Development policy plays a key role in Finland's foreign and security policy

Crises show that with a long-term and value-based development policy, Finland can best promote the objectives of foreign and security policy. The results of development cooperation are achieved through Finland’s own expertise, sufficient funding and flexible cooperation.

The period covered by this results report has been characterised by a series of successive and partly overlapping crises, which will have long-term impacts on global development. The impacts concern all of Finland's development policy priorities and humanitarian assistance.

Finland also conducts foreign policy through development cooperation. Development cooperation helps in building a more stable and secure world through influencing wider phenomena that require countries to cooperate beyond borders. The change in the operating environment has emphasised the need for flexible cooperation. This is underlined by the fact that poverty has increased due to crises and is increasingly concentrated in fragile and conflict-affected countries. Crises have also demonstrated Finland’s ability to respond to changing situations.

Finland has a strong international position and role as a value-based actor. The priority areas selected by Finland meet the needs of partner countries and contribute to the achievement of the Sustainable Development Goals. In addition, international actors and countries see Finland as a stable and predictable partner. In a world of complex conflicts, development cooperation, humanitarian assistance and peace actions must be able to respond in an even more coordinated and effective manner to the prevention and resolution of crises and to the distress of people living in the midst of crises.

The Report on Development Policy Extending Across Parliamentary Terms produced during the government term provides a strong foundation for continuing Finland's development cooperation and policy: it strengthens the continuity and effectiveness of development policy and helps to enhance impact and allocate limited resources.

The results and effectiveness are based on sufficient funding and expertise. This is why Finland should continue to focus on themes where we have special expertise and additional value.

Broadening the funding base for development cooperation is essential for achieving the global Sustainable Development Goals. Official Development Assistance must continue to be supplemented with loan and investment type of development financing and by increasing cooperation between different actors. Finland must also make full use of the opportunities presented by EU cooperation and thus also create opportunities for success for Finnish companies and actors.

The better the world is doing, the better Finland is doing.

Conclusions

1. Development policy and funding promote the objectives of Finland's foreign and security policy
   
   Public development cooperation funding and policy influencing have proved to be predictable, sustainable and crisis-resilient ways for promoting Finland's foreign policy objectives. Thus, they can be used to address the most difficult development challenges in circumstances where other long-term funding is not available. Public funding has also proved to be an important tool for leveraging other financial flows and investments for supporting sustainable development.
   
   Finland has committed to directing 0.7 per cent of its gross national income (GNI) to development cooperation and 0.2 per cent of its GNI to the least developed countries. In addition, measures are needed to broaden and diversify the funding base for sustainable development.
   
   Loan and investment type of development funding has established itself as a form of financing development cooperation. In the coming years, it will be important to ensure sufficient resources for both qualitative and quantitative development of loan and investment type of development funding and public sector investments.
   
   The available appropriations and other resources affect how development policy guidelines can be implemented. The implementation of successful cooperation and changing forms of cooperation also require continuous competence development, sufficient human resources and a clear allocation of resources.
   
    
2. Longevity brings results and enables diversification of relations
   
   The Report on Development Policy Extending Across Parliamentary Terms defines the values and principles of development policy, clarifies development policy objectives and creates a foundation for the implementation of strategies and policy outlines made during government terms. A clear, coherent policy that requires commitment from different actors creates a solid foundation for the effective implementation of development cooperation.
   
   Country strategies and programmes for development cooperation are examples of long-term cooperation that can adapt to changes when needed. They also show how focusing on a few result areas on a long-term basis brings results and effectiveness. The implementation of country programmes requires sufficient resources also in future.
   
   Finland needs to diversify its relations, especially with those partner countries that are graduating from the group of least developed countries to the lower middle income countries. Planning for the diversification of cooperation must be started well in advance, taking full advantage of the opportunities offered by development and other policy sectors.
   
   Cooperation with multilateral organisations and international development finance institutions is one of the cornerstones of Finland’s development policy. Finland influences organisations and finance institutions through board work and at the country level, and this work is built on previous cooperation. In the coming years, it will be important to assess systematically how Finland influences the activities and results of multilateral organisations.
   
    
3. Values and human rights must be at the heart of development cooperation
   
   Finland’s development policy is based on the promotion of human rights. In the coming years, Finland must defend and promote strong value-based approach, which is built on human rights, the rule of law, democracy, peace, freedom, equality and non-discrimination. A strong value basis and promoting human rights support sustainable development and reduce inequality.
   
   Finland is involved in strengthening and reforming the multilateral rules-based system in order to respond to increasingly complex issues. Dialogue must also be increased with those with whom we do not share all views.
   
   In addition, it should be analysed how value-based activities can have the most influence in the global context of intersecting interests.
   
   Finland must continue its determined efforts in the priority areas where Finland has the best potential to support sustainable development and reduce inequality. In addition, Finland must continue to strengthen cross-cutting objectives through development cooperation. These objectives are gender equality, non-discrimination with an emphasis on disability inclusion, climate resilience, low-emission development, and protection of the environment with an emphasis on safeguarding biodiversity. In the coming years, attention must be paid to the complementarity of the various funding channels and forms, as well as allocating a significant part of the funding to support the least developed countries.
   
    
4. Effective development cooperation requires a strategic, adaptive and agile approach
   
   A significant part of Finland's development cooperation is conducted in fragile states. The growing instability of the global context as well as the change in the European security environment and operational environment increasingly require the coordination of development cooperation, humanitarian assistance and peace actions. Responding to prolonged and complex conflicts requires policy coherence and a broader understanding of the operating environment. Finland's support for strengthening the resilience of societies is important because it means better capabilities for countries to cope with different crisis situations.
   
   Finland must systematically develop its operating methods so that they are adaptable and agile if changes in the operating environment so require. Anticipating changes and different trends is also increasingly important. In the coming years, it will be important to explore ways of improving the predictability and flexibility of financing. Clear instructions, conditions and criteria should also be defined for flexibility.
   
    
5. Reforms in development cooperation practices should continue
   
   The development cooperation practices and modalities have an impact on how Finland operates around the world and what kind of actor Finland appears to be. The overall picture of the cooperation modalities must correspond to Finland’s development policy objectives and the suitable forms of cooperation are always selected for each situation. Operating through international organisations and financial institutions as well as increasing EU cooperation will require new kinds of planning, policy influencing, results-based management and reporting.
   
   New forms of funding and the drastic and unpredictable changes in the operating environment have brought about new kind of risks and require the continuous development of risk management mechanisms. Developing risk management must cover all cooperation modalities, taking their special characteristics into account.
   
   In order for the Finnish society to be able to support international efforts to promote sustainable development, Finnish citizens need the opportunity to access information on global development issues and the implementation of development policy. Therefore, promoting openness, transparency and quality development communications should also be continued.