Development Finance International
17 October - CRI Launch at ILO Roundtable in Geneva
DFI and Oxfam launched the Commitment to Reducing Inequality Index at a roundtable for Geneva-based UN organisations. Held at the International Labour Organisation headquarters in Geneva, it gave a brief presentation of key findings. The 30 participants focussed their discussion mainly on issues around the positive impact of social protection spending on inequality, and on how best to measure progress in improving labour rights, including for women.
In the roundtable and separate bilateral meetings with ILO staff, excellent suggestions were made for improving the Index and enhancing cooperation between the ILO, DFI and Oxfam on data collection and analysis in future editions of the CRI.
16 October - TAXCOOP Conference 2017: How African Regional Cooperation is Protecting Tax Revenues
DFI chaired a session of the TAXCOOP conference 2017 in Geneva, organised by OIF, in which Francophone West African representatives from CREDAF, WAEMU and the Government of Senegal discussed their experiences in using regional cooperation and common tax treaties to fight against the global “race to the bottom” in corporate and personal income tax rates.
They emphasised that while they have had considerable successes in both agreeing common policies on tax rates and coverage and providing mutual capacity-building on tax collection, continued success will depend on cooperation by OECD countries and international organisations in renegotiating tax treaties, and ending tax exemptions on donor projects and for foreign investors, so that national tax authorities are able to collect higher levels of income taxes from the same rates. For details of the conference, whose proceedings will be published eventually in book format, see here.
13 October - Unpacking Fiscal Risks of Public-Private Partnerships, Washington
DFI participated in a CSO-organised panel on public-private partnerships (PPPs), based on recent studies by Eurodad and Jubilee Debt Campaign, to discuss with IMF and World Bank officials their roles in helping countries to analyse and reduce fiscal risks of PPPs.
DFI presented the conclusions of the OIF Finance Ministers’ network on PPPs as expressed in their communiqué of 12th October, emphasising the potential high costs and risks of PPPs. It highlighted the need for comprehensive preparation in terms of laws and institutional structures to dramatically scale up capacity in developing countries to design, prioritise and implement public investment projects, and to negotiate PPP contracts more successfully, in order to reduce costs and risks.
DFI also emphasised two of the key ministerial recommendations: publishing an ex-ante assessment of the potential costs and risks of each project and maximum consultation with parliament and civil society before signing any major contract.
13 October - Is the IMF Turning Words Into Action on Inequality?
DFI co-sponsored a panel in Washington examining how well the IMF is doing in turning its research findings and leaders’ statements on the urgency of reducing inequality into practical action at country level.
It presented the results of three studies: the Commitment to Reducing Inequality Index, showing that virtually no countries are doing enough to fight inequality; the New Rules/FES/DFI Global Financial Institutions Impact Report, which assesses the IMF’s performance as mixed though improving; and the DFI/New Rules report to Oxfam on IMF Tax Technical Assistance and Policy Advice, which finds that the IMF could do much more to make its tax policy support more progressive.
The meeting also discussed an Oxfam report assessing broader IMF policy advice, which finds that much more could be done.
13 October - The IMF and Social Protection, Washington
DFI chaired a panel discussing the report of the IMF Independent Evaluation Office into the IMF and social protection. Held in the CSO Forum at the BWI Annual Meetings, the event allowed CSOs to hear more about IMF social protection policy, as well as social safeguards (spending floors) in IMF programmes.
Two key issues emerged: the need to include social protection spending in IMF social spending floors (it is often currently excluded) and the need to ensure that IMF spending recommendations are compatible with reaching the SDG aiming for universal social protection floors for all citizens (rather than targeting mechanisms at a small group of the poorest citizens).
