The Case for an EU Development Bank
The European Union needs to reinforce its development financing activities in order to level the playing field with the United States and China. Establishing its own development bank would have an immediate, significant, and resource-efficient impact.
LUXEMBOURG – With nationalist tendencies currently resurgent around the world, Europe can and must place itself at the forefront of the issues that matter most. From promoting trade and human rights to mitigating disease and climate change, Europe can be a global beacon, fostering the kind of multilateralism that is at the heart of the European Union.
As French President Emmanuel Macron put it at the United Nations General Assembly in September, Europe must engage in “building new solutions, because we are not collectively condemned to a dance of power which would, in a way, reduce us to being the sorry spectators of collective powerlessness.”
A strong global role requires strong policy coherence in the EU’s approach to development. The COVID-19 crisis has derailed global development goals and could push 100 million additional people globally into extreme poverty, according to the World Bank. A powerful European voice in development is therefore a moral imperative.