EUROPEAN COMMISSION Brussels, 21.8.2013 SWD(2013) 307 final COMMISSION STAFF WORKING DOCUMENT Accompanying the document REPORT FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT AND THE COUNCIL Annual Report 2013 on the European Union's Development and external assistance policies and their implementation in 2012 {COM(2013) 594 final} EN EN Table of Contents 1. CHAPTER 1 - DELIVERING ON COMMITMENTS .............................................. 3 1.1. EU response to world developments in 2012.................................................... 5 1.2. Leading the way in development policy ........................................................... 9 1.2.1. A more strategic approach: implementing the "Agenda for Change" ............................................................................................... 9 1.2.2. Responding to global challenges and supporting long-term reforms 10 1.2.3. Making a difference: new instruments and aid modalities................ 12 1.3. Keeping long-term promises ........................................................................... 13 1.3.1. Progress in achieving the MDGs and preparation of the post-MDG framework ......................................................................................... 13 1.3.2. Focusing on poverty .......................................................................... 18 1.3.3. Strengthening human rights and good governance ........................... 20 1.3.4. Mainstreaming of cross-cutting issues .............................................. 21 1.3.5. Cooperation with non-state actors and local authorities ................... 22 1.3.6. Financing for development................................................................ 24 1.3.7. The role of the private sector............................................................. 26 1.4. Better and more effective aid .......................................................................... 27 1.4.1. Aid effectiveness and joint programming ......................................... 27 1.4.2. Cooperation with the donor community............................................ 29 1.4.3. Cooperation with international organisations ................................... 30 1.4.4. Coherence between development and other policies ........................ 32 1.5. Outlook 2013................................................................................................... 34 2. CHAPTER 2 - IMPLEMENTATION: GEOGRAPHIC OVERVIEW .................... 35 2.1. European Neighbourhood and the Middle East .............................................. 35 2.1.1. European Neighbourhood & Russia.................................................. 35 2.1.2. Middle East ....................................................................................... 55 2.2. Sub-Saharan Africa & all ACP programmes .................................................. 58 2.2.1. South Africa ...................................................................................... 72 2.2.2. Intra-ACP programmes (including water and energy)...................... 75 2.3. Latin America & the Caribbean ...................................................................... 77 2.3.1. Latin America.................................................................................... 77 2.3.2. Caribbean .......................................................................................... 90 2.4. Asia, Central Asia & the Pacific ..................................................................... 97 2 2.4.1. Asia.................................................................................................... 97 2.4.2. Central Asia..................................................................................... 107 2.4.3. Pacific.............................................................................................. 114 2.5. OCTs ............................................................................................................. 125 3. CHAPTER 3 IMPLEMENTATION: THEMATIC OVERVIEW.......................... 128 3.1. The thematic programmes............................................................................. 128 3.1.1. Investing in people .......................................................................... 128 3.1.2. Non-state actors and local authorities in development.................... 131 3.1.3. Migration and asylum...................................................................... 132 3.1.4. Environment and sustainable management of natural resources including energy.............................................................................. 133 3.1.5. Food security ................................................................................... 136 3.2. Democracy and human rights........................................................................ 140 3.3. Stability ......................................................................................................... 140 3.3.1. Crisis response and preparedness.................................................... 140 3.3.2. Global and regional trans-border challenges................................... 140 3.4. Nuclear safety................................................................................................ 140 3.5. Humanitarian assistance................................................................................ 140 3.6. Macro-Financial Assistance .......................................................................... 140 4. CHAPTER 4 MANAGING AID FOR RESULTS ................................................. 140 4.1. Monitoring project performance ................................................................... 140 4.1.1. Project results: results-oriented monitoring .................................... 140 4.1.2. Evaluation: review of the 2012 work programme........................... 140 4.1.3. Lessons learned ............................................................................... 140 4.2. Aid delivery modalities ................................................................................. 140 4.2.1. Developments in aid delivery modalities and channels .................. 140 4.2.2. Budget support ................................................................................ 140 4.2.3. Blending of grants and loans/innovative financing......................... 140 4.3. Progress in aid management.......................................................................... 140 4.3.1. Progress on qualitative issues in aid management .......................... 140 4.3.2. Simplification of procedures ........................................................... 140 4.4. Communication & transparency.................................................................... 140 4.4.1. Communication and visibility ......................................................... 140 4.4.2. Transparency ................................................................................... 140 5. CHAPTER 5 FINANCIAL ANNEX ...................................................................... 140 3 5.1. Introduction to financial tables...................................................................... 140 5.2. Financial tables.............................................................................................. 140 4 1. CHAPTER 1 - DELIVERING ON COMMITMENTS Introduction The European Union as a whole remains the largest donor of official development assistance (ODA) worldwide. In 2012 it provided collectively EUR 55.2 billion of ODA, which amounts to over 50 % of official global ODA (as reported by the OECD Development Assistance Committee - DAC).1 2012 was the first year of implementing the "Agenda for Change"2 after its endorsement by the Foreign Affairs Council in May. Responding to the changing context of development cooperation it sets out a more strategic and effective approach to poverty reduction with a view to further increasing the impact of EU development policy. The Agenda for Change inspired further discussions and proposals in 2012. The European Development Days (EDD) – an annual event for the debate of global issues and development cooperation – were held in Brussels in October 2012. They focused on inclusive and sustainable growth for human development in line with the Agenda for Change. The recommendations of the Agenda for Change have also been incorporated into the proposals for the 2014-20 external financial instruments, as well as in the new programming instructions to EU Delegations. Several communications adopted during 2012 focused on specific aspects of the Agenda for Change. Throughout 2012 the EU pursued its policy of improving Policy Coherence for Development (PCD). Supporting the objectives of "Sustainable Energy for All" (SE4ALL) gained important momentum in 2012. EU Development Commissioner Andris Piebalgs served as a member of the SE4ALL High Level Group launched by UN Secretary-General Ban Ki-moon. At the SE4ALL summit organised in April by the European Commission (henceforth the Commission) and the Danish Presidency of the Council of the European Union, Commission President José Manuel Barroso proposed the ambitious goal of helping developing countries to provide access to sustainable energy services to 500 million people by 2030. The Commission is mobilising significant resources to rapidly scale up its support for sustainable energy. In the area of external relations, 2012 saw the deepening of relations with Europe's neighbours (with the goal of promoting democracy, stability and prosperity) and the continued