Towards Sustainable Financing of Transboundary Initiatives: Experiences and Lessons

1. Towards Sustainable Financing of Transboundary Initiatives: Experiences and Lessons 30th October, 2007

2. Outline of Presentation • Objectives of Presentation • Overview of the Global Mechanism • Challenges to mobilising finance for transboundary initiatives • Experiences and lessons learned • GM’s proposed strategy and approach

3. Objectives of Presentation • Outline challenges to mobilising finance for transboundary initiatives • Share experiences and lessons • Present GM’s proposed strategy and approach • Discuss potential partnership opportunities in support of transboundary initiatives (e.g. the case of fouta djallon highlands)

4. About the Global Mechanism (GM) • GM was established in 1997 as UNCCD Financial Mechanism • Mandated to promote financial resource mobilization and technology transfer in support of UNCCD implementation • Provides support and advisory services to developing countries, upon request • GM works in Africa, Asia, Latin America and the Pacific • GM is hosted by IFAD

5. Areas of Focus • Financing Strategies (FS) to support UNCCD implementation • Partnership-building (initiating, brokering and supporting financing partnerships) • Mainstreaming – from a financial view point (MTEF and national budget processes; aid policies of donor agencies) • Engaging in policy processes – creating enabling environment for resource allocation

6. Challenges to Sustainable Financing of Transboundary Initiatives • Lack of comprehensive, coordinated and integrated approaches to addressing the scale of issues • National components of transboundary initiatives are not adequately mainstreamed at the national level • Limited partnerships to support transboundary initiatives • Time-consuming process may hinder progress and wane interests of partners

7. Mobilising Financing for Transboundary Initiatives: Experiences and Lessons The Example of Fouta Djallon Highlands (FDH) • Located in central part of the Republic of Guinea with physical extensions to neighbouring countries • Constitutes a group of ecosystem characterised by Savana, forests, hilly mountains and vast biodiversity • Covers an area of 30,000 square miles and averages 3,000 feet in elevation

8. Mobilising Financing for Transboundary Initiatives: Experiences and Lessons The Example of Fouta Djallon Highlands (FDH) • Source of headwaters of the Gambia, Niger, Senegal, Koliba, Kolent and Kaba rivers and their tributaries • Source of livelihoods (especially in agriculture) for many communities in Gambia, Guinea, Guinea Bissau, Mali, Mauritania, Niger, Senegal and Sierra Leone • International recognition of collaborative approach to integrated management of FDH

9. Mobilising Financing for Transboundary Initiatives: Experiences and Lessons • Strong political will, country ownership and commitment is required for resource mobilization (i.e. “politics” of resource mobilization) • Successful resource mobilization hinges on the role of lead agency and proactive involvement of institutional partners (e.g. ADB in the case of CACILM) • Financing partnerships should have strong communication and coordination mechanisms

10. Mobilising Financing for Transboundary Initiatives: Experiences and Lessons • Advocacy is important for developing financing partnerships • Promoting partnerships both at donor and national levels is critical for establishing sustainable financing partnerships • In-country capacity to coordinate mainstreaming of transboundary issues into broader national development processes (e.g. Poverty Reduction Strategies and across sectors and institutions is critical)

11. Proposed Strategy and Approach for Financing Transboundary Initiatives The Partnership Approach • The partnering processes should: • Define partnership principles • Define nature/ form of engagement • Define the engagement processes • Lead to an investment framework with clear targets and results

12. Proposed Strategy and Approach for Financing Transboundary Initiatives The Partnership Approach • The role of the country: • show political will and commitment to address the issues • identify and mainstream national component of the transboundary programme • identify ongoing and programmed investments in support of regional/transboundary programme

13. Proposed Strategy and Approach for Financing Transboundary Initiatives The Partnership Approach • The role of international partners: • implement stronger communication and advocacy campaigns to bring the transboundary issue into core of international/national policy dialogue • mainstream transboundary issues into donor strategies and co-operation frameworks • enhance inter-agency consultation, coordination, communication, and co-operation

14. Proposed Strategy and Approach for Sustainable Financing The Partnership Approach • The role of the GM • Identify potential sources of financing for transboundary issues • Promote access to these sources of funding particularly innovative sources of financing • Broker partnerships to support resource mobilization for transboundary initiatives • Provide analytical and financial advisory services to guide the partnership process

15. Proposed Strategy and Approach for Sustainable Financing The Partnership Approach • Examples of Financing Partnership Platforms • GM-CENSAD Investment Platform • CACILM

16. THANK YOU