EU to Give 28 Billion Euros Aid to Poorer Countries

Posted 18 October 2006 @ 07:55 am EET     Print     Reprint     E-Mail     Comments

LUXEMBOURG (Reuters) - The European Union agreed on Tuesday to an aid package worth nearly 28 billion euros for poorer countries during 2007-2013. The wealthy bloc's eastern and southern neighbours including Ukraine, Russia, Algeria and Lebanon will receive 11.18 billion euros.

Countries in Latin America, Asia and the Middle East as well as South Africa will receive 10 billion.

Another 5.6 billion euros will be allocated to food security, education, environment and non-governmental organisations worldwide. Some 1.2 billion euros will help African, Caribbean and Pacific (ACP) countries deal with EU price-cutting reforms in sugar.

EU foreign ministers meeting in Luxembourg formally approved the package and decided criteria for how the aid would be targeted.

The money will come from the EU's central budget of 864.4 billion euros allocated for the period. It adds up to aid given individually by EU states to poor countries. Separately, the EU agreed earlier this year a 22.6 billion euros aid package for ACP countries for 2008-2013. The European Parliament needs to give a green light to the 10 billion euros package for Asian and Latin American countries, which it is expected to do shortly, EU officials said.

The 25-nation EU calls itself the world's biggest donor. The bloc's 15 major donors spent $55.7 billion in aid in 2005, according to the Organisation for Economic Co-operation and Development's latest figures.