Multilateral development cooperation – Genesis, Emerging Trends, Principles and Normative Frameworks Gabriele Köhler Development economist Visiting fellow, IDS Sussex International Centre for Development and Decent Work University 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 frameworks 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

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 SecretariatSource of data: World Bank Widening income gap among countries

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 million children affected by climate change

Global employment trends ( )

Unemployment trends

Vulnerable employment

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 inequalities Social inequalities Gender and age inequalities Spatial 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 architecture Phase 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 architecture Phase II: Independence movements & development aid ( ) 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 architecture Phase 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 architecture Phase 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 architecture Phase 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 architecture Phase 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 world estimated 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: Source:

Emerging trends New economic realities – poverty and vulnerability in South and North Losers 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 commonalities Bargaining opportunity for lowest income countries – policy space and new sources of support South-South policy diffusion North 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 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 agenda formulated at ILO by governments, employers and workers understanding that work is a source of personal dignity, family stability, peace in the community, democracies that deliver for people economic 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 sharing Principles: 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 transfers Child grants and social pensions in Nepal Benazir Income Support Programme in Pakistan The 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 Pakistan Social protection as affirmative action: The Bangladesh girls secondary education grant girl 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 countrys 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 countrys GDP (FAO, 2006; Hall, 2006: ; The Economist, 2008: 39-40). The governments 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 UNs 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 DFID, Cash Transfers. Evidence Paper. DFID Policy Division. London 2011http:// Jonnathan Glennie, 2011, The OECD should give up control of the aid agenda. Guardian April Richard Jolly, Louis Emmerij, Thomas Weiss 2001, Ahead of the Curve? UN ideas and global challenges. Indiana University Press Joseph Hanlon, Armando Barrientos, David Hulme, 2010, Just give money to the poor. The development revolution from the global South. Kumarian Press Naila Kabeer, Can the MDGs provide a pathway to social justice. The challenge of intersecting inequalities. IDS and UN MDG Achievement Fund Gabriele Köhler, Development interventions: A parade of paradigms. In: Gabriele Köhler, Charles Gore et al, Questioning development. Essays in the theory, policies and practice of development interventions. Metropolis Verlag: Marburg 1996 Gabriele Köhler, Policies towards social inclusion. Global Social Policy. April 2009: pp , Sage publications Robert Marten, Jan Martin Witte 2008, Transforming Development? The role of philanthropic foundations in international development cooperation. Global Public Policy Institute. GPPi Research Paper Series No. 10 (2008) Accessed 25 Nov 2010www.gppi.net Dane Rowlands Emerging Donors in International Development Assistance: A Synthesis Report. Norman Paterson School of International Affairs. Carleton University. S/ Synthesis_Report.pdf. Accessed 25 Nov 2010http:// S/ Synthesis_Report.pdf Andy Sumner GLOBAL POVERTY AND THE NEW BOTTOM BILLION: WHAT IF THREE-Quarters of the poor live in MIDDLE-INCOME COUNTRIES? WORKING PAPERIDS.

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