International Financing for Development

For more than 15 years, FERDI's research activities, publications, and conferences on international aid effectiveness and aid allocation policies have contributed to international discussions and helped in the taking account of vulnerabilities in financing for development.

The long road towards a truly sustainable development which benefits everyone requires the annual mobilization of thousands of billions of euros. It requires that these funds meet the specific needs of each country. It also requires international cooperation capable of supporting the most vulnerable countries, despite their structural handicaps, to allow them to benefit from the international financing essential for their development.

In the four years since the adoption of the United Nations Addis Ababa Program of Action (AAAA) on Financing for Development, FERDI's work has aimed to identify the most appropriate international financing flows for each country's context and to assess the effectiveness of these flows. 

FERDI's work seeks to define how public actors can optimize the use of their resources to create the conditions for sustainable and inclusive development, particularly in the most vulnerable countries. This includes analyzing which instruments and mechanisms can create the necessary incentives for a suitable orientation of existing private funding flows. It also implies re-evaluation of aid allocation criteria in order to better take into account the vulnerabilities of countries.  

Results and Impact

  • FERDI contributed to the Third United Nations International Conference on Financing for Development in July 2015 by publishing the collective book Financing Sustainable Development – Addressing Vulnerabilities.
  • The model for allocating aid developed by FERDI was adopted by the European Commission for the European Development Fund and Development Cooperation Instrument (Methodology for country allocations: European Development Fund and Development Cooperation Instrument 2014-2020).
  • The African Development Bank asked FERDI to support its aim of reforming how it allocates aid from the African Development Fund so as to take into account the various causes of vulnerability and fragility.
  • FERDI's paper entitled Measuring Official Development Assistance, Why and How to Change? was ranked as among the 50 best studies on public policies in the Global Go To Think Tank Index Report 2014.

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