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Multilateral development cooperation –Genesis, Emerging Trends, Principles and Normative Frameworks
Gabriele KöhlerDevelopment economistVisiting fellow, IDS Sussex
International Centre for Development and Decent WorkUniversity of Kassel
14 and 15 July 2011
Overview: The current international development situation
Poverty, exclusion, unemployment and casualised labour, acute crises
Evolution of the development cooperation architecture 6 phases and their driving forces and ideologies
Emerging trends “Pluripragmatism”, new donors, contradictory trends
Principles and normative frameworks1. At the multilateral and national levels
Making the case for a bold vision Towards 2015: Rights-based, universalist, transformative
development policy or even a global human development policy
The current international development situation :human development &income poverty
Human development at aggregate level:
slow but steady improvement
Human Development Index, trends 1970-2010
The current international development situation human development &income poverty
Absolute number and share of extremely poor people has declined since 1990 globally
The current international development situation Income poverty & human development
But: number of extremely poor in Africa and South Asia increased using $1.25 per personday income poverty
measure
Number of poor and vulnerable people: 2.5 billion persons using $2 per personday income
poverty measure
CDP Secretariat Source of data: World Bank
Widening income gap among countries
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
GN
I pe
r ca
pita
(U
S$
Cu
rre
nt)
LDCs non LDCs
Income gap within countries
The current international development situation: Economic, fiscal, climate crises
at least 100 million more people hungry and undernourished an estimated 64 million more people in income poverty 205 million people unemployed at least 55,000 more children likely to die each year from 2009 to 2015 175 million children affected by climate change
Global employment trends (2000-10)
Unemployment trends
“Vulnerable employment”
Working poverty trends
Working poverty trends
Share of Working Children, ages 5-11 & 5-14 in percent of age cohort
The informal economy and casualised labour
Majority of people in developing countries work in the informal economy
Work is “casualised” – unpredictable, unregulated pay, no minimum wage, no social security, and often isolated in the form of home work
Examples: agricultural wage labour, off farm employment, vending, transportation, begging, household or hotel/catering services, construction, sex work, child labour, forced labour, even manufacturing
The current international development situation: Systemic social exclusions & intersecting inequalities in North and South
Economic inequalitiesSocial inequalitiesGender and age inequalitiesSpatial inequalities Political inequalities
The current international development situation: Converging North and South
MDG outcomes worst among socially excluded groups – in North and South
Income gap widening Human development gap
widening within countries
Evolution of development architecturePhase I: Colonial administration(1900s – 1950s)
Predominant ideology:• Spreading „progress“ and „civilisation“
Driving forces:• Colonial regimes for economic gain
• Colonial regimes for resources
• Colonial regimes for power
Evolution of development architecturePhase II: Independence movements & „development aid“ (1960-1980)
Predominant ideology: Transfer capital and technology to the capital-
deficient South – economistic approach to development
Keynesian economics State led growth
Driving forces: • independence movements in the South
• post-war recovery, affluence, guilt in the North –
• Re- nascent globalisation
Evolution of development architecturePhase III: structural adjustment(1980s – 1989/1990 and beyond)
Predominant ideology:• Overstating role of marktes, downplaying the
role of the state, intervening in developing country governments‘ policy space
Driving forces:• Economic and political strength of the
developed countries
• Interest in „South“ for markets, production – global value chains
• Debt crisis in the South
Evolution of development architecturePhase IV: Cooperation as “partnerships” (1990s – 2000)
Predominant ideology: End of the „cold war“ : rebalancing of
power
• Seeming collapse of state-led development
• Series of UN global summits -• Social development theme
Driving forces: • greater economic dependence of the North
on the South
• Emerging South North trade and investment
Evolution of development architecturePhase V: MDGs; Aid Effectiveness (2000 – 2008)
• Predominant ideologies:
• push for human development
• focus on social development – different from economistic approaches of the 1960s
• development onus on the South
• the „bad governance“ discourse
Driving forces: economic & political polarisation • Stalled progress on human development; • Slow economic growth – or jobless growth; • Multiple social exclusions; • Accelerating domestic conflicts;• Climate change and accelerating frequency of disasters
Evolution of development architecturePhase VI: Bipolar development since 2008
Drivers Emerging BRIC(S) donors with export success, outward
investment, sovereign funds G-20, pushing „G-192“ aside New bilateral donors changing the donor landscape Private foundations - more grants available
Predominant ideologies•“Pluri-pragmatism”
•One size fits all versus national ownership & policy space• GDP growth versus human development• Overemphasis on evidence based policy-making versus analytical and policy debates versus grand design and visions of social justice
s
Countries of the worldestimated GDP in purchasing power parity, 2010
G 20 countries:
Circa 90 per cent of global GNP 80 per cent of world trade Two-thirds of the world's population. ( Source: http://www.g20.org/about_what_is_g20.aspx
Source: www.bbc.co.uk
Emerging trends
New economic realities – poverty and vulnerability in South and NorthLosers of globalisation – the informal
economy, the poor, migrants, the socially excluded, children, women, people with disabilities
Informal economy with ever increasing casualisation of labour in global and local production chains
Emerging trends
New colonialism of the MICs – landgrab, collusion with corrupt governments – social and environmental sell-outs, ODA driven by security or commercial interests
G20 replacing “G192”, undermining the UN
Emerging trends
Recognition of commonalitiesBargaining opportunity for lowest
income countries – policy space and new sources of support
South-South policy diffusionNorth policy transfers
Emerging trends
attention to employment and decent work push for social protection & the global social
floor emphasis on maternal and child health attention to agriculture, rural development
and the need for land reform recognition of social exclusion with a new
focus on equity policies reference to tax reform for redistribution and
to fund social policy
Principles and normative frameworks
Multilateral level Orientation to human rights and a normative framework
Emergence of rights oriented conventions and instruments in the UN context
right to food, FAO 2004, Voluntary Guidelines to Support the Progressive Realization of the Right to Adequate Food in the Context of National Food Security - includes livelihoods and land reform
World Health Assembly 2008 - return to Alma Ata primary health care for all
Global Social Floor Initiative since 2009 –striving for an ILO or UN Convention on Social Protection for all
MDGs 2010: more emphasis on equity, inclusion, human rights
Special rapporteurs - experts of OHCHR combining the humanist with the intellectual
New approaches to socio-economic policy: decent work agendaformulated at ILO by governments, employers and workersunderstanding that work is a source of personal dignity, family stability, peace in the community, democracies that deliver for peopleeconomic growth that expands opportunities for productive jobs and enterprise development
Social Protection Floor
Special Rapporteurs/Independent Experts on human rights areas
right to education; human rights and extreme poverty; right to food; right to adequate housing; access to safe drinking water and sanitation; against violence against women; physical and mental health; economic policies and debt; TNCs; and other substantive normative areas.
G20 Seoul development consensus action points
1) infrastructure, 2) private investment and job creation, 3) human resource development, 4) trade, 5) financial inclusion, 6) growth with resilience, 7) food security, 8) domestic resource mobilization,9) knowledge sharingPrinciples: highlight human rights but reliance on economic growth
Principles and normative frameworks
• Progressive, rights-based, universalistic policies
• Rights to education, health, school meals, food, • Right to work – employment – decent work• Right to information• Right to social protection
• Rediscovery of the role of the state
Principles and normative frameworks
Examples of rights based programming South Asia: India, Nepal, Bangladesh,
Pakistan South Africa Brazil
New approaches to socio-economic policy: social protection: South Asia
Social protection in the form of social transfersChild grants and social pensions in NepalBenazir Income Support Programme in PakistanThe employment guarantees: the Mahatma Ghandi National Rural Employment Scheme in India 100-days Employment Scheme in Bangladesh Karnali Employment Programme in Nepal Employment generation scheme for rural unskilled workers in PakistanSocial protection as affirmative action: The Bangladesh girls’ secondary education grantgirl child grants offered by some states in India
National Rural Employment Guarantee Scheme India
South Africa: Grant for Older Persons:
a social pension, reaches around 2 million beneficiaries with a monthly benefit or around USD 70 to beneficiaries.
Eligibility: South African citizens and permanent residents, males from age 63 years (age threshold coming down) and women from age 60 years
Must comply with the means test Until the introduction of the Child Support Grant, the
social pension constituted the most important source of support for poor households.
It is tax financed and currently absorbs around 1.4 per cent of GDP.
South Africa: Child Support Grant
Purpose: To assist families with child care and education expenses Has become crucial in light of pervasive poverty and because
of vulnerabiltiy as a result of the HIV/AIDS pandemic
Eligibility: applicant and child must reside in South Africa; applicant must be the primary care giver of the child/ children
concerned; the child/children under 15 years; means tested Limit of six non biological children;
Brazil
Fome Zero - strategy to ensure the human right to adequate food
promotion of food and nutrition security with social inclusion and citizenship rights for the population most vulnerable to hunger
Became larger programme Bolsa familia.
Bolsa famila, Brazil In 2003 Bolsa Família reached 3.6 million families with a budget of US$1.1
billion. By early 2007 it was estimated to be reaching 100% of its target of 11.1 million families (about 45 million people or a quarter of the country’s population) with a budget of over US$4.1 bn (Britto, 2008; FAO, 2006; MDS, 2007)
Bolsa Família accounts for less than 3% of direct government transfers, and only 0.5% to 0.8% of the country’s GDP (FAO, 2006; Hall, 2006: 693-4; The Economist, 2008: 39-40).
The government’s expenditures with the programme were estimated at US$6 bn in 2008 (Ananias, 2008).
The programme is estimated to have raised participants’ income by 21% (FAO,2006); by itself it is not enough to lift families out of poverty (Jaccoud, 2006: 36), It is estimated that it was responsible for a 19% reduction in poverty severity (the degree to which poor families fall below the poverty line) and a 21% fall in the Gini (income inequality) index
between 1995 and 2004 (Soares et al., 2007: 4). increasing food and nutrition security in the country, studies show that 76%
of the transfers are spent on food, and families in the Bolsa Família programme have been able to improve their diets (FAO, 2006).
Social transfers as a percentage of GDP, Selected countries and years
The case for a bold vision: Ultimate reason for development cooperation
Improve – enhance - transform - human development outcomes
o Social justice –o Equitable inclusive human
development
The case for a bold vision:Rights-based approaches to address income poverty
Employment and decent work as the key response – development of services
Agricultural development, land reform, and rural off-farm employment opportunities, access to agricultural inputs and to (micro)credit
Social protection as a support mechanism
Climate change mitigation action
The case for a bold vision:Rights-based approaches to address equitable access to social services
Ensure universal free services delivery Equitable access to services,
geographically and socially Ensure equal quality of services – staffing,
people skills and material resources Ensure cultural sensitivity Ensure transparent information Enable inclusive and equitable participatory
programming and participation
The case for a bold vision: Rights-based approaches to address social exclusion
Address on-going exclusion and discrimination-affirmative action (reservation, representation, protective legislations, budget allocations)
Ensure compensatory/reparatory measures Protect against violence Address impunity Support public education and behaviour change
to address discrimination and exclusion Ensure inclusive social services, including in
emergencies and humanitarian crises Change disparaging language and designations Enable inclusive programming
The case for a bold vision: Next steps?
Normative umbrella of international development cooperation: Universal Declaration of Human Rights Recapture UN’s lead role in advocating for
universal human rights and social justice A “post 2015” international development
agenda led by the South Or A global anti-poverty agenda in South and
North
References
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UN, Universal Declaration of Human Rights. http://www.un.org/en/documents/udhr/ (1948)UNICEF, Narrowing the gaps to meet the goals, Equity-focused approach to child survival and development.
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http://www.un.org/documents/ga/res/41/a41r128.htmUNDP. Human Development Report 2010. www.undp.orgUNRISD, Combating Poverty and Inequality: Structural Change, Social Policy and Politics 2010.
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