Aid as catalyst for Domestic Resource Mobilization in Africa
The AU Commission and the NEPAD Agency co-organized a multi-stakeholder event under the auspices of the Africa Platform for Development Effectiveness (APDev) on 24 July 2013 in Addis Ababa on the theme “Aid as Catalyst for Domestic Resource Mobilization in Africa.” The event preceded the 3rd Meeting of the Steering Committee of Global Partnership (GP) for Effective Development Cooperation held on July 25 – 26, 2013.
The purpose of this event was to foster knowledge-sharing of experiences and strategies related to effective Domestic Resource Mobilization (DRM) with a particular focus on the results-oriented use of aid. Bolstered by external aid, a growing global demand for commodities and recent relative macroeconomic stability, growth in Sub-Saharan Africa has in recent years been outpacing much of the world. The challenge is to sustain this expansion; to achieve this requires increasing reliance on domestic resources (government revenues and domestic savings and investment) to fuel growth – hence the importance of refining and implementing a global development cooperation strategy to increase aid resources that underpin specific DRM policies and mechanisms.