SDG - User Guide

SDG Financing Tool

Overview

User Guide

Framework

Case Studies

Launch the Tool

User Guide

The SDG Financing tool (“SDGFiT”) is a framework to evaluate financing needs to achieve SDGs in a macroeconomic consistent and dynamic setting. The tool allows for the monitoring of the performance of achieving the SDGs and assesses additional financing options.

The tool consists of a set of accounting identities in the real, fiscal, and external sectors which ensure macroeconomic consistency. In addition, a Cobb-Douglas production function assures that spending on human and physical capital is consistent with output growth.

Detailed User Guide

Getting started with the tool

Setting your country's baseline

Start using this tool by setting your baseline scenario data. The tool comes pre-populated with data compiled from public sources by our team, but we strongly recommend that you check and update the data to best represent your country’s current fiscal data.

Setting your country's scenario

After completing your baseline, now you can create your comparison scenario. By adjusting the financing options you can assess how different financing will affect your county’s’ path towards reaching the SDGs.

Reviewing your dashboard

Once you've completed both your baseline and comparison scenario, you can review the outcomes on the comparison dashboard. The dashboard consists of a set of data and charts providing a visual representation of the evolution of available resources, the path towards the SDGs, and trends in selected macroeconomic variables. These charts are useful to assess the consistency of the baseline and to see how the financing options affect the country's trajectory towards the SDGs.

The tool focuses on five SDG sectors:

Health:
Ensuring healthy lives and promote well-being for all at all ages

Education:
Ensuring inclusive and equitable quality education and promote lifelong learning opportunities for all

Roads:
Providing access to safe, affordable, and sustainable transport

Electricity:
Ensuring access to affordable, reliable, sustainable, and modern energy for all

Water and Sanitation:
Ensuring availability and sustainable management of water and sanitation for all

Capabilities and Uses

The tool can be used to monitor the performance in achieving the SDG goals in the five sectors and evaluate the impact of different financing options. In particular:

Under a baseline scenario: Users can assess when the SDGs will be met or the magnitude of the financing gap to achieve the SDGs by a given year (e.g., additional financing needs to reach the SDGs by 2030) under current projections and policies.

Under policy scenarios: Users can create policy scenarios that incorporate different financing options, such as domestic revenue mobilization or increased Official Development Assistance (ODA). By creating these policy scenarios, users can compare the different paths towards SDGs within an internally consistent macroeconomic framework.

Key parameters: Users can change assumptions on growth projections, efficiency of public investment, and private financing and assess how they affect the path towards SDGs and other macroeconomic variables.

This is not an exhaustive list of capabilities as the tool has the flexibility to accommodate many different assumptions on economic fundamentals and alternative financing options.

The tool does NOT:

Quantify the cost of achieving the SDG goals – they are taken as given.
Provide indication on how to implement different financing options or whether these options are feasible given the country’s economic circumstances.

Getting started with the tool

The tool focuses on five SDG sectors:

Capabilities and Uses

Evaluate your country's SDG financing.

SDG Financing Tool