EU development aid: new measures for effective donor coordination

The European Parliament’s Committee on Development today approved a legislative initiative report by Gay Mitchell MEP which aims to improve coordination between the EU institutions and Member States on the way that EU aid is spent across the developing world.

The report entitled 'EU donor coordination on development aid' proposes several legislative steps to implement improved donor coordination mechanisms in the EU.

“It is estimated that better coordination of EU aid could bring savings of up to €800 million by reducing financial transaction costs alone,” report author, Mr Mitchell, said.

“Against the backdrop of the financial crisis, it is important that the EU demonstrates effective development aid spending. Better intra-EU donor coordination would not only achieve economies of scale but would also significantly contribute to the EU's primary development assistance goal - poverty eradication,” continued Mr Mitchell, Joint Coordinator for the EPP Group on the Committee on Development.

In the report, Mr Mitchell outlines proposals to build on existing EU initiatives that provide guidance to Member States and the Commission on aid effectiveness.

The report recognises that the effectiveness of EU aid is hindered by excessive fragmentation and duplication across Member States, whereas a more coordinated EU-wide approach would reduce the administrative burden and reduce the related costs, bringing real value-for-money savings.
 
The European Parliament is due to vote on this report during its December plenary session.