1. 25th August, 2009Dialogue Structure and Division of Labour1 DPG Induction Seminar, 25 August 2008 Presentation by the MOFEA Dar -Es Salaam, Tanzania

2. 25th August, 2009Dialogue Structure and Division of Labour2 Outline  Introduction  Dialogue Structure  DoL Objectives  Lead DPs  Active DPs  Delegating DPs  Overall Principles of selection of lead DPs  Challenges of current DP DoL  Way Forward

3. Introduction  Effective, high quality and regular dialogue between the Government, Development Partners and domestic stakeholders is crucial for our successful co-operation towards achieving national development, growth and poverty reduction goals.

4. Challenges on Previous Dialogue Structure  Existence of overlapping agendas, schedules of meeting and memberships without clear selection criteria as well as weak or unclear interlinkages.  There were high transaction costs as well as insufficient quality and ineffective dialogue arrangements and their expected outputs. For example, MDAs engage in sector dialogue with DPs and at the same time are direct members in PER CWGs, representing their own Ministries rather than the sector at cluster level.  There were no linkages of three processes (PER,MKUKUTA &GBS) in terms of providing inputs to budget guideline.  Duplications of activities  Structures for national dialogue throughout the year were in place for the PER process, but were missing MKUKUTA process in terms of policy dialogue on MKUKUTA implementation. The only multi-stakeholder forum for this purpose was the MKUKUTA Annual Review/Poverty Policy Week.

5. 7. Old Dialogue Structure The previous dialogue structure between Government, Development Partners and non- state actors at sector, cluster and national level

6. PER Main Working Group PER CWG 1PER CWG 2 PER CWG 3 PER Macro Group Thematic Area Sector MDA DP DPs DP Non-state actors PER CWG 4 GBS Annual Review MKUKUTA / Poverty Policy Week PER Consultative Meeting GBS TWG 1GBS TWG 2 GBS CWG 3 GBS CWG 5 GBS TWG 4 GBS TWG 6 DP MDAs MDA MDAs Non-state actors DPs Non-state actors GBS DP MDA DP Non-state actors MDA

7. New Dialogue structure

8. 25th August, 2009Dialogue Structure and Division of Labour8 MKUKUTA-PER Main Working Group MKUKUTA- PER CWG 1 MKUKUTA- PER CWG 2 MKUKUTA- PER CWG 3 MKUKUTA- PER Macro Group Sector ASector BThematic Area A Sector CSector DThematic Area B Thematic Area C MDA DP Non-state actors Sector/thematic area lead MDAs & lead DPs CWG 1 lead MDA & lead DP CWG 2 lead MDA & lead DP CWG 3 lead MDA & lead DP Macro Group lead MDA & lead DP (lead) JOINT COORDINATION GROUP Dialogue Structure

9. New Dialogue Structure has the following key features:  The New Dialogue structure integrates all existing processes (MKUKUTA, PER, JAST and GBS), and combining dialogue on policy and budgetary/expenditure issues, in order to reduce overlaps and transaction costs.  Dialogue structure has four levels: a. Sectors/thematic areas where MDAs (and active DPs) are direct members, whereby a distinction is made between internal Government dialogue and dialogue between the Government, DPs and non-state actors. b. Cluster Working Groups (CWGs) corresponding to the three MKUKUTA clusters: (1) Growth and Income Poverty Reduction; (2) Improvement of Quality of Life and Social Well- Being; and (3) Governance and Accountability, where sectors/thematic areas are represented, as well as a MKUKUTA-PER Macro and Public Financial Management Group

10. New Dialogue Structure has the following key features: c. MKUKUTA-PER Main Working Group where CWGs and the MKUKUTA-PER Macro and PFM Group are represented. d. Joint coordination group- the Joint Government – DPs Coordination Group (JCG) would be the highest level coordination structure, serving as a forum for dialogue in the coordination of development assistance, the harmonization and alignment of Development Partners’ programmes, projects, and budget support in support of the implementation of MKUKUTA.

11. New Dialogue Structure has the following key features: Sectors/thematic areas and CWGs have a lead and deputy lead MDA (and lead DP), which represent other members in dialogue at the next higher level:  The sector/thematic area lead and deputy lead MDA – together with lead DP – represent the sector/thematic area at cluster level, but can still be accompanied by sector experts if the need arises  The CWG lead and deputy lead MDA – together with the cluster lead DP – represent the CWG in the MKUKUTA-PER Main Working Group, but may be accompanied by technical experts from sectors/clusters if the need arises. Annual Review consultative meetings will take place at sector/thematic area and national (MKUKUTA-PER and GBS) levels.

12. 25th August, 2009Dialogue Structure and Division of Labour12 Objectives of Division of Labour  To strengthen government ownership and leadership  To reduce transaction costs for both the Government and Development Partners and enhance aid effectiveness by reducing duplications and enhancing complementarities.

13. 25th August, 2009Dialogue Structure and Division of Labour13 1. LEAD Development Partner Definition  A Lead DP is the one that leads all DPs in any classified sector or thematic area, and is the focal contact point in dialogue between the Government and DPs in that sector/thematic area Tasks  Spokesperson for and coordinator of all active DPs in dialogue with Government in the given sector / thematic area  Forges consensus among DPs on policy priorities before engaging in dialogue with the Government, and reports divergent views between DPs in case consensus cannot be reached  Coordinates analytical work among DPs within the sector and contributes analytical capacity together with other active partners to undertake sector work in line with the government requirements and priorities

14. 25th August, 2009Dialogue Structure and Division of Labour14 1. LEAD Development Partner cont. Tasks  Facilitate the sector / thematic working group as a whole to review individual strategies of DPs in the sector / thematic area to ensure consistency with national priorities and the JAST  Ensures adequate human resource, institutional and financial capacity of its own to take forward this task  Ensures that CVs of its own key technical staff are circulated and agreed with Government and other DPs, to ensure suitable support as lead  Ensures an adequate and functional Secretariat to act as record keeper and information provider for the DP Working Group, using the DPG website to the largest extent possible as a means to share information

15. 25th August, 2009Dialogue Structure and Division of Labour15 1. LEAD Development Partner cont. Tasks  Commits to the lead role for an agreed period of at least one year, whether through a Troika system or other agreed arrangements  Manages a professional handover to its successor as lead  Ensures that Ministerial or official visits to Tanzania by DPs are better coordinated through the lead serving as a focal point for incoming visits, avoiding “back door” bilateral meetings inconsistent with JAST

16. 25th August, 2009Dialogue Structure and Division of Labour16 2. ACTIVE Development Partner Definition  Active DP is the one that is selected to engage in dialogue and other development issues with the Government in a particular sector or thematic area  Should be among the GBS DPs or provide financial or technical support to the sector / thematic area Tasks  Participates actively in policy dialogue with the lead and other active partners  Engages in dialogue with the Government at sector meetings, reviews etc. and may lead on specific sub- sector / sub-theme discussions as agreed with the lead  Contributes analytical capacity to undertake sector work in line with government requirements and priorities

17. 25th August, 2009Dialogue Structure and Division of Labour17 2. ACTIVE Development Partner, cont. Tasks  Ensures adequate human and institutional capacity of its own to take forward this task  Acts on behalf of the lead during the latter’s absence  Can manage policy dialogue or funding arrangements on behalf of delegated DPs if this has been agreed bilaterally  Ensures that Ministerial or official visits to Tanzania by DPs are coordinated through liaison with the lead as a focal point, avoiding “back door” bilateral meetings inconsistent with JAST  Writes and circulates a brief record to other DPs of such Ministerial or official visits  Informs the Government and other DPs on delegated cooperation arrangements between itself and delegating DPs.

18. 25th August, 2009Dialogue Structure and Division of Labour18 3. DELEGATING Development Partner Definition  Delegating DP is the one that does not engage in direct dialogue with Government on sector issues, but can engage in policy dialogue or funding arrangements through an active DP Tasks  Is free to attend DPG WG meetings and can continue to voice policy concerns in the DPG WG meetings  Tracks developments through the DPG Secretariat, annual sector reviews or an active partner

19. 25th August, 2009Dialogue Structure and Division of Labour19 3. DELEGATING Development Partner, cont. Tasks  Continues to support existing projects, but over time is expected to shift to GBS or to new Government-led funding arrangements managed by active partners  Can participate in major consultations, e.g. annual sector reviews  Ensures that Ministerial or official visits to Tanzania are coordinated through the lead, avoiding “back door” bilateral meetings inconsistent with JAST; writes and circulates a brief record to the lead DP of such Ministerial or official visits

20. Overall principles of the selection of lead DPs  Selection of lead DPs will be proposed by Development Partners and the Government will approve proposals based on comparative advantage and selection criteria stated in the JAST  DPs are requested to continue supporting and respecting the coordination structures within Government by implementing effectively DoL among DPs in line with the Government Structures 25th August, 2009Dialogue Structure and Division of Labour 20

21. 25th August, 2009Dialogue Structure and Division of Labour21 Major Challenges on implementation of Division of Labour  Slow pace of implementation of the DoL by both the Government and DPs in some sectors and thematic areas  DPs capacity constraints to engage in dialogue in some sectors and thematic areas  How to integrate Division of Labour within the budget and MTEF, as a tool for prioritization, and DoL as a process of negotiating ultimate composition of aid.

22. 25th August, 2009Dialogue Structure and Division of Labour 22 The way Forward  The government should take lead to arrange Development Partners in the Sectors based on DPs comparative advantage and government priorities.  Re-negotiation of the DP engagement to be done in the context of budget/MTEF process (through sector working group dialogue in the new Dialogue Structure) as well as the DP programming framework ( CAS)

23. 25th August, 2009Dialogue Structure and Division of Labour23 THANK YOU