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Political will, MDGs and economic gains

By Tanu Jalloh

The evidence is clear. Without effective and accountable institutions, systems, processes and political will, economic gains are not automatically translated into development outcomes or registered as MDG [Millennium Development Goals] achievements.

The country assessments point as well to the importance of expanding fiscal space, focusing on mechanisms to enhance domestic revenue mobilization. Importantly, for aid-dependent countries, practices governing aid effectiveness are also highly important for shaping MDG outcomes. Securing finance for scaling up public investments though can be no guarantee that MDG outcomes will be secured; this also requires prioritizing and allocating resources in ways that will be most conducive for securing MDG outcomes.

To sum up, the enormous diversity among countries with respect to MDG performance reflects the unique conditions, opportunities and constraints of each country. Country by country, progress towards MDG achievements has been shaped by three key factors:

1. Policy choices and programme coherence that govern how a country participates in the global economy and whether domestic policies contribute to broad-based, inclusive growth both at the macroeconomic and sector level;

2. Governance and capacity deficits that undermine the creation of an enabling environment needed for securing MDG progress;

3. Fiscal constraints, both domestic and ODA (Overseas Development Assistance), and development assistance practices that limit the capacity to scale up public investments necessary for MDG outcomes.

All these factors are essential for shaping MDG outcomes. Policies without effective institutions to implement them are meaningless. Policies and institutions without resources are ineffective. Even as these factors are critical for shaping MDG outcomes in individual countries, they are by themselves insufficient if there is no political will or national ownership of the MDG agenda. Indeed, time and again, it has been noted that if there is one overriding lesson for the achievement of development results – and for the sustainability of such – it is the importance of national ownership.

Accelerated progress towards MDG achievements will thus need to be tailored to reflect a country’s specific constraints, opportunities and conditions. No single blueprint will do.

Evidence from 30 MDG country assessments indicates clearly that when there is political will and wide-ranging engagement with the national MDG agenda, when policy choices cohere with the objectives of achieving poverty reduction and development outcomes, when national processes and institutions are imbued with the practices of democratic governance and are backed by adequate functional capacities and resources, development progress and MDG outcomes are very possible to achieve.

Based on the evidence presented in this Report, UNDP [United Nations Development Programme] assistance could be more strategic and focused. Tactically, the focus should be on assisting countries to unlock the constraints and bottlenecks that prevent them from accelerating progress towards MDG achievements. Moving forward, it is recommended that in order to best support accelerated MDG achievements at the national level, UNDP should:

Catalyze Partnerships for Synchronized National Action

In light of the fact that the MDGs are now part of the national planning frameworks in many developing countries, UNDP support must stand firmly behind and in support of national processes and ownership of the MDG agenda. MDG achievements will require working with politicians, civil society partners, civil servants, other UN agencies and development partners, among others. Through the appropriate brokering of ideas and partnerships at the national level, UNDP can play a catalytic role in supporting MDG achievements. As described in the Secretary-General’s Road Map for the Implementation of the MDGs, a powerful but lesser known purpose of the MDGs was to mobilize “people power” in the fight against poverty and inequality. And as we take stock of how much the MDGs have contributed to reducing poverty, illiteracy and disease, it is important to recognize that the ability to galvanize millions of people across the world to call their governments to account on their MDG promises will be a critical deciding factor for sustaining MDG achievements.

Employ Democratic Governance Practices to Improve Implementation Deficits

The evidence is clear. Without effective and accountable institutions, systems, processes and political will, economic gains are not automatically translated into development outcomes or registered as MDG achievements. Democratic governance deficits ─including absence of rule of law, legal empowerment frameworks for the poor, political stability and accountability as well as pervasive corruption ─undermine both national institutions and national implementation capacities. In post-conflict and transition countries, these deficits are more acute.

Governance deficits have been linked to poor service delivery due to a lack of coordination and design flaws; a lack of flexibility in the implementation and design of programmes; an inconsistent approach to the design of delivery mechanisms; and weak monitoring and insufficient outcome evaluations, which, if done correctly, can contribute to more effective service delivery. Governance is thus the link that translates the Goals into development outcomes. Supporting and strengthening democratic governance practices and building accountable and responsive institutions will be key for sustaining MDG achievements.

Building on its considerable experience and extensive support for strengthening democratic governance processes and capacities at the country level, UNDP can play a critical role in identifying and responding to governance deficits of national programmes that are most closely linked to the MDGs. In this context, the sharing of knowledge and experience, instruments and lessons of what has worked in the past, can be important for fostering and promoting democratic governance in support of MDG achievements.

Bolster Policy Options, Policy Coherence and Programme Congruence for MDG Breakthroughs

A large body of evidence accounting for MDG achievements points to the importance of domestic policy choices in promoting accelerated progress towards MDG targets. Broad-based and inclusive growth policies, as well as programmes and policies to redress growing inequalities will be critical not only for making MDG progress but also for sustaining it.

This Report has pointed to the importance of growth in the agricultural sector as essential for promoting poverty reduction. Agricultural growth depends on investments in rural infrastructure, markets, finance and in research and extension.

However investments in these areas have been slow globally. Discriminatory trade policies and declining ODA to this sector have not helped, and new challenges have emerged, including depleted natural resources. Policies to combat hunger and food security must focus on the rural areas and include support for small-scale farmers, increasing security of land tenure, promoting access to land for the landless, creating rural institutions, expanding financing options and removing prevailing legal and social biases against women working in agriculture. Layered safety net programmes can be important programmatic measures for addressing hunger and food security, as well as other MDG-related challenges.

Fundamentally, the poor share the benefits of growth when their incomes are increased through quality employment opportunities. There is a need for policies targeting employment creation among the most vulnerable, including women, youth and the rural poor. Programmatic responses should go beyond skill retraining and income generation and livelihood programmes, and should emphasize job creation in both the public and private sectors. Large-scale employment programmes can be effective mechanisms and should be integrated as a part of any sustainable strategy for poverty reduction.

Sector strategies and programmatic interventions ─including linkages between macroeconomic and sector strategies ─ also need to be more sharply aligned with and in support of MDG achievements.

At the national level UNDP can play a key role in promoting the learning and adaptation of practices and of policy and programmatic interventions that have been known to have demonstrable outcomes. As noted in this Report, good practices typically require several layers of interventions and a considerable amount of adaptation to local contexts before they are seen as being successful. UNDP must support national counterparts to strengthen capacities to adopt, adapt and scale up such practices.

The need for policy coherence is not just a domestic matter. As highlighted by this Report, global developments ─ as evidenced by the recent economic and financial crisis, the volatility of commodity prices and by challenges related to climate change ─ all have implications for the ability of countries to make and sustain MDG progress. UNDP should advocate that risk mitigation measures ─especially in the areas of commodity risk management, weather insurance and health insurance ─be adopted at national levels and that development partners are mobilized to build the capacities needed for this to be achieved. Further, UNDP should play a more pro-active role in the global policy arena to champion for policy coherence and especially in those areas critical to MDG outcomes, including food security, global trade agreements and the global financial architecture. Agricultural trade barriers, commodity price volatility and restricted financing mechanisms all tilt the balance against making progress and sustaining MDG achievements.

Mobilize and Prioritize Funding for MDG Investments

A serious constraint facing many developing countries, especially the least developed, is the fiscal constraint. Funding limitations affect the ability of countries to scale up public expenditures required for investing in MDG outcomes. For aid-dependent countries, higher levels of ODA in the medium term and enhanced aid effectiveness are necessary conditions for accelerating MDG progress.

Sustaining MDG achievements however will require a greater reliance on domestic resources to finance development over the longer term. At the global level, UNDP should continue to advocate for enhanced ODA in support of the MDGs as reflected through the Gleneagles Scenarios that have been prepared for several countries. Simultaneously, UNDP should strengthen national capacities to mobilize additional domestic revenues and play a more instrumental role in advocating for aid effectiveness in support of national MDG agendas.

Finally, MDG progress is neither linear nor monotonic. Hard-fought gains can be reversed during a crisis or after the withdrawal of financial support for MDG-related programmes. Ensuring that strategies promote sustainable MDG progress is just as important as MDG achievement itself.

Editor’s Note: The piece of information was adapted from the document titled: “Beyond the Midpoint: Achieving the Millennium Development Goals (January 2010). It was produced by UNDP, the UN’s global development network, advocating for change and connecting countries to knowledge, experience and resources to help people build a better life. The views and recommendations expressed in this report are those of the author and do not necessarily represent those of the United Nations or UNDP.

© Politico 07/11/13

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