• Donor policy

Donor policy

The Report presents a number recommendations as an agenda for progress concerning debt, aid, trade and HIV and Aids in Africa. The actions proposed by the Commission constitute a coherent package for Africa. The problems they address are interlocking. They are vicious circles which reinforce one another and must be tackled together.

Getting Systems Right: Governance and Capacity-Building: the Commission recommends that donors make a major investment to improve Africa’s capacity, starting with its system of higher education, particularly in science and technology. Donors must change their behaviour and support the national priorities of African governments rather than prioritising own interests. Improving accountability is the job of African leaders. They can do that by broadening the participation of ordinary people in government processes, in part by strengthening institutions like parliaments, local authorities, trades unions, the justice system and the media.

The Need for Peace and Security: the most effective way to tackle conflict is to build the capacity of African states and societies to prevent and manage conflict, which means using aid better to tackle the causes of conflict, improving the management of government incomes from natural resources and international agreements on how to control the ‘conflict resources’ which fuel or fund hostilities. It also means controlling the trade in small arms. African regional organisations and the UN can help prevent and resolve conflict when tensions cannot be managed at the national level.

Leaving No-One Out: Investing in People: investing for economic growth means rebuilding African health and education systems, many of which are now on the point of collapse. This requires major funding, but it is not only a question of resources. It is also about delivery and results. These are powerfully strengthened when local communities are involved in decisions that affect them. Top priority must be given to scaling up the services needed to deal with the catastrophe of HIV and AIDS which is killing more people in Africa than anywhere else in the world, and this must be done through existing systems, rather than parallel new ones.

Going for Growth and Poverty Reduction: the public and private sectors need to work together to create a climate which unleashes the entrepreneurship of the peoples of Africa, generates employment and encourages individuals and firms, domestic and foreign, to invest. Changes in governance are needed to make the investment climate stronger. The developed world must support the African Union’s NEPAD programme to build public/private partnerships in order to create a stronger climate for growth, investment and jobs.

More Trade and Fairer Trade: internally, Africa must improve its transport infrastructure to make goods cheaper to move. It must reduce and simplify the tariff systems between one African country and another. But the rich nations must also dismantle the barriers they have erected against African goods, particularly in agriculture. Careful attention must be given to ensure that the poorest people are helped to take advantage of the new opportunities and to cope with the impacts of a more open system of world trade.

Where Will the Money Come From: Resources: the Commission calls for an additional US$25 billion per year in aid, to be implemented by 2010. Subject to a review of progress then, there would be a second stage, with a further US$25 billion a year to be implemented by 2015. Rich nations should commit to a timetable for giving 0.7 per cent of their annual income in aid. Aid should be front-loaded through the immediate implementation of the International Finance Facility. Practical proposals should be developed for innovative financing methods such as international levies on aviation, which can help secure funding for the medium and longer term.

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