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.