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USAID Global Development Alliance
September 13, 2005
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U.S. Total Flows to the Developing World in 2003
Source: Bureau of Economic Analysis; Conference Board; Foundation Center; Faith Based Groups; and USAID Internal Estimates.
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Why a Global Development Alliance ?
• Respond to a changing global environment
• Increase USAID’s effectiveness and impact in meeting development objectives
• Leverage additional resources for development activities
• Improve the quality of partnerships
Why does USAID see the need to do business differently?
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• Funding
• Skills, services and expertise
• Technology and intellectual property
• Activity design better connected to market realities
• Markets and purchasing power
• Synergies resulting from joint efforts
• Funding
• Development expertise
• Long-term in-country presence
• Network of local and global partners
• Policy influence
USAID Partner
What We Offer Each Other
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Alliance Summary FY02-04
~290 alliances Agency-wideOver $1.1 billion in USAID funds
leveraging over $3.7 billion in partner resources
In Latin America: ~62 alliances
Over $103 million in USAID funds
leveraging over $251 million in partner resources
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Alliance Spotlight: Laureate Education
Banvivienda
Laureate/Universidad Interamericana de
Panama
USAID20% of students’ tuition placed in trust
$235,000Loan guarantees$5M in student loans
Goal:
To make university education available to low and middle class students
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Alliance Spotlight: Entra 21
Goal: Train youths in ICT skills to equip them for the 21st century workforce
Entra 21 Partners: • USAID • International Youth Foundation (IYF)• IADB • Several technology companies including Microsoft and Lucent
Results:
• Programs in 16 countries in LAC
• >10,500 jobless youth have been trained; many have found jobs
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Alliance Spotlight: Remittances for Economic Growth Alliance
Goal: Lower remittance transaction costs and create broader access to financial services
Partners: • USAID • World Council of Credit Unions• Mexico’s Credit Union network
Results:
• >25,000 remittance transfers (~$11 million) sent through alliance
• Lower costs and industry-wide competition led to a 50% reduction in transaction costs