Sustainable Development Goals

Indicator 2.a.1 - The agriculture orientation index for government expenditures

The Agriculture Orientation Index (AOI) for Government Expenditures is defined as the Agriculture Share of Government Expenditures, divided by the Agriculture Share of GDP, where Agriculture refers to the agriculture, forestry, fishing and hunting sector. The measure is a currency-free index, calculated as the ratio of these two shares. This indicator will measure progress towards SDG Target 2.a.

Target 2.a

Increase investment, including through enhanced international cooperation, in rural infrastructure, agricultural research and extension services, technology development and plant and livestock gene banks in order to enhance agricultural productive capacity in developing countries, in particular least developed countries.

Agriculture Orientation Index for Government Expenditure in the world (2000–2020)

Impact

Government expenditure data gives potential for improved food security, reduced inequalities, inclusive growth and the creation of decent jobs.

Key results

The global agriculture orientation index (AOI) showed an increasing trend between 2015 and 2019; it receded in 2020 as higher expenditures went to non-agricultural activities. 

The AOI, which compares government expenditure for agriculture to the agriculture sector’s contribution to GDP, registered an increasing trend at the global level between 2015 and 2019. It receded in 2020 as higher expenditures went to non-agricultural activities, particularly those related to the COVID-19 response. Nonetheless, the global AOI remained higher in 2020 (0.51) than in 2015 (0.50). 

Between 2015 and 2020, public spending on agriculture increased in Asia, and particularly in Eastern and South-Eastern Asia, where the AOI increased from 0.98 in 2015 to 1.08 in 2020. The greatest relative increase in AOI was registered in Europe and Northern America, where the AOI went from 0.40 in 2015 to 0.51 in 2020. Smaller increases were also registered in Australia and New Zealand (from 0.23 in 2015 to 0.25 in 2020) and Northern Africa and Western Asia (from 0.31 to 0.32).  

Other regions saw their AOI decline over the same period, with Latin America and the Caribbean registering the largest drop (from 0.35 to 0.22). Sub-Saharan Africa and Oceania remain the regions with the lowest AOI, at 0.12 and 0.11 in 2020, respectively.

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