The development cooperation fund in 2020

Estab­lished by the amend­ed law of 6 Jan­u­ary 1996 on devel­op­ment coop­er­a­tion and human­i­tar­i­an action, the Devel­op­ment Coop­er­a­tion Fund (DCF) is an instru­ment enabling the Min­istry of For­eign and Euro­pean Affairs to car­ry out devel­op­ment pro­grammes and projects extend­ing over sev­er­al years.

The state bud­get pro­vid­ed the DCF with EUR231.27 mil­lion in 2020; added to which are the assets avail­able on 1 Jan­u­ary, i.e EUR3.42 mil­lion, as well as rev­enue dur­ing the year (EUR7.67 mil­lion). This rev­enue com­pris­es reim­burse­ments from NGOs and agen­cies of funds not dis­bursed on projects co-financed by the Min­istry and EUR6.84 mil­lion rout­ed through the DCF between Denmark’s devel­op­ment coop­er­a­tion and LuxDev as del­e­gat­ed cooperation.

In 2020, a total of EUR207.24 mil­lion was dis­bursed through the DCF. LuxDev, as the state’s prin­ci­pal agent respon­si­ble for the imple­men­ta­tion of projects and pro­grammes result­ing from gov­ern­men­tal bilat­er­al coop­er­a­tion, ben­e­fit­ed from the major­i­ty of this amount, i.e. EUR104.97 mil­lion (50.65%), includ­ing Dan­ish del­e­gat­ed coop­er­a­tion funds. Next come non-gov­ern­men­tal devel­op­ment organ­i­sa­tions, which received EUR44.18 mil­lion (21.32%) as part of the co-financ­ing of their projects and pro­grammes and to cov­er some of their admin­is­tra­tive costs. The bal­ance was account­ed for by projects imple­ment­ed by the Min­istry direct­ly with oth­er part­ners (13.64%) or with mul­ti­lat­er­al agen­cies (10.61%), the emer​gency​.lu pro­gramme (2.27%) as well as for pro­gramme sup­port (1.50%).