An interlinked and coherent governance structure - Financing for Development

The follow on process for FfD also needs to be integrated into the follow up process for the SDGs in this paper I address how it might do this at the global level. Although not all of the issues addressed in the FfD agenda fall under the HLPF many do. I want suggest some areas governments might like to look at for both the HLPF and EcoSoc.

The HLPF

To address the follow on process for FfD It might be useful to look at the follow-on process for Agenda 21.

For example at the first UN Commission on Sustainable development (CSD) in 1993 governments adopted the following:

61. The Commission, recognizing its mandate to review the adequacy of the financial resources available for the implementation of Agenda 21, decides to establish an inter-sessional ad hoc, open-ended working group composed of Governments, which will nominate experts in order to assist the Commission in the following tasks:

1. To monitor and review the requirements, availability and adequacy of financial resources for the implementation of different clusters of Agenda 21, taking into account the multi-year thematic programme of work, as well as projects, programmes, activities and sustainable development strategies prepared by Governments, in order to provide a suitable and common basis for action on the part of all Governments, bilateral funding agencies and States members of the governing bodies of the agencies and programmes of the United Nations system, as well as multilateral regional and subregional development banks and funds dealing with the issues of environment and development;
2. To monitor and analyse various factors that influence the flow of financial and economic resources, such as debt relief, terms of trade, commodity prices, market access and private foreign investment, as well as to review mechanisms for innovative financing in the context of paragraph 33.16 of Agenda 21, taking into account activities at the national level;
3. To develop, on the basis of the above, a policy framework for the mobilization of financial resources towards a balanced implementation of all aspects of Agenda 21 that would, inter alia, assist Governments, where appropriate, to implement their sustainable development strategies.

The CSD recognized that it had a role in monitoring the financing commitments for Agenda 21. To enable it to do this it added an additional week of preparation for the CSD focused on that agenda.

Suggestion for consideration: governments consider adopting similar text and have an additional ad hoc, open-ended working group composed of Governments meeting for a week to undertake a similar set of tasks as is reflected in the para 61 (a), (b) and (c) and open to stakeholders to participate in all of its discussions. A report would be sent to the HLPF which would include any policy recommendations.

ECOSOC and UNGA

Not everything can be covered by the HLPF and for this reason the ECOSCO High-level meeting with the Bretton Woods Institutions, WTO and UNCTAD could be expanded to address these issues. This would need amending the ECOSOC resolutions 2011/38, 2010/26 and 2009/30, the overall theme of the meeting will be “Coherence, coordination and cooperation in the context of Financing for Development”.  

The exact issues that could be discussed will depend on the outcome from the FfD process but it might include:

•  Specific problems and constraints encountered, including those related to finance and technology, as well as to the adverse impact of economic and trade policies and measures, in particular on developing countries;
• The adverse impact on sustainable development of trade restrictive and distortive policies and measures - specifically, trade policy measures for environmental purposes that constitute a means of arbitrary or unjustified discrimination or a disguised restriction on international trade - as well as progress in making trade and environment policies mutually supportive in favour of sustainable development;

In addition the role of the General Assembly High-level dialogue on financing for development should be enhanced.

Suggestion for consideration: The ECOSOC High level Event could be expanded to address the issues that do not fall under financing the SDGs. UNGA High-level dialogue on financing for development should be enhanced. 

Interagency Coordination

The UN System Chief Executives Board for Coordination (CEB) comprises 29 Executive Heads of the United Nations and its Funds and Programmes, the Specialized Agencies, including the Bretton Woods Institutions (The World Bank and IMF), and Related Organizations - the WTO and the IAEA.

Suggestion for consideration: Under the UN Development Group it could be tasked with producing an annual report on the implementation of FfD and fed into both the HLPF adhoc open-ended working group and the ECOSOC High Level Event.