Big companies in the European Union are the winners from the bloc’s flagship development program at the expense of poverty reduction in low-income countries receiving investments, a new analysis argues.
The study by civil society organizations steps up persistent criticism of the €300 billion ($330 billion) Global Gateway scheme, warning it “risks diverting the aid budget to big business” in breach of the poverty-fighting pledge in the EU’s founding treaties.
It finds that in 25 of 40 projects examined — more than 60% — European firms including Siemens, BioNTech, car giant Möller Group, and utility company Suez are beneficiaries, some enjoying seats on the Gateway’s business advisory group.
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About the author
Rob Merrick
Rob Merrick is the U.K. Correspondent for Devex, covering FCDO and British aid. He reported on all the key events in British politics of the past 25 years from Westminster, including the financial crash, the Brexit fallout, the "Partygate" scandal, and the departures of Boris Johnson and Liz Truss. Rob has worked for The Independent and the Press Association and is a regular commentator on TV and radio. He can be reached at rob.merrick@devex.com.
