DfID, extractives and development, focus on africa
DFID, Extractives and Development;focus on AfricaHolger Grundel (Senior Africa Regional Adviser)Justine Davila (Governance Adviser, Policy Division)University of Dundee, 16 May 2012
Why are extractives of interest to DFID?• 15 DFID focus countries are resource-rich• Transformational potential for inclusive growth and graduation• Building on the platform of work on transparency and accountability eg. EITI
The Department for International Development• The Department for International Development (DFID) is the part of the UK government that manages Britains aid to poor countries and works to get rid of extreme poverty.• We are working to reach the Millennium Development Goals (MDGs), the international targets agreed by the United Nations (UN) to halve world poverty by 2015.• We work with governments of developing countries as well as charities, businesses and international bodies, including the World Bank, the UN agencies and the European Commission.• In 2008/09 we provided £5.5 billion of aid to poorer countries. Our budget will increase to £7.8 billion by 2010/11.
What are DFID programmes supporting internationally?• Higher global standards of extractives transparency – EITI, EU.• Supporting the Natural Resource Charter (NRC) from 2012-14 to benchmark resource-rich countries against good practice in extractives management.• Supporting the International Growth Centre (IGC), an independent source of technical expertise to partner governments, eg. Ghana, Uganda
What are DFID country programmes supporting already?• Building capacity of energy and mining ministries (eg. Afghanistan, Sierra Leone);• Addressing overall sector governance (eg. DRC, Nigeria);• Supporting development of legal/regulatory frameworks (eg. Mozambique, Afghanistan, Sierra Leone) and civil society/parliamentarians to scrutinise them (eg. Uganda, Afghanistan);• Assisting with in-country EITI implementation (eg Nigeria, DRC, Afghanistan)• Building the skills base of the workforce to generate local jobs (eg. Uganda).• Looking at the footprint of emerging economy companies (eg, India in Africa);
Private sector Tendering, operations: Spending and geodata contracting, revenues infrastructure saving licensing etc supply chainsConsidering our future work:- all along the resource chain – key areas of demand- high quality, responsive, evidence-based support
DFID’s Mining Programme in the DRC - OverviewAssumption: Improving governance of the DRC’s mineral resources andreducing corruption associated with their exploitation are prerequisites forpeace and sustainable development in the DRC.PROMINES 2011-16 World Bank, Ministry of MinesSupport to Civil Society in Mining 2011-15 Sweden, The NetherlandsSectorEITI Ongoing World Bank, Germany, Belgium, Min of Plan, Min of Mines, Intl. EITI Sec.Public-Private Partnership (PPP) in In design Government of Katanga, miningKatanga companies, USAID, NGOs
DFID’s Mining Programme in the DRC –Risks and Early Achievements• Uneven political commitment to reform• Volatile operating environment in the DRC• Unpredictable international community commitment to the DRC• Reputation• EITI process remains on track• Publication of some previously secret contracts• Web-based map of all mineral concessions in the DRC• Preparation of first public tendering of three mining concessions
Discussion• Any questions for clarification?• Does the logic for DFID/donor engagement make sense?• Are there specific areas where more donor engagement would be a good (or a bad) thing?