The Development Assistance Committee is soon to change the way that private sector instruments (PSIs) are counted as official development assistance (ODA). These rule changes will bring welcome improvements in transparency, and ensure that countries provide clear arguments about why they consider PSIs are likely to have impact. However, the new rules are also likely to:
Expand the definition of ODA to include more private-sector-oriented activities, and so increase headline ODA without necessarily any increase in donor effort;
Worsen the inconsistencies between the two ways PSIs are measured;
and risk giving an incentive for donors to move further away from grant financing.
This event helps CSOs and other organisations by:
Providing an overview of the changes made in the ODA reporting of PSIs so that they can better understand the expected impact on the quantity and quality of ODA in the years to come and, thus, the importance of monitoring PSI ODA in the future.
Demonstrating analytically why the two measurement methods currently in use are likely to give different results in practice, and what this implies about comparing effort between donors.
The event was moderated by Åsa Thomasson, Policy and Advocacy Coordinator at CONCORD Sweden. The event featured remarks and discussions from the following panellists:
Nerea Craviotto, Senior Policy and Advocacy Officer - Aid Effectiveness, Eurodad
Euan Ritchie, Senior Development Finance Policy Advisor, DI
Негізгі бет How the DAC rules are changing and why you should care
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