Aid For Agriculture: Turning Promises Into Reality Co-Ordinating Donor Interventions in Three West African Countries
Aid For Agriculture: Turning Promises Into Reality Co-Ordinating Donor Interventions in Three West African Countries
Aid For Agriculture: Turning Promises Into Reality Co-Ordinating Donor Interventions in Three West African Countries
OXFAM
RESEARCH
REPORT
Promises into Reality on the
Ground
Co-ordinating Donor Interventions in Three
West African Countries
Jean-Denis Crola
Oxfam France Agir ici
CNPFP/N
Unfortunately, the last 25 years have been marked by a threefold neglect of this
sector: neglect by our States, who have gone from an administrative and
interventionist vision of the agricultural sector to an absence of any vision
whatsoever, leaving market forces to guide any changes that occur; neglect by the
business community, which has generally focused on the sectors growth activities,
particularly import trading; and neglect by the international community, whose aid
to agriculture has dropped to dangerous levels. I would add also a fourth kind of
neglect: that of the producers themselves, who, discouraged and isolated, have often
sought a way out by diversifying their incomes with activities other than land and
livestock farming (...).
We cannot rise to meet the challenges presented without massive reinvestment on
the part of each of these actors. If even one of them fails to heed the call, then our
efforts will meet with failure.
[We have to rise above] a mindset of successive trends, to combine clear and
encouraging public policies, stakeholder financing strategies and tools in a
consistent manner, adapting them to the diversity of needs. Development partners
are often impatient to see our strategies translated into operational action. This
search for overall coherence is the starting point for an agricultural revolution that
will cost us dear in terms of dialogue and conception. It can nevertheless no longer
be ignored (...) Africa is tired of international conferences and pledges that lead to
nothing.
In Maputo, our Governments undertook to dedicate at least 10% of their State
budgets to agriculture. I invite you to build up a global partnership founded on
reciprocal agreements and to define together the means required to ensure they
become a reality.
Introduction.................................................................................................................... 8
B. Poorly co-ordinated investment over the medium and long term ............. 25
4 Conclusion................................................................................................................. 36
5 Recommendations.................................................................................................... 37
Bibliography ................................................................................................................ 45
Translators note:
Between June 2008 and July 2009, over 40 billion dollars were pledged by the main donor
countries to provide emergency response to the food crisis and to sustainably invest in
agriculture in developing countries. In addition, the donor and beneficiary countries, the
United Nations, the World Bank and other actors called for better coordination of
interventions on the ground, as well as increased investment in national strategies and
policies. These two elements were identified as essential points for action in the joint
statement on food security made at LAquila, during the last G8 summit.
A year and a half after the high level conference on global food security organised in
Rome by the FAO, this study attempts to present an initial review of the undertakings
made at international level and how they translate into reality in Niger, Ghana and
Burkina Faso. Based on these concrete examples, it outlines the main challenges and
stakes facing these countries that will determine the future of agricultural development
in the three countries studied.
Recommendations
For donors:
Concretely invest in the drafting and implementation of sector-wide programmes;
Use and strengthen existing bodies and procedures and support the work of existing
agriculture actors;
Move on from the dialogue stage to real coordination of interventions;
For Governments:
Actively provide direction to the drafting and implementation of sector-wide food
security and agricultural policies and programmes;
Ensure proper leadership in coordinating donor interventions; work on
implementing a regional trade policy that ensures the development of the
agricultural sector at both regional and national levels;
Make agriculture and food security real budget priorities.
2
Since the beginning of the 1980s, the agricultural sector has gradually dropped down
the list of priorities for Official Development Assistance (ODA), as well as that of many
Southern governments. In 2006, the sector represented only 3 per cent of global Official
3
Development Assistance (ODA), falling to its lowest level in decades. At the same time,
more people around the world are going hungry, due in part to the recent hike in food
prices. Today, hunger affects one in six people over a billion people in total.
West Africa has not been spared the effects of food price rises. In some areas of the Sahel,
a third of households have had to reduce the amount of food they consume. Almost a
quarter of households have reduced the number of meals they have each day or can no
longer afford basic foods. These price hikes have come on top of a nutritional situation
that is already structurally weak. In August 2008, the World Health Organization (WHO)
estimated that the rate of chronic malnutrition among children in Burkina Faso and
Niger was more than 40 per cent. 4 Everywhere, women and girls are the first to be
affected: often, they eat last and least, despite the fact that they are the ones who produce
the food.
In Burkina Faso, Niger and Ghana the countries that were studied for this report the
vast majority of the population is rural and depends on agriculture, mainly food crops,
for their livelihood and survival. Agriculture is both the driving force for economic
growth and the main means of reducing poverty, since the sector employs the majority of
the population. An improvement in living conditions for people engaged in agriculture
would help to reduce poverty overall as well as to ensure better food security at national
level.
Despite the relative downturn in Official Development Assistance (ODA) granted to the
agricultural sector in these three countries, many projects are actually being implemented
by donors. However they are not well coordinated, sometimes with few links between
them, and give rise to inconsistencies in the field that in the end weaken local capacities,
especially those of the government. Only with a coordinated approach towards
agricultural and food security policies that include a common vision of agricultural
development, will these projects succeed..
The projects that have been put in place over recent decades are no substitute for
effective real agricultural and food security policies. Where such policies do exist, they
are often ineffective and remain underfinanced by donors. Consequently, the situation
continues to worsen. The lack of effective trade policies, or problematic implementation
of them, has resulted in a lack of protection for agriculture markets, thus reinforcing the
trend. The ongoing negotiation of Economic Partnership Agreements (EPAs) risks
exacerbating this fragile situation even further.
In this context, and in order to respond to the food crisis, , the international community
mobilised itself. Between June 2008 and July 2009, no less than four international
summits took place that focused, at least in part, on global food security. 5 Over $40bn
has been pledged by donor countries to provide emergency response and invest
sustainably in the agricultural sectors of southern countries. Donors have also committed
to better co-ordinate their interventions and to support government programmes and
agricultural policies.
Members of the Economic Community of West African States (ECOWAS) have
reaffirmed their commitment to putting in place a regional agricultural policy, ECOWAP.
In June 2008, the regions Heads of State adopted the regional offensive for food
Maybe we are in the driving seat, but the vehicle still belongs to the donors.
Official of Ghanaian Ministry of Finance and Economic Planning
Despite the relatively low levels of Official Development Assistance (ODA) dedicated to
food security and agriculture in Burkina Faso, Niger and Ghana over recent decades, the
sector still remains an essential component of the national budget in each country. In
2005, emergency aid enabled the governments of Niger and Burkina Faso to mitigate the
impact of the food crisis, which had severely affected their populations.
In 2008, in the face of steep increases in food prices, emergency aid once again helped to
preserve livelihoods for some of the poorest households. Households found themselves
forced to sell their livestock or sell their belongings simply to afford basic food. External
aid to agriculture over recent decades has enabled these three countries to maintain a
certain level of investment in their agricultural sectors.
Nevertheless, this aid is largely inadequate to allow for any real development of the
sector. It has largely been delivered in an unsatisfactory manner. Official Development
Assistance (ODA) should help to strengthen the governments of the beneficiary countries
and to support them in drafting and implementing public policies that will help the state
and its citizens to effectively combat poverty and inequality.
In the three countries studied, the aid provided has not fulfilled these essential
characteristics. Aid is often provided in a haphazard way, through a multitude of short-
term projects that are poorly co-ordinated and have neither strengthened nor substituted
domestic food and agricultural policies. Donors remain strongly attached to their
priorities, methods of intervention and internal procedures all of which makes co-
ordination even more difficult.
Agriculture generates 35 per cent of gross domestic product (GDP) and 15 per cent of
export receipts for ECOWAS countries, 8 and directly employs at least two-thirds of their
populations. Burkina Faso, Niger and Ghana, like other countries in the region, have
made the agricultural sector a strategic economic growth sector, as a vehicle to
sustainable poverty reduction and to achieving food security. However, despite this
being a stated priority in poverty reduction strategies, 9 Official Development Assistance
(ODA) to the agricultural sector represented only 4.7 per cent of development aid on
average for all ECOWAS countries between 1995 and 2007 (see Figure 1).
20.00%
18.00%
16.00%
14.00%
Niger
12.00%
Ghana
10.00%
Burkina Faso
8.00%
CEDEAO
6.00%
4.00%
2.00%
0.00%
2001 2002 2003 2004 2005 2006 2007 1995-
2007
*Corresponds to sector 310. III. 1. Agriculture, forestry, fishing, according to the Organisation for
Economic Co-operation and Development (OECD) Development Assistance Committee (DAC).
Source: OECD / DAC
Despite the relatively low levels of ODA allocated to agriculture, external financing has
long represented the vast majority of sector financing in the three countries studied. The
2008 rural budget for Niger showed that financing from donors would account for over
74 per cent of total budget receipts for the sector, the rest being spread over own
funding (20 per cent) and resources from the Heavily Indebted Poor Countries (HIPC)
initiative covering 5.7 per cent. 10 The situation in Ghana is similar; donors contribution
to the Ministry of Food and Agricultures budget stands at 63.3 per cent for 2008 and the
forecast for 2009 is 68.5 per cent. 11
The proportions of external support are even more significant looking at actual year on
year spending, rather than just budgets. An official in Burkina Faso estimated that 90 per
cent of actual spending came from external resources. 12 Similarly, if we look at rural
investments, in 2007, 91 per cent came from external financing for Burkina Faso, not
including HIPC or global budget aid.
It would appear to make sense for all three countries, as far as possible, to direct external
financing towards agriculture, this priority sector, for the good of economic
development. However, such dependence is not without its difficulties. Because this aid
is provided in the form of a multitude of different projects of varying lengths and means,
financed or implemented by agents whose visions of agricultural development are
sometimes wildly divergent, it can prove problematic for states to ensure consistency and
co-ordination in investments in the agricultural sector.
Problems associated with project interventions in Burkina Faso, Niger and Ghana
Lack of financial predictability: the ability to predict financing for projects is much
lower in Burkina Faso than for aid given in budget support, whether granted in the
form of gifts or loans. Projects are, for the most part, implemented over three to five
years, with no guarantee of renewal; they are hardly ever aligned with national
budgetary timeframes, which complicates accounting and reporting. 19
Creation of parallel management units: Many donors create project management
units (PMUs) in order to facilitate financial disbursements and project management,
and so that they can use their own procedures. The 32 projects reviewed in 2009 in
the agricultural sector in Burkina Faso had all put PMUs in place.
The drawbacks associated with the project approach, that for decades have
characterised donor investments in agriculture and other sectors, have long been known,
and much has been written about them. The Paris Declaration on Aid Effectiveness,
signed in 2005 by donor and recipient countries, and the Accra Agenda for Action,
drawn up in September 2008, commit the signatory countries to combating these
negative effects of project aid (see Box 2). However, observations in the field demonstrate
that the road is long and progress is extremely slow.
The situation in Ghana differs from that of Burkina Faso and Niger in this respect, since
in addition to the 63 projects in the agricultural sector, the government also receives
sectoral budgetary assistance from the World Bank, the Canadian International
Development Agency (CIDA) and the UK Department for International Development
(DFID) for the implementation of its Food and Agriculture Sector Development Policy
(FASDEP II) 26 (see Box 3).
The plethora of projects in the agricultural sectors in Burkina Faso, Ghana and Niger
raises the issue (in addition to the constraints outlined above) of co-ordination, and state
and donor capacities to ensure consistency of investments for long-term development.
When projects reflect each individual partners approach and agenda, this can lead to a
lack of consistency in the field (see Box 4). In Burkina Faso, for example, the government
has drafted several action plans for the cereal, market gardening and livestock industries,
which are frameworks into which donor actions should fit. However, these action plans
have remained under-financed: donors prefer their own approach.
The six programmes financed by the World Bank and the German, Danish and Canadian
international development agencies support around 30 industries. Government choices
are not consistently included in donor programmes, which are also poorly co-ordinated,
even among themselves. Some industries consequently receive support from several
programmes (e.g., sesame, nib, soya, onion, shea, livestock/meat, poultry farming,
milk) while other industries such as maize and rice receive much less support in the
There are, in the three countries under review, co-ordination bodies that are formalised
to a greater or lesser degree, focusing on rural development, food security and food crisis
management or nutrition, which have been put in place by donors (see Annex 2).
In Burkina Faso, for example, the rural development co-ordination committee (CCDR)
for technical and financial partners was created in 2002, with Germany as its driving
force. Bringing together European countries initially, it has expanded to include Canada,
Switzerland, Japan and international organisations (the World Bank, the African
Development Bank (ADB), IFAD and FAO). It has latterly integrated a number of pre-
existing informal groups 30 and is now one of the main functional bodies between the
government and donors working in rural development.
In Niger, in addition to the statedonor dialogue framework for the rural sector, there are
(at least on paper) statedonor dialogue frameworks for each of the 14 programmes 31
and one for each of the countrys eight regions. In addition to these institutional
frameworks, there are other dialogue forums such as the sectoral group for dialogue on
emergency interventions and agropastoral rehabilitation, which meets fortnightly and is
chaired by the FAO.
But even if these groups share information, they are often far from promoting real co-
ordination for the different stakeholders interventions or harmonising their practices in
the field, let alone developing common projects. The only body that might be an
exception is the Niger National Body for the Prevention and Management of Food Crises
(DNPGCA) (see Box 5).
Despite a certain level of donor and government investment in the agricultural sector
over recent decades, the sector has not seen the desired levels of development that would
have assured household food security and helped to reduce poverty. The relatively low
levels of ODA dedicated to the sector are not the sole explanation for this situation. The
escalation in the number of projects and the constraints that are associated with them, as
well as the way interventions are distributed geographically, have not up until now been
a guarantee for consistency across the sector.
In response to food price increases, many donors have announced greater investment or
reinvestment in agriculture and food security. Between June 2008 and July 2009, over
$40bn was pledged during the international summits by donor countries (see Annex 1).
In addition, all the summit participants called for better co-ordinated interventions in the
field, as well as increased investment in national strategies and policies. These two points
were particularly identified as fundamental action principles in the LAquila Joint
Statement on Global Food Security, arising from the most recent G8 summit. 32
Moreover, several special funds have been set up within multilateral institutions: in
December 2007, the FAO launched its Initiative on Soaring Food Prices; the World Bank
launched its Global Food Crisis Response Programme in May 2008; the ADB launched its
African Food Crisis Response in July 2008; and the EU launched its Food Facility in
December 2008 (see Box 7). Even though this influx of funding is necessary and
opportune for a sector that has long been neglected in terms of international aid
priorities, it is not without its problems for beneficiary countries, which have to go, hat in
hand, to several donors. In addition to the problem of planning for the available
resources, the conditions attached to external funding are often very different. Some
donors want to keep a certain amount of visibility and control over their aid, which can
make it hard to fund national food crisis response programmes (as is the case in Burkina
Faso) or to co-ordinate interventions.
Field research carried out in June 2009 failed to provide an exhaustive overview of the
funding and interventions being implemented in the three countries in response to the
food crisis, partly due to the time lapse noted between donors pledges and
disbursements on the ground. The data presented in this section is mostly drawn from
interviews and is only partial. However, they do enable us to draw some lessons from
the reality and nature of the assistance provided by donors over the past`18 months, and
to assess whether the pledges made are a reality on the ground.
The support provided thus far by donors to Burkina Faso, Ghana and Niger has
essentially focused on short-term actions. These include providing assistance to the most
vulnerable populations through emergency projects, as well as supporting measures
being put in place by governments to mitigate the effects of food price rises.
Budget support
Since the beginning of 2008, several countries in the ECOWAS region have put in place
budgetary and fiscal measures to mitigate the effects of the price increases in food
products and agricultural inputs. The Burkinabe government, for example, for a six-
month period from February 2008, reduced customs duties and suspended VAT on
imports of certain basic products (rice, salt, food preparations for children, edible oils,
Table 2: Use of exceptional sectoral budgetary aid provided to Ghana by CIDA and
the World Bank
Because this budgetary aid was provided to support the emergency measures decided on
by the governments, it is properly integrated into national strategies, even if it does not
cover all the costs. From this point of view, this exceptional funding does reflect the
commitments made by donors to invest in national policies and strategies.
However, the issue of sustainability does arise, since the exceptional funding came about
to finance emergency measures put in place by governments, which in some countries
are not likely to continue. It is not certain at this time whether donors will support
governments in the implementation of policies to subsidise inputs for the medium or
8000
7000
6000
FCFA million
5000
4000
3000
2000
1000
0
2005 2006 2007 2008
Years
For 2009, the EU plans to transfer 10m from its Food Facility to the common donors
fund, but this fund is currently suspended until further notice due to the current
political situation in Niger.
International or national NGOs:
International NGOs, and to a lesser extent national NGOs, tap into major funding
and are big stakeholders in the implementation of emergency interventions,
However, information regarding funding of these interventions is particularly
sketchy. The origins of much of this funding (bilateral and multilateral agencies, UN
agencies especially WFP, funds generated by food crisis prevention and
management bodies, private funding, etc.) make it hard for governments to assess
the amounts they are spending or even sometimes the interventions that they are
implementing. The EUs Food Facility plans to launch project bids for NGOs (and
also for development agencies of EU member countries and other private and public
actors) amounting to 3.2m for Niger, 5.9m for Ghana and 5m for Burkina Faso.
This funding covers the implementation of medium-term and emergency projects.
However, the Food Facility is, of course, only the tip of the iceberg.
It seems that, in the three countries under review, most emergency interventions,
including food aid, have been financed by additional resources. This is particularly true
for the funds mobilised by UN agencies that made specific appeals to donors for
contributions. However, by definition, emergency aid remains, for the most part,
temporary, and a WFP executive in Niger observed in June 2009 that already there was a
Even though we have seen a certain return on donor funding in the agricultural and food
sectors in the three countries concerned since 2008, the interventions have mainly
focused on short-term actions to help the most vulnerable populations, to support
government emergency measures or to ensure adequate harvests in the short term.
However, the financial reinvestment announced by donors seems to be on the right
track.
On the other hand, the same can hardly be said for the commitments made by the
international community to improve co-ordination for their investments and to support
national agricultural and food strategies. Most interventions seem to be cut off from
national policies and structures, and emergency interventions are often made to the
detriment of proper donor co-ordination.
The real changes that the international community called for are slow in coming. It is
crucial that they redouble their efforts to make these changes happen now, while future
donor interventions for the agricultural sector are being drafted and ODA priorities for
the coming years are being defined. Without a radical change of direction in the field and
proper co-ordination of donor investments to support national policies and programmes,
the present problems will continue to undermine effective aid for agriculture in the three
countries. It is essential that ODA both supports the most vulnerable populations and
builds up state capacities to respond effectively to the challenges of agricultural
development and food security in years to come.
The recent firm commitment made by donors to support the CAADP in West Africa
offers important opportunities to bring about this change in approach. However, a
certain number of prerequisites must be fulfilled to ensure the success of the process, and
both states and donors must fulfil their responsibilities to ensure coherent programme
development.
As we have seen, the lack of coordination amongst donors is due in large part to their
intervention methods, project formulation and the urgency with which projects are
implemented in times of food crisis/emergencies. In Niger and Burkina Faso, the lack of
finalised sector-wide policies for food and agriculture highlights the failure of donors to
have a coordinated and harmonized approach to their activities. The Rural Development
Strategies of these two countries are now too huge to allow donors to realign themselves
to national priorities. Fully aware of these shortcomings, Burkina Faso and Niger are
currently developing sector-wide agricultural programmes. Ghanas Food and
Agriculture Development Policy (FASDEP II, August 2007) is currently being reviewed.
The three countries studied in this report are now faced with two parallel processes: the
sector-wide agricultural programmes, initiated at grassroots level currently being
developed in each country; and the national agricultural investment programmes
(PNIAs) which are the national instruments for implementing the ECOWAS agricultural
policy. The success of these two processes is crucial: they will be the practical tools for
aligning the donors and are a way of ensuring their activities are properly coordinated.
Governments must first ensure that these two processes come together into a single
sector-wide agricultural programme for each country. In order to fully involve donors,
States must clearly demonstrate their commitment to implementing these sector-wide
programmes by making the food and agricultural sector a real budget priority.
The work presented in this section is not intended to provide a comprehensive overview
of the processes involved, whose complexity and ramifications cannot be fully reflected
by a field study. It seeks therefore to simply highlight the main points and stakes that are
critical to the future development of the agricultural sectors in the three countries
studied.
In the three counties, sector-wide agricultural programmes are currently being drafted, a
process that has been ongoing for several years in some cases. They have been initiated
from the grassroots level and driven by the government or a small group of donors. They
are different in different countries, but essentially they have the same objectives: to
define an operational framework for the consistent implementation of the objectives set
out in the Rural Development Strategy (SDR) or in the agricultural policy in the case of
for Ghana.
Both Burkina Faso and Niger both have Rural Development Strategies, which are sector-
wide adaptations of their Growth and Poverty Reduction Strategies. These documents
define the strategic directions developed by the government and are reference
frameworks within which donor interventions should be carried out. However, they do
not necessarily represent operational alignment tools, which could ensure coordinated
The gradual shift from the 'project approach' to the 'programme approach' requires a
profound redefinition of the respective roles and interventions of donors, the State and
its technical services, including but also those of Civil Society.
The implementation of a sector-wide programme requires:
Specific skills both within donors and governments. In Ghana, an official from
the Ministry of Food and Agriculture deplored the lack of knowledge amongst
some donors about SWAp principles and implementation. The first step is to
organise joint joint capacity building training for both Ministry technical services
and donors to agree upon the definition of the sector programme, and to clarify
the prerequisites necessary for its implementation. Similarly Ministries
sometimes lack the skills necessary for developing programming, monitoring
and evaluation tools. Therefore preliminary capacity building on developing
sector programmes, monitoring and evaluation tools is needed. Although the
majority of donor interventions include a capacity building component, this is
often geared towards the projects operational needs, and is rarely coordinated
with the actions of other donors. In Niger for example, only a few donors
provide support to the Ministries of rural development in formulating a global
training plan to build State capacities. This initiative should receive systematic
support from other donors.
Specific human and financial investment. The definition of a sector-wide
programme, the drafting of a medium term expenditure framework (MTEF),
using local financial and administrative procedures etc. is a mutual learning
process. It requires donors to devote human and financial resources, and time.
Too often, these are lacking in projects developed by donors, which are focused
on performance targets. We do that in our spare time! laments a representative
of a bilateral agency in Burkina Faso.
The special pace necessary for any learning process and significant flexibility to
redirect interventions as needed. Few donors at country level have much room to
manoeuvre in financial decisions governing the budgets allocated by their
headquarters. The UN agencies we met in the three countries revealed that they
have difficulty subscribing to a programme approach as the way they work
involves the implementation of projects or programmes funded by external
donors, which are difficult to change after they have been approved. Conversely,
the Danish International Development Agency (DANIDA) in Burkina Faso and
Niger has a high level of decentralised decision-making, giving it the flexibility
necessary to coordinate and align its interventions to national priorities. In
Burkina Faso, for example, the agricultural development support programme
Although the processes for drafting agricultural investment programmes receive clear
support from the international community, they remain fragile. Their success will
depend on the mobilisation and inclusion of all actors, first and foremost the States
involved in their implementation. But we have seen that the financial recommitment
announced internationally in agriculture and food is still slow to materialise. The
possibility of yet another shift in policy or simply a failure to fully deliver on
expectations is unfortunately still altogether possible. In this context, it is essential that
Niger, Burkina Faso and Ghana - and other West African countries - are mobilised to
devote a larger part of their resources to the development, implementation and funding
of sector-wide agriculture programmes.
African Union (AU) Heads of States and Governments committed themselves at the AU
Summit held in Maputo (Mozambique) in 2003 to "urgently implement the
Comprehensive Africa Agriculture Development Programme (CAADP), planned pilot
projects and the scalable agricultural development plans at national, regional and
continental levels. To this end, [the signatories agree] to adopt sound policies for
agricultural and rural development and within five years to allocate each year at least
10% of national budgets to their implementation .
Compliance with the pledges made in Maputo is more necessary than ever to sustainably
support the commitments made on agricultural and food security policy and effectively
promote the implementation of sector-wide agricultural programmes. This sort of
commitment will give a strong signal to donors on the political will and capacity of States
to invest sustainably in agriculture and food. From this point of view, it is an essential
guarantee to convince donors to support national programmes.
While the proportion of agricultural spending of total public spending represents on
average of 16.3% in Niger (2001-06) and 26.7% in Burkina Faso (1991-2006), compared to
only 8.7% in Ghana (2000 07), a large portion of these expenditures recorded in the
budget are the result of projects implemented by donors in the agricultural sector, as we
saw in the first part of this study.
Thus, as emphasised in a recent study in Burkina Faso, "it seems the spirit of the Maputo
Declaration (...) has not been respected. In 2007, for instance, there was a sharp increase
in investment in agriculture for the Ministry of Agriculture (MHARH) mainly due to a
major increase in external grants made by donors and not because of the increased
investments funded by the State".
Furthermore, (just focussing on investments in the agricultural sector in Burkina Faso
between 2005 and 2008), the proportion financed by the State out of the total budget for
the agricultural sector represents 6.4% for the figure forecasted and 8.1% of the figure
actually spent.
Overall, given the agricultural growth, poverty reduction and food security objectives
that governments have assigned to the rural sector and to agriculture in particular in the
three countries, agriculture and food sectors are still not being given the priority they
should be in national budgets and actual expenditure. If States fail to devote greater
funding to agriculture and food in the coming years, it is likely that current levels of
funding will not be sufficient to bring the donors into line as hoped. More importantly, it
is feared that the objectives of sustained growth, to achieve food and nutritional security
and poverty reduction, will not be met if funding pledged by the donors is not delivered
on.
Following decades of neglect in the agricultural sector by States and the international
community alike, we are seeing a slight comeback by agricultural policies in the three
countries studied. The deteriorating food situation since 2008 caused by soaring prices
has again made States and donors painfully aware that agricultural development
requires delicate guidance, which cannot be left solely to market forces. The strategy of
the last thirty years, marked by the proliferation of targeted interventions geared towards
short-term needs, has shown its limits. All the actors, States as well as donors, are aware
that there is no substitute for coordinated and coherent food and agricultural policies.
However, major challenges still remain in all three countries. After decades of structural
adjustment, which reduced the capacity of government intervention, States must build
the capacities and resources necessary for the development and implementation of real
sector-wide programmes. The donors must be thoroughly reorganised, change their
The sharp rise in prices in early 2008 caused a marked deterioration in West African
populations nutrition levels. This crisis situation and the ensuing protests against high
prices was a painful wake up call for the international community: for too long,
agriculture has been a forgotten area by both aid for agriculture and by public policies in
southern countries.
In West Africa in general and in the three countries in particular, the reactions of donors,
as well as States and ECOWAS, give cause for hope. Indeed they combine a renewed
financial investment in food and agriculture and a return to agricultural policies, both
regionally and nationally. They have the potential to sustainably reduce hunger and
ensure agricultural development in the long term.
The donors present in the countries are currently shifting the focus of their interventions
to restore the central role food and agriculture plays in the fight against poverty.
Although insufficiently coordinated, agriculture and food security are now at the heart of
discussions being led by regional States and major new initiatives are being developed.
As for countries and ECOWAS, this crisis has brought to the fore the need for a rapid
implementation of ambitious food and agricultural policies to get a coherent
understanding of sector development and to effectively coordinate donor activities in
seeking common goals. It is the whole purpose of ECOWAS regional agricultural policy
and its operational components - the Regional and National Agricultural Investment
Programmes (PRIAs and PNIAs).
But the technical, political and financial challenges are enormous.
The development of coherent food and agricultural policies requires effective
coordination, while ensuring stakeholders take an active role. It is crucial to ensure
coherence between different policies or programmes, including the PNIAs promoted by
ECOWAS, with the existing sector programmes, but also with emergency programmes
developed in response to rising food prices, in order to ensure a clear policy direction for
all stakeholders.
As for the donors, it is now not possible for them to intervene outside the agricultural
sector programmes being developed by States and the region. Therefore, they must now
adapt their procedures and intervention strategies to facilitate and strengthen their
alignment with the choices made by partner countries. They must also link already
funded interventions and special initiatives developed in response to the food crisis to
national priorities and programmes currently being developed. They can no longer fail to
coordinate their activities.
By combining this financial reinvestment and a true political drive in their countries,
governments and donors now have the means to invest in policies that will put an end to
a vicious cycle that has lasted too long, and whose first victims are the people
themselves. Significant progress is already visible in the three countries and this should
encourage donors to go further in acting efficiently and building and strengthening State
capacities. However, if the different actors break the rules and continue to focus on their
own interests and individual practices, this will lead to great disappointment.
Governments and donors should not miss this opportunity: they will be solely
responsible for this failure.
For donors
Donors pledged to respond to the sharp rise in food prices in the 3 countries studied,
giving real opportunities to support agricultural development and food security.
However, to achieve this, it is crucial that the donors radically change their approach
and:
I/ Invest effectively in the development and implementation of sector-wide
programmes
Donor coordination must be built around common guidelines that reflect government
priorities and help to build a coherent sector policy for the country. For this it will be
necessary to:
1. Systematically ensure interventions are in line with government (or local
level) sector-wide policies. Donors should integrate already funded
interventions and future interventions into the sector-wide programmes
currently being developed and support national priorities and procedures;
2. Fully support the PNIA alignment and ongoing processes while ensuring
strong links between interventions in the different countries of the region and at
the regional level;
3. Decentralise decision-making process to regional and country levels so as to
have adequate flexibility in decision making and funding and align their
interventions with national priorities. Decentralisation' has to be accompanied
by clear guidelines to support governments in the development, implementation
and monitoring of the sector-wide policy. Donors should be better organised at
the regional level to ensure effective cooperation with ECOWAS.
4. Systematically strengthen local capacity building at all intervention levels
(central, decentralised and devolved technical departments). Donors should
support the development and implementation of a training plan with the
government sector and also provide capacity building for local civil society,
particularly farmers' organisations.
II/ Use and strengthen existing bodies and procedures and support the work of
existing agriculture actors
For this it will be necessary to:
1. Find a way of systematically using existing dialogue or programming bodies.
These frameworks should be practical tools to align donors. Where they do not
exist or are inadequate, the donors should support actors, together with the
relevant authorities, in creating or strengthening permanent tools, that are
consistent with national priorities;
2. Seek to use existing procedures. When implementing projects: avoid the
creation of project management units; promote systematic participation by State
representatives in the steering committee; use State benchmarks and government
procedures including national procurement systems, and work to strengthen
them if they are deficient, with a transitional period and clearly defined
objectives;
For governments
The deteriorating food situation since 2008 brought to the fore the need to develop and
implement food and agricultural policies. It is essential that the three governments seize
this opportunity to ensure better coordination of donors around national and regional
policies. For this, governments should:
II/ Insist and ensure that aid from international NGOs is held up to the same quality
standards. In particular:
By respecting priorities expressed by people living in poverty;
By gathering sufficient background knowledge to ensure the relevance of its actions
at social, cultural, economic, and political levels;
By adapting their interventions to national and local policy options and in
coordination with other actors at local, national and regional levels according to
their sphere of intervention;
By assuming their responsibilities towards beneficiaries and their partner
organisations;
By respecting the fact that citizens, local civil society and governments in developing
countries are the primary development actors - not international NGOs;
By ensuring that commitments and long-term funding are predictable and disbursed
on time;
By harmonising their practices and procedures with other donors to minimise aid
related costs and avoid duplicated interventions, while ensuring there is some
diversity in approaches. This is particularly crucial for their relationship with
partner organisations;
By maintaining transparency towards third parties by publishing their internal
governance procedures, taking part in international initiatives aimed at greater
transparency, and respecting their abilities and limitations;
And by respecting serious assessment procedures, integrating all the involved
persons and disseminating lessons learned to inform other actors.
Oxfam works with other international NGOs to ensure that support is provided in this
way.
Summary of the main financial pledges made for agriculture and food security since the
end of 2007
Pledges from International Summits: 43 billion $
On 3-5 June 2008, during the FAO summit organised in Rome, the United Nations
agencies working on food and agriculture, 43 Heads of State and 181 countries
announced their renewed commitment to the sectors of agriculture and food security.
Close to 6 billion dollars were pledged during this summit and FAO estimated that
shortly after the summit 22 billion dollars were pledged as a result of the summit. In
January 2009, it lamented the fact that less that 10% of this sum (2.1 billion dollars)
had in fact been paid out, mainly for emergency activities.
In the Declaration on global food security made at the G8 in July 2008, the G8
leaders stated that since the beginning of the year they had dedicated over 10 billion
dollars to deal with the effects of the crisis, through food security measures and to
increase agricultural production in the countries affected. They did not announce
any new financial measures for the countries worst affected.
In January 2009, the Madrid summit on Food Security for all provided Spain with
an opportunity to announce a new investment of 1 billion over 5 years for food
security and agriculture.
Finally during the G8 summit in LAquila, Italy, in July 2009 the G8 leaders, under
the aegis of the American President, Obama, announced 20 billion dollars to improve
global food security. Details to be announced by donor countries.
Recommitment from international institutions:
In December 2007, the FAO launched its Initiative on soaring food prices (ISFP) with
a budget of 109 million $ (of which 36 million are from TCP resources and 73 million
from donor countries). Since June 2008, FAO estimates it has received 22 billion in
promised funding.
In April 2008, IFAD announced it was making 200 million $ available (non-
additional) to support agricultural production by poor farmers and the 8th
replenishment of IFADs resources in 2008 saw an increase in resources of 1.2 billion
$.
WFP announced it had spent 5.1 billion $ in 2008 and the 2008-2009 work
programme, initially estimated at 5.8 billion was revised up to 11.8 billion $ (5.8 for
2008 and 6 billion for 2009) to be presented to the board in June 2009.
In May 2008 the World Bank (WB) launched a Global Food Response Programme
(GFRP) with an initial figure of 1.2 billion $, raised to 2 billion $ in April 2009. This
fund aims to finance interventions in 36 priority countries. Furthermore, the WB
announced its intention to increase the global level of its loans to the agricultural
sector, taking it up from 4 billion to 12 billion $ by 2010, and tripling its investment in
security safety nets and other social protection programmes for food security,
bringing it to 12 billion $ over the next 2 years. The WB has also increased its
investment in agro-business via IFC and received extra funding from Australia,
Russia, the European Commission (Food Facility) as well as extra contributions from
IDA.
In May 2008 the Interamerican Development Bank (IDB) announced a credit line of
500 million $ allocated to the food crisis and 20 million $ reserved from its Social
Fund.
Sources: internal memo from the French permanent representative to the United Nations agencies
for food and agriculture in Rome (FAO, WFP, IFAD).
Mainsectorwide,formalandinformal,consultationbodiesinthethreecountries
Niger > State-donor > Informal meetings > Consultation body for > Sector-wide
dialogue body on between donors and the prevention and dialogue forums on
rural development the rural development management of food emergency and
lead crises * rehabilitation agro-
> Sub-sector-wide pastoral interventions
consultation bodies lead by FAO
(only 4 to 6 bodies of
the 14 are up and > Thematic UN inter-
running) agency coordination
group for rural
> regional development and
consultation bodies food security.
(only 2 or 3 are up
and running)
Burkin > the national > consultation body for > national food security > Humanitarian
a Faso consultation body for rural development committee (CNSA) and coordination
rural development (CCDR) its technical committee meetings set up by
partners (CNCPDR) OCHA and
> Reflection and coordinated by WFP:
monitoring committee brings together UN
for the cereal and food agencies, NGOs and
security policy some donors
(CRSPC), within
CONASUR.
Human Resources)
This dialogue body is in fact programme framework 9 of the rural development strategy: Reducing household
vulnerability but has the specific role of drafting a charter (framework agreement) and is directly under the
Primature and not under the central Ministries for the rural sector.
Process for drafting sector-wide investment policies and programmes in the three
countries
Programme approach set out Sector-wide productive rural Sector Wide Approach in
in the SDR action plan (2006) development programme Agriculture (AgSWAp)
and the ongoing process to (PROSDRP)
regionalise the SDR
Road map for PROSDRP
adopted in 2007; ongoing Process initiated in 2006; road
process. map being validated between
donors and the State
It reflects all the rural The PROSDRP is one of the AgSWAp was conceived as
development Ministries tools for putting into operation an operational tool for
missions in its programmes, the SDR, in synergy with other implementing FASDEPII
linked to precise objectives national programmes linked to (Food and Agriculture
and activities. rural development. Development Policy) adopted
in 2007.
Burkina Faso
Ghana
1 www.diplomatie.gouv.fr/fr/actions-france_830/agriculture-securite-alimentaire_18825/forum-sur-financement-
investissements-pour-agriculture-afrique-subsaharienne-8.12.08_70047.html
2 The report deals with agriculture as a whole, encompassing all the sub-sectors of livestock farming, fishing and
aquiculture, forestry and mainstream agriculture. For simplicity, the term agriculture or the agricultural sector will be
used throughout the document.
3 www.fao.org/news/story/fr/item/19354/icode/
4 Oxfam International and Save the Children (2008) Rising food prices in the Sahel: The urgency of long-term action,
www.oxfam.org/en/policy/bn-rising-food-prices-sahel-0811 (last accessed October 2009).
5 The Rome Summit in June 2008 (the High-Level Conference on World Food Security: The Challenges of Climate
Change and Bioenergy); the G8 Summit in Hokkaido in July 2008; the Madrid Food Summit in January 2009; and the G8
Summit in LAquila in July 2009.
6 Internal FAO-WFP note Food Security and Humanitarian Implications, September 2009.
8 ECOWAS, 2004.
11 Ghana: 2008 MoFAs Annual Financial Report ; 2009 MoFAs financial report for the first quarter.
13 These were respectively 24 donors and 69 projects included in the 2007 budget, and 22 donors and 55 projects in the
2006 budget. See budgets 20062008.
14 Refer to the regional action plan, Diffa Region, initial draft, June 2009.
15
Burkina Faso : reference to decree MAHRH-MEF, 2009 ; Ghana : Agriculture sector plan 2009-2015.
16 Projects registered in the sectors Agriculture, Fishing and Forestry according to the OECD classification. These 131
projects include some food security projects but not all, some are classified under Humanitarian Aid. However, livestock
farming projects are not included in this agriculture sector. Source : Coopration pour le dveloppement : Etat de mise en
uvre de la dclaration de paris au Burkina Faso, Rapport 2007, pp. 119163.
17 Ibid, p. 66.
18 Joint study by the Ministries of Agriculture (MHARH) and Ministry of the Economy and Finance (MEF).
19 For more details on comparing project aid effectiveness and budgetary aid, see F. de Lucca and M. Raffinot
(2007) Aide budgtaire : le cas du Burkina Faso, Afrique contemporaine n 223, pp. 193218.
20 Calculations based on a compilation of project files carried out in mid-2006 by the Niger government based on
information passed on by technical and financial partners.
21 In Niger, the annual expenditure review consists of adding together the disbursements made by the different projects and
redistributing them by theme in the budget.
24 2008 monitoring survey on the implementation of the Paris Declaration in Burkina Faso, OECD.
26 Food and Agriculture Sector Development Policy, version revised in August 2007.
27 The 1st DPO (2008) was for an amount of $25m, $15m being destined for each of the two subsequent phases (2009 and
2010). To support the Ghanaian governments measures aimed at dealing with the price increases for food products and the
relaunch of agricultural production, the World Bank delivered $25m in 2009 and has undertaken to provide $25m again in
2010 instead of the $15m initially planned.
30 Global Donor Platform for Rural Development (GDPRD) (2005),Working Paper: Assessment Study on Harmonisation
and Alignment in Rural Development The case of Burkina Faso, p.4.
31 Including the select dialogue committee of the DPNGCA, which played a major role in the 2005 food crisis in Niger.
32 Our action will be characterized by a comprehensive approach to food security, effective coordination, support for
country-owned processes and plans as well as by the use of multilateral institutions whenever appropriate. Delivering on
our commitments in a timely and reliable manner, mutual accountability and a sound policy environment are key to this
effort. LAquila Joint Statement on Global Food Security, LAquila Food Security Initiative (AFSI).
33 Burkina Faso, country visit report, 1826 May 2009, the Secretary-Generals High-Level Task Force on the Global Food
Security Crisis.
36 In a letter to the Prime Minister of Burkina Faso from donors working on food security and the issue of increasing costs
of living in 2008, dated 5 November, the donors differentiated the aid that they have provided for food security, to the tune
of 24.1bn CFA francs, and support to rising living costs represents 20bn CFA francs.
38 Walta Info (2009) Ghana, Japan sign food aid agreement, Press release, 22 April:
www.waltainfo.com/index.php?option=com_content&task=view&id=9562&Itemid=52 (last accessed October 2009).
39 For project implementation, the FAO has a Technical Cooperation Programme tool that allows it to intervene in the
areas of agriculture, fishing and forestry (www.fao.org/tc/tcp/). For interventions of a greater scale, the FAO creates
programmes with the governments which it then submits for funding to the donors.
40 The International Fund for Agricultural Development (IFAD) is one of the three specialist United Nations agencies for
agriculture and food, together with the Food and Agriculture Organization (FAO) and the World Food Programme (WFP).
41 World Food Programme, Purchase for Progress: www.wfp.org/purchase-progress (last accessed October 2009).
42 Extract from a working paper on reforming the ECOWAS common external tariff (CET), ROPPA (Network of Farmers
and Agricultural Producers Organisations of West Africa), with support from Oxfam International, 16 January 2008, p.17.
The following organizations are currently observer members of Oxfam International, working
towards full affiliation:
Please write to any of the agencies for further information, or visit www.oxfam.org. Email:
[email protected]