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Beyond Aid: the Integration of Sustainable Development in A JANUARY 2016 1616 Rhode Island Avenue NW Washington, DC 20036 202-887-0200 | www.csis.org Lanham • Boulder • New York • London 4501 Forbes Boulevard Lanham, MD 20706 301- 459- 3366 | www.rowman.com Cover photo: Ambika Adhikari/USAID Beyond Aid The Integration of Sustainable Development in a Coherent International Agenda A Report of the CSIS Project on Prosperity and Development ISBN 978-1-4422-5906-5 Ë|xHSLEOCy259065z AUTHOR v*:+:!:+:! James Michel Blank Beyond Aid The Integration of Sustainable Development in a Coherent International Agenda AUTHOR James Michel A Report of the CSIS Proj ect on Prosperity and Development January 2016 Lanham • Boulder • New York • London 594-64135_ch00_3P.indd 1 1/9/16 8:25 AM About CSIS For over 50 years, the Center for Strategic and International Studies (CSIS) has worked to develop solutions to the world’s greatest policy challenges. ­Today, CSIS scholars are providing strategic insights and bipartisan policy solutions to help decisionmakers chart a course toward a better world. CSIS is a nonprofit organ ization headquartered in Washington, D.C. The Center’s 220 full- time staff and large network of affiliated scholars conduct research and analy sis and develop policy initiatives that look into the future and anticipate change. Founded at the height of the Cold War by David M. Abshire and Admiral Arleigh Burke, CSIS was dedicated to finding ways to sustain American prominence and prosperity as a force for good in the world. Since 1962, CSIS has become one of the world’s preeminent international institutions focused on defense and security; regional stability; and transnational challenges ranging from energy and climate to global health and economic integration. Thomas J. Pritzker was elected chairman of the CSIS Board of Trustees in November 2015. Former U.S. deputy secretary of defense John J. Hamre has served as the Center’s president and chief executive officer since 2000. CSIS does not take specific policy positions; accordingly, all views expressed herein should be understood to be solely those of the author(s). © 2016 by the Center for Strategic and International Studies. All rights reserved. ISBN: 978-1-4422-5906-5 (pb); 978-1-4422-5907-2 (eBook) Center for Strategic & International Studies Rowman & Littlefield 1616 Rhode Island Ave nue, NW 4501 Forbes Boulevard Washington, DC 20036 Lanham, MD 2 0706 202-887-0200 | www . csis . org 301 - 459 - 3366 | www . rowman . com 594-64135_ch00_3P.indd 2 1/9/16 8:25 AM Contents Acronyms and Abbreviations iv Executive Summary vi 1. Introduction 1 2. Ele ments of the 2030 Agenda 4 Goals and Targets 4 Global Partnership 13 Transition beyond Aid to Effective Development Cooperation 20 3. The Implementing Environment for the 2030 Agenda 27 Multiple Actors and Approaches 27 Development Financing Trends and Innovations 34 Knowledge Accumulation, Sharing, and Coordination 43 Conflict and Fragility 51 Other Influential Factors 54 4. Achieving Policy Coherence for Sustainable Development 63 5. Concluding Observations 70 Selected Bibliography 73 About the Author 93 | III 594-64135_ch00_3P.indd 3 1/9/16 8:25 AM Acronyms and Abbreviations 2030 Agenda Post-2015 agenda adopted at the Sustainable Development Summit as Transforming Our World: The 2030 Agenda for Sustainable Development ADB Asian Development Bank AfDB African Development Bank AIIB Asian Infrastructure Investment Bank BEPS Base erosion and profit shifting tax planning strategies BRICS Association of five major emerging national economies: Brazil, Rus sia, India, China, and South Africa CPDE CSO Partnership for Development Effectiveness CPIA Country Policy and Institutional Assessment, World Bank CSO Civil society organ ization DAC Development Assistance Committee of the Or ga ni za tion for Economic Cooperation and Development DDD Doing Development Differently EBRD Eu ro pean Bank for Reconstruction and Development ECDPM Eu ro pean Center for Development Policy Management ECOSOC United Nations Economic and Social Council ERD Eu ro pean Report on Development EITI Extractive Industries Transparency Initiative EU Eu ro pean Union G20 Group of 20 leading economies: Argentina, Australia, Brazil, Canada, China, France, Germany, India, Indonesia, Italy, Japan, Republic of Korea, Mexico, Rus sia, Saudi Arabia, South Africa, Turkey, the United Kingdom, the United States, and the Eu ro pean Union GDI German Development Institute GFI Global Financial Integrity GIZ Deutsche Gesellschaft für Internationale Zusammenarbeit (German development assistance agency) GPEDC Global Partnership for Effective Development Cooperation GSDR Global Sustainable Development Report HLDCF High Level Development Cooperation Forum HLPF High Level Po liti cal Forum on Sustainable Development IADB Inter- American Development Bank IATI International Aid Transparency Initiative ICESDF International Committee of Experts on Sustainable Development Financing IV | 594-64135_ch00_3P.indd 4 1/9/16 8:25 AM ICTD International Center for Tax and Development IDA International Development Association, World Bank IDB Islamic Development Bank IDFC International Development Finance Club IEAG United Nations Secretary- General’s In de pen dent Expert Advisory Group on a Data Revolution for Sustainable Development IMF International Monetary Fund INDC Indications of Nationally Determined Contributions ( toward achieving the objectives of the United Nations Framework Convention on Climate Change) IOM International Or ga ni za tion for Migration IPCC Intergovernmental Panel on Climate Change ITC International Tax Compact JICA Japan International Cooperation Agency LDC Least Developed Country MDGs Millennium Development Goals MPI Multidimensional Poverty Index NGO Nongovernmental organ ization NSDS National Strategy for the Development of Statistics ODA Official Development Assistance ODI Overseas Development Institute OECD Or ga ni za tion for Economic Cooperation and Development Paris21 Partnership for Statistics in the 21st C entury PCD Policy coherence for development PCSD Policy coherence for sustainable development Rio+20 2012 United Nations Conference on Sustainable Development and its outcome document, The Future We Want SDGs Sustainable Development Goals SDSN Sustainable Development Solutions Network TADAT Tax Administration Diagnostic Assessment Tool UN United Nations UNCTAD United Nations Conference on Trade and Development UNDESA United Nations Department of Economic and Social Affairs UNDG United Nations Development Group UNDP United Nations Development Program UNESCO United Nations Educational, Scientific, and Cultural Or ga ni za tion UNFCCC United Nations Framework Convention on Climate Change UNFPA United Nations Population Fund UNGA United Nations General Assembly UN- HABITAT United Nations H uman Settlements Program UNICEF United Nations Children’s Fund UNIDO United Nations Industrial Development Or ga ni za tion USAID United States Agency for International Development WHO World Health Or ga ni za tion WTO World Trade Or ga ni za tion B EyOND AID | v 594-64135_ch00_3P.indd 5 1/9/16 8:25 AM Executive Summary n September 25, 2015, world leaders adopted a new post-2015 international develop- Oment agenda, Transforming Our World: The 2030 Agenda for Sustainable Development. This new agenda calls for a universal, integrated effort to preserve our planet and improve the lives of its inhabitants. Its centerpiece is a set of global goals that envision a world in which poverty and hunger are ended, the global environment is protected, and people benefit from sustainable economic pro gress and peaceful, just, and inclusive socie ties. The 17 Sustainable Development Goals (SDGs) are far more expansive and ambitious than the Millennium Development Goals (MDGs). They build on the history of the MDGs and also on the conclusions of the 2012 United Nations Conference on Sustainable Develop- ment (Rio+20) to convey a sophisticated vision of ending poverty, achieving peaceful, just, and inclusive socie ties, and ensuring economic, environmental, and social sustainability. The SDGs call for strengthening the means of implementation and revitalizing the global partnership for sustainable development. The global partnership w ill operate in a wide variety of local contexts and involve a highly diverse array of stakeholders. It will operate through multiple channels at international, regional, national, and community levels. Governance of this global partnership will require qualities of openness, transparency, and inclusion. The governance structure should be capable of evolving in an iterative fashion while adapting to changed circumstances. The optimum outcome might be a collec- tion of horizontal and vertical networks with broad stakeholder participation, bound together by a shared vision of the new agenda and a shared commitment to the princi ples of collaborative governance of complex systems. More than anything, successful implementation of the post-2015 development agenda will depend on the ability of the many diverse actors and stakeholders to adapt their be hav ior. We know that development is a complex, iterative pro cess. Impor tant research findings emphasize the influence of history and culture, inclusive and effective institu- tions, po liti cal contests and po liti cal settlements, local leadership, international support that is sensitive to the local po liti cal, economic, and social context, and continuous experi- mentation and learning. The Busan Partnership Declaration outlined an emerging consensus, premised on princi ples of local
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