In the opinion of the European Development Ministers, the Report from the Eminent Persons Group with its recommendations for streamlining and improving the effectiveness of the future financial architecture for development provides a good basis for further work, which they hope will be political and strategic.
The public debate on the Wieser report on Monday 25 November provided an opportunity for Ministers to feed into the discussions that will continue at the Economic and Financial Affairs Council (Ecofin) on 5 December with a view to adopting conclusions, following an initial exchange of views on 10 October (see EUROPE 12346/5).
The report calls for the consolidation and rationalisation of development financing and climate actions in developing and neighbouring countries within a single entity: a 'European Bank for Climate and Sustainable Development' to avoid duplication (see EUROPE 12372/18).
Strengthening European coordination, highlighting European development policy (especially in relation to China), which is little known, although the EU is the largest donor, as it provides over half of the world's state-funded development aid: all the ministers recognised that this is an absolute necessity.
Stressing that this was first and foremost a political discussion, before choosing the most relevant options, Portugal's minister said that "before deciding on the architecture, we must decide on our priorities from a development perspective". He also asked whether it would not be appropriate to organise a joint meeting of the Foreign Affairs and Development Council and the Ecofin Council. Germany stressed the need for a "strategic link" between the ministers of these Council formations.
The same tone was taken by the French minister, who spoke of a "strategic exchange" and the need for "political leadership".
In a note ('non paper'), Portugal, Luxembourg and Greece advocate that the future financial architecture should be used in particular to promote EU values and European interests.
This exchange revealed points of convergence, which were welcomed by the EU High Representative, Federica Mogherini. Therefore:
. Ministers unanimously agreed that the status quo could not be an option.
. they wish to improve the existing situation, the political coordination, the narrative. Option 2 (creating a specific subsidiary within the EIB) seems to be being put aside, including by the Chairman of the Eminent Persons Group, Thomas Wieser.
. whatever option is finally chosen, it must work for the 2030 Agenda for Sustainable Development and its 17 SDGs, and the fight against climate change.
. before any decision is taken, options 1 and 3 must be the subject of a feasibility study by an independent body. These studies should be launched within six months, before summer 2020, so that a decision can be taken quickly, suggested Denmark.
. several delegations (such as the Netherlands) asked the EIB and the EBRD to refrain from amending their mandates before any final decision was taken.
. all agreed that it was a wise choice to prioritise Africa, least developed countries and fragile states with finance/investment deficits and the fight against climate change.
. several delegations, in particular those from Central and Eastern European countries, insisted, however, that the neighbouring countries and the Middle East should not be forgotten.
European Commissioner Neven Mimica stressed that, in a constantly changing world, sustainable development requires real partnerships and the use of all instruments, namely development financing, but also instruments that can have a leverage effect, as development aid alone cannot suffice to close the gap between requirements and available resources, including from private sector. He welcomed the report, in particular the short-term recommendations that give the Commission a central role.
EIB President Werner Hoyer stressed that his institution has had the required expertise and experience for Africa "for 25 years". (Original version in French by Aminata Niang)