press releases

United States, Zambia Sign MoU on Coordination and Harmonization of Donor Practices for Aid Effectiveness

Lusaka
July 13, 2006

The United States Government (USG) on Thursday, July 13, signed a Memorandum of Understanding with the Government of Zambia (GRZ) to join other partners in coordination and harmonization of donor practices to promote the use of common arrangements and increase aid efficiency. U.S. Ambassador to Zambia, Carmen Martinez, signed the pact at a ceremony in Lusaka. Building on its expanding partnership with the GRZ, the United States is committed to strengthening political decision-making by aligning development efforts to national policies, reforms and capacity building processes, and supporting the proposed framework to improve aid effectiveness.

Honorable Ng'andu Magande, Minister of Finance and National Planning, welcomed the U.S. commitment to harmonization and said, "Signing this MOU today significantly takes forward the benefits of our already warm relationship. For this reason I applaud the United States as it joins the rest of the cooperating partners in signing this memorandum and expect your immediate integration into its workings."

The United States Government recognizes that not all partners will be able to support every process, but accepts the proposed monitoring framework system as a guide to avoid duplication of efforts or conflict with government processes. The USG understands that the activities and procedures in the MOU are being considered for revision by signatory parties to ensure consistency with the 2005 Paris Declaration on Aid Effectiveness.

As the U.S. government moves forward with the common agreement, it is aware of the challenges that the GRZ faces in implementing this framework, such as a need to craft an aid strategy, improve the transparency of the budgetary process and improve reporting and management of funds. The United States would like to see political commitment from the GRZ to address these challenges. It will continue to maintain a two-way dialogue with the Zambian government and pursue a proactive engagement with other donors in various initiatives, which will emerge from the harmonization process.

The American people value the growing partnership with the government and the people of Zambia, and support the U.S. mission’s cooperation with other donors to enhance aid effectiveness, reduce poverty and achieve Millennium Development Goals.

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