MPF BASICS

The MPF is one of the funding windows established under the Somalia Development and Reconstruction Facility (SDRF), the framework guiding implementation of the Somali Compact. Administered by the World Bank, the fund provides a platform for coordinated financing for sustainable reconstruction and development in Somalia with a focus on core state functions and socio-economic recovery.

Use of country systems

The mutual commitments defined in the Compact are at the heart of the MPF’s values as a development fund. They establish the basis for strengthening mutual accountability within Somalia and between Somalia and its international partners. One of the New Deal principles reflected in the Somali Compact is the commitment to build and use country systems. With a portfolio focus on “recipient-executed” projects (i.e. projects designed and delivered by Somali institutions), the MPF is a vehicle for building and using country systems, ensuring ownership and capacity internalization for sustainability.

Joint process of identification

MPF investment priorities are identified through a process of ongoing consultation and engagement with government and development partners. Individual projects, within these thematic focal areas, are developed with government counterparts in consultation with the PSG Working Groups and with the strategic direction and oversight of the SDRF Steering Committee.

Alignment with Compact priorities

The MPF’s objectives have been developed to target specific priorities of the Somali Compact focusing attention on areas of urgent need where the World Bank has a comparative advantage. The MPF focuses on Peacebuilding and Statebuilding Goals (PSGs) 4 and 5 – Economic Foundations and Revenue and Services, respectively – and the crosscutting priority of institutional capacity development. The four key areas of thematic focus include: i) core government functions, ii) infrastructure, iii) productive sectors and iv) natural resource management and resilience.

Fund Governance

The governance structure of the funding windows — including the MPF — is fully integrated within the SDRF governance architecture set out in the Compact. The SDRF is a three-tiered structure comprised of the High Level Partnership Forum (HLPF), a Steering Committee and Working Groups.

  • The HLPF is a platform for high-level policy dialogue and strategic coordination for implementation of the New Deal Compact.
  • The SDRF Steering Committee (SC) provides strategic oversight and guidance for Compact implementation. It also serves as the Steering Committee for the funding windows.
  • Working Groups (WGs) discuss issues pertaining to particular Peacebuilding and Statebuilding Goals (PSGs) and the cross-cutting goal of capacity development.

This architecture is supported by the SDRF Secretariat within the Aid Coordination Unit (ACU) of the FGS

Left to right: H.E. Abdullahi Jama, Minister of Justice (FGS); Phil Evans, Head of DfID Somalia and former co-Chair of the SDRF; H.E. Mohamed Omar Arteh, Deputy Prime Minister and Chair of the SDRF (acting Chair on behalf of the Prime Minister); Daria Fane, Head of Development Cooperation, EU; and H.E. Mohamed Adan Ibrahim, Minister of Finance (FGS) at the SDRF Steering Committee Meeting on 20 August 2015. [Photo credit: ACU]