Activities of Charles GOERENS related to 2021/2252(INI)
Plenary speeches (2)
The future European Financial Architecture for Development (debate)
The future European Financial Architecture for Development (debate)
Reports (1)
REPORT on the future European Financial Architecture for Development
Shadow opinions (1)
OPINION on the future European financial architecture for development
Amendments (90)
Amendment 1 #
Motion for a resolution
Recital A
Recital A
A. whereas the COVID-19 pandemic has deepened the already significant SDG financing gap and caused an overall decline in resources of USD 700 billion, and, at the same time, an increase in needs of USD 1 trillion, causing a scissor effect, so that the pre-pandemic SDG annual funding gap in developing countries of USD 2.5 trillion is expected to increase by 70 % post-COVID-19, to USD 4.2 trillion (EUR 3.7 trillion)6 a; _________________ 6a OECD report of 10 December 2020 entitled ‘Global Outlook on Financing for Sustainable Development 2021: A New Way to Invest for People and Planet’J L 209, 14.6.2021, p. 1.
Amendment 2 #
Motion for a resolution
Recital A a (new)
Recital A a (new)
A a. whereas there is an annual financing gap of USD 148 billion in low- and lower-middle-income countries in relation to achieving SDG 4 between now and 2030; whereas additional costs resulting from COVID-19-related school closures risk increasing this financing gap by up to one third;
Amendment 3 #
Motion for a resolution
Recital A b (new)
Recital A b (new)
A b. whereas Russia’s military aggression in Ukraine has drastically exacerbated the situation of SDGs in Ukraine and its neighbouring countries; whereas the current Russian military aggression in Ukraine will impact the worldwide implementation of the SDGs, particularly in relation to the fight against poverty and hunger, which heighten the risks of growing civil unrest, conflicts and irregular migration; whereas the destructive consequences caused by the criminal act of Putin’s war have significantly diverted the already scarce resources of development aid; whereas the long-term consequences of this war are as yet unknown; whereas the major shortfall in SDG financing and the consequences of the COVID-19 pandemic, which has been devastating across the developing world, demands an extraordinary sustained response from all EU actors and a system-wide review of the European financial architecture for development (EFAD);
Amendment 4 #
Motion for a resolution
Recital B
Recital B
B. whereas the current political and financial leadership of and efforts by the EU are not sufficient for achieving the SDGs and the goals of the Paris Agreement and addressing other acute global challenges requires joint engagement at international level, in particular worsening climate change, the dramatically increased debt burden of partner countries, the consequences of COVID-19 and violent conflicts, and therefore joint engagement at international level is required to ensure that EFAD is able to respond to these emerging challenges;
Amendment 5 #
Motion for a resolution
Recital C
Recital C
C. whereas in order to actually achieve the SDGs and to overcome the COVID-19 pandemic, policy coherence and close cooperation between all official development finance institutions, their government shareholders, EU institutions and all existing partners is urgently needed to ensure that scarce public money is used in the most effective and efficient way; whereas the successful mobilisation of further capital, both private and public, in addition to official development assistance (ODA) and other existing forms of development finance, is critical and needs to be aligned with development policy objectives, particularly with a view to reducing inequalities and poverty as the first goal of Agenda 2030;
Amendment 6 #
Draft opinion
Paragraph 2
Paragraph 2
2. Stresses that despite some recent improvements, the current status quo is characterised by a lack of policy steer, coordination, fragmentation, duplication and unhelpful continued competition between the European Investment Bank (EIB), the European Bank for Reconstruction and Development (EBRD) and European development and finance institutions; underlines the need to make the current system more efficient and focused to ensure an optimal use of resources, a better return on EU taxpayers’ money and a stronger development impact;
Amendment 6 #
Motion for a resolution
Recital C a (new)
Recital C a (new)
C a. whereas food insecurity is a significant barrier to achieving the SDGs, particularly in Africa, where 2 in 10 people are undernourished; whereas this challenge will only become more acute as a result of population growth; whereas EU cooperation with partner countries needs to tackle this challenge effectively, in a sustainable manner;
Amendment 7 #
Motion for a resolution
Recital D
Recital D
D. whereas the establishment of the Team Europe approach as the global EU response to COVID-19 could help to establish a single strategic coordination framework for the EU’s external response to the pandemic, in support of partnerEU institutions and the 27 EU Member States together constitute the largest donor for developing countries, responsible for approximately 46 % of the total ODA provided by all OECD ODA members to developing countries;
Amendment 8 #
D a. whereas the creation of the Team Europe approach as the global EU response to COVID-19 could help to establish a single strategic coordination framework for the EU’s external response to the pandemic and other major challenges, such as the consequences of Russia’s military aggression in Ukraine, in support of partner countries; whereas this approach is a promising process in enabling further cooperation between the EU institutions, the Member States and European bilateral and multilateral development finance institutions, the EIB and the European Bank for Reconstruction and Development (EBRD), continuously increasing the EU’s collective effectiveness and visibility;
Amendment 9 #
Motion for a resolution
Recital A
Recital A
A. whereas the COVID-19 pandemic has deepened the already significant SDG financing gap and caused an overall decline in resources of USD 700 billion, and, at the same time, an increase in needs of USD 1 trillion, causing a scissor effect, so that the pre-pandemic SDG annual funding gap in developing countries of USD 2.5 trillion is expected to increase by 70 % post-COVID-19, to USD 4.2 trillion (EUR 3.7 trillion)6 ; _________________ 6 OECD report of 10 December 2020 entitled ‘Global Outlook on Financing for Sustainable Development 2021: A New Way to Invest for People and Planet’.
Amendment 9 #
Motion for a resolution
Recital D b (new)
Recital D b (new)
D b. whereas the entry into force of the NDICI – Global Europe, with an overall budget of EUR 79.5 billion, constitutes an historic change in the EU’s external and development policies, leading to the rationalisation and consolidation of EU development spending, and giving new impetus to greater cooperation between European development actors; whereas NDICI – Global Europe significantly modifies the external investment framework, bringing together blended finance and guarantees under the EFSD+ – External Action Guarantee (EAG); whereas the EFSD+ considerably expands the geographical scope and financial envelope of its predecessor, the EFSD, and will be able to guarantee operations up to EUR 53.4 billion through the EAG; whereas the ‘policy first’ principle at the core of NDICI – Global Europe represents a shift towards cooperation driven by policy objectives and ensures that the use of EU budgetary guarantees is covered by the programming process;
Amendment 10 #
Motion for a resolution
Recital D c (new)
Recital D c (new)
D c. whereas the European Fund for Sustainable Development Plus (EFSD+), established under the Neighbourhood, Development and International Cooperation Instrument – Global Europe (NDICI – Global Europe) instrument, provides funding for blending and budgetary guarantee operations, which are to be implemented by eligible partners in an open and collaborative approach;
Amendment 11 #
Motion for a resolution
Recital A a (new)
Recital A a (new)
A a. whereas the entry into force of the Neighbourhood, Development and International Cooperation Instrument (NDICI) – Global Europe, with an overall budget of EUR 79,5 billion, constitutes a historic change in EU external and development policies, leading to the rationalisation and consolidation of EU development spending, and giving new impetus to greater cooperation between European development actors;
Amendment 11 #
Motion for a resolution
Recital F a (new)
Recital F a (new)
F a. whereas EU companies and financing institutions operating in developing countries during the last decade have increasingly faced unfair competition from global players that operate outside the multilateral development finance system, which provides for an international set of rules and regulations, such as specific requirements for ODA, officially supported credits, sustainable lending and debt sustainability, prohibited export subsidies and international standards to combat bribery and corruption;
Amendment 12 #
Motion for a resolution
Recital A b (new)
Recital A b (new)
A b. whereas the European Fund for Sustainable Development Plus (EFSD+), established under the NDICI-Global Europe instrument, provides funding for blending and budgetary guarantee operations, to be implemented by eligible partners in an open and collaborative approach and fully in line with EU policies standards, rules and procedures;
Amendment 12 #
Motion for a resolution
Recital F b (new)
Recital F b (new)
F b. whereas properly functioning Policy Coherence for Development (PCD) and support for Domestic Resource Mobilisation (DRM) is an integral part of sound financial management and is aimed at increasing aid effectiveness through concrete initiatives, such as supporting the fight against corruption, the development of progressive tax systems and tackling tax avoidance and evasion;
Amendment 13 #
Draft opinion
Paragraph 4
Paragraph 4
4. Calls on the Commission, the Member States, the EIB, the EBRD and European development and finance institutions to strengthen their cooperation within the EFSD+ open architecture by taking a Team Europe approach; stresses the need for greater specialisation and a better division of labour to ensure synergies and complementarities; underlines the need to move away from the current project-based approach towards sector-based programming involving all stakeholders from the start, including private investors, to increase leverage and impact;
Amendment 13 #
Motion for a resolution
Recital A c (new)
Recital A c (new)
A c. whereas Russia’s war in Ukraine has drastically exacerbated the situation of SDGs in Ukraine and its neighbouring countries; whereas the current Russian aggression in Ukraine will impact the worldwide implementation of the SDGs, especially concerning the fight against poverty and hunger, which raise the risks of growing civil unrest, conflicts and irregular migration; whereas the humanitarian consequences caused by the criminal act of Putin’s war significantly deviate the already scarce resources of development aid; whereas the long term consequences of this war are yet unknown.
Amendment 13 #
Motion for a resolution
Recital F c (new)
Recital F c (new)
F c. whereas Member States have called on European development banks and financial institutions to increase their collaboration and coordination, both among themselves and with other multilateral and international financial institutions, building on the strengths and expertise of each institution, thereby enhancing the efficiency, visibility and impact of EFAD, and encouraging further mobilisation of the private sector while continuing to complement and support public sector engagement;
Amendment 14 #
Motion for a resolution
Paragraph 1
Paragraph 1
1. StresEmphasises that the EFAD should provide for an efficient, effective, coherent and inclusive architecture, underpinned by the ‘policy- first-driven European financial architecture for development (’ principle as the backbone of EFAD’s structure, and in line with the strategic interests and values of the EU; insists that all implementing partners who are part of EFAD and access EU budget funds under the EFSD+ apply the full range of EU social, human rights, procurement, transparency and environment and rule of law standards, policies and procedures; calls on the Commission to assess, monitor and report back on the adherence to these EU rules; stresses that the policy- first-driven EFAD) should be guided by the principles and objectives set out in the UN 2030 Agenda for Sustainable Development, the Paris Agreement and the Addis Ababa Action Agenda, and should contribute to the achievement of the SDGs; reiterates that projects involving EFAD actors must be subject to climate, environmental and social sustainability- proofing with a view to minimising any possible detrimental impact and maximising the benefits in the climate, environment and social dimensions, in line with the commitments of the EU and its Member States under Article 2.1(c) of the Paris Agreement; strongly insists that operations under the new EFAD contribute to mitigation and adaptation to climate change; further insists, in this context, that operations involving EFAD actors do not finance sectors that bolster the climate crisis but contribute instead to the transition to sustainable energy production; recalls that the EU’s political engagement should be embodied in its multiannual financial framework and fully reflected in its European financial architecture for development;
Amendment 15 #
Motion for a resolution
Recital B
Recital B
B. whereas leadership and efforts from the EU alone to achieve achieving the SDGs and the goals of the Paris Agreement and addressing other acute global challenges arequires not sufficient, and hence joint engagement at international level is required;
Amendment 15 #
Motion for a resolution
Paragraph 2
Paragraph 2
2. sStrongly insists that EFAD must strengthen the strategic partnerships between the European Union and its global development partners; reiterates that such partnerships should always be based on mutual respect and dignity, shared interests and values, in particular human rights, gender equality, environmental, social and climate responsibility, health and security, aimed at reducing inequalities and poverty; repeats that these partnerships should always be established in line with, and in an effort to, achieve the SDGs; points, in this regard, to the multidimensional influence of and support to Putin’s regime by the African continent and calls for the EU and its Member States to reach out to these African partner countries and to establish reliable partnerships; calls on the Commission to involve civil society organisations and NGOs, including local organisations, in the establishment and implementation of such partnerships; underlines that a prerequisite for the partnership projects financed through EFAD is to ensure development and financial additionality, as well as country ownership and development effectiveness; advocates EU policies and initiatives supporting coordination and cooperation between Member States in the field of development policy, and the EU’s actions complementing and supporting the initiatives of Member States; stresses that the eradication of poverty (SDG 1), fostering good health and well-being (SDG 3), ensuring access to quality education for all (SDG 4, reducing inequalities (SDG 10) and promoting climate action (SDG 13), with a particular focus on the most marginalised groups and leaving no one behind, are especially acute challenges in today’s world;
Amendment 16 #
Motion for a resolution
Paragraph 3
Paragraph 3
3. Underlines the interconnection between development and security; humanitarian aid, development cooperation and peace; highlights the role that development plays in preventing conflicts, ensuring durable exits from conflicts and bolstering crisis management; insists on the importance of further developing a well-tailored development-security nexustriple nexus focused on a people-centred, structural, and sustainable long-term recovery, in order to address the complexities of protracted and predictable crises and violent situations; recalls that, without peace and security, development and poverty eradication are not possible, while without development and poverty eradication, sustainable peace, human or state security cannot be established; further notes that a lack of security exacerbates the already existing vulnerabilities in developing countries and increases the funding gap for achieving the SDGs; takes note of the fact that security, the rule of law and resilient institutions are essential for investments and for sustainable development; notes the activities of local stakeholders, including local government bodies, civil society organisations, social partners and faith-based organisations in conflict resolution and management, contributing to peace and security; recalls that ODA should always be used in line with internationally agreed development objectives and NDICI – Global Europe;
Amendment 17 #
Motion for a resolution
Paragraph 4
Paragraph 4
4. Emphasises the role of a collective, coherent EU approach, supported and endorsed by all EU Member States, which is politically savvy and tailored to the specificities of the partner country, and which could be effective in helping to foster the expansion of social protection systems in developing countrfostering the expansion of social protection systems that are in line with the relevant ILO conventions, and of essential public services in developing countries; points out that such an EU approach would help make social protection one of the foundations of the social contract, paving the way to enhanced resilience; considers blended finance to be an option from the development finance toolbox that could complement public investment in a constrained budgetary context; calls for blending operations to be limited to areas where they can add value to the local economy and calls, in this context, for a careful assessment, in particular when targeting least-developed countries, with a view to limiting debt burdens, safeguarding essential public services such as health, education and social protection, and not widening existing inequalities;
Amendment 18 #
Motion for a resolution
Paragraph 5
Paragraph 5
5. Underlines that consistency across all EU financing instruments,Underlines that consistency across all EU policies, strategies, initiatives and financing instruments, notably the new NDICI – Global Europe instrument, the Team Europe initiatives and strategiesthe new Global Gateway strategy, as well as close alignment with the EU’s strategy for PCD and Policy Coherence for Sustainable Development (PCSD) is crucial in order to maximise the EU’s global response tofor sustainable growth, development and peace; believes that EFAD should improve the EU’s visibility and the impact of its development finance in the world, in order to ensure that the EU’s perceived role in the world matches the magnitude of its support;
Amendment 19 #
Motion for a resolution
Paragraph 6
Paragraph 6
6. iIs alarmed at how the COVID-19 pandemic has exposed the long-standing structural drivers of health inequalities; believes that EFAD should contribute to investments in resilient public health systems, healthcare and healthcare services, and in research and development of new health technologies, as well as of vaccines, treatments and focusing on diseases that are recurrent in developing countries; calls for the possibility of creating a platform for sharing innovation, education and training, knowledge and expertise to be explored, which would support multi-stakeholder partnerships, foster public-private dialogue and explore innovative business solutions to accelerate sustainable development; underlines the role of public and private investments and public- private partnerships, as well as the importance of domestic resource mobilisation in partner countries and more efficient utilisation of EU funding in closing the USD 2.5 trillion funding gap identified for meeting the SDGs by 2030, while strengthening good governance and combating corruption;
Amendment 20 #
Motion for a resolution
Recital C
Recital C
C. whereas, for the actual achievement of the SDGs and overcoming the COVID-19 pandemic, policy coherence and close cooperation between all official development finance institutions, their government shareholders and all existing partners is urgently needed to ensure that scarce public money is used in the most effective and efficient way; whereas the successful mobilisation of further capital, both private and public, in addition to official development assistance (ODA) and other existing forms of development finance, is critical;
Amendment 20 #
Motion for a resolution
Paragraph 7
Paragraph 7
7. believUnderlines that developing and developed countries have a shared responsibility to achieve the SDGs; emphasises that the EU’s financial contribution to sustainable development in partner countries should enable partner countries to contribute to their own economic and social development and to achieve the SDGs; underlines the paramount importance of domestic ownership in this context; stresses that EFAD and the long- awaited EU SDG strategy must reflect and facilitate a coordinated and coherent set of internal and external EU policies and commitments; regrets, in that context, that the Commission has not yet developed an integrated and holistic SDG implementation strategy, including through the set of existing development policy tools; underlines that public and private financing must be aligned with the goals of the SDGs and the Paris Agreement; regrets, in that context, that the Commission has not yet developed an integrated and holistic SDG implementation strategy, which presents a significant challenge in terms of the ambition to achieve policy coherence, owing to the lack of clear, measurable and time-bound EU-wide targets for all SDGs as a reporting benchmark;
Amendment 21 #
Motion for a resolution
Paragraph 7 a (new)
Paragraph 7 a (new)
7 a. Believes that EFAD should be based on the expertise and existing networks of all its different actors (i.e. the EIB, the EBRD, the European Development Finance Institutions (DFIs) and others); recognises the progress and improvements made in relation to the future EFAD since the Council’s conclusions, but notes that the current status quo is still characterised by a lack of policy steer and coordination, as well as by fragmentation, duplication and unhelpful competition between the aforementioned actors; calls for further efforts for better coordination and cooperation to make the current system more effective, collaborative and focused on ensuring an optimal use of resources that leverages key partners’ relevant geographical, sectoral and financial expertise to achieve a better return on EU taxpayers’ money and a stronger development impact;
Amendment 22 #
Motion for a resolution
Paragraph 8
Paragraph 8
8. Recognises the need to enhance and improve the EU institutional set-up, and address its ‘development effectiveness deficit’, to reduce heavy bureaucratic coordination and strengthen institutional flexibility with a view to maximising EFAD’s potential and increasing its development impact;
Amendment 23 #
Motion for a resolution
Paragraph 8 a (new)
Paragraph 8 a (new)
8 a. Calls on the Commission to work on effective governance of the Global Gateway strategy, which has to be promoted under the overall steer of the President of the Commission, and to coordinate closely in this regard with the Vice-President of the Commission / High Representative of the Union for Foreign Affairs and Security Policy, the European External Action Service (EEAS), the Council and Parliament; underlines that the strategy should be consistent with EFAD and that a recourse to the NDICI – Global Europe’s emerging challenges and priorities cushion for financing is not appropriate; urges the Commission to provide additional information on its calculation of the leverage ratio for investment operations of the recently announced EU Global Gateway;
Amendment 24 #
Motion for a resolution
Recital C a (new)
Recital C a (new)
C a. whereas the EU Institutions and the 27 EU Member States together constitute the largest donor for developing countries, responsible for approximately 46% of the total ODA provided by all OECD ODA members to developing countries; whereas the major shortfall in SDG financing and the consequences of the COVID-19 pandemic, which has been devastating across the developing world, demands an extraordinary sustained response from all EU actors and a system- wide review of the European Financial Architecture for Development (EFAD);
Amendment 24 #
Motion for a resolution
Paragraph 9
Paragraph 9
9. Insists that mechanisms fs concerned that the key features of the PCSD principle are systematically missing from regulatory initiatives of the EU; stresses that more ensuring policy coherence for sustainable development must be enshrined in EFAD andfforts are needed to fully comply with PCSD principles, in order to achieve aid effectiveness objectives; insists that mechanisms for ensuring PCSD must be enshrined in EFAD; calls for more ex ante impact assessments and the establishment of an early warning system for policy incoherencies at EU delegations; recommends that PCSD should be used more systematically and efficiently by all relevant EU institutions and all Member States, including at the highest political level, and should be mainstreamed in the design and implementation of every variety of EU policy in order to ensure that they do not negatively affect the attainment of the SDGs; recalls that PCSD mechanisms should be also implemented by the EIB, EBRD, DFIs and their intermediaries;
Amendment 25 #
Motion for a resolution
Paragraph 10
Paragraph 10
10. DAcknowledges the Commission’s efforts in better regulation with the aim of creating long-term sustainable investments which promote health and the well-being of both people and the planet, and which protect human rights; demands that EFAD be consistent with the future EU due diligence and corporate responsibility legislation and that it adhere to the highest standards of transparency and accountability; , ensuring corporate compliance with human rights standards and regulatory developments, mandatory due diligence and adherence to the international commitments on business and human rights; underlines that EFAD must meet the highest standards of transparency and accountability; calls on EFAD members to strengthen the due diligence of their operations, ensure meaningful consultation of the local population throughout the implementation of the projects, further develop their development expertise and dedicated capacity and human resources on the ground, implement gender mainstreaming and protect human rights in all operations, be equipped with solid accountability mechanisms for impacted communities and closely monitor, and report on, the shortcomings of their involvement and the role of their intermediaries in projects which have negatively impacted local populations in developing countries;
Amendment 26 #
Motion for a resolution
Recital D
Recital D
D. whereas the establishment of the Team Europe approach as the global EU response to COVID-19 could help to establish a single strategic coordination framework for the EU’s external response to the pandemic, in support of partner countries and other major disasters, such as Russia’s war in Ukraine, in support of partner countries; whereas this approach is a promising process in enabling further cooperation between the EU institutions, the Member States and European bilateral and multilateral development finance institutions, the EIB and the EBRD, continuously increasing the EU’s collective effectiveness and visibility;
Amendment 26 #
Motion for a resolution
Paragraph 10 a (new)
Paragraph 10 a (new)
10 a. Reaffirms that all implementing partners and financial intermediaries involved in projects linked to EU guarantees or financed from the EU budget must fully comply with EU social, environmental, tax, transparency, anti- fraud and anti-corruption standards, policies, rules and procedures; calls on the European Court of Auditors to fully scrutinise and regularly report on operations backed by guarantees from the EU budget, addressing any shortcomings in its working methods that are currently preventing it from doing so; underlines the importance of carrying out an independent evaluation of the EFSD+ and the Team Europe approach in due course in order to assess their effectiveness, performance and development impact;
Amendment 27 #
Motion for a resolution
Paragraph 11
Paragraph 11
11. BNotes that the Team Europe approach emerged as a response to the COVID-19 pandemic; believes that the Team Europe approach should play a key role in further improving strategic cooperation and global coordination and the coherence and effectiveness of development efforts, especially at partner- country level, and believes that it has the potential to further identify key issues that need to be solveds well as at EU and Member State level, including at regional government level; expects stronger policy direction and focus, and stronger mechanisms for communication and visibility when it comes to the EFSD+/NDICI – Global Europe instrument ; further insists on the appropriate implementation of the European Parliament scrutiny mechanism in order to allow for the democratic legitimacy of Team Europe activities;
Amendment 28 #
Motion for a resolution
Paragraph 12
Paragraph 12
12. Calls on the Commission to put forward a powerful EU policy direction and tofor development policies and to coordinate the EFAD in a way that would allow further alignment of the EU development financial institutions’ activities within the new open, collaborative, transparent and inclusive architecture; isn of the opinion that the programming process must fully cover the use of EU budgetary guaranteesrder to achieve EU development policy objectives, strengthen close partnerships with regions and contribute to their development;
Amendment 29 #
Motion for a resolution
Paragraph 12 a (new)
Paragraph 12 a (new)
12 a. Emphasizes that the Emphasises that the NDICI – Global Europe programming process provides the opportunity to enhance the use of EU budgetary guarantees, notably the EFSD +; underlines that the future financial architecture should enable all interested development finance actors to participate, including small and medium-sized actors and non-EU development banks and stakeholders; calls, in this context, for a solid level playing field in terms of the governance of the EFSD+ and access to EU resources; stresses the importance of an adequate risk management framework and of the effective management and oversight of the implementation of development finance instruments; calls on the Commission to use its existing banking expertise resources and its financial and technical capacities more effectively;
Amendment 30 #
Motion for a resolution
Recital F
Recital F
F. whereas EU companies and financing institutions operating in developing countries during the last decade have increasingly faced unfair competition from global players that operate outside the multilateral development finance system which provides for an international sets of rules and regulations, such as specific requirements for ODA, officially supported credits, sustainable lending and debt sustainability, prohibited export subsidies, or international standards to combat bribery and corruption;
Amendment 30 #
Motion for a resolution
Paragraph 13
Paragraph 13
13. Calls on the Commission to ensure that EFAD pursues the goal of restoring the multilateral development finance system in order to help put an end to the unsustainable lending practices of some countries operating outside that system, which not only threaten the level playing field for the EU and other compliant countries, but also dramatically increase the already high external debt of many developing countries which were made even more vulnerable as a consequence of the COVID-19 pandemic; highlights against this backdrop that Russia’s military aggression in Ukraine is further worsening the debt burden in many developing countries; highlights that least developed countries are unable to implement the SDGs without financial support and therefore strongly calls for debt relief measures in line with sustainability commitments;
Amendment 31 #
Motion for a resolution
Paragraph 14
Paragraph 14
14. cConsiders that the EU taxonomy to beshould contribute to the reorientation of capital flows towards sustainable investments and important tool for achieving the SDGntroduce sustainability among the criteria to be taken into account for risk management; calls on the Commission to further develop the EU taxonomy and encourage development finance institutions both at EU and Member State level, as well as private actors active in development, to align their activities, in particular those in developing countries, with SDG objectives and the objectives of the Paris Aagreement;
Amendment 32 #
Draft opinion
Paragraph 8 a (new)
Paragraph 8 a (new)
8 a. Reaffirms that all implementing partners accessing EU budget funds under the EFSD+ must fully apply EU social and environmental standards, polices, rules and procedures. Calls on the European Commission to assess, monitor and report back on these aspects.
Amendment 32 #
Motion for a resolution
Paragraph 15
Paragraph 15
15. rReaffirms the European Investment Bank’s specific role – which iIB’s specific role within the EU and globally – as set out in Article 209 of the Treaty on the Functioning of the European Union and in Article 36 of the ‘Neighbourhood, Development and International Cooperation Instrument – Global Europe’ – as the EU’s financial arm with a global reach; ; highlights the important role of the EIB in delivering EU investments and partnering with the Commission in implementing the Global Gateway strategy;
Amendment 33 #
Motion for a resolution
Paragraph 16
Paragraph 16
16. Recognises the EIB’s flagship role in the European Green and Blue Deal and its substantial contribution to the EU’s economic response to the COVID-19 pandemic; calls for the EU to further maximise the potential of the EIB as a tool to leverage the EU’s strategic autonomy and promote its external policy interests and priorities in its relations with non-EU countries; calls on the EIB to improve its policies and practices and its transparency, in particular by implementing the recommendations formulated by the European Ombudsman to ‘take several transparency steps to enable the public to more easily see the potential environmental impact of the projects it finances’, as set out in cases 1065/2020/PB, 1251/2020/PB and 1252/2020/PB;
Amendment 34 #
Motion for a resolution
Paragraph 17
Paragraph 17
17. Welcomes the setting-up of EIB Global, defined by the EIB as a dedicated development branch within the EIB Group, which has been operational since 1 January 2022; calls on the EIB to strengthen its presence in the field, while exploiting possible synergies with the EEAS, EU delegations, the EBRD and other European DIFs; points out that the lack of information on how EIB Global is funded jeopardises its mandate from the outset, also in view of the commitments of this new entity in terms of development objectives; calls, therefore, for a concrete and strong development mandate for the new EIB Global; expects this new structure and its advisory board, its goals and budgetary provisions, organisational functioning and specific goals of the branch, as well as its coordination mechanisms with other financial development institutions, to be fully transparent, including by proactively publishing documents, by ensuring meaningful representation of recipient countries and by regular exchanges with the European Parliament and open dialogue with stakeholders, in particular civil society organisations and local actors;;
Amendment 35 #
Motion for a resolution
Paragraph 18
Paragraph 18
18. Encourages the EIB to continue to actively engage in developing planning, monitoring and evaluation at country level, hand in hand with the EU delegations and through co-financing with development finance institutions; calls for stronger coordination between the Commission and the EEAS and EU delegations to facilitate discussions and cooperation with relevant actors on the ground in order to identify projects which best meet development effectiveness objectives;
Amendment 36 #
Motion for a resolution
Paragraph 19
Paragraph 19
19. Encourages the EIB and the European Bank for Reconstruction and Development to further reinforce their complementarity and their business models through greater mutual reliance initiatives, as the needs are greater than their joint resources; calls on the EIB and the EBRD to coordinate their work along different trajectories and clarify their division of labour in order to help each bank to focus on its respective core competencies, thereby avoiding duplication and undercutting; notes that there is a need to adapt the working methods and tools of the EIB and the EBRD to the investment needs in Africa, particularly in order to facilitate large- scale investments, while maintaining EU support for smaller scale local projects; points out that it is crucial for European investments to be accompanied by a visible presence of the EU and continuous political dialogue; notes that EFAD needs to maximise the advantages of the different structural backgrounds and working methods of the existing European development banks and financial institutions in order to increase the efficiency of the EU’s contribution to sustainable development; expects the EIB, EBRD and other European DFIs to ensure and provide evidence in the form of ex ante impact assessments that every project, and in particular blended finance projects, contribute to the EU’s development goals, including those concerning least developed countries, and meet international human rights standards; calls on the Commission, the EIB, the EBRD and European DFIs to ensure that their advisory and technical assistance teams are equipped to further gender equality and inclusive development;
Amendment 37 #
Motion for a resolution
Subheading 1 a (new)
Subheading 1 a (new)
Emphasises that the EFAD should provide for an efficient, effective, coherent and inclusive architecture, underpinned by the policy first principle as the backbone of the EFAD structure, and in line with the strategic interests and values of the EU;
Amendment 37 #
Motion for a resolution
Paragraph 20
Paragraph 20
20. EncouragCalls on the Commission, the Member States, the EIB, the European Bank for Reconstruction and Development and the other European development banks and financial institutions, including smaller DFIs, to strengthen their cooperation, notably in the framework of NDICI – Global Europe and its objectives, as well as in globally achieving the goals of Agenda 2030, and to encourage them to pool resources and financing, and to enhance coordination and communication in common projects, by drawing on their respective financial expertise; calls on the Commission to play a stronger role in providing technical assistance for projects and assisting DFIs and other development actors in coordinating; calls for an inclusive approach towards the smaller DFIs of Member States in accessing funding under the European development finance architecture;
Amendment 38 #
Motion for a resolution
Subheading 1 b (new)
Subheading 1 b (new)
Insists that all implementing partners who are part of the EFAD and access EU budget funds under the EFSD+ apply the full range of EU social, human rights, procurement, transparency, and environment standards, policies and procedures; calls on the European Commission to assess, monitor and report back on the adherence to these EU rules;
Amendment 38 #
Motion for a resolution
Paragraph 21
Paragraph 21
21. Calls on the EIB to work more closely with the African Development Bank to finance long-term investments that foster sustainable developmentand to assess the advantages of establishing a joint subsidiary following the implementation of the ongoing EIB- African Development Bank partnership action plan; invites the EIB to report to Parliament about the next steps taken; underlines the need to finance long-term investments that foster sustainable development and to build on cooperation to date, in order to develop further sustainable development opportunities for the African continent; encourages the creation of project and advisory hubs, jointly operated by the EIB and the African Development Bank, to create effective contact points for advice and project initiation for local actors and to better match the development needs on the ground, as well as improve local ownership for common development projects; calls, in this regard, for support to local private sector development in Africa, in particular thanks to the provision of more funds to African micro, small and medium-sized enterprises;
Amendment 39 #
Motion for a resolution
Paragraph 23 a (new)
Paragraph 23 a (new)
23 a. Notes the particular importance of EU investments in the field of sustainable agriculture, including agro-ecological practices, where private and public investments are lacking; emphasises that local farmers, smallholders and family farms need to have access to financial services, and, in particular, to micro- financing;
Amendment 40 #
Motion for a resolution
Paragraph 1
Paragraph 1
1. Stresses that the policy-first-driven European financial architecture for development (EFAD) should be guided by the principles and objectives set out in the UN 2030 Agenda for Sustainable Development, the Paris Agreement and the Addis Ababa Action Agenda and that it contributes to achieving the SDGs;
Amendment 40 #
Motion for a resolution
Paragraph 24
Paragraph 24
24. Recognises the importance and potential of Member State development banks within the EFAD structure; stresses the pressing need to boost private sector development in sub-Saharan Africais concerned, however, about the role of intermediaries partnering with DFIs, in particular regarding reported violations of human rights; stresses the important role that local private sector development in sub-Saharan Africa can play in empowering partner countries to set themselves on a path to sustainable development;
Amendment 41 #
Motion for a resolution
Paragraph 25
Paragraph 25
25. Calls on the Commission to report annually on Team Europe initiatives (TEIs) based on quantitative and qualitative indicators within the framework of NDICI – Global Europe, while evaluating the resources mobilised, development planning and impact, harmonisation and application of EU standards, the EU integration perspective and Member States’ involvement; insists that such reporting be shared with Parliament and made public; stresses that Parliament has a key role to play in scrutinising the political objectives and expected results of TEIs, both at general and project levels, ensuring that TEIs work alongside existing mechanisms and complement rather than supplement the multiannual indicative programmes;
Amendment 42 #
Motion for a resolution
Paragraph 26
Paragraph 26
26. Reiterates that institutional control and scrutiny of EU funding fosters democratic debate and helps to boost the credibility of the EUand transparency of the EU; highlights Parliament’s important role and its scrutiny role under NDICI – Global Europe in that regard; calls for obligations ensuring appropriate visibility of the implementation of EFAD and; calls on the Commission to take action where those obligations are not metin an appropriate and timely manner where those obligations are not met; calls on the European Court of Auditors to draw up regular reports on the implementation of EFAD, which will be made public and lead to policy recommendations, including on actions to be taken for improvements; regrets the lack of information provided to the general public on the EU’s role in offering support to local communities and encourages better communication with the public;
Amendment 43 #
Motion for a resolution
Paragraph 27
Paragraph 27
27. iInsists that the Member States honour their commitment to spend 0.7 % of their gross national income (GNI) on ODA; underlines the important role of ODA as a catalyst for change and a lever for the mobilisation of other resources; stresses the importance of the EU’s commitment to mobilise resources for climate action and the EIB’s role in making progress in this area; is alarmed that in 2020, ODA from advanced economies was on average just 0.32 % of their GNI – less than half of the 0.7 % commitment, one which has only been attained by four Member States; highlights that the impact of Russia’s military aggression in Ukraine on government spending around the globe will put further pressure on aid budgets which are already low; notes that the Member States which joined the EU after 2002 committed to striving to increase their ODA/GNI to 0.33 %; welcomes the efforts which these and other Member States have made so far to gradually scale up their ODA spending; encourages them to continue on this track; underlines the important role of ODA as a catalyst for change and a lever for the mobilisation of other resources; considers that the EU should strive to maintain its position as a world leader in ODA; recalls that at least 93 % of the expenditure under NDICI – Global Europe must fulfil the criteria for ODA;
Amendment 44 #
Motion for a resolution
Paragraph 1 a (new)
Paragraph 1 a (new)
1 a. Recalls that the EU’s political engagement should be embodied in its multiannual financial framework and fully reflected in its European Financial Architecture for Development;
Amendment 44 #
Motion for a resolution
Paragraph 27 a (new)
Paragraph 27 a (new)
27 a. Stresses the importance of the EU’s commitment to mobilise resources for climate action and the EIB’s and other EFAD members’ role in making progress in this area; notes the Council’s commitments to steer EFAD towards achieving the 2030 Agenda for Sustainable Development, the SDGs and the Paris Agreement in order to limit global warming to 1.5 °C; recalls the NDICI – Global Europe 30 % global climate spending target and the target to spend 7.5 % of GDP on biodiversity by 2024 outlined in the multiannual financial framework; regrets the fact that the Commission has not made more specific commitments to climate policy goals in its roadmap and expects this to be remedied in an upcoming programming document; calls for all operations financing sectors that contribute to the climate crisis, mainly the fossil fuel industry, to be banned; recognises that EFAD should be inclusive for all regions and partner countries, while acknowledging that a considerable share of investment is being channelled to the Western Balkans and the Eastern and Southern Neighbourhood;
Amendment 45 #
Motion for a resolution
Paragraph 2
Paragraph 2
2. sStrongly insists that EFAD must strengthen the strategic partnerships between the European Union and its global development partners, notably the African Union; reiterates that such partnerships should always be based on mutual respect and dignity, shared interests and values, particularly human rights, gender equality, environmental, social and climate responsibility, health and security, in order to respond jointly to global challenges and achieve sustainable results for peace and stability in the long term; stresses in this regard the multidimensional influence of and support to Putin’s regime in and by the African continent and calls on the EU and its Member States to carefully assess these cases when building on the existing and new partnerships;
Amendment 45 #
Motion for a resolution
Paragraph 27 b (new)
Paragraph 27 b (new)
27 b. Recognises the role of local micro, small and medium-sized enterprises, cooperatives, inclusive business models and research institutes as engines of growth, employment and local innovation, which will in turn contribute to the achievement of the SDGs; underlines the need to simplify access to financing, strengthen inclusiveness and support smaller actors, including by improving accessibility to relevant publicly available data; underlines that local SMEs therefore need to have easy access to financial services in the EFAD framework; notes that EU policies need to encourage the cooperation of companies and enterprises, particularly SMEs, to play an active role in initiatives contributing to sustainable development in developing countries;
Amendment 55 #
Motion for a resolution
Paragraph 3
Paragraph 3
3. Underlines the undeniable interconnection between development and security and recalls that, without peace and security, development and poverty eradication are not possible, while without development and poverty eradication neither sustainable peace, nor human nor state security can occur; highlights the role that development plays in preventing conflicts, ensuring durable exits from conflicts and bolstering crisis management; insists on the importance of further developing a well-tailored development- security nexus to address the complexities of modern crises and violent situations;
Amendment 64 #
Motion for a resolution
Paragraph 4
Paragraph 4
4. Emphasises the role of a collective, coherent EU approach, politically savvy and tailored to the specificities of the partner country, which could be effective in helping to foster the expansion of social protection systems in developing countries and would help bridge the gap between security and development, with social protection being one of the foundations of the social contract and the way to enhance resilience;
Amendment 71 #
Motion for a resolution
Paragraph 5
Paragraph 5
5. Underlines that consistency across all EU financing instruments, initiatives and strategies, notably the new NDICI- Global Europe instrument, Team Europe initiative and the new Global Gateway strategy, is crucial in order to maximise the EU’s global response to sustainable growth, development and peace;
Amendment 78 #
Motion for a resolution
Paragraph 5 a (new)
Paragraph 5 a (new)
5 a. Believes that the EFAD should improve the EU’s visibility and the impact of its development finance in the world, in order to ensure that the EU’s perceived role in the world matches the magnitude of its support;
Amendment 80 #
Motion for a resolution
Paragraph 5 b (new)
Paragraph 5 b (new)
5 b. Stresses that eradication of poverty (SDG1), climate action (SDG 13), good health and well-being (SDG 3), with a particular focus on the most marginalised groups and leaving no-one behind are especially acute challenges in today’s world;
Amendment 83 #
Motion for a resolution
Paragraph 6
Paragraph 6
6. iIs alarmed at how the COVID-19 pandemic has exposed the long-standing structural drivers of health inequalities; believes, therefore, that the EFAD should particularly promote investments in healthcare and healthcare services, also in research and development of new health technologies;
Amendment 86 #
Motion for a resolution
Paragraph 6 a (new)
Paragraph 6 a (new)
6 a. Calls for exploring the possibility of creating a platform for sharing innovation, knowledge and expertise, supporting multi-stakeholder partnerships, fostering public-private dialogue, and exploring innovative business solutions to accelerate sustainable development;
Amendment 90 #
Motion for a resolution
Paragraph 7
Paragraph 7
7. believesUnderlines that developing and, even more so, developed countries have a shared responsibility to achieve the SDGs; points out, therefore, that EFAD and the long- awaited EU SDG strategy must reflect and facilitate a coordinated and coherent set of internal and external EU policies and commitments, including through the full set of already existing development policy tools; regrets, in that context, that the Commission has not yet developed an integrated and holistic SDG implementation strategy;
Amendment 94 #
Motion for a resolution
Paragraph 8
Paragraph 8
8. Recognises the need to enhance and improve the institutional set-up, reduce heavy bureaucratic coordination and strengthen institutional flexibility, in order to maximise EFAD’s potential, thus increasing development impact;
Amendment 98 #
Motion for a resolution
Paragraph 9
Paragraph 9
9. Is concerned that key features of the Policy Coherence for Sustainable Development (PCSD) principle are systematically missing in regulatory initiatives of the EU; insists that mechanisms for ensuring policy coherence for sustainable development must be enshrined in EFAD and used more systematically and efficiently by all relevant EU institutions and all Member States, including at the highest political level;
Amendment 103 #
Motion for a resolution
Paragraph 10
Paragraph 10
10. DAcknowledges the Commission’s efforts for better regulation with the aim of creating long-term sustainable investments which promote health and the well-being of people and planet and protecting human rights; demands that EFAD be consistent with future EU due diligence and corporate responsibility legislation and that it adhere to the highest standards of transparency and accountability;
Amendment 106 #
Motion for a resolution
Paragraph 11
Paragraph 11
11. BNotes that the Team Europe approach emerged as a response to the COVID-19 pandemic; believes that the Team Europe approach should play a key role in further improving strategic cooperation and global coordination and the coherence and effectiveness of development efforts, especially at partner- country level , and believes that it has the potential to further identify key issues that need to be solved, notably stronger policy direction and focus, and stronger mechanisms for communication and visibility;
Amendment 111 #
Motion for a resolution
Paragraph 11 a (new)
Paragraph 11 a (new)
Amendment 112 #
Motion for a resolution
Paragraph 12
Paragraph 12
12. Calls on the Commission to put forward a powerful EU policy direction and to further align the EU development financial institutions’ activities within the new open architecture in order to achieve EU development policy objectives; is of the opinion that the programming process must fully cover the use of EU budgetary guarantees, notably the European Fund for Sustainable Development (EFSD +) ;
Amendment 118 #
Motion for a resolution
Paragraph 13
Paragraph 13
13. Calls on the Commission to ensure that EFAD pursues the goal of restoring the multilateral development finance system in order to help put an end to the unsustainable lending practices of some countries operating outside that system which not only threaten the level playing field for the EU and other compliant countries, but also dramatically increase the already high external debt of many developing countries which were made even more vulnerable as a consequence of the COVID-19 pandemic; highlights in that light that the war in Ukraine further worsens the debt burden in many developing countries;
Amendment 124 #
Motion for a resolution
Paragraph 14
Paragraph 14
14. cConsiders EU taxonomy to be an important tool for achieving the SDGs and the objectives of the Paris Agreement; calls on the Commission to further develop the EU taxonomy, elaborating on the six environmental objectives established in the Taxonomy Regulation and enacting further delegated acts to that effect; strongly believes that it is imperative that development finance institutions both at EU and Member State level, and private actors active in development, base their activities, in particular also in developing countries, on the new EU taxonomy regime;
Amendment 137 #
Motion for a resolution
Paragraph 15
Paragraph 15
15. rReaffirms the European Investment Bank’s specific role – which is set out in Article 209 of the Treaty on the Functioning of the European Union and in Article 36 of the ‘Neighbourhood, Development and International Cooperation Instrument – Global Europe’ – as the EU’s financial arm with a global reach, delivering EU investments and partnering with the European Commission in implementing the Global Gateway;
Amendment 146 #
Motion for a resolution
Paragraph 17
Paragraph 17
17. Welcomes the setting-up of EIB Global, a dedicated development branch within the EIB Group, which has been operational since 1 January 2022, hopes that this new branch will enable the EIB to enhance its local presence and become more involved and be more effective in financing for development at country level ;
Amendment 154 #
Motion for a resolution
Paragraph 19
Paragraph 19
19. Encourages the EIB and the European Bank for Reconstruction and Development to further reinforce their complementarity and their business models through greater mutual reliance initiatives, as the needs are greater than their joint resources and they can easily divide their work along different trajectories;
Amendment 159 #
Motion for a resolution
Paragraph 20
Paragraph 20
20. Encourages the EIB, the European Bank for Reconstruction and Development and the European development banks and financial institutions to strengthen their cooperation, drawing on their respective financial expertise, added value and resources ;
Amendment 163 #
Motion for a resolution
Paragraph 21
Paragraph 21
21. Calls on the EIB to work more closely with the African Development Bank to finance long-term investments that foster sustainable development, building on cooperation to date;
Amendment 174 #
Motion for a resolution
Paragraph 24
Paragraph 24
24. Recognises the importance and potential of Member State development banks within the EFAD structure; stresses the pressing need to boost private sector development in sub-Saharan Africa and the difficulties encountered in serving this area of development cooperation;
Amendment 178 #
Motion for a resolution
Paragraph 25
Paragraph 25
25. Calls on the Commission to report annually on Team Europe initiatives evaluating the resources mobilised, development planning and impact, harmonisation and application of EU standards, the EU integration perspective and Member States’ involvement ;
Amendment 181 #
Motion for a resolution
Paragraph 26
Paragraph 26
26. Reiterates that institutional control and scrutiny of EU funding fosters democratic debate and helps to boost the credibility of the EU; calls for obligations ensuring appropriate visibility of the implementation of EFAD and calls on the Commission to take action in an appropriate and timely manner where those obligations are not met;
Amendment 186 #
Motion for a resolution
Paragraph 27
Paragraph 27
27. iInsists that the Member States honour their commitment to spend 0.7 % of their gross national income on ODA; is alarmed that, in 2020, official development assistance from advanced economies was on average just 0.32% of their gross national income – less than half of the 0.7% commitment 1a , whilst the impact of the war in Ukraine on government spending around the globe will put further pressure on aid budgets which are already low; underlines the important role of ODA as a catalyst for change and a lever for the mobilisation of other resources; stresses the importance of the EU’s commitment to mobilise resources for climate action and the EIB’s role in making progress in this area as well as to help meet climate targets, eradicate poverty and increase healthcare;
Amendment 194 #
Motion for a resolution
Paragraph 27 a (new)
Paragraph 27 a (new)
27 a. Stresses the need for crowding in private capital in order to help tackling the existing 2.5 trillion dollars gap identified for meeting the SDGs by 2030, and in order to finance investments in the most vulnerable regions and LDCs, where needs are the greatest;
Amendment 195 #
Motion for a resolution
Paragraph 27 b (new)
Paragraph 27 b (new)
Amendment 199 #
Motion for a resolution
Paragraph 28
Paragraph 28
28. Takes note of the two-pillar solution for addressing the tax challenges arising from the digitalisation and globalisation of the economy, as agreed by the members of the OECD/G20 Inclusive Framework on Base Erosion and Profit Shifting; calls on the EU and its Member States to ensure that the agreed global minimum corporate tax rate of 15% for Multinational Enterprises is effectively applied; underlines that this minimum tax is estimated to generate around USD 150 billion in additional global tax revenues annually;