France has warned against significant reductions to the European Union's development spending in the upcoming seven-year budget. French European Affairs Minister Benjamin Haddad cited the "detrimental consequences" of past cuts to foreign aid as a cautionary example, emphasizing the need for effective instruments rather than a purely budgetary approach. EU governments are lobbying for their positions to be reflected in a new budget negotiating document.
France's stance signals potential friction in EU budget negotiations, impacting the bloc's global development commitments and its ability to fund external policies effectively.
France has voiced opposition to significant reductions in the European Union's development aid budget for the upcoming seven-year financial period. Benjamin Haddad, France's European Affairs Minister, speaking at a POLITICO Brussels Playbook Live event, highlighted the "detrimental consequences" of past cuts to USAID under US President Donald Trump as a cautionary example. He argued that discussions about the budget should focus on the effectiveness of EU instruments rather than solely on financial constraints.
EU member states, including France, are actively engaging with the Irish presidency of the Council of the EU, which is currently leading the budget negotiations. The aim is to influence the upcoming budget negotiating document, or 'negobox,' expected in early October. Some countries have indicated a preference for budget savings to come from the Global Europe Fund, a €200 billion fund dedicated to foreign aid, rather than from domestic policies such as agriculture, defense, or regional subsidies.
The European Commission has reportedly simulated the impact of a potential 40% reduction in its development aid budget for the next long-term budget. However, the Irish presidency is anticipated to propose more moderate cuts. Haddad also emphasized the need for better coordination of EU policies on trade, migration, and development across various institutions, noting that current efforts are fragmented.
His Polish counterpart, Ignacy Niemczycki, commented that increases in foreign aid from the previous budget were smaller compared to other areas like defense and competitiveness. He added that the final outcome would depend on the ongoing negotiations.
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