"Study on the Reform of China's Comprehensive Foreign Aid Administration" Released

2018-02-06

On January 30, 2018, Institutes of Science and Development (ISD) of Chinese Academy of Science (CAS) released a report entitled "Study on the Reform of China's Comprehensive Foreign Aid Administration". ISD is a research partner with NRDC’s Green Belt and Road Research Project. 

The report points out that China, as the world’s largest developing country, is becoming increasingly interdependent. The Chinese government has formulated a strategic plan for participating in international planning and building a new, increasingly open economic system. The Belt and Road Initiative not only shows that China will participate more extensively in economic globalization, but also clearly conveys China’s goals for harmonious governance and for building the international community. As a developing country, China must learn from international experience to improve its foreign aid management system and to enhance the effectiveness of its foreign aid. 

Foreign aid requires broad participation from government departments responsible for diplomacy, commercial activity, publicity, and development. At present, neither the Ministry of Foreign Affairs nor the Ministry of Commerce can fully assume this responsibility. The report proposes establishing a comprehensive “International Development Agency” that can coordinate multiple government functions to support this mission. The report recommends that the main responsibilities of the International Development Cooperation Agency include: formulating strategies and policies for foreign aid in accordance with national political and economic strategic needs, supporting national strategies, coordinating with the relevant ministries, improving governance systems, and capacity building. Additionally it would be responsible for improving the sustainable development of recipient countries through wide consultation, joint contribution and shared benefits. 

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