EU cooperation with the African, Caribbean and Pacific countries: 11th European Development Fund

KEY POINTS

• The EDF is financed by direct contributions from EU Member States according to specific contribution shares (‘keys’) and is covered by its own financial rules. It is not part of the EU budget.
• The total financial resources of the 11th EDF amount to €30.5 billion for the 2014–2020 period. (It should be noted that, as of 2021, the EDF has been integrated into the EU budget.)
• The European Investment Bank will make available an additional €2.6 billion in the form of loans from its own resources.
• Under the 11th EDF, Member States’ ‘contribution keys’ were aligned with the key used for the EU budget (based on gross national income per capita).
• The 11th EDF was preceded by the 10th EDF, which ran for 6 years from 2008 to 2013, with a budget of €22.7 billion. This represented about 30% of EU spending on development cooperation aid, with the remainder coming directly from the EU budget.
• The European Commission decides the financial allocations for each African, Caribbean and Pacific (ACP) country and region on the basis of criteria laid down in the Cotonou Agreement. ACP countries get specific, tailor-made cooperation based on:
  • their needs;
  • their capacity to generate and access financial resources, along with their absorption capacity;
  • their commitments and performance; and
  • the potential impact of EU assistance.
• The countries most in need, in particular the least-developed countries, low-income countries and countries in crisis, post-crisis, fragile and vulnerable situations, are given priority in the resource allocation process.

Food security crisis and economic shock in African, Caribbean and Pacific countries following Russia’s war of aggression against Ukraine

• EDF funds can be reused after their decommitment upon a unanimous Council Decision (EU) 2022/1223. This has been the case under the 11th EDF to finance the African Peace Facility and to address the food security crisis and economic shock in ACP countries following Russia’s war of aggression against Ukraine.
• These funds will support ACP countries through humanitarian assistance (€150 million), the sustainable production and resilience of food systems (€350 million) and macro-economic support (€100 million).
• The funding is part of the EU global food security response to help tackle the food crisis. It complements already mobilised humanitarian assistance worldwide and funds from the Neighbourhood, Development and International Cooperation Instrument – Global Europe earmarked for projects on sustainable agriculture, basic nutrition, water and sanitation, and social safety protection.