Development co-operation is evolving, propelled by a growing recognition of the pivotal role played by local actors in driving effective, sustainable outcomes. Recent commitments by Development Assistance Committee (DAC) members underscore a collective call for challenging entrenched norms, biases, and historical power imbalances that have long shaped development practices. As they embark on that journey, DAC members confront formidable challenges amidst geopolitical shifts, humanitarian crises, and economic uncertainties challenging the rational for international solidarity and increasing attention to national interests. Internally, barriers range from definitional ambiguities around who is a local actor and what level of responsibility can be and should be transferred, to limited flexibility in designing and implementing programmes.
In early 2023, the DAC agreed to carry out a peer learning exercise on approaches to promote locally led development co-operation and enable local agency. After more than a year of extensive research and multistakeholder consultations, the OECD Secretariat supported by an international team of researchers led by the Share Trust and supported by Warande Advisory Centre, ODI, and Epic Africa has produced this comprehensive report that not only collects compelling existing approaches but also possible pathways towards a development co-operation that is more locally driven.
Acknowledging diverse starting points and domestic realities, the proposed framework aims to help DAC members design their own approach towards locally led development co-operation. Looking at policy frameworks, financing mechanisms, partnership models, management processes and delivery practices, the report identifies what practices can foster an environment where local actors can assert their agency and innovate when working with providers.
This report is also a call for DAC members to champion inclusive practices, leveraging existing successes and embracing innovation. Together, they can encourage international intermediaries and multilateral organisations to increase transparency regarding overheads, passing-on of funding, and subcontracting to local actors; to better co-ordinate capacity strengthening and sharing with local actors at the country level; to support local intermediaries; and to streamline and harmonise due diligence requirements for local partners. There are also suggestions for measuring locally led development at different levels in ways that promote change.