The world’s second-biggest aid donor, Germany, could take the lead after some hefty cuts in the United States. But post-election vibes suggest that Germany might tighten its purse strings too, with whispers of cuts and a shift toward “national interest.”
Last year, Germany was quite the generous giver, with nearly $38 billion in aid. But the winds are changing, and over €3 billion might get slashed from future budgets.
The recent shift to the right in elections might bring a mix of the Christian Democratic Union and the Social Democrats to the table, but with CDU calling the shots. They’re eyeing areas such as migration management and international trade for their aid focus, Devex contributor Jessica Abrahams writes.
Friedrich Merz, likely the chancellor, isn’t playing around. He’s hinting at cutting off aid to countries that don’t cooperate on migration and wants to ensure every aid penny serves German interests.
Furthermore, the far-right Alternative for Germany party, now a big player in Parliament, is shaking things up, pushing to slash funds on what they label as “woke” initiatives. Despite not being in the government, its ideas are making waves, influencing policies such as migration.
If Germany does become the world’s top aid donor, it’ll be the first time it’s held the top spot since 1960. Keep your eyes on a couple of key players, the BMZ and the AA, which together disbursed nearly 58% of the country’s total aid in 2022. The BMZ oversees the lion’s share, including two major implementing bodies: the GIZ and KfW.
Despite some cutbacks, BMZ’s 2024 budget still clocked in at a chunky €11.2 billion, with a strong focus on bilateral cooperation and significant contributions to multilateral efforts such as the World Bank and United Nations. Devex analyst Miguel Antonio Tamonan takes a look at exactly where that money went, giving clues as to who might have a chance of winning some of it in the future.
Read: Funding cuts and culture wars — what the German election means for aid
Read more: Is Germany the next leader in ODA, and how will it spend its money?
Last year, Germany was quite the generous giver, with nearly $38 billion in aid. But the winds are changing, and over €3 billion might get slashed from future budgets.
The recent shift to the right in elections might bring a mix of the Christian Democratic Union and the Social Democrats to the table, but with CDU calling the shots. They’re eyeing areas such as migration management and international trade for their aid focus, Devex contributor Jessica Abrahams writes.
Friedrich Merz, likely the chancellor, isn’t playing around. He’s hinting at cutting off aid to countries that don’t cooperate on migration and wants to ensure every aid penny serves German interests.
Furthermore, the far-right Alternative for Germany party, now a big player in Parliament, is shaking things up, pushing to slash funds on what they label as “woke” initiatives. Despite not being in the government, its ideas are making waves, influencing policies such as migration.
If Germany does become the world’s top aid donor, it’ll be the first time it’s held the top spot since 1960. Keep your eyes on a couple of key players, the BMZ and the AA, which together disbursed nearly 58% of the country’s total aid in 2022. The BMZ oversees the lion’s share, including two major implementing bodies: the GIZ and KfW.
Despite some cutbacks, BMZ’s 2024 budget still clocked in at a chunky €11.2 billion, with a strong focus on bilateral cooperation and significant contributions to multilateral efforts such as the World Bank and United Nations. Devex analyst Miguel Antonio Tamonan takes a look at exactly where that money went, giving clues as to who might have a chance of winning some of it in the future.
Read: Funding cuts and culture wars — what the German election means for aid
Read more: Is Germany the next leader in ODA, and how will it spend its money?