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Multilateral organisations

Commonwealth Organisations; Multilateral Development Banks; United Nations Organisations

Australia commits over 25 per cent of the aid program to multilateral organisations like the United Nations, World Bank or Asian Development Bank.

Multilateral organisations extend the reach of Australia's aid program as their large size enables them to undertake projects on a scale that would not be possible for donors such as Australia.

They have the capacity and international standing to help coordinate donor efforts in support of particular countries, for example East Timor and have a neutrality which allows greater scope for dialogue with recipient countries.

In some cases they have a clear mandate to address global or regional problems in areas that need the concerted efforts of the international community such as environment and health.

Multilateral organisations are also able to coordinate donor resources to address major humanitarian and reconstruction needs, especially for countries emerging from conflict.

Multilateral organisations get funding from various sources, including contributions from donor countries like Australia.

Australia's partnership with these organisations influences the international development agenda in important areas, particularly in donor coordination, cross-border issues, good governance and sound economic policies.

An important component of Australia's aid program is multi-year commitments to multilateral replenishment funds, including the International Development Association, the Asian Development Fund and the Global Environment Facility.

Commonwealth Organisations

Australia's support for Commonwealth organisations is a reflection of our shared commitment to the core values of democracy and the rule of law, human rights, equity, access to education, the promotion of sustainable development, and poverty alleviation.

Commonwealth Fund for Technical Cooperation

Australia's support to Commonwealth organisations is mostly through the Commonwealth Fund for Technical Cooperation (CFTC). This is the principal means by which the Commonwealth delivers development assistance to developing country members.

The Commonwealth Fund for Technical Cooperation provides assistance in the form of workshops, technical advisors for short and long term assignments and advice through the provision of manuals, model legislation and codes of best practice.

CFTC has an annual budget of approximately ₤ 21m per year, of which Australia contributes some $8m. Australia is the third largest contributor and is actively involved in strengthening and improving the fund.

The fund is managed by the Commonwealth Secretariat in London.

Further information about the United Nations and the Commonwealth can be found on the website of the Department of Foreign Affairs and Trade [external website].

Multilateral Development Banks

Australia works closely with multilateral organisations that have demonstrated effectiveness, and whose activities complement our own bilateral programs and are consistent with our wider national interests.

The World Bank and Asian Development Bank (ADB) are important multilateral partners who are able to leverage significant financial resources and expertise for sustainable development and poverty reduction.

The Asian Development Bank's regional focus makes it an important partner in promoting growth and stability in the Asia-Pacific.

The World Bank is an unparalleled source of development analysis and specialist program implementation, and a leading forum for global development policy.

Australia's membership and financial contributions to the ADB and the World Bank provide an opportunity to influence their policies and priorities at the highest levels. An ongoing objective of our relationship is to ensure that the activities of both banks recognise and effectively target key development priorities in our region.

Australia provides support to the World Bank and the ADB through replenishments to the concessional lending arms that assist low-income countries. In 2007, Australia committed $583 million to the World Bank's concessional lending arm, the International Development Association. During these negotiations, Australia achieved important outcomes in improving the Bank’s assistance to small and fragile states, especially the Pacific. In 2008, Australia committed $333 million to the ADB’s concessional lending arm, the Asian Development Fund. Australia will also contribute $230 million over ten years to the ADB’s capital increase to provide finance to middle-income countries. The International Development Association and the Asian Development Fund provide interest free loans and grants to the world’s poorest countries.

AusAID is implementing new reporting mechanisms to provide greater transparency in Australian contributions and the results achieved from this. In September 2009, AusAID signed a partnership framework with the Asian Development Bank focusing on building a stronger, more robust partnership. AusAID will be discussing the development of a partnership framework with the World Bank during 2010.

United Nations Organisations

The United Nations (UN) system offers Australia the opportunity to cooperate with the widest possible range of countries in pursuing global development.

Support for UN organisations extends the reach of Australia's aid program. These organisations can mobilise and coordinate resources on a scale beyond the capacities of individual donors, and play a significant role in consensus building on key development issues. The UN system also provides specialist expertise in a number of areas.

Australia supports the following UN development and humanitarian organisations:

  • World Food Programme
  • United Nations High Commissioner for Refugees (UNHCR)
  • United Nations Development Programme (UNDP)
  • United Nations Children's Fund (UNICEF)
  • United Nations Relief and Works Agency
  • United Nations Fund for Population Activities
  • International Atomic Energy Agency
  • United Nations Office on Drugs and Crime
  • United Nations Development Fund for Women
  • United Nations Environment Program

The Australian Government is revitalising its engagement with the UN. As part of this revitalised engagement, AusAID is investing in strengthened partnerships with key UN organisations at the heart of global efforts to realise the Millennium Development Goals.

Further Information

For further information on Australian aid and multilateral organisations see on this website:

See also on other websites:

 

Last reviewed: 2 November, 2009

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