EITI and CONNEX: Lessons, Challenges and Complementarity

Commercial contract negotiations between governments and multinational corporations are complex, nowhere more so than in the extractive sector. Experience from the 51 EITI countries has shown the need for greater expertise on behalf of host governments when negotiating contracts.

The EITI is a Standard implemented by 51 countries and overseen at the national level by EITI National Commissions (also known as multi-stakeholder groups), which bring together government, companies and civil society groups to find common solutions to governance issues in the extractive sector.

The G7 CONNEX Initiative was launched in 2014 and aims to provide developing country partners with enhanced advisory support in relation to how best to negotiate complex commercial contracts, initially in the extractive sector.

This report was sponsored by the Government of Japan, the G7 presidency holder in 2016, as a project to highlight the points of complementarity between CONNEX and EITI, with case studies that explore the challenges facing four EITI countries on the issue of contract negotiation and how CONNEX can contribute expertise and assistance. It sets out some key recommendations for improving complementarity.