Aid risk management

Taking carefully considered but well managed risks is important to delivering Australia’s development objectives and to achieve good outcomes for the poorest and most vulnerable. Early identification of risk and risk management in all stages of a development investment improves outcomes.

DFAT has a number of policies that manage specific risks including on environmental and social safeguards, fraud control, child protection and terrorism financing. These risks and other operational risks are collated and managed using a risk and safeguard tool.

Development partner risks are assessed prior to entering into an agreement or contract through a due diligence assessment. This process is outlined in the Due Diligence Framework.

Further information on how DFAT manages development risk can be found in the Aid Programming Guide and the Risk Management for Aid Investments Guide

Last Updated: 2 April 2019