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France and EU Development Policy Instruments

EU development aid is financed in part under Title IV of the Community budget (€55.9 billion for the period 2007-2013 at current prices after latest updating) and in part by the European Development Fund (€22.7 billion for the period 2007-2013).

In 2013, France’s contribution to the Community budget was in the region of 18% and of 19.55% to the European Development Fund.

External aid architecture has been reviewed and simplified for the period 2007-2013. EU external aid now consists of 11 instruments, instead of the 15 previous ones, of which 8 focus especially on development cooperation.

The European Development Fund

Created in 1959, the European Development Fund (EDF) is the main instrument for providing Community development aid in the African, Caribbean and Pacific (ACP) States and the overseas countries and territories (OCTs). The 10th EDF, which is outside the EU budget and financed by voluntary contributions from the Member States, has a budget of €22.7 billion (2007-2013).

As the second largest contributor to the EDF after Germany, in 2012 France’s contribution amounted to €576.3 million.

EDF funding is divided into three levels:

-  national envelopes (around 70%)
-  regional envelopes (around 8 %)
-  intra-ACP (around 12%) thematic envelope for implementing cross-cutting projects concerning the entire ACP zone (including, for example, contributions to the Global Fund to Fight AIDS, Tuberculosis and Malaria, the African Peace Facility (APF) and the Global Climate Change Alliance (GCCA)).

The European Council of 8 February 2013 set the global amount of the 11th EDF at €30.5 billion. Discussions on budgetization have been postponed until 2020, the expiry date of the Financial Perspectives 2014-2020 and of the Cotonou Agreement. However, the gradual aligning of contribution keys for the EDF with those of the budget has readjusted the French key from 19.55% for the 10th EDF to 17.81% for the 11th EDF, that is to say a contribution of €5.4 billion over 7 years.

The Internal Agreement for the 11th EDF was signed in June 2013 and must now be ratified by the Member States. It proposes to allocate about €29 billion to the ACP Group of States, €364.5 million to the OCTs and around €1 billion for support expenditure. The programming of the different envelopes will make it possible to determine the amounts and the sectors on which Community aid is to be concentrated in each beneficiary country and region, according to the priorities set by the Agenda for Change, which is the reference framework for EU policy endorsed by the Council of 14 May 2012. Support for democratic governance and human rights on the one hand, and sustainable and inclusive growth on the other are its two principal pillars.

Other geographic instruments

Instrument for Pre-accession Assistance (IPA)

The Instrument for Pre-accession Assistance (IPA) is the Community financial instrument linked to the pre-accession process. IPA aid supports partnerships established between the European Union and EU membership candidate countries (Western Balkans, Turkey). IPA was designed as a flexible instrument and the aid it provides is based on the progress made by beneficiary countries and their needs as shown by the Commission’s evaluations and annual strategy papers. IPA funding amounted to about €11.5 billion over 2007-13.
With an average contribution of 16% to the Community budget during that period, France contributed about €1.8 billion to IPA.

The European Neighbourhood and Partnership Instrument (ENPI)

The European Neighbourhood and Partnership Instrument (ENPI) supports the achievement of the European Neighbourhood Policy (ENP) objectives aimed at establishing an area of prosperity and stability in the EU’s neighbourhood (Mediterranean countries, EU’s eastern neighbours excluding candidate countries, Russia). The ENPI had a financial envelope of €11.2 billion for the period 2007-2013.
France contributed about €1.8 billion to ENPI.

Development Cooperation Instrument (DCI) – Geographic programmes

The Development Cooperation Instrument (DCI) had a financial envelope of €17.8 billion for the period 2007-2013 and consists of geographic programmes (€10.1 billion allocation) and thematic programmes (€7.7 billion allocation).
Geographic programmes include cooperation with partner countries and regions and cover five regions: Asia, Central Asia, Latin America, the Middle East and South Africa.
France contributed about €1.6 billion to DCI geographic programmes.

Partnership Instrument for cooperation with third countries (PI)

The Partnership Instrument for cooperation with third countries (PI) replaces the Financing Instrument for Cooperation with Industrialised and other high-income countries and territories (ICI) 2007-2013 in the new financial framework 2014-20. The Partnership Instrument is designed to support economic, financial and technical cooperation with the emerging countries. The ICI had a financial envelope of €175 million for the period 2007-2013. France contributed about €28 million to the ICI.

Thematic instruments

European Instrument for Democracy and Human Rights (EIDHR)

Launched in 2006, the European Instrument for Democracy and Human Rights (EIDHR) enables the EU to support the promotion of democracy and human rights worldwide.
EIDHR had a financial envelope of €1.1 billion for the period 2007-2013. France contributed about €180 million to EIDHR.

Instrument for Nuclear Safety Cooperation (INSC)

The Instrument for Nuclear Safety Cooperation (INSC) finances measures to support enhanced nuclear safety and radiation protection, and the application of efficient and effective safeguards of nuclear materials in third countries.
INSC funding amounted to €524 million over 2007-13. France contributed about €83.8 million to INSC.

Development Cooperation Instrument (DCI) – Thematic programmes

DCI thematic programmes cover countries eligible for DCI geographic programmes, as well as countries eligible for EDF funding in the following areas:

-  social and human development: €1 billion for the period 2007-2013 – French contribution: €160 million;
-  the environment and sustainable management of natural resources: €804 million – French contribution: €129 million;
-  non-State actors and local authorities: €1.6 billion – French contribution: €256 million;
-  Improvement of food security: €1.7 billion – French contribution: €272 million;
-  migration and asylum cooperation: €384 million – French contribution: €61.44 million;
-  restructuring of sugar production in 18 ACP countries: €180 million per year.

For further information on:

-  EU Development Policy on the EU Portal europa.eu
-  Development and Cooperation on the European Commission’s website
-  The Agenda for Change on the European Commission’s website

Updated : 26.12.13


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