The multilateral development system channels a large and growing share of the official development assistance (ODA) provided by the members of the OECD Development Assistance Committee (DAC), and is asked to address an expanding range of challenges, from poverty reduction and climate change, to pandemics and the impact of Russia’s war of aggression against Ukraine. Amid this challenging global context, calls to reform the multilateral system have amplified since 2021, aiming to significantly enhance the system’s capacity to deliver on these many fronts.
The Multilateral Development Finance 2024 report examines the aid flows directed to and from the multilateral development system. It assesses the impact of ongoing reforms, highlighting how members, shareholders and funders can help make it fit for the future. By analysing the state of play in multilateral development finance, the report aims to help DAC members refine their positions in the process leading up to the UN ECOSOC Fourth Financing for Development Conference (FfD4).
Chapter 1 provides an overview of the main findings, including a summary of the recommendations. Chapter 2 discusses the growing relevance of multilateral development finance, and assesses ongoing reform processes that aim to transform the multilateral development system. Chapter 3 explores recent trends in funding to the system (inflows), analysing the funding patterns of DAC members and emerging donors. Chapter 4 sheds light on the activities financed by the multilateral development system (outflows) and highlights the need to carefully maintain the balance between financial capacity and level of concessionality in the context of the growing financialisation of the system.