Cooperation for development: the re-emergence of Russia as a new donor?

Education

In October 2008 Russia Education Aid for Development (READ) Trust Fund was established. It is a joint project of the Russian Government and the World Bank, aimed at enhancing Russia's role as a new donor in the sphere of education. The main aim of the programme is increasing of education quality in the low-income countries. 7 countries (4 from Africa, 2 from Central Asia and 1 from South-East Asia) have been selected. The Trust Fund money (USD32 million) will be allocated during 5 years [15].

Another way of development assistance in the sphere of education is foreign students' education at the expense of the Russian federal budget. According to different sources 8942 Speech of the deputy head of the Federal Service for Supervision in Education and Science A. Rozhdestvensky // Information-analytical system Russian education for foreign citizens. 19.11.2009. URL: http://russia.edu.ru/information/analit/official/prorector/3961/ (date of access 19.10.2010). or 9091 Speech of the Foreign Ministry's focal point for the Alliance of Civilizations, Ambassador-at-Large K. Shuvalov at the Third Forum of the Alliance of Civilizations, Rio de Janeiro, 28 May 2010 // Ministry of Foreign Affairs of Russia. 01.06.2010. URL: http://www.mid.ru/brp_4.nsf/0/B5FAA5D1A0DE5F82C3257735002A74F9 (date of access: 19.10.2010). scholarships were granted to students from 161 states in 2009 (an increase from 2008). According to the Government decision made in 2008 a number of foreign citizens and compatriots studying with support of funding from the federal budget in federal state educational institutions of higher and professional education can not exceed 10 thousand people. Government Resolution of 25 August 2008 No. 638 On cooperation with foreign countries in the sphere of education // Website of the Russian Government. URL: http://government.ru/gov/results/893/ (date of access: 21.09.2010).

Russia continues to meet the pledges on support of the Education for All programme (Table 3).

Table 3. Funds allocated by Russia to the Education for all Programme Fast Track Initiative budget

Health

According to the Federal Service for the Oversight of Consumer Protection and Welfare (Rospotrepnadzor) in 2000-2005 overall Russian contribution to the global health issues resolution amounted to USD52.93 million, including contribution to relevant international organizations, in 2006 the annual amount was USD29.85 million, which was followed by a four times increase in 2007 and 2008 (about USD120 million in 2007 and more than USD150 million in 2008). Special session Progress in implementation of the G8 initiatives in the sphere of fight with infectious diseases and health systems strengthening // Website of the Federal Service for the Oversight of Consumer Protection and Welfare. 30.10.2009. URL: http://www.rospotrebnadzor.ru/press_center/publication/11661/ (date of access: 14.09.2010). The Volume of the Russian ODA in the health sphere, cited in the Muskoka accountability report is slightly lower (2006 - USD20.35 million, 2007 - USD102.17 million, 2008 - USD110.29 million, 2009 - USD90.72 million). The Rospotrepnadzor has obviously included other expenditures, which do not fall under the ODA definition.

In 2006 Russia decided to terminate its recipient status and compensate the Global Fund to Fight AIDS, TB, and Malaria (Global Fund) the USD217 million that the programme had previously allocated for its work in Russia. Executive Order No. 1740-r of 15 December 2006 // Website of the Russian Government. 15.12.2006. URL: http://government.consultant.ru/page.aspx?8411;893651 (date of access: 14.09.2010). Russia committed to fund on the national basis all major projects on HIV/AIDS prevention, carried out by Russian non-governmental organizations (NGO). A Forum of Hope. Third Conference on HIV/AIDS in the Eastern Europe and Central Asia opened in Moscow Rossiyskaya Gazeta - Federal issue No. 5028 (204) of 28 October 2009. URL: http://www.rospotrebnadzor.ru/press_center/publication/11597/ (date of access: 19.06.2010). Thus the economized funds could be used for assitance to other countries. D. Pankin's statement to the news agencies // Ministry of Finance of Russia. 22.12.2008. URL: http://www.minfin.ru/ru/official/index.php?id4=6895 (date of access: 19.06.2010). The Russian authorities value the collaboration within the Global Fund, noting that its «experience is one of the most successful». «A science of help». Interview of S. Storchak to Vremya Novostei newspaper // Ministry of Finance of Russia. 02.04.2007. URL: http://www.minfin.ru/ru/press/interview/index.php?id4=48 (date of access: 19.06.2010).

Since 2004 the Global Fund granted to the four NGOs, engaged in the health issues (three of them are Russian NGOs and one is a Russian office of the international NGO) almost USD345.8 million. According to the agreements on the projects in Russia the Fund will pay additional 13.2 million before the end of 2011. As of 30 November 2010 Russian contribution to the Global Fund amounted to USD257 million. Deputy Foreign Minister Alexander Yakovenko Meets with Executive Director of Global Fund to Fight AIDS, Tuberculosis and Malaria // Ministry of Foreign Affairs of Russia. 13.09.2010. URL: http://www.mid.ru/brp_4.nsf/0/996CB73FE7AF5D09C325779D005A5D3D (date of access: 19.12.2010). So far the funds received exceed the funds disbursed to the Global Fund (Table 4). On 12 October 2010 the Russian Government decided to allocate USD20 million per year since 2011 to 2013 to the Global Fund. Executive Order No. 1740-r of 12 October 2010 // Government of Russia. 12.10. 2010. URL: http://government.ru/gov/results/12598/ (date of Access: 21 December 2010).

Table 4. Funds allocated by the Global Fund for projects in Russia and Russia's contribution to the Global Fund, million $

8.Food aid and agriculture development

A record grain output in recent years let Russia substantially increase its contribution to food security enhancement and achievement of the first Millennium Development Goal - to halve the proportion of people who suffer from hunger.

According to the Permanent Representative of Russia at the United Nations Food and Agriculture Organization (FAO) and World Food Program (WFP) Alexey Meshkov since January 2008 to June 2009 Russia allocated USD73 million for overcoming the consequences of the food crisis and ensuring food security, including emergency aid programmes. Statement of the Ambassador Extraordinary and Plenipotentiary of Russia in Italy, Permanent Representative of Russia at the United Nations Food and Agriculture Organization and World Food Program A. Meshkov at the Conference 2 of the World Grain Forum «Programs of Food Aid: Problems, Ways and Mechanisms of Increase of Effectiveness in Modern Conditions», St. Petersburg, 7 June 2009 // Ministry of Foreign Affairs of Russia. 7.06.2010. URL: http://www.mid.ru/ns-dmo.nsf/cfabe4e8ed2f8ad7432569ff003cd1c0/432569f10031eb93c32575ce003cc96d (date of access: 21.12.2010).

World Food Program of the United Nations is the main Russia's partner in food aid allocation. The partnership started in 2002 when the Memorandum of Understanding between the Ministry of Civil Defence, Emergencies and Disaster Relief of Russia (EMERCOM) and the WFP was signed. Annual memorandum about the mutual understanding between EMERCOM of Russia and the World Trade UNO program was signed // Website of Ministry of Civil Defence, Emergencies and Disaster Relief of Russia. 04.03.2010. URL: http://www.mchs.gov.ru/news/detail.php?ID=30790&lang=eng&sphrase_id=774801 (date of access: 19.06.2010). In 2003 Russia made a first voluntary contribution to the WFP and in 2005 became a permanent donor of the organization. Russia's annual contributions to the WFP have been growing, their share has been increasing (Table 5), although it is still low compared to the other G8 members (in 2009 Russia outrun France). More than 106 thousand tons of food was delivered for the money allocated by Russia since 2005. Ibid.

Table 5. Russia's contributions to the World Food Programme, million USD

9.Regional priorities

Russia assists to development of a wide range of countries. Now Russia provides support to compatriots in 91 countries. Different instruments of support including those related to international development assistance are used. For example, the new revision of the Law on compatriots provides for scholarships for compatriots on equal terms with the Russian citizens. Director of the MFA's Department on Work with Compatriots Abroad A. Chepurin' interview, Kiev, 25 May 2010 // Ministry of Foreign Affairs of Russia. URL: http://www.mid.ru/brp_4.nsf/0/6CDCF4DBF3CB837FC325772F00298F05 (date of access: 19.06.2010).

At the same time given the limited resources for enhancing effectiveness of the development assistance the Concept of Russia's Participation in International Development Assistance specifies the priority group of aid recipients. First of all, these are the bordering countries - members of the Agreement on the Integrated Economic Space (IES) and the Eurasian Economic Community (EAEC); and other CIS countries. Particular attention is given to the countries of Sub-Saharan Africa as the least advanced and in need of international aid. But the number of Russian programmes in this region is limited.

According to the assessment of the G24 Secretariat while Russia was at the center of the programs of assistance to Africa, it does not have a significant aid program currently in Africa, but this may change if it were to follow the lead of the rest of the G8 in their stepped-up aid commitments to Africa [17].

The Concept for the Long-Term Social and Economic Development of Russia through 2020 states that the African countries, being the poorest countries in the world, in future can become fast-growing emerging economies and will demand investments and capital goods. They have significant natural resources; thereby Africa's role as a resources supplier for Russian companies is growing. Given the growing competition in this market the following priority measures will be pursued:

- active use of trade preferences system, financial and technical assistance to Russian production and investments promotion in the region;

- expansion of educational services export and technical assistance in education and training;

- development of ties with African regional organizations including the African Union, Southern African Development Community, Economic Community of West African States and other organizations [13].

Conclusions and Recommendations

Russia is still in the process of re-emerging as a donor. Its ODA volumes are much lower than that of traditional donors. Russia should aim at enhancing effectiveness of its development assistance system. It requires more active engagement with all stakeholders, including partner countries, other donors, international organizations, business and NGOs.

A major step of national development system creation was participation in the preparation of the Muskoka Accountability report (MAR) - Assessing Action and Results against Development-Related Commitments which was presented to the G8 summit in Canada in 2010. The data collected and analyzed using the OECD methodologies helps assess Russia's contribution to the international development assistance from 2005 to 2009.

Additional measures are needed to improve reporting according to the OECD requirements. To accelerate this process Russia should start reporting to the OECD Development Assistance Committee. Several countries, including Kuwait, Saudi Arabia, United Arab Emirates, Romania, Thailand, report their ODA expenditures to the DAC not being OECD members.

The following measures can be taken to increase Russia's role in international development assistance:

1. To amend the Concept of Participation of the Russian Federation in International Development Assistance or adopt a strategy or a programme to the Concept taking into consideration new strategic national and international documents, such as the Foreign Policy Concept of 2008 and the Accra Agenda for Action.

2. To specify the definitions of terms included in the Development Assistance Concept and legally define internationally recognized terms.

3. To adopt a plan of measures to implement the Development Assistance Concept for 2012 - 2014. The plan should include development assistance measures, which will be implemented in the course of preparations for the Russian G8 Presidency in 2014 and Millenium Development Goals Achievement Summit in 2015.

4. To elaborate a programme and a schedule of ODA increase to 0.7 percent of ODA/GNI or another temporary target.

5. To elaborate a strategy of Russia's participation in activities of the main international organizations engaged in development assistance.

6. Until a credible national mechanism of ODA reporting is developed, ODA allocations should be divided into permanent (with the scale defined in the Concept) and temporary (for developing countries support during economic crises).

7. To develop the agriculture development assistance programmes, including on the bilateral basis, together with Russian companies - producers of agriculture technologies and machinery.

8. To involve NGOs and academia in Russia and partner countries into the development assistance programmes elaboration and implementation. Collaboration with the civil society and compatriots in the partner-countries will help develop sustainable relations less affected by political changes. Collaboration with the NGOs will release their potential for development assistance.

References

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4. Manning R. Will `Emerging Donors' Change the Face of International Co-operation? // Development Policy Review. 2006. 24 (4). URL: http://onlinelibrary.wiley.com/doi/10.1111/j.1467-7679.2006.00330.x/pdf (date of access: 19.06.2010)

5. A. Dedusenko, O. Perfilieva, A. Shvets. The Terms and Notions of International Cooperation for Development and their Comparability with the Russian Legislation // International Organisations Research Journal. 2009. №4. URL: http://www.iori.hse.ru/publications/herald/material/4_09/International_Term.pdf (date of access: 24.04.2010).

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13. Concept for the Long-Term Social and Economic Development of Russia through 2020. URL: http://government.consultant.ru/doc.asp?ID=49135 (date of access: 24.04.2010)

14. Report on results and main directions of the Ministry of Finance activities for 2010-2012 // Ministry of Finance of Russia. 11.11.2009. URL: http://www1.minfin.ru/common/img/uploaded/library/2009/11/doklad2010-12.zip (date of access: 19.06.2010).

15. READ Annual Report 2009 // World Bank. URL: www.siteresources.worldbank.org/EDUCATION/Resources/278200-1256666213814/READ_AnnualReport_2009_web.pdf (date of Access: 5.07.2010).

16. Harmer A., Cotterrell L. Diversity in donorship. The changing landscape of official humanitarian aid // The Humanitarian Policy Group at the Overseas Development Institute. September 2005. URL: http://www.odi.org.uk/resources/download/234.pdf (date of access: 19.06.2010).

17. Financing Development in Africa: the Growing Role of Non-DAC Development Partners // G24 Secretariat. 21.07.2008. URL: http://www.mgdf.ru/files/New_Africa_Partners_072408-final.pdf (date of access: 19.06.2010).

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