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Updating DFA & FS for BD, INFF Comes in response to the 2030 Agenda;…
Updating DFA & FS for BD
DFA Guidebook 3.0
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Typical DFA Process
DFA Analysis
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Existing data, policy documentation and analytical literature is compiled
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Modular DFA Process
A country can prioritize or segment different phase of the process over time. For example, prioritized discussions around policy instruments used in the COVID-19 economic recovery packages.
Prioritize dialogues can happen parallely and be incorporated into DFA and updated INFF Roadmap as it develops
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BB1.2: Financing Landscape Assessment: required for identifying where financing policy action may be required
Provide a comprehensive picture of the country's country’s financing trends, challenges and opportunities – looking across the full range of resources included in the Addis Ababa Action Agenda
KEY CONSIDERATIONS:
- Aggregate assessment of the financing landscape
- Analysis of the allocation and use
BB 1.3: Risk Assessment: required for identifying
major risks to sustainable financing and
policy action to strengthen resilience
strengthen governments’ understanding of risks to sustainable development financing, and to support the design of risk-informed financing strategies
Analyze their impact on the country’s financing system, with a view to avoid or reduce future disruptions
KEY CONSIDERATIONS:
- High probability/high impact risks
- Immediate impact
- Secondary impact
- Addresses remaining risks and vulnerabilities through more policy actions that (i) reduce the likelihood of recurrence, (ii) reduce the negative and cascading consequences (iii) manage and transfer the residual risks
BB 1.4: Binding Constraints Diagnostic: required for identifying underlying economic, institutional, capacity and policy impediments
Deepens the analysis of impediments hindering effective mobilization and use of financing for sustainable development, and their root causes
Guide identification of those constraints that, if removed, would have the greatest impact on the country’s ability to finance sustainable development (i.e. the binding constraints).
KEY CONSIDERATIONS:
- Identifying key problem areas
- Identifying binding constraints
- Prioritizing constraints to address in the FS
- INFF Comes in response to the 2030 Agenda; Yet, most strategies and plans do not have concrete financing plans to fund their implementation.
- A country’s sustainable development strategy lays out what needs to be financed. Integrated national financing frameworks spell out how the national strategy will be financed and implemented.
- All diagnostics and assessments under INFF are comprehensive, integrated, iterative inclusive