|Overview : |
To address the challenges of sustainable development financing, UN member states will need to develop new, more effective and integrated approaches to managing and influencing public and private, domestic and foreign financing flows. The Addis Ababa Action Agenda assumes that countries will use their own national development strategies and plans to respond to the SDGs and calls for the adoption of Integrated National Financing Frameworks (INFFs). These frameworks should provide a structure for governments to form and implement a strategic, holistic, results-driven approach to financing their development objectives. This approach should help countries set a strategy to effectively mobilize the investments they need and provide a structure that supports coherence across government in channelling resources to the areas for which they are most suited.
To move ahead on the 2030 Agenda and taking into consideration the impact of COVID 19, countries need to consider their current and future financing frameworks for delivering the SDGs. This Agenda requires both significant increases in resources as well as changes in the way existing resources are used and prioritized, calling for more effective integrated approaches to managing public and private finance to achieve sustainable development. INFFs can help governments develop a holistic vision of fiscal planning and management that goes beyond traditional public financial management and identifying incentives to align resources of private nature.
Egypt ’s National Sustainable Development Agenda is largely aligned with Africa Agenda 2063, with the Sustainable Development Agenda 2030 and with the SDGs, on which Egypt has reported with two Voluntary National Reviews (VNRs) in 2016 and 2018, which is also reflected in the timely appointment of the SDG national Committee chaired by the Ministry of Planning and Economic Development (MPED) in charge of the coordination of the Government’s joint implementation of the SDS and SDGs.
To achieve the 8 Strategic principal goals and the 47 sub-goals of Egypt’s National Sustainable Development Agenda and SDGs targets by 2030, and secure a sustainable society and economy, Egypt is resolved to invest in several key sectors, including some SDG accelerators identified as part of UN-supported SDGs Mainstreaming, Acceleration and Policy Support (MAPS) engagement (2018-2019). Key sectors identified for this joint programme that should receive particular attention are: education, health, social protection, Water and sanitation and transportation. Note that due to COVID-19 the priority areas for this project might be revisited according to Government priorities.
The need to secure for these multi-year investments, financing that is sufficient, adapted, predictable and resilient over the next decade is critical. Identifying realistically the costs is a key first step.
Egypt’s strategic development objectives are clearly identified, implementation policies have been proposed and progress is being measured, the options for financing the implementation of development objectives have not been precisely identified. Gauging of financing needs, mapping of the available finance, and the tools to match both is only partially available to policy makers.
With structured approaches such as Development Financing Assessment (DFA) and Integrated National Financing Framework (INFF), the project aims is that costing of National Sustainable Development Agenda and SDGs targets, assessment of the current landscape and trends of financing flows, and associated financing gaps and institutional options, are introduced and set durably with the required capacities, at the heart of all public and private financing policies.
The project follows a process of multi-stakeholder consultations informed by analysis on finance policy issues and what they mean for a wide range of actors and builds an agreed roadmap to support progress across a range of areas, including:
- Strengthening the link between planning and finance policy functions, for example by: strengthening the governance mechanisms that align policies and annual budgets to the national development plan; estimating the cost of national development plans; and developing holistic strategies for mobilizing the public and private resources that will be needed to realize the objectives of a national plan;
- Strengthening multi-stakeholder dialogue on financing, for example by: supporting multi-stakeholder SDG platforms at the country level; incorporating public and private finance into regular progress reporting; and enhancing multi-stakeholder participation in policy processes;
- Solutions and reforms for mobilizing resources, for example by: strengthening policy and capacity to attract sustainable, inclusive private investment; and accessing untapped sources of international finance;
- Effectively managing finance for results, for example by: achieving better development outcomes with public finance, developing outcome-based incentives for private investment; broadening the mandate of revenue authorities; more effectively targeting vulnerable or excluded populations; strengthening parliamentary scrutiny over finance; and enhancing data collection systems.
The approach is that of a government-led process, with an oversight team led by the Government. The INFF helps build consensus in the areas above under the leadership of the oversight team and through consultations that engender participation in, and ownership of SDG financing from a wide spectrum of actors at the national level. It aims to demystify technical debate on public and private finance and brings together decision makers from across government, the private sector, International Financial Institutions (IFIs), development partners and other actors, making financing dialogue more accessible and build a broader base of support to identify innovative solutions to the challenges of financing the SDGs.
It highlights the strengths of current systems and identifies opportunities to further enhance the ability for government and its partners to finance sustainable development