Transition Financing
Building a Better Response
While many determining forces in fragile and conflict-affected countries are outside donor control, decisions about which activities to finance and how to finance them influence these countries’ path out of conflict. This is because financing is about much more than the flow of resources: it affects behaviour, aid architecture, power and influence, priorities, and capacity development. And because it signals approval or disapproval, there is no neutral choice: a financing decision has consequences that go far beyond the timescale and scope of the funded activity.
This report will help OECD DAC members and partners to map out more effective, rapid and flexible transition financing. This includes improving current policies and practices in financial flows, implementing procedural and cultural changes in donor administrations, and maximising use of the instruments available for in-country transition financing. The report also addresses improving the operational effectiveness of pooled funding instruments, clarifying the link between funding instruments and national ownership, and adopting a new approach to identify and prioritise specific transition needs.
Also available in: French
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Foreword
This report has been prepared by the Financing and Aid Architecture Task Team of the OECD DAC (Development Assistance Committee) International Network on Conflict and Fragility (INCA F). The work of the task team is a result of the widespread recognition that more effective, rapid and flexible financing to conflict-affected countries is needed. The purpose is to translate previous commitments into practice in order to effectively address challenges associated with transition financing.
Also available in: French
- Click to access:
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Click to download PDF - 228.42KBPDF
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Click to Read online and shareREAD