Financing is about much more than the flow of resources. it affects behaviour, aid architecture, the power and influence of different groups, priorities and capacity development. it signals approval or disapproval. and there is no neutral choice – making a financing decision always creates consequences that go far beyond the time scale and scope of the funded activity.
Successful transition financing will depend on the ability of development partners to improve the policies and practices currently governing their financial flows, the implementation of some procedural and cultural changes within donor administrations, and a willingness to expand and fully utilise the range of tools and instruments available for incountry transition financing.
More than one-third of Official Development Assistance is spent annually on fragile and conflict-affected countries.
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