European Development Days European Commission DG Development and Cooperation 16-17 October 2012, Brussels The EU has discussed with a wide range of private and public stakeholders how to work closer together towards the common objective of achieving inclusive and sustainable growth in partner countries in the South. ECDPM contributed to this event in a panel on 'Europe's response to inequality in developing countries, co-organised a panel on 'How can we maximise inclusive growth and development?', and sat on a panel on the European Report on Development 2013. In a "project-lab", the ERD core team presented their work on the European Report on Development 2013. This consultation with a wide variety of stakeholders present at the EDDs aimed to enrich and inform the next stages of drafting the report.

1. 10/23/2012
DEVELOPMENT IN A CHANGING WORLD:
ELEMENTS FOR A POST-2015 GLOBAL AGENDA
European Development Days, Brussels
16 October 2012
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European Report on Development
• An initiative of the European Commission and 7 EU
Member States (FIN, FRA, DEU, LUX, ESP, SWE, UK)
• To mobilise European research for development
• Two issues in previous years:
– Overcoming Fragility in Africa, 2009
– Social Protection for Inclusive Development, 2010
• Third published in May 2012:
– Confronting Scarcity: Managing Water, Energy and Land
for Inclusive and Sustainable Growth
• Working now on 4th edition – launch in May 2013
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2. 10/23/2012
ERD 2012-2013
• An independent European contribution to the debate on
a possible post-2015 global development framework
• Research Question:
– Which elements of a post-2015 framework – including
contributions of the European Union – could support poor
countries' efforts to overcome development constraints and
create opportunities for (inclusive and sustainable)
development?
• Material used:
– Review of literature
– Commissioned papers – 10 (in past years: ~20)
– Country case studies – 4 (in past: none)
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Some issues to consider
• Pros and cons of having a global framework
– What lessons from the MDG experience?
• Changing global context and actors
• Changing geography of poverty
– Emerging economies, poor in MICs, rising inequalities…
• Should focus remain strict poverty eradication or rather
broader inclusive and sustainable development?
• Move beyond aid and beyond MDGs
– Aid should not be seen as the only instrument
– Move beyond out-dated donor-beneficiary dichotomy
– Address wider range of global public policies
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3. 10/23/2012
Beyond Aid & Beyond MDGs
Continued focus on poverty Comprehensive development
reduction, coupled with greater (ISD) and global public policies
emphasis on impact of other agenda, supported by greater
policies: policy coherence for policy coherence (PCD).
development (PCD).
Development cooperation as we Continued focus on foreign aid,
know it: within a broader set of
Broadening Poverty reduction as the main development objectives (ISD)
Instruments objective, and foreign aid the including broader global public
(‘Beyond Aid’) key instrument to achieve it. policies agenda
Broadening Objectives
(‘Beyond MDGs’)
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Structure of the ERD
I. Introduction & Scene Setting
1. Introduction and Methodology
2. State of play on the MDGs – performance and lessons learnt
3. Changing geography of poverty: 2000 to 2015
4. EU’s past role and influence on achievement of the MDGs
5. Changing political economy of international cooperation
6. Trends into the future (economic, demog. & social, environmt.)
II. Developing country perspectives & contribution of external
actors: (includes: Introduction, 3 Thematic chapters, Conclusions)
– Theme A: Aid & Finance
– Theme B: Trade & Investment
– Theme C: Migration
III. European Contribution to a possible new Global Consensus
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4. 10/23/2012
4 Case Studies
• Studies conducted by local research institutes
• Range of different income categories
– LICs+LDCs: Rwanda & Nepal
– MICs: Côte d’Ivoire (lower) & Peru (upper)
• Different relations with global economy and EU
• Different development trajectories
• Varying experience with MDGs
• All have had periods of fragility in past 20 years
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4 Case Studies
• Rwanda – strong developmental approach
– MDGs important, donors supportive, FDI slowly rising
• Nepal – unstable, development progress suffers
– MDGs espoused, but donors wary and FDI not rising
– Doing OK on MDGs but due to remittances
• Côte d’Ivoire – in past liberalised+open economy
– Overcome instability – restore confidence, use MDGs
• Peru – national consensus on development
– MDGs not relevant, ODA of limited value but
cooperation with EU still important
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5. 10/23/2012
Main Messages: Beyond MDGs
• New global development framework needed.
Scale & urgency of the challenges facing developing countries point to need for a post-
2015 framework. Should cover range of global issues that affect development outcomes.
• Poverty reduction remains a central objective
Eradication of extreme poverty should be at the forefront of any post-2015 framework.
• But, need to reconsider our understanding of poverty.
Varying national needs, so need a broader perspective on poverty. In particular, will have
to tackle extreme poverty, relative poverty, as well as non-income poverty
• Inclusive & sustainable development (ISD) core of new framework.
Economic, social and political processes need to be more inclusive and sustainable.
Possibly focus on disadvantaged such as women, youth, un-& under-employed, migrants.
• Focus on ISD is compatible with the proposed SDGs.
Emphasise potential synergies and overlaps between post-MDG and SDG agendas. Within
an ISD framework, economic and environmental sustainability are explicitly considered.
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Main Messages: Beyond Aid
• Governments should be in the driving seat to determine their own policies
Should have the policy space to do so. A global framework on development should support this.
Implies other governments use principle of ‘responsible sovereignty’ in their policies
• New global framework for development should rely first on non-aid policies
Aid is no longer adequate on its own though still has a role, but an increasingly minor one and needs
to be used in a more targeted and catalytic manner.
• Range of different types of development finance needed for post-2015 agenda.
Domestic resources, should be the main source of finance for development. ODA will only come in
support. ODA levels need to be maintained and increased. SSC will play an increasingly important
role – it provides developing countries with additional choice and opportunities.
• Collective international action on global public policies is essential
Establish a conducive international environment for development and tackle global issues that
directly affect governments’ ability to make progress on development
• The EU’s most important contribution to a new global framework will
increasingly be in non-aid policies
PCD, knowledge sharing, promoting collective international action, and setting up global regimes
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6. 10/23/2012
Main Messages: Role of the EU
• Strengthen the development friendliness of the EU policies
Particularly trade and investment policies, regulation of financial flows and
measures to improve transparency
• Deliver on EU ODA level and effectiveness commitments
Medium-term agenda but also focus on strengthening the development-
effectiveness of other financial contributions
• Development-friendly EU policies on facilitating labour migration
Adapt legislation for low-skilled migration from developing countries, Push for
an international regime on labour migrations (eg. in WTO)
• Seek a sufficiently flexible yet strong EU position on post-2015
Make sure it also influences positions taken in other multilateral and
minilateral (i.e. G20, G8) fora
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THANK YOU
James Mackie – jm@ecdpm.org - Team leader
Stephan Klingebiel – stephan.klingebiel@die-gdi.de
Pedro Martins – p.martins@odi.org.uk
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