Performance of Australian Aid 2015–16 May 2017



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Transparency


The publication of an annual Performance of Australian Aid report forms part of the Government’s commitment to transparency and accountability in the management of the aid program. This commitment is included as part of the 2014 aid policy framework. 

DFAT makes available, in an open and accessible format on its website, a substantial amount of information about the Australian aid program including policies, plans, results, evaluations, research, investment plans and aid fact sheets. Detailed statistical information on Australia’s engagement with developing countries was published in May 2016 in the form of The Australian Aid Budget Summary for 2016-17 (“The Orange Book”) and during the year, The Australian Engagement with Developing Countries. Part 1: Bilateral relationships at a glance and Part 2: Official Sector Statistical Summary 2014-15 (“The Green Book”). Both publications will be produced annually.

In 2015-16, DFAT published over 450 new aid-related documents on its website. During the period, DFAT produced: seven sector and thematic strategies (which are discussed in Chapter 4); 25 Aid Investment Plans; 26 Aid Program Performance Reports; and over 40 independent program evaluations. Improving evaluation publication rates continues to be a priority. The ODE also published six strategic evaluations during 2016. DFAT provided on its website aid information related to fraud control strategies, fraud losses and recoveries. In addition, DFAT used the AusTender website (tenders.gov.au) to publish information on aid-related business opportunities, annual procurement plans, multi-use lists and contracts awarded.

Australia fully participated in the International Aid Transparency Initiative fulfilling its aid reporting obligations to the OECD Development Assistance Committee. Nonetheless, DFAT recognises more can be done to improve public access to information and communicate more effectively aid development results, and plans to keep progressing this agenda. This includes strengthening regular, internal monitoring of the Department’s compliance with the Government’s transparency commitments.



Chapter 1
Performance against strategic targets


Making Performance Count identified ten strategic targets to ensure the aid program is well managed, achieving value for money and delivering on the key priorities outlined in the Government’s aid policy: Australian aid: promoting prosperity, reducing poverty, enhancing stability.

In 2014-15, seven of the ten targets were achieved. Of the three that were not yet achieved, the target on increasing consolidation was met as scheduled in 2015-16. The target on increasing aid for trade investments to 20 per cent of the aid budget by 2020 is on track. The remaining target on gender equality is still to be achieved. The solid performance against the targets to date raises the issue of whether it is appropriate to set further targets. This issue will be further considered in 2017-18, and informed by broader strategic foreign policy discussions and considerations, including through the Foreign Policy White Paper process. 


Target 1: Promoting prosperity 

Promote economic development by increasing Australia’s aid for trade investments to 20 per cent of the aid budget by 2020


Status: On track

The aid program is on track to meet this target within the required timeframe, consistent with the Australian aid policy’s strong emphasis on aid for trade. Estimated expenditure on aid for trade in 2015-16 represented $694 million or 17.3 per cent of Australia’s total ODA, up from 16.4 per cent in 2014-15. In 2016-17, Australia’s aid for trade expenditure is expected to reach $748 million or 19.5 per cent of Australia’s total aid budget.

Figure 2: Aid for Trade expenditure as a percentage of total Australian ODA

Figure 2: Aid for Trade expenditure as a percentage of total Australian ODA

In 2015-16, the largest share of Australia’s aid for trade assistance was invested in infrastructure, including in transport, energy and communications (Figure 3). Other significant shares related to building productive capacity in agriculture and fisheries, and trade facilitation and trade policy. Further details on the aid for trade strategy and its implementation can be found in Chapter 4 of this report.



Figure 3: Aid for trade expenditure by investment area, 2015-16

Figure 3: Aid for trade expenditure by investment area, 2015-16



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