Federal Minister Niebel, in very general terms, what standing does German development cooperation have today from an international perspective?
A very high standing. Germany is one of the world’s largest donors. In addition to our bilateral activities we are also a major shareholder, for example, in the World Bank and the regional development banks as well as a major contributor to the United Nations. Quite apart from that, Germany is responsible for a share of over 20% of what is done in the development policy field at the European level.
Germany was the first country in Europe to set up a development ministry, the Federal Ministry for Economic Cooperation, or BMZ for short. In November 2011 the BMZ will celebrate its 50th anniversary. Does the Federal Republic today still play a pioneering role in certain areas of development cooperation?
Definitely, yes. We can have a major influence on shaping international processes and wish to do so – also because we are boxing below our weight at the moment – even more strongly in the future. A good starting point, for example, are the regular meetings with “like-minded” countries – in other words, partners that have similar goals to ours – including especially the United Kingdom and the Scandinavian countries. Let me give you an example: important positions on sustainable economic growth, the role of the private sector and on the contributions of private industry were included in the final document of the Millennium Summit in New York.
The Federal Government is explicitly relying on close cooperation with the German private sector. How thin is the dividing line between development cooperation and the promotion of foreign trade?
Although our development cooperation is based on values, it is also explicitly interest-oriented. It is an old idea that development policy can only be altruistic. Unconditional aid creates dependence. Liberal development policy regards sustainable economic development in the developing countries, supported by a dynamic private economy, as a central precondition for a form of poverty reduction that also contributes to solving our urgent challenges, for example, in the environmental, health and education fields. Accordingly, the best kind of cooperation is when I can realize good projects in developing countries with money from the private sector rather than from taxpayers. In this process, however, the focus is always on the development policy benefit of a commitment. My colleague Federal Trade Minister Rainer Brüderle is responsible for pure foreign trade promotion.
The goals of German development policy include the sustainable reduction of poverty and structural deficits. How exactly is Germany active in those areas?
Our motto is “Help towards self-help”. That’s why we want to strengthen the forces for self-help in our partner countries through our work. We cannot develop any country from the outside, but always only encourage and support development processes within the partner country. We therefore agree concrete bilateral work with our partners at regular intergovernmental meetings, and the realization of financial promises is tied to very concrete developmental advances.
Which areas of work are particularly close to your heart?
Both international and German development policy aims to achieve the Millennium Development Goals, which focus on reducing poverty. The German Federal Government considers combating educational poverty an especially important aspect here. The elimination of structural deficits – for example, EU agricultural export subsidies – are also part of this. I would like to more strongly involve civil society and business in our work – not only in the partner countries, but also in Germany. In this area the BMZ promotes, among other things, socially responsible business management and development partnerships with industry. Additionally, the Federal Ministry for Economic Cooperation and Development is increasing the effectiveness of German development policy by merging the three implementation agencies: DED, GTZ and InWEnt.
How realistic is it, in your opinion, that the international community will be able to achieve the Millennium Goals by 2015?
The Millennium Declaration and the Millennium Development Goals, or MDGs for short, are the frame of reference for both international and German development policy. Now, five years before the deadline, many successes have been achieved, but great challenges still remain. Among others, the successes include a reduction in the poverty rate, the fact that more children – both girls and boys in almost equal proportions – are receiving an elementary education and the availability of drinking water has been significantly improved. On the negative side, however, there is still the very large number of children who die of preventable diseases before their fifth birthday, the high maternal mortality rate and major shortcomings in sanitation. We support paying greater attention in the next five years to the observance of human rights, to good governance, to the responsibility of the partner countries and the involvement of private industry and civil society. We will then have good chances of accomplishing many of the Goals in many regions.
In the coalition agreement between Germany’s governing parties, the CDU and FDP, it states that Germany will work with “a limited number of partner countries in future”. Where is Germany showing a greater commitment, where a lesser commitment? And for what reasons?
Germany selects the partners it works with very carefully. The most important criteria are the local government’s approach to development, the kind of governance provided by the partner government, ecological and political goals, the implementation of human rights and the importance of the German contribution compared to other bilateral and multilateral donors as well as regional aspects and close ties. Today the Federal Republic works with 57 partner countries. Some other countries receive support within the framework of subject or regional programmes – for example, combating HIV/AIDS, climate or forest protection as well as crisis prevention.
China also receives German development cooperation funding. Why is such a powerful exporting nation still a recipient country today?
China is no longer a partner country of German development cooperation. A country that has overtaken us as world champion exporter no longer needs any development aid in the traditional sense. That’s why no money has been allocated in the development budget for development cooperation with China since 1 January 2010. There are of course still ongoing projects that we will not terminate – leaving behind developmental ruins would be a waste of taxpayers’ money. We have also agreed that China and Germany continue to work together – namely as equal partners. I would be pleased if we could carry out joint projects in Africa, for example, that combine Germany’s enormous wealth of experience in development cooperation with China’s experience as a former developing country.
There has been criticism from the Organization for Economic Cooperation and Development (OECD) that German has not met agreed financial obligations. What do you say to that?
Germany already made a commitment to reach the target of spending 0.7% of gross national income on development 40 years ago. I explicitly uphold that target. In order to achieve it we need innovative funding instruments and stronger involvement – also of the private sector. However, I would like to make clear that ultimately I am concerned above all about the effectiveness of our work and not the sum of money spent.
You already mentioned that your ministry has begun a reform of the government development agencies GTZ, DED and InWEnt. It is planned to merge these globally known and respected institutions into one joint organization for technical cooperation. What advantage will that have?
The reform will eliminate the unnecessary duplication of structures, create greater efficiency, save money and at the same time increase the effectiveness of our work. Additionally, it will also create – and I consider this particularly important – a coherent external interface for our cooperation partners who today often have to deal with several contacts on the German side. Furthermore, the reform will allow the BMZ to concentrate on its policy management role, in which it will become stronger – while the new organization, the German Society for International Cooperation (GIZ), will be able to concentrate on what its name implies: the realization of contracts from the Federal Ministry for Economic Cooperation and Development and the Federal Government.
Just one personal question to finish with: Which German development cooperation project has especially impressed you in the course of your journeys?
I could name many! One example is this: a German family business built the first cement mill in Namibia. In February, at the topping-out ceremony, we discovered that a new project could be developed: a bush was spreading and destroying grazing land. Initially, the plant was pulled out together with its roots, but that led to erosion. I concluded an agreement with the cement mill company that credit funding could be used for combine harvesters to harvest the bushes so that they regrow. The bushes will be shredded at a plant that will have to be built there, which in turn creates jobs, and the biomass will be used to fire the cement mill. This will save 55,000 tonnes of coal a year and reduce carbon dioxide emissions into the atmosphere by 130,000 tonnes. The German development bank provided favourable loans. Now the farmers can again allow their cattle to graze while the company also profits.
Interview by Janet Schayan
