External New Financing Strategy
Designing an external new financing strategy includes a comprehensive assessment of potential new financing options from concessional and nonconcessional sources , as well as possible grant inflows, focusing on how best to mobilise the highest quality financing to support national development priorities and ensure debt sustainability.
To assist countries evaluate the quality of external resources, DFI has developed an assessment methodology on the basis of resource concessionality, conditionality, predictability, flexibility, types of finance, focus on national priority sectors/projects and other policy and procedural criteria.
A summary of the main issues for strategy design are set out in Key Analytical issues for Government External Financing and Diversifying Sources of Financing for Development.
To help countries strengthen their capacity in this area, DFI has developed detailed training materials and manuals,conducted research and analysis and provides advisory services.
