In 2010, UNDP and China signed a new agreement to strengthen their partnership – the first such Memorandum of Understanding (MoU) between China and a multilateral partner. Under the MoU, UNDP and China have set up innovative, demand-driven programmes to bolster China’s regional and global engagement, expand the range of policy options available to China in its global development work, and foster the exchange of good practices between China and other developing countries.

The year 2013 saw a significant expansion of the Strengthened Partnership between UNDP and China with pilot programme being scaled up and new policy work  undertaken in five identified focus areas.

·Trilateral Cooperation

·Foreign Aid Policy

·Global and Regional Issues

·Private Sector Engagement

·Sharing Development Experiences and Lessons through South-South Dialogue

This work is particularly important to UNDP and our counterparts because it takes place in a context in which China’s global presence and cooperation with other countries in the South continues to expand. China’s aid programme has grown by around 20 percent annually in recent years, and FDI outflow in 2012 amounted to over USD 84 billion, with 80 percent directed toward developing countries. While Africa has been the biggest beneficiary, the impact of China’s development assistance is truly global, and reaches a large number of countries in Eastern Europe, Latin America and within Asia itself.

UNDP China has also continued to play a role in facilitating the sharing of information and experiences in this area. In 2013, UNDP issued a number of briefs and policy papers, including a comprehensive brief published in June 2013 that outlines the components, scale and mechanisms of Chinese development assistance. In addition, UNDP convenes the ‘China in the World Theme Group’ on behalf of the UN system, organizing regular seminars for the Chinese and international community.

UNDP China wishes to warmly acknowledge the generous financial support received for this work in 2013 from the Governments of China, Australia, Denmark, Finland, Norway and the United Kingdom, as well as UNDP Headquarters.