Summary of second side event ahead of FfD4
10 Jan. 2025
In December 2024, the UNCAC Coalition, alongside a group of anti-corruption organizations and the Government of Switzerland, hosted the second side event in preparation for the 4th International Conference on Financing for Development (FfD4), scheduled for this year. The event, titled “Building a North-South Consensus on New Approaches to Safeguarding Development Financing from Corruption,” took place on December 4 at the United Nations Headquarters in New York, in a hybrid format.
Convened by the Africa Network for Environment and Economic Justice (ANEEJ) and the UNCAC Coalition, in partnership with the Government of Switzerland, Open Contracting Partnership, and Transparency International, the event brought together approximately 30 government and civil society representatives, both in person and online. The discussions focused on strategies to enhance anti-corruption measures and promote transparency in development financing.
The event served two primary purposes:
- To highlight the contributions of civil society organizations in safeguarding development financing in areas such as public procurement, debt transparency, asset recovery, and corruption prevention.
- To exchange ideas on how the FfD4 Conference could scale successful solutions to promote integrity in lending, public spending, and asset restitution.
Civil society’s role to rebuild trust in development financing
In her opening remarks, Nicole Ruder, Assistant Director General of the Swiss Agency for Development and Cooperation (SDC) and Head of the Multilateral Affairs and NGO Division, emphasized the critical role of trust in combating corruption. She highlighted the opportunity presented by the FfD4 Conference to strengthen anti-corruption efforts in the development financing agenda, particularly by scaling up good practices in asset recovery. Drawing on examples like the return of assets from Switzerland to Nigeria (the Abacha case) and Uzbekistan, Ruder underscored the pivotal role of civil society in ensuring these funds are used to achieve social development goals. She called for systematic civil society involvement and encouraged to explore innovative mechanisms for asset restitution.
Mauricio Reza Bautista, Delegate for the 3rd Committee at the Permanent Mission of Mexico to the UN and lead on crime prevention issues, reaffirmed Mexico’s commitment to tackling corruption through comprehensive implementation of tools such as the United Nations Convention against Corruption (UNCAC) and the Financial Action Task Force (FATF) recommendations. He noted that the FfD4 Elements Paper offers valuable opportunities to further embed anti-corruption measures into the Financing for Development framework.
Scaling up solutions to promote transparency and safeguard development funds
The panel discussion, moderated by Corinna Gilfillan of the UNCAC Coalition, featured experts including David Ugolor (ANEEJ), Kristen Robinson (Open Contracting Partnership), Jason Braganza (AFRODAD), and Karin Adams (Transparency International). Key questions addressed during the discussion included:
- How can civil society organizations promote transparency and safeguard development funds?
- What areas require enhanced anti-corruption measures, transparency, and civil society involvement?
- What key reforms and priorities should the FfD4 Conference address?
David Ugolor (ANEEJ) emphasized the importance of civil society in asset recovery processes, citing the MANTRA project in Nigeria. The project deployed over 500 monitors across civil society organizations to oversee the restitution of Swiss assets and identify transparency challenges. Ugolor called for frameworks that ensure recovered assets are used for public goods and sustainable development and proposed exploring a multilateral fund for this purpose. He also stressed the need for governments to systematically include civil society in the implementation and monitoring of anti-corruption agreements like the UNCAC.
Kristen Robinson (Open Contracting Partnership) highlighted the transformative potential of public procurement, which accounts for a significant portion of global spending. She advocated for leveraging procurement systems, not only to prevent corruption but also to achieve broader social objectives, such as supporting small businesses and enhancing healthcare. She called on international financial institutions to integrate open procurement principles into their operations and urged the FfD4 Conference to prioritize open data to empower communities and foster transparency.
Jason Braganza (AFRODAD) discussed challenges in debt transparency, emphasizing the role of creditors in addressing these issues. He proposed establishing a global debt registry, following the example of beneficial ownership registers, to standardize debt data reporting and enhance accountability. Braganza also called for leveraging existing agreements, such as the UNCAC, to ensure greater accountability in debt management.
Karin Adams (Transparency International) stressed that corruption undermines all aspects of the financing for development agenda, reducing resources and eroding trust. She advocated for a comprehensive approach to public financial management, including stronger mechanisms to supervise enablers of corruption and fostering an enabling environment for civil society. She also called for strengthening asset recovery frameworks through enhanced cross-border collaboration and information sharing, as well as establishing a global debt registry to address transparency gaps in debt management.
Looking ahead: Actionable Strengthening anti-corruption in development financing
The event underscored the critical role of civil society in enhancing transparency, integrity, and bringing trust to development financing. The FfD4 Conference represents a pivotal opportunity to embed stronger anti-corruption measures into the global Financing for Development framework and to scale solutions. Panelists emphasized the need to adopt actionable commitments and to anchor new measures in agreed universal frameworks like the UNCAC.