US and UK Leadership Offset by Downward Global Trend in ODA

With less than 1,000 days to go until the 2015 deadline for the Millennium Development Goals (MDGs), ONE’s latest DATA Report:  ‘Special Report Tracking Development Assistance’ reveals a mixed outlook for official development assistance (ODA) to the world’s poorest countries.  There are some bright spots: US development assistance has increased by $148 million between 2011 and 2012, with much larger proportional increases to Sub-Saharan Africa, and the UK is expected to meet its 0.7% pledge this year.  However, the new report shows that other major donors are slowing down in their aid efforts, especially in sub-Saharan Africa.

Ben Leo, Global Policy Director of ONE said, “Now, just when the stakes are highest and the possibility of ending extreme poverty is on the horizon, governments should be striving to meet their promises and galvanise support, not turning their backs. While a tough economic climate continues to put pressure on aid budgets, particularly across the Eurozone, donors and partner governments must target limited resources as effectively as possible.”

In its new report, ONE has monitored recent trends in overseas development assistance and assessed donors’ progress against their existing commitments.  Specific findings include:

Global ODA is in decline

• Despite a 64% increase in aid from 2000 to 2010, in 2012 global official development assistance (ODA) declined for a second year in a row, a scenario that is unprecedented since the 1990s.
• From its peak in 2010, global ODA fell by 2% in 2011, and then by a further 3% in 2012.
• Many of the most severe cuts came from European donors. The EU collectively is only 52% of the way to meeting its 2015 target of 0.7% ODA/GNI.
• However, certain donors managed to increase assistance, with notable rises from Korea, Luxembourg and Australia.

Aid to sub-Saharan Africa has taken a big hit

• In 2012, aid to sub-Saharan Africa declined for the second year in a row, and by a larger percentage than global aid flows.
• From 2004 to 2010, ODA to sub-Saharan Africa rose by 51%. From 2010 to 2011 it dropped slightly, and then in 2012 dropped by a further 6%.
• Sixteen of the 24 major donors cut aid to sub-Saharan Africa between 2011 and 2012, including 14 of the EU15.
• However, other donors have stepped up to deliver notable increases to the region, including Korea, Australia, the US and Canada.

Leo continued, “It is vital that these aid trends are reversed, and that donors prioritize scarce resources in sub-Saharan Africa. This region is showing incredible progress on the MDGs, which should be further reinforced and accelerated through targeted and outcome-oriented support. Instead, we are seeing many donors turning away from success, which could put hard-earned advances in jeopardy.”

About The ONE Campaign:

Co-founded by Bono and strictly nonpartisan, ONE is a campaigning and advocacy organization of more than three million people taking action to end extreme poverty and preventable disease… because the facts show extreme poverty has already been cut in half and can be virtually eliminated by 2030, but only if we act now.