OECD Development Co-operation Peer Reviews: Italy 2019

Conducting the peer review
Abbreviations and acronyms
Executive summary
	Summary of the DAC’s Recommendations to Italy
Infographic. Findings from the 2019 Development Co-operation Peer Review
The DAC’s main findings and recommendations
	Italy is a strong development partner
		Since 2014, the reform law has put international development co-operation at the centre of Italian foreign policy, improving transparency and accountability
		Italy shows leadership on global issues, takes responsibility in international fora and supports the multilateral system
		With a strong field presence in fragile countries and an emphasis on gender and disability, Italy puts its focus on leaving no one behind into practice
		Multi-stakeholder partnerships are at the heart of Italian development co-operation
	Italy can build on its achievements
		Law 125 sets out long-awaited reforms to Italian development co-operation, but systems require further strengthening
		Institutions have a clear policy coherence mandate, but Italy should be able to identify and act on key policies that risk undermining development efforts
		Defining comprehensive country strategies, ensuring better predictability, and providing more programmatic support would make for more sustainable partnerships
		After five years of steady increases, Italy’s ODA decreased in 2018, with further cuts planned
	Italy needs to address some challenges
		To translate its policy vision into effective action, Italy needs whole-of-government strategies and guidance on its priorities
		The effective delivery of Italy’s development programme requires investments in workforce planning
		Italy is in the early stages of building a results-based management system and could do more to document knowledge and innovation
			Secretariat’s report
Secretariat’s report
	Context of the peer review of Italy
		Political and economic context
		Development co-operation system
		References
	1.  Italy’s global efforts for sustainable development
		Efforts to support global sustainable development
			Italy links convening power with co-operation expertise to lead on issues such as agriculture and cultural heritage
			Italy could take the lead on other global goods and risks
		Policy coherence for development
			Institutions have a clear policy coherence for development mandate, but monitoring, analysis and policy feedback are slow to evolve
			Italy performs well overall on a number of policy coherence issues
			Italy could strengthen coherence in migration policy
		Global awareness
			Whole-of-society involvement is a strong and growing feature of Italian co-operation
			Implementing the citizen education strategy could boost Italians’ support for development
		References
		Notes
	2.  Italy’s policy vision and framework
		Framework
			Law 125/2014 provides a compass to guide Italian co-operation
			Italy’s National Strategy for Sustainable Development highlights co-operation
			The programming and policy planning document has clear priorities, but does not facilitate medium-term planning
		Principles and guidance
			The picture on cross-cutting issues and leaving no one behind is mixed
			Operational guidelines for engaging in fragile and conflict-affected states are needed
		Basis for decision making
			Strategies and guidance to steer country allocations and engagement are needed
			Guidance to select local implementing channels could be improved
			Italy believes strongly in multilateralism and agencies praise its reliable and constructive engagement
		References
		Notes
	3.  Italy’s financing for development
		Overall ODA volume
			Law and policy are clear – Italy‘s ambition must be moving towards respecting its international commitments
			After significant increases, Italy reduced its ODA in 2018 with further decreases planned until 2021
			Italy complies with DAC recommendations on aid, but reporting could improve
		Bilateral ODA allocations
			Priority countries do not always receive the highest allocations
			Bilateral disbursements match Italy’s main thematic priorities and cross-cutting issues
		Multilateral ODA allocations
			Working with the multilateral system is central to Italian co-operation
			Multilateral support matches priorities, although levels of support vary significantly
		Financing for development
			On domestic resource mobilisation, Italy provides expertise on tax crime and debt management but little financing
			Beyond its substantial support for private sector vaccine development, Italy’s private sector mobilisation is still small scale
		References
	4.  Italy’s structure and systems
		Authority, mandate and co-ordination
			The new law sets out long-awaited reforms
			Intra- and inter-ministerial co-ordination could be stronger
		Systems
			Adapting to the reform has taken time
			Managing EU delegated co-operation is a fine balancing act
			Italy’s anti-corruption plan is not well-known outside Rome
		Capabilities throughout the system
			Highly centralised procedures require more support in headquarters
			Delivery of Italy’s development programme requires a strong and skilled workforce in Rome
		References
		Notes
	5.  Italy’s delivery modalities and partnerships
		Partnering
			Multi-stakeholder partnerships are strong and EU joint programming is the default
			A broader representation of civil society delivers mainly in priority countries
			The private sector is now a formal actor in Italian development co-operation
			Italian local authorities are still active in development co-operation, but less so than before
			Partnerships would benefit from more strategic, flexible funding modalities
			Medium-term predictability and delayed implementation is a challenge for Italy
			Italy has improved aid transparency and accountability
		Country-level engagement
			Country ownership is at the heart of Italy’s country programming
			Greater sector-based approaches would boost Italy’s programme-based aid
			The development effectiveness marker is used for project design, but not implementation
		References
		Notes
	6.  Italy’s results, evaluation and learning
		Management for development results
			The reform law commits Italy to creating a results-based management system
			Italy is in the early stages of building a results-based management system
			Using the SDGs as an organising framework offers a good way forward
		Evaluation system
			Law 125/2014 defines evaluation functions and responsibilities in MFAIC and AICS
			An evaluation plan and operational guidelines ensure quality evaluations are used as management tools
			Joint evaluations are conducted, but could be further prioritised
		Institutional learning
			There is no knowledge management system in place to allow practitioners to exchange
		References
		Notes
	7.  Italy’s humanitarian assistance
		Strategic framework
			Italy takes a sequential, rather than holistic, approach to crises
			New guidelines on the humanitarian-development-peace nexus are being drafted
			Italy has identified some of its comparative advantages
			Italy has become the 11th largest humanitarian DAC donor
		Effective programme design
			Programming is becoming more structured and closer to the field
			Opportunities in localising aid
		Effective delivery, partnerships and instruments
			A solid set of rapid response tools and mechanisms are in place
			The multilateral system is increasingly preferred for humanitarian aid
		Organisation fit for purpose
			Field presence is one of Italy’s main assets
			Decentralisation requires clear rules and procedures
			Procedures for NGOs are to be updated
		Results, learning and accountability
			Knowledge management needs to be built in AICS
		References
		Notes
			Annex A. Progress since the 2014 DAC peer review recommendations
Annexes
	Annex A. Progress since the 2014 DAC peer review recommendations
	Annex B. OECD/DAC standard suite of tables
	Annex C. Field visit to Senegal
	Annex D. Organizational Charts