More or less?
According to proposals published in December 2011 by the European Commission, the European Development Fund (EDF) will continue to be the largest EU external action instrument in financial terms in 2014-2020. ECDPM’s newest Briefing Note analyses financial contributions to the 11th EDF
by accounting for factors such as the total size of the EU’s population and economy, its overall inflation and the number of years covered by the EDF. This analysis can more accurately illustrate the true value of the proposed EDF and also offers different ways of comparing Member States’ contribution shares. The Briefing Note also looks into implications for Member States’ contributions in the event of an integration of the EDF into the EU budget. Since its creation, the EDF has been funded outside the EU budget by the EU Member States, and has been subject to its own financial rules and procedures.
West and China need to cooperate in fragile states
China’s growing economic, diplomatic and military engagement in conflict-affected countries, such as Sudan, bears risk and opportunities for peace building, a new paper published by Saferworld
finds. The authors observe that “as Chinese policy makers grapple with how to square new-found influence, greater responsibility and deepening interests, they may well find that the solution ultimately lies in working with others”. If China and Western donors engaged in dialogue and started coordinating their activities in fragile states, they could develop more complementary and more effective approaches to support stability and peace. The paper offers policy recommendations for both sides.
BRIC’s aid reduces poverty, but debt sustainability is a concern
The infrastructure focus of BRIC (Brazil, Russia, India, and China) development financing has benefited Low Income Countries by alleviating key bottlenecks, boosting export competitiveness and making goods and services more affordable to consumers according to this paper IMF working paper
by Nkunde Mwase and Yongzheng Yang. Continued cooperation can increase economic growth and reduce poverty in the long run, but there is concern over debt sustainability, pace of employment creation, labor practice, and competition with local firms.
Beyond development as a business by-product?
Development policy makers and practitioners alike have lately been emphasizing the need to enhance the role of the private sector in development and gathered at specialized events, such as BusinessEurope’s recent closed seminar, to discuss EU business’ role in development policy. ECDPM’s Bruce Byiers participated in this event and reflects on what “involving” the private sector in development is actually all about
, and what it would take to make it genuinely effective. “To what extent are development aspects key to private investment projects, and where is it simply a fortuitous by-product?” Byiers asks in an article on the Talking Points blog. He also assesses European efforts to bring the private sector in, and finds that the European Commission needs to work out more clearly how it wants to “involve” the private sector in more practical terms.
Additional articles in the Weekly Compass-Extended Version include:
More recently uploaded resources are available in the Weekly Compass-Extended Version