Development Cooperation Report 2012 - UNDP Afghanistan

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Both mechanisms are discussed below. [Figure 11] depicts the ratio of trust funds
compared to bilateral support in 2011.
SUPPORT THROUGH TRUST FUNDS
Designed to mobilize additional on-budget resources, the prime focus of the trust funds
mechanism (TF), namely the Afghanistan Reconstruction Trust Fund (ARTF) and the
Law and Order Trust Fund for Afghanistan (LOTFA), was to harmonize support for the
reconstruction effort. Since early 2002, a large number of donors have contributed to
the trust funds making them the largest financier of the government national budget.
While the ARTF and LOTFA still continue to support government priorities, the Afghan
government entered into a new partnership with the international community in 2010
to establish the Afghanistan Peace and Reintegration Trust Fund (APRP) in order to
help back up the peace process initiated by the government in 2010. The Afghanistan
Infrastructure Trust Fund (AITF) is also a new initiative that was created in December
2010. In general, the entire amount of External Assistance contributed through TFs
from 2002 reaches USD 7.5 billion by end 2011. See [Figure 12]
Figure 12: Summary of DPs' Total Contribution to Trust Funds
1,800
DEVELOPMENT COOPERATION REPORT
$ Millions
1,600
1,400
1,200
1,000
800
600
400
200
0
1,652
1,105 1,088
775 830
446 501
587
332
191
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011