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    Top bilateral aid donors in Afghanistan

    The pressures and stakes in Afghanistan have never been greater. While most of the world grasps America’s role in and commitment to Afghanistan development, there has been limited awareness and analysis of the contributions of other key bilateral donors. Here’s a quick rundown of the financial commitments, priorities, and activities of the top 5 bilateral donors supporting Afghanistan at this critical time.

    By Christine Dugay // 03 October 2011
    The pressures and stakes in Afghanistan have never been greater. While most of the world grasps America’s role in and commitment to Afghanistan development, there has been limited awareness and analysis of the contributions of other key bilateral donors. Here’s a quick rundown of the financial commitments, priorities, and activities of the top 5 bilateral donors supporting Afghanistan at this critical time. 1. United States Acknowledging that Afghans must take control of their own development, the latest U.S. transition strategy for development and governance focuses on sustainability and capacity building. The requested programmable aid budget of the U.S. is $3.9 billion for 2011 and $3.2 billion for 2012, with the reductions a direct result of decreases in peace and security spending following the gradual pull-out of American troops in Afghanistan. Priority areas of U.S. aid include peace and security; democracy, human rights, and governance; health; education and social services; economic development; environment; and humanitarian assistance. To ensure the long-term sustainable development of Afghanistan, $1.1 billion will be spent on strengthening national and sub-national governance. Also, to facilitate long-term economic growth, another $1 billion will be spent on infrastructure, specifically investments in a national power grid and run-of-river hydropower. 2. Canada Helping to build a more secure, stable, and self-sufficient country that is no longer a safe haven for terrorists is Canada’s mission in Afghanistan. Based on the country’s needs, Canada has allotted $700 million per year from 2011 until 2014 for its programmable aid budget. Canada’s development programming will be concentrated in the capital area of Kabul and will focus on the following sectors: 1) education and health; 2) security, the rule of law, and human rights; 3) regional diplomacy; and 4) humanitarian assistance. Investments in education are designed to improve access to quality primary and secondary education for Afghan youths, especially for girls and young women. Priority is also given to improving maternal, newborn and child health. Canada will also continue programs to eradicate polio in Afghanistan. 3. Germany German engagement in Afghanistan aims to realize a stable country that does not offer terrorists a safe haven; where the guarantee of security and basic services by government bodies and institutions means greater security for Germany as well. To help safeguard the country’s young democracy and fund its reconstruction, German programmable aid budget for Afghanistan is about $583 million annually from 2011 to 2013. Germany’s developmental aid priorities include good governance, energy, water supply, sustainable economic development, and basic education. Germany will be stepping up its commitment to strengthening local government structures in northern Afghanistan through capability-building programs. For example, the German Police Project Team facilitates Afghan police training and the German Open Policy Advisory Fund is intended to enhance Afghan government’s anti-corruption measures. 4. European Union Institutions Bound by its long-standing commitment to Afghanistan and its government, the European Union plays a central role in the country’s stabilization and reconstruction efforts by coordinating aid in crucial areas of assistance, including security. In its current Country Strategy Paper, the EU’s programmable aid budget for Afghanistan is approximately $271 million annually from 2011 to 2013. The EU’s reconstruction aid prioritizes the areas of rural development, governance and the rule of law, health and social protection, and regional cooperation. Budget allocations for each developmental area are as follows: rural development, 35 percent to 40 percent; governance and rule of law 35 percent to 40 percent; health and social protection, 18 percent to 21 percent; and support for regional cooperation, 2 percent to 4 percent. 5. United Kingdom Securing a more peaceful, stable, viable, and prosperous Afghanistan is the goal of the United Kingdom. To ensure that Afghanistan is on a clear and irreversible path towards development, the U.K.’s programmable aid budget is $241 million annually for the next four years (2011-2015). During this time, development assistance will focus on the critical areas of peace, security and political stability; economic stability, growth and jobs; and delivery of improved state services. On a more tactical level, the U.K. will aim to assist Afghanistan by creating 200,000 new jobs for men and women; providing technical and vocational education for 45,000 youths; ensuring that over 100,000 more children enroll in school; building or rehabilitating over 47 kilometers of roads in Helmand; encouraging at least 4.3 million Afghans to vote in the 2013-2014 elections; increasing food grain production to 6 million metric tons; and improving public financial management, addressing corruption, and strengthening delivery of basic services. Read more: - In their own words: Afghan NGOs on development business challenges

    The pressures and stakes in Afghanistan have never been greater. While most of the world grasps America’s role in and commitment to Afghanistan development, there has been limited awareness and analysis of the contributions of other key bilateral donors. Here’s a quick rundown of the financial commitments, priorities, and activities of the top 5 bilateral donors supporting Afghanistan at this critical time.

    1. United States

    Acknowledging that Afghans must take control of their own development, the latest U.S. transition strategy for development and governance focuses on sustainability and capacity building. The requested programmable aid budget of the U.S. is $3.9 billion for 2011 and $3.2 billion for 2012, with the reductions a direct result of decreases in peace and security spending following the gradual pull-out of American troops in Afghanistan. Priority areas of U.S. aid include peace and security; democracy, human rights, and governance; health; education and social services; economic development; environment; and humanitarian assistance. To ensure the long-term sustainable development of Afghanistan, $1.1 billion will be spent on strengthening national and sub-national governance. Also, to facilitate long-term economic growth, another $1 billion will be spent on infrastructure, specifically investments in a national power grid and run-of-river hydropower.

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    About the author

    • Christine Dugay

      Christine Dugay

      Christine is a former senior analyst under the Surveys and Advisory Services team of Devex. A skilled researcher, she contributes to and/or leads custom research projects and surveys commissioned by leading companies and development institutions. Christine has a professional certificate in political economy and a master’s degree in Japanese studies, and is a fellow of the Japan Foundation.

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