Cooperation with the private sector
Private-sector dynamism is playing an increasingly important role in development, recognised by the 2015 Addis Ababa Action Agenda on financing for development, which aims to better align private-sector incentives with public development goals.
The Business Partnership Facility (BPF) is a tool to encourage the Luxembourg and European private sector to engage with partners in developing countries, enabling them to promote the transfer of technology and expertise, as well as job creation in developing countries. The Facility specifically targets the ICT, fintech, eco-innovation, circular economy, bio-health and logistics sectors. In 2019, interest in the BPF was again evident and there were some high-quality proposals. For example, eight sustainable private enterprise projects in Senegal, Cabo Verde, Guinea, Togo, Vietnam and Kosovo were selected for co-financing. Moreover, the human rights selection criterion was strengthened and the facility underwent an external evaluation.
Luxembourg’s Development Cooperation also has commitments at the multilateral level. The Enhanced Integrated Framework (EIF) is a multi-donor programme directly linked to the World Trade Organization (WTO) that helps the least developed countries to play a more active role in the global trade system. The financial commitment for 2016-2022 amounts to EUR 4.5 million, bringing Luxembourg’s total contribution to EUR 9 million. In 2019, Luxembourg’s Development Cooperation launched an initial trilateral trade aid project with the EIF and the government of Burkina Faso, with the aim of improving the competitiveness of the products and the incomes of operators in the shea sector. This promising sector can generate jobs for women in Burkina Faso and create food products and significant added value through local processing to create cosmetics.
The SATMED+ project began on 1 January 2017 and will run until 31 December 2020. SATMED is a telemedicine platform that uses emergency.lu’s equipment, technology and connectivity and is made available to NGOs and development agencies. This e-health tool, developed by SES TechCom, aims to improve public health in developing and emerging countries, specifically in isolated areas without connectivity.