TNAG-1763-FCO40-2517-Hong-Kong-Emergency-Relief-Fund-(Amendment)-Ordinance-1988-(-1988 — Page 45

The Aid Framework

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1.

The Aid Framework is the ODA's principal tool for the forward planning and management of aid funds. This note briefly sets out the main stages of the process.

2. The Aid Framework cycle has three main components:

(1)

an Aid Expenditure Strategy Paper;

(2)

the preparation of the detailed Aid Framework allocations

for the three forward years (ie 1989/90 to 1991/92, the

allocations for 1988/89 with which we enter that year

having now been agreed)

(3)

the allocation of the Unallocated Reserve for the first

forward year.

The Annex provides an indicative timetable for each of these three

stages.

Aid Expenditure Strategy Paper

It

3. The Aid Expenditure Strategy Paper provides the basis for FCO

Ministers to agree certain strategic decisions which would guide

officials in the detailed formulation of Aid Framework proposals.

sets out the level of resources expected to be available for aid

spending over the Aid Framework period and the likely balance of spending between multilateral and bilateral aid given our existing commitments, identifying the scope still remaining for Ministers to

influence that balance. The paper seeks to identify the main

developmental, political and commercial considerations that should be taken into account in the forward planning of the aid programme.

4. The paper is prepared by APD and is considered first by officials in the joint DW/ODA Aid Policy Board and then by Ministers.

Ministers' conclusions form the policy framework within which the

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