## Management Statement on the Implementation of the Policy for Country Contributions for Capacity Building

## Source details

**Canonical URL:** [Management Statement on the Implementation of the Policy for Country Contributions for Capacity Building](https://www.imf.org/-/media/websites/imf/imported-full-text-pdf/external/np/pp/eng/2009/_122209.pdf)

## Other formats

- [Markdown version](/-/media/websites/imf/imported-full-text-pdf/external/np/pp/eng/2009/_122209.pdf.md)
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### Background
- Date of statement: Tuesday, 22 December, 2009.
- Management authority: Management has the authority to establish and implement changes to the Policy, in consultation with the Executive Board, as noted in the Statement of the General Counsel of July 23, 2008.
- Policy history:
  - The Policy for Technical Assistance (TA) was established in October 2008 as part of a broad set of TA reforms discussed by the Executive Board in May 2008.
  - Administrative arrangements and IT systems are in place to start implementation of the new Policy.
  - The Policy for training (applicable to all training offered at Fund headquarters, other than training funded or co-funded by donors) has been in effect since May 1, 2009.

### Decision to suspend implementation of the Policy for Technical Assistance (TA)
- Planned effective date for the Policy for TA: January 1, 2010.
- Management decision:
  - The Policy for TA will not be implemented during FY2010 and FY2011.
- Rationale provided:
  - During meetings with country authorities at the Annual Meetings in Istanbul, many country authorities indicated that implementing the Policy for TA at this juncture would be a burden and might hinder meeting their TA needs.
  - Some authorities said the Policy would prevent them from accessing TA urgently needed to address the impact of the crisis.
- Intended effect:
  - The suspension will allow provision of TA without any undue delay.

### Suspension of the training component
- Suspension period for the training aspect of the Policy: between January 1, 2010 and April 30, 2011.
- Rationale:
  - To ensure that present budgetary exigencies do not prevent member countries from receiving needed training.

### Rationale and relationship to broader reforms
- Executive Directors’ view:
  - Charging for TA and training was viewed by many Executive Directors as supporting and reinforcing other reforms that enhance ownership and internal accountability.
- Management’s assessment:
  - Attainment of the objectives of ownership and internal accountability will be facilitated by other reforms, including:
    - costing,
    - the new external financing framework that relies on partnerships with donors,
    - the prioritization process through the Committee on Capacity Building.
  - These reforms are stated to be "firmly in place."
  - Therefore, the suspension will not impact negatively on the broader reform objectives.

### Financial implications
- The associated reduction in revenue from suspending the Policy is described as "small."
- Management expects the reduction to be offset through increases in external financing.

*Management Statement on the Implementation of the Policy for Country Contributions for Capacity Building (Tuesday, 22 December, 2009).*

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_Source: https://www.imf.org/-/media/websites/imf/imported-full-text-pdf/external/np/pp/eng/2009/_122209.pdf_