FINANCING FOR DEVELOPMENTTOP 10 FAST FACTS FOR BEGINNERS

blogs.worldbank.org

FINANCING FOR DEVELOPMENT: FACT NO. 10In September 2015, 193 United Nations (UN) member countries approved the 17 Sustainable Development Goals (SDGs) (also known as 2030 Agenda, or Global Goals), to replace the Millennium Development Goals (MDGs) a 15-year agenda established in 2000. (www.undp.org/content/undp/en/home/mdgoverview)

blog.worldvision.com.au

FINANCING FOR DEVELOPMENT: FACT NO. 9This December 2015,

United Nations (UN) member countries are expected to agree on a climate change deal at the Paris Climate Conference (21st Conference of Parties, or COP 21) to be held from 30 November to 11 December 2015. (http://www.cop21paris.org/about/cop21)

www.europarl.europa.eu

FINANCING FOR DEVELOPMENT: FACT NO. 8The term “Billions to Trillions” refer to billions in

Official Development Assistance (ODA), which are concessional loans and grants from OECD-DAC (.7% of GNI of member countries) to least developing countries (LDCs), to create and mobilize trillions of dollars in all possible sources of finance. (http://www.worldbank.org/mdgs/documents/FfD-MDB-Contributions-July-13-2015.pdf)

www.fin4dev.org

FINANCING FOR DEVELOPMENT: FACT NO. 7Development finance comes

from various domestic/international and private/public sources, e.g., ODA; Domestic Resource Mobilization (DRM); Foreign Direct Investment); and regular loans, guarantees, equity investments, and technical assistance from Multilateral Development Banks (MDBs). (https://www.worldbank.org/content/dam/Worldbank/document/Poverty%20documents/WB-PREM%20financing-for-development-pub-10-11-13web.pdf)

devpolicy.org

FINANCING FOR DEVELOPMENT:FACT NO. 6Multilateral Development

Banks (MDBs) (e.g. World Bank, Asian Development Bank, and Inter-American Development Bank) are composed of member countries, with a capital stock that comes ultimately from respective member countries’ tax payments. (Susan McAdams, What is Financing for Development, FFD MOOC)

FINANCING FOR DEVELOPMENT: FACT NO. 5MDBs strive to increase to

2 to 5USD every 1USD received (multiplier effect) to ensure more funding for development-related projects. MDBs raise funds not only through capital contributions, but also through bonds (in which MDB becomes the borrower). (http://www.worldbank.org/mdgs/documents/FfD-MDB-Contributions-July-13-2015.pdf)

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www.worldbank.org

FACT NO. 4Domestic Resource

Mobilization (DRM) is the largest development finance source, and requires well-designed tax systems; efficient and corrupt-free collection; and development-appropriate expenditures. (http://www.worldbank.org/mdgs/documents/FfD-MDB-Contributions-July-13-2015.pdf)

www.marcgunther.com

FINANCING FOR DEVELOPMENT: FACT NO. 3Private sector finance is

crucial for development finance, and critical for partnership with the public sector. (http://www.adb.org/sites/default/files/publication/29108/ifi-development-private-sector.pdf) In Asia alone as of 2009, there is 4Trillion USD in unutilized private sector funds. (http://www.adb.org/news/asia-must-tap-deep-savings-private-sector-finance-infrastructure-adb)

www.telegraph.co.uk

www.gettyimages.com

FINANCING FOR DEVELOPMENT: FACT NO. 2Philanthropy is a private

sector development financing mode that is appropriate for projects that may not appeal to MDBs or local development banks, because of risk or minimal/zero profit. (https://www.worldbank.org/content/dam/Worldbank/document/Poverty%20documents/WB-PREM%20financing-for-development-pub-10-11-13web.pdf)

ryanvalle.me

www.dhgould.com

FINANCING FOR DEVELOPMENT: FACT NO. 11.2 Billion of 7Billion plus

people still live in extreme poverty. If loans are used for appropriate projects, if available funds (e.g. sovereign wealth funds, pension funds) are tapped for development finance, if funds are multiplied to serve more people, and if capacity and awareness of governments and citizens are improved, removing poverty is feasible in this generation.

mpbleadersteam.blogspot.com

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