Small aid agencies to get largest lift in DfID funding stream

Small and medium-sized development agencies will be the biggest winners in the Department for International Development's (DfID) announcement of a 28 per cent increase in development funding for UK NGOs for the financial year 2005/6.

DfID distributes development funding for UK NGOs through the Civil Society Challenge Fund and Partnership Programme Agreements.

Of the £20m increase, £4m will be given to the Civil Society Challenge Fund and £16m to Partnership Programme Agreements. This represents a 40 per cent increase in funding to the Civil Society Challenge Fund, and a 27 per cent increase for the programme.

Oxfam said the additional money for small and medium-sized agencies would not affect its own DfID funding, which was worth £6.2m for this financial year.

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