Italy

Policy coherence for development and outlook

Italy is committed to implement the 2030 Agenda for Sustainable Development across its domestic and foreign policies in a comprehensive and strategic way to address the following global risks: economic strains, instability and insecurity, persistent inequality, environment and climate change. In fact, these priorities were at the centre of the agenda of the Italian G7 Presidency in 2017. Furthermore, in its most recent development cooperation reform, implemented in 2014, Italy commits to apply the principles agreed at the Busan High Level Forum of the Global Partnership for Effective Development Co-operation in 2011 and confirmed in Nairobi in 2016. In this framework, Italy is pursuing a progressively more coherent and integrated approach, focussing on more inclusive planning and project development, strengthened dialogue and co-ordination with development actors, adoption of regional, sector-wide and programme approaches, greater emphasis on seeking out “best fit” implementers and effective partners, as well as promoting inclusive partnerships. In this respect, the policy area of domestic revenue mobilisation follows the policy coherence requirements of the more general Italian development cooperation framework.

In order to design a strategic comprehensive approach to development co-operation, a National Sustainable Development Strategy (NSDS) was the output of a multi-level consultation process, endorsed by the Inter-ministerial Economic Planning Committee (CIPE), which is chaired by the Prime Minister, in December 2017. The NSDS plays a key role in ensuring coherence between domestic and external policies. Monitoring and review mechanisms will measure domestic and international policy impacts.

The policy vision of Italy’s development co-operation is outlined in the three-year Programming and Policy Planning Document (PPPD). The PPPD defines a comprehensive policy approach that makes the 2030 Agenda central to Italy’s policies to address global risks. It includes thematic and geographic priorities drawing on Italy’s wealth of experience and comparative advantage. In the Italian development co-operation system, policy coherence for sustainable development is a stated commitment as part of a whole-of-government approach, implemented through several institutional mechanisms. In particular, the Inter-ministerial Committee for Development Cooperation (CICS) is tasked with ensuring coordination of policies and programmes as well as coherence of domestic policies with the objectives and targets of development cooperation.

The link between the Sustainable Development Goals (SDG) and the reform of the tax policy and tax administration in partner countries is crucial to the Italian approach to development cooperation. In this framework, technical assistance in tax policy design as well as in capacity building of tax administration is not considered  a stand-alone field, but it is a component of the national strategy.