Aid for Development Effectiveness

(A4DE)

The Jakarta Commitment

Overview

May 24, 2010

 Indonesia : a lower middle income country

Accelerated, Sustained Growth

(moving toward upper middle income countries, South-South and
avoid middle income trap) Triangular Cooperation:
•Sharing knowledge
(poverty alleviation,
agriculture extention,
Int’l best Indonesia specific
conflict resolution,
Practice system Problems/needs:
disaster rehab/recon,
and knowledge: •Regional disparities
election)
• Governance •Low carbon Dev.
•Capacity building
• Procurement syst. • (green dev.)
•Scholarship program
• Financial inst’n •Infrastructure Dev.
• Decentralization
•Social security syst.
•Disaster mgt.

A4DES - Bappenas 2
 Milestones in Aid Effectiveness
In late 1990s, international movements of AID realized that transaction cost of aid was significant,
began working to harmonize

Monterrey (2002),
International Conference on Financing for Development,
agreed to provide more financing for development,
and aid effectiveness
Roma Declaration (2003)
High-Level Forum on Harmonization,
committed to take action to improve the management
& effectiveness of aid, and to take stock of
concrete progress

Paris (2005), High-Level Forum

endorsed the Paris Declaration on
Aid Effectiveness to promote the effective use
of aid funds.

Accra (Sept 2008), High-Level Forum

Doha (Nov 2008), Follow-up International Conference
endorsed Accra Agenda of Action/AAA
on Financing for Development
to accelerate progress in Aid Effectiveness
endorsed Doha Declaration on Financing for Development,
reaffirming the Monterrey Consensus

The Jakarta Commitment: Aid For Development Effectiveness, Indonesia’s Road Map To 2014
A4DES - Bappenas 3
2005: The Paris Principles

A4DES - Bappenas 4
 Accra HLF 3 and the AAA
 High Level political event on aid, Mid-term
Stock-taking of the PD mutual
commitments
 130 countries (officials &
parliamentarians), most donors, most
international aid agencies, 80+ NGOs
 South-South cooperation included
 AAA: ministerial statement: include more
actors, additional commitments  Speed up
implementation
A4DES - Bappenas 5
 FRAMEWORK OF THINKING
JAKARTA COMMITMENT: AID FOR DEVELOPMENT EFFECTIVENESS

Indonesian  Planning and budgeting

reforms (Laws No. Jakarta Commitment (2009-
Reforms in various
25/2004 and No. 2014)
areas 17/2003) To translate and materialize
 Government global commitments to the
procurement reform national level (Donorship to
(Pres. Decree No. Country Ownership)
80/2003 and the Objectives:
establishment of
To improve effectiveness of
International NPPA/LKPP)
external loans and grants (MIC support
Commitments  Reform in the Perspective) Development
(Indonesia is one of the management of external
through: Effectiveness
signatories) loans and grants (Govt.
Reg. No. 2/2006) Indonesia Led Program;
•Paris Declaration
(2005) Utilization or application of
•Accra Agenda for Indonesian budget/
procurement/monitoring and
Action (Sept 2008)
Aid Effectiveness evaluation systems;
•Doha Declaration on  Country Ownership Increasing utilization of
Financing for  System Alignment domestic products (untied aid);
Development (Nov  Harmonization
2008)  Enhancing alternative
 Managing for result
financing resources, a.o. PPP,
 Mutual Accountability
CDM, and CSR.
6
Background
A4DES
supports,
facilitates, Transitional
coordinates and Multi Donor
The Jakarta monitors Fund (TMDF) -
The Aid for
Commitment implementation A4DE prepared
Development
signed on of the Jakarta in June 2009.
Effectiveness
January 12, Commitments. Program
Secretariat
2009. Adopted It manages the Document
(A4DES) was
by 26 “pooled agreed and
established in
Development resources signed mid
April 2009.
Partners. facility” August 2009. It
provided by is now in
GOI and operation.
Development
Partners.
 Government of Indonesia Development Effectiveness Coordination

Ministerial Policy Guidance

Reporting Policy Guidance

AID EFFECTIVENESS ROADMAP Funding Mechanism

COORDINATION Aid for
Development
Multi-Donor
Steering Committee - Chaired by: Bappenas-DG Effectiveness Programme
MoF-DG, MoFA-DG, NPPO-DG
Bilateral and Multilateral representative Secretariat
(A4DES)
Development
Management Committee - Chaired by: Partner
Bappenas Director
All Development Funding Directors, NPPO, MOF

Thematic Working Groups

Flow of Funds
A4DES Structure
Plenary
GOI Steering Commitee (SC) Plenary Members
Chairman : Deputy Minister for Development Funding Selected Development
Bappenas Partners’ Representative
Members : Echelons-I of Depkeu, Menko Ekon, LKPP,
Deplu, Depdagri, Setneg, Bappenas.

Management Committee (MC)

Chairman : Director of Bilateral Foreign Funding
Bappenas
Group of Experts
Members : Echelons-II of Depkeu, Menko Ekon, (to back up the WGs)
LKPP, Deplu, Depdagri, Setneg,
Bappenas

WG on WG on WG on WG on
Procurement Public Finance Monitoring & Development of
Management Evaluation Financing Mechanism

WG on WG on
Dialogue & Institutional Capacity Building & Technical & Administrative
Development Knowledge Management Support Team
(Management Office)
Working Groups and Number of
Activities
Working Group on
CBKM, 6
Working Group on
Procurement, 10
Working Group on DFM,
6

Working Group on PFM,

7 Working Group on DID,
5

Working Group on
Monev, 10

Total of 44 activities to be performed by WGs during 2009-2010

Jakarta Commitment Action Plan –
Achievement (1)
Procurement Reform:

• Gap analysis of procurement practices with 3 major development partners (JIA,

WB and ADB);
• Revision of Presidential Regulation (Perpres) on Procurement;
• Roadmap on the use of Perpres on Procurement for foreign assistance funding;
• Policy paper on procurement law.
Study on South to South Cooperation Policy Direction (supported by JICA)

Draft new dialogue framework

Policy review and recommendation for revising regulation on External Loans

and Grants

Aid Information Management System

Jakarta Commitment Action Plan –
Achievement (2)
Public Financial Management:
• National Medium Term Development Plan (RPJM) finalized
• Medium Term Expenditure Framework (MTEF)
• Training on the implementation of MTEF for selected units
Increasing awareness of the Jakarta Commitment &
Aid Effectiveness

Establishment of TMDF for A4DES

Engagement of CSO on the implementation of the

Jakarta Commitment Action Plan
Work Program 2010
Priority program:
• Joint Evaluation of the Paris Declaration Phase 2;
• Development AIMS (Design module ONLINE SURVEY (OS), create PD indicators
database, development web interface to Conduct 2010 Survey on Monitoring the
Paris Declaration Indicators (data 2009) for JakCom (for internal GoI), and 2011
SMPD Phase 3 (data 2010) from all donors, EA’s and Bappenas;
• Measurement of Base Line Indicators (BLI) and Compliance Performance;
Indicators (CPI) on public procurement areas while continuing procurement
reform;
• Improvement of aid registration system;
• Establishment of the nationally managed Trust Fund for A4DES;
Other program:
• Development of South to South and Trilateral Cooperation;
• Formulation of new dialogue framework;
• Development of other financing mechanism (PPP, PBA, Trust Fund)
• On-going capacity development on aid effectiveness;
• Continuing awareness campaign and socialization of the Jakarta Commitment;
• Engagement of a wider stakeholder (CSO and private) into A4DES program.
Challenges
Improving
the
Extending Strenghteni
Workplan to
Optimize the outreach ng internal
be more Increase
the use of and commitmen
detail with institutional
resources to dialogues to t by means
clarity of capacity,
ensure the a wider of enabling
goals, organization
achievement stakeholders regular
objectives, al or
of Jakarta both at the meetings of
scope of individual
Commitmen central and A4DES
activities, level
t targets; regional working
outputs and
levels; groups;
indicators of
achievement
Thank You