Publications & Documents

Successive crises including COVID-19, Russia’s war of aggression against Ukraine and the climate emergency are exacerbating inequalities between and within countries and stifling progress to achieve the Sustainable Development Goals (SDGs) and the Paris Agreement. While developed countries deployed historic stimulus packages to build back better, developing countries lacked fiscal and monetary buffers to respond. Countries with the fewest resources face challenging trade-offs between short-term rescue and long-term financing for a sustainable recovery. The SDG financing gap in developing countries grew due to a drop in available resources called upon in the Addis Ababa Action Agenda coupled with rising financing needs. Official Development Assistance (ODA), or aid, played an important role to help narrow the gap, but could not do so on its own. Global crises open a window of opportunity for SDG alignment of broader resources to narrow the gap. Growing trillions in developed countries aim to reduce risks, including environmental, social, and governance (ESG) criteria. However, resources are not reaching the countries most in need. Urgent action is needed to remove bottlenecks for a more equitable and needs-based allocation of sustainable finance.

Small island developing states (SIDS) have been acutely affected by the economic impacts of the COVID-19 pandemic. This paper takes a broader perspective to explore how the revenue effects of this crisis in SIDS are connected to their unique financing and development challenges. It also suggests how SIDS governments and development co-operation providers can better partner together to strengthen mobilisation of domestic revenues – in particular tax revenues – in the recovery post-COVID-19.

Ce rapport fournit une analyse de donnée désagrégée sur le financement climatique fourni et mobilisé en 2016-2020, ventilée par composantes, thèmes, secteurs et instruments financiers. Il explore également les tendances clés et fournit des éclairages relatifs à la répartition et à la concentration des financements climatiques fournis et mobilisés selon différentes caractéristiques et groupements de pays en développement. Le dernier chapitre du rapport fournit des informations supplémentaires sur les impacts et l'efficacité du financement climatique, ainsi que sur la pertinence des mesures d’atténuation et la transparence de la mise en œuvre. Les résultats complètent le rapport de l'OCDE Tendances agrégées du financement climatique fourni et mobilisé par les pays développés en 2013-2020.

States of Fragility 2022 arrives during an ‘age of crises’, where multiple, concurring crises are disproportionately affecting the 60 fragile contexts identified in this year’s report. Chief among these crises are COVID-19, Russia's invasion of Ukraine, and climate change, with the root causes of multidimensional fragility playing a central role in shaping their scale and severity. The report outlines the state of fragility in 2022, reviews current responses to it, and presents options to guide better policies for better lives in fragile contexts. At the halfway point of the 2030 Agenda for Sustainable Development, it is more critical than ever for development partners to focus on the furthest behind: the 1.9 billion people in fragile contexts that account for 24% of the world’s population but 73% of the world’s extreme poor.

Meeting the Paris Agreement goals will need a rapid acceleration of finance towards clean energy investments in emerging and developing economies. Blended finance is an important tool that can help mobilise commercial investment towards clean energy, whilst preserving scarce public resources for wider climate and development objectives. A systematic approach to the deployment of blended finance – that tailors instruments to the nature of underlying barriers to commercial investment, minimises concessionality, has a clear exit strategy, and is co-ordinated within a wider ecosystem of support and enabling measures – can help maximise its development impact and stimulate private sector development. This paper explores specific features of clean energy projects, and the wider transition, to draw lessons for donors, policymakers in beneficiary governments, and financial institutions on whether and how best to deploy blended finance in the sector. It revisits the OECD DAC's Blended Finance Principles, specifically Principle 2: designing blended finance to increase the mobilisation of commercial finance, and explores their applicability to clean energy. It also explores sector-specific considerations for the deployment of clean energy, setting out the considerations development practitioners can make to inform better decision-making on, and maximise the development impact of, blended finance interventions.

The TOSSD statistical framework aims to provide a complete picture of all official resources flowing into developing countries for their sustainable development, providing reliable, comparable and transparent data. This working paper compares the TOSSD data for the year 2019 with datasets collected by three countries: Bangladesh, Cameroon and Colombia. The study explores similarities and differences between the TOSSD data and the data collected at the local level, and provides recommendations on how to improve data completeness and accuracy. It also suggests how a data validation mechanism for TOSSD could work, allowing recipient countries to provide timely feedback.

Total Official Support for Sustainable Development (TOSSD) is a new metric that measures official flows, and private flows mobilised by the official sector, to support sustainable development in developing countries. This pilot study seeks the perspective of Chile (a dual provider/recipient of development co-operation) on the concept and methodology of TOSSD. It estimates TOSSD flows from Chile in support of sustainable development and carries out a light assessment of its capacity to report on TOSSD.

Le rapport Tendances agrégées du financement climatique fourni et mobilisé par les pays développés en 2013-2020 ajoute des chiffres pour 2020 à la série chronologique 2013-2019 précédemment publiée, fournissant une évaluation au niveau agrégé par rapport à l'année cible initiale de l'objectif de 100 milliards USD. Il comprend également un aperçu du financement climatique fourni et mobilisé par thème climatique, secteur, instrument financier et régions pour 2016-2020. Un deuxième rapport complémentaire fournit des informations supplémentaires à partir de l'analyse des données désagrégées, ainsi que des considérations relatives aux conditions d’investissement, ainsi qu’aux impacts et à l'efficacité du financement climatique.

This report examines official development assistance (ODA) allocations by regime context, the kind of support donors provide to different regime types and if and how donors respond to processes of democratisation and autocratisation. The analysis covers country allocable ODA provided by all official donors to 124 ODA recipients. The report aims to inform policy discussions on existing ODA allocations by regime type and their underlying rationale. This report also proposes a series of policy questions for further reflection.