Development finance and policy trends

This chapter highlights emerging trends in official development assistance (ODA) from members of the Development Assistance Committee (DAC) and other providers of development assistance. A key finding is that the growth in the total volume of concessional finance for development is enhanced by providers of development assistance beyond the DAC, due to the scaling up of their aid and better reporting. Furthermore, stronger global economic performance is not translating into more ODA. According to preliminary data, in 2017 net ODA from DAC members reached USD 146.6 billion, or 0.31% of gross national income, a slight fall of 0.6% in real terms from 2016. The fall was due in part to reduced spending on in-donor refugee costs. By contrast, DAC members’ humanitarian aid increased by 6.1% in real terms, to USD 15.5 billion in 2017. Country programmable aid and flows to sub-Saharan Africa and small island developing states continue to decline, while the percentage of aid channelled through the multilateral system and civil society organisations is rising.