Funding and oversight

4.29 Federal departments should demonstrate how funding provided to

multilateral organizations and reported as ODA meets the three conditions of section 4(1) of the Official Development

Assistance Accountability Act. (4.16–4.28)

Agreed.

DFATD prepares due diligence assessments of its key multilateral development partners, which is identified in this audit as a good practice.  Building on this success, DFATD will expand the assessments to include reference to how the organizations meet the three conditions of section 4(1) of the Official Development Assistance Accountability Act.  These multilateral due diligence assessments are updated regularly and inform all development investment decision-making, including project funding decisions.

In addition, DFATD will explore ways of incorporating these best practices into other areas of multilateral programming within the department.

DFATD will ensure that input into the Report to Parliament on Canada’s Official Development Assistance for 2013-14 is reviewed against the criteria set out in the Official Development Assistance Accountability Act, including sections 4(1) and 4(1.1).

·         Completed

·         Fall 2014

·         Fall 2014

·         Global Issues and Development Branch

·         International Security and Crisis Response Branch

·         Strategic Policy and Summits Branch

Reporting on Official Development Assistance

4.48 Federal departments should enhance their reporting to demonstrate

the results achieved through core funding to multilateral organizations.

(4.44–4.47)

Agreed.

All of DFATD's multilateral partners publish annual reports, documenting their significant development and humanitarian results for the year.  Drawing on this wealth of information, and starting with the 2012-13 reporting cycle, DFATD will use future reports to Parliament as an opportunity to highlight better what our multilateral partners have achieved. 

DFATD is also enhancing information about results already available on its website, including the results achieved information on the Development Project Browser.

·         Winter 2014

·         Winter 2014

·         Corporate Planning, Finance and Information Technology Branch

·         Global Issues and Development Branch

4.61 The government should improve the Statistical Report on International Assistance by:

• clearly explaining how the reporting standards are interpreted in the information presented,

• ensuring that all the figures are calculated properly,

• providing additional information on loans expected to be repaid to

Canada, and

• disclosing that payments made in advance of use may not be received by countries and regions in the year reported as Official Development Assistance.(4.49–4.60)

Agreed.

DFATD produces the Statistical Report on behalf of the Government of Canada with input from departments engaged in international assistance. The report is produced in accordance with international standards (Organization for Economic Co-operation and Development - Development Assistance Committee) and in accordance with the requirements of the Official Development Assistance Act.  Consistent with these standards, the Statistical Report records expenditures at the time of payment as opposed to when the funds are used by the recipient, therefore, certain figures in the Statistical Report are estimated or imputed. With regard to the example of the Advance Market Commitment (AMC), this initiative was specifically designed as an innovative mechanism to spur the private sector to develop new vaccines at a low cost for developing countries, by using funds secured in advance from donors as a guarantee of a future, viable market.

As part of our continuous effort to improve the Statistical Report, DFATD will work with other government departments who provide data to enhance the quality and clarity of the report.

·         The assumptions and methodologies will be clearly articulated in the report with respect to the scope and standards of reporting and the technicalities surrounding aid to multilateral organizations.

·         Future call letters and instructions to other departments reporting ODA will contain additional information and instructions, and, reinforce the international definitions on bilateral and multilateral aid and the use of the most up-to-date coding tables and coefficients.

·         DFATD will continue to offer training and support to improve the quality of reports.

·         Completed: The changes were carried out in the 2011-12 Statistical Report published on 2013-03-28

·         January 2014

·         Ongoing

·         Corporate Planning, Finance and Information Technology Branch