Policy Updates

On August 12, 2025, the UNDP, with US$10 million in funding from the Republic of Korea, launched the REVIVE project in Afghanistan to support over 350,000 people.

The project will run from July 2025 to July 2026 across six provinces: Badakhshan, Zabul, Daikundi, Faryab, Khost, and Nangarhar. The REVIVE project focuses on creating emergency employment, rehabilitating essential infrastructure, and improving community-level food security, with an emphasis on climate resilience and women’s empowerment.

UNDP Resident Representative in Afghanistan Stephen Rodriques stated that the project serves as a bridge between crisis and recovery by investing in local resilience and sustainable opportunities.

Chargé d’affaires of the Republic of Korea to Afghanistan Sung-hwan Moon reaffirmed his country's commitment to supporting the Afghan people, particularly women, children, and refugees, and highlighted that the project will help communities rebuild livelihoods and move toward a self-reliant future.

On August 9, 2025, the UK announced an additional GBP8.5 million (US$11 million) in humanitarian funding for Gaza, urging Israel to allow more assistance into the territory and reverse its plan to expand military operations.

The funding will be delivered through the OCHA's OPT Humanitarian Fund to provide food, water, and fuel. The pledge is part of the UK's total GBP101 million (US$135 million) ODA budget for the OPT for the financial year, of which GBP60 million (US$80 million) is allocated to humanitarian support. The UK is the largest donor to the fund in 2025.

Minister for International Development Jenny Chapman stated that the humanitarian catastrophe is ongoing and called for a return to a ceasefire and the release of all hostages. Chapman noted that the new funding can only be effective if Israel allows more assistance to enter safely and securely.

On August 8, 2025, the JICA determined the issuance conditions for two "Africa-TICAD Bonds" totaling JPY23 billion (US$155 million) to finance development projects in Africa, coinciding with the 9^th TICAD.

The non-guaranteed Sustainability Bonds will be issued in two tranches: one of JPY15 billion (US$101 million) with a three-year maturity and another of JPY8 billion (US$54 million) with a five-year maturity.

The net proceeds are slated to support new or ongoing eligible projects within the JICA's Finance and Investment operations, as defined by the JICA Social/Sustainability Bond Framework. Funding will not be allocated to activities related to coal-fired thermal power projects. The initiative aims to mobilize private finance and support Africa's independent and sustainable growth.

On August 4, 2025, JICA announced a US$6 million loan agreement with Thu Dau Mot Water Joint Stock Company to expand the Bau Bang Water Supply System in Vietnam.

The loan, co-financed by the ADB, will fund the construction of a new water treatment plant and an associated pipeline. The project aims to improve the urban sanitation environment and support sustainable economic growth in Bau Bang Hamlet, Ho Chi Minh City. The initiative contributes to SDG 6 (Clean water and sanitation) and 17 (Partnerships for the goals).

On August 4, 2025, the Gates Foundation announced a US$2.5 billion commitment through 2030 to accelerate R&D focused on women’s health, this pledge comes as many donor governments, including the US, are reducing their ODA budgets, placing a greater emphasis on private philanthropy to fill funding gaps.

The funding aims to address chronic underinvestment in the sector, noting that only 1% of healthcare research is for female-specific conditions beyond oncology. The investment will support over 40 innovations across five priority areas:

• Obstetric care and maternal immunization;
• Maternal health and nutrition;
• Gynecological and menstrual health;
• Contraceptive innovation; and
• Sexually transmitted infections.

The foundation urged governments, philanthropists, and the private sector to co-invest to close funding gaps. The announcement cited research showing that every US$1 invested in women’s health yields US$3 in economic growth and that closing the gender health gap could boost the global economy by US$1 trillion annually by 2040.

On August 4, 2025, the Australian government announced an additional AUD20 million (US$13 million) in humanitarian assistance for Gaza.

The funding will support organizations delivering food, medical supplies for field hospitals, and other support to women and children. The new package includes:

• AUD6 million (US$4 million) to the UN WFP for food supplies;
• AUD5 million (US$3 million) to UNICEF for nutritional support to children;
• AUD5 million (US$3 million) to the ICRC to meet essential needs, including access to healthcare;
• AUD2 million (US$1 million) for relief support with the UK; and
• AUD2 million (US$1 million) to the Jordan Hashemite Charity Organization for medical supplies.

The announcement brings Australia's total humanitarian commitment to Gaza and Lebanon to over AUD130 million (US$85 million) since October 2023. The government reiterated its call for an immediate ceasefire, the release of all hostages, and unimpeded aid access into Gaza.

On August 1, 2025, the French government announced it could not legally intervene to stop the planned destruction of US$10 million in contraceptives, which were purchased by the USAID under former President Joe Biden and set to be destroyed by the administration of President Donald Trump.

A US State Department spokesperson stated the decision to incinerate the unexpired products was based on the Mexico City Policy. The policy, reinstated in early 2025 by the Trump administration, prohibits providing assistance to NGOs that perform or promote abortions, though none of the products in question align with that description. The contraceptives, mostly long-acting products like IUDs and birth control implants, were intended for countries in SSA and stored in Geel, Belgium. The destruction was estimated byt the US State Department to cost US$167,000.

The US decision sparked criticism in France, with rights groups and left-wing politicians urging their government to halt the plan. France's health ministry, however, stated it had no legal basis to seize the products, as the products are not drugs of major therapeutic interest and no supply shortage exists in France. Multiple organizations, including MSI Reproductive Choices, offered to purchase the contraceptives at no cost to the US government, but their offers were rejected.

On July 31, 2025, JICA held a signing ceremony for a US$90 million loan to HDBank to support Vietnam's agricultural sector.

The loan is co-financed with FinDev Canada and SMBC. The project aims to improve access to finance in Vietnam's agricultural sector by providing long-term loans through the bank, thereby contributing to the expansion of agricultural production and income.

The project is the second under the SMBC- JICA Sustainable Finance Framework and is also part of SAFE. The initiative contributes to SDG # 1, SDG # 2, and SDG # 8.

On July 30, 2025, the German government published its 2026 draft budget, confirming a continued cut to Germany’s development spending and projecting a fall in the ODA/GNI to 0.52%.

The 2026 draft budget outlined a EUR9.9 billion (US$11.5 billion) allocation for the BMZ, a 3% decrease of EUR331 million (US$383 million) compared to the 2025 draft. The department's budget is planned to shrink further to EUR9.3 billion (US$10.8 billion) by 2029. This corresponds to a fall in ODA/GNI is from 0.56% of GNI in 2025 to 0.52% in 2026, and further to 0.43% by 2029.

Other ministries also faced cuts:

• The AA was allocated EUR6.1 billion (US$7.1 billion), a slight increase from 2025. The budget line for humanitarian assistance and crisis prevention remained unchanged at EUR1.43 billion (US$1.7 billion), following a 47% cut between 2024 and 2025;
• The BMG’s envelope for global health was set at EUR122 million (US$141 million), a decrease of EUR10 million (US$12 million) from 2025; and
• The BMFTR saw an overall budget decrease of 5%, and its budget line for health research, medical technology, and global health is cut by 15% to EUR327 million (US$379 million).

German Finance Minister Lars Klingbeil described the cuts as a political compromise, stating that coalition partners had pushed to either dismantle the ministry or significantly reduce its funding and supported Development Minister Reem Alabali-Radovan's pledge to improve spending efficiency.

Parliamentary discussions on the 2026 budget draft are set to commence following the summer recess, with final decisions expected at the Budget Committee’s settlement meeting in November 2025.

On July 30, 2025, the UNDP and the French Senate launched a new partnership by signing a MoU in Geneva to strengthen democratic governance and parliamentary institutions worldwide.

The partnership will support parliaments by strengthening lawmaking, executive oversight, and inclusive citizen participation. The cooperation will also offer capacity-building, peer learning, and tailored support for parliaments in political transition or decentralization, as well as assistance for thematic needs such as climate action and digital capacities. The initiative builds on a 2005 cooperation framework and leverages the UNDP's experience supporting 65 parliaments.

Vice-President of the French Senate Loïc Hervé emphasized that the collaboration will promote good governance by strengthening parliamentary capacities. UNDP Assistant Administrator Susan Brown stated that strengthening parliamentary capacity is essential to build trust in institutions and that the partnership will increase the support her organization can offer to parliaments. The signing was held at the French Permanent Mission in the presence of Ambassador Céline Jurgensen.