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HomeWafa NewsSummary of G8 Results About Africa

     
 

Summary of G8 Results About Africa

Leaders of the G8 nations at the end of the Gleneagles G8 Summit. We met at Gleneagles for our annual Summit, 6-8 July2005

Africa and Development

We were joined for our discussion on Africa and development by the leaders of Algeria, Ethiopia, Ghana , Algeria, Senegal, South Africa and Tanzania and by the

heads of the African Union Commission, International Monetary Fund, United Nations and the World Bank. We discussed how to accelerate progress towards the
Millennium Goals, especially in Africa which has the furthest to go to achieve these goals by 2015.

We welcomed the substantial progress Africa has made in recent years. More countries have held democratic elections. Economic growth is accelerating. Long running conflicts are being brought to an end.

We agreed that we and our African partners had a common interest in building on that progress to create a strong, peaceful and prosperous Africa; we share a strong moral conviction that this should be done, and have agreed the actions that we will take.

The African leaders set out their personal commitment, reaffirmed strongly at this week’s African Union summit, to drive forward plans to reduce poverty and promote
economic growth; deepen transparency and good governance; strengthen democratic institutions and processes; show zero tolerance for corruption; remove all obstacles to intra-African trade; and bring about lasting peace and security across the continent.

The G8 in return agreed a comprehensive plan to support Africa’s progress. This is set out in our separate statement today. We agreed:

• to provide extra resources for Africa’s peacekeeping forces so that they can better deter, prevent and resolve conflicts in Africa to give enhanced support for greater democracy, effective governance and transparency, and to help fight corruption and return stolen assets to boost investment in health and education, and to take action to combat HIV/AIDS, malaria, TB and other killer diseases to stimulate growth, to improve the investment climate and to make trade work for Africa, including by helping to build Africa’s capacity to trade and working to mobilise the extra investment in infrastructure which is needed for business .


The G8 leaders agreed to back this plan with substantial extra resources for countries which have strong national development plans and are committed to good governance, democracy and transparency. We agreed that poor countries must decide and lead their own development strategies and economic policies.

We have agreed to double aid for Africa by 2010.
Aid for all developing countries will increase, according to the OECD, by around $50bn per year by 2010, of which at least $25bn extra per year for Africa. A group of G8 and other countries will also take forward innovative financing mechanisms including the IFF for immunisation, an air-ticket solidarity levy and the IFF to deliver and bring forward the financing, and a working group will consider the implementation of these mechanisms. We agreed that the World Bank should have a leading role in supporting the partnership between the G8, other donors and Africa, helping to ensure that additional assistance is effectively co-ordinated.

The G8 has also agreed that all of the debts owed by eligible heavily indebted poor countries to IDA, the International Monetary Fund and the African Development
Fund should be cancelled, as set out in our Finance Ministers agreement on 11 June. We also welcomed the Paris Club decision to write off around $17 billion of Nigeria's debt.

The G8 and African leaders agreed that if implemented these measures and the others set out in our comprehensive plan could:

• double the size of Africa’s economy and trade by 2015 deliver increased domestic and foreign investment lift tens of millions of people out of poverty every year
• save millions of lives a year get all children into primary school deliver free basic health care and primary education for all provide as close as possible to universal access to treatment for AIDS by 2010 generate employment and other opportunities for young people bring about an end to conflict in Africa.


In order to ensure delivery, we agreed to strengthen the African Partners Forum and that it should establish a Joint Action Plan.

But we know this is only the beginning. We must build on the progress we have made today. We must take this spirit forward to the UN Millennium Review Summit in New York in September, and ensure a successful conclusion to the Doha Development Agenda.

Financing commitments (as submitted by individual G8 members)

• The EU has pledged to reach 0.7 per cent ODA/GNI by 2015 with a new interim collective target of 0.56 per cent ODA/GNI by 2010. The EU will nearly double its ODA between 2004 and 2010 from € 34.5 billion to € 67 billion. At least 50% of this increase should go to sub-Saharan Africa.

• Germany (supported by innovative instruments) has undertaken to reach 0.51 per cent ODA/GNI in 2010 and 0.7 per cent ODA/GNI in 2015.

• Italy has undertaken to reach 0.51 per cent ODA/GNI in 2010 and 0.7% ODA/GNI in 2015

• France has announced a timetable to reach 0.5 per cent ODA/GNI in 2007, of which 2/3 for Africa, - representing at least a doubling of ODA since 2000 - and 0.7 per cent ODA/GNI in 2012.

• The UK has announced a timetable to reach 0.7 per cent ODA/GNI by 2013 and will double its bilateral spending in Africa between 2003/04 and 2007/08.

• A group of the countries above firmly believe that innovative financing mechanisms can help deliver and bring forward the financing needed to achieve the Millennium Development Goals. They will continue to consider the International Financing Facility (IFF), a pilot IFF for Immunisation and a solidarity contribution on plane tickets to finance development projects, in particular in the health sector, and to finance the IFF. A working group will consider the implementation of these mechanisms.

• The US proposes to double aid to Sub-Saharan Africa between 2004 and 2010. It has launched the Millennium Challenge Account, with the aim of providing up to $5 billion a year, the $15 billion Emergency Plan for AIDS Relief, an initiative to address Humanitarian Emergencies in Africa of more than $2 billion in 2005, and a new $1.2 billion malaria initiative. The US will continue to work to prevent and mitigate conflict, including through the 5-year, $660 million Global Peace Operations Initiative.

• Japan intends to increase its ODA volume by $10 billion in aggregate over the next five years. Japan has committed to double its ODA to Africa over the next three years and launched the $5 billion 'Health and Development Initiative' over the next five years. For the "Enhanced Private Sector Assistance (EPSA) for Africa" facility, Japan will provide more than $1 billion over 5 years in partnership with the AfDB.

• Canada will double its international assistance from 2001 to 2010, with assistance to Africa doubling from 2003/4 to 2008/9. As well, the 2005 Budget provided an additional C$342 million to fight diseases that mainly afflict Africa. The C$200 million Canada Investment Fund for Africa, will provide public-private risk capital for private investments and Canada will provide C$190 million to support the AU's efforts in Darfur, as well as C$90 million for humanitarian needs.

• Russia has cancelled and committed to cancel $11.3 billion worth of debts owed by African countries, including $2.2 billion of debt relief to the HIPC Initiative. On top of this, Russia is considering writing off the entire stock of HIPC countries' debts on non-ODA loans. This will add $750m to those countries debt relief.