A small proportion of non-DFID spend is estimated, for example Gift Aid on ODA eligible activity. 2019: Europe received 189 million of UK bilateral ODA in 2019, a decrease of 6 million compared to the previous year (Figure 4). The Home Office has "raided" the foreign aid budget as costs to support refugees in the UK triple, ministers claim. In 2018, there was 4 million of Debt Relief. Provision of technical assistance in tax policy and administration issues to support the strengthening of tax systems in developing countries. The country names and numbers inside each bar are how the rank for that country compared to last year (2018), coloured in red if its decreased (with a red downward pointing arrow), green if its increased (with a green upward pointing arrow) and black if its unmoving (with black horizontal pointing arrow). Health - 1,431 million (14.0%). HMT ODA relates to a core contribution to the Asian Infrastructure Investment Bank (AIIB) and development-related administrative costs. The increase in capital will be used to make investments in Africa and South Asia, ODA spend by departments other than DFID (Other Government Departments - OGDs) and other contributors of UK ODA (referred to collectively in Table 2 as non-DFID spend) was 4,090 million in 2019, an increase of 434 million, or 11.9%, on 2018, ODA spend by Other Government Departments was the driver behind the increase in non-DFID ODA, with the top 7 highest spending departments all spending more when compared with 2018. Aid is financed from US taxpayers and other revenue sources that Congress appropriates . Ireland and Norway complete the top five nations in the index. The Cross-Government Prosperity Fund promotes economic reform and development in recipient countries. 3 minutes read. The 5 largest sectors for bilateral spend in 2019 were: Figure 12: Bilateral ODA by major sector, 2018 & 2019. Spend may be assigned to Multisector Aid in cases where contributions are split across a diverse group of sectors, such as Gift Aid donations to NGOs. Office for Statistics Regulation published their finding from the compliance check of SID which confirmed that it is designated a National Statistics. Also included is spend within specific sectors for which there are no designated benefitting country or region or where benefitting countries are not known until the end of the programme[footnote 11] (section 4.1.5). Japan has publicly committed to using the official development assistance (ODA) for guidance in future development. LONDON The U.K.'s Foreign, Commonwealth and Development Office will cut its aid budget for programs in China by 95 percent. However, a closer examination of recent trends and the latest federal budget reveals a grimmer picture. Bilateral ODA includes spend to specific countries or regions (sections 4.1.1-4.1.4) as well as spend to multiple countries and/or regions[footnote 10]. ODA spend allocated to Africa increased by 125 million increase in 2019 to 2,989 million, whilst the percentage share remained similar to the share in 2018 (50.6%), (Figure 4). While there has been an increase since 2018, the total bilateral ODA to Africa remains below this peak (7m less than levels in 2017). Accordingly, they enable individual donor governments, such as the UK, to support development and humanitarian work in a wider range of countries. Figure 17 legend: ODA spend in terms of GNI comparing 2018 and 2019 spend for each DAC donor country (ODA:GNI ratio). the social, economic or humanitarian assistance area it aims to support. Figure 8 legend: Breakdown of Country-Specific UK Bilateral ODA by Country Income Group, 2009-2019. The UK government has been signed up to the target since 1974, but reached it for the first . This is unchanged from 2018. Multilateral funding, by Government Departments and other contributors, Statistics on International Development: Provisional Aid Spend 2019, International Aid Transparency Initiative (IATI) standard, https://www.gov.uk/government/collections/official-development-assistance-oda2, See commitments made by the UK and other donors at the 2005 G8 Summit in Gleneagles, Information on the Cross-Government Prosperity Fund, Frontline Diplomatic Activity (FDA) costs are administrative costs of core programme and operational delivery in or in favour of DAC-listed recipient countries that meet the primary ODA purpose, Multiple Sector Codes for Project Activity Analysis 2017, OECD report on donors provisional figures, OECD, Aid Statistics, Methodology webpage, Department for Business, Energy and Industrial Strategy (BEIS). This followed a peak in 2017 as a result of high levels of humanitarian aid. Income groups: DFID - non-DFID comparison 2019, Figure 9: Breakdown of country-specific bilateral ODA by Income Group, 2019. , Statistics on International Development, Final UK Aid Spend, 2019, p. 18, Figure 5, Figure 18 is based on the provisional 2019 ODA data from all 29 DAC member countries, except the UK for which final 2019 ODA data is used. The increase in bilateral spend was the largest increase seen since 2016, when the UK switched to the ESA 2010 methodology for GNI estimates, 3,066 million of bilateral ODA was delivered through multilateral organisations, an increase of 294 million compared to 2018. This section covers ODA spend from the FCOs core budget. 2019: In 2019, the volume of bilateral ODA to Asia was 2,470 million, increasing by 10.5% or 235 million from 2018 (Figure 4). Second, while the transition economies in Eastern Europe and Central Asia together . Canada - Unlike other countries, Canada has taken a unique feminist approach. Uses of Foreign Aid. Compared with 2015, the percentage share of DFIDs region-specific bilateral ODA received by Africa has slightly decreased (by 3.3 percentage points) and the share received by Asia has slightly increased (by 2.2 percentage points). support for international development work or asylum seekers/recognised refugees in the UK or another donor country), while 14.6% was for specific programmes or funds managed by international organisations in a specific sector with no designated benefitting countries. Economic Infrastructure and Services - 1,195 million (11.7%). You have accepted additional cookies. Ed Miliband, 9 June 2021. DFID spend in dark blue and non-DFID spend in grey. The data used for ODA flows by recipient countries is for 2018. See SID 2018 p.35 case study for more information on Developing Country Unspecified spend. Where we have identified any third party copyright information you will need to obtain permission from the copyright holders concerned. This could have an impact on the recent trends of some recipient countries. [footnote 19]. DCMSs Cultural Protection Fund supports developing countries, mainly in Middle Eastern conflict zones, to protect and restore their cultural heritage. The UK spend is highlighted in turquoise with the other donors in dark blue. Figure 5 legend: World Map coloured by amount of bilateral ODA spend in recipient country ( million) in 2019. As mentioned above, the ODA:GNI ratio is based on confirmed ODA spend and estimates of GNI published by the Office for National Statistics (ONS). Unsurprisingly, the continent received the largest share of the UK's ODA budget in 2019 with US$4.2 billion. Here are the six types of foreign aid: 1. Its International Climate Finance seeks to deliver climate mitigation and adaptation benefits focused on protecting the worlds most biodiverse forests, promoting sustainable livelihoods through improved land use and agricultural practices, and contributing to global food security. Oct 28 (Reuters) - New British Prime Minister Rishi Sunak is considering freezing the country's foreign aid budget for an additional two years, the Telegraph reported on . The dark blue section represents the proportion of total UK ODA delivered through Other Bilateral channels. To understand further what a DAC Peer Review involves please see the OECD guidance. for DFID, the sector spend profile reflects greater spend in the social and disaster response sectors, such as Humanitarian Aid (1,526m) and Health (1,103m). Because the UK economy is set to get bigger over the next few years the real value of development aid spending is expected to increase. The percentage share of total bilateral ODA of the five largest sectors in 2019 was 66.3%, a slight increase from 2018 (67.8%). The first table is based on official development assistance (ODA) figures published by the OECD for members of its Development Assistance Committee (DAC). The CSSF is able to respond both to evolving security threats and unforeseen crises. ###Bilateral ODA Spend with No Single Benefitting Country or Region. The Development Tracker can be used to explore details of the individual development projects that the UK is funding. An area of bilateral spend which increased in 2019 was DFIDs capital injection to CDC, the UKs Development Finance Institution, which increased by 266 million. The countries that give the most foreign aid are among the wealthiest nations in the world. The 2019 final ODA:GNI ratio is based on a GNI estimate published by the ONS on 30 June 2020. BEIS funding supports large scale mitigation projects in the following thematic areas: unlocking clean and affordable energy for all and accelerating decarbonisation, building sustainable cities and transports systems, halting deforestation and preventing irreversible biodiversity loss, helping countries and communities to become more resilient to the damaging effects of climate change. The difference is due to official loan reflows not being included under the grant equivalent measure. Largest donors of humanitarian aid worldwide 2022, by country. Multilateral organisations offer economies of scale in their operations and expertise, and often have the mandate and legitimacy to work in politically sensitive situations. Department for Environment, Food and Rural Areas (DEFRA). For more information please see the published note which outlines a new approach in more detail and provides an opportunity for users to give feedback. This primarily is linked to food and shelter for up to 12 months. The estimate for the UKs share of the EU ODA budget in 2019 is 983 million compared to 951 million in 2018. Figure 15 summarises the differences in the main sectors of 2019 UK bilateral ODA spend between countries of different income groups. Figures for DAC donors final 2019 ODA will be published in December. For enquiries (non-media) about the information contained in this publication, or for more detailed information, please contact: Alice Marshall A project title and description are also provided. This is an increase of 5 million from last year, with Fiji being the largest country specific recipient. See our note on Multiple Sector Codes for Project Activity Analysis 2017 which looks at the impact of this methodology change, Economic Services & Infrastructure include programmes that focus on Transport, Energy Generation, Banking & Financial Services and Business. According to a note from OECD, the top countries that donated money in 2020 are the United States, Germany, the United Kingdom, Japan, and France. The final ODA data and an updated GNI estimate for 2019 released by the ONS in June have been used to calculate the final ODA:GNI ratio in this publication and to report to the OECD. Information on the main definitions and sources used in this publication can be found in Annexes 2 and 3 respectively of the Statistics on International Development publication. However, the nation has hit the 0.7 percent target each year since 2013. Spend in Pakistan was mainly focused on Education (38.4%) as well as Government and Civil Society (16.4%) (see Section 4.2.3 for more information on sector specific breakdowns), Ethiopia has remained the second largest recipient of bilateral ODA although spend slightly decreased in 2019 from 2018 - a decrease of 2 million. A report from the International Development Committee said the world's poorest countries were being "short-changed" by . View full size version of infographic: In 2019 the UK provided 15.2bn of Official Development Assistance. To get a sense of relative magnitude, Russian disbursements in 2015 amounted to roughly half of Italian aid that year. Difference between Provisional and Final publications. The BBC World Service aims through journalism to contribute to accountability and good governance and improve the welfare and economic development of citizens in developing countries. See Annex 1 for more detail. This source is useful when carrying out international comparisons. 2. Chart by Carbon Brief using Highcharts. C. Other = Other contributors of UK ODA, Scottish Government, Other In-Donor Refugee Costs, Colonial Pensions administered by DFID and Welsh Government. Additional Tables and Annexes are available. 2019 spend coloured in dark blue, 2018 spend in light blue. , Iraq = 5 per cent; India = 5 per cent; Indonesia = 2 per cent. EU attribution fluctuates from year to year because the EU works on a 7 year programming cycle and so EU disbursements in a given year can vary. The UK ODA figures contained in this report are for 2019 ODA spending, when DFID and the FCO were separate departments, and as such, spend by these departments are reported separately. Non-departmental ODA, for example Gift Aid claimed by charities carrying out ODA eligible activities and spend by Devolved Administrations, contributed 692 million in 2019, approximately the same compared to 2018. For more information see the Multilateral Funding section, it is administered with the promotion of the economic development and welfare of developing countries as its main objective, it is concessional, including grants and soft loans, total UK spend on ODA, the UKs ODA:GNI ratio and a breakdown of spend by main government department delivery channels, analysis of UK ODA spend by recipient country or multilateral organisation, as well as type of assistance and sector, comparisons between the UK and other donor countries, the ODA:GNI ratio was 0.70%. Within Health, the top three spending areas in 2019 were Medical Research (339m), Family Planning (252m) and Infectious Disease Control (182m). Through its donor contributions, IDA aims to reduce poverty by providing concessional loans and grants for programs that boost economic growth, reduce inequalities, and improve peoples living condition. It also provides small grants to organisations based in Wales to promote development awareness. It supports the UKs aim of promoting global prosperity, creating the broad-based and inclusive growth needed for poverty reduction, contributing to the UN Sustainable Development Goals. The National Institute for Health Research (NIHR) Global Health Research (GHR) portfolio was established to support high-quality applied health research for the direct and primary benefit of people in low and middle-income countries (LMICs). FCDO will move to the new framework at the start of 2020, the next full calendar year, for managing and reporting 2020 ODA spend. This was driven by increased spending by the Foreign and Commonwealth Office (FCO) and DFID. Other government departments will continue to publish throughout this period. ODA eligible countries are classified into 4 groups Least Developed (LDC), Other Low Income (Other LIC), Lower Middle Income (LMIC) and Upper Middle Income (UMIC) Countries. For example, the International Development Association (IDA), which is part of the World Bank Group, has been one of the largest recipients of UK multilateral ODA since 2013 and the UK remains its biggest donor. The report finds that, partly as a result, in 2021 UK bilateral aid spending in least developed countries (LDCs) decreased to 1.4bn, which represented about 12% of the aid budget. UK ODA spend includes DFID spend, ODA spend by government departments other than DFID and other sources of ODA (such as EU attribution and Gift Aid). The relatively larger increase in the level of ODA in 2016 (by 1.2bn) reflects the switch to the European System of Accounts (ESA) 2010 methodology for measuring GNI and the consequent increase in UK ODA to meet the 0.7% ODA commitment on that basis. by bilateral through multilateral ODA (earmarked funding) and core contributions to multilateral organisations (un-earmarked funding). The list of countries is reviewed every three years by the OECD-DAC, and countries exceeding the high-income threshold for 3 consecutive years are no longer ODA eligible. View full size version of infographic: Case Study 1 - Yemen. The list also states the proportion of a core contribution to each multilateral that can be counted as ODA, and is driven by proportion of ODA eligible work the multilateral carries out, The UK contribution could be used for different programmes or initiatives as well as general operations of the organisation. Between the spring and the autumn, the ODA spending of government departments and other ODA contributors are finalised. While FCO remained the largest spender of Cross-Government Prosperity Fund ODA (accounting for 49.7%), DFIDs share rose from 12.3% in 2018 to 36.9% in 2019. Delivery of leadership and tax audit training to tax administration officials from developing countries. This decrease was partly due to smaller spend in the Caribbean. This is largely driven by contributions to a Reconstruction Trust fund, Democratic Republic of Congo (Congo, Dem. These are extracted from DFIDs ARIES database, and the detailed data is subject to input errors from spending teams. The Statistics on International Development: Provisional Aid Spend 2019 publication outlines provisional ODA spend information and an estimate of GNI for 2019 published by ONS in March to calculate a provisional estimate of the ODA:GNI ratio. The UK pledged to spend at least 0.7 per cent of GNI on foreign aid in 1970. Italy is the lowest performing G7 country in the rankings at number 20 while the US, where the administration is reviewing US aid priorities, ranks at number nine. Note, percentages may not sum to 100 due to rounding. In comparison, over the previous five years (2014 to 2018) bilateral ODA represented on average 62.4%. Figure 9: Breakdown of DFID (A) and non-DFID (B), Country/region Specific proportion of Bilateral ODA by Region, 2015 & 2019. What is the UK's overseas aid budget? Luxembourg made the largest contribution as a percentage of gross national income (GNI) at 1.05% and . , Finalised figures for DAC members will be published in December 2020, therefore we are using provisional figures in this chapter. The largest OGD shares of ODA were: the Department for Business, Energy & Industrial Strategy (BEIS) (6.3% of ODA); the Foreign and Commonwealth Office (4.5%), the Conflict, Stability and Security Fund (4.3%); and the Home Office (3.0%), the largest non-departmental sources (referred to as Other UK Contributors of ODA in Figure 3) were non-DFID EU attribution (3.2% of UK ODA) and Gift Aid claimed by charities working on ODA eligible activities (1.0% of UK ODA). The top 3 spending sectors in this area were Public Sector Policy and Administrative Management (217m), Civilian Peace-Building, Conflict Prevention and Resolution (199m) and Media and free flow of information (119m). The portfolio aims are delivered through a mix of researcher-led and commissioned calls delivered by NIHR and through partnerships with other global health research funders, through initiatives to develop and advance global health research. In a calendar year, FCDO and HM Treasury will monitor spend by other departments and funds, and movements in GNI during the year[footnote 28]. You can change your cookie settings at any time. Figure 18 shows the top 15 recipient countries of total ODA from the DAC donor countries in 2018 and the UKs share of ODA in these recipient countries. For the 2019 ODA:GNI ratio, the GNI estimate is based on the pre-Blue Book 2019 framework since the first quarterly estimate of 2019 GNI under the new framework did not become available until 30 September 2019. This was an increase of 211 million (or 1.9%) compared with 2018, ODA spend by departments other than DFID and other contributors of UK ODA was 4,090 million in 2019, an increase of 434 million, or 11.9%, on 2018, Africa remained the largest recipient of UK region-specific bilateral ODA in 2019 accounting for 50.6%, the top 3 recipients of UK bilateral country specific ODA were Pakistan (305m), Ethiopia (300m) and Afghanistan (292m), UK bilateral ODA to Yemen was 260 million, an increase of 94 million compared to 2018 - this was the largest increase to any country in 2019, the largest amount of bilateral ODA was focused on Humanitarian Aid (1,536m), Health (1,431m) and Multisector/ Cross-Cutting (1,325m) sectors. To help us improve GOV.UK, wed like to know more about your visit today. Africa continues to be the region receiving the largest proportion of UK bilateral ODA allocated to a specific country or region (50.6%). The UK's foreign aid budget is being "raided" by the Home Office to cover the costs of hotel accommodation for refugees, a committee of MPs has claimed. Figure 12 legend: Major Sector Spend comparison between 2018 and 2019 bilateral ODA ( millions). The saving . Major sectors are ordered from top to bottom by largest 2019 ODA spend. UK ODA can be classified into sectors depending on its purpose, e.g. Tied Aid: The receiving country accepts aid with the expectation that it is spent in the lending country. Work upstream in ODA countries to build capacity and capability in recipient countries in order to improve security, protect children and tackle modern slavery. For example, support to the World Food Programmes (WFP) Emergency Operations in Yemen, other bilateral: this is earmarked ODA spent directly by governments or through other delivery partners, such as Non-Governmental and Civil Society Organisations, research institutions and universities. As part of this, other government departments will provide project-level data which will have codes that allocate for each project: sectors, delivery partner, type of aid and other key variables. The same countries also met or exceeded the target in 2018. Figure 7 legend: Top 10 Recipients of UK 2019 Bilateral ODA[footnote 14]. HMRC supports developing countries revenue authorities to improve their tax administration functions and tax policies to increase revenue collection, providing economic integration, stability and growth. REUTERS/Henry Nicholls. Figure 13 legend: DFIDs and Other Government Departments and Other Contributors of ODA (non-DFID) spend by sector, 2019 ( million). This was due to a rise in spending to support asylum seekers in the UK, primarily reflecting an increase in Asylum Support volumes in 2019 when compared to 2018, BEIS spent 960 million of ODA in 2019 an increase of 110 million, or 12.9%, on 2018. It has frequently been the top spend area in previous years, but in 2018 Humanitarian Aid was the third largest sector, after Health and Multisector/Cross-cutting. Where we do have to revise information included in this publication, we will follow the procedures set out in our revisions policy. The UKs share of total DAC ODA was 12.7 per cent. Other Technical Assistance includes training and research, a further 8.6% consists of core support to Non-Governmental Organisations (NGOs) or other delivery partners, such as research institutions, where funds are not earmarked for a particular country/region and work may benefit a wide range of developing countries. Multilateral Aid: When multiple governments pool resources in cooperation with organizations like the World Bank, the IMF, and the UN. Spend to these countries accounted for 17.9% of total country-specific UK bilateral ODA, Pakistan has remained the top recipient of UK bilateral ODA for the fifth consecutive year. The figure presented for the Welsh Assembly Government represents their estimated spend for the financial year 2019/20 and are used as a proxy for their calendar year 2019 spend. This chapter provides an overview of where UK ODA is spent. IDA was replaced as the largest recipient of UK multilateral ODA by the UKs share of the EUs Development budget (referred to as EU attribution). After final decisions on UK ODA spending are made the GNI estimate can still shift due to later economic data for the year becoming available, so can the amount of ODA spent by other government departments and ODA contributions from non-departmental sources. See our technical note for more information. The government reduced its annual aid budget from 0.7% of gross national income (GNI), which is a measure of the amount produced by the economy, to 0.5% this year. The Office for Statistics Regulation (part of the United Kingdom Statistics Authority) designated these statistics as National Statistics in March 2016, in accordance with the Statistics and Registration Service Act 2007 and signifying compliance with the Code of Practice for Statistics. Developing Countries. EU attribution fluctuates from year to year in part because the EU works on a 7 year programming cycle and so EU disbursements in a given year can vary. Other reasons for fluctuations between years include the change in UKs share of the EU budget in comparison to other member states and exchange rate variations, in 2019, the UKs core contribution to IDA was 891 million, a decrease of 1,040 million from 2018. And because the economy grew in 2019, aid spending rose in line with national income from 14.5 billion to 15.2 billion an increase of 645 million (4.4%) compared to 2018.

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