dad rwanda, country ownership and the donor performance assessment framework
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DAD Rwanda, Country Ownership and the Donor Performance Assessment
Framework
Nairobi, KENYADAD Community of Practice
January , 2013Marie-Ange INGABIREExternal Finance Unit (EFU)Ministry of Finance and Economic PlanningRWANDA
Outline Why DAD for Rwanda and its Benefits ? Process of developing DAD for Rwanda DAD in the Aid Coordination in Rwanda
• Donor Performance Assessment Framework (DPAF)• Division of Labor (DOL )• Official Development Assistance Report (ODA)
Strengthening DAD Next steps (pipeline) Challenges and lessons learnt
2
Pre-requisites for a DAD Existence of an aid coordination architecture that
brings together the Government and Development Partners to ensure effective support to national development processes.
A government policy on the management of aidand the Rwanda Aid Policy that clearly sets out the government’s preferences in terms of the type of aid it wishes to attract, and the processes to be followed in the management of external assistance.
Defining the DAD Both Government and Development
Partners need buy in and agree on the following:
1. Agree on the necessity of the system2. Have a common understanding of how
the system should work3. What type of inputs are needed4. Which outputs are expected and how
accurate they have to be (quality indicators)
5. Who are the beneficiaries
Why DAD for Rwanda? Launched in March 2006, DAD Rwanda was
developed with the aim to achieve the following main objectives: Enable the GoR to drive the processes of aid management
by: Establishing a single repository of all ODA in Rwanda and
replace old, inefficient systems. Enable the GoR to do “gaps analyses”, facilitate planning
process and resource mobilisation. Enable the GoR to plan, monitor and account for the use of
resources in an effective manner Institutionalise transparency & accountability between GoR &
DPs. SUPPORT THE IMPLEMENTATION OF THE RWANDA AID
POLICY. 5
Benefits Of DAD To track the flow of development assistance to
Rwanda. To Share information and reduce transaction costs in the collection of information on ODA. To enhance transparency and accountability
of the development assistance to Rwanda To allow the Government to coordinate the
development efforts, ownership of the development process
To ensure that aid flows in accordance with government priorities to where the needs are greatest.
To support and improve the formulation of national planning and budget
Development Assistance Database – centralizing Aid information
7
DAD in the Aid Coordination in Rwanda
8
DAD
Aid Effectiveness and Mutual Accountability:
DPAF
Planning and
Budgeting
Accountability and
Transparency: ODA Report
Supporting implementation
of the DoL
Donor Performance Assessment Framework (DPAF)
A Joint tool for monitoring of donor progress and performance against national and international commitments (Paris Declarations, Accra Agenda for Action, Busan etc.) on the quality of development assistance.
Need for mutual reviews of performance against commitments on aid effectiveness at the country level.
DPAF’s 23 Indicators drawn from the Paris Declaration Indicators on quality of aid– and Indicators agreed on at country level 9
Example DPAF: Use of national Systems and Institutions for strengthened ownership, sustainability and reduced transaction costs
10
Example DPAF: Budget support Indicators
11
Donor Performance Assessment Framework (DPAF) - Process
DPAF is undertaken on the basis of data entry in the Development Assistance Database (DAD). DAD incorporates the DPAF indicators.
DPAF exercise commenced in mid-July with a training session on the DPAF in the DAD. Data entry to be completed by mid-August/end August.
Verification of data undertaken by MINECOFIN staff.
Bilateral discussions with DPs held to seek clarification and ensuring appropriate data filling for the DPAF exercise.
DPAF preliminary results require further verification in ensuring correctness of the DPAF report and analysis and will form a basis for DPCG dialogue 12
DAD Rwanda and the DoL
13
Donor Practices of intervening in a wide range of sectors
Results into high transaction costs and administrative burdens for recipients
Makes coordination difficult
Compromises aid effectiveness
PD and AAA urge recipients and DPs to agree on a division of labor framework to enhance aid effectiveness
Rationale of DoL in Rwanda Donor Preferences tended to prevail when
determining sectors of intervention
Risk of under-investment in productive sectors threatening to undermine Implementation of the EDPRS
Overcrowding of some sectors leading to increased transaction costs
DAD Rwanda and the DoL
Division of Labour in Rwanda was first discussed in the Development Partners Retreat (DPR) in February 2010 presented and endorsed at the DPCG meeting in July 2010
The DoL principles called for more appropriate distribution of DPs’ support across 3 sectors in line with the national priorities.
The effective implementation of the DoL requires analysis of sector financing, nature and modality of DP engagement in any given sector as recorded in DAD.
Currently the DAD sector classification is aligned to the DoL sector classification drawn from the Economic Development and Poverty Reduction Strategy II (EDPRSII)
15
Donor Interventions before DoL proposal in 2010
16
Division of Labor (DoL) for EDPRS2 Sectors : Aug 2013
DPs
Education (Including TVET)
Agriculture (Including feeder Roads
Health
Transport
Water and Sanitation
Energy
Private Sector D.& Youth
Social Protection
ICT
JRLO
Environment
Urban & RuralSettlement
Governance &Decentralization
PFM (including Economic Governance)
Financial sector
Belgium B X X B X Germany X X X S S Netherlands
S X X X
Sweden UK X B X S S X USA X B X X (x
) S
AfDB X S X X S EC X X B X S EIB X X X WB X X B X Switzerland
X X S X
Global Fund
X
France X S X Luxembourg
X X
Japan S X X X Korea X X S X S China S X X X India S X X Kuwait Fund
X X X S
Saudi Fund
X X X S
BADEA X X X S OPEC Fund
X S X X
17
Example DPAF: DoL Implementation Indicators
18
DAD Rwanda and the Annually ODA Report
The ODA Report is based on the data on ODA captured in the Development Assistance Database (DAD).
Quality of data used in this report largely depends on the accuracy and relevance of information reported by DPs in the DAD
In order to ensure quality of data provided in the DAD, the Government undertakes verification processes at relevant level, mostly through the DPAF process
Data Submitted for the Global Monitoring Framework
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Data Entry• DAD Focal Point
at each donor• Quarterly
reporting
Verification• MINECOFIN
reviewing data• Quality
Assurance
Analysis and Reporting• ODA Report• DPAF Report• Any other reports
on demand
20
Current DAD Reporting Procedure
Forum for Accountability and Dialogue Development Partners Coordination Group
To provide a forum for regular dialogue on co-ordination, harmonisation and alignment, to monitor and assist implementation of the EDPRS and to review progress made by development partners against their Paris Declaration commitments.
Development Partners Meeting (DPM) Biennial high-level forum on development cooperation, seeking
at political level engagement. Development Partners Retreat (DPR)
Annual senior-level 2-days meeting to review progress with relevant stakeholders
Sector Working Groups Monitor relevant EDPRS progress and sector-level DPAF
21
DAD in Budget and Planning -Strengthening DAD (in Testing
phase ) Ensure DAD as the GoR’s repository of information;
Ensure a reduction of multiple data requests from GoR to DPs;
Ensure DAD capture relevant and usable information on external aid to support national planning, budgeting, execution and monitoring process;
Enhance transparency and accountability (ODA Report)
Establish linkages and complementarities with SmartFMIS
(Finance Management Integration System for Budgeting, planning and Accounting for Rwanda Domestically and External Revenues)
22
Integration of DAD with SmartFMIS
Integration of DAD with Smart FMIS (currently in testing phase )
DAD integrating GoR’s Chart of Accounts; DAD planning/commitment information feeding into
budget module; DAD disbursement information feeding into
revenue module; DAD direct payment information feeding into
expenditure module;
23
24
Integration of DAD with SmartFMIS
Deve
lopm
ent A
ssist
ance
Dat
abas
e (D
AD)
GoR’
s Sm
art F
MIS
MTEF Module3 year projections
Project Module: Integration of GoR’s Chart of
Account
Actual Disbursement
Direct Payment
Direct Execution
Budget Module
Revenue Module
Cash Books
GL
Next Steps (in pipeline) Encourage the DPs to use of the delivered Off-line Module to
ease the use of DAD Continue to develop other useful modules that will increase
usage of DAD (e.g. the NGO module was implemented in DAD but the Gor is looking at how the module will get Data from NGOs)
Produce periodic reports for publication to make use of peer pressure amongst donors.
Continued roll out of access to Line Ministries As a pilot, Rwanda has agreed to explore the
possibility of automatic data exchange between the IATI Information and DAD
Eventual relocation of DAD to be hosted internally25
Challenges
Significant lack of data on ODA flows not being channelled through government, including data from NGOs (in Plan).
Not all DPs report through DAD (i.e. emerging donors) Encouraging Donors to report ODA along the GoR fiscal
year. Some DPs do not report on time. Contractual/Financial responsibilities of the DAD after
phase-out of UNDP support
26
Lessons Learned
High-level of Government and Donors commitments
The Aid Policy that clearly sets the GoR’s preferences in terms od Aid effectiveness
Strong Government led process (e.g. DPAF, DPCG, Sector Working Groups)
Share experiences with other countries Target setting – inclusive and consultative Clear annualized individual provider targets
for DPAF, drawn from PD targets Elements of joint responsibilities at sectorial
and national level 27
Thank you for your kind attention!
Please visit our Development Assistance Database
http://dad.synisys.com/dadrwandaAnd our Development Partners Website
www.devpartners.gov.rw
28
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