Explanatory Memorandum to SEC(2011)505 - EU Accountability Report 2011 on Financing for Development Review of progress of the EU and its Member States Accompanying document to the COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE AND THE COMMITTEE OF THE REGIONS Enhancing EU Accountability on Financing for Development towards the EU Official Development Assistance Peer Review VOL VI

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1.

Brussels, 19.4.2011 SEC(2011) 505 final


COMMISSION STAFF WORKING DOCUMENT EU Accountability Report 2011 on Financing for Development

Review of progress of the EU and its Member States

Accompanying document to the

COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE AND THE COMMITTEE OF THE REGIONS

Enhancing EU Accountability on Financing for Development towards the EU Official Development Assistance Peer Review

VOL VI

{COM(2011) 218 final} {SEC(2011) 500 final} {SEC(2011) 501 final} {SEC(2011) 502 final} {SEC(2011) 503 final} {SEC(2011) 504 final}

Annex 8 Survey Results

A. Mobilising domestic financial resources for development A.1. Promoting good governance in tax matters

1.1. In your development cooperation do you provide support to developing countries' tax systems and to their efforts to mobilise domestic revenues?
ResponseResponse
PercentCount
78.6%22
No21.4%6
answered question28
skipped question0
5.1.4. Which stakeholders/institutions in developing countries do you support to strengthen public financial management?
ResponseResponse
PercentCount
National Parliaments31.8%7
20
National Audit Institutions68.2%15
Civil Society Organisations■ 45.5%10
Other18.2%4
Other, please specify

Show replies
8
answered question22
skipped question6
7. 3. Do you support developing countries in addressing the challenges of cross-border tax evasion and harmful tax competition?
ResponseResponse
PercentCount
18
No30.8%8
answered question26
skipped question2
9. 4. Do you provide assistance to developing countries in adopting and implementing the OECD guidelines on transfer pricing?
ResponseResponse
PercentCount
Yes480%12
No52.0%13
answered question25
skipped question3
1. 5. In your cooperation policy, do you promote the principles of good governance in tax matters (transparency, exchange of information, fair tax competition)?
ResponseResponse
PercentCount
85.2%23
No14.8%4
answered question27
skipped question1
3. 6. Do you assess the level of commitment of the beneficiary to the principles of good governance in tax matters?
ResponseResponse
PercentCount
Yes18
NoU 30.8%8
If no, why not? Please indicate below:

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8
answered question26
skipped question2
1. 6.2.1. Transparency of tax systems: Do you analyse the situation of the country concerned with regard to its commitment and implementation of the international standards of transparency of tax systems?
ResponseResponse
PercentCount
Yes16
No27.3%6
6.2.1.1. Please explain: If yes, in what ways? If no, why not?

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19
answered question22
skipped question6
2. 6.2.2. Exchange of information between tax administrations: Do you analyse the situation of the country concerned with regard to its commitment and implementation of the international standards of exchange of information in the tax area?
ResponseResponse
PercentCount
Yes 52.2%12
No 47.8%11
6.2.2.1. Please explain: If yes, in what ways? If no, why not?

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19
answered question23
skipped question5

3. 6.2.3. Fair tax competition: Do you analyse the situation of the countries concerned with regard to business tax measures in force in those countries, which could fall under the criteria of the Code of Conduct for business taxation (set out in the Council Conclusions of 1st December 1997, OJ C2/01, 6.1.98)?

Response

Percent
Response

Count
Yes3i.8%7
No68.2%15
6.2.3.1. Please explain: If yes, in what ways? If no, why not?

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16
answered question22
skipped question6
1. 7. Do you provide any form of assistance in relation to good governance in tax matters to the countries with which you have or plan to have TlEAs or Double Tax Conventions?
Response

Percent
Response

Count
Yes44.4%12
No55.6%15
answered question27
skipped question1
2. 8. Please give details of the new TlEAs (Tax Information Exchange Agreements) and Double Tax Conventions your country concluded or is seeking to conclude since the beginning of 2010. Three status for the agreement:
ResponseResponse
PercentCount
24
Show replies
ii)Agreement under
22
Show replies
iii)Agreement planned64 0%16
Show replies
answered question25
skipped question3
1. 9. Do you coordinate with bilateral and multilateral donors when supporting developing countries' tax reform agendas?
ResponseResponse
PercentCount
17
No32.0%3
answered question25
skipped question3
3.10. Do you support any international or regional initiatives or organisations that are active in the area of tax reform?
ResponseResponse
PercentCount
Yes61.5%16
No38.5%10
answered question26
skipped question2

B. Mobilising international resources for development: foreign direct investment and other private flows

B.1. Support to private investment

4, 13, Are you providing financial tools to support private investment? (Please tick relevant and provide details in the box below)

Response Response

Percent Count

Investment guarantees65.2%15
Improvement of the overall banking system33.1%9
Microfinance/ access to financial services60.9%14
Risk management initiatives34-. 8%8
Blending34-. 8%8
Private public partnerships43.5%10
Business and investment69.6%16
climate
Investment facilities60.9%14
Export credits60.9%14
OtherJPlease give details below}30.4%7

Other [please specify} g

2.

Slow reaHea


answered question 23

skipped question 5

B.2. Corporate social and environmental responsibility

6.14. Are you promoting the adoption of internationally agreed principles and standards on

Corporate Social and Environmental Responsibility by European companies?
ResponseResponse
PercentCount
Yes20
No23.1%6
answered question26
skipped question2
3.15. Are you supporting one or more of the below initiatives? (Please tick relevant and provide details on the nature of your support (signatory of the initiative, support of its implementation) in the box below)
ResponseResponse
PercentCount
9
FAO Code of Conduct for54.5%6
Responsible Fisheries
Otherm 45.5%5
Other (please specify)

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10
answered question11
skipped question17

B.4. Remittances and Migration

10.17. Have you implemented solutions internally and in cooperation with third countries to overcome barriers to migrants and their families' access to financial services, with a view to reinforcing the impact of remittances on their economic and social development?

Response Response

Percent Count

Yes 34.6% 9

No

65.4% 17

answered question 26

skipped question 2

11.17.1. If yes, do you have monitoring indicators for measuring the impact of these solutions on migrants' access to financial services, remittance transfer costs and remittance transfers volumes?

Response

Percent
Response

Count
Yes44.4%4
No55.6%5
17.1.1 Please specify:

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9

answered question 9

skipped question 19

12.17.2. If no, do you plan to implement solutions to improve the impact of remittances on
development?
ResponseResponse
PercentCount
Yes M 11.8%2
15
17.2.1. Please specify:15
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answered question17
skipped question11
14.19. Have you implemented or do you plan to implement any other initiatives in order to increase competition and transparency in the remittance market and to reduce remittance transfers costs?
ResponseResponse
PercentCount
Yes 41.7%10
No _ 58.3%14
19.1. Please specify:19
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answered question24
skipped question4
15. 20. Do you have robust and reliable data concerning the amounts and destination of remittances from your country, especially compared to other sources, such as ad-hoc surveys?
ResponseResponse
PercentCount
Yes44.4%12
No55.6%15
answered question27
skipped question1
16. 21. Have you adopted or do you intend to adopt the operational definitions, recommendations and best practices on improving the quality and coverage of data on remittances according to the compilation guide drafted by the "Luxembourg Group” ?
ResponseResponse
PercentCount
Yes 47.8%11
No 52.2%12
answered question23
skipped question5

17. 22. Does your legislation a€“ in particular national security or immigration laws - contain any provision hampering the effective use of legal remittances channels?

Response Response

Percent Count

Yes 0.0% 0

No 100.0% 22

3.

22.1. If yes, please explain the legislation and whether you intend to address this


challenge i n the future? 2

4.

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answered question 22

skipped question 6

18. 23. Have you conducted an assessment of the impact of the legislation on anti money-laundering and counter-terrorism financing on the remittances' market?

Response Response

Percent Count

Yes 0.0% 0

No 100.0% 19

5.

23.1. If yes, please explain the results of this evaluation? If no, do you intend to conduct


such an assessment? 4

6.

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answered question 19

skipped question 9

D. Increasing international financial and technical cooperation for development D 1. ODA

7. D 1.2 Predictability of ODA increases 28. Have you established a multi-annual indicative timetable/minimum aid level commitment, approved by the national government, showing how you aim to reach your ODA targets for 2015 (0.33% or 0.7%}?
Response

Percent
Response

Count
Yes370%10
No63.0%17
answered question27
skipped question1
8. 28.1. If yes, by what process was this achieved and what is the legal status of this timetable/minimum aid level commitment:
Response

Percent
Response

Count
Law10.0%1
Annual budget law H10.0%1
Government decision/ decree30.0%3
Policy document, endorsed by the entire Government (e.g. multi-annual strategic policy document etc)50.0%5
28.1.5. Please indicate the web link to the document or Official Journal specifications or

attach the document:

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9
answered question10
skipped question18
11. D.1.3. ODA for Africa 30. Have you taken or do you plan to take measures to ensure that at least 50% of EU collective aid increases of ODA resources are channelled to Africa?
Response

Percent
Response

Count
Yes18
No30.3%3
30.1. Please specify

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24

answered question 26

skipped question 2

12. D.1.4. ODA for LDCs 31. Will you reach the target of 0.15%-0.20% ODA/GNI to LDCs by 2010 and onwards?
ResponseResponse
PercentCount
Yes M47.3%11
No52.2%12

answered question 23

skipped question 5

14. D.1.5. Temporary questions on ODA 32. For EU Member States that are not members of the OECD DAC: 32.1. Do you apply the OECD/ DAC ODA rules for your ODA reporting?
ResponseResponse
PercentCount
Yes 100.0%12
No 0.0%0
answered question12
skipped question16
16. 32.3. Do your agree to sharing your statistics sent to the DAC with the European Commission and all EU Member States? "
ResponseResponse
PercentCount
Yes100.0%10
No0.0%0
Please specify (if needed)

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2
answered question10
skipped question18
D 2. Innovative Financing Sources and Mechanisms
18. 34. For each of the innovative sources of financing below that you have implemented, please complete the table below. Please include the annual amount raised in 2009 and 2010 (in national currency In current or constant prices, indicating the base year) and also please indicate how you disburse these resources. 34.1 Do you use this mechanism ?
YesNoResponse

Count
Airline Ticket Tax/contribution15.0% (3)85.0%

(17)
20
ETS auctioning revenues10.0% (2)90.0%

(18)
20
International Financing Facility for Immunization (IFFIm)27.3% (6)72.7%

(16)
22
Advance Market Commitments (AMCs)15.0% (3)85.0%

(17)
20
Debt2Health10.0% (2)90.0%

(18)
20
Other (please specify)23.5% (4)76.5%

(13)
17
answered question24
skipped question4
20. 36. Do you intend to step up efforts for innovative financing mechanisms with significant revenue generation potential, with a view to ensuring predictable financing for sustainable development?
ResponseResponse
PercentCount
Yes44.4%12
No55.6%15
36.1. If Yes, please explain how13
Show replies
answered question27
skipped question1
21. 37. Do you consider further work on innovative financing mechanisms, i.e. in addition to the ones mentioned in question 34?
ResponseResponse
PercentCount
Yes28.0%7
18
answered question25
skipped question3
D. 3. Aid Effectiveness
1. 39. Which actions has your country taken in 2010 to support country ownership, including guidance and incentives for staff in partner countries?
Response

Percent
Response

Count
Consultation andOJC
countries£9
Guidance and incentives for staff in partner countries52.0%13
Supporting partner capacity■■ Q A no/_
development04.U /oZ 1
Others4.0%1
Please specify

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10
answered question25
skipped question3
2. 40. What is your main method of delivering country programmable aid (excluding aid channelled through multilateral organisations and the EU)? Please enter an approximate percentage share according to modalities used in 2010:
ResponseResponse
PercentCount
Technical cooperation84.6%11
Show replies
Project support76.9%10
Show replies
Budget support:69 2%9
Show replies
Other modalities (please
specify)53.8%7
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answered question13
skipped question15
3. 40.1. What is the percentage share of your aid channelled through programme-based approaches ?
ResponseResponse
PercentCount
In percentage of the bilateral
aid programme ?100.0%6
Show replies
answered question6
skipped question22
7. 42. On using country systems as the first option, have you
YesIn most

cases
In

some

cases
SeldomNoResponse

Count
Conducted an assessment to identify internal constraints16.7% (4)29.2% (7)16.7%

(4)
0.0%

(0)
37.5%

0)
24
Reviewed the design of aid instruments irrespective of modality so that use of country systems is considered a first option8.7% (2)13.0% (3)26.1%

(6)
4.3%

(1)
47.8%

(11)
23
Provided relevant staff training17.4% (4)13.0% (3)21.7%

(5)
4.3%

(1)
43.5%

(10)
23
Supported partner-country capacity development for improving the quality of country systems20.8% (5)20.8% (5)29.2%

(7)
0.0%

(0)
29.2%

(7)
24
answered question25
skipped question3
10. 43. On undertaking Joint Assessments to Promote the Use of Country Systems, have you


Response Response

Percent Count

76.2%

16

Supported partner-country capacity development for improved quality of country systems

Conducted joint assessments with others57.1%12
Used methodologies and76.2%16
re'i iltc from nther Hnn<ir<s'
assessments

52.4%

11

Made methodologies and results from your assessments available to others

21

answered question skipped question

12. D.3.2.3. Making aid more transparent and more predictable 45. Is it possible for your country to make multi-year (at least three year) commitments to partner countries? (Please tick below)
ResponseResponse
PercentCount
19
For Programme Based1 ^
Approaches: 1- General
For Programme Based
Approaches: 2-When Budget63.2%12
Support
13
answered question19
skipped question9
15. 48. Is information on expenditure related to providing technical cooperation (including in-kind technical assistance) available to
ResponseResponse
PercentCount
19
the partner countries only?23.8%5
answered question21
skipped question7
1. 50. Have you integrated the principles of the Code of Conduct on Complementarity and Division of Labour (2007) in your strategies, staff guidance and programming processes/guidelines.
ResponseResponse
PercentCount
Yes 64.0%16
No 8.0%2
Partially 28.0%7
answered question25
skipped question3
7. 52.1. For the countries that you are planning to exit, please give details on your exit strategy

52.1.3. Will residual cooperation remain?
ResponseResponse
PercentCount
6
No14.3%1
Please explain if needed

Show replies
7
answered question7
skipped question21

11. 53. Are the legal and/or administrative arrangements In place for you to manage funds for another MS or the EU, and/ for another MS or the EU to manage your funds (delegated cooperation)?

Response

Percent
Response

Count
Yes19
No29.6%8
If yes, please give details below:

Show replies
20
answered question 27

skipped question 1

12. 53.2. Do you have a mechanism in place at headquarters level to track cases of delegated cooperation?
ResponseResponse
PercentCount
Yes50.0%14
No50.0%14
answered question28
skipped question0
14. 54. What activities have you undertaken at headquarters and country level to support the

Division of Labour process
Response

Percent
Response

Count
Policy and guidelines for
concentrationzu
Decentralization for incountry coordination47.6%10
Staff incentives19.0%4
Others14.3%3
Other (please specify)

Show replies
2
answered question21
skipped question7
19. 56. Have you established in some of your priority countries a joint framework for monitoring joint commitments?
ResponseResponse
PercentCount
Yes 46.4%13
No 53.6%15
Please list the countries:

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12
answered question28
skipped question0
22. D.3.5. On managing for development results 59. Do you provide capacity support for Managing for Development Results MfDR?
ResponseResponse
PercentCount
Yes51.9%14
No43.1%13
Comment (please specify)0

answered question 27

skipped question 1

E. External debt

E.1. Preserving debt sustainability

3. 63. Have you taken new actions/steps to help restore and preserve debt sustainability in low-income countries?
ResponseResponse
PercentCount
Yes48.1%13
No51.9%14
answered question27
skipped question1
5. 64. Do you see a need to reform the international architecture for the restructuring of sovereign debts in order to deal with potential future cases of debt distress in low-income countries?
Response Response

Percent Count
Yes M48.0% 12
No52.0% 13
answered question 25

skipped question 3

6. 64.1. If yes, please specify what would be the main features of the debt workout mechanism that you would support (please tick in each case):

ResponseResponse
PercentCount
Q
DaScQ Oil rallS UIUDy
Involving a role for
International Financial■ 61.5%8
Institutions
Creation of an international7.7%1
Arbitration Court
Collective action clauses in38.5%
debt contractsD
Other15.4%2
Please specify9
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answered question13
skipped question15
8. 66. Have you planned specific interventions to prevent aggressive litigation against HIPCs (in particular to prevent the actions of distressed-debt funds a€“ commonly referred as "vulture funds”)?
ResponseResponse
PercentCount
Yes 18 5%5
22
If yes, please specify:7
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answered question27
skipped question1

F. Addressing systemic issues: enhancing the coherence and consistency of the international monetary, financial and trading systems in support of development

F.1 Reforms of the International Financial Institutions

11. 69. Do you believe that the agreed quota realignment will be sufficient to increase the legitimacy, credibility and effectiveness of the International Monetary Fund.
Response

Percent
Response

Count
Yes59.3%16
No40.7%11
answered question27
skipped question1
13. 70. Do you share the view that the EU27 should speak with one voice in the IMF, World Bank and main multilateral development banks' governing bodies?
ResponseResponse
PercentCount
Yes48.0%12
No52.0%13
Comment (please specify)6
Show replies
answered question25
skipped question3
16. 71. Would you support stronger Brussels based coordination on issues related to the World

Bank and MDB's (as exists already for the IMF)?
ResponseResponse
PercentCount
73.1%19
No26.9%7
answered question26
skipped question2
17. F.2. Temporary questions on Systemic Issues 72. How satisfied are you with the outcome of the Voice and Participation reform at the World Bank?
ResponseResponse
PercentCount
Very satisfied17.9%5
71.4%20
Not satisfied10.7%3
answered question28
skipped question0

18. 73. In terms of the replenishment of IDA, do you think the EU should push for greater conditions to be attached to its support for IDA e.g. push for an increasing share to go to Sub-Saharan Africa?

Response Response

Percent Count

skipped question 1

19. 74. Do you welcome the creation of a permanent Crisis Response Window in IDA as an effective approach to responding to crises within IDA countries?
ResponseResponse
PercentCount
25
No7.4%2
answered question27
skipped question1
20. 75. Do you support the creation of a Ministerial Council for the IMF with decision-making powers?
ResponseResponse
PercentCount
Yes 64.0%16
No36.0%9
answered question25
skipped question3

G. New challenges and cross cutting issues

G.1. Climate Change

1. 78. In view of the requirement of the Copenhagen Accord for fast-start finance to be 'new and additional', and European Council conclusions that financing for this end should "not undermine or jeopardize the fight against poverty and continued progress towards the Millennium Development Goals", please explain how you defined this for reporting in the Annex 4 excel sheet:
Response

Percent
Response

Count
Additional to climate related funding in a specific reference year36.0%9
Additional to the average annual climate related funding over a specific reference period0.0%0
Additional to the level of ODA spending in nominal terms20.0%5
Additional to a ODA spending target in % of GNI12.0%3
Other definition of additionality44.0%11
answered question25
skipped question3

G.2. Biological Diversity

7. 2. Do you consider biological diversity and its associated ecosystem services as a cross-cutting or sectoral policy issue in development co-operation?
ResponseResponse
PercentCount
Cross-cutting34.8%8
Sectoral 4.3%1
Both60.9%14
answered question23
skipped question5
8. 3. Do you to monitor trends in the amount of financial resources provided by your country to contribute to the implementation of global biodiversity commitments?
ResponseResponse
PercentCount
Yes45.8%11
No45.8%11
A monitoring framework isQ
under development
answered question24
skipped question4

H. Transparency of the answers and assessment of the questionnaire


H.1. Transparency

15. HI.2. Do you agree to publishing your answers to the questionnaire as an annex to the

Monitoring report 2011?
ResponseResponse
PercentCount
23
No17.9%5
answered question28
skipped question0

EN 38 EN