Author: Great Britain: Parliament: House of Commons: International Development Committee

Publisher: The Stationery Office

Published: 2014-02-13

Total Pages: 64

ISBN-13: 0215068084

Over the next ten years, development aid in the form of grants should be replaced for lower middle income countries. DFID should continue to channel some of its finance through multilaterals, making greater use of their specialist skills and expertise rather than replicating these within its own bilateral programmes. DFID should also establish a financial instrument team, prepare a development finance strategy and publish a Development Finance White Paper during 2014. This strategy should include consideration of whether to establish a UK development bank. The overwhelming drive in UK aid should continue to focus on lifting people out of poverty and meeting post-2015 development objectives. The UK should continue to fund the development and delivery of key services to the very poorest people in low income countries through a system of grants. We should also continue to channel 0.7 % of GNI into development cooperation. But, to support structural transformation in lower middle income countries a significant proportion of future UK development finance should also be delivered via a system of concessional loans and other financial instruments