A4DE-The Jakarta Commitment

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    Aid for Development Effectiveness(A4DE)The Jakarta Commitment

    Overview

    May 24, 2010

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    Indonesia : a lower middle income country

    Accelerated, Sustained Growth

    (moving toward upper middle income countries,

    avoid middle income trap)

    2

    Intl best

    Practice system

    and knowledge:

    Governance

    Procurement syst.

    Financialinstn

    Decentralization

    Social security syst.

    Disaster mgt.

    Indonesia specificProblems/needs:

    Regional disparities

    Low carbon Dev.

    (green dev.)

    Infrastructure Dev.

    South-South and

    Triangular Cooperation:

    Sharing knowledge

    (poverty alleviation,agriculture extention,

    conflict resolution,

    disaster rehab/recon,

    election)

    Capacity building

    Scholarship program

    A4DES - Bappenas

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    Monterrey (2002),International Conference on Financing for Development,

    agreed to provide more financing for development,and aid effectiveness

    The Jakarta Commitment: Aid For Development Effectiveness, Indonesias Road Map To 2014

    Doha (Nov 2008), Follow-up International Conference

    on Financing for Developmentendorsed Doha Declaration on Financing for Development,

    reaffirming the Monterrey Consensus

    Roma Declaration (2003)High-Level Forum on Harmonization,

    committed to take action to improve the management& effectiveness of aid, and to take stock of

    concrete progress

    In late 1990s, international movements of AID realized that transaction cost of aid was significant,began working to harmonize

    Milestones in Aid Effectiveness

    Paris (2005), High-Level Forumendorsed the Paris Declaration onAid Effectiveness to promote the effective use

    of aid funds.

    Accra (Sept 2008), High-Level Forumendorsed Accra Agenda of Action/AAA

    to accelerate progress in Aid Effectiveness

    A4DES - Bappenas

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    2005: The Paris Principles

    4A4DES - Bappenas

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    Accra HLF 3 and the AAA

    A4DES - Bappenas 5

    High Level political event on aid, Mid-termStock-taking of the PD mutualcommitments

    130 countries (officials &parliamentarians), most donors, most

    international aid agencies, 80+ NGOs

    South-South cooperation included

    AAA: ministerial statement: include moreactors, additional commitments Speed upimplementation

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    6

    IndonesianReforms in various

    areas

    International

    Commitments

    (Indonesia is one of the

    signatories)

    Paris Declaration

    (2005)

    Accra Agenda for

    Action (Sept 2008)

    Doha Declaration onFinancing for

    Development (Nov

    2008)

    Planning and budgetingreforms (Laws No.

    25/2004 and No.

    17/2003)

    Government

    procurement reform

    (Pres. Decree No.

    80/2003 and the

    establishment of

    NPPA/LKPP)

    Reform in the

    management of external

    loans and grants (Govt.

    Reg. No. 2/2006)

    Aid Effectiveness Country Ownership

    System Alignment

    Harmonization

    Managing for result

    Mutual Accountability

    Jakarta Commitment (2009-

    2014)

    To translate and materialize

    global commitments to the

    national level (Donorship to

    Country Ownership)

    Objectives:

    To improve effectiveness ofexternal loans and grants (MIC

    Perspective)

    through:

    Indonesia Led Program;

    Utilization or application of

    Indonesian budget/

    procurement/monitoring and

    evaluation systems;Increasing utilization of

    domestic products (untied aid);

    Enhancing alternative

    financing resources, a.o. PPP,

    CDM, and CSR.

    Development

    Effectiveness

    support

    FRAMEWORK OF THINKINGJAKARTA COMMITMENT: AID FOR DEVELOPMENT EFFECTIVENESS

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    Background

    The JakartaCommitment

    signed onJanuary 12,

    2009. Adoptedby 26

    DevelopmentPartners.

    The Aid for

    DevelopmentEffectivenessSecretariat

    (A4DES) wasestablished inApril 2009.

    A4DESsupports,facilitates,

    coordinates andmonitors

    implementation

    of the JakartaCommitments.It manages the

    pooledresourcesfacility

    provided by

    GOI andDevelopmentPartners.

    TransitionalMulti Donor

    Fund (TMDF) -A4DE prepared

    in June 2009.Program

    Documentagreed andsigned mid

    August 2009. Itis now in

    operation.

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    Government of Indonesia Development Effectiveness Coordination

    Ministerial Policy Guidance

    AID EFFECTIVENESS ROADMAPCOORDINATION

    Steering Committee - Chaired by: Bappenas-DGMoF-DG, MoFA-DG, NPPO-DG

    Bilateral and Multilateral representative

    Management Committee - Chaired by:

    Bappenas Director

    All Development Funding Directors, NPPO, MOF

    Reporting Policy Guidance

    Aid for

    Development

    EffectivenessSecretariat

    (A4DES)

    Funding Mechanism

    Multi-Donor

    Programme

    DevelopmentPartner

    Thematic Working GroupsFlow of Funds

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    A4DES Structure

    Chairman : Director of Bilateral Foreign Funding

    BappenasMembers : Echelons-II of Depkeu, Menko Ekon,

    LKPP, Deplu, Depdagri, Setneg,

    Bappenas

    Management Committee (MC)Group of Experts

    (to back up the WGs)

    WG onProcurement

    WG onPublic Finance

    Management

    WG onMonitoring &

    Evaluation

    Technical & Administrative

    Support Team

    (Management Office)

    WG onDevelopment of

    Financing Mechanism

    WG on

    Capacity Building &

    Knowledge Management

    Chairman : Deputy Minister for Development Funding

    Bappenas

    Members : Echelons-I of Depkeu, Menko Ekon, LKPP,

    Deplu, Depdagri, Setneg, Bappenas.

    Plenary

    Selected DevelopmentPartners Representative

    WG on

    Dialogue & Institutional

    Development

    GOI Steering Commitee (SC) Plenary Members

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    Working Groups and Number ofActivities

    Working Group onCBKM, 6

    Working Group on DFM,6

    Working Group on DID,5

    Working Group onMonev, 10

    Working Group on PFM,7

    Working Group onProcurement, 10

    Total of 44 activities to be performed by WGs during 2009-2010

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    Jakarta Commitment Action Plan Achievement (1)

    Procurement Reform:

    Gap analysis of procurement practices with 3 major development partners (JIA,WB and ADB);

    Revision of Presidential Regulation (Perpres) on Procurement;

    Roadmap on the use of Perpres on Procurement for foreign assistance funding; Policy paper on procurement law.

    Study on South to South Cooperation Policy Direction (supported by JICA)

    Draft new dialogue framework

    Policy review and recommendation for revising regulation on External Loansand Grants

    Aid Information Management System

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    Jakarta Commitment Action Plan Achievement (2)

    Public Financial Management:

    National Medium Term Development Plan (RPJM) finalized

    Medium Term Expenditure Framework (MTEF)

    Training on the implementation of MTEF for selected units

    Increasing awareness of the Jakarta Commitment &Aid Effectiveness

    Establishment of TMDF for A4DES

    Engagement of CSO on the implementation of theJakarta Commitment Action Plan

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    Work Program 2010Priority program:

    Joint Evaluation of the Paris Declaration Phase 2; Development AIMS (Design module ONLINE SURVEY (OS), create PD indicators

    database, development web interface to Conduct 2010 Survey on Monitoring theParis Declaration Indicators (data 2009) for JakCom (for internal GoI), and 2011SMPD Phase 3 (data 2010) from all donors, EAs and Bappenas;

    Measurement of Base Line Indicators (BLI) and Compliance Performance;Indicators (CPI) on public procurement areas while continuing procurement

    reform; Improvement of aid registration system;

    Establishment of the nationally managed Trust Fund for A4DES;

    Other program:

    Development of South to South and Trilateral Cooperation;

    Formulation of new dialogue framework; Development of other financing mechanism (PPP, PBA, Trust Fund)

    On-going capacity development on aid effectiveness;

    Continuing awareness campaign and socialization of the Jakarta Commitment;

    Engagement of a wider stakeholder (CSO and private) into A4DES program.

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    Challenges

    Optimizethe use of

    resources toensure theachievement

    of JakartaCommitmen

    t targets;

    Extendingthe outreach

    and

    dialogues toa widerstakeholdersboth at thecentral and

    regionallevels;

    Strenghtening internal

    commitmen

    t by meansof enablingregular

    meetings ofA4DESworkinggroups;

    Improvingthe

    Workplan tobe more

    detail withclarity of

    goals,objectives,

    scope ofactivities,

    outputs andindicators of

    achievement

    Increaseinstitutional

    capacity,organization

    al orindividual

    level

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    Thank You