190 Jindal Journal of Public Policy, ol. 3, Issue 1 BRAZIL ...

190 Jindal Journal of Public Policy, Vol. 3, Issue 1

BRAZIL AND THE DEVELOPMENT COOPERATION Dionísio Missomal

International development cooperation is a field of study which is gaining more importance in the last decade. A new development in this field is the emergence of South-South cooperation perceived as a different strategy from that applied in North- South Cooperation. Brazil has been actively engaged in development cooperation across various regions, including South Asia, Africa, and Latin America. The augmentation of actions related to and resources earmarked for Brazil’s International Cooperation for Development policy was followed by a governmental discursive formulation, which emphasizes the guiding principles of Brazilian international development cooperation such as solidarity, horizontality, acting according to demands from partner countries, respect for sovereignty and absence of conditionality. This study will focus on technical cooperation provided by Brazilian institutions to developing countries. It is an analytical approach to technical development cooperation in Brazil, especially in the context of South-South cooperation. The main objective is to depict the reality of development cooperation in Brazil, how it is managed, the institutional setup, the principal challenges faced by the country and the lessons that can be learned from the Brazilian experience. Is the Brazilian type of assistance a better fit to the realities of recipient countries than those brought by Northern donors, owing to cultural and socioeconomic affinities? Brazilian cooperation is said to be demand driven, thereby offering solutions tailored to beneficiaries’ needs.

INTRODUCTION

New trends in development pose challenges to developmentcooperation and in particular to cooperation among developingcountries. The face of development has changed, with diverse

191Brazil and the Development Cooperation

stakeholdersinvolvedandimplicatedinwhatismoreandmoreseenas global and interlinked concerns. At the same time, there is an urgent need tomobilize unprecedented resources to achieve the ambitiousSustainableDevelopmentGoals(SDGs).

AccordingIPEA(2010)fourmodalitiesareusedinBraziliandevelopmentcooperation: humanitarian aid, scholarships for foreigners, technicalcooperationandcontributionstointernationalorganizations.

Inthispaper,Braziliantechnicalcooperationwithdevelopingcountrieswillbeanalyzedintermsitspolicyframework,institutionalsetupandimplementationmodalities.Brazilhasgainedincreasingprominenceininternationalaffairs,which,overrecentyears,hasbeenreflectedinanunprecedentedincreaseinresourcestotechnicalcooperationwiththeSouth.Asaresult,thecountryisgraduallyswitchingfromapositionofrecipienttoapositionofproviderofdevelopmentassistance.

ThenuclearpositionoftheMinistryofForeignAffairsseemstohaveweakened because the development assistance landscape ismarkedby fragmentation and low coordination in terms of modalities, vision, proceduresandinstitutionalsetting.

Braziliandevelopmentcooperationisveryparticular,duetothefocusintheapproachoftechnicalcooperationbasedonprinciplesofsolidarity,respecttoothercountries’sovereigntyandnon-conditionality.

BRAZILIAN ECONOMIC PERFORMANCE

BrazilisthelargestcountryinbothSouthAmericaandLatinAmerica.ItbordersallotherSouthAmericancountriesexceptEcuadorandChile.

Intheeconomicsphere,theperiodoftheNewRepublicismarkedbyanumberofdifferenteconomicsituations.Followingthedebtcrisisoftheearly1980s,thecountrycarriedoutvariouseconomicstabilizationplans.

According to Faller (2011), the first plan of 1986 was the CruzadoPlan(namedafterchangingBrazil’scurrencyfromtheCruzeirototheCruzado)whichendedageneralpricefreeze,butwasnotsuccessfulinstabilizingBrazil’seconomy.Hence,itwasfollowedbyseveralotherstabilizationplans:TheBresserPlan(1987),theVerãoPlan(1988)andtheCollorPlan(1990).TheCollarPlanwasmarkedbytheseizureof80percentoffinancialassets,plungingtheeconomyintoarecession.InJuly1994,thesuccessfulRealPlanwaslaunched.WiththeRealPlan


of1994, theexchange ratewasfixed,whichbroughtdown inflation,reduced commercial interest rates, and finally stabilized Brazil’seconomy.

Despite some progress, inequality and poverty remain seriousproblems in Brazil. Poverty becomesmore relevant today, given theeconomicexpansionandpositioningofBrazilasanemergingpowerintheinternationalarena.TheadministrationofPresidentLuizInacioLuladaSilvahadimplementedvariousprogramstofightpoverty;allofthemdirectedatkeyfactorsofsocialdevelopmentsuchasprovidingaccess to food, health and education.

KEY CONCEPTUAL DEFINITIONS

Development

According to Swirmai (2015) two general approaches can bedistinguished:

• Thefightagainstpoverty-thisapproachfocusesontheproblemsofwidespreadpoverty,hungerandmiseryindevelopingcountriesand on the question of what can be done in order to realizeimprovementsofthesituationintheshortterm.

• Theanalysisoflong-termeconomicandsocialdevelopment-thisapproach concentrates on comparing developments in differentcountries,regionsandhistoricalperiodsinordertogainabetterunderstanding of the factors that have long-term effects on thedynamicsofsocio-economicdevelopment.

Oneofthecharacteristicsofthefirstapproachisastronginvolvementwiththeproblemsofdevelopingcountriesandtheirinhabitants.Mostpeople who study development issues do so because they feel thatpresentlevelsofpoverty,miseryandinjusticearesimplyunacceptable.Their aim is to arrive at concrete recommendations for action. This approachiscloselylinkedwithdevelopmentpoliciesandstrategiesatinternational, national, regional or local levels.Onegroupofpeoplechooseatechnocraticinterpretation,focusingonpolicies,instrumentsand projects. Other groups choose a more radical—politicalinterpretation.Thelatterargueforpoliticalactioninordertoachievedramatic changes in the existing order of things.

The long-term approach to development is more detached andtries tocomprehendwhy, in the long term,suchgreatdifferences in


development have occurred in different parts of the world. It triesto identify the factors thatmayhelp to explaindifferent patterns ofdevelopment, such as the accumulation of production factors, theefficiency with which these factors of production are being used,technological changes, external political and economic influences,historical factors, institutionsandculturaldifferences.Economicandsocialpoliciesfigureareamongthese factors,butconsideringpolicyasonlyoneofmanyrelevantfactorsmayhelptodeflateimmoderatepretensions and hopes of policy makers, politicians and scientificadvisers.

AccordingTodaro(2000)developmenthastodowithaccelerationofeconomicgrowthinamultidimensionalprocessinvolvingchangesinsocialstructures,popularattitudeandnationalinstitutions,aswellininequalityreductionandpovertyeradication.

Stiglitz(1998)arguesthatdevelopmentrepresentsthetransformationof the society from a traditional stage to a modern one, assuring that thechangesmeanmorecapabilitiesofindividualsandsocietiestoleadtheir own destinations.

Today,theconceptofdevelopmentisbroader;itisnolongerrelatedtojusteconomicgrowthitincludeshumandevelopmentaswell.Itdoesn’tmeanthateconomicgrowthislessimportant.Actually,nocountrycanmaintainorimproveitspopulationwelfareforlongtimeifthereisnoteconomic growth.

DEVELOPMENT COOPERATION

Differenttermsareadoptedbythecountriestodefinetheinteractiontheyhavewithothercountriesregardingdevelopment.Usually, it iscommontoheartermssuchasassistancefordevelopment,foreignaid,developmentcooperationorpartnershipfordevelopment.AccordingtoAlonsoandGlennie(2015),developmentcooperationcanbedefinedas an activity that meets the following four criteria.

• Aims explicitly to support national or international development priorities: Not all international public non-profit activity is developmentcooperation. For instance, internationally coordinated securitymaneuversorsupporttoadevelopingcountry’s’militarycapacitymayrequireplentyofinternationalcooperationbutitwouldnotbeclassifiedasdevelopmentcooperation.Inordertohelpclassifyactivities bywhether they are developmental or not, therewillalways be grey areas.We should rely on globally agreedgoals,


namelytheinternationallyagreeddevelopmentgoals,suchastheMillenniumDevelopmentGoals/SDGs,andotherinternationalorregionaldevelopmentagreements.

• Is not driven by profit: Thisisthecriticaladdedvalueofdevelopmentcooperation, in that it means doing something that is not-for-profit,orthatacceptsalowerprofitthanthemarketwouldoffer.Itwouldnothappenifprofit incentivesalonewerefollowed,orat least not in the same way. It is about correcting market failures and rules that impede or undermine developmental objectives. That said, development cooperation can also play a rolein incentivising genuine for-profit activities with positivedevelopmentalimpacts.

• Discriminates in favour of developing countries: Only if an action aims deliberatelytocreatenewopportunitiesfordevelopingcountries,in a discriminatory way, and taking into account the structural impediments that limit the development of poor countries,can it be considered development cooperation. This criterionwill be increasingly important when it comes to implementingthe post-2015 development agenda, since it distinguishesdevelopmentcooperationfrominternationalactiononsustainabledevelopmentmoregenerally.

• Is based on cooperative relationships that seek to enhancedevelopingcountryownership:Developmentcooperationshouldbebasedoncooperativeandnon-hierarchicalrelationshipsbetweeninternational partners that seek to complement resources andcapacitiesinfavorofdevelopmentpurposes.Theserelationshipsshould be respectful of countries’ sovereignty in defining andsteering national development strategies. In fact, developmentcooperationshouldseektowidendevelopingcountries’roomformaneuver,limitingtherestrictionsandenhancingtheopportunitiesthatconditiontheirdevelopmentprocess.

Any activities complying with all four of these criteria should beregarded as “development cooperation” (DC). In the case of Brazil,there is not a determined or official terminology, but the terms thataremoreusedarepartnership fordevelopment and cooperation fordevelopment.

AccordingtotheABC,theconceptof“partnershipfordevelopment”consolidates the idea that the cooperation relationship entails, onboth sides, sharing efforts andbenefits.Theproposed initiatives are


evaluatedinlightofimpactandoutreachonrecipientcommunities.Thisinvolves improvingnegotiation, evaluationandprojectmanagementmechanismsinordertobringthemintolinewithnationalpriorities.

As was mentioned before, one of the modalities of developmentcooperationistechnicalcooperation.Brazilunderstandsinternationaltechnical cooperation as a strategic partnership modality, whichrepresents an instrument capable of producing positive impacts onpopulations,changingandraisinglivingstandards,modifyingrealities,promotingsustainablegrowthandcontributingtosocialdevelopment.

SOUTH – SOUTH COOPERATION

AccordingUNDP,South-SouthcooperationisabroadframeworkforcollaborationamongcountriesoftheSouthinthepolitical,economic,social, cultural, environmental and technical domains. Involving two or moredevelopingcountries,itcantakeplaceonabilateral,regional,subregionalorinterregionalbasis.Developingcountriesshareknowledge,skills,expertiseandresourcestomeettheirdevelopmentgoalsthroughconcerted efforts. Recent developments in South-South cooperationhave taken the form of increased volume of South-South trade, South-Southflowsofforeigndirectinvestment,movementstowardsregionalintegration,technologytransfers,sharingofsolutionsandexperts,andother forms of exchanges.

South-South cooperation is initiated, organized and managed bydeveloping countries themselves. Often, Governments play a leadrole, with active participation from public-sector and private-sectorinstitutions, non-governmental organizations and individuals. Itinvolves different and evolving forms, including the sharing ofknowledge and experience, training, technology transfer, financialand monetary cooperation and in-kind contributions. South-Southcooperationcanincludedifferentsectorsandbebilateral,multilateral,sub regional, regional or interregional in nature.

South-South cooperation is a manifestation of solidarity amongpeoples andcountriesof theSouth that contributes to theirnationalwell-being, their national and collective self-reliance and the attainmentofinternationallyagreeddevelopmentgoals,includingtheMillenniumDevelopmentGoals.TheSouth-Southcooperationagendaand South-South cooperation initiativesmust be determined by thecountriesoftheSouth,guidedbytheprinciplesofrespectfornationalsovereignty, national ownership and independence, equality, non-


conditionality,non-interferenceindomesticaffairsandmutualbenefit.ThebasicobjectivesofSouth-Southcooperationare interdependenceand mutually support that contribute to the broader objectives ofinternationaldevelopmentcooperation.Theseobjectivesareto:

• Foster the self-reliance of developing countries by enhancing their creative capacity to find solutions to their developmentproblemsinkeepingwiththeirownaspirations,valuesandspecialneeds;

• Promoteandstrengthencollectiveself-relianceamongdevelopingcountries through the exchange of experiences; the pooling,sharing and use of their technical and other resources; and thedevelopmentoftheircomplementarycapacities;

• Strengthen the capacity of developing countries to identify andanalyzetogethertheirmaindevelopmentissuesandformulatetherequisitestrategiestoaddressthem;

• Increase the quantity and enhance the quality of internationaldevelopment cooperation through the pooling of capacitiesto improve the effectiveness of the resources devoted to suchcooperation;

• Create and strengthen existing technological capacities in thedeveloping countries inorder to improve the effectivenesswithwhich such capacities are used and to improve the capacity ofdevelopingcountriestoabsorbandadapttechnologyandskillstomeettheirspecificdevelopmentalneeds;

• Increase and improve communications among developingcountries, leading to a greater awareness of common problemsandwideraccesstoavailableknowledgeandexperienceaswell as the creation of new knowledge in tackling developmentproblems;

• Recognizeandrespondtotheproblemsandrequirementsoftheleastdevelopedcountries,land-lockeddevelopingcountries,smallislanddevelopingStatesandthecountriesmostseriouslyaffectedby,forexample,naturaldisastersandothercrises

• Enable developing countries to achieve a greater degree ofparticipation in international economic activities and to expandinternationalcooperationfordevelopment.


RATIONALE OF BRAZILIAN SOUTH-SOUTH COOPERATION

Brazilisseekingtodeepenitsinsertionintheglobalstage.Thishasledtotheintensificationofitsroleasadevelopmentcooperationprovider,an evolution that can be illustrated by the fact that a range of ministries andgovernmentalinstitutionshave,indifferentcapacities,broadenedtheirparticipationininternationalcooperationoverthelasteightyears.

In termsofSSCbackground, it’s important tounderline thatBrazil’sactionintheinternationalscenarioisaresultoflearningacquiredovermanyyearsofreceivedtechnicalcooperation,whichhelpedconsolidatemodelentitiesthathavebecometheverybaseoftheBraziliantechnicalcooperationwithotherdevelopingnations.Otheradvantagesincludegeographicallocation,culturalheritage,socialandeconomicchallengescommontothoseofbeneficiarycountries–factorsthathavefavoredtheexpansionofBrazil’sSouth-Southcooperation.

South-SouthcooperationcontributestoconsolidatingBrazil’srelationswithpartnercountriesas itenhancesgeneral interchange,generates,disseminatesandappliestechnicalknowledge,buildshumanresourcecapacity,andmainly,strengthens institutions inallnations involved.For instance, in the case Brazilian cooperation with Mozambique,in 2003, a Protocol of Intentions in the Health Area was signed,foreseeingbilateralcooperationfortheimplantationofaManufactureofAntiretrovirals and othermedicines inMozambique. The factoryhasalreadybeeninstalled,andwiththesupportofABCMozambicanprofessionalswhowillberesponsibleformanufacturingthemedicineswere trained.

OneactionrelatedtoSSCwhichBrazil is implementingistriangularcooperation.Thereisnointernationallyagreeddefinitionorcommonunderstandingofwhat“triangularco-operation” is. In fact,eventheterm“triangularco-operation”hasseveralvariations.Somecountries,suchasChinaandtheUnitedStates,referto“trilateralco-operation”.The lack of an international agreed definition or understanding oftriangular cooperation has to dowith the interests of each country.Everydefinitionismadeaccordingtointerestsandobjectives.Becausethe objectives are not convergent, the definitions are going to bedifferentaswell.

AccordingtoABC,trilateralcooperationcanbedefinedasaformofinternational development cooperation, complementary to bilateralSouth-Southcooperation,withsharedgovernance,withaddedvalue


and identifiable comparative advantages, which can take differentimplementation arrangements involving developing countries,developed countries and / or international organizations. Thesearrangements can take the following formats: South-South-South;South-North-South;South-I.O-South.

According to ECOSOC (2008:16), one example of triangulardevelopment cooperation is the case of Argentina which has beenfunding projects in collaboration with Brazil, Canada, IFAD, Italy,Japan and Spain, and it anticipates extending this support to newinitiativesincollaborationwithUNICEFandWHO.Inprinciple,thirdpartyfundingcanonlyaccountforupto30percentofprojectfunding,with the remaining 70 per cent beingArgentinean.One example ofsuchtriangularcooperationistheHaitiFoodSecurityProject,fundedinconjunctionwithBrazil,Canada,SpainandIFAD,wherebyexpertsweretrainedinCreolewiththeaimofteachingHaitianwomeninthecountryside how to strengthen food security.

THE CHARACTERISTICS OF BRAZILIAN TECHNICAL DEVELOPMENT COOPERATION

In1987,Brazil’sCooperationAgency(ABC)wascreatedtocoordinateBrazilian technical cooperation. It is institutionally located withinone of MRE’s seven sub divisions, the General Sub secretariat forCooperation and Commercial Promotion. TheAgency is mandatedwith the coordination of both technical cooperation received frombilateralandmultilateralagenciesandtechnicalcooperationprovidedtoSoutherncountries,i.e.South-Southcooperation(SSC).Itoverseestheconception,approval,executionandmonitoringofSSCprojects,instrictaccordwithforeignpolicyobjectiveslaidoutbyMRE.

Despite its coordination mandate, ABC’s centrality in this systemis fragile. Although much technical cooperation received by Brazilis channeled through theAgency, a range ofministries, public andprivateorganizationsisinvolvedindesign,negotiationandprovisionoftechnicalcooperationthroughtheirownInternationalAffairsUnits,sometimes with limited involvement of ABC.

According toCabralandWeinstock (2010),Foreignpolicyobjectivesdetermine the availability and allocation of technical cooperation.Thus,thereisnoformalstrategyguidinggeographicpolicyprioritiesin themediumor in the longterm.While thismakes ithardtofindconsistentpatternsacrosstime,AfricaoftenappearsasatopdestinationforBraziliantechnicalcooperation.


Brazil borders all other South American countries except EcuadorandChile.ThepeacefulrelationwhichBrazilhaswithitsneighboringcountries is an aspect which boosts cooperation for developmentamongst them. The Brazilian Constitution adopts principles offriendshipandpeaceintherelationswithothernations,forinstance,Article4.VI–defenseofpeace;andArticle4.VII–Peacefulsettlementofdisputes.

BesidesLatinAmerica,BrazilmaintainstechnicalcooperationrelationswiththeCaribbeanandAfrica,andhasspecificactionsinAsia(Timor-Leste,AfghanistanandUzbekistan),theMiddleEast(LebanonandthePalestinianTerritories)andOceania.

ThecountriesofAfricaareimportantpartnersinSouth-Southtechnicalcooperation inBrazil.Brazilian cooperation servesmore than thirty-three countries in Africa. Portuguese-speaking countries (includingEastTimor)bringtogetherthelargestnumberofprojectsandbudget,according to the priority of the Brazilian foreign policy. Africa iscurrently a top destination, with Portuguese speaking countriesaccounting for the bulk of resources allocated to the region. In 2009, thecontinentreceivedmostofABC’sannualbudget(50%),followedbySouthAmerica(Chart4).

Figure 1 – Execution of technical cooperation projects per world region, 2009 (million US$ and percentage)

Source: ABC.

InBrazil,therearemorethan120entitiesthatworkinBrazilianSouth-


Southcooperationinareassuchasagriculture,educationandvocationaleducation,health,environment,publicadministration,transportation,energy, among others in the most diverse areas of knowledge, and this number grows each day.

Figure 2 – List of Brazilian partner countries

LESSONS LEARNED AND CHALLENGES

AccordingtoDeRenzio(2013),someofthelessons-learnedidentifiedbytheagenciesinvolvedinBrazil’sgrowingparticipationinpromotinginternational development cooperation are legal, institutional,political, and human and financial resources. In legal terms, theabsenceofcomprehensivelegislation,particularlywithregardtotheestablishment of partnershipswith developing countries, presents anumberofdifficulties.

Asmentionedearlier,basicfunctionssuchasmakingsmallpurchases,hiringabroadorsendingmoneyoutof thecountryareoftencarriedout through other institutions, such as UNDP.


DeRenzioarguesthatanother institutionalchallengeconcernsintra-governmentalarticulation.ThroughthehistoricaltrajectoryofBraziliancooperation, different ministries and agencies, at federal, state andmunicipal level,promoteinternationalcooperation.Decentralization,intheabsenceofeffectiveandadequatecoordinationtodealwiththealready consolidated autonomy of various bureaucracies in the sector, maylimitthepotentialofBraziliancooperation.

CONCLUSION

Brazilhasmorethan60yearsdealingwithdevelopmentcooperationissuesbuttheactualformatofdevelopmentcooperationcomesfromthe1980s.Consideredamedium-levelcountryandaregionalgeopoliticalpower, Brazil has assumed evermore functions and responsibilitiescongruent with the role to which it aspires or already performsinternationally. As the result of its model of integration and its foreign policydirectives,Brazilhaspeacefulrelationshipwiththeneighboringcountries and this is one of the principal factors contributing tosuccessfuldevelopmentcooperationamongstthem.

Brazil focuses on International technical cooperation; the countryunderstands that it comprises an important development tool,helping countries to promote structural changes, including Stateactions,throughinstitutionalstrengtheninginitiatives.Theprogramsimplementedwithin its framework allow the transfer or sharing ofknowledge,experiencesandgoodpracticesthroughthedevelopmentofhumanandinstitutionalcapacitieswiththeaimofachievingalong-lastingqualitativeleap.

Although Brazil is a powerful country in terms of developmentcooperation, both in regional and South-South contexts, it is facingthe problem of corruption inside the country and it reaches thegovernmental level. As a result of this, there is an increased civil society pressure for transparency in relation to the definition of partners,resourcesspentandresultsachieved.

The conclusion is that there are some lessons that can be followed from Brazilian experience in development cooperation processes, namely,the institutionalsetup, the focusontechnicalcooperation, theuseoffriendshiptiesandgeographicalstrategytoconfigurethepartnersandtheuseoftriangularcooperationasaprivilegedinstrument.


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