The Next Decade of South-South Development Cooperation

Report
After the Honeymoon?
The Next Decade of South-South
Development Cooperation
Emma Mawdsley
[email protected]
One history of development
Gillian Hart, 2009
2
Development history with the South as agent
Asian Tigers/NICs
Bandung
Conference
Non-Aligned Movement
Demand for a New
International Economic
Order (NIEO)

South-South Development Cooperation

Paradigm shift with the South as (an) agent
Asian Tigers/NICs
Global
financial
crisis;
Eurozone
crisis
Emerging
markets;
rising
powers;
visible and
expanding
SSDC
Bandung
Conference
Non-Aligned Movement
Demand for a New
International Economic
Order (NIEO)

South-South Development Cooperation
BRICS; G20;
‘reform’ of the
WB, IMF etc

Busan, Korea, 2011
Where were the Southern development
partners in 2000?
• Contributing approximately 5% global ODA
• Almost entirely invisible in academic debate,
textbooks, ‘development’ courses, media
discussion, policy analysis …
• Represented only as recipients in global
development governance
The (International Development) world in 2000
DAC: The Development Assistance Committee of the OECD (2000)
9
Early responses to the (re-)emerging
rising powers as development partners
• Overwhelming focus on China
• Range of responses, but much highly sceptical, and
some extremely critical
– E.g. Moises Naim (2007): ‘toxic aid’ and ‘rogue
donors’
• Expectations of ‘socialising’ the non-DAC donors
– E.g. DAC ‘outreach’
China is prowling the
globe in search of
energy sources (The
Guardian, Nov. 2005)
The ‘rise of the South’
MATERIAL
development
financing
ONTOLOGICA
L
development
identity
IDEATIONAL
development
norms
18
1) Material: development means
A rise in the absolute amount and relative
share of ODA/’ODA-like’ and broader
development financing
The ‘global’ financial crisis and ‘traditional’ donors
•
http://devpolicy.org/end-of-the-aid-boom-the-impact-of-austerity-on-aid-budgets-and-implications-for-australia/
Punching above their weight
• Purchasing Power Parity (PPP) and the relative
price of Southern goods and services
Punching above their weight
• Purchasing Power Parity (PPP) and the relative
price of Southern goods and services
• Particular importance in some sectors and
places
http://aiddata.org/blog/howimportant-are-private-and-non-dacsources-of-global-developmentfinance
Punching above their weight
• PPP and relative price of Southern goods and
services
• Particular importance in some sectors and
places
• Much more substantial contributions to wider
‘development financing’
http://eurodad.org/1543461/
Indian Lines of Credit
Indian Development Cooperation Research, Centre for Policy Research
http://idcr.cprindia.org/blog/lines-credit
Punching above their weight
• PPP and relative price of Southern goods and
services
• Particular importance in some sectors and
places
• Much more substantial contributions to wider
‘development financing’
• Above all, offering choice in development
financing for partner countries
2) Ontological: development identities
• Kapoor (2008): national virility, donor identity
• Caring at a distance presumes:
– “the construction of Northern actors as carers
who are active and generous and of Southern
actors as cared for, passive and grateful” (Silk,
2004: 230).
After Hurricane Katrina …Sri Lanka offered aid to the US. Even
though it was only a small amount of money, this symbolic act
was important for Sri Lanka to regain dignity and to escape
from the status of a ‘pure’ recipient country, as a victim
country. Now Sri Lanka had become a donor country. It also
showed how Sri Lanka could feel compassionate to
Westerners, being generous, within their capabilities, to the
distant needy, but also able to rebalance the asymmetric
relations that had developed after the tsunami, where
Westerners were always donors and generous, and Asians
were always recipients and forced to be grateful
(Korf 2007: 370-1)
29
First Co-Chairs of the Global Partnership for Development
Cooperation:
Ngozi Okonjo-Iweala, Minister of Finance, Nigeria.
Armida Alisjahbana, Minister of State for National Development
Planning, Indonesia.
Justine Greening, DFID, United Kindgom.
Western donors
Southern development cooperation
partners
Charity
Opportunity
Moral obligation to the unfortunate
Solidarity with other Third World
countries
Expertise based on superior
knowledge, institutions, science and
technology
Expertise based on direct experience
of pursuing development in poor
country circumstances
Sympathy for different and distant
Others
Empathy based on a shared identity
and experience
The virtue of suspended obligation, a
lack of reciprocation
The virtue of mutual benefit and
recognition of reciprocity
Mawdsley 2012
3) Ideational: development norms
• Ability to set or lead the agenda in a particular
field or realm
• Ability to ignore or resist dominant ‘rules’ or
expectations
• From ‘norm/rule takers’ to ‘norm/rule makers’
Paragraph 2 of the Busan Outcome Document (2011):
The nature, modalities and responsibilities that apply to
South-South cooperation differ from those that apply
to North‐South cooperation. At the same time, we
recognise that we are all part of a development agenda in
which we participate on the basis of common goals and
shared principles. In this context, we encourage increased
efforts to support effective cooperation based on our
specific country situations. The principles, commitments
and actions agreed in the outcome document in
Busan shall be the reference for South‐South partners on
a voluntary basis.
[emphasis added]
3) Ideational: development norms
• From ‘ODA’ to Other Official Finance
(widening the construct of ‘development
finance’), and blurring/blending of aid with
other tools
3) Ideational: development norms
• From ‘ODA’ to Other Official Finance
(widening the construct of ‘development
finance’), and blurring/blending of aid with
other tools
• From poverty reduction to (again) economic
growth as the central analytic of
‘development’
3) Ideational: development norms
• From ‘ODA’ to Other Official Finance (widening
the construct of ‘development finance’), and
blurring/blending of aid with other tools
• From poverty reduction to (again) economic
growth as the central analytic of ‘development’
• From social sector (health, gender, education)
and ‘soft wiring’ (good governance) to
financialisation, infrastructure and productivity
3) Ideational: development norms
• From ‘ODA’ to Other Official Finance (widening the
construct of ‘development finance’), and blurring/blending
of aid with other tools
• From poverty reduction to (again) economic growth as the
central analytic of ‘development’
• From social sector (health, gender, education) and ‘soft
wiring’ (good governance) to financialisation, infrastructure
and productivity
– The direction of movement has been towards non-DAC
modalities
The last decade or so
• Ongoing concerns and criticisms, but overall …
• Consolidation, expansion and growing capacity of
South-South Development Cooperation partners
• Clear signs of approval (and sometimes preference)
within partner countries
• Growing real and apparent respect from ‘traditional’
donor community (e.g. rhetorics, partnerships)
• Changing international development ideas, institutions,
and governance
After the honeymoon ..?
New/growing/inherent/specific issues for SSDC:
•
•
•
•
Domestic factors
Financial risk
Protest and resistance in partner countries
Squaring ‘non-interference’ with strategic
imperatives and ground realities
• Changing identities and interests
• The North fights back
1) Domestic factors
Dilma and Lula
Narendra Modi
Park Geun-hye
“Even India has started giving Billions of
dollars of aid to Afghanistan, Bangladesh, far
away African countries yet we are accepting
aid from western countries. It’s a real puzzle.
Will someone throw some light about this
mystery?”
‘Satish’, posted 5 Dec 2012, The Hindu, online
http://www.eco
nomist.com/new
s/briefing/21582
257-mostdramatic-anddisruptiveperiodemergingmarket-growthworld-has-everseen
2) Financial risks
• Fuelling unsustainable sovereign, public and
private debt?
2) Financial risks
• Fuelling unsustainable sovereign, commercial
and private debt?
• Badly performing loans/defaults
2) Financial risks
• Fuelling unsustainable sovereign, commercial
and private debt?
• Badly performing loans/defaults
• Corruption
Goodluck Jonathan firing Central
Bank Governor, Lamido Sanusi
http://www.economist.com/new
s/middle-east-andafrica/21597896-presidentsdecision-get-rid-central-bankgovernor-bad-news-now
3) Agency and resistance in partner countries
May 2014: one Chinese worker
killed and 10 others taken
hostage in Cameroon by Boko
Haram.
It is naïve to think that there is no danger of
imperialism from the East. In world power
politics the East has as much design on us
as the West and would like us to serve their
own interests.
(Jomo Kenyatta, 1965, quoted in Larkin 1971,
138).
4) Non-interference?
5) Changing identities and interests
For the emerging economies, G20 membership mainly
challenges their previous understandings of their role
as countries and representatives of the (poor) global
South. Their economic and geopolitical interests which
brought them into the G20 only converge with the
[Lower Income Countries] to a limited extent. … A
genuinely new joint development agenda based on
equality is therefore very unlikely to emerge within the
G20 without more transparency in relation to these
realities and without the demystification of SSC.
Gleichmann (2010: 14-15)
6) The North fights back
• Redefining ODA; expansion of ‘development
financing’ vehicles; more open credit and loans
for domestic firms and consultancies; (stronger)
turn to financial and ‘productive’ sectors
• Mawdsley (in progress); Banks et al (in progress)
• Resistance to reform of global architecture and
governance
• Vestergaard and Wade (2013)
• Coopting Southern partners
• Abdenur and Fonseca (2014)
Looking back, looking forward
MATERIAL
development
financing
ONTOLOGICA
L
development
identity
IDEATIONAL
development
norms
MATERIAL
Can development
grants and loans be
sustained?
ONTOLOGICAL
IDEATIONAL
Can Southern
identity claim be
sustained?
Can traditional
SSDC narrative
and modalities
be sustained?
MATERIAL
Can development
grants and loans be
sustained?
ONTOLOGICAL
IDEATIONAL
Can Southern
identity claim be
sustained?
Can traditional
SSDC narrative
and modalities
be sustained?
In who’s interests? Will
evolving SSDC contribute
to just, progressive,
equitable sustainable
development ?
Where and how does
this align with/depart
from different Southern
and Northern
development interests,
agendas and practices?

similar documents