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As a matter of principle and policy, everyone is on board with localization. USAID has issued its second Localization Progress Report with data from FY 2023, which shows that donors and implementers are making progress.
- The report shows progress towards USAID’s first goal of 25% of its funding being awarded directly to local partners:
- The report’s FY 2023 figure of 9.6% is a slight decrease from 10.2% in FY 2022, but new awards to local and regional entities increased by 45% since FY 2021.
- Also notable is that 20% of health funding went to local partners in 2023. (See Global Health Science and Practice’s commentary, Midpoint Reflections on USAID HIV Local Partner Transition Efforts.)
- The Localization Report also states that the Africa region has the highest proportion of direct local funding at 22%.
- The second goal of USAID’s localization program is that by FY 2025, at least half of USAID programs are led by local actors in leadership roles, setting priorities, determining program design, defining, and measuring results. USAID has piloted a locally lead program indicator that identifies elements of local leadership based on good practices (e.g., co-creation, listening tours to inform design, and use of local experts to evaluate programs). USAID expects to roll these indicators out soon.
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