Austrian Development Cooperation

Agency details

Austrian Development Cooperation Private Sector Development(ADC) forms part of Austrian foreign policy, with the Austrian Development Agency (ADA) as the operational unit of the ADC. ADC aims at reducing poverty, preserving the environment and promoting peace and human security in partner countries. Long-term programmes and projects of the ADC support self-help to ensure sustainable development. The ultimate goal of the ADC is to bring about a sustainable improvement in the conditions of life for those in developing and emerging economies.

 

Private sector development (PSD) policy and strategy

The ADC acknowledges that the private sector is a major driver of economic growth and that creating employment and income opportunities for the poor sections of the population brings about a sustainable improvement in their conditions of life, reducing poverty. The ADC is active in women’s empowerment which can save whole families from poverty by giving women access to the market and resources and therefore monetary income. The ADC supports local entrepreneurs in value chain development and in creating a business enabling environment. Global partnership in development is another focus of the ADC which supports entrepreneurs and non-governmental organisations in their partner countries so that they can voice and put forward their interests and concerns; there by ensuring that all benefit from globalisation through fair trade relations.

Partnership mechanisms for the private sector

The ADA has a Business Partnership Program because the ADA recognises that this partnership mechanism pools entrepreneurial spirit and sustainable business ideas with the experience of development cooperation. The ADA believes that partnerships will lower risk for the private company and better chances of profit whilst achieving better living conditions for the local population.

Transparency, effectiveness and results in PSD

The new aid architecture, as defined in the Paris declaration of 2005 and the Accra Agenda for Action of 2008, aims at achieving higher aid effectiveness and efficiency. The ADC recognises that in times of limited budget funds, modern development cooperation calls for their efficient and accountable use and good coordination with other donors. The ADC also states that the transparent management of these budgets is an integral part of good governance and democratic accountability. Austria also attaches priority to these principles.