Strengthening Development Dialogue and Aid Effectiveness in Ethiopia

This project supports the implementation of Ethiopia’s 10-Year Perspective Development Plan and 3-Year Development Strategy by strengthening aid effectiveness and fostering constructive policy dialogue between the Government of Ethiopia (GoE) and the Development Partners Group (DPG). Initially launched in 2001 to support the formulation of the first Poverty Reduction Strategy Paper, the initiative is now in its sixth phase.
Through the DPG Pooled Fund mechanism, development partners align their support to national priorities and the Sustainable Development Goals (SDGs), while promoting harmonised action, mutual accountability, and greater impact. The project facilitates coordinated programming and effective engagement between over 40 bilateral and multilateral partners—ranging from DAC and non-DAC donors to emerging actors such as China—within Ethiopia’s complex development cooperation landscape.
Objectives
The project aims to enhance the effectiveness, predictability, and coordination of development assistance in Ethiopia by strengthening collaboration between the GoE and the DPG. It promotes alignment with national priorities and supports a more coherent and results-driven aid architecture.
Specifically, the project contributes to:
- Informed decision-making through structured, inclusive, and evidence-based policy dialogue.
- Effective implementation via improved alignment and coordination between the GoE, DPG, and Sector Working Groups (SWGs).
- Robust monitoring and evaluation by promoting transparency, mutual accountability, and results-oriented approaches at both national and sub-national levels.
Project Activities
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Organise High–Level Government-Development Partners Policy Dialogue and follow up on commonly agreed priorities and Action points;
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Organise DPG Executive Committee, Heads of Agency Meetings;
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Provide training for all line Ministries and technical support on demand bases on pilot Monitoring and Evaluation (M&E) system and capacity reform based on recent M&E system capacity needs assessment of federal sectoral ministries;
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Organise DPG meetings Government of Ethiopia/Development Partners dialogue – MoF and HoA bi-monthly
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Implement recommendations of the scoping study on the Aid Information Management System
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Organise new and refreshment training on Aid Information Management data entry for Development Partners and Ministry of Finance staff
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Prepare Official Development Assistant Statistical Bulletin – Graphics design and publication of ODA statistical bulletin.
Expected Results
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High-Level Forums – The high-level forums take place twice a year. It is organised by the MoF with support from the DPG Secretariat.
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High-Level Ad hoc Meetings between the Deputy Prime Minister and DPG Advisory Committee members to reinforce collaboration and high-level discussions on key priorities in emergency situation;
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MoF/HoA every other month meetings – This is co-chaired by the MoF and DPG Co-chairs. Heads of Agency only meetings, MoF/DPG co-chairs monthly meetings, the DPG Advisory committee, composed of ten DPG Heads of Agency and Sector/Technical working group’s discussions.