Development finance assessment

Aid Effectiveness
An aid effectiveness perception survey carried out in November 2016 showed considerable 
differences in the perceptions of Government and donors
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, especially regarding the degree 
of results-orientation and alignment of foreign aid, as well as the perceived quality of 
government-donor dialogue and the efficiency of the national aid coordination arrangements 
(UNDP, 2016). The effectiveness of foreign aid depends on the quality of institutions in the 
recipient country, and the way it is provided. Global monitoring mechanisms have been 
developed to assess aid effectiveness and to promote dialogue at country level on how to 
make aid more effective. For example, Uzbekistan is not a party to the Global Partnership for 
Effective Development Cooperation (GPEDC) and has not participated in any of the global 
aid effectiveness surveys. 
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Scaling up the Climate Adaptation and Mitigation Program for Aral Sea Basin (CAMP4ASB) by providing support 
to adaptation activities in Tajikistan and Uzbekistan.
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The GEFF programme operates through a network of more than 130 local financial institutions across 24 countries, 
supported by almost EUR 4.2 billion of EBRD finance. More than 129,000 investments have led to reduction of over 
7 million tonnes of CO
2
emissions per year.
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DAC members are investing increasingly in the environment and adapting to climate change. In 2017, a third of 
bilateral ODA from DAC members (USD 40.1 billion) supported the environment and a quarter (USD 30.7 billion) 
focused specifically on climate change.
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In general, Government agencies assess the existing aid effectiveness situation as being more positive than 
development partners do.

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DEVELOPMENT FINANCE ASSESSMENT FOR THE REPUBLIC OF UZBEKISTAN
Aid effectiveness would benefit from using more budget support modalities and 
strengthen effective donor coordination. However, Uzbekistan’s current public procurement 
and financial reporting practices don’t meet international standards. Therefore, most of 
development partner support is project aid
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, leading to increased transaction costs requiring 
more administration and coordination. 
Capacities for coordination among international development agencies working in Uzbekistan 
are limited and fragmented. Signs of this include duplication in donor projects, ineffective platforms 
for multi-stakeholder dialogue, weak and incomplete online aid information management system 
(AIMS) for donors. Weak capacity to communicate thematic results and organize development 
discourse, and a lack of an interagency strategy to improve aid effectiveness to achieve 
Uzbekistan’s development priorities, are further inhibiting coherent development results. The EU 
is committed to improve aid effectiveness and communication on thematic results through Joint 
Programming. The EU institutions aim to jointly plan their 2021-2027 development cooperation 
programme, including division of labor and common objectives. This formulation process will 
include the Uzbek Ministry of Investment and Foreign Trade, who took over the ownership of the 
donor coordination in 2019.