Steps Forward for Donor Coordination in Afghanistan

UNCLAS SECTION 01 OF 02 KABUL 002140 DEPT FOR SRAP AND SCA/A DEPT PASS FOR AID/ANE SENSITIVE SIPDIS E.O. 12958 N/A TAGS: EAID AF SUBJECT: Steps Forward for Donor Coordination in Afghanistan ¶1. (SBU) SUMMARY: UNAMA and Embassy Kabul co-hosted a donor meeting on July 22, 2009, to engage the international community on improving development assistance coordination throughout Afghanistan. Participants applauded U.S. efforts to "Afghanize" our assistance programs, and cautioned against the dangers of U.S. or UNAMA provincial offices becoming a "parallel government" that could undermine indigenous Afghan institutions. The donor representatives discussed the critical importance of developing local governance and civil society, and agreed to encourage Afghan leadership of international assistance and to renew efforts to coordinate assistance programs. While the donor community is enthusiastic about improving coordination, our most likely route for success will be to take advantage of an existing forum, reinforced by bilateral and small group work, under which this can happen effectively. END SUMMARY. ¶2. (SBU) Representatives of Canada (CIDA),Germany, India, Japan (JICA),the Netherlands, Norway, the UK (DFID),the Asian Development Bank (ADB) and the World Bank (WB) attended a joint US-UNAMA hosted meeting on July 22, 2009 to discuss ways in which the international community could improve donor coordination in Afghanistan. UNAMA's Mark Ward and other participants welcomed Ambassador E. Anthony Wayne, the Coordinating Director for Development and Economic Affairs, to Kabul and applauded his initial efforts to coordinate programs within the USG. The U.S. Embassy initiated the meeting to help energize Kabul-based coordination, given the arrival of Embassy Kabul's new assistance team. ¶3. (SBU) Ambassador Wayne opened the discussion by noting the USG's greater emphasis on "Afghanization" of U.S. foreign assistance, as well as the importance of full transparency and accountability on the part of the Afghan government. The Ambassador stated that the USG plans to initiate a pilot program with the Ministry of Finance, under which USAID will provide funding directly to the Afghan government to hire technical advisors independently. He reiterated U.S. support for the World Bank-managed Afghanistan Reconstruction Trust Fund (ARTF) and for direct support for Afghan ministries (such as through host-country contracting). USAID Mission Director William Frej noted that USAID plans to assess the capabilities of the Ministries of Education, Agriculture, and Rural Rehabilitation and Development for potential consideration for additional host-country contracts. Finally, Ambassador Wayne outlined the Embassy's internal process on program coordination and solicited participants' opinions of how and where the international community should focus its attention to achieve more effective donor coordination. ¶4. (SBU) UNAMA's Mark Ward said that UNAMA's capacity to coordinate donors remained low, adding that UNAMA would focus its coordination efforts on sectors and provinces where it could add the most value. Ward stated that the Ministers of Health and Education "are in charge" and that UNAMA consequently will not take a donor coordination role in these sectors. Because of its twenty offices in Afghanistan, Ward said that UNAMA could play a role in donor coordination at the sub-national levels. He encouraged donors to start their own formal and informal coordination groups, as needed, to increase aid effectiveness, adding that they should "be brave" and ded U.Sing is weak, a collection of one-off contributions." She asserted that thematic groups were needed, suggesting that the recent U.S. announcement of a women's grant program could stimulate collaboration in this area. -- (SBU) The group agreed that coordination worked well already in certain sectors (including roads and irrigation),but that other sectors (such as the justice sector) suffered from an uncoordinated approach. The Norwegian representative noted that there was "no structured forum for an overview of the highest priority sectors and regions," while the German participant asserted that an inclusive process was important for maintaining donor enthusiasm in all sectors. Donor representatives committed to a renewed and inclusive effort to energize the coordination process. ¶6. (SBU) COMMENT: The donor community recognized the need for improved coordination and welcomed Ambassador Wayne's intent to participate fully in the process. At the same time, there is some "meeting fatigue" in Kabul. The most likely scenario for success would take advantage of an existing framework and step up the engagement in that forum, while building momentum and consensus with bilateral or small group coordination among donors most committed to a particular sector or theme. END COMMENT. EIKENBERRY KABUL 00002140 002 OF 002 -- (SBU) Donor participants emphasized the importance of donor empowerment of the Afghan government, cautioning that the UN and U.S. presences should not be, nor become perceived to be, a "parallel government." -- (SBU) The Canadian representative criticized the international community's efforts to build Afghan civil society, commenting that "programming is weak, a collection of one-off contributions." She asserted that thematic groups were needed, suggesting that the recent U.S. announcement of a women's grant program could stimulate collaboration in this area. -- (SBU) The group agreed that coordination worked well already in certain sectors (including roads and irrigation),but that other sectors (such as the justice sector) suffered from an uncoordinated approach. The Norwegian representative noted that there was "no structured forum for an overview of the highest priority sectors and regions," while the German participant asserted that an inclusive process was important for maintaining donor enthusiasm in all sectors. Donor representatives committed to a renewed and inclusive effort to energize the coordination process. ¶6. (SBU) COMMENT: The donor community recognized the need for improved coordination and welcomed Ambassador Wayne's intent to participate fully in the process. At the same time, there is some "meeting fatigue" in Kabul. The most likely scenario for success would take advantage of an existing framework and step up the engagement in that forum, while building momentum and consensus with bilateral or small group coordination among donors most committed to a particular sector or theme. END COMMENT. EIKENBERRY