AFRODAD Expresses Concern on the use of Private Sector Instruments in the Disbursement of Official Development Assistance

AFRODAD expresses concern on the use of private sector instruments in the disbursement of official development assistance (ODA). At least USD 3.2 billion of net ODA flows were channeled through private sector instruments (PSIs). This is a continuing trend whereby donor countries leverage on ODA to catalyze private sector growth. This is being done in the absence of robust frameworks to ensure transparency and accountability and the safeguarding positive development impact from the profit-oriented motives of the private sector. The use of PSIs in development interventions risks undermining the critical role played by ODA in enhancing capacities in African countries’ development practices and tackling development challenges. Sectors such as social protection with specific emphasis on education, health and services availability including vaccinations are critically important as only 10 countries have administered 75% of all Covid-19 vaccines available. whilst the poorest countries, particularly those in Africa will be last in line when it comes to mass vaccination. Because of this anomaly, we raise alarm against vaccine hoarding and nationalism by the global North. Read the full Press Release here.