OECD Members Threatened by Rise of New Donors?

    From left to right: European Commission President Jose Manuel Barroso, former Japanese Prime Minister Naoto Kan, OECD Secretary-General Angel Gurria, U.S. Secretary of State Hillary Clinton and French Prime Minister Francois Fillon. Photo by: OECD / CC BY-NC-ND

    The high-level aid effectiveness summit in Busan, South Korea, later this year would be the “crossroads” of a changing international development scene, according to aid experts who said the emergence of new donors such as China and Russia is challenging the development aid model of the Organization for Economic Cooperation and Development.

    “The Busan meeting will be an OECD-led process but it will mark the crossroads of the changing development landscape,” Antonio Tujan of IBON International, a Philippine-based network of grassroots organizations, told IPS News.

    Tujan explained that the legitimacy of the OCED is challenged by the rise of China, India and Brazil as new sources of development finance. Members of the OECD donor’s club are also bearing the brunt of the global financial crisis, he adds, according to IPS News.

    At least one aid expert noted that South Korea, who will host its fellow OECD members and other countries for the Fourth-High Level Forum on Aid Effectiveness in November, is under pressure from the group to get India and China in line with OECD’s development aid model.

    “This is one of the most important political agendas happening behind the scene,” IPS News quotes Anselmo Lee of the Korea Civil Society Forum on International Development Cooperation. “They [OECD members] want India and China and Brazil because they are aware of their diminishing legitimacy and influence globally. The OECD doesn’t feel comfortable with the competition from the South.”

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    About the author

    • Ivy Mungcal

      As former senior staff writer, Ivy Mungcal contributed to several Devex publications. Her focus is on breaking news, and in particular on global aid reform and trends in the United States, Europe, the Caribbean, and the Americas. Before joining Devex in 2009, Ivy produced specialized content for U.S. and U.K.-based business websites.