Professional Documents
Culture Documents
July 2012
Preface: InterAction welcomes the opportunity for a series of roundtable meetings between its member CEOs and U.S. government representatives to discuss ways to strengthen the U.S. NGO-USAID relationship in the post-Busan aid effectiveness era. i This is the first in a set of white papers intended to explore the role of U.S. NGOs in key USAID Forward reforms. Subsequent papers will focus on local capacity building, procurement reform, and a strategic policy dialogue.
Mark Lotwis Senior Director, Public Policy InterAction mlotwis@interaction.org Filmona Hailemichael Policy and Advocacy Manager, Aid Reform & Effectiveness InterAction
fhailemichael@interaction.org
The Road from Busan and the Risks of the Status Quo
Since the 4 High Level Forum on Aid Effectiveness in Busan, South Korea, the world community has continued to adapt to a new era of development cooperation: an era guided by the 2005 Paris Principles but taken to a new level of inclusive, democratized development involving many new partners. Most U.S.-based international development NGOs not only support such shifts, they actively championed these reforms. For USAID, this new era offers the promise of more sustainable strategies for overcoming poverty, yet it must succeed in a climate of severe budget constraints and competing demands for scarce public resources. Continuing political support for official development assistance is tenuous.
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This paper was produced by InterActions CEO Task Force on Aid Reform and Effectiveness
There are serious risks. We have learned the hard way that there are no shortcuts to effective results. Development cannot happen without a capable government, it will not be sustainable without the job creation of the private sector, and it will not be inclusive without an engaged and empowered populace, particularly women, organized by civil society. A capable, dynamic local civil society sector is critical for accountability, inclusive country ownership, participatory governance and sustainability. It is also essential for reaching poor, vulnerable and underserved populations. How rapidly we move the frontiers in development to standard practice will depend on how well each of these entities works with the other, understands its different motivations, and actively supports each other's roles and core competences. Different development actors bring complementary capabilities and strengths. Only by mobilizing, leveraging, and coordinating all of these actors can we address complex development challenges.
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Case Study
After identifying an alarming rise in the number of children finishing primary school unable to read, Save the Children developed an innovative, evidence-based response called Literacy Boost. This program uses a three-pronged approach that includes community action to significantly improve childrens core reading skills. Communities get involved by creating libraries, reading buddy camps and support workshops for parents. After the four pilot countries showed improvements in childrens literacy skills and even school attendance, Save the Children, along with World Vision, is now working to scale up Literacy Boost in countries across Africa, Asia, Latin America and the Caribbean.
Proven Capacity Building Expertise U.S. NGOs operate in partnership with local community organizations, NGOs and private sector organizations. In many cases, capacity building for those partners is a key element of successful NGO programs. As USAID shifts to local contracting, the capability of these organizations will become increasingly important. Some capacity will be built through direct funding. At the same time and to complement such efforts, U.S. NGOs can be a key partner in building the readiness of local organizations to engage directly with donors, and in bolstering their ability to deliver development results. Results in Capacity Building Case Study
Counterparts 2006 2009 program in Armenia provides insights into the power of investing in building local capacity. Through a tailored effort to build the capacity of three civil society organizations, the program created a national cohort of institutions able to independently coach, train and deliver technical assistance to non-profits, governments, and small enterprises. With their new capacity, these organizations have since served over 240 organizations in Armenia. For example, one organization now serves as the Ministry of Educations lead partner in designing standards and manuals for education institutions across the country. As a further sign of their capabilities, these organizations have expanded to deliver services in nine other countries including Afghanistan, Georgia, Egypt and Kazakhstan.
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true partners - just as major U.S. corporations are now seen as a true partner - with expertise and experience in their own right. This is reflected in increasingly prescriptive funding solicitations, mandates on preferred staffing structures, and overly burdensome reporting requirements. The growing shift to contract-based solicitations moves U.S. NGOs into the limited role of implementer (original intent of a contract) and away from being a partner (original intent of a cooperative agreement). Appropriately rebalancing the USAID solicitation stream to increase grants and cooperative agreements would allow USAID to take better advantage of NGOs expertise in conceiving, designing, implementing, and monitoring programs. Rhetoric casting NGOs as costly middlemen rather than valued partners Language that reduces the work of U.S. NGOs to a costly implementer reflects a limited understanding of our role and potential we are donors, thought leaders, and practitioners. USAIDs comments ignore the vast support that it provides to local entities through its NGO partners and the key role NGOs play in developing evidence of what works and producing replicable results. The social capital, financial resources and local networks NGOs have development are assets that far exceed those of other implementers (including USAID) and should be harnessed, not discounted. In sum, we are concerned that the partnership between USAID and the U.S. NGO community is at risk even as a shifting aid environment, federal budget challenges, and rapid methodological innovation make it incumbent on both sides to ensure strong collaboration.
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4. Ensure Donor Alignment: Consistent with Busan and Paris Principles, USAID should optimize available development resources by partnering with NGOs to mobilize the $8.3 billion in private resources they invest in USAID partner countries. As private development actors in their own v right , U.S. NGO resources should be leveraged through USAIDs public-private partnership initiative known as the Global Development Alliance.
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US NGOs are defined as US non-profits that meet the guidelines set by USAID to be registered as private voluntary organizations. Estimate based on research of the top 100 InterAction member NGOs 990 IRS forms. The Help Commission Report on Foreign Assistance Reform. Leverage is the New Framework, p.152. http://www.helpcommission.info/Beyond%20Assistance%20-%20HELP%20Commission%20Report%20FINAL.pdf AusAid Civil Society Engagement Framework: Working with CSOs to help people overcome poverty. June 2012. http://www.ausaid.gov.au/Publications/Pages/civil-society-engagement-framework.aspx The Private Sectors Role in Development http://www.interaction.org/sites/default/files/InterAction%20Policy%20Paper_Private%20Sector%20in%20Development.pdf
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