Infrastructure for Development: Show me the Money!

10 Feb 2015 by Magdy Martínez-Solimán, Director, Bureau for Policy and Programme Support

Solar panels in GazaA Renewable energy generation project, implemented by UNDP and funded by the OPEC Fund for International Development (OFID), installed solar panels in schools and maternity clinics in Gaza. Photo: UNDP/PAPP
According to the Oxford University Said Business School, we are facing an unprecedented infrastructure mega-project investment era, amounting to 6-9 trillion US$ annually, or 8% of the global GDP. Whether it involves revamping old infrastructure, developing new sources of energy, providing access to social services and utilities to more people (with the paradigm of universal access in sight) or developing our communications infrastructure, it is easy to be in favour of more, and better, infrastructural development. The issue is not for poor countries alone to struggle with. President Obama wants to upgrade the US roads, bridges and ports by imposing new taxes on overseas earnings by American companies. Little can be said against infrastructure as a public good. The problem is how to interest private finance in that public good.       As the Secretary-General said in his post-2015 agenda Synthesis Report last December, “Urgent action is needed to mobilise, redirect, and unlock the transformative power of trillions of dollars of private resources to deliver on sustainable development objectives.” Infrastructure makes life better, economies more competitive, and while being built, offers jobs to the value chain. On the other side, however, infrastructure also massively consumes cement and increases emissions. It is one … Read more

2015: Many things could go well!

02 Feb 2015 by Magdy Martínez-Solimán, Director, Bureau for Policy and Programme Support

 The 3x6 approach in Burundi allows people, through an integrated approach to control the development process themselves. (Photo: UNDP Burundi)
This year is iconic, and has been branded as a year of opportunity. Like Y2K, it could be an annus mirabilis (year of miracles). UNDP can make a serious contribution: the Strategic Plan (2014-2017) is designed to chart the way forward in the major conferences ahead, and in the final definition of the Sustainable Development Goals (SDGs). 2015 is the European Year of Development, the UN’s 70th Anniversary and the 20th Anniversary of Beijing (the platform to advance women’s rights).  In 2015, the African Union Summit will focus on Ebola and beyond, and the Turkish G20 Presidency priorities are focused on Inclusivity, Implementation and Investment for growth. We are on the road to Sendai for the 3rd World Conference on Disaster Risk Reduction (DRR), to Addis for the 3rd Conference on Financing for Development (FfD). The events complement each other leading to the General Assembly (GA) on Post 2015 and the CoP21 in Paris. UNDP is ready for the challenge. It is strong, fit, and cost-effective. It is state of the art in development thinking and is in the lead of the UN Development System. What will be our key messages? I suggest the following five: UNDP is ready to support … Read more

What can be done to ensure global agreements include and are relevant to Small Island Developing States?

26 Jan 2015 by Magdy Martínez-Solimán, Director, Bureau for Policy and Programme Support

 New irrigation methods revive farming in a Comorian village. (Photo: UNDP)
Today the United Nations and observers marked the official closing of the International Year of Small Island Developing States (SIDS), a reflection of a global agreement by governments to put these countries, small dots as they are on a global map, in the spotlight for all to see their development challenges and realities in the 21st Century. In this year, 2015, when so many global development processes are coming to a head, including efforts to define and mobilize financing for development, agree a new disaster risk reduction framework in Sendai, and adopt the post-2015 development agenda and Sustainable Development Goals, as well as a new climate change agreement in Paris under the UNFCCCC, the question to be asked is for SIDS is, what can be done to ensure that these global agreements include, and are relevant to SIDS, their size, circumstances and capacities? These countries, which represent over one-quarter of the UN membership, together with their many partners, gathered in Samoa last September for the Third International Conference on SIDS, a once-in-a-decade opportunity, to present their aspirations for the future.  The voices of islanders are a clarion call to the international community: addressing their sustainable development needs goes hand in hand … Read more

How to finance the Post-2015 Development Agenda?

19 Dec 2014 by Gail Hurley, Policy Specialist, Development Finance

 Benoit Almeras-Martino/UNDP DRC
The Sustainable Development Goals (SDGs) are much more ambitious than their predecessor. Much more financing – public and private, domestic and external – will clearly need to be mobilized. In this blog series, our experts share their thoughts on key financing for development issues … Read more

National finance helps Asia-Pacific lead the way on Climate Change

05 Dec 2014

Bangladeshi man rebuildingWith UNDP's support, rural residents in Bangladesh now have the resources and capacities to build back better and become resilient in the face of environmental threats. Photo credit: UNDP Bangladesh
A vital round of United Nations climate change negotiations is underway in Lima, Peru, from Dec. 1-12. This marks a significant milestone for the crucial Paris Summit on climate change that is a year away. At the climate talks in Lima, climate finance will again be at the forefront of negotiations and key in reaching a new global climate agreement. Initiated at the Secretary General’s Climate Change Summit in September, pledging towards the Green Climate Fund almost reached $10 billion. So far, countries in the Asia Pacific region have received a quarter of all global public climate finance. India and China are the largest recipients. Nineteen dedicated climate funds and initiatives have approved more than $2 billion for projects in the region, since 2003. With many countries in Asia Pacific at the frontline of climate change, bolstering resilience of low lying deltas and small islands, and reducing emissions from fast industrializing nations is a good investment. While this international financing is crucial, for it to have a sustained impact and leverage the investments needed it is also important that planning and budgeting systems are revisited through a climate lens. With the support of the United Nations through the Poverty and Environment … Read more

Can business help finance the Post-2015 Agenda? Yes, But…

13 Nov 2014 by Paul Ladd, Team Leader, UNDP team on Post-2015 Development Agenda

A participant at the Latin America regional consultationA participant at the Latin America regional consultation on 'Engaging with the Private Sector' in Cartagena, Colombia. Photo credit: (AECID)
Attention has now started to shift from the ‘what' of the post-2015 agenda to the ‘how' – policy choices, capacities, institutions, and technology to name but a few. In this blog series, our experts share their thoughts on key financing for development issues … Read more

How well is the rich world supporting development?

06 Oct 2014 by Gail Hurley

Miners in DRCMiners in the Democratic Republic of Congo. The mining sector is characterized by conditions of extreme danger, without any security and health framework with negative consequences for the environment. Photo: Benoit Almeras-Martino/UNDP DRC
We all know that many factors influence a country’s progress on poverty reduction and development. Policies and institutions at the domestic level are probably the most important driver. But it’s also true that the policies and actions of other countries – and especially rich and powerful nations – also influence the developing world’s development prospects. In this spirit, MDG 8 was elaborated. This MDG differs from all the others; it measures the developed world’s efforts to do things like increase development aid, cancel the debt of the poorest countries, make international trade fairer and provide access to affordable medicines. These measures, many argue, are just as important as the steps developing country governments can take at home to ‘improve their lot’. Every year, the UN monitors progress on how well the rich world is doing and launched its latest ‘update’ report recently. UNDP partners in this annual monitoring effort. So what’s the verdict? Is the rich world living up to its MDG commitments? On development aid (ODA), the report notes that, despite an increase last year, ODA still was US$180 billion short of the commitment. It’s also heavily concentrated in a few countries; in 2013, just 10 countries absorbed over 34% … Read more

Crowdfunding for development: fad or future?

19 Sep 2014 by Benjamin Kumpf, Knowledge Management Specialist

Children picking olives from a treeChildren picking olives at Ostrog Primary School which was made energy independent, through a crowfunding campaign supported by UNDP and the Kaštela Energy Cooperative. Photo: Marina Kelava/UNDP Croatia
Steady growth and, for now, no end of the trend in sight: the crowdfunding market keeps expanding across the globe. Crowdfunding describes the practice of securing funding for a specific project or business venture by a dispersed group of people with some shared interests, “the crowd”. Most crowdfunding initiatives are dependent on whether they raise the targeted amount from the crowd. If the funding goal is not met, the project will not take off. It thus differs to charitable donations which usually support the respective organization’s general mission without knowing exactly how the money will be spent. UNDP has been experimenting with philanthropic crowdfunding and has had some early successes. For example, colleagues in Croatia successfully raised $10,000 for an energy-independent school in Croatia. The sum might be fairly small but the experience showed: crowdfunding can create a buzz for development work and social causes as the unwritten rules of crowdfunding require development organizations to communicate constantly and in a non-technical jargon what concretely was achieved. UNDP has also had some experience ‘failing’ with crowdfunding initiatives. As the saying goes: “Failure is only the opportunity to begin again more intelligently”. Based on lessons thus far, we developed guidance document for UNDP … Read more

Building the house of development: We can get there

05 Aug 2014 by Leisa Perch, Policy Specialist

woman in Odisha IndiaLearning to adapt to climate change in Odisha, India where women are hit hardest by the extreme weather conditions. Photo: Prashanth Vishwanathan/ UNDP India
As I think about the current challenges facing international development policy I find myself increasingly concerned about how we define development. We talk about “people-centered” development, but our goals still refer to society, economy and the environment as though these can be separated. To quote Geraldine Fraser-Moleketi, African Development Bank Special Envoy on Gender : “Progress on key gender indicators – such as school enrollment and completion rates, maternal mortality, labour force participation, and asset ownership – also depends on investments in water, sanitation, transport, productive assets, and access to financial services.” My recent work with the Intergovernmental Panel on Climate Change (IPCC) taught me that, when we separate the social, the economic and the environmental, we hamper opportunity and creativity – and we may even be doing harm.  The IPCC process was committed to finding ways to express complexity and nuance by bringing together social, environmental and economic analysis. Yet currently we seem conservative rather than progressive. We need to take unprecedented action to tackle inequality at the international level, acknowledging that it is a global challenge and not just an issue for some countries or some people. Our approach must reflect countries’ unequal capacities to cope with climate change, … Read more

Development at the crossroads: reflections from the Arab Region

10 Jun 2014 by Kishan Khoday, Practice Leader for Environment and Energy

Syrian refugee children in JordanSyrian refugees in Zaatari camp in the village of Zaatari, Jordan. photo: UNDP
Recent years have seen dramatic changes in the Arab region and two aspects in particular are important for the region’s relationship with issues of development finance.  First, the expanding role of the region itself as a provider of official development assistance (ODA), with the Arab Gulf countries providing more than $3 billion to countries around the world each year - Saudi Arabia alone provided over $100 billion to almost 90 countries since the 1970s. While the volume of Arab ODA has attracted attention, important issues for the future will be a growing focus by Arab partners on development effectiveness, alignment with post-2015 priorities like sustainable access to energy and water, and applying social and environmental quality standards to manage risks in recipient countries.  Furthermore, while most Arab ODA has operated through bilateral cooperation channels and Arab multilateral platforms in the past, there are benefits to connectivity with other Southern donors. The centre of gravity in the global economy is shifting East at speed, and this means shifting lines of development cooperation as well.  Strategic alliances between Asian and Arab donors could be a powerful force for the common goal of supporting new development solutions in Africa, with both Arab and Asian … Read more