Unfazed, EU continues to offer ODA funds to PH

BRUSSELS – While the EU has more than doubled its bilateral official development assistance (ODA) to the Philippines to 325 million euros for 2014-2020 from 128 million euros for the period 20072013, much of it still remained pending and could be affected under the current circumstances as relation between the two countries is experiencing a rough time. Despite this, EU still continues to dangle to the Philippines new ODA funds for conflict-affected Mindanao.

Data from the EU Commission’s Directorate-General for International Cooperation and Development (DG DEVCO) showed the 28-member countries allocating 2.03 billion euros of their ODA funds to five ASEAN countries over the 7-year period program ending 2020.

Myanmar got the biggest allocation of 688 million euros from 125 million euros; Cambodia with 410 million euros from 143 million; Vietnam with 400 million euros from 298 million euros; Philippines with 325 million from 128 million and, Laos with 207 million euros from 69 million euros.

DG DEVCO is responsible for defining development policies in an international cooperation context and translate these into practical aid actions and for developing new methods of aid and delivery. As such it is also responsible for tendering, contracting, monitoring and evaluation of the program.

An EU official said that of the total 325-million euro assistance granted to the Philippines, 60-million euro worth of projects are ongoing in Mindanao. These projects involve sustainable energy projects, particularly solar. Another 18 million euros, including Spain’s 2 million euros, are being spent for the rule of law program, which seeks to fund capacity building projects to promote good governance through strengthened rule of law and improved justice service delivery.

This 7-year official development assistance package has also allocated 2.57 million euros for human rights capacity building projects. Overall, DG DEVCO is spending more than 80 million euros for its ongoing projects in the country.

This means that majority or 244 million euros, which are still awaiting for implementation, and there is likelihood it can be put on hold with the Philippine government saying it will no longer accept new “tied aids” following widely publicized EU Parliamentarians’ protest against alleged human rights abuses and extra judicial killings of the Duterte administration’s bloody drug war.

The EU though is clear in its objectives that its ODA funds have specific aims to eradicate poverty and achieve sustainable development, integrates and balances the economic, social and environmental dimensions of sustainable development. It addresses peaceful and inclusive societies. It is based on human rights for all and the commitment to leave no one behind.

The EU official also said they are still undertaking a midterm review of the 2014-2020 ODA program, which could take a year. While adjustments can be done, the official also said that reallocation of funds to other beneficiary countries would be difficult.

Another EU official also explained that EU’s assistance is focused on the direct beneficiaries, not on individual leaders.

A Philippine official, however, said that while Foreign Affairs Secretary Peter Cayetano has already informed the EU of the government’s decision, there has been no official communication to them yet.

Despite the circumstance in their bilateral relations, the EU has announced of additional assistance for Mindanao with an initial allocation of 55 million euros. An additional 45 million euros have also been committed for the second phase of this Mindanao assistance program or a total of 100 million euros over a five-year period implementation program from 2018 to 2023.

“Formulation is nearly finished,” an EU official told visiting Philippine journalists. This will pave the way for the submission of the program for opinion to member states by end of February next year. Once agreed, this will be elevated for the financing stage from the EU Commission side and once signed by the EU and the Philippine governments, project contracting will follow paving the way for the implementation of the project probably by the middle of next year.

On the second phase, the EU DEVCO official said this will hinge on the outcome of the political setting in Mindanao or the progress of the Bangsa Moro Bill. “We will see how the process evolves,” an official said.

The overall objective of this new program is to contribute to a comprehensive and lasting peace, security and sustainable development in conflictaffected and vulnerable areas of Mindanao.