[The UN Millenium Project]

Following over two years of work, the United Nations
Millennium Project published its final report “Investing in
Development” on 17 January 2005. The report is a practical
plan to achieve the Millennium Development Goals. Professor
Jeffrey Sachs, special advisor to the United Nations Secretary
General and head of the Earth Institute at New York's
Columbia University, was the lead author. A considerable part
of the Sachs Report addresses the costs of achieving the MDGs.
These are based on calculations of capital requirements at a
country level. The Millennium Project team developed an
extensive methodology for needs assessment. As a first step
they ascertained the total investment capital needed to attain
the MDGs in each country. Following on from this was
estimated how much could be raised in the country itself and
how much external support in the form of ODA is required.
On the basis of these figures the Sachs team then projected
how much official development assistance would be needed
to finance MDGs on a global level. The conclusion reached
was that ODA must increase to $ 135 billion in 2006, implying
doubling previous ODA amounts. By 2015 the volume of
ODA would have to be trebled to $ 195 billion. This means
that ODA must increase from the current 0.25 per cent of
Gross National Income (GNI) of donor countries to 0.44 per
cent in 2006 and 0.54 per cent in 2015. In light of publicly
announced (but so far unrealized) governmental pledges, the
Sachs Report calculated a shortfall of $ 48 billion for 2006.
Given the present fiscal constraints of donor countries the
Sachs Report obviously regards it unrealistic that the required
increase of ODA can be financed solely from national budgets.
It is for this reason that the report calls on all donor countries to
support the British proposal for an International Finance
Facility (IFF). Such a fund, financed by the issue of bonds,
could be established by 2006 ¡

Based on United Nations, 2005. Report of the UN Millennium Project,
Investing in Development, http://www.globalpolicy.org.