Brussels, 07/12/2011 (Agence Europe) - The desire for maximum effectiveness and greatest impact from EU development aid for every last cent disbursed will guide EU development policy after 2013 and is reflected in the draft budget for 2014-2020, adopted by the European Commission on Wednesday 7 December. To ensure the success of this renewed, cross-cutting policy refocused on tackling poverty in the countries most in need of aid, support for democracy human rights, good governance and key sectors for inclusive sustainable growth, the proposed budget is €23.295 billion, to be delivered through the development cooperation instrument (DCI).
The proposal is in line with the priorities of programme for change presented on 13 October of this year (see EUROPE No 10473) and forms part of the package of budgetary proposals adopted by the Commission for its external action instruments (9 geographic and thematic instruments) amounting to a total of €96 billion, taking into account the new global realities and the importance for the EU of maintaining its place as a world player. The budgetary proposals were prepared in close cooperation with EU High Representative for Foreign Affairs and Security Policy Catherine Ashton to reflect the new priorities of EU foreign policy. “They confirm that even in times of crisis, Europe must look outwards and engage with the world because our prosperity and security depend on what happens beyond our borders, and not least in our neighbourhood”, said Development Commissioner Andris Piebalgs at a joint press conference with his colleague, Enlargement Commissioner Stefan Füle (for neighbourhood and pre-accession instruments, see related article).
The development cooperation instrument will cover three geographic programmes and three thematic programmes: - a global public goods and challenges programme (at less 25% of this programme's funding will be spent on climate change and environmental objectives and 20% on social inclusion and human development); - a programme to support civil society organisations and local authorities; - a new pan-African instrument.
“We know how scarce resources are, so we will remain flexible and reprioritise our programmes as required. Our focus will be on where the EU really adds value and the aim is to maximise our impact by close coordination with the member states and international financial institutions”, Piebalgs stated. The budget proposal will mean that the EU, already the world's top donor of public aid for development, maintains its share of the EU's overall commitment of allocation of 0.7% of GNI to aid by 2015, as it pledged to do to achieve the Millennium Development Goals (MDGs).
Out goes aid to emerging countries. To target the aid where it is most needed, and that includes fragile states, 17 upper middle income countries (Argentina, Brazil, Chile, China, Colombia, Costa Rica, Ecuador, Kazakhstan, Iran, Malaysia, Maldives, Mexico, Panama, Peru, Thailand, Venezuela and Uruguay), along with two very large middle income countries whose GDP is more than 1% of global GDP (India and Indonesia) will no longer receive aid in the form of subsidies, but will graduate to new forms of partnership. “Countries like China, India, Brazil and Argentina are now able to ensure their own development and our aid no longer has any significant impact on development. But let me be clear on this point, the EU will not disengage with these countries. We will cooperate with them via thematic or regional programmes and also through the newly created partnership instrument”, the commissioner said.
The partnership instrument, the major innovation of the package of budgetary proposals for 2014-2020 with its budget of €1.131 billion, will seek to advance and promote EU interests by supporting the external dimension of internal policies, such as competitiveness, research and innovation, and migration, and to address major global challenges, including energy security, climate change and the environment).
The European development fund (an indicative sum of €34.276 billion has been allocated to the 11th EDF), which finances cooperation between the EU and the ACP (Africa, Caribbean, Pacific) group of nations and cooperation with the overseas countries and territories (OCT), will remain outside the EU budget; the Commission proposes, however, that contributions from member states should be in line with their contributions to the budget. The EDF will be made more flexible so that money can be made available more swiftly in the event of any unforeseen events. The Commission will make its formal proposal in 2012 on the 11th EDF implementing regulation which will entail provisions on aid programming and implementation. (AN/transl.rt)