Antony is attending the Third International Conference on Financing for Development (FfD) in Addis Ababa Ethiopia. The Conference, which started on 13th and Ended on 16th July 2015, has been held at the highest possible political level, including Heads of State or Government, relevant ministers – ministers for finance, foreign affairs and development cooperation – and other special representatives. The conference is expected to result both in an intergovernmentally negotiated and agreed outcome and in summaries of the plenary meetings and other deliberations of the Conference, to be included in the report of the Conference. |
An Abstract from Mr Anthony Mbandi, AMECEA Justice and Peace and Caritas
In the last week the entire world has been in the AMECEA Region (Addis Ababa) to discuss the much touted game changer, Financing for Development outcome document which has been dubbed Addis Ababa Agenda for Action.
So what makes this document a big story? The Financing for Development process commonly referred to as FfD, is a process that was started to redefine development cooperation.
It was an initiative of the poorer countries to define a framework by which they would be able to systematically put in place resources to develop their people and make sure what they were receiving from the north was fit for purpose.
The process was adapted by the UN in Monterey and became so successful that by the second conference that took place in Doha, it had become an event that no country wanted to be left on board.
Doha was even more meaningful because the international community started seeing the cracks in financial systems that were causing global problems. It was no longer “My Country” business.
The process had presented itself as the best place for clear definition of resources to discussed and put on paper and not only looking at the external funding but also internal government mechanisms that would allow for in country development.
In the current round of Financing for Development, there has been an attempt to merge this process with the Sustainable Development Goals process and the Climate Change discussions of 2015 (COP21). Why is this wrong? Someone may ask. The simple answer is that the FfD process is much wider than just putting resources in place for SDGs or Climate Change work. It is a process that also attempts to define the real value of nations based on what resources they have locally and how they are being utilized.
It is a process that attempts to bring forth the weaknesses of financial systems that have led to the low development in countries in the global south. On the other hand SDGs is an agreed development agenda, which then has to find mechanisms to be financed. On climate change, The Holy Father has clearly stated that we need to have the ones who have polluted to pay. By trying to incorporate climate financing onto the FfD process is saying that nations will put in resources by themselves to finance what other nations have done wrong. We are bringing individual mistakes to the global arena.
Looking at the outcome document, we could say that we have made a step forward. However, and as we realize, these conferences and negotiations are much more self-centered than interested in the common good. This means to get 193 countries to agree on common texts is not always easy but it is attainable with the common good in focus. Based on the above main areas of the document, there are some reservations that have come up.
Recalling the call of Pope Francis to deal with broad skewed financial systems in the globe it is critical that moving forward we engage with a respective governments of the following issues.
1. It is good that the Financing for Development process has been linked in the Sustainable Development Goals process. We however would like to warn that this conference should not to simplify it to mean looking for funds to finance Sustainable Development Goals. It is important to recognize that Financing for Development has one aspect of financing Sustainable Development Goals but also has an aspect dealing with financial systems and specifically illicit financial flows, international trade, debt, skewed taxation systems etc. There should be clear and measurable commitments to address the systemic issues that hurt African Countries.
2. It is a strong proposal that the issue of an all-inclusive tax body be strengthened which will allow for poor countries to be involved in not only understanding the taxation systems but also to be able to ensure they can start making decisions which are in the interests of their local situations and has potential capacity to raise more resources locally. OECD remaining as the key institution for defining the taxation systems for the rest of the world and has so far not helped developing countries achieve better results.
3. Private financing for development is welcome as addition methods for financing development. However, it is critical to ensure that the Private Sector is brought under the same internationally agreed mechanisms of transparency accountability and ensure that they fulfill their tax obligations. Besides, social sectors such as health, education, water and sanitation cannot be left to the gamble of the private sector. Private sector cannot replace the public sector as the key to ensuring development of citizen.
4. It is very key to have inclusivity in the processes. There is mention of women in the document. However, we realize that in the current document, women are taken as objects of development. We cannot and should not be seen to include women in our financing for development agenda because they will bring development. It their basic right to be included in the process. Another of our concern is the 70% population of Africa, which is he youth. This document prepares for the future and the youth are the future. It is critical we place youth centrally in the FfD process since they are the future.
In conclusion, the document will be signed by the heads of states and it is important for conferences to keep track on the process to ensure that within the countries the agreed points are articulated to the benefit of the common man.