Europarlement: armoedebestrijding heeft prioriteit, maar geen blanco cheque voor regeringen ontwikkelingslanden (en)

EU development aid needs "a significant increase in real terms" from the EU's next multi-annual budget to boost its impact and reach those most in need, says the Development Committee in a report, voted Wednesday, on future development policy. The EU should also go on funding support for developing countries' national budgets, provided that their public finances are sound and transparent, says another report, also voted Wednesday, on the future of budget support.

If development policy's ultimate aim - eradicating poverty - is to be achieved, then EU development aid must focus "on the poorest and most vulnerable countries and on reaching the poorest layers of society", says the report, drafted by Filip Kaczmarek (EPP, PL) on the future of development policy. MEPs want a stronger focus on impact and results, but warn that  aid funding should not concentrate on "easy countries" that present the least risks as regards the impact of aid. Aid should be phased out for "emerging" countries such as China, add MEPs. 

MEPs urge Member States and the Commission to find new sources of aid funding, such as a global financial transaction tax, but oppose any broadening of the OECD's original definition of Official Development Assistance (ODA), since many donor countries have masked reductions in their ODA by labelling ever more fields of activity as "ODA".

Promoting "pro-poor" growth

"We should not have a purely economic understanding of poverty since it is multi-dimensional and includes a whole range of economic, political, cultural deprivations and exclusions", warned Mr Kaczmarek.

Whilst acknowledging that economic growth is a crucial driver for development, MEPs stress that "the impact of growth on poverty eradication could be much higher if inequality is reduced and human rights are respected". Moreover, "growth should be promoted in areas where the poor earn their living, such as agriculture and the informal sector", they add.

Budget support, truly democratic ownership and leadership

In the budget support report, drafted by Charles Goerens (ALDE, LU), MEPs point out that the principle  underlying this aid instrument is that developing countries should own their development strategies. To this end, they call for more parliamentary oversight of spending and more involvement of civil society in holding governments accountable.

A key priority of budgetary assistance should be to develop a comprehensive tax system and viable fiscal administration as an independent source of funding for sustainable development.

Other advantages of budget support

Through budget support, donors help recipient country governments to meet key needs such as building schools and hospitals, paying teachers and medical staff and building infrastructure.

And the risks?

MEPs worry about the impact that suddenly breaking off budget support could have on the most vulnerable. They therefore recommend that if payments must be reduced, this be done in gradual stages.

Next steps

Both reports were approved by large majorities in committee, and should be put to a plenary vote at the June session in Brussels.

Background

The Kaczmarek report is a response to the Green Paper of the European Commission on the future of the development policy, published in November 2010.

The Goerens report sets out Parliament's input to a Commission Communication on budget support, to be published in the second half of 2011, in preparation for the EU's next multi-annual budget (2014-2020).