Firstly, models of development would be adopted, based on ‘partnership, not patronage’ – working more closely with development recipient countries and communities to bolster local leadership. Second, development would be ‘elevated’, and integrated more closely with defence and diplomacy in delivery. Third, the administration wants to improve coordination of development across Washington, by ensuring that the goals of the many US development programs, including USAID, the Millennium Challenge Corporation and other agencies are aligned. Fourth, development would be focused on key sectors – improving health, agriculture, security, education, energy security and local governance. Fifth, there would be increases in innovation funding in America. Finally, investment would be focused on women and girls, given research which shows that efforts focusing on women provide greater development returns.
The speech provided encouraging signs of a renewed focus on efficiency and transparency in development funding and delivery. Such refocusing is welcome, in the context of the President’s August 2009 commitment to double the Foreign Operations budget of USAID from a current USD 24 billion to USD 50 billion. Further, the administration’s commitment to increase innovation and focus development funding on women and girls are likely to guarantee better returns on development funds. Secretary Clinton noted how technology has provided significant advances in agriculture throughout Africa, and successes of micro finance programs targeted to women.
Parts of the Secretary of State’s speech, while receiving significant applause from the audience and press, will be difficult to translate into action. The commitments to integrate development with defence and diplomacy and improve agency coordination are commitments which have been made before, as noted by William Easterly in Foreign Policy, and have proven difficult to achieve. Further, the sectors to which Secretary Clinton pledged development funds would be limited to – health, agriculture, security, education, energy and local governance – actually appear rather unlimited in their scope.
Secretary Clinton also failed to deal with how the administration was going to finance its commitments. This issue was put to the Secretary, when she was asked how the administration would provide, coordinate and implement its recent commitment to provide up to USD 100 billion for developing countries to deal with climate change by 2020, and whether this commitment was above its earlier commitment to double USAID’s foreign operations budget. Clinton replied that ‘she did not know what Congress is going to do’, and was not able to say whether these funds would come out of the current budget, or would be additional stimulus provided by the Treasury.
Even if the administration does not make good on all the measures outlined by Secretary Clinton, there is likely to be significant benefits for the Asian and Pacific countries. Indonesia, the Philippines, Vietnam and to a lesser extent Cambodia and Timor-Leste all receive significant development and economic support from USAID and associated development programs. With an increased budget, and a focus on ensuring quality outcomes for development spending, the US may yet adopt a greater development role in these and other Asian nations.
James Boyers is a graduate student at the ANU and is currently an intern in the office of Senator Richard Lugar, the ranking Republican member of the US Senate Foreign Relations Committee.