GPE’S NEW FINANCING AND FUNDING FRAMEWORK
GPE adopted a new financing and funding framework in March 2017. It includes the GPE Multiplier as part of a new scalable approach to raising significantly greater and more diverse finance. It invests in important global public goods such as tools for innovation and sharing knowledge, which were previously not supported in the education sector. It also promotes political commitment to education through a new dedicated advocacy and social accountability fund.
The framework opens opportunities for new partnerships bringing previously untapped resources to education from both public and private sources. It builds on GPE’s strength in pooling grant financing for countries most in need by extending country eligibility and providing a new fund to incentivize governments to leverage additional development finance to support their sector plans. A refined education sector investment case approach at the country level will also crowd in and better align new resources behind the priorities set out in national education plans.
The new financing and funding framework better targets GPE funds to countries and communities where the needs are the greatest.Eighty-nine low- and lower middle-income countries are now eligible for grants to help analyze and strengthen their education sector plans. Sixty-seven countries can also apply for large-scale grants to help implement their education plans. Allocations are determined by needs, based on primary and secondary school completion rates and economic status (gross domestic product per capita), with an additional weighting for countries affected by fragility and conflict.15 All 89 countries can benefit from the new GPE Multiplier.
“We will scale up investments and international cooperation to allow all children to complete free, equitable, inclusive and quality early childhood, primary and secondary education, including through scaling-up and strengthening initiatives, such as the Global Partnership for Education.”
Addis Ababa Action Agenda of the Third International Conference on Financing for Development, July 2015
GPE’S FINANCING AND FUNDING FRAMEWORK
In addition to the GPE Fund’s core grants to support education sector analysis, plan development and implementation, the financing and funding framework includes three new features:
A dedicated pool of funding to incentivize low- and lower middle-income countries to leverage additional financing from other sources such as multilateral development banks, bilateral donors and private sector investors. GPE will offer extra grant funds where governments show additionality and co-financing from external sources of at least US$3 for every US$1 of GPE grant funds. In this way, the GPE Multiplier crowds in additional financing to support high quality education sector plans.
GPE is working closely with the World Bank, the Islamic Development Bank and the African Development Bank, and other regional development banks are expected to join. The GPE Multiplier also provides a mechanism for channeling finance from the Education Commission’s proposed International Finance Facility for Education to support government sector plans.
Progress in education hinges on the capacity of developing country governments to develop better policy solutions, improve their use of data and analysis, and to draw on other countries’ experience. By dedicating funds to knowledge and innovation exchange, GPE will harvest and share experience from across the partnership to scale up and fund innovative approaches, especially in equity and learning.
Early investments have concentrated on strengthening learning assessment systems, integrating more effective early childhood care and education into education sector plans and policies, and ensuring gender-responsive sector planning. Funding allocations are driven by needs identified by developing country partners and primarily support global and cross-national activities.
Securing long-term and sustainable learning outcomes for children requires building the commitment of political leaders to prioritizing and investing more resources in education. A more actively engaged civil society, including think tanks, research organizations and nongovernmental organizations, is vital to build the political will needed to adopt good policies, sound practices and inclusive approaches.
Two complementary programs are supported through this fund—one that focuses on country-level social accountability and one that advances global and transnational advocacy on issues such as aid effectiveness, finance and cross-sector development synergies.