Reaching the marginalized: EFA global monitoring report, 2010; 2010

AID TABLESAid tablesIntroductionIntroductionMost of the data on aid used in this Reportare derived from the OECD’s InternationalDevelopment Statistics (IDS) database,which records information providedannually by all member countries ofthe OECD Development Assistance Committee (DAC).The IDS comprises the DAC database, which providesaggregate data, and the Creditor Reporting System,which provides project- and activity-level data. The IDSis available online at www.oecd.org/dac/stats/idsonline.It is updated frequently. The data presented in this Reportwere downloaded between February and June 2009.The focus of this section of the annex, on aid data, isofficial development assistance. This term and othersused in describing aid data are explained below to helpin understanding the tables in this section and the datapresented in Chapter 4. Private funds are not included.Aid recipients and donorsOfficial development assistance (ODA) is public fundsprovided to developing countries to promote theireconomic and social development. It is concessional: thatis, it takes the form either of a grant or of a loan carryinga lower rate of interest than is available in the marketand, usually, a longer than normal repayment period.ODA may be provided directly by a government (bilateralODA) or through an international agency (multilateralODA). ODA can include technical cooperation (see below).Developing countries are those in Part I of the DAC Listof Aid Recipients, which essentially comprises all lowandmiddle-income countries. Twelve central and easternEuropean countries, including new independent statesof the former Soviet Union, plus a set of more advanceddeveloping countries are in Part II of the list, and aid tothem is referred to as official aid (OA). The data presentedin this Report do not include OA unless indicated.Bilateral donors are countries that provide developmentassistance directly to recipient countries. The majority(Australia, Austria, Belgium, Canada, Denmark, Finland,France, Germany, Greece, Ireland, Italy, Japan,Luxembourg, the Netherlands, New Zealand, Norway,Portugal, Spain, Sweden, Switzerland, the UnitedKingdom and the United States) are members of the DAC,a forum of major bilateral donors established to promoteaid volume and effectiveness. Non-DAC bilateral donorsinclude the Republic of Korea and some Arab states.Bilateral donors also contribute substantially to thefinancing of multilateral donors through contributionsrecorded as multilateral ODA. The financial flowsfrom multilateral donors to recipient countriesare also recorded as ODA receipts.Multilateral donors are international institutions withgovernment membership that conduct all or a significantpart of their activities in favour of developing countries.They include multilateral development banks (e.g. theWorld Bank and the Inter-American Development Bank),United Nations agencies (e.g. UNDP and UNICEF) andregional groupings (e.g. the European Commission andArab agencies). The development banks also make nonconcessionalloans to several middle- and higher-incomecountries, and these are not counted as part of ODA.Types of aidDirect aid to education: term used in this Report for theaid to education in the DAC database that is reported asdirect allocations to the education sector. Direct aid toeducation falls into four subcategories: basic, secondary,post-secondary and ‘level unspecified’ aid to education.Total aid to education: term used in this Report to referto direct aid to education plus part of general budgetsupport (aid provided to governments without beingearmarked for specific projects or sectors), some ofwhich benefits the education sector. A review of WorldBank Poverty Reduction Support Credits found thatbetween 15% and 25% of budget support aid typicallybenefits the education sector (FTI Secretariat, 2006). Totalaid to education is calculated by adding 20% of all generalbudget support to direct aid to education. Similarly, totalaid to basic education is calculated by adding 10% of allgeneral budget support to direct aid to basic education.In addition, it is assumed that half of ‘level unspecified’aid for education benefits basic education. Hence:Total aid to education = direct aid to education + 20%of general budget support.Total aid to basic education = direct aid to basiceducation + 10% of general budget support + 50%of ‘level unspecified’ aid to education.429