Is it true what has been written about the 10th EDF intentions to opt for the Budget Aid modality that this will really do away with paternalism and donor driven approaches?
Although of course PROJECTS remain of importance for local improvement initiatives, the Commission is no longer interested in the details.
Actually the Commission intends to provide Budget Aid that will not be traced when a country has agreed on clear intentions to:
1. focus on a sector (broad perspective with different components involved),
2. associated the budget to that sector,
3. established a mechanism for donor coordination,
4. involves the Private Sector in sector coordination (PPP),
5. has a feasible plan for institutional capacity development and
6. has established an independent quality control mechanism for performance monitoring.
Of course the country needs to operate in a reasonable healthy economic context and their Public Finance System should be acceptable.
In addition to boosting these processes, the EC aims to agree with the country on the RESULTS that should be attained. These results should preferably be ‘content’ results (e.g. access to services by vulnerable groups) but EC instructions hint that they may even accept ‘process’ results (the level of involvement of the private sector for example).
It appears true that the EC pushes GOOD GOVERNANCE with their BUDGET AID irrespective how these Governments will use the funds.
Actually the EC has abandoned their imposition of their rules and regulations on utilizing the funds. It is all up the the Beneficiary Governments how to do that as long as RESULTS are delivered.
A fascinating revolutionary approach ….
However there are several questions arising from this approach.
– Although the eligibility criteria are normal ‘good governance’ requirements the authorities often feel excessively ‘observed’ and ‘paternalized’ by the Commission in providing all the required information about their governance systems.
– Although it is clearly intended to have the private sector on board no guarantees are required to distribute funds to civic society… And as relations are not always as smooth doubts seem to be quite realistic.
WE INVITE YOU TO REFLECT ON THE EFFECTIVENESS OF THE 10TH EDF APPROACH.
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