf of central government. This includes works, goods or services delegated or subcontracted by these administrations to other entities such as:

  • Non-Governmental Organisations (NGOs);
  • Semi-autonomous government agencies (e.g. parastatals), or;
  • Private companies

Donor 

 

A donor is an official agency — including state and local governments — that provides Official Development Assistance (OECD-DAC Statistical Directives para. 35). Under this definition, Non-Governmental Organisations (NGO) and private companies do NOT qualify as donors.

Donor Missions to the Field

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Donor missions to the field are defined as missions that meet all of the following criteria:

  • The mission is undertaken by, or on behalf of, a donor, including programme developers, appraisers and evaluators, sector assessment teams commissioned by a donor
  • The mission involved international travel typically, but not exclusively, from donor headquarters
  • The mission made a request to meet with government officials including local government

 

This definition should exclude missions:

  • Undertaken by donors to attend events (workshops, conferences, etc.) that do not involve request to meet with government officials
  • Undertaken by parliamentary or other political delegations.
  • Special event missions undertaken as part of a defined programme, e.g. electoral observers
  • External consultants that are executing work as part of scheduled programme implementation plans
  • Disaster assessment teams.

 

Exchange Rates

ODA should be reported in US dollars. Average annual exchange rates for major currencies are available at: www.oecd.org/dac/stats/reftable

Use of National Financial Reporting Procedures (Qd9)

Legislative frameworks normally provide for specific types of financial reports to be produced as well as periodicity of such reporting. The use of national financial reporting means that donors do not impose additional requirements on governments for financial reporting. In particular donors do NOT require: (i) maintenance of a separate accounting system to satisfy donor reporting requirements, and (ii) creation of a separate chart of accounts to record the use of donor funds.

Donors are invited to review all their development activities with a view to determining how much ODA for the government sector meet BOTH criteria below (anything less does not qualify):
1. You do NOT require maintenance of a separate accounting system to satisfy your own reporting requirements?
2. You ONLY require financial reports prepared using country’s established financial reporting arrangements? (Y/N)

Fiscal Year 2009/2010

 

 

 

 

 

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The fiscal year is the fiscal year of the country receiving ODA. In order to have data available in time for the Fourth High Level Forum both donors and partner countries are required to report against the calendar year 2010 except in the case of Indicator 3 (Aid Flows aligned on national priorities) that is measured against the partner country’s fiscal year 2009/10.

General Budget Support

 

 

 

 

General budget support is a sub-category of direct budget support. In the case of general budget support, the dialogue between donors and partner governments focuses on overall policy and budget priorities. (Source: Adapted from OECD 2006, Harmonising Donor Practices for Effective Aid Delivery: Three Volumes, Vol. 2, Chap. 2: Budget Support).

Geographical and sectoral coverage (Indicator 11)

Data availability at a sub-national level (e.g., province and district) and a sectoral level (e.g., education and health).

Grants

(OECD Statistical Directives)

www.oecd.org/dac/stats/dacdirectives

 

27. Grants are transfers in cash or in kind for which no legal debt is incurred by the recipient. For DAC reporting purposes, it also includes debt forgiveness, which does not entail new transfers; support to non-government organisations; certain costs undergone in the implementation of aid programmes; and grant-like flows., i.e. loans for which the service payments are to be made into an account in the borrowing country and used in the borrowing country for its own benefit.

Grant Element

(OECD Statistical Directives)

www.oecd.org/dac/stats/dacdirectives

 

 

 

 

 

 

 

 

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28. The grant element in the ODA definition is a mathematical assessment of the financial terms of a transaction or set of transactions. It is the difference between the face value of a loan and the present value (calculated at a rate of discount of 10 per cent) of the service payments the borrower will make over the lifetime of the loan, expressed as a percentage of the face value. Three factors determine the grant element:
i.  interest rate (per cent per annum);
ii.  grace period, i.e. the interval from commitment date to the date of the first payment of amortisation;
iii.  maturity, i.e. the interval from commitment date to the date of the last payment of amortisation.

Humanitarian Aid (code 070) - Line I.A.1.5

(OECD Statistical Directives)

www.oecd.org/dac/stats/dacdirectives

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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1.17 Within the overall definition of official development assistance (ODA), humanitarian aid is assistance designed to save lives, alleviate suffering and maintain and protect human dignity during and in the aftermath of emergencies. To be classified as  humanitarian, aid should be consistent with the humanitarian principles of humanity, impartiality, neutrality and independence.

1.18 Humanitarian aid includes: disaster prevention and preparedness; the provision of shelter, food, water and sanitation, health services and other items of assistance for the benefit of affected people and to facilitate the return to normal lives and livelihoods; measures to promote and protect the safety, welfare and dignity of civilians and those no longer taking part in hostilities and rehabilitation, reconstruction and transition assistance while the emergency situation persists. Activities to protect the security of persons or property through the use or display of force are excluded. Includes aid to refugees in developing countries, but not to those in donor countries.of which: Relief food aid (code 062)
1.19 Relief food aid comprises supplies of food, and associated costs, provided for humanitarian relief purposes.

 

Impacts (Indicator 11)

Positive and negative, primary and secondary long-term effects produced by a development intervention, directly or indirectly, intended or unintended.

 

Indicator (Indicator 11)

Quantitative or qualitative factor or variable that provides a simple and reliable means to measure achievement, to reflect the changes connected to an intervention, or to help assess the performance of a development factor.

 

Input (Indicator 11)

The financial, human, and material resources used for the development intervention.

 

Loan

(OECD Statistical Directives)

www.oecd.org/dac/stats/dacdirectives

 

 

 

 

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30. Loans are transfers in cash or in kind for which the recipient incurs a legal debt. Official loans are those with fixed maturities made by governments (central and local) or official (non-monetary)
agencies, for which repayment is to be made by the recipient country. This includes loans repayable in the borrower's currency whether the lender intends to repatriate the repayments or to use them in the borrowing country. See Grant Element to determine if an official loan counts as ODA or OOF.

 

Long-term Vision (Indicator 1)

A document, plan or policy providing overarching direction over a longer time horizon (typically 10-25 years) with respect to the partner country’s development goals and priorities and key means of achieving these.

 

Medium-Term Fiscal Framework (MTFF)

A framework that defines the overall medium term (typically 3-5 years) fiscal aggregates including revenue, expenditure and deficit /surplus that a country has available in the medium term consistent with a macro-economic framework

 

Medium-Term Expenditure Framework (MTEF)

A framework that combines coherently a medium term (typically 3-5 years) fiscal framework, medium term sector strategies for key sectors of the economy and medium term indicative expenditure plans/ceilings for each sector.

 

Monitoring and evaluation (Indicator 11)

These are two complementary, but distinct processes. Monitoring focuses on systematically tracking inputs, outputs, outcomes and impacts as interventions are implemented. Evaluation systematically assesses the efficiency, effectiveness, sustainability and impact of interventions (typically after they have been implemented). Together, monitoring and evaluation allow policymakers to track results, suggest corrections or improvements during implementation, and assess success. M&E systems can also promote ownership of reforms and accountability.

 

Mutual Assessments of Progress

 

 

 

 

 

 

 

 

 

 

 

 

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Mutual assessments of progress are exercises that engage at a national level both partner authorities and donors in a review of mutual performance. For the purpose of assessing progress against Indicator 12 in the 2011 Survey, a country is considered to have a mutual assessment of progress in place when the response to all three questions Qg31, Qg32 and Qg33 is “Yes”.

Qg31. Is there an aid policy or strategy agreed between the partner country government and donors? (Yes/No)
Qg32. Are there specific country-level aid effectiveness targets for both the partner country government and donors? (Yes/No)
Qg33. Has an assessment towards these targets been undertaken by both partner and donors in the last two years and discussed in a forum for broad-based dialogue? (Yes/No)

National Development Strategies (Indicators 1&11)

In this context, National development strategies include Poverty Reduction Strategies (PRSPs) and/or similar overarching strategies. These are typically prepared to cover a clearly identified period of time covering several years.

 

National monitoring and evaluation system (Indicator 11)

Building on sound statistical data and open access to information, produces data on progress toward desired inputs, outputs, and outcomes that are identified in the national development strategy.

 

Official Development Assistance

Official Development Assistance (ODA) includes all transactions as defined in OECD-DAC Statistical Directives para. 37, including official transactions that:

  • Are administered with the promotion of the economic development and welfare of developing countries as its main objective; and
  • are concessional in character and convey a grant element of at least 25% 

 

Official Development Assistance 

(OECD Statistical Directives, para 37)

www.oecd.org/dac/stats/dacdirectives

35. Official development assistance is defined as those flows to countries and territories on the DAC list of ODA recipients and to multilateral development institutions which are:
i.  provided by official agencies, including state and local governments, or by their executive agencies; and
ii.  each transaction of which:
a)  is administered with the promotion of the economic development and welfare of developing countries as its main objective; and
b)  is concessional in character and conveys a grant element of at least 25% (calculated at a rate of discount of 10%).

 

ODA actually received

ODA actually received in the context of agreements between donors and the government sector. Government should report data as it was recorded in the government accounting/reporting systems including, where the information is available, payments made directly by donors to third parties.

 

ODA recorded in annual budget

This should include all ODA recorded in the annual budget as grants, revenue or ODA loans. 

 

ODA scheduled for disbursement 

This includes ODA scheduled by donors for disbursement in calendar year 2010 and notified to government within calendar year 2009; it includes ODA scheduled for disbursement in aid agreements entered into 2010. 

 

ODA transactions not to be recorded in this survey

The following transactions are excluded from the scope of this survey and should not be recorded:

  • Transactions made to beneficiaries that are not based in the country receiving ODA or to regional organisations.
  • Debt reorganisation/restructuring.
  • Emergency and relief assistance.

Information on these components of ODA, and how they are managed, can be described within the scope of the Country Report.

 

Other Donor Assistance provided in support of PBAs (Qd16)

This includes ODA provided in support of PBAs, but excluding direct budget support. This might include:

  • Projects integrated into Sector-Wide Approaches (SWAps).
  • Pooled arrangements in support of programme-based approaches (e.g. basket funding or pooling of technical assistance).
  • Other assistance in support of programme-based approaches.

 

In each of the countries where the survey is undertaken, donors should be prepared to share with National Co-ordinators the list of their activities that qualify as programme-based approaches and how each meets the PBA criteria.

 

Other Official Flows
(OECD Statistical Directives, para 40)
www.oecd.org/dac/stats/dacdirectives

Other official flows are official sector transactions which do not meet the ODA criteria, e.g.:
i.  Grants to developing countries for representational or essentially commercial purposes.
ii. Official bilateral transactions intended to promote development but having a grant element of less than 25 per cent.
iii. Official bilateral transactions, whatever their grant element, that are primarily export-facilitating in purpose.  This category includes by definition export credits extended directly to a developing country by an official agency or institution (“official direct export credits”).
iv. The net acquisition by governments and central monetary institutions of securities issued by multilateral development banks at market terms.
v. Subsidies (grants) to the private sector to soften its credits to developing countries.
vi. Funds in support of private investment.

 

Outcome (Indicator 11)

The likely or achieved short-term and medium-term effects of an intervention’s outputs.

 

Output (Indicator 11)

The products, capital goods and services which result from a development intervention; may also include changes resulting from the intervention which are relevant to the achievement of outcomes.

 

Public expenditure (Indicator 11)

Expenditures by general government, central government through the national budget and other budgetary instruments and local government.

 

Use of all three national procedures (Qd11)

Disbursements of ODA for the government sector that use all three components of a country’s national public financial management procedures, i.e.: (i) national budget execution procedures; (ii) national financial reporting procedures and (iii) national auditing procedures.

 

 

Use of national auditing procedures (Qd10)

Donors rely on the audit opinions, issued by the country's supreme audit institution, on the government's normal financial reports/statements as defined above. The use of national auditing procedures means that donors do not make additional requirements on governments for auditing.


Donors are invited to review all their development activities with a view to determining how much ODA for the government sector meet BOTH criteria below:


1. Are your funds subject to audit carried out under the responsibility of the Supreme Audit Institution? (Y/N)
2. You do NOT under normal circumstances request additional audit arrangements? (Y/N)
AND at least one of the two criteria below:
3. You do NOT require audit standards different from those adopted by the Supreme Audit Institution? (Y/N)
4. You do NOT require the SAI to change its audit cycle to audit your funds? (Y/N)

Use of national budget execution procedures (Qd8)

Donors use national budget execution procedures when the funds they provide are managed according to the national budgeting procedures established in the general legislation and implemented by government. This means that programmes supported by donors are subject to normal country budgetary execution procedures, namely procedures for authorisation, approval and payment.
Donors are invited to review all their development activities with a view to determining how much ODA for the government sector meet three out of the four criteria below (anything less does not qualify):
1. Are your funds included in the annual budget approved by country legislature? (Y/N)
2. Are your funds subject to established country budget execution procedures? (Y/N)
3. Are your funds processed (e.g. deposited & disbursed) through the established country treasury system? (Y/N)
4. You do NOT require the opening of separate bank accounts for your funds? (Y/N)

 

Use of national financial reporting procedures (Qd9)

Legislative frameworks normally provide for specific types of financial reports to be produced as well as periodicity of such reporting. The use of national financial reporting means that donors do not impose additional requirements on governments for financial reporting. In particular donors do NOT require: (i) maintenance of a separate accounting system to satisfy donor reporting requirements, and (ii) creation of a separate chart of accounts to record the use of donor funds.


Donors are invited to review all their development activities with a view to determining how much ODA for the government sector meet BOTH criteria below (anything less does not qualify):

 

1. You do NOT require maintenance of a separate accounting system to satisfy your own reporting requirements?
2. You ONLY require financial reports prepared using country’s established financial reporting arrangements?

 

Use of national procurement procedures (Qd11)

Donors use national procurement procedures when the funds they provide for the implementation of projects and programmes are managed according to the national procurement procedures as they were established in the general legislation and implemented by government. The use of national procurement procedures means that donors do not make additional, or special, requirements on governments for the procurement of works, goods and services. (Where weaknesses in national procurement systems have been identified, donors may work with partner countries in order to improve the efficiency, economy, and transparency of their implementation). 

 

Performance-orientation (in the budgeting and MTEF)

A focus on identifying and monitoring output and outcome targets with indicators and ensure that allocation decisions are linked to these.

 

Programme-Based Approach (PBA)

Programme-based approaches (PBA) are a way of engaging in development co-operation based on the principles of co-ordinated support for a locally owned programme of development, such as a national development strategy, a sector programme, a thematic programme or a programme of a specific organisation.

 

Programme based approaches share the following features:

(i) Leadership by the host country or organisation;

(ii) A single comprehensive programme and budget framework;

(iii) A formalised process for donor co-ordination and harmonisation of donor procedures for reporting, budgeting, financial management and procurement;

(iv) Efforts to increase the use of local systems for programme design and implementation, financial management, monitoring and evaluation.


Donors can support and implement programme-based approaches in different ways and across a range of aid modalities including budget support, sector budget support, project support, pooled arrangements and trust funds.
Donors are invited to review all their development activities with a view to determining how much ODA was disbursed in support of programme-based approaches that meet ALL 4 of the following criteria should be met (anything less does not qualify as a PBA):


1. Is the host country or organisation exercising leadership over the programme supported  by donors?

2. Is a single comprehensive programme and budget framework used?

3. Is there a formal process for donor co-ordination and harmonisation of donor procedures  for at least two of the following systems: (i) reporting, (ii) budgeting, (iii) financial  management and (iv) procurement?

4. Does your support to the programme use at least two of the following local systems:


(i) programme design, (ii) programme implementation, (iii) financial management and (iv)  monitoring and evaluation?


Donors are invited to review their portfolio of activities with a view to determining which of them meet all four of the above criteria (activities that meet less than four criteria do not qualify as ODA provided in support PBAs). A list of illustrative examples is provided below to help respondents determine how the criteria apply to specific assistance activities. For the purpose of this survey, direct budget support provided in support of PBAs is tracked separately from other PBA modality:


• Direct budget support provided in support of PBAs.
• Other assistance in support of programme-based approaches.

 

Progress Report of the National Development Strategies (Indicator 1)

 

Such report(s) are typically published once or more during the implementation of the national development strategy, and will provide a comprehensive overview of progress drawing on relevant evidence.

 

Project Implementation Unit

When providing development assistance in a country some donors establish Project Implementation Units (They are also commonly referred to as project management units, project management consultants, project management offices, project coordination offices etc.). These are dedicated management units designed to support the implementation and administration of projects or programmes. PIUs typically share the following key features:

  • PIUs are TYPICALLY required to perform subsidiary (rather than principal) tasks with regard to the implementation of a project or programme: monitoring and reporting on technical and/or financial progress, accounting, procurement of works, goods and services, drawing-up of terms of reference, contract supervision, detailed design or equipment specification.
  • PIUs are often established at the request of a donor following the inception of a project or programme. 
  • The staff of PIUs vary considerably in size and composition. Staff size can vary from 1 to as many as 200 but most count fewer than 10 professional staff. Although a significant number of PIUs make use of government staff, most PIUs are externally recruited (e.g. long-term local consultants).
  • A distinction is made here between a PIU and technical advice provided directly to national administrations. 

 

Parallel PIU

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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A PIU is parallel when it is created and operates outside existing country institutional and administrative structures at the behest of a donor. In practice, there is a continuum between parallel and integrated PIUs. The criteria below have been designed to help donors and partner authorities draw a line within this continuum and identify with greater certainty parallel PIUs.


Donors are invited to review all their development activities for the government sector with a view to determining how many PIUS are parallel. For the purpose of this survey, PIUs are said to be parallel when there are three or more “Yes” to the four questions below (anything less counts as integrated):


1. Are the PIUs accountable to the external funding agencies/donors rather than to the country implementing agencies (ministries, departments, agencies etc)?

2. Are the terms of reference for externally appointed staff determined by the donor (rather than by the country implementing agencies)?
3. Is most of the professional staff appointed by the donor (rather than the country implementing agencies)?

4. Is the salary structure of national staff   (including benefits) higher than those of civil service personnel?

 

Sector Budget Support

 

 

 

 

 

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For the purposes of this survey, sector budget support is a sub-category of direct budget support. Sector budget support means that dialogue between donors and partner governments focuses on sector-specific concerns rather than on overall policy and budget priorities (Source: Adapted from OECD 2006, Harmonising Donor Practices for Effective Aid Delivery, Vol. 2, Chap. 2: Budget Support)

 

Technical Co-operation 

 

Technical co-operation (also referred to as technical assistance) is the provision of know-how in the form of personnel, training, research and associated costs. (OECD DAC Statistical Reporting Directives 47-50, see below). It comprises donor-financed:

  • Activities that augment the level of knowledge, skills, technical know-how or productive aptitudes of people in developing countries; and
  • Services such as consultancies, technical support or the provision of know-how that contribute to the execution of a capital project.


Technical Co-operation can be provided to both government and non-government entities, and includes both free standing technical co-operation and technical co-operation that is embedded in investment programmes (or included in programme-based approaches). In order to report against this question, donors are invited to review their portfolio of projects and programmes and estimate the share of technical co-operation.

Technical Co-operation  

(OECD Statistical Directives, para 47-50)

www.oecd.org/dac/stats/dacdirectives

40. Technical Co-operation is the provision of know-how in the form of personnel, training, research and associated costs.
41. Used without qualification, the term Technical Co-operation (sometimes referred to as technical assistance) is a generic term covering contributions to development primarily through the medium of
education and training. There is, however, a distinction that is relevant to the compilation of statistical data, between free-standing TC (FTC) and investment-related TC (IRTC).
42. Free-standing technical co-operation comprises activities financed by a donor country whose primary purpose is to augment the level of knowledge, skills, technical know-how or productive aptitudes of the population of developing countries, i.e. increasing their stock of human intellectual capital, or their capacity for more effective use of their existing factor endowment. DAC statistical reporting under technical co-operation. items includes only free-standing technical co-operation. This relates essentially to activities involving the supply of human resources (teachers, volunteers and experts: technical cooperation personnel.), or action targeted on human resources (education, training, advice). Associated
supplies are also classified as technical co-operation.
43. Investment-related technical co-operation is defined as the financing of services by a donor country with the primary purpose of contributing to the design and/or implementation of a project or programme aiming to increase the physical capital stock of the recipient country. These services include consulting services, technical support, the provision of know-how linked to the execution of an investment project, and the contribution of the donor.s own personnel to the actual implementation of the project (managers, technicians, skilled labour, etc.). In DAC statistics, these expenditures are included indistinguishably with project and programme aid.

44. FTC expenditure includes financing of:
i.  Students and trainees who are nationals of developing countries. Students are those registered for systematic instruction in private or public institutions of higher education, at both second and third (including postgraduate) levels. This includes students receiving bilateral grants to follow full-time studies or training courses, but not those attending schools financed by the donor but not receiving individual grants. Trainees are nationals of developing countries receiving mainly nonacademic, practical or vocational training (including training at secondary vocational schools which do not provide courses qualifying for admission to higher education), or training through visiting tours and short-term resident training courses, or attendance at ad hoc non-academic courses and seminars. General subsidies to the education sector and the costs and numbers of .counterparts. receiving on-the-spot training while working with experts are excluded. Training of police in routine civil policing functions is reportable, but not training in counter-subversion methods, suppression of political dissidence, or intelligence-gathering on political activities.
ii.  Experts, teachers, and volunteers and contributions to public and private bodies for sending experts to developing countries. Supplementation payments by the donor country to experts employed by developing countries or international aid agencies should also be included, as well as the cost to the reporting government of civil servants seconded to developing countries and territories. Volunteers are persons who work in a developing country under wholly or partly publicly financed or publicly controlled volunteer programmes, receiving a stipend in compensation for their services, i.e. subsistence allowances, daily support costs, and/or financial remuneration, either during the period of service, or on return home.

iii. Equipment and materials for training, demonstration and other technical co-operation purposes, such as teaching materials and equipment for schools and training centres; equipment and machinery for model installations, tools and equipment for surveys, pre-investment studies and other field work, equipment for research institutes and materials such as films, etc.
iv.  Other forms of TC, mainly research, development-oriented social and cultural programmes, technical support, contract services, and package-type projects whose ultimate product corresponds dominantly to a form of technical co-operation. It should include direct contributions by the reporting country's government and official agencies and contributions to public and private bodies acting as executing agencies undertaking technical co-operation activities. Research includes financing by the official sector, whether in the donor country or elsewhere, of research into the problems of developing countries. This may be either (i) undertaken by an agency or institution whose main purpose is to promote the economic growth or welfare of developing countries, or (ii) commissioned or approved, and financed or part-financed, by an official body from a general purpose institution with the specific aim of promoting the economic growth or welfare of developing countries. Research undertaken as part of the formulation of aid programmes in central or local government departments or aid agencies is considered as an administrative cost. Development-oriented social and cultural programmes provide basic
facilities or training to enhance the social and cultural development of nationals of developing countries. The emphasis is on to enhance. Thus musical training would in general be eligible, but not a concert; language courses would be eligible, but a poetry reading not, and so on. More specifically, the expenditures reported should exclude finance for artistic, musical and sporting events, including tours, visits and the attendance of professional artists or sportsmen. As well as educational services, they will typically, but not exclusively, include finance for the provision of
books, periodicals, the creation or operation of libraries, provision of prizes, and the running of seminars, philosophy and humanistic studies, the consolidation of a recipient country's cultural heritage (including archaeological projects), and the provision of recreational facilities and equipment. Exclude expenditures essentially intended to improve the image of a donor country in the country in which they are made, or incurred in connection with friendly or cultural exchange schemes.

Transactions not to be recorded in this Survey

 

 

 

 

 

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The following transactions are excluded from the scope of this survey and should not be recorded:

  • Transactions made to beneficiaries that are not based in the country receiving ODA or to regional organisations.
  • Debt reorganisation/restructuring.
  • Emergency and relief assistance.

 

 

 

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