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The 2013 Aid Transparency Index: MCC Tops The List, But Room For Improvement In U.S. Government

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See below for a guest post from Melissa Kaplan, advocacy manager for aid reform and effectiveness at InterAction. Kaplan writes about the findings from the 2013 Aid Transparency Index, which was released last week. This post originally appeared on InterAction’s website.

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Aid Transparency Index-MCCThe 2013 Aid Transparency Index released this month by Publish What You Fund had good news for the Millennium Challenge Corporation (MCC), but not as rosy news for other U.S. agencies.

The MCC—a U.S. foreign assistance agency fighting global poverty—tops this year’s Aid Transparency Index. The index evaluates dozens of aid donors from around the globe on their transparency efforts. MCC snagged the no. 1 spot with an overall rating of 89 percent (out of 100), putting it at the top of the relatively small category of donors rated “very good” on aid transparency. The GAVI Alliance, the UK Department for International Development, and the United Nations Development Program were the other groups that landed in this category.

The report praised the MCC’s progress on transparency, and congratulated the agency for publishing high-quality information in line with the International Aid Transparency Initiative (IATI), an initiative working to make information about spending on development easier to access, understand, and use. It also pointed out that all of the MCC’s current Compacts and Threshold Programs are published in IATI XML on MCC’s website, and the information on the Foreign Assistance Dashboard includes planning, obligation, and spending data.

“(MCC) is amongst the biggest improvers in the 2013 Index and is the first U.S. agency to enter the top three,” the report states.

Other U.S. agencies that handle foreign assistance did not fare quite as well in the index. USAID earned a “fair” score of 44 percent, coming in at number 22 out of 67 agencies, while the Department of Defense fell into the “poor” category, with a number 27 ranking and a score of 33 percent. The State Department ranked even worse than DOD with a number 40 ranking and a score of 22 percent. However, it is worth noting that these U.S. agencies have all improved from the 2012 Aid Transparency Index in their overall rankings on the list.

At an event co-hosted by the Brookings Institution and Oxfam launching the Aid Transparency Index Report, David Hall-Matthews, Managing Director of Publish What You Fund, noted that there is still plenty of room for improvement overall among aid donors in terms of transparency, given that the average agency score in the index was only 32.6 percent. He emphasized that it’s not just the quantity but also the quality of data being published that is important.

The broad indicators Publish What You Fund used in its 2013 report methodology were:

  • Commitment to aid transparency—10 percent weight: This measures the extent to which organizations have shown overall commitment to making their aid transparent.
  • Publication at organization level—25 percent weight: This category reflects the availability of general planning and financial information.
  • Publication at activity level—65 percent weight: This category captures the extent to which organizations make available aid information pertaining to specific in-country project activities.

Within these categories, there were 39 more specific indicators used to assess donors’ success, or lack thereof, in sharing data in a transparent manner. Agencies got higher scores for timely information available in an easily usable format (in other words, more credit was given for data published in IATI XML format than for Excel spreadsheets, which in turn get better marks than website or PDF formats).

The report makes three general recommendations:

  • All development actors need to publish more information to IATI. It should be published consistently, cover all relevant IATI fields, and include information beyond financial data.
  • Publishers need to improve their data quality to make it more useful. It needs to be timely, and conform to IATI standard so it can be compared between organizations.
  • Everyone can benefit from using IATI data.

For details, see information on the full Aid Transparency Index 2013 report.

MCC certainly deserves kudos for its excellent showing in this year’s index, and we hope its commendable commitment to transparency will continue. InterAction would also like to see other U.S. foreign assistance agencies take up the challenge to provide more transparent and useful data to the public. While more information being published to the Foreign Assistance Dashboard (particularly by USAID) in recent months is a welcome development, we would still like to see this data be made available in as accessible and user friendly a format as possible. We hope that the 2013 Aid Transparency Report will encourage the administration to keep aid transparency as a priority with an eye on making USAID and the Department of Defense the most improved agencies in the world in next year’s Aid Transparency Index.

 

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