Eleven development partners (DPs) which contribute financial resources directly to the Government of Ghana are rounding off their four-day annual meeting with government officials in Accra at which they reviewed progress in the implementation of Ghana’s Growth and Poverty Reduction Strategy II (GPRS II). The Multi-Donor Budget Support (MDBS) group is a joint support mechanism of development partners, including the African Development Bank, Switzerland, Canada, Denmark, the European Union, France, Germany, Japan, The Netherlands, the United Kingdom and the World Bank. They contribute directly into the government’s treasury to complement the country’s internally generated funds. This year’s review was co-chaired by the Swiss Ambassador to Ghana, Mr Nicolas Lang, and the Secretary to the Cabinet, Mr Mike Eghan. The meeting considered four cross-cutting issues that impact on Ghana’s development — climate change, decentralisation, budget credibility and the development of monitoring, evaluation and statistical systems. The discussions also included the Auditor-General’s Report on the Consolidated Fund for 2006, 2007 and 2008. The outcome of the annual review will inform the level of disbursements the partners will deliver into the 2011 budget. Last year, they contributed approximately $525 million through the MDBS but sources say a slightly lower figure of $451 million will be disbursed as budget support for this year. The annual review has provided a platform for joint efforts by the DPs and the Government of Ghana to take a detailed look at agreed performance benchmarks set for the previous year. The benchmarks, also called targets and triggers, are drawn from the GPRS II and constitute the MDBS instrument called Progress Assessment Framework (PAF). The current PAF has 27 targets and 15 triggers. Targets are development indicators and policy reform measures. The form of development assistance where financial resources are transferred from a donor directly to the government budget is known as general budget support, but in Ghana it is called MDBS because the country’s 11 donors provide budget support in a harmonised way. The MDBS began in 2002 and constitutes about 30 per cent of development aid to the Government of Ghana and has since contributed over $2 billion to the government budget. Ghana is one of several developing countries to benefit from the general budget support which is provided when a country demonstrates commitment to democratic and economic reforms. The underlying principles span the maintenance of sound macro-economic policies, commitment to achieving the MDGs, continuing peace and respect for human rights, the rule of law, sound budgeting and public financial management (PFM) systems, as well as the promotion of good governance and accountability and a proven commitment to the fight against corruption. Source: Daily Graphic