According to the latest OECD data, the percentage of tied aid in italian ODA - discounting debt - is highest in Europe - above 70%. Tied concessional loans account for up to 73% of tied aid, thanks to an article in the ODA law, compelling to issue special waivers to un-tie concessional loans.
However, NGO funds allocation mightbe responsible for main share in the tied aid grants. Accurate estimates are impossible as 2006 data have not been fully reviewed, yet. However, according to the DAC tied-aid definition 100% of Italian NGOs committed-funds, following the national procedure, are tied.
The main responsibility lays within the administrative procedure for allocation: the Italian system is not based on call for proposals open to national and non-national NGOs.Actually, the only used procedure for funds allocations to NGOs consists of NGOs submitting spontaneous projects to the development cooperation to be screened following geographical or sectorial official cooperation priorities.
If the proposal fits with the main official priorities, it gest the whole budget funded by the Italian development cooperation. No-Italy based NGOs are excluded from all official funds.
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