Indicator 17.20 EU financing to developing countries by financing source

The indicator shows the total official and private EU financing to developing countries. These consist of net disbursements of Official Development Assistance (ODA), other official flows (OOFs), private flows (mainly foreign direct investment, FDI) and grants by private agencies and NGOs. ODA consists of grants or concessional loans undertaken by the official sector with promotion of economic development and welfare in the recipient countries as the main objective. OOFs are transactions which do not meet the conditions for eligibility as ODA, either because they are not primarily aimed at development, or because they have a grant element of less than 25 %. Private flows include direct investment, bonds, export credits and multilateral private flows. Grants by private agencies and national NGOs consists of funds for development assistance and relief, together with any additional contributions in kind, including, for instance proceeds from charity Christmas card sales or special appeals (for example, for disaster relief).

Indicator s used to monitor progress towards SDG 17 on revitalizing the global partnership for sustainable development which is embedded in the European Commission’s Priorities under ‘A new era for European Defence and Security’ and ‘Protecting our democracy, upholding our values’.

Goal 17, Official Development Assistance and other financial resources, whether public or private, domestic or international will be needed. The EU pursues a coherent and supportive approach to development, where all financial flows to developing countries, including aid, investment and trade, work together with domestic resource mobilisation and good policies to help build capacity and support self-reliance in these countries. Thus, the indicator complements the indicator on development assistance.