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Udenrigsudvalget 2013-14
URU Alm.del Bilag 218
Offentligt

Strategy

for Denmark’s

Engagement with the United

Nations Development Programme

(UNDP)

2014-2018

May 2014

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This Strategy for

Denmark’s Engagement with the

United Nations Development Programme

(UNDP)

forms the basis for the Danish contributions to UNDP, and it is the central platform

for Denmark’s dialogue and partnership with

UNDP. Building on the former Danish bridge-

building strategy 2012-2014, it sets out Danish priorities for

UNDP’s

performance within the

overall framework established by

UNDP’s own Strategic Plan (2014-2017).

Denmark will work

closely with like-minded countries towards the achievement of these priorities. The Strategy will

run in parallel with UNDP’s Strategic Plan while being 6 months staggered to allow for the full

implementation and evaluation of the current strategic plan and the adoption of its successor.

The Strategy will thus run from July 2014 through June 2018.

The overall Strategy for Denmark’s Development Cooperation,

The Right to a Better Life,

states

that “Denmark

will strengthen its cooperation with the multilateral organisations and channel more funds

through the multilateral system to promote Danish development policy objectives.”

This is based on the

analysis that the multilateral organisations have important comparative advantages, especially

within setting norms and promoting universal human rights.

The Danish Multilateral Development

Cooperation Analysis

of 2013 outlines four focus areas for this strengthened cooperation: 1)

Effective promotion of Danish strategic priorities, 2) Contribution to the post-2015

development agenda, 3) Support to multilateral reforms that enhance results and development

impact and 4) At country level, encourage cooperation and strengthen complementarity

between multilateral and bilateral efforts. The present strategy will outline how this is taken

forward in the Danish cooperation with UNDP while applying a human rights-based approach

to development (HRBA) as described in the Right to a Better Life.

Five Priority Areas for Danish support to UNDP 2014-2018 are identified:

1) Supporting crisis prevention and early recovery

2) Promoting democratic governance as a way to uphold human rights for all

3) Developing integrated approaches to sustainable human development

4) Enhancing efficiency and effectiveness through reforms

5) Fighting corruption and managing risks

The two following sections will provide the background for these areas by giving an overview

of UNDP as an organisation and by analysing its strengths and challenges. Section 4 describes

the priorities under each area, while the tools to follow-up are covered in Section 5. A budget

for future Danish support is provided in Section 6, before the final section describes the most

important risks to UNDP’s delivery on

the Danish priorities.

1 Objective and priorities

2 UNDP’s

mandate, organisation and funding

UNDP is the largest UN development organisation and chair of the

UN Development Group

(UNDG).

UNDP has the most comprehensive mandate among all UN agencies, including a

unique and specific mandate on democratic governance and peacebuilding and state-building in

post-conflict settings. UNDP has the dual mandate of supporting countries in their individual

development challenges and a leadership role in ensuring a coherent and coordinated UN

development system at country level. This is consolidated in the

UNDP Strategic Plan for

2014-2017,

which states that UNDP will promote sustainable human development through

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three strategic areas of work: Sustainable Development Pathways; Inclusive and Effective

Democratic Governance and Resilience-building.

Working with 177

countries through a network

of 129 country offices and six Regional Service

Centres, UNDP maintains the most extensive

operational

platform

for

development

worldwide. UNDP is further mandated to

operationally underpin the functioning of the

broader UN system through providing services

that include human resources, IT systems etc. In

case no other agency is able to respond to

demands at country level, UNDP also has a

mandate as “provider of last resort” and will

deliver the requested support.

UNDP

Established

1965

New York

Country Offices

129

Human Resources 8,000, incl. 56 Danish

employees

Financial resources, Core: 895

USD mil. (2013)

Earmarked: 3,800

Executive Director Helen Clark (New

Zealand)

Executive Board

January/February;

(EB) Sessions

May/June; September

Denmark member 2007-2008; 2009-

of EB

2012; 2015; 2017

UNDP is funded entirely from voluntary

contributions provided by bilateral and

multilateral partners and programme countries,

which in 2013 totalled USD 4.7 billion. UNDP is, however, faced with a double funding

challenge. Firstly, total funding has declined since its peak in 2008 before the financial crisis.

Secondly, the share of core resources has fallen to 19 % in 2013, which risks undermining the

strategic priorities and fragmenting the work of UNDP and over time impacting its ability to

effectively undertake long-term planning and prioritisation.

2.1 Danish support to UNDP

UNDP is one of the largest partners in Danish development cooperation. In 2013, Denmark

was UNDP’s 10

largest donor (in terms of total contributions) and has since 2008 remained a

top-10

donor to UNDP’s core resources

(see Annex 3). Denmark contributed DKK 330

million in core funding to UNDP in 2013 as well as approx. USD 44.80 million in non-core or

earmarked funding (preliminary figures). The earmarked contributions are for bilateral country

programmes, thematic trust funds and strategic support such as the secondment of Danish

nationals. From 2008 to 2013, the five countries receiving the most of Danish earmarked

resources were Afghanistan (USD 48.45 million); Somalia (USD 18.75 million); Sudan (USD

14.8 million); Burkina Faso (USD 12.4 million); and Kenya (USD 10.57 million). Denmark has

also been a steady contributor to

UNDP’s

Crisis Prevention and Recovery Trust Fund, having

contributed USD 4.15 million in 2012 and at least USD 2.5 million annually since 2008. In

addition, Denmark has contributed to the Environment and Energy Thematic Trust Fund

(USD 7.71 million in 2011), and the Gender Thematic Trust Fund (USD 1.16 million since

2008).

UNDP operates through 129 Country Offices, which serve a total of 160 countries and territories. UNDP maintains 12

Project Support Offices (these are country offices that have been transformed into ‘Net Contributor Countries’ after

completion of their country programmes), eg: Bulgaria, Russia, Slovakia etc. UNDP also operates several Representation

Offices in donor capitals (eg: Copenhagen, Brussels, Washington DC, etc.)

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A total of approximately 180 UNDP staff members are located in the UN City in Copenhagen,

which hosts several UNDP headquarter functions, including global human resources, IT and

procurement services,

as well as UNDP’s Nordic Representation Office.

UNDP currently

employs 102 Danish nationals, of which 58 are international professional staff and 44 are

general service staff. By March 2014, 10 Danish multilateral advisors were seconded by

Denmark to UNDP.

3. Key strategic challenges and opportunities

3.1 Relevance to the international development and humanitarian context

In a world where development challenges are increasingly interlinked and where multi-

dimensional approaches to sustainable development are in demand, UNDP offers a

comprehensive approach to development based on its mandate across sectors. As chair of the

UNDG and manager of

the Resident Coordinator (RC) function

UNDP is also centrally placed

in the process of elaborating the

post-2015 development agenda

There has in recent years been increased focus on the link between peace, stability and

development, an area where UNDP is a key player due to its mandate and humanitarian global

cluster lead on early recovery. The report of

the High Level Panel on the post-2015

development agenda

thus

underlined “peace and good governance” as one of five

transformative shifts that needs to take place in the post-2015 period.

Furthermore, UNDP is well placed to promote development based on internationally agreed

norms and values, including a Human Rights-Based Approach (HRBA) to development as

stipulated in the

UN Common Understanding on HRBA

from 2003.

3.2 Synergy with Danish development and humanitarian priorities

UNDP’s

Strategic Plan provides a solid platform for

Denmark supports UNDP because…

synergy with Danish priorities as stated in The Right

to a Better Life. It states that all UNDP outcomes



It has a unique mandate on

democratic governance

will be pursued through a HRBA, and the notion of

inclusivity is underlined throughout the strategy



It has the ability to engage

directly in fragile states

which places particular emphasis on groups that are

experiencing the greatest marginalisation. UNDP



It connects the three dimensions

of sustainable development

provides specific advice on strengthening national

human rights systems and engaging with the human



It provides the backbone of the

rights machineries, including through support to the

UN development system

implementation of

Universal Periodic Review

recommendations at country level. To enable UN Country Teams to have access to the right

resources and analyses at times of impending crises, UNDP has furthermore launched the

‘Rights

Up Front’

Plan of Action.

Finally, UNDP has also developed a

Gender Equality

Strategy

that guides the organisation’s work in advocating for the rights of

women and girls.

UNDP also serves as co-chair of the

“UN

System Task Team on the Post-2015 UN Development Agenda” and as

Secretariat/technical support team for the

“Open

Working Group

on Sustainable Development Goals”

and the

“Intergovernmental

Committee of Experts on Sustainable Development Financing”.

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Denmark has for long

recognised UNDP’s comparative

advantage in supporting effective and

accountable governance systems and in promoting the rule of law. UNDP is the only UN

development agency with an explicit mandate and focus on governance. UNDP’s

relationship with national governments provides easy access to key government institutions but

also places UNDP in a situation where the balance between being a trusted partner and

professional policy advisor continuously has to be kept in mind.

The strong focus on crisis prevention and recovery (CPR) through an integrated approach

across all outcomes

in UNDP’s Strategic Plan aligns well with

Denmark’s Policy towards

Fragile States (2010

–

2015)

as well as the principles in

Denmark’s Integrated Stabilisation

Engagement.

At the global level, UNDP will focus on policy work and dissemination of best

practices, while focus at the field level will be on efforts in support of national partners

activities related to conflict prevention, early recovery and disaster risk reduction which will

help bridge the gap from transition to long-term development interventions. Rapid response

through the dispatchment of relevant experts such as

“Peace

and Development Advisors”

collaboration with the UN Department of Political Affairs within hours of outbreak of civil

conflict or a disaster is a target.

In line with Danish priorities, UNDP also promotes

“sustainable human development” which

combines the concept of multidimensional human development as set out in the

Human

Development Reports,

with the idea of

sustainability. UNDP’s extensive

country presence

underpins the organisation’s important role to leverage the

economic, social and environmental

dimensions of sustainable development at field level, and UNDP has seen increasing demands

for its policy options for these integrated approaches, e.g. through its joint Poverty-

Environment Initiative with the UN Environment Programme (UNEP) that provides

assistance in mainstreaming poverty-environment linkages on issues like access to energy into

national development policies.

3.3 Synergies with Danish bilateral development cooperation

Danish bilateral embassies cooperate with UNDP within areas such as judicial reform, capacity

building of parliaments, support to human rights institutions and to elections processes.

Likewise, there are synergies with Denmark’s support to regional and protracted

crisis in

priority countries such as Afghanistan, South Sudan, and Somalia, as well as the regions of the

Sahel and the Horn of Africa, where Danish bilateral presence is either limited or non-existing.

Furthermore, UNDP plays a significant role as implementing agency to several vertical funds

that draw on UNDP’s wide-ranging

presence at country level, including the

Global

Environment Facility

(GEF) and the

Global Fund to Fight AIDS, Tuberculosis and Malaria

(GFTAM).

3.4 Performance and results

In the Danish Multilateral Development Cooperation Analysis of 2013 UNDP was found to be

among the most effective organisations and was also rated high in terms of relevance to Danish

policy priorities. UNDP was considered best practice regarding poverty reduction and among

the most important organisations at country level, although with great variation between

different countries. Serious concerns were raised, though, in relation to the broad nature of

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UNDP undertakings and the need to focus on areas of comparative advantage and ensuring a

stronger link between corporate and country level priorities. Furthermore, it was highlighted

that the cooperation between UNDP and the World Bank in post-conflict settings could be

strengthened.

The

British Multilateral Aid Review (MAR) of 2011

rated UNDP positively as good value for

money, while the follow-up

MAR Update of 2013

ranked the organisation at a low level in

terms of progress on reform priorities. Some of the issues raised in the latter report were the

need for stronger evidence of improvements in developing countries; improvements in

administrative efficiency, the quality of staffing, particularly in fragile states, results reporting

capacity; and the delivery of a more explicit approach to cost control and effectiveness.

In 2012, UNDP’s organisational

effectiveness was assessed by

MOPAN

(Multilateral

Organizations Performance Assessment Network). Overall the assessment was positive,

including on UNDP’s coordination role within the UN system. Some recurring issues were

pointed at, including: bureaucracy and administrative inefficiencies as a key area for

improvement; lack of translation of commitment to management for results into perceived or

documented changes; challenge of developing robust results frameworks while remaining

responsive to country priorities and demands, and need for further attention to reporting on

results achieved.

In terms of performance at country level, Danish bilateral embassies recognise the important

role for UNDP as the manager of the UN coordination function and with a strong capacity for

providing technical expertise and knowledge. There are signs that the Strategic Plan 2014

–

2017 has moved the agency towards more focused interventions, but the challenging funding

situation continues to divert UNDP’s attention towards mobilising funds instead of tuning in

on policy and technical discussions with national and development partners which is considered

UNDP’s comparative advantage.

Furthermore, it is noted that UNDP in some context could

improve its coordination with other partners outside the UN family, including bilateral donors

and civil society.

UNDP’s annual reporting shows that progress have been made on most of the outcome

indicators at country level. In areas such as

“natural

resource management” and

“energy

and

environmental services” in average 90 % of the 2013 targets had been reached by the end of

2012, while the same number was only 73 % and 77 % for

“disaster

risk reduction” and

“participatory

democracy” respectively. From the analysis of these numbers, UNDP recognises

that their comparative advantages are best pursued through programmatic, integrated

interventions deliberately designed to inform policy. To improve the documentation of this,

corporate results reporting need to be further strengthened to better reflect the link between

UNDP activities and the higher level results. UNDP has made efforts to improve this in

designing its Integrated Results and Resources Framework 2014-2017 (see Section 5.1)

In general, UNDP recognises that there is room for improvement in the areas of managing for

results, tackling bureaucracy and in addressing administrative inefficiencies. A structural reform

process is currently under way at the global and regional levels to ensure that UNDP is staffed

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and positioned to provide support and oversight services to its country offices in order to

promote the delivery of results at country level. Overall staffing numbers at the headquarter

(HQ) and regional levels will be reduced by approximately 10 %. However, the requirement to

move services to the regional level will impact on more staff and the overall reduction in

UNDP’s footprint at the HQ-level

will be closer to 30 %. In addition, UNDP has introduced

expenditure control mechanisms to contain and further reduce expenditures. UNDP also

continues to develop its Annual Business Plans (ABP), which aim to improve

the organisation’s

overall management for results i.a. by providing a comprehensive overview of the total

corporate level of resources. In terms of securing a more focused organisation, progress has

been made in the Strategic Plan 2014-2017. While the plan covers a range of development

challenges the number of priority outcomes has been reduced to 7, down from 25 in the

previous strategic plan. Efforts have also been made to reduce the number of country level

projects and outcomes to focus more on core strengths. Adding to this, the UNDP

Administrator has indicated that management will encourage a more restrictive application of

the “provider of last resort”

mandate.

4 Priority Areas and intended results of Danish support (2014-2018)

Based on the analysis above, Denmark will over

Denmark will expect UNDP to…

the coming four year period focus its cooperation



Support conflict prevention and

with UNDP on the five Priority Areas detailed

early recovery

below. While Denmark stays fully committed to



Promote democratic governance as a

the Strategic Plan of UNDP as a whole, the

way to uphold human rights for all

Priority Areas are selected to highlight the most



Develop integrated approaches to

important agendas from a Danish perspective.

sustainable human development

They all fall within the comparative advantages of



Enhance efficiency and effectiveness

UNDP and Danish development priorities. With a

through reforms

particular focus on these and with the Danish



Fight corruption and manage risks

human rights-based approach to development as

the underlying frame of reference, Denmark will

hold

UNDP accountable for delivering on its stated commitments through the organisation’s

own reporting and monitoring mechanisms, not least the Integrated Resource and Results

Framework (IRRF). At the same time, Denmark will advocate for the further strengthening and

prioritisation of the below areas in the consultations with UNDP (see Section 5).

Priority area 1: Supporting conflict prevention and early recovery

UNDP’s work in crisis situations falls within two overall areas –

natural disasters and conflicts.

The latter of these will be the main priority for Denmark, who will focus on UNDP’s assistance

to preserve and advance human development by strengthening national and local capacities to

prevent, mitigate and recover from the effects of violent conflicts. Conflict prevention is part

of outcome 5 of the UNDP Strategic Plan with an emphasis on addressing poverty, inequalities

and exclusion, which often drives conflicts, through promoting justice, transparency, voice and

participation and building institutions that contribute to the peaceful resolution of conflicts like

well-functioning and accessible courts. Early recovery is mainly covered in outcome 6 of the

Strategic Plan, which entails that UNDP will respond rapidly to serious outbreak of conflicts.

UNDP’s role and value added in early recovery is to

ensure that long term development views

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are reflected and that transition from humanitarian interventions to development efforts is

strengthened in close collaboration with the World Bank, relevant UN departments, and

humanitarian organisations. A focus area for Denmark is to ensure gender sensitive crisis

interventions which UNDP pursues through its

Eight-Point

Agenda for Women’s

Empowerment and Gender Equality in Crisis Prevention and Recovery.

Priority area 2: Promoting democratic governance as a way to uphold human rights for

all

Developing countries are faced with a wide array of intersecting challenges that can only be

effectively addressed by safeguarding the rights of everyone to express their views and influence

policy. Denmark sees a central role for UNDP in supporting the systematic building of national

capacity to promote inclusive economic, social and political systems with particular attention to

the active engagement of women. These endeavours include technical advice on election

processes; legal reform; capacity building of parliaments, political parties and civil society; and

the rollout of systems to counter corruption and foster public awareness and oversight of

public spending.

Furthermore, Denmark will focus on UNDP’s assistance

to countries in

meeting international and regional Human Rights commitments through the development of

the capacities of National Human Rights Institutions. Finally, governance is also about the

capacity of institutions to lead the development process and deliver basic services throughout

society in a non-discriminatory manner.

Priority area 3: Developing integrated approaches to sustainable human development

Operating on a broad mandate at the heart of the UN Development System, Denmark sees

UNDP as uniquely placed to connect the various dimensions of sustainable development.

UNDP thus provides assistance to programme countries in designing and implementing

development pathways that can advance human development by tackling the connected issues

of poverty, inequality and exclusion while transforming productive capacities, avoiding the

irreversible depletion of social and natural capital and lowering risks arising from external

shocks. The overarching aim is to improve the resource endowments of the poor and enable

their prospects for employment and livelihoods. At the global level, Denmark will encourage

UNDP to actively support international processes such as the discussions on the post-2015

development agenda by providing analysis and data and building consensus through advocacy

around the future development framework.

Priority area 4: Enhancing efficiency and effectiveness through reforms

As described in Section 3.4 above, UNDP has with the adoption of the Strategic Plan started a

structural reform process. This is strongly supported by Denmark and should enable UNDP to

reduce costs and use its resources more efficiently to effectively deliver visible and measurable

support for programme countries in achieving their development goals. Greater efficiency and

effectiveness should also include strengthening result based management and focusing efforts

on areas of comparative advantages. Denmark will keep pushing UNDP towards more realistic

budgets and focused interventions and supports a more restrictive application of

the “provider

of last resort” mandate.

In addition, UNDP have stressed that it will prioritise innovation,

replication opportunities and lessons learned in programme development, management and

review so that results achieved with assistance from UNDP can be sustained over the long

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term. Denmark will provide special support to innovation activities in UNDP as described in

Section 6 below. UNDP also plays a key role in promoting UN system wide coherence, which

will be pursued through more strategic UN Development Assistance Frameworks,

implementation of the “Delivering

as One Standard Operating Procedures”

at the country

level and strengthening of the RC-system

–

all efforts that are strongly supported by Denmark.

Priority area 5: Fighting corruption and managing risks

UNDP’s ‘Anti-Fraud Policy’ commits the organisation to prevent, identify and address all acts

of fraud against UNDP through raising awareness of fraud risks, implementing controls aimed

at preventing fraud, and establishing and maintaining procedures applicable to the detection of

fraud. The organisation also strives to practice good “risk management” in accordance with its

Enterprise Risk Management Framework. This will be done through equipping offices with the

necessary guidance for identifying and assessing risks; mainstreaming risk management as an

integral part of result-based planning; and increasing risk awareness among staff members and

stakeholders. UNDP should also continue to play an active role in fostering joint UN

approaches to risk management, including in the establishment and strengthening of Risk

Management Units, which constitute a shared resource among UN agencies, tasked with

analysing risks, vetting implementing partners, and supporting the design of mitigation

measures.

5 Follow-up on Danish priorities

On the basis of the priorities specified above,

Denmark will over the strategy period continue

Denmark will follow-up

by…

to pursue an open and constructive dialogue with



Monitoring Danish priorities based

UNDP. An important forum for this will be the

on UNDP’s results framework

Annual Consultations between Denmark and



Conducting annual consultations

UNDP at ministerial or ambassadorial level.



Actively participating in the Board

These consultations will be used to follow-up on



Engaging with UNDP at HQ,

the cooperation over the past year and discuss

regional and country level

the way ahead. Another avenue is the

UNDP



Undertaking a midterm review of

Executive Board,

where Denmark engages

the present strategy

actively, even in years when it is not a formal

member. In addition, Denmark will continue to

cooperate closely with the Nordic and other like-minded countries regarding UNDP issues

including through regular coordination meetings prior to important discussions and decision

making.

The engagement with UNDP also extends to the regional and country level. UNDP’s

presence in Copenhagen serves as an important platform for cooperation, and Danish bilateral

representations will engage with UNDP offices in the field on issues of joint interest.

Denmark will monitor the progress made within the Danish priorities on the basis of the

monitoring framework included in Annex 4

which is aligned to

UNDP’s own results

Guidelines for UN Country Teams

to “Deliver as One” with a clear focus on

simplification and streamlining of processes

and instruments and acceleration of business practices reform.

UNDP’s Integrated Results and Resources Framework will be updated and adjusted continuously to reflect the latest

available information. The Danish monitoring framework will be adjusted accordingly.

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monitoring described below. Reporting will be done in accordance with the

“Guidelines

for

Management of Danish Multilateral Development Cooperation”

by the Danish UN Mission in

collaboration with relevant entities at capital

and at country level. It will draw on UNDP’s

Annual Report, as well as UNDP’s own Mid-Term

Review of the Strategic Plan (scheduled for

2015-2016). Based on this, Denmark will undertake a separate mid-term review of the present

strategy.

5.1 Monitoring and Evaluation (M&E) in UNDP

The UNDP

“Integrated

Results and Resources Framework”

(IRRF) (Annex 2) translates the Strategic

Plan into results that allow UNDP and stakeholders to monitor achievements, learn lessons,

and hold the organisation accountable for the funds entrusted to it. Results in the IRRF are

divided into three levels with corresponding indicators. The

overall aim of UNDP’s efforts is to

contribute to the impact

of “eradication

of poverty and a significant reduction of inequality and

exclusion”.

UNDP will pursue this through

the achievement of the seven outcomes in the

Strategic Plan. The concrete deliverables of UNDP to this end are specified in several outputs

connected to each outcome. Accompanying the IRRF are “theory of change” documents that

describes UNDP’s contribution

to each outcome area. Guidance has been provided to country

offices in formulating Country Programme Documents (CPDs) that are compliant with the

design parameters of the Strategic Plan. UNDP is also working to strengthen results

frameworks within CPDs and to integrate stronger country level monitoring to ensure that the

IRRF stays grounded at the country level, as recommended by independent evaluations.

The evaluation arm of UNDP operations is the Office of Evaluation (EO) which is an

independent office responsible for global strategic and thematic evaluations, as well as regional

and country programme evaluations. The EO steers the governance and accountability

functions of UNDP’s evaluation efforts, conducts independent evaluations

and sets standards

to ensure the quality hereof. Furthermore, the EO supports the harmonisation of the

evaluation function across the UN system and hosts and supports the secretariat of the UN

Evaluation Group. The EO has in general been commended for its work and it is continuously

striving to improve the quality of data production and analysis using modern techniques to

strengthen the reliability and validity of qualitative derived findings. Furthermore, an

international advisory panel for quality assurance has been established to ensure that the work

of the EO is internationally and professionally referenced, thus furthering the credibility of

evaluations and ensuring that key principles of independence, transparency, accountability and

learning are reinforced.

6 Preliminary Budget Overview

Budget (mil. DKK)

2014 2015* 2016* 2017*

Core funding

330

Innovation

TBD

Earmarked funding

TBD TBD

TBD

Total

345

330

* The numbers for 2015-2017 are preliminary and subject to parliamentary approval.

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As a supplement to the core budget contribution Denmark will, as a new initiative, contribute

to innovation in UNDP through an innovation facility of DKK 15 million yearly in 2014-2015.

The purpose is to fund key pioneering and innovative activities or approaches in headquarters

and/or in the field and with a special focus on the Danish Priority Areas.

7 Risks

For UNDP to deliver on Danish priorities it is assumed that it will experience a conducive

external environment and that the risks and challenges listed below will be mitigated.

Imbalance between core and ear-marked funding:

The ratio between core funding and

earmarked funding has become increasingly imbalanced during the past decade and is now

19 % to 81 %. The organisation and the Executive Board have responded by increasing cost

recovery rates from 7 to 8 % to better reflect the administrative costs related to activities

funded by earmarked contributions. In order to increase transparency, UNDP has also

elaborated integrated budgets that cover activities financed both from core and earmarked

funding. Nonetheless, UNDP might find it increasingly hard to implement its Strategic Plan

effectively and undertake its core operations, including its less visible support operations for the

UN development system at large. Effective fundraising through outreach to all Member States

and identification of new contributors will therefore be important.

Misuse of funds:

The Strategic Plan acknowledges the increasing risks in the environments

where UNDP operates due to insecurity and lack of capacity of national institutions to manage

and implement programmes. UNDP aims to promote “resilience” by building

national capacity

for managing risks. As mentioned under Priority Area 5, the organisation also works to

strengthen internal procedures for managing risks. This will be important along with the

effective application of the Anti-Fraud Policy in order to counter and follow-up on all

suspicions of misuse of funds.

Political impediments:

Successful support for democratic governance and human rights

efforts in any programme country rests on UNDP’s ability to become a trusted partner

to the

national government. In some countries the fine balance between being a trusted partner and a

professional and impartial operator can prove to be challenging, also due to the fact that the

UN Resident Coordinator has to be approved by the national government to reside in the

country. UNDP is aware of this challenge and seeks to address it by providing strategic support

to NGOs, local entities, parliaments, South-South modalities of knowledge sharing etc., and in

facilitating nationally-driven dialogues that allow local actors to take the lead in owning the

process. At the same time, UNDP will have to maintain a constructive dialogue with national

authorities, also on politically sensitive issues.

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Annex 1: UNDP Organisational Chart (As of February 2014)

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Annex 2: UNDP Strategic Plan 2014-2017 Integrated Results and Resources Framework

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Annex 3: UNDP Financing

Danish contributions to UNDP by type of funding 2008-2013

DK’s

Denmark’s

Regular

Other

Regular

Other

Year

resources

Resources

(DKK mil.)

(USD mil.)

Ranking

2008

350.00

23.54

2009

320.00

38.14

2010

320.00

49.62

2011

320.00

46.89

2012

320.00

27.47

2013

330.00

44.80

th*

Total

(USD

mio)

96.61

93.09

107.57

107.34

85.14

101.34

DK’s

Total

Ranking

Danish contributions to UNDP by type of funding 2003-2013 (USD million)

Core funding

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

Earmarked funding

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Total contributions to UNDP by type of funding 2003-2013 (USD billons)

Core funding

4,5

3,877

3,5

2,408

2,5

1,5

0,5

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

0,77

0,842

0,921

0,924

1,116

1,097

1,015

0,967

0,975

0,846

0,896

3,307

3,793

4,076

Earmarked funding

4,453

4,465

4,426

4,182

4,157

3,8

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Annex 4: Danish results framework

Priority area 1: Supporting conflict prevention and early recovery

Intended outcomes

Intended Results

Indicators

(Selected from the UNDP

IRRF)

Countries are able to reduce

the likelihood of conflict

(linked to SP Outcome 5)

Early recovery and rapid

return to sustainable human

development pathways are

achieved in post-conflict and

post-disaster settings (SP

Outcome 6)

(Selected from the UNDP

IRRF)

IRRF Output 5.6:

Mechanisms are enabled for

consensus

–building

around

contested priorities, and

address specific tensions,

through inclusive and

peaceful processes.

(Selected from the UNDP

IRRF)

IRRF Indicator 5.6.2:

Number of mechanisms for

mediation and consensus

building that have the

capacities to perform core

function

(IRRF Indicator 5.1.3):

Number of conflict risk

assessments that are

informing development

planning and programming

in key development sectors

IRRF Indicator 3.4.1:

Number of people who

have access to justice in

post-crisis setting

(disaggregated by sex)

IRRF Output 3.4: Functions,

financing and capacity of rule

of law institutions enabled,

including to improve access

to justice and redress

IRRF Output 6.1: From the

humanitarian phase after

crisis, early economic

revitalization generates jobs

and other environmentally

sustainable livelihoods

opportunities for crisis

affected men and women

IRRF Indicator 6.1.1:

Number of women and

men benefitting from

emergency jobs and other

diversified livelihoods

opportunities within six to

eighteen months after a

crisis, disaggregated by

vulnerability groups

Priority area 2: Promoting democratic governance as a way to uphold human rights

for all

Intended outcomes

Intended Results

Indicators

(Selected from the UNDP

IRRF)

(Selected from the UNDP

IRRF)

(Selected from the UNDP

IRRF)

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Citizen expectations for

voice, development, the rule

of law and accountability are

met by stronger systems of

democratic governance (SP

Outcome 2)

Countries have strengthened

institutions to progressively

deliver universal access to

basic services (SP Outcome

IRRF Output 2.1:

Parliaments, constitution

making bodies and electoral

institutions enabled to

perform core functions for

improved accountability,

participation and

representation, including for

peaceful transitions

IRRF Indicator 2.1.1:

Number of Parliaments,

constitution making bodies

and electoral institutions

which meet minimum

benchmarks (to be defined)

to perform core functions

effectively

IRRF Indicator 2.1.2:

Proportion of eligible voters

who are registered to vote,

disaggregated by sex, age,

and excluded groups

IRRF Output 2.2:

IRRF Indicator 2.4.2:

Institutions and systems

Number of civil society

enabled to address awareness, organizations/networks

prevention and enforcement with mechanisms for

of anti-corruption measures

ensuring transparency,

across sectors and

representation and

stakeholders

accountability

IRRF Output 2.3: Capacities IRRF Indicator 2.3.1:

of human rights institutions

Number of countries with

strengthened

operational institutions

supporting the fulfillment of

nationally and

internationally ratified

human rights obligations

IRRF Output 2.6:

IRRF Indicator 2.6.1:

Legal reform enabled to fight Number of countries where

discrimination (legal

proposals for legal reform

empowerment of the poor)

to fight discrimination have

been adopted (e.g. people

affected by HIV, PLWD,

women, minorities and

migrants)

IRRF Output 3.1:

IRRF Indicator 3.1.1:

Core functions of

Number of countries with

government enabled (in post restored or strengthened

conflict situations) to ensure core government functions

national ownership of

(to be defined)

recovery and development

processes

Priority area 3: Developing integrated approaches to sustainable human development

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Intended outcomes

(Selected from the UNDP

IRRF)

Growth and development are

inclusive and sustainable,

incorporating productive

capacities that create

employment and livelihoods

for the poor and excluded (SP

Outcome 1)

Intended Results

(Selected from the UNDP

IRRF)

IRRF Output 7.3: National

development plans to address

poverty and inequality are

sustainable and risk resilient

Indicators

(Selected from the UNDP

IRRF)

Indicator 7.3.2:

Number of countries with

evidence of policies,

regulations and standards

being implemented at

national and sub-national

levels in response to the

agreed post-2015 agenda.

Development debates and

IRRF Output 1.1: National

Indicator 1.1.4:

actions at all levels prioritize

and sub-national systems and Number of countries in

poverty, inequality and

institutions enabled to

which public and private

exclusion, consistent with our achieve structural

development investments

engagement principles (SP

transformation of productive are informed by cross-

Outcome 7)

capacities that are sustainable sector assessment to

and employment- and

maximize social,

livelihoods-intensive

environmental and

economic benefits over the

medium to long term

IRRF Output 4.5: Measures

Indicator 4.5.2:

in place to increase

women’s

Number of countries with

access to environmental

targeted measures delivering

goods and services (including increased access for women

climate finance)

to environmental goods and

services.

IRRF Output 7.7:

Indicator 7.7.1: Evidence

Mechanisms in place to

(e.g. number of citations,

generate and share

downloads and site visits) of

knowledge about

Human Development

development solutions

Reports contributing to

development debate and

action.

Priority area 4: Enhancing efficiency and effectiveness through reforms

Intended objective

Intended Results

Indicators

(Selected from the UNDP

IRRF)

(Selected from the UNDP

IRRF)

(Selected from the UNDP

IRRF)

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Improved accountability of

results (Objective 8 linked to

IRRF

‘Development

Effectiveness’)

IRRF Cost Classification:

Development Effectiveness

–

“Improved Accountability of

Results”:

Programme effectiveness

Leadership and corporate

enhanced for achieving

direction (Objective 9 linked results through quality criteria

to IRRF ‘Management

and quality assurance

Results’)

processes

IRRF Cost Classification:

Corporate external relations

Management Functional

and partnerships,

Clusters

– “Corporate

communications and resource

Oversight and Assurance”:

mobilization (Objective 12

Management action on

linked to IRRF ‘Management

evaluation and audit findings

Results’)

taken to improve efficiency

and effectiveness

UN development system

IRRF Cost Classification:

leadership and coordination

Management Functional

(Objective 13 linked to IRRF Clusters

– “Leadership and

‘UN Development System

Corporate Direction”:

Coordination’)

UNDP leaders foster a

working environment in

which staff are engaged,

leading to improved

performance

IRRF Cost Classification:

Management Functional

Clusters

– “Corporate

Financial, Information &

Communication Technology

and Administrative

Management”:

UNDP is an efficient and

cost-conscious organization

IRRF Cost Classification:

Management Functional

Clusters

– “Corporate

External Relations and

Partnerships,

Communications and

Resource Mobilization”:

UNDP recognized as a

development partner of

IRRF Organizational

Effectiveness and Efficiency

Indicator 1: Percentage of

country programme

outcomes reported as on

track or achieved

IRRF Organizational

Effectiveness and Efficiency

Indicator 19:

Implementation rate of

agreed actions in evaluation

management responses

IRRF Organizational

Effectiveness and Efficiency

Indicator 22: Percentage of

project outputs that are

aligned to corporate

outcomes

IRRF Organizational

Effectiveness and Efficiency

Indicator 25:

Percentage of total UNDP

expenditure on management

activities spent on travel

costs.

IRRF Organizational

Effectiveness and Efficiency

Indicator 35: Size and trend

in funding from

government and non-

government partners

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choice by its partners

IRRF Cost Classification:

Coordination

– “UN

Development System

Leadership and

Coordination”:

Greater progress on

coordination, leadership and

management of the Resident

Coordinator System

IRRF Organizational

Effectiveness and Efficiency

Indicator 43: Percentage of

UNDP partners satisfied

with UNDP leadership of

the Resident Coordinator

System

IRRF Organisational

Effectiveness and Efficiency

Indicator 46: Number of

country offices that are

applying the Standard

Operating Procedures, or

components of it.

Indicator 7.6.2:

Number of pilot and

demonstration projects

initiated or scaled up by

national partners (e.g.

expanded, replicated,

adapted or sustained).

Indicators

IRRF Output 7.6:

Innovations enabled for

development solutions,

partnerships and other

collaborative arrangements

Priority area 5: Fighting corruption and managing risks

Intended objective

Intended Results

(Selected from the UNDP

IRRF)

Corporate oversight and

assurance (internal audit,

investigations and corporate

evaluations) (Objective 14

linked to IRRF ‘Management

Results’)

Field/country office

Organizational, financial, and

oversight, management and

operational accountability,

operations support (Objective effectiveness of internal

(Linked to UNDP policies) (Drawn from the UNDP

Integrated Work Plan and

Executive Board

Commitments)

Tools and mechanisms to

(IWP):

identify, assess and mitigate

Risk management tools are

risks are established and

incorporated into UNDP’s

applied at all levels

Integrated Work Plan

(EB):

Continued public

disclosure and reporting to

the Executive Board of the

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15 linked to IRRF

‘Management Results’)

controls, prevention,

detection and investigation of

fraud and malpractice, and

the promotion of

organizational integrity are

ensured in accordance with

UNDP’s anti-fraud

policy

annual report on internal

audit and investigations

prepared by the Office of

Audit and Investigations

(EB):

Continued public

disclosure and reporting to

the Executive Board of the

annual “Financial Report

and Audited Financial

Statements and Report of

the Board of Auditors”