In addition, the EU collectively committed to spend half of the increase in ODA between now and 2015 in sub-Saharan Africa. For the purposes of calculating target ODA increases to the region, this commitment (reiterated in the Gleneagles Communiqué) is taken to be valid for single member states such as Germany.
Germany’s ODA to sub-Saharan Africa would need to increase from €1.879 billion ($2.617 billion) in 2004 to €5 billion ($6.963 billion) in 2010 in order to meet this commitment.
Statement from head of state
‘Development cooperation remains a priority for the new government. I explicitly renew our statement that reaching the Millennium Development Goals in Africa is an obligation for us. We stick to the goal to spend 0.7% of GNI for development policy by 2015. This is a moral task.’
CHANCELLOR MERKEL, NOVEMBER 2009
In 2009 German ODA to sub-Saharan Africa increased by only €56m ($79m) – the smallest increase since the Gleneagles summit – despite efforts to increase both global ODA and allocations to the region in the 2009 budget. ONE estimates that Germany will increase its ODA to sub-Saharan Africa by €63 million ($88 million) in 2010, meaning that it will have met 25% (€782 million/$1.089 billion) of the increases it promised at Gleneagles.
Despite modest increases delivered in 2009 and projected for 2010, Germany’s original Gleneagles commitment was ambitious and its increase in ODA of €719 million ($1.001 billion) to sub-Saharan Africa since 2004 is commendable. In 2010 and beyond, Germany needs to accelerate momentum to reach its global 2015 commitment, with clear targets for the region.
Within the G8, Germany has been a steady supporter of water and sanitation in sub-Saharan Africa. It has also emerged as a leader in generating funding from innovative financing mechanisms, including being the first country to direct financing from the sales of CO2 emission certificates to development. Germany remains an average performer on the effectiveness of its development assistance. It is on track to meet its commitments to cancel debt to the world’s poorest countries, but like the rest of the G8 is failing to deliver on its commitment to 'make trade work for Africa'.
Germany’s ODA increases in fiscal year 2010 are expected to be significantly lower than in preceding years and will set the country further off track in meeting its ambitious 2010 targets. This creates a problem of credibility for the country in 2010, the target year for delivering on the Gleneagles commitments.
More than ever before, the 2011 budget will be a litmus test of Germany’s seriousness in the fight against extreme poverty. The new government has shown a strong commitment to improving the effectiveness of aid by streamlining German implementation agencies. Germany’s DAC peer review, which will be published later in 2010, offers a tremendous opportunity to accelerate efforts. Germany should increasingly make use of country systems. In addition, Germany should support multilateral interventions based on performance and not on an arbitrary rule to spend at most one-third of ODA multilaterally.
In 2010, Germany will use its ODA increases mainly to intensify assistance to Afghanistan as well as to mitigate climate change. In the years ahead, these new priorities should be financed in addition to significant increases for sectors and regions traditionally receiving German development support. The new government should sharpen the orientation of Germany’s ODA on poverty by refocusing its priorities on sub-Saharan Africa.
The successes of development policy in recent years show that increasing quality and quantity is a simultaneous, not consecutive, process. Germany’s new coalition government should demonstrate its international responsibility by reinstating some of the laudable increases that have been made in past years. In particular, Chancellor Angela Merkel’s renewed leadership will be necessary as constraints on the German budget grow in the years ahead.
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