OECD Aid figures show ODA drop and EU Plans from the 9 April 2008

Development aid from the European Union’s 27 countries fell last year urging governments to live up to their commitments to give more to poor nations. EU aid amounted to 46.1 billion euros ($72 billion) in 2007 and fall down about 1.7 billion euros from 2006 adding that other major donors had also failed to fulfil their pledges. Louis Michel, EU Development Commissioner, has emphasized in his letter published in ‘Le Figaro’ that he regrets the decrease in overall EU aid.

According to him and Jean Louis Schultz, Luxemburg’s aid minister, 2007 was a serious failure for financial aid to development. Moreover, they said last year’s cut in Europe was unacceptable. “These 1.7 billion (euros) could have contributed to changing people’s lives,” they wrote in the letter, which was also published by a number of European newspapers. They urge the Europeans and other major donor to take their responsibilities and start to act accordingly.

The OECD Report, analysing ODA of its Members, has concluded the Overall Development Assistance has fallen by 8.4%. It is underlying that Aid from many DAC EU countries fell in real terms, due mainly to decreased debt relief: Belgium ( 11.2%), France (-15.9%), Italy (-3.6%), Portugal (-9.4%), Sweden (-2.6%) and the United Kingdom ( 29.1%). Excluding debt relief, aid rose in these countries with the exception of Portugal and the United Kingdom (where net ODA decreased slightly due to sales of equity investments).

Let’s remind that the EU committed at the 2005 G8 that half of the EU ODA increase should be going to Africa.

Today, on the 9th of April 2008, José Manuel Barroso, President of the European Commission, said: “Europe is the biggest donor in the world. Both Commission and Member States have shown commitment and ideas on development aid – but if we want to remain credible. We have to deliver on our promises. We are doing well on aid effectiveness but we have to be honest and admit that our 2007 aid volume performance is simply not good enough. We have to get back on track at the European level if we are to continue to lead at the global level. So 2008 must be a year for action, not just words. For example, Member States should set out clearly what they are prepared to spend on aid, year by year, until 2015. This will be an important subject for the European Council in June and for the G8 in July.”

Summary of the OECD 2007 ODA Report - html
Louis Michel on the ODA 2007 Report- le figaro – pdf
Facts and graphs ODA Report 2007 – pdf


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