Statement by Ambassador Berger on the occasion of the Fifth High-level Dialogue on Financing for Development

Dec 7, 2011

As delivered

Mr. President,

Germany wishes to endorse and fully align itself with the statement made by the representative of the European Union.

The financing for development agenda is an important process to emphasize the need for more and more varied forms of development finance. It is closely related to the achievement of the internationally agreed development goals, including the Millennium Development Goals. It tasks developing countries, emerging economies and donor countries alike to mobilise more development finance. While Official Development Assistance is an important component, domestic resources – public and private – as well as private investments and remittances to developing countries must also play a significant role. Therefore, we concur with the EU that mobilising development financing from all available sources is crucial to fight poverty and achieve the MDGs.

An increase in financing for development is a necessary condition to achieve the internationally agreed development goals. Yet, it is certainly not sufficient. Other conditions must be fulfilled as well:

On the one hand, developing countries must have ownership and must live up to their primary responsibility for their own development by creating an enabling domestic environment. Here, Germany is assisting its partner countries in achieving results, both with technical as well as financial cooperation.

On the other hand, aid and development effectiveness must improve. In this regard, Germanywelcomes the results on “Policy Coherence for Development” the international community achieved at the Busan High Level Forum on Aid Effectiveness last week. We especially appreciate the commitments to improved division of labour among donor countries, increased effectiveness and efficiency as well as the involvement of the private sector in realising development results.

Mr President,

Germany remains committed to its part of the EU’s ODA targets. We understand that ODA remains important for achieving development goals. In 2010, global ODA as well as the EU's collective ODA reached historical highs. Germanyitself also reached its highest ODA contribution ever in 2010, with almost 13 billion USD spent on a net flow basis.

An importing factor in this context has been the considerable progress in raising resources through innovative financing mechanisms. Since the Monterrey Consensus in 2002, Germanyhas mobilised more than 12 billion EUR in innovative financing mechanisms, such as revenues from the sale of emission allowances, public-private structured investment funds, Debt2Health conversions and blending of public with capital market funding. For the future, we see a clear and continuous need and benefit in mobilising more non-government contributions.

Let me conclude by saying, that Germanyremains fully committed to the Monterrey Consensus and the advancement of the agenda on financing for development.

Thank you very much.

 

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