1. EC development financing instruments
Eero Saue A/2: Aid Effectiveness and
Relations with Member States
DG Development

2. Structure EU in the Global Context
What are the EC’s external aid instruments
Briefly on EC procurement

3. Political Context
MDGs
European Consensus
Paris Agenda
ODA commitments

4. 2000 MDGs

5. EU in the Global Context

6. Breakdown of EU aid

7. 2008 EC external aid budget External aid: €12.8 bn (9%)
EuropeAid EDF fund: €4.8 bn (37%)
Non-EuropeAid Budget: €3.3 bn (26%)
Commission budget inside EU: €124 bn (91%)
EuropeAid Budget: €4.6 bn (37%)
EuropeAid implements external assistance. This excludes pre-accession aid, humanitarian aid, and Common Foreign and Security Policy (CFSP) aid. EC total budget includes European Development Fund (EDF). NB – 2008 provisional figures (April 09)

8. EC External Aid Instruments
Policy driven instruments:
► Instrument for Pre-Accession Assistance (IPA)
► European Neighbourhood and Partnership Instrument (ENPI)
► Development Cooperation Instrument (DCI)
► European Development Fund (EDF)
► Economic Cooperation Instrument (ECI)
► Instrument for Nuclear Safety Cooperation (INSC)
► Human Rights and Democracy Instrument (EIDHR)
Crisis response instruments:
► Humanitarian Aid Instrument
► Macro-financial Assistance
► Instrument for Stability

9. Geography of funds
EuropeAid spending per region, ACP including South Africa and Bananas

10. IPA (ELARG) Scope Transition assistance Institution building
Cross-border cooperation
Regional, rural & human resources
development
Region Albania, Croatia, Serbia, Macedonia, Montenegro, B&H, Kosovo, Turkey
Funding Average €1.6 billion per year
Examples Visa systems, border management, consumer protection
Web

11. ENPI Scope Country and region specific programmes (95 %)
Cross border cooperation (CBC) programmes on the external borders (enhanced by ERDF funding)
Region: 17 countries: Mediterranean, Eastern Europe, Russia, Caucasus, Near East
Funding bln EUR , average €1.68 billion per year
Examples Palestine, all national envelopes, Eastern Partnership, NIF
web

12. DCI Geographic programmes
Scope: Country specific programmes
Funding: Average € 1.4 billion p.a.
Regions: Asia € 740 million
Latin America 380
South Africa 140
Central Asia 100
Middle East 70
ENPI (under thematic) 70,5
Examples: Primary education in India, Colombia, Peace Labs, Institution building in South Africa, development of SMEs in Kazakhstan, rule of law in Iraq
Web:

13. DCI Thematic programmes
Funding Average € 800 million p.a.
Region All third countries except industrialised/pre-accession
Themes Investing in people € 150 million
Environment 120
NSAs / local authorities 230
Food security 240
Migration / asylum 60
Examples: HR development in Fiji, food security in Niger, community dialogue in Lebanon, fight human trafficking
web

14. 10th EDF Legal Basis revised Cotonou Agreement:
Country and Region specific programmes
Thematic programmes
Coverage 77 African, Caribbean, Pacific countries, OCTs
Funding Total € billion
Average €3.7 billion per year
Period covered
web

15. EIDHR Scope Human rights Democracy (election observations) Rule of law
Fundamental freedoms
Region All third countries
Funding Average €160 million per year
Examples Rehabilitation of torture victims in Pakistan, support to Rwanda tribunal, fight against death penalty in China, promote indigenous peoples in Ecuador, election observation in Angola
web

16. Instrument for Stability
Scope
- Crisis response and preparedness (RELEX)
- Global and trans-regional border challenges (EuropeAid)
Region All third countries except industrialised countries
Funding Average €290 million per year
Examples combating trafficking of radioactive material, fighting drug trade, mediation for peace
Web

17. Instrument for nuclear safety cooperation
Scope - Nuclear safety
- Radiation protection, Nuclear material safeguards
Region All third countries except industrialised countries
Funding Average €75 million per year
Examples promote nuclear safety in Soviet-designed reactors, improve mgt of radioactive waste
Web

18. The Programming Process
Strategy Papers
Multi-annual Indicative Programmes
Action Programmes
► Analysis of the situation
► Response strategy
►Priority sectors
► 7 years
► revised at mid-term
►normally attached
to Strategy Papers
► set global and per priority allocations
► cover 3 – 4
years
►annual
► describe projects
identified for
financing
► define the
budget per
project
►lead to EC
decision &
commitments
of funds
* There is a specific strategy paper fro CBC.

19. EC procurement & grants
Eligibility rules
Financial Regulation
Practical Guide (“PRAG”)
EuropeAid funding opportunities

20. Summary EU donors = 27+1 Same objectives, different instruments
United in Diversity, for better impact