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Money's tight

March 7, 2010

Germany's development minister Dirk Niebel has said Berlin will fail to meet its development aid targets for 2010. He also expressed doubt whether Germany would be able to increase aid to 0.7 percent of GDP by 2015.

A hand taking euro notes out of a wallet
No full purses this year for development aid projectsImage: picture-alliance/dpa

Dirk Niebel said the recently presented 2010 federal budget was 3.5 billion euros short of meeting the country's commitments of providing 0.51 percent of GDP for development aid. 6.1 billion euros have been allocated towards development aid this year. That's an increase of 250 million euros on 2009.

Germany's ruling coalition of Christian Democrats and Free Democrats passed its first budget last Friday. It sees Berlin taking on a record 80.2 billion euros in new debt.

Given the massive borrowings, any subsequent increases for development aid programs are unlikely.

"We will have to talk with our partners about what is more important: aid volume or its effectiveness," Niebel told the "Hamburger Abendblatt" newspaper. He also expressed doubt whether Germany would be able to increase aid to 0.7 percent of GDP by 2015.

Creating jobs to eliminate aid needs

Niebel's comments have triggered hefty criticismImage: AP

The German development minister said the federal government remained committed to its development aid goals, but he said it would be a "sporty achievement" if they were to be reached.

Before departing on a six-day trip to Southeast Asia this Sunday, Niebel said that he would rather make it easier for German companies to invest in countries in the region.

Niebel will visit Vietnam and Cambodia to discuss how they dealing with the financial and economic crisis. He will also discuss climate protection and development aid.

"If more and more people were able to earn their own income, then we might one day no longer need development aid," Niebel said.

His comments sparked strong reactions from the minor parties.

"He is simply throwing overboard hard-won promises of minimum levels of aid commitments, without any opposition," said Claudia Roth, the chairwoman of the Green party.

wl/epd/apn/dpa/AFP
Editor: Andreas Illmer

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