In its 21st AidWatch report, published on Wednesday 22 October, the Concord network of European NGOs points out that a growing proportion of the Official Development Assistance (ODA) declared over the last decade by the EU and its Member States does not correspond to funding actually earmarked for developing countries.
By counting expenditure that should not be counted - in particular the costs of refugees in donor countries - the report argues that Europeans have artificially inflated their figures and blurred the primary purpose of ODA, namely the fight against poverty and global inequalities.
Concord also points to widespread budget cuts: “Eleven DAC countries – including seven EU Member States (Austria, Belgium, Finland, Germany, France, the Netherlands and Sweden) have announced or implemented reductions [in their ODA]. Together, these countries account for approximately 75% of global ODA. If cuts persist, the EU’s claim of being top ODA providers could be in jeopardy”.
Finally, the network noted a 23% increase in loans via the Global Gateway to upper-middle income partners in 2024, which is out of step with the commitments made at the FFD4 conference, where the EU undertook to give priority to the most neglected countries (see EUROPE 13671/17; 13672/19).
“The EU wants to boost its own competitiveness, but to do so is using money that should primarily benefit partner countries, to support European private sector investments around the world”, denounced Tanya Cox, the network’s director, on Wednesday, calling on the EU to restore the credibility of ODA.
Link to the full report: https://aeur.eu/f/j3b (Original version in French by Bernard Denuit)