The United Nations Development Program: follow-up investment and procurement benefits

Abstract

The United Nations Development Program (UNDP) is the major technical assistance fund in the UN family of institutions. By purchasing goods and services, it affects developed and developing states alike. As well as distributing assistance, UNDP attempts to stimulate follow-up investment and procures goods and services from member states. UNDP project expenditures are correlated with public and private follow-up investment, but the relationship is rather weak. On the procurement side, developed states receive subcontracts, equipment orders, and fellowship students in direct relationship to their contributions to UNDP, and developing states attract employment possibilities for their nationals as UNDP experts in direct relationship to their contributions. Developed states receive the largest returns from UNDP procurement. Providing multilateral assistance is UNDP's primary activity, but the purchase of equipment, the generation of investment opportunities, and the employment of experts provide economic incentives for both developing and developed states.