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Follow the Money: How Trends in Financing AreChanging Governance at International Organizations
Journal article   Open access   Peer reviewed

Follow the Money: How Trends in Financing AreChanging Governance at International Organizations

Erin R. Graham
Global policy, v 8
01 Aug 2017
url
https://doi.org/10.1111/1758-5899.12450View
Published, Version of Record (VoR)Maybe Open Access (Publisher Bronze) Open

Abstract

Government & Law International Relations Political Science Social Sciences
This article considers how trends in financing are changing governance at intergovernmental organizations (IGOs). Over the course of the twentieth century IGO funding rules changed in two important ways. First, they were altered to allow states greater control over the financial contributions they provide, allowing states to earmark' contributions. Second, funding rules made private actors eligible contributors, providing an important entry point for private actor influence. I focus on three primary effects of these changes on IGO governance: (1) how the increased reliance on earmarked contributions undermines traditional conceptions of multilateral governance; (2) how private actors are empowered by their ability to earmark resources as they emerge as major funders; and (3) on the surge in minilateral' governance associated with the rise of pooled funding mechanisms. I draw on delegation theory to illustrate these changes conceptually and provide examples from a wide variety of institutions within and outside the UN system. I conclude by outlining fruitful avenues for research on financing IGOs. Policy Implications See the implementation of IPSAS not as a mere technical exercise, but as a way to increase financial accountability and to provide better management information. Use the newly generated information under IPSAS to trigger management debates about core revenue flows, namely resource dependency and flexibility. Increase the level of transparency with respect to conditional voluntary contributions in order to properly inform and account for any outstanding performance obligations.

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Web of Science research areas
International Relations
Political Science
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