Assistant to the Administrator for Management and Resources Michele Sumilas at Council of International Development Companies

ASSISTANT TO THE ADMINISTRATOR MICHELE SUMILAS: Thank you, Sarah [Hewson], for that introduction, and for all your efforts at Accenture to support global development work around the world. And Paul [Foldi], for the kind invitation to join this important conference. Good afternoon, everyone. It's great to be with you today. CIDC has always been an important partner for USAID and I am really pleased to be here today

In November 2021, Administrator [Samantha] Power laid out a new vision for global development in a speech at Georgetown University. Today, I'd like to walk you through some of the reforms we've been working to carry out over the course of this administration, equipping USAID to more effectively drive progress around the world.

Over the past several years, we've been grappling here, at USAID, - and I know many of you are experiencing this in your own organizations - with the recognition that the scale of our resources will never fully match the scale of the challenges in front of us.

Even in the face of record levels of global humanitarian need, USAID has remained committed to reaching people in need and making a difference, as we work to tackle the world's most pressing development challenges.

Take our work to combat malnutrition. In just the last year alone, USAID reached 39 million women and children with lifesaving nutrition interventions. That includes 28 million children and 11 million pregnant women who received the nourishment and support they need to fight hunger and live healthy lives. This is just one of dozens of examples we could put forward. But these efforts will never be enough to fill the need.

From historic rates of conflict to intensifying natural disasters, we are dealing with a world in crisis. So we've engaged in a huge effort across the Agency to address this fundamental challenge - to explore ways we can achieve progress beyond the scope and scale of our programs.

Over the course of this Administration, we've worked to do that in a few key ways.

First, we have focused on driving more catalytic change in the world - bringing in new partners and new resources to spur broader movements for change. We've worked to ramp up our engagement with the private sector, an invaluable partner and a force multiplier in driving development progress around the world. Across the Agency, USAID's active private sector partnerships now total some $43 billion. And for every $1 invested, USAID leverages about $5 from private sector partners.

Under our PSE Modernize reform initiative, we've equipped USAID with new systems, processes, and tools to more effectively engage with the private sector. We've created new incentives that encourage private sector engagement, while lowering the barriers to realizing these partnerships. For example, we launched the EDGE Fund - a dedicated and flexible set of resources that incentivizes partnerships with the private sector - with $100 million in funding so far, and the potential to mobilize an additional $2 billion in investments over the next five years.

As a result, we've launched over 40 new private sector partnerships around the world that are poised to create impact. In Guatemala, we intend to partner with Dole and other private companies to invest in technology that converts banana stems into high-quality fiber for textiles - creating jobs, helping banana producers boost their earnings, and establishing proof of concept in the $2 trillion global textile industry for a new, eco-friendly material.

And our work is just getting started. We just recently solicited proposals for an additional $50 million for the EDGE Fund 2025. Beyond EDGE, we launched AGRI Ukraine, a fund which has helped more than 15,000 Ukrainian farmers - 34 percent of the country's registered farmers - receive seeds, fertilizers, crop protection, storage, and financing to produce their harvests - generating production worth over $1 billion for the Ukrainian economy.

And, together with the Government of Norway, we launched the Financing for Agricultural Small-and-Medium Enterprises in Africa fund, designed to make critical, catalytic investments in African agriculture. There are just a few examples of how we've worked across other sectors.

We also created new tools to make it easier for potential private sector partners to join us in our work. This includes a Corporate Partnering Portal on our website WorkwithUSAID.gov. This is a place where business leaders can explore how to partner with USAID where private sector and development interests intersect, to increase our reach with potential partners.

This website has also helped us to draw in new, local partners - as part of our broader locally led development goals - by breaking down the process of partnering with USAID and equipping prospective new partners with tools and information that help them apply for funding.

And we've seen the interest. Since January 2024, WorkWithUSAID.gov has had 15,000 users, resulting in over 80,000 total views.

We've looked internally as well. For example, we've developed an internal network of global relationship managers and industry leads to engage companies proactively on behalf of USAID. We launched Compass, a relationship management platform to help us track and manage our partnerships across the Agency.

These reform efforts have yielded major success. Over the past three years, we've seen private sector contributions to USAID activities grow by 42 percent, expanding from about $560 million to nearly $800 million.

And, as we've worked to drive more catalytic change in the world, we've also looked inward. The second way we've worked to drive progress beyond programs is by maximizing our investments and getting better value for our money.

We've focused on tackling the paperwork and administrative burdens that have too often kept valuable partners at bay, and have slowed us down and drained our resources.

With support from our partners, USAID's Office of Small and Disadvantaged Business Utilization has achieved a historic milestone of obligating over $1 billion to American small businesses in a single fiscal year.

Last year, we created a dedicated, independent Office of the Chief Economist at USAID focused on using rigorous evidence to improve the impact per dollar of our programs.

In just 17 months, we've already taken a new look at some $1.5 billion in USAID activities and programming. Now, this is just 5 percent of USAID's total funding, but it is an essential start. And lays the groundwork for a future where we are delivering as much impact per dollar across our entire budget as we possibly can.

Although USAID's budget represents less than half a percent of the federal budget, it represents enormous potential for impact, and it is our responsibility to steward it wisely. USAID's work is a critical component of our larger U.S. National Security Strategy, and when we are more strategic and cost-effective with our investments, we more meaningfully contribute to reaching our nation's broader goals.

These efforts have yielded promising results - and now, we're working to institutionalize what we've learned so USAID can keep building on these gains and deepening our impact far into the future.

And last, we're working to strengthen our most important asset, the USAID workforce, because in order to be able to drive more catalytic change and deliver more value for money, we need a workforce equipped to drive these changes.

We've pursued what we've called our One USAID approach, an investment of our energy and resources into growing and strengthening our global workforce.

We've transitioned hundreds of positions that were formerly designated as contracted positions to much-needed direct hires.

We've invested in empowering our overseas local staff community who make up nearly three-quarters of our workforce overseas.

And we've equipped USAID's Foreign Service Officers with additional tools and training to help them succeed in their roles as development diplomats around the world.

USAID's core mission to alleviate global poverty, increase economic prosperity, and protect human dignity around the world will continue across every administration. This mission is complex.

And these are just a few of the ways we've worked to equip USAID to be a more nimble, effective development agency. As we reflect on these last few years, we also look to the future.

Let me also note that we cannot achieve our development outcomes without the hard work and efforts all of you put in. Thank you for partnering with us and working to achieve our shared development goals.

We know that so much of the reform agenda I've outlined today goes beyond just this Administration, it is just about USAID achieving its core mission better - reducing burdens, strengthening our workforce and making it easier for partners to bring their expertise to address our shared challenges.

In preparation for the transition in January at the White House, over the past few months, USAID leadership has been focused on preparing for a professional and comprehensive transition process so that the Agency can continue its vital global work without pause and set up the incoming leadership for success.

USAID remains committed to our mission, and our teams look forward to continuing to partner with you and your organizations. Thank you. I look forward to taking questions and engaging with you.

Public link

Please use the above public link if you want to share this noodl on another website.