No. 10 page1.pmd

International development assistance from richer to poorer (“developing”) economies accounts for major flows of capital, human resources and technical assistance. While the net direction of these flows remains a topic of hot debate, there have been several barriers identified to the efficient use of aid within developing countries, many of which revolve around difficulties with achieving “good governance” in recipient countries (World Bank, 2004). Donor agencies have consequently become increasingly interested in facilitating good governance in the aid recipient organisations they work with. However, Feachem (2004) in his capacity as Director of the Global Fund, has noted that it is now becoming increasingly obvious that good governance is also an issue on the “supply side”: competing interests and agencies within the United Nations and multilateral aid system; between different donor governments; and between a plethora of non-governmental organisations, is producing inefficiencies and a lack of coordinated activity.