SDC –OECD DCD Partnership on Illicit Financial Flows 2018-2021 (single phase)


lllicit Financial Flows (IFF) constitute a fundamental obstacle to economic growth and good governance in the development countries. Building on previous and current OECD/DAC work on IFF, the Development OECD Co-operation Directorate (DCD) and SDC are prepared to establish a partnership on IFF to contribute in designing policies and building partnerships to address IFF across source, transit and destination countries. Switzerland thereby contributes to efforts of the international community to achieve SDG 16.

Country/region Topic Period Budget
Global
Governance
Public finance management
01.09.2018 - 30.11.2021
CHF 919'966
Background Against the backdrop of the agreed new development agenda (SDG; FfD/AAAA), IFF have become an important work priority for both OECD DAC/DCD and SDC. The G7 and G20 have urged also developed countries to take action to address IFF, including strengthening their anti-money laundering regimes, enforcing greater transparency of company ownership, enabling automatic exchange of information to tackle tax evasion, and supporting efforts to trace, freeze and recover stolen assets. The proposed partnership responds to this call, addressing challenges in developing and developed countries alike.
Objectives DCD’s conceptual and operational efforts have contributed to OECD’s positions and policies to support the implementation of SDG 16 and the AAAA on curbing illicit financial flows.
Target groups
  • UN Economic Commission for Africa (UNECA), African Union (AU), the African Development Bank (AfDB), and interested African countries
  • DAC Member States, including Switzerland/Swiss Development Cooperation
  • Directorates and other entities OECD
Medium-term outcomes

Outcome 1: The evidence base on the links between IFF and development has been enhanced.

Outcome 2: The partnership has contributed to DCD efforts in designing policies and in building partnerships to address illicit financial flows, across source, transit and destination countries.

Outcome 3: PCD on IFFs is strengthened.

Results

Expected results:  

Evidence-based research and analysis is conducted on IFF policy priority areas including, although not limited to, the following:  reducing IFFs in the commodity or extractives supply chain; IFFs and de-risking and issues of financial inclusion/exclusion; and on stolen asset recovery.

An OECD-UN Economic Commission for Africa (ECA) review and policy dialogue on IFFs from developing countries (involving pan African institutions as needed), to strengthen the coherence, relevance and impact of OECD and African country responses is supported.

Horizontal co-ordination and collaboration across OECD-Directorates (and partner institutions; i.e. Financial Action Task Force - FATF) to ensure IFF policy coherence are enhanced.


Directorate/federal office responsible SDC
Credit area Development cooperation
Project partners Contract partner
Other International Organization
  • Organisation for Economic Cooperation and Development


Budget Current phase Swiss budget CHF   919'966 Swiss disbursement to date CHF   340'235
Project phases Phase 1 01.09.2018 - 30.11.2021   (Current phase)