Financial information on the European Development Fund European Development Fund (EDF): forecasts of commitments, payments and contributions from Member States for 2019, 2020, 2021 and non-binding forecast for the years 2022-2023

1.Foreword

In accordance with Article 7(1) of the 11th EDF Internal Agreement and Article 19(2) of the Council Regulation (EU) 2018/1877 on the Financial Regulation applicable to the 11th European Development Fund (hereinafter referred to as “11th EDF Financial Regulation”), the Commission presents in this document the estimates of the commitments, payments and contributions for the period 2019-2021, taking into account the forecasts of the European Investment Bank (EIB).

This document sets out the financial implementation forecast of the EDFs (Eighth to 11th) for 2019 until 2021. In addition, this document makes non-binding estimates for the EDF contributions from the Member States for the years 2022 and 2023.

Member States contribute funds directly to the European Investment Bank (EIB) for the instruments, which it manages under the Ninth, 10th, and 11th EDFs (the Investment Facility and interest rate subsidies).

2.Introduction

The Commission and the EIB have updated their commitment and payment forecasts for 2019, 2020 and 2021 for each of the ACP countries and the OCTs. The payment forecasts, in particular, have been compiled with the aim of helping Member States to assess as accurately as possible the amounts they need to earmark in their national budgets while ensuring that sufficient financial resources are available for the EDF to avoid liquidity problems.

In accordance with Article 7 of the 11th EDF Internal Agreement and Article 19(2) of the 11th EDF Financial Regulation, the estimates of commitments and payments have been updated following the latest forecasts.

The graph below shows the general evolution in gross commitments and payments since 1999 until 2018 and projections for the period 2019-2021 (Commission and EIB cumulated amounts).





Gross commitments and payments: trend 1999-2021 (EUR million)

* Forecasts for 2019-2021

Note: Figures from implementation of the European Development Funds until 31 December 2018 (commitments and payments) and forecasts for 2019-2021.

3.Financial forecasts for 2019 - 2021 (EUR million)

The following table provides an update of the commitments, the payments and of the contributions, based on the Commission’s latest forecasts.

Forecasts 2019-2021 (*) 2019 2020 2021** Commitments Commission 4.057 3.372 0 EIB 956 917 900 Total 5.012 4.289 900 Payments Commission 4.400 4.400 3.700 EIB 590 590 590 Total 4.990 4.990 4.290 Contributions Commission 4.400 4.400 3.700 EIB 300 300 300 Total 4.700 4.700 4.000

* Gross amounts, i.e. no decommitments or recoveries/reflows have been deducted. This approach is in line with that used for the general budget of the EU.

** Taking into account that the Commission has proposed to carry out development and international cooperation for the period 2021-2027 with new implementation modalities, the Commission has decreased its estimates of payments under the EDFs and therefore of the annual amount of the contributions for 2020 and of the ceiling for the annual amount of the contributions for 2021.

4.Non-binding Estimates of contributions for 2022 - 2023 (EUR million)