International development cooperation stands at a critical crossroads. Traditionally, it aimed to support economic progress in developing countries through resource allocation, technology transfer, and expertise sharing. However, it has long been characterised by a donor-recipient dichotomy. As of 2026, the global landscape is shaped by overlapping crises, shifting global balance of power, sovereignty concerns, post-colonial tensions, the climate crisis, democratic backsliding, and a fast-changing economic landscape. The situation today demands a reassessment of the system, its goals, and its architecture. Failure to adapt could see traditional donors lose influence in a world that increasingly calls for more equitable, collaborative partnerships. The new global challenges require concerted action if we are to deliver sustainable development and shared benefits to all.
The modern international development system was shaped by 20th-century geopolitical realities, and consolidated in the post-World War II (WWII) order. Before WWII, there were examples of international financial assistance, such as humanitarian relief in the wake of disasters (Bracho et al. 2021, 75). However, it was the Marshall Plan, which provided substantial funds to rebuild war-torn Europe, that marked a transformative moment in the international development cooperation system. The plan led to the establishment of the Organisation for European Economic Cooperation (OEEC) in 1948 to administer the funds, which later became the Organisation for Economic Co-operation and Development (OECD) in 1961.
The same year, the OECD’s Development Assistance Committee (DAC) was created with a mandate to discuss development policies and best practices regarding aid flows and poverty reduction in developing countries. The DAC became a key platform for formulating development aid policies and setting global cooperation standards, including defining Official Development Assistance (ODA)1.
Nonetheless, the dominance of European and North American powers in these major international development institutions has underscored tensions between former colonial powers and newly independent states in the post-war period. Mexican diplomat and academic Gerardo Bracho explores this donor-recipient dynamic, sustaining that post-WWII aid systems continued indirect colonial influence in the post-colonial world. Bracho suggests that recipient countries often faced a dilemma between accepting aid and preserving sovereignty (Bracho et al. 2021). The development cooperation status quo has maintained these tensions relatively stifled in the past decades, but more recipient countries are now openly questioning the role of traditional donor-recipient relations and reconsidering sovereignty in the face of sometimes vital development aid transfers.
The rise of emerging donors, particularly China, offers an alternative for recipients wary of over-reliance on traditional donors. In 2023, China provided an estimated $3 billion in aid, rivaling traditional donors such as Australia and South Korea (OECD 2023). This shift challenges the established order, forcing traditional donors to rethink their strategies. While traditional donors emphasise governance, China focuses on technical assistance, forming partnerships based on shared priorities, even at the expense of governance or human rights. This approach has raised concerns among leaders and experts who link economic development with democratic resilience.
Moreover, emerging economies are becoming increasingly influential in international development cooperation, reshaping the traditional donor-recipient paradigm. For instance, forums like the Total Official Support for Sustainable Development (TOSSD)2, which provide a more comprehensive development measure than ODA, have rapidly gained traction among emerging donors and attracted widespread participation. Additionally, these donors are spearheading significant development finance initiatives through institutions like the Islamic Development Bank (IsDB) and the New Development Bank (NDB), actively shaping the global development architecture. In addition, alternative development cooperation models, particularly South-South and triangular cooperation, are gaining prominence. This growing influence underscores the need for traditional donors and institutions to adapt to a more diverse and multipolar development landscape.
While traditional donors have shared clear signals of openness to exploring new cooperation frameworks, as seen in the 2025 DAC High-Level Meeting, which highlighted a commitment to strengthening dialogues with all development co-operation stakeholders (OECD 2025), the long-term outcomes of these collaborations remain uncertain and require major dialogue between traditional and emerging donors to ensure that all perspectives are considered to guarantee sustainable development for all.
The future of international development cooperation depends on its stakeholders’ ability to adapt to this changing global reality. For traditional donors, staying relevant means transcending the donor-recipient framework and exploring innovative approaches that address 21st-century complexities. This involves aligning domestic policies and ensuring policy coherence between domestic priorities and global development goals, addressing concerns about colonial legacies and recipient country sovereignty, and rebuilding trust with international partners. Emerging donors and recipients, meanwhile, must continue to bring fresh perspectives and energy, especially in areas where traditional donors may fall short.
Ultimately, the new global landscape demands a genuine global conversation, with stakeholders working together to redefine the parameters of development cooperation and overcome the donor-recipient dichotomy. Shared goals, mutual benefit, and inclusive collaboration must underpin this dialogue to ensure “no one is left behind” becomes more than a slogan but a reality.
References
Footnotes
Official development assistance (ODA) is government aid that promotes and specifically targets the economic development and welfare of developing countries. Source: OECD www.oecd.org/en/topics/policy-issues/official-development-assistance-oda.html↩︎
Total Official Support for Sustainable Development (TOSSD) is an international standard for measuring the full array of resources to promote sustainable development in developing countries. Source: TOSSD tossd.org↩︎
Citation
@inproceedings{villegas2026,
author = {Villegas, Sebastian},
title = {The {Future} of {International} {Development} {Cooperation}
in a {Complex} {Global} {Landscape}},
booktitle = {Proceedings of the 1st Conference Cycles of Cytopia},
date = {2026-10-01},
url = {https://cytopia.fr/villegas2026},
isbn = {TBA},
langid = {en}
}