Clare Short, UK Secretary of State for International Development, told MEPs that Council was now adopting a new approach to aid policy. Negotiations are about to open on the renewal of the Lome Convention, the EU's multi-billion Ecu trade and special assistance agreement with 70 developing countries. The EU and its member states is the world's biggest aid donor, providing more than half of total development assistance. The present convention expires in the year 2000, and with 1.3 billion of the world population getting by on less than 50p a day, Ms Short wants the new agreement to focus on tackling hunger: "We should halve the number of people living in absolute poverty by the year 2015 and make basic health facilities available to all by the same year."
Development Commissioner Joao de Deus Pinheiro agreed, admitting that present policies had failed. The present Lome Treaty is considered to be too bureaucratic. A complicated decision-making machinery shuffles paperwork between Brussels and the member states' capitals, resulting in considerable delays before programmes are approved.
Tied aid
Criticisms have been made of western aid policy on the grounds that some countries are often more interested in finding markets than gearing policy towards the needs of the developing countries. Indeed, Ms Short has already announced that British aid policy will no longer be tied to services provided by British companies. Another reform championed by MEPs is for South Africa-based companies to be allowed to tender for EU aid projects in Africa.
Some MEPs, such as Glenys Kinnock (South Wales East, PES) are wary that a new approach based on trade liberalisation and integrating Lome countries into the world economy could have an adverse impact on the poorest countries.