Every five years, each DAC member is given a peer review designed to monitor the implementation of the country's commitments and make recommendations for improvement. Following the latest peer review of Luxembourg, the Organisation for Economic Co-operation and Development (OECD) welcomed the fact that Luxembourg is the second most generous donor, after Norway, in the DAC – which has 30 international members –, allocating 1% of its gross national income to official development assistance (ODA) and thereby exceeding the international target of 0.7%. The report notes that 59% of Luxembourg's bilateral aid goes to sub-Saharan Africa and 52% to the world's least developed countries. Around half of Luxembourg’s bilateral aid targets health, education and local development.
€353 million in development aid
Luxembourg provided €353 million in ODA in 2016. The top recipients of the country's aid in 2016 were Burkina Faso, Niger, Senegal, Laos, Mali, Nicaragua and Cape Verde.
"The DAC peer review clearly confirmed that our efforts to eradicate poverty are producing sustainable results," noted Romain Schneider, Luxembourg Minister for Development Cooperation and Humanitarian Affairs. "We are seen by our peers as a reliable, flexible contributor of funds."
Raising the subject of innovative future funding mechanisms, DAC Chair Charlotte Petri Gornitzka said that "Luxembourg could use its experience in green finance to explore possibilities offered by its financial sector to mobilise additional funding and partnerships for development."
The Development Assistance Committee
The applications of candidate countries looking to join the DAC are assessed on the basis of the following criteria: the existence of appropriate strategies, policies and institutional frameworks that ensure capacity to deliver a development cooperation programme, and the existence of a system of performance monitoring and evaluation.
(Source: press release by the Ministry of Foreign and European Affairs)