FiTI introduces annual financial contributions from participating countries, starting 2019
BERLIN – 12 June 2018. The FiTI has made significant progress and is now experiencing an increasing demand from its stakeholders, in particular countries’ governments. A robust international administration and governance is needed to accompany countries all through the FiTI implementation process. It is also needed for continuous awareness raising, peer exchange, recognition of implementation successes, and for safeguarding the integrity of the initiative.
Therefore, the financial sustainability of FiTI’s global activities is crucial to ensure that the initiative meets its ambitious mission: increasing transparency and participation in fisheries governance for the benefit of a more sustainable management of marine fisheries.
Over the recent months, a number of countries indicated general willingness to provide annual financial contributions to the FiTI in return for the increased value that a strong international FiTI administration and governance can provide to their domestic reform efforts.
In its endeavours to establish a diversified funding model that encourages collective ownership by various stakeholders, the FiTI International Board decided at its 4th meeting in June 2018 to introduce mandatory, annual financial contributions from participating countries.
The Board decided, inter alia, that minimum annual financial contributions:
- will be determined based on the country’s Gross National Income, according to official World Bank classifications;
- will be aligned to four income level categories: low, low-middle, upper-middle, high;
- will be set as follows: Low income: 10.000 USD; Lower-Middle income: 20.000 USD; Upper-Middle income: 35.000 USD; High income: 50.000 USD;
- for countries that are officially categorised as a Small Island Developing State will also be determined according to their Gross National In-come, but reduced by 50%;
- will become effective on 1 January 2019;
- will become due after the public commitment of the country’s government to implement the FiTI (FiTI Standard, Part I, A.1);
- are mandatory – for countries that have not reached the official status of an FiTI Candidate country, failure to provide such contributions will be made transparent, e.g., on the FiTI website;
- for countries that have reach the official status of an FiTI Candidate country or FiTI Compliant country, failure to provide such contributions will restrict their ability to undergo regular validations in accordance with the FiTI Standard;
- will be used in an unrestricted way within the overall budget of the FiTI International Secretariat.
The Board further emphasised that any country is welcome to exceed their minimum annual financial contribution.
The Board also highlighted that financing for the international administration and governance for the FiTI will eventually come from a variety of funding sources, including participating country contributions, donor support, and other stakeholder contributions (e.g., from the private sector).
The meeting minutes of the 4th FiTI International Board meeting can be accessed here.