Funding Trends and Their Impact on Operations
As of 23 April, WFP's total needs to feed more than 79 million people are estimated at US$3.3 billion. Taking into account donations of more than US$989 million, and carry over stocks, the organisation still has to raise more than US$1.8 billion in 2007 to assist its projected beneficiaries.
From 23 March to 23 April 2007, WFP received US$156.9 million in contributions, which are reported in the table below. Some 75 percent of these donations were allocated to protracted relief and recovery operations (PRROs), reflecting the organisation's overwhelming needs in this category.
The five projects that received the most funding during this period are assistance to IDPs in Uganda (US$32.5 million), the Southern African regional operation (US$15.8 million), and PRROs in the occupied Palestinian territories (US$10.4 million), Sri Lanka (US$8 million) and the Democratic Republic of Congo (US$8 million). The bulk of contributions were confirmed for Sub-Saharan Africa – 61 percent – of which 37 percent was allocated to the Regional Bureau of East and Central Africa (ODK).
Some US$18 million of multilateral contributions were confirmed, representing 12 percent of all donations. Development was the largest category to receive multilateral funding (including US$13.7 million from Germany). Cash represented 74 percent of all donations.
The UN was the second largest donor to WFP in this period, after the USA, providing US$30 million to 16 different projects. Almost all contributions were allocated through the Central Emergency Response Fund (CERF). During this period the remaining underfunded emergency grants from the first tranche of this CERF mechanism were allocated. These grants are allocated twice a year to humanitarian projects that are critically lacking resources. Funding amounting to US$13.4 million was directed towards PRROs in CAR, DRC, Ethiopia, DPRK and Namibia, SOs in CAR, DRC and West African Bureau, and the EMOP in Sudan. Total underfunded grants in 2007 so far have reached US$22.8 million. This is already much higher than the total underfunded grants received in 2006 (US$14.5 million) and additional support is expected in the second tranche in August.
In addition, rapid response grants were allocated to SOs in Kenya and Mozambique, and PRROs in Sri Lanka, Uganda and West African Bureau. The Benin development operation and Southern African regional project also received locally confirmed UNICEF grants. Overall, the UN is the third largest donor to WFP in 2007.
Two projects received assistance from the Immediate Response Account (IRA) – the Tanzanian PRRO assisting refugees, and the SO in Mozambique providing logistical support to the cyclone emergency. There was one new replenishment of US$11,000, although one previous contribution was reduced in this period. Total donor funding to the IRA in 2007 is now US$13.1 million, with a current available balance of US$50.6 million.
Noteworthy donations this month include the Swiss government's contribution, linked to the Food Aid Convention, of US$2.8 million to operations in Africa and occupied Palestinian territories. Following a new trend of Arab states offering assistance to Arab recipient countries through WFP rather than bilaterally, Egypt provided two in-kind contributions to Somalia and to Sudan. This latter contribution is of particular interest as it is the first food donation to WFP's Sudan operation from an Arab state.
Already, Turkey's 2007 contributions are almost double donations in 2006, and its role as a key emerging donor to WFP was enhanced with the recent contribution to DPRK. Luxembourg made a second contribution to the same operation in DPRK this year, as well as providing support for Namibia via the Regional PRRO.
In addition, two contributions are currently pending allocation to projects, and are therefore captured in the General Fund: US$1.3 million from Italy, and US$260,000 from Austria.
1 Some operations have negative 2007 shortfalls which have been zeroed out.