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Financing the Africa-EU Partnership

In 2009, the EU (27 Member States and the European Commission) was once again the largest provider of development aid in the world with more than half of global Official Development Assistance - € 48.2 billion.

Of this amount, € 10 billion were disbursed by the European Commission and 39% of those € 10 billion were dedicated to Africa (in comparison, the share to Asia was 18%). This support was made available through various instruments and channels (projects and sector wide approach, budget support, NGOs and multilateral institutions such as the World Bank and United Nations).

Financing the Joint Africa-EU Strategy: a shared responsibility

The Africa-EU Strategic Partnership is the overarching political framework guiding the relations between the two continents. It was adopted in December 2007 in Lisbon by 80 African and European Heads of States and Governments. The third Africa-EU Summit (November 2010) confirmed the Joint Strategy and its 8 thematic areas as the overarching framework for Africa-EU relations.

To implement the Joint Africa EU Strategy, Africa and the European Union committed to work closely together to secure appropriate funding. The same document of JAES states, that the financing of the Joint Africa EU Strategy is a joint responsibility that goes far beyond the European Commission: "Where possible [Community] instruments will be complemented by further contribution by EU Members States. Moreover, whenever possible, African financial instruments and AU Member States shall contribute to this process and an involvement of African financial institutions such as the African Development Bank will be ensured as appropriate".

The EU financing: different instruments for different needs

The European Commission has made efforts to mainstream the Strategy within the existing instruments within the EU Budget and the European Development Fund (EDF).

To date, and pending future arrangements in the framework in the post-2013 financial perspectives, those instruments comprise:

Some other EU financial instruments have also been used for specific purposes such as the 7 th Framework Programme for Research and Technological Development, commonly know as FP7. FP7 is a programme for mainly oriented to support internal European policy, but it also has substantive external policy component that has contributed to supporting the JAES.

The European Investment bank finances several types of projects, notably through the Africa EU Infrastructure Trust Fund (€368 millions), which supports Africa-EU Infrastructure partnership.   

In complement, the European Development Bank also has specific financing instruments that can be used to support the JAES though international partnerships.

European Union: the geographical instruments

Geographic instruments are the main tools for cooperation with African partner countries, and African regional organisations, including the African Union. To ensure predictability, funds are allocated on a multi-annual basis. Priority areas are defined in Strategy Papers, accompanied by Indicative programmes with financial indications for the activities foreseen. Yearly Annual Action Programmes further detail the projects to be carried out during the year.

The European Development Fund, which provides an average of €3.7 billion per year, is the main instrument for the EU's cooperation with 79 African, Caribbean and Pacific countries (including 48 countries from sub-Saharan Africa). Its scope is defined in the Cotonou Agreement. The Strategies and Indicative Programmes defining the specific areas of cooperation for each country are jointly elaborated with partner countries and regions.

Under the 9th and 10th EDF, the pan-African component of the Intra-ACP programme has for example largely financed the African Peace Facility (€1 billion), the African Union Capacity Building Programme (€95 millions).

Other parts of Africa are covered by the European Neighbourhood and Partnership Instrument which comprises the Mediterranean (5 African countries) and the geographic part of the Development Cooperation Instrument covering notably South Africa (Trade, Development and Cooperation Agreement, TDCA). The European Neighbourhood and Partnership Instrument for example funded a new project called "Paving the Way for the Mediterranean Solar Plan", with the objective to support the deployment of renewable energy in the Mediterranean region.

In the 2007-2013 period, the total amounts of the geographic instruments for the global areas under their scope is:

  • European Development Fund (EDF) – €22.7 billion
  • European Neighbourhood and Partnership Instrument (ENPI) – €11.2 billion
  • Development Cooperation Instrument – geographic programmes (DCI) – €10 billion

European Union: the thematic instruments for external action

With an overall average spending of €800 million per year, the EU's thematic programmes complement the geographical programmes, which remain the privileged framework for our cooperation with Africa.

The 5 thematic programmes of the Development Cooperation Instrument benefit all developing countries world wide. The activities covered are defined through multi-annual thematic Strategy Papers and Multiannual Indicative Programmes and further detailed in annual action programmes.

 1. The thematic programme "Investing in people" pursues a broad approach to development, poverty reduction and social cohesion. Driven by the ambition to help partner countries to achieve the Millennium Development Goals, this programme has four main axis: (1) good health for all, (2) education, knowledge and skills, (3) gender equality and (4) other aspects of human and social development (employment and social cohesion, children, youth and culture).

The thematic Programme Investing in People for example contributes to accelerating the achievement of the Education Targets of the MDGs – and is indirectly contributing  to priority action 4 of the Africa-EU MDG Partnership- through the catalytic fund of the Education For All initiative.

2. The Environment and Natural Resources Thematic Programme focuses on promoting environmental sustainability, including boosting resilience to climate change, fostering greener growth, facilitating access to sustainable energy, protecting human health and the environment from hazardous substances and creating conditions for sustainable food security. A healthy environment and sound management of natural resources are crucial for lasting poverty reduction and achievement of the Millennium Development Goals, while strong international environmental governance is required to reinforce the sustainability of global development.

The Environment and Natural Resources Thematic Programme has for example financed preliminary actions of the Great Green Wall for the Sahara and Sahel Initiative, which is a flagship project of the Africa-EU Climate Change Partnership.

3. The thematic programme Non-state actors and local authorities in development aimed at reinforcing the capacities of non-state actors and local authorities originating from the EU and partner countries. The overarching objective of this programme is poverty reduction in the context of sustainable development, including pursuit of the Millennium Development goals and other internationally agreed targets.

Under this programme, the European Commission allocates grants to co-finance activities on the basis of calls for proposals.

4. The Food Security Thematic Programme contributes to world efforts towards achieving MDG 1 on poverty and hunger. It addresses food security at global, continental and regional levels, and ensures transition from relief to development and assisting countries in particularly fragile situations. To do so, there are three strategic priorities for 2011-2013:

  • research, technology transfer and innovation to enhance food security;
  • strengthened governance approaches for food security;
  • addressing food security for the poor and vulnerable in fragile situations.

In the context of the Africa-EU Strategy, this thematic programme for example financed, for the period 2007-2010, the Better Training for Safer Food in Africa Programme aiming at strengthening capacity in the Sanitary and Phyto-Sanitary field in the continent. For 2011-2013, initiatives will, as a priority, support the implementation of the food security agenda of CAADP (Comprehensive Africa Agriculture Development Programme – African owned and led initiative) with the aim to enhance capacity of African institutions to comprehensively analyse and plan strategies and operational plans for food security.

5. The thematic programme on Migration and Asylum aims to support third countries in their efforts to ensure better management of migratory flows. While covering all facets on the migratory phenomenon (migration and development, labour migration, illegal migration and trafficking, migrants rights, asylum and international protection), the thematic programme is particularly directed to capacity building and  focuses mostly on Africa as well as the so-called Eastern route.

The African Remittances Institute, the establishment of an African Diaspora platform in Europe and the project supporting the Africa-EU Migration Mobility and Employment Partnership are all financed under this thematic Programme.

Thematic Programmes of Development Cooperation Instrument (DCI) for the 2007-2013 period for the global areas under their scope:

Those thematic development instruments are complemented by the European Instrument for Democracy and Human Rights (EIDHR), which has a global coverage for all non EU-country, and by the Instrument for Stability.

The European Instrument for Democracy and Human Rights (EIDHR)

The general objectives of European Instrument for Democracy and Human Rights (EIDHR) are to contribute to the development and consolidation of democracy and the rule of law, and respect for all human rights and fundamental freedoms. EIDHR builds on the work being done with and through civil society organisations aimed at defending the fundamental freedoms and helping civil society to become an effective force for political reform and defence of human rights.

The European Instrument for Democracy and Human Rights for example contributed to reinforce the EU and AU cooperation for human rights by financing the Africa-EU Civil Society Human Rights dialogue, which tackled issues such as torture and the freedom of association.

Instrument for Stability (IfS)

The Instrument for Stability is a strategic tool designed to address global security and development challenges in complement to geographic instruments, notably in the fields of disarmament, maritime security, linkages between organised crime and terrorism, including drugs issues, crisis management, post-conflict rehabilitation and reconstruction and uprooted people. A short-term component called "Crisis response and preparedness" aims to prevent conflict, support post-conflict political stabilisation and to ensure early recovery after a natural disaster. When conditions are stable, a long-term component exists. It is focused on fighting and protecting against the proliferation of weapons of mass destruction, anti-personnel landmines, and export controls of dual-use goods; strengthening response capacities to cross-border threats such as terrorism and organized crime, including the illicit trafficking of small arms and light weapons, drugs and human beings; enhancing pre- and post-crisis preparedness capacity building.

The IfS-financed project supports the fight against the proliferation of firearms and explosive materials in Africa complementing the Africa-EU strategic partnership. It aims at building capacity and fostering cooperation on sub regional and continental level including law enforcement and Customs agencies and relevant authorities in charge of National Strategies for SALW and also contributed to the African Union mission in Somalia.

Other thematic instruments, for the period 2007-2013, for the global areas under their scope:

Other EU instruments: external dimension of internal policies

In addition to the instruments specifically designed for the external action of the European Union, certain community instruments focusing on internal policies also have an external component. In the thematic areas in their remits, they can therefore also contribute to support external action.

For example, the 7th Framework Programme for Research and Technological Development (FP7), the EU's main instrument for funding research from 2007 to 2013, has a total budget of over € 50 billion, reflecting the high priority given to research in the EU. The Seventh Framework Programme bundles all research-related EU initiatives together under a common roof playing a crucial role to promote growth, competitiveness and employment. FP7 supports research in EU-selected priority areas through grants to research actors all over Europe and beyond, in order to co-finance research, technological development and demonstration projects.

The broad objectives of FP7 have been grouped into four categories:

  • Cooperation,
  • Ideas,
  • People,
  • Capacities.

For each type of objective, there is a specific programme corresponding to the main areas of EU research policy. All specific programmes work together to promote and encourage the creation of European poles of scientific excellence.

In July 2009, the EU’s 7th Research Framework Programme launched a call for proposals dedicated to Africa. The call covered research activities focusing on water and food security, environment, including climate change, and on better health for Africa. The call rules made the participation of African scientists compulsory, and required that they create consortia with their counterparts in the EU. 26 projects out of 188 proposals were selected for their scientific excellence, with a total budget of 71 million Euros. The call results are expected to strengthen local capacities and their applications in the relevant science and technology fields.

Technical Assistance has also been provided to the AUC Science, Technology and ICT unit in the form of officials seconded from RDT in 2008 and 2010. The FP7 platforms settled to facilitate the Policy Dialogues, MIRA (North Africa) and CAAST-net (sub-Saharan Africa) provide essential networking possibilities for the African scientific community as do IST-Africa and Euro-Africa ICT in the information society area. In parallel, ERA-NETs have been financed to promote the formation of consortia of Member State ministries and research agencies to jointly address African research priorities. The wide-ranging consultation for the eventual extension of GMES to Africa also benefited from several million euros support from the 7th Framework Programme.

Beyond the EU, other contributions to support the Africa-EU Partnership through aid effectiveness

The Joint Africa-EU Strategy is an innovative and inclusive framework for the relations between the two continents. All stakeholders on both sides – Institutions, Member States and non-State Actors - are invited to engage, including financially.

In this context, the Strategy is a test case for greater aid-effectiveness and better division of labour. It offers an important potential to promote aid effectiveness and put in practice the EU Code of Conduct on Complementarity and Division of Labour as it was expressed in Paris declaration and Accra agenda for action.

The coherence and synergies between Member States' existing cooperation with Africa and the Joint-Africa EU Strategy are to be reinforced, following the encouraging efforts of the past years, as for instance it is visible from the key achievements of the 1st Action Plan in the field of Infrastructure or Information and Communication Technologies.