Saturday, December 10, 2011

The EU Adopted Budget Proposals for its External Instruments for 2014-2020

The European Commission on December 7 adopted budget proposals for its external instruments from 2014-2020. They will allow the Union to fulfill its responsibility on the global stage: fighting poverty and promoting democracy, peace, stability and prosperity. The range of instruments will support developing countries as well as countries in the European neighborhood and those that are preparing accession into the EU. The Commission will seek to target its resources where they are most needed, where they will have the highest impact while ensuring more flexibility to be able to react swiftly to unforeseen events. This budget will also enable the EU to further reinforce its role on the global stage and promote its interests and values.

Catherine Ashton, EU High Representative for Foreign Affairs and Security Policy/Vice-President of the Commission, said: "Even in times of crisis, Europe must look outwards and engage in the world. Our security and prosperity depend on what happens beyond our borders, not least in our own neighborhood. The EU will stand by its international commitments to the poorest and most vulnerable people, to those in our neighborhood undergoing transition and those in countries on a path to joining the Union. With these new external instruments we will also be much better placed to promote our own core values and interests, like human rights, democracy and the rule of law, but also to contribute to fighting poverty, preserving peace and resolving conflicts across the world."

European Commissioner for Development Andris Piebalgs stated: "The EU is the first donor in the world and we have to keep up our leadership in the fight against poverty. According to surveys, most Europeans agree that the EU should show solidarity by increasing its development aid. These proposals will enable the EU budget to contribute at a similar level than before to EU commitment to allocate 0.7% of EU GNI to aid by 2015. It is acknowledged that ensuring more inclusive and sustainable growth in the world is also in our EU interest. Today, we also confirm a shift in our relations with emerging countries and a focus of the aid on the poorest countries".

On the new European Neighbourhood and Pre-accession instruments Commissioner for Enlargement and European Neighbourhood Policy Štefan Füle commented: "These new instruments will allow us to respond even better in the future to our partner's needs and ambitions. Through the new European Neighbourhood Instrument and the Instrument for Pre-accession Assistance, support to our neighbours will become faster and more flexible; allowing for increased differentiation and incentives for best performers. At the same time it will continue to ensure the success of the democratisation process and improve economic and social development in our immediate neighbourhood, and support the reform process in those countries preparing for EU membership. "

The budget proposals will support the Commission's new approach - the "Agenda for Change"- to focus EU aid in fewer sectors supporting democracy, human rights and good governance and creating inclusive and sustainable growth.

Under the new principle of "differentiation," the EU will allocate a greater proportion of funds where aid can have the highest impact: in the regions and countries that are most in need, including in fragile states. Countries that can generate enough resources to ensure their own development will no longer receive bilateral grant aid and will instead benefit from new forms of partnership; they will continue to receive funds through thematic and regional program. This will be complemented by different innovative cooperation modalities such as the blending of grants and loans.

One of the major innovations and a key external policy tool is the new Partnership Instrument. It will aim to advance and promote EU interests and to address major global challenges. It will also allow the EU to pursue agendas beyond development cooperation with industrialized countries, emerging economies, and countries where the EU has significant interests.

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