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Financing Global Sustainable Development:

Illustrations of EU contributions

to the 2030 Agenda

Financing Global Sustainable Development: Illustrations of EU contributions to the 2030 Agenda

The Addis Ababa Action Agenda, agreed at the third United Nations International Conference on

Financing for Development in July 2015, sets out a vision of how development financing should evolve

to support the 2030 Agenda for Sustainable Development, including the Sustainable Development

Goals. It provides a broad, coherent framework for bringing together a fuller range of mutually reinforcing

means of implementation and for mobilising support from a broader range of actors. Since July 2015,

the European Union (EU) and its Member States have undertaken a series of important commitments

to support this agenda.

One year on from the Addis Ababa Conference, it is timely to reflect on what progress the EU and its

Member States have made against these commitments. This document reflects the broad EU approach

to financing sustainable development and poverty eradication1 It is divided into two parts. The first, an

overview of the holistic, inclusive and modernised approach of the EU and its Member States, is focused

on three pillars: (i) support for harnessing domestic resources; (ii) investments; and (iii) international

public finance, including official development assistance (ODA). The second part of the document

contains selected illustrations of the contributions of the EU and its Member States in key thematic

sectors, including measures targeted on the least developed countries (LDCs), reflecting the EU’s focus

on those most in need. The second part also highlights the main achievements that have taken place

since the adoption of the Addis Ababa Action Agenda in July 2015.

The Addis Ababa Action Agenda is an integral part of the 2030 Agenda, which describes the means of

implementation needed to achieve the Sustainable Development Goals. It is only by bringing together

the means and the ends that we can successfully implement this ambitious agenda. Implementation

must be driven by a new global partnership, one based on the principles of universality, shared

responsibility, mutual accountability, consideration of respective capabilities and a multi-stakeholder

approach. The EU and its Member States are committed to supporting this new global partnership and

playing their part in full for the implementation of the new global development agenda.

1 This document is for communication purposes only and does not entail new EU commitments. For official EU documents on the New Global Partnership for Poverty Eradication and Sustainable Development After 2015, see Council Conclusions ‘A New Global Partnership for Poverty Eradication and Sustainable Development after 2015’ (http://data.consilium.europa.eu/doc/document/ST-9241-2015-INIT/en/pdf ) and Commission Communication ‘A Global Partnership for Poverty Eradication and Sustainable Development after 2015’ (https://ec.europa.eu/europeaid/sites/devco/files/com-2015-44-final-5-2-2015_en.pdf ).

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A holistic approach to sustainable development finance 2

1. The EU is helping countries to mobilise more domestic resources, improve public finance management and ensure debt sustainability 2

2. The EU is leveraging more development funding through blending and seeking

further partnerships with the private sector 4

3. The EU and its Member States continue to be the world’s largest provider of ODA 5

An integrated approach to key sectors of financing sustainable development 6

4. Environment and climate – The EU leads the efforts for a sustainable world 6

5. Trade – The EU remains the world’s most open market, importing EUR 860 billion

annually from developing countries 8

6. Science, technology and innovation – The EU’s EUR 77 billion research and innovation

programme, is fully open to participation from developing countries 9

7. Remittances – The EU contributes to reducing remittance costs to free up more funds

for development 10

8. Sustainable agriculture and nutrition – The EU is acting to lift 500 million people

in developing countries out of hunger and malnutrition by 2030 11

9. Energy – The EU is acting to lift 500 million people out of energy poverty by 2030 12

10. Human development and social inclusion – The EU champions poverty eradication, health,

education, decent work, safe workplaces, social protection and supporting well-managed migration 13

11. Gender – The EU places women at the centre of development cooperation 14

12. Peaceful societies – The EU provides support to improve governance and to enable people

to live safe, secure lives 15

13. Least developed countries – The EU focuses on those most in need 16

Table of Contents

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�� In October 2015, the ‘Collect More, Spend Better’ approach was adopted; it is based on the principles set out in the 2030 Agenda, including the Addis Ababa Action Agenda. It is a holistic strategy that addresses both the revenue and expenditure side of domestic public finance. This EU approach is based on the two guiding principles of ‘Leading by Example’ and ‘Global Partnerships’.

�� The EU, a signatory member of the Addis Tax Initiative and member of its steering group, is committed to fulfilling its obligations under the initiative. This includes contributing to a doubling of support to strengthen domestic resource mobilisation in devel-oping countries and to establish efficient, effective, transparent and fair tax systems.

�� The EU is investing EUR 42 million in a flagship pro-gramme of domestic resource mobilisation to boost developing countries’ generation of domestic reve-nue and tackle tax evasion, tax avoidance and illicit financial flows. A number of initiatives are already under preparation, such as the continued support to the Extractive Industries Transparency Initiative and assistance to the UN Tax Committee by supporting the participation of developing countries in the rel-evant sub-committees.

�� EU budget support programmes will continue to enhance developing countries’ public financial man-agement, including domestic revenue mobilisation. As of January 2016, the EU had ongoing budget sup-port commitments of EUR 12.76 billion through 271 operations in 91 countries.

1. The EU is helping countries to mobilise more domestic resources, improve public finance management and ensure debt sustainability

�� The EU provides an average of EUR 140 million annu-ally to support domestic public finance in developing countries.

�� All EU Member States have ratified the UN Conven-tion against Corruption.

�� To fight against corporate tax avoidance and harmful tax competition, in June 2016 the EU agreed on new rules to fight corporate tax avoidance as part of its Anti-Tax Avoidance Package. The package included tax-transparency measures to facilitate the auto-matic exchange of information between the tax authorities of Member States in line with the G20/OECD Base Erosion Profit Shifting package.

�� The proposed amendment to the Directive on Administrative Cooperation includes a requirement for ‘country-by-country’ reporting, obliging transna-tional corporations, in their tax declarations, to sup-ply country details that presently are not available.

�� In May 2015, the EU adopted a Directive on the pre-vention of the use of the financial system for the pur-poses of money laundering and terrorist financing. Its provisions will be transposed into national legisla-tion by June 2017. Under the directive, EU Member States will establish a public register identifying the ultimate beneficial owners of companies and trusts.

�� The EU established the Platform for Tax Good Gov-ernance, Aggressive Tax Planning and Double Taxa-tion to promote good governance in tax matters in third countries.

A h o l i s t i c a p p r o a c h t o s u s t a i n a b l e d e v

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v e l o p m e n t f i n a n c e

The Addis Tax Initiative, launched by, amongst others, the EU, the Netherlands, Germany, the UK, Luxembourg, Finland and Sweden during the Third Financing for Development Conference, has gained the support of 31 countries and 8 international organisations. The Initia-tive’s key commitment is the doubling of capacity build-ing efforts in developing countries to increase domestic revenue mobilisation.

Austria, Denmark, the UK, the Netherlands and Spain are supporting developing partners to strengthen their tax systems against tax evasion and tax avoidance. Their support includes funding to enable the OECD to assist developing country tax authorities in better administer-ing multinational transfer-pricing practices. Such assis-tance has enabled Kenya’s revenue authority to raise over EUR 12 million in additional tax revenue. In 2015, Denmark also launched a new implementation plan for its engagement in tax and development with support for new and ongoing activities in the range of EUR 74 mil-lion.

Austria supports the anti-corruption efforts of independ-ent audit institutions (notably through the International Organisation of Supreme Audit Institutions) and the improvement of public accounting systems through training, research and exchange of best practices in fighting corruption.

Poland is committed to supporting developing countries in combating illicit financial flows; this will be one of the thematic priorities of its development policy for 2016-2020.

Slovenia supports capacity development for the public financial management systems of partner countries.

To strengthen domestic revenue mobilisation in devel-oping countries, the Netherlands will not request tax exemptions when delivering goods and services paid for with government-to-government aid. The policy will apply to all new programmes starting from January 2016.

Ireland has introduced legislation to provide for country-by-country reporting by multinationals, thus increasing transparency about the global allocation of income, eco-nomic activity and taxes paid in each country in line with the approach agreed under the Organisation for Eco-nomic Co-operation Development (OECD) project on Base Erosion and Profit Shifting.

The UK government held an international anti-corrup-tion summit in London in May 2016. The event focused on the international actions needed to tackle illicit flows and meet the following objectives: deterring corruption, ending impunity for those who commit corruption, and supporting and empowering those who have suffered from corruption.

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2 Members of the Development Assistance Committee of the Organisation for Economic Cooperation and Development.

Blending�� The EU is at the forefront of efforts to develop innova-

tive approaches to financing development. From the creation of the first EU Facilities in 2007, more than EUR 2.7 billion of EU grants have leveraged almost EUR 23 billion of loans with a total investment vol-ume in partner countries of more than EUR 50 billion.

�� In 2015, a new EU instrument for blending, the Afri-can Investment Facility, was set up with an indicative pipeline of 148 projects. The Facility’s total envisaged grant amount of around EUR 2 billion will contribute to projects having a total investment cost of more than EUR 25 billion.

�� Building on existing initiatives, a new External Invest-ment Plan will be put in place in order to mobilise especially private investments in Africa and Neigh-bourhood region. EUR 3.1 billion will be mobilised to this end, including through EU facilities, expected to trigger total investments of up to EUR 31 billion and the potential to increase to EUR 62 billion if other partners match the EU contribution.

�� The EU, working together with partner countries, will invest in more than 500 new projects in key sectors such as sustainable energy, transport, infrastructure, water and sanitation, sustainable agriculture, and sup-port for small and medium-sized enterprises (SMEs).

Private sector�� Through its geographic and thematic programmes,

the EU will invest over EUR 2 billion by 2020 to sup-port local private sector development and facilitate responsible and inclusive private sector investment in development. Outside the EU, support for SMEs from the European Investment Bank (EIB) amounted to roughly EUR 2.5 billion per year over the period 2013-2015 (through all available instruments). More than 5 500 small and medium-sized enterprises (SMEs) employing over 250 000 people benefited.

�� EU action focuses on promoting an enabling busi-ness environment, responsible business practices (extending to practices in global supply chains and in specific sectors, such as garments), and private-sector engagement. The EU will step up support to micro-enterprises and SMEs, and will increase access to finance for youth, women, and rural populations.

�� To further encourage inclusive public-private policy dialogue in partner countries, EU Business Fora have recently been created in countries such as Ethiopia, Ghana, Uganda and Tanzania. In Senegal, a new memorandum of understanding between European

investors and the EU promotes the development of the local private sector, reinforcing its linkages with European enterprises and investors.

�� The EIB is investing in high-risk private sector projects that promise substantial social and environmental outcomes through an Impact Financing Envelope valued at EUR 500 million.

The Dutch Good Growth Fund (DGGF) provides EUR 700 million to SMEs and entrepreneurs in 68 emerging mar-kets and developing countries. It has mobilised three to five times as much private capital as the amount invested and has already helped create 12 000 new jobs in low- and middle-income countries.

The Czech Republic will continue to encourage private sector involvement in development cooperation through business-to-business programmes and by building synergies between the public, private and non-governmental sectors in partner countries.

Finland will increase by EUR 100 million annually its con-tribution to support and leverage sustainable develop-ment goals through equity and other investments, with an emphasis on poor countries.

Mechanisms such as geothermal risk mitigation facilities for East Africa and Latin America are designed to encour-age public and private investors and public private part-nerships: with grants of nearly EUR 100 million from the EU, France, Germany, the UK and other donors, up to EUR 2 billion total investments could be generated.

To leverage funding from local and international part-ners, Spain has set up two funds – the Sustainable Devel-opment Goals Fund (with EUR 52 million, which will finance programmes in 18 countries initially) and the Fund for Cooperation on Water and Sanitation.

As of 2016, the Italian Cassa Depositi e Prestiti operates as the Italian development Bank with an increased focus on private sector partnerships and private sector devel-opment in partner countries. The new institution will leverage a wide array of financial instruments to increase the impact of its development cooperation resources.

The Netherlands and Sweden back ‘Convergence’, a plat-form to support new and early-stage blended financing opportunities through strategic use of capital from pub-lic institutions. The goal is to rapidly unlock and leverage private sector investments into deals that support devel-opment outcomes.

Luxembourg launched a new Business Partnership Facil-ity that will encourage European companies to create sustainable partnerships with SMEs in developing coun-tries, thereby facilitating the transfer of investment, tech-nology and, most important, skills.

2. The EU is leveraging more development funding through blending and seeking further partnerships with the private sector

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Following the adoption of Italy’s Development Coopera-tion Reform Law (125/2014), the country’s additional allocations to ODA will triple for the next three years (additional amounts of EUR 120 million for 2016, EUR 240 million for 2017, EUR 360 million for 2018).

Sweden, Luxembourg, Denmark and the UK continue to live up to the UN commitment of providing 0.70 % of GNI in ODA.

During the UN Sustainable Development Summit in Sep-tember 2015, France announced an increase of EUR 4 billion to its sustainable development finance by 2020.

3. The EU and its Member States continue to be the world’s largest provider of ODA

�� The EU collectively provides more ODA than all other donors2 combined, having disbursed almost EUR 68 billion in 2015, an increase of 15 % from 2014. The EU is committed to achieving the UN 0.70 % ODA/GNI target within the time frame of the 2030 Agenda.

�� ODA remains an important source of financing for many developing countries, especially those most in need. The EU has undertaken a collective commit-ment to reach 0.15-0.20 % ODA/GNI to LDCs in the short term, and to reach 0.20 % ODA/GNI to LDCs within the time frame of the 2030 Agenda.

�� The EU is determined to continue progress towards its development effectiveness and transparency commitments, further strengthening the quality, impact and accountability of its spending.

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4. Environment and climate — The EU leads the efforts for a sustainable world

�� The EU has committed to spend at least 20 % of its budget for 2014-2020 on action related to climate change. This means that, by 2020, at least EUR 14 bil-lion of public grants (an average of EUR 2 billion per year) will have supported activities in developing countries. In addition to funding managed by the European Commission, the EIB is one of the world’s largest providers of climate finance with about EUR 2.2 billion per year allocated to climate-related pro-jects in developing countries. The EIB has adopted a new strategy to guide its climate finance setting a target to exceed 25 % of all EIB lending in support of climate mitigation and adaptation. By 2020, the EIB intends to increase the share of Climate Action finance to 35 % of its overall investments in develop-ing countries.

�� Under thematic programmes dealing specifically with environment and climate change in developing countries the EU will have invested around EUR 1.3 billion for the period 2014-2020, for example, EUR 81 million for water and over EUR 230 million for forests.

�� Over the same period, the EU will have provided up to EUR 1 billion for biodiversity and ecosystems, including wildlife conservation in both developed and developing countries.

�� In late 2015 a new phase of the Global Climate Change Alliance was announced, with a projected commitment of around EUR 350 million until 2020 in addition to the private and national public invest-ments that this financial support is expected to lever-age. The alliance mainly supports LDCs and small island developing states in adapting to the impacts of climate change and integrating climate change resilience into their development planning and implementation.

�� The EU also supports regional climate programmes and, for instance, over the period 2014-2020 plans to allocate EUR 300 million to the Latin America region. In early 2016 an amount of EUR 40 million was com-mitted to the EUROCLIMA+ programme to contrib-

ute to the environmentally sustainable and more climate-resilient development of Latin America and to support countries in that region in implementing the commitments made in the framework of the Paris Agreement.

�� The EU shares experiences, runs strategic dialogues and implements projects with a number of partner countries on biodiversity, ecosystems and natural capital accounting, providing support of EUR 170 million by 2020.

�� The EU expects to provide EUR 50 million in multilat-eral support by 2020 specifically for the sound man-agement of chemicals and waste — as their mismanagement primarily affects the poorest.

�� The EU is investing to support developing countries in the transformation towards an inclusive green economy, particularly in Asia and Africa, this will amount to around EUR 550 million by 2020. Addi-tional resources are being mobilized through blend-ing operations under investment facilities.

�� The EU is a leader in bilateral and multilateral nego-tiations on liberalising trade in green goods and ser-vices, which must be accelerated to advance global action to mitigate climate change.

�� In addition, EU climate diplomacy is focusing on: (i) maintaining climate change advocacy; (ii) support-ing implementation of the Paris Agreement and related climate plans; and (iii) increasing efforts to address the nexus of climate change, natural resources, prosperity, stability and migration.

�� The EU is working internally and at international level to encourage green investments, and align the capi-tal markets to the low carbon and climate resilient development in line with the Paris agreement. As also noted in the Capital Markets Union Action Plan, this shift in investment can contribute towards deliv-ering the 2030 climate and energy policy objectives and the EU’s commitments on the Sustainable Devel-opment Goals.

An integrated approach to key sec tors of

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f inancing sustainable development

Almost 90 % of the EUR 17 billion of sovereign climate finance pledges made in the run-up to COP21 came from the EU and its Member States. For example, France com-mitted to spend by 2020 an extra EUR 2 billion per year on the fight against climate change, raising its total con-tribution from EUR 3 billion to EUR 5 billion.

23 EU Member States have committed collectively more than EUR 4.2 billion to the Green Climate Fund (2015-2018), half of the pledges received by the fund so far.

France is committed to spending an average of EUR 160 million annually in support of biodiversity and to ensure that 50 % of its support to developing countries will also benefit the climate.

As a deliverable for the third Financing for Development Conference, the Netherlands, in partnership with the World Bank and others, has launched the Local Water Banks Initiative to present opportunities for water sector investments to private investors in developing countries.

Spain has provided EUR 790 million for water and sanita-tion in Latin America. It will continue to support this sec-tor in the coming years.

Denmark has established the Danish Climate Investment Fund as an innovative public-private partnership. Over time, the fund is expected to mobilise EUR 1.0-1.3 billion for climate investments in developing countries.

Germany annually commits EUR 500 million for the global conservation of biodiversity. On average, half of this funding is allocated to the protection and sustaina-ble management of forests and other ecosystems.

Slovenia is funding several projects on safe drinking water and sustainable waste management in the west-ern Balkans.

Hungary is committed to continuing to promote sustain-able use of water resources and sustainable water man-agement in the regions of the western Balkans, Africa, and South and Southeast Asia. The issue is also a priority in Hungary’s development diplomacy, as manifested by the Budapest Water Summit 2016.

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5. Trade — The EU remains the world’s most open market, importing EUR 860 billion annually from developing countries

�� The EU Generalised System of Preferences and GSP+ schemes extended to developing countries are among the most comprehensive, accessible and valuable schemes in the world. Estimates indicate that their monetary value to the developing world amounts to more than EUR 6 billion annually. At the same time, they help to address social and other structural needs in partner countries.

�� According to the latest available data (for 2013), the EU and its Member States have contributed EUR 11.7 billion in Aid for Trade, well over their standing com-mitment of EUR 8 billion, and improved access for LDCs through the provision of EUR 2.6 billion in Aid for Trade in 2013 alone.

�� In October 2015 the EU adopted a strategy known as ‘Trade for all: Towards a more responsible trade and investment policy’. The goal was to make trade agree-ments more effective, to take account of new eco-nomic realities (such as global supply chains) and to create jobs. The strategy further reinforces synergies between trade and sustainable development through policies to encourage responsible manage-ment of supply chains and support to fair and ethical trade, among others.

�� At the Nairobi World Trade Organization (WTO) Min-isterial Conference in December 2015, the EU contri-bution was instrumental to the conclusion of an important agreement on export competition in agri-culture. The deal provides for the elimination of all forms of agricultural export subsidy and the intro-duction of substantive disciplines on other poten-tially trade-distorting export-support measures.

Germany demonstrates its support for the Aid for Trade initiative by contributing more than EUR 3 billion annu-ally.

Belgium will step up its efforts to improve market access for small producer organisations and micro, small, and medium-sized enterprises from developing countries which engage in fair and sustainable trade.

The UK is co-financing a EUR 6.3 million programme with multinational companies to improve the productivity and sustainability of supply chains by making social invest-ments in farms and factories in developing countries.

Belgium, Finland, the Netherlands, Sweden and the UK contribute to TradeMark East Africa in order to support the growth of sustainable trade and economic develop-ment in the region.

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6. Science, technology and innovation — The EU’s EUR 77 billion research and innovation programme, is fully open to participation from developing countries

�� Horizon 2020, the EU Framework Programme for Research and Innovation, contributed to sustainable development with 46 % of the total expenditure of the year already in 2014; this share is expected to grow over the coming years towards 60 % for sustain-able development, and 35 % for climate action. It is fully open to the world, allowing the participation of researchers and innovators from developing coun-tries.

�� The EU and its Member States will jointly provide EUR 2 billion to Sub-Saharan African countries through the European and Developing Countries Clinical Tri-als Partnership.

�� The EU and the African Union, together with their respective Member States, started implementing the first priority area for the EU-Africa Research and Inno-vation Partnership focused on food and nutrition security and sustainable agriculture.

�� The European Commission is an active member and co-chair of the Belmont Forum, an international grouping of 21 funding agencies, worldwide, sup-porting the co-design and co-development of solu-tion-oriented research for understanding, preventing, mitigating and adapting to global environmental change. The total envelope from the funding agen-cies for joint activities is above than EUR 100 million for the period in 2014-2016.

�� For accelerated development of an Ebola vaccine with long-term efficacy, the EIB has provided a EUR 50 million loan to an international biopharmaceutical company.

�� A “Zika call” was launched in spring 2016 and mobi-lised EUR 10 million for research on the Zika virus.

The Mission Innovation initiative, launched at COP21 (Conference of Parties) by 20 countries (including France, Germany, Sweden and the UK) and 27 leading investors, aims to double investment for innovation in low-carbon technology and clean energy research in order to incen-tivise — and lower the cost of — the development of low-carbon technology and make clean, affordable energy widely available.

Finland will leverage private sector innovation for devel-opment through the EUR 50 million Business with Impact programme for 2015-2019.

Estonia and Austria will continue efforts to introduce innovative e-governance solutions and practices in inter-ested partner countries.

The UK has launched the innovative EUR 1.3 billion Ross Fund, which will develop, test and deliver a range of new medical products (including vaccines, drugs and diag-nostics) to combat the world’s most serious diseases in developing countries. The fund will undertake research and development into anti-microbial resistance, diseases with epidemic potential (such as Ebola) and neglected tropical diseases.

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�� At the Valletta EU-Africa Summit on Migration in November 2015, the EU and its Member States renewed their commitment to contribute to the reduction of remittance costs to below 3 % by 2030 and to eliminate remittance corridors with costs higher than 5 %.

�� Through the International Fund for Agriculture and Development’s multi-donor Financing Facility for Remittances (EUR 35 million), the EU funds small-scale projects in developing countries that aim to reduce remittance costs and transaction times and to maximise the impact of remittances on local eco-nomic and social development, especially in rural areas.

�� The EU is supporting financial inclusion initiatives aimed at bringing 2 billion people into the formal financial system. This contributes to the effort to mobilise close to EUR 500 billion in global diaspora savings per year.

�� By adopting a revised Directive on Payment Services in October 2015, the EU is contributing to enhanced cost transparency, innovation, security and competi-tion with respect to remittances sent from and within the EU. Member States have two years to implement the directive.

7. Remittances — The EU contributes to reducing remittance costs to free up more funds for development

Italy is reducing remittance costs to benefit transfers to the main recipient countries (from 7.65 % in 2009 to 5.3 % in 2015), and engaged in further reducing these costs through promoting competition and transparency.

The UK is acting to reduce the cost of remittances by supporting the development of technology-enabled payments infrastructure in developing countries, as well as regulatory and policy reform.

Romania supports reducing remittance costs with part-ner countries and has signed an agreement with the Republic of Moldova in this area.

Since 2007, Germany has operated www.GeldtransFAIR.de, a web portal for comparing remittance prices, in order to increase transparency and consumer protection.

France has enacted a law to enhance migrant banking. The legislation facilitates the access of developing coun-tries’ banks to the French market and allows the develop-ment of specific financial products to benefit diasporas residing in France.

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8. Sustainable agriculture and nutrition — the EU is acting to lift 500 million people in developing countries out of hunger and malnutrition by 2030

�� The EU will support 62 developing countries to improve nutrition, enhance resilience to food crises, promote sustainability and boost inclusive growth through agriculture. Among other measures, the Agriculture Financing Initiative aims to mobilise the private sector’s potential to generate inclusive and sustainable growth in developing countries.

�� By 2020, the EU will have invested EUR 8.8 billion in food and nutrition security, of which EUR 3.5 billion will help partner countries to reduce the number of children suffering from undernutrition by 7 million before 2025.

�� The EU is mobilizing a global contribution of about EUR 540 million to support countries most affected by the current food security crisis, including those caused by El Niño.

�� The EIB has invested up to EUR 16 million in the Sen-egal River Valley Rice private sector project which targets the production, processing and storage of rice in the Senegal River Valley. A high developmen-tal impact is expected, contributing to food security, climate change adaptation, and rural poverty reduc-tion.

As part of a broad effort involving their partner countries and international actors, and as a significant contribution to the 2030 Agenda, the G7 aims to lift 500 million peo-ple in developing countries out of hunger and malnutri-tion by 2030. Germany is investing EUR 1.5 billion in food and nutrition security under an initiative entitled ‘One World — No Hunger’.

The Netherlands is working on an initiative to develop the Access to Seeds Index, bridging the gap between the world’s leading seed companies and smallholder farmers.

Belgium and Italy are investing EUR 105 million and EUR 500 million, respectively, to improve sustainable agricul-ture and food security.

Ireland has now met and is committed to maintaining its target of investing 20 % of the Irish Aid budget in the fight against hunger and undernutrition.

Poland will step up its financial support for the develop-ment of sustainable agriculture in its priority countries in Sub-Saharan Africa in its 2016-2020 multiannual development programme.

The Danish government and the Investment Fund for Developing Countries have established, in collaboration with pension funds, the new Danish Agribusiness Fund. With a total capital commitment of EUR 110 million, the fund is expected to generate investments of close to EUR 810 million in improved production, distribution and food sales in developing countries.

The EU and its Member States remain the most impor-tant funder of the UN Food and Agricultural Organization (FAO), contributing about 45 % of FAO’s resources in 2012-2014, while also supporting the Committee on World Food Security, SAVE FOOD, and the Scaling Up Nutrition launched by the UN Secretary General in 2012, which harnesses leadership and accountability to attain the global objective of eradicating malnutrition.

UK, France, Germany, Ireland, the Netherlands and the EU contribute and are members of the Scaling Up Nutri-tion movement.

France, Ireland, Italy, the Netherlands, Spain and the UK participate and contribute to the Global Alliance for Climate-Smart Agriculture. The Netherlands supports the Global Action Network for Blue Growth and Food Security.

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9. Energy — The EU is acting to lift 500 million people out of energy poverty by 2030

Germany will support at least 25 partner countries in the energy sector and facilitate access to modern energy for an additional 100 million people by 2030.

Through the Energy Africa campaign, the UK aims to accelerate the expansion of the household solar market in Africa and help to bring universal energy access in the continent forward from 2080 to 2030.

The EU, France, Germany, Italy, the UK, Sweden and the Netherlands are participating in the Africa Renewable Energy Initiative, an African-led plan to reduce energy poverty on the continent. The initiative aims to achieve at least 10 GW of new and additional renewable genera-tion capacity by 2020 and acknowledges the renewable resource potential in Africa, which the IRENA Africa Remap 2030 estimates as sufficient to generate at least 300 GW by 2030. At COP21, the EU, the above-mentioned EU Member States plus Canada, Japan and the United States, jointly pledged USD 10 billion cumulatively from 2015 to 2020 towards the initiative which remains open to other signatories.

The Netherlands aims to provide access to renewable energy for 50 million people in developing countries by 2030.

Austria is placing particular emphasis on the financing of private sector projects in renewable energy and energy efficiency in developing countries. By end-2015, the Austrian Development Bank had committed more than EUR 370 million to ongoing renewable energy and energy efficiency projects.

�� The EU is assisting developing countries in providing energy access for up to 500 million people by 2030.

�� Through its support to the objectives of the Sustain-able Energy for All initiative, the EU will allocate at least EUR 3.5 billion to the energy sector up to 2020. This should leverage around EUR 30 billion of energy investments in developing countries.

�� Through its Electrification Financing Initiative, Elec-triFI, the EU is contributing to increasing access to affordable, reliable, sustainable and modern energy in developing countries, with a total of EUR 270 mil-lion in EU investments envisaged by 2017. The first invitation for applications has already generated 290 projects in 55 countries with a total investment amount of EUR 8.5 billion for installing 3.7 GW in new renewable energy generation capacity.

�� During COP21, the Covenant of Mayors for Sub-Saharan Africa programme was launched with an initial budget of EUR 10 million over four years. The objec-tive is to increase the capacities of pilot cities in Sub-Saharan Africa to provide access to sufficient, sustainable and safe energy-related services to urban and peri-urban populations, with a focus on energy efficiency and renewable energy.

�� The EIB is one of the world’s largest energy lenders. Over the past five years it has provided more than EUR 70 billion for long-term energy investment. It is supporting projects like the OMVG (Organisation pour la Mise en Valeur du Fleuve Gambie) with global loans of EUR 65 million to Guinea and EUR 20 million to Sen-egal. This investment will support the construction of a 925 km high-voltage transmission network.Ger-many will support at least 25 partner countries in the energy sector and facilitate access to modern energy for an additional 100 million people by 2030.

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10. Human development and social inclusion — The EU champions poverty eradication, health, education, decent work, safe workplaces, social protection and supporting well-managed migration

�� Through to 2020, the EU is allocating at least 20 % of its development budget (approximately EUR 3 billion per year) to human development, poverty eradica-tion, health and safety, and social inclusion. By 2020, the EU will have invested EUR 14 billion in human development, with almost half allocated for health and a quarter for education.

�� To help build strong health and education systems the EU will, for the period until 2020, support more than 50 developing countries with at least EUR 4.7 billion allocated to bilateral programmes and EUR 1.7 billion through global mechanisms.

�� In March 2016, the EU announced that it will contrib-ute EUR 470 million to the Global Fund to Fight AIDS, Tuberculosis and Malaria for the period 2017-2019, representing a 27 % increase over its funding for the previous three years. This grant also supports the Global Fund’s ambitious objective to help save 8 mil-lion more lives and avert up to 300 million new infec-tions over the next three years.

�� The EU is contributing to GAVI, the vaccine alliance, which will amount to EUR 200 million for the period 2016-2020. This support is helping GAVI to immunise 300 million children, preventing 5-6 million deaths.

�� With a financial commitment of EUR 375 million, the EU is the main donor of the Global Partnership for Education, which supports quality basic education in 61 developing countries. Moreover, through the Eras-mus+ programme (EUR 1.45 billion), the EU is sup-porting the integration into higher education of refugees from conflict-affected countries.

�� The EU will support the strengthening of social pro-tection systems in at least 20 countries by 2020.

�� The EU supports multilateral and regional efforts to promote responsible business conduct through actions geared towards promoting decent work in global supply chains.

Spain will invest EUR 46 million in a health initiative in Central America providing services to 260 000 children.

In light of the lessons learnt from the Ebola crisis, Ger-many expanded bilateral cooperation to strengthen health systems in Africa with an additional EUR 200 mil-lion in 2015 and 2016.

EU Member States, including Portugal, Malta and Hun-gary will continue to provide education assistance. Por-tugal will invest over EUR 450 million in education in Africa and Timor-Leste. Malta will continue to focus on providing education assistance to children and young people from developing countries, particularly those in Africa. Hungary will continue to offer hundreds of gov-ernment scholarships for students coming from devel-oping countries to Hungarian higher education institutions.

Greece will continue to provide tertiary scholarships to students from developing countries for studies in Greek universities. These scholarships are currently valued at around EUR 2 million per year.

The Czech Republic will continue to support educational projects through a teacher exchange programme focused on sharing expertise among university teachers in partner countries.

By 2020, the UK will help 11 million children in the poor-est countries gain a decent education, improve nutrition for 50 million people who would otherwise go hungry, help 60 million people gain access to clean water and sanitation, and save 1.4 million lives by immunising 76 million children against killer diseases.

14

�� The EU will implement its Gender Action Plan (GAP II) to promote gender equality and girls’ and women’s empowerment through targeted actions, policy dia-logue, and mainstreaming of gender into all pro-grammes.

�� By 2020, the EU will have allocated around EUR 138 million to gender-specific actions and is mainstream-ing gender throughout its cooperation activities. At least 85 % of its new cooperation programmes will have a gender component, consistent with GAP II.

11. Gender — The EU places women at the centre of development cooperation

Denmark has allocated approximately EUR 450 million of ODA annually to a broad range of interventions in sup-port of gender equality.

The Netherlands is providing EUR 40 million of direct support to gender equality annually through various funding frameworks. Besides, the Netherlands works on the systematic strengthening of the gender dimension in development cooperation as a whole by making use of specific thematic instruments and expertise for gen-der mainstreaming.

EU Member States, including Latvia, Finland, France, Spain, Italy, Lithuania, Slovenia, Sweden, Slovakia and the Netherlands, finance targeted initiatives to ensure gender equality and women’s rights. Examples include the Netherlands’ Funding Leadership and Opportunities for Women fund (EUR 95 million), which supports more than 100 local organisations in their activities to imple-ment women’s rights and gender equality.

Italy’s Development Cooperation Policy Guidelines for 2016-2018 emphasise gender equality and women’s empowerment. An additional commitment of EUR 50 million for the period 2016-2017 was announced in Sep-tember 2015.

In line with the French Gender and Development Strat-egy, the French Development Agency adopted a cross-cutting intervention framework, with the objective of providing 50 % of its operations with a gender compo-nent by 2017.

15

� In November 2015, at the Valletta EU-Africa Summit on

Migration, the EU Emergency Trust Fund for stability and

addressing root causes of irregular migration and dis-

placed persons in Africa was launched. With an initial

contribution of EUR 1.8 billion from the EU comple-

mented by Member States and other donors, the fund

benefits the Sahel and Lake Chad areas, the Horn of Africa

and North Africa. Delivering in a quick and flexible man-

ner, the Fund has already adopted actions worth close to

EUR 900 million with further initiatives under preparation,

addressing resilience, security, peace and good govern-

ance, job creation, migration management and the deliv-

ery of basic services in areas affected by insecurity and

large refugee and migratory flows.

� The EU will have provided over EUR 7 billion in support of

civil society, local authorities, democracy, the rule of law

and human rights for the period up to 2020.

� The EU, which is present in all crisis and post-crisis coun-

tries, will have provided over EUR 4 billion to support

conflict prevention and resolution, as well as peace and

security-related activities, for the period up to 2020.

� The EU will strongly support the ‘New Deal for Fragile

States’ by funding its implementation, among other

measures. Moreover, more than half of the EU’s bilateral

development funding will continue to be provided to

fragile and conflict affected states.

12. Peaceful societies — The EU provides support to improve governance and to enable people to live safe, secure lives

The UK has committed to spending 50 % of the Department

for International Development’s budget in fragile states and

regions in every year of the current Parliament.

The Netherlands just launched the Addressing Root Causes

Fund with a budget of EUR 125 million for 2016-2021. The

fund, which will become operational at the end of 2016, is

aimed at addressing the root causes of instability, conflict and

forced migration in the following countries: Afghanistan,

Pakistan, Jordan, Lebanon, Syria, Mali, South Sudan, Sudan,

Ethiopia, Somalia, Burundi and the Democratic Republic of

Congo.

The Czech Republic, Latvia, Poland, Hungary, Lithuania,

Slovenia, Romania, Slovakia, Estonia, Bulgaria and other

Member States building on their transition experiences are

sharing their expertise with other countries in transition.

Poland will strengthen its activities in promoting self-

government reform and combatting corruption in countries

in transition.

Croatia provides peer-to-peer knowledge sharing and

capacity building based on its post-conflict transitional

experience.

Slovakia is a strong supporter of security sector reform, a

critical element for post-conflict building, development and

transformation.

Lithuania and Hungary provide support for constitutional and

judiciary reform in Ukraine, including capacity building

programmes.

16

� The EU undertakes to collectively meet the target of allo-

cating 0.15-0.20 % ODA/GNI to LDCs in the short term,

and to reach 0.20 % ODA/GNI within the time frame of the

2030 Agenda.

� The EU has contributed, since 2000, EUR 1.6 billion in debt

relief to LDCs, especially within the Highly Indebted Poor

Countries Initiative (HIPC), similarly the EIB has contrib-

uted EUR 120 million in debt relief to LDCs. The EU is fur-

thermore committed to continue its support to

international debt-management initiatives to address

debt sustainability in developing countries.

� The EU provides duty-free and quota-free market access

to LDCs, with annual LDC exports to the EU currently val-

ued at more than EUR 38 billion. Annual benefits are esti-

mated at 12 % of the total exports’ value. The EU continues

to improve access to Aid for Trade for LDCs.

� In November 2015, the EU notified the World Trade

Organization (WTO) of its decision to grant easier access

to services exported from LDCs. The EU-granted prefer-

ences are set to last for the duration of the WTO’s LDC

services waiver (until 2030).

� At the Nairobi WTO Ministerial Conference of December

2015, the EU contributed to a series of important deci-

sions on preferential rules of origin, the services waiver

and cotton — all key priorities of the LDC group.

� In the May 2016 Antalya Conference, the EU reiterated its

support for LDCs’ efforts to meet the objectives of the

Istanbul Programme of Action and to help LDCs meet the

criteria for graduation by 2020.

13. Least Development Countries (LDCs) — The EU focuses on those most in need

Denmark and Luxembourg will continue to provide more

than 0.20 % ODA/GNI to LDCs. Sweden committed to exceed

0.30 % ODA/GNI.

Belgium will provide 50 % of its ODA to LDCs and focus its

cooperation on Africa.

Ireland provides at least 50 % of its overseas aid to the world’s

poorest countries and will continue to focus its aid on Sub-

Saharan Africa.

Germany is committed to improving the interconnectivity of

LDCs by encouraging investments in information and com-

munication technologies.

In addition to providing over 0.20 % ODA/GNI to LDCs, the

Netherlands has launched a technical assistance facility,

Develop2Build, to support LDCs in the development of public

infrastructure projects.

During COP21, France launched the Climate Risk and Early

Warning Systems initiative, which aims to significantly

increase the capacity for seamless multi-hazard early-warning

systems to generate and communicate effective impact-

based early warnings in order to protect lives, livelihoods, and

property. With an initial focus on LDCs, Small Island Develop-

ing States and African countries, the initiative raised EUR 68

million in direct and indirect contributions from EU and non-

EU countries in 2015. New financial and technical partners are

expected to join the initiative and help it reach its target of

EUR 90 million by 2020.

Luxembourg: Publications Office of the European Union, 2016

© European Union, 2016

Reproduction is authorised provided the source is acknowledged.

ISBN 978-92-79-54975-5doi:10.2841/

Printed in Belgium

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