Federal Ministry for Economic Cooperation and Development (BMZ)
The Federal Ministry for Economic Cooperation and Development (BMZ) exists since November 14, 1961. The first Minister was Walter Scheel. The Ministry is responsible for planning and implementing development policies created by the federal government. Dirk Niebel has been Minister for Economic Cooperation and Development since 2009 (both are members of the Free Democratic Party).
As we stand at the beginning of the 21st century, the role of development policy has changed, partly as a reaction to the terrorist attacks of September 11, 2001. Today, development cooperation is seen as global structural and peace policy. It aims to help resolve crises and conflicts in a peaceful manner. It aims to help ensure that scarce resources are more equitably shared, and that our environment is preserved for coming generations. And it aims to help reduce global poverty.
In order to achieve these goals, development policy must target different levels. And of course we cannot lose sight of the fact that foreign policy, trade policy, security policy and development policy are today very closely linked. This makes the mandate of the Federal Ministry for Economic Cooperation and Development (BMZ) wide and varied.
Defining the fundamental principles of German development policy
The BMZ develops the guidelines and the fundamental concepts on which German development policy is based. It devises long-term strategies for cooperation with the various players concerned and defines the rules for implementing that cooperation. These are the foundations for developing shared projects with partner countries and international development organisations. All efforts are informed by the United Nations’ Millennium Development Goals, which ambitiously aim to halve poverty in the world by 2015.
Cooperation with partner countries
In political and financial terms, the main focus is on bilateral official development cooperation, i.e. direct cooperation with a partner country. With its partners, and in consultation with other donor countries, the BMZ elaborates country strategy papers and identifies common priority areas. Country strategy papers are the key management instrument of the BMZ and the basis for medium-term cooperation. The precise arrangements are laid down in agreements, which set out in detail the objectives, time schedules, form and volume of support. This support may take the form of loans on favourable terms, consultancy and training services, the promotion of private sector investment, grants and scholarships, but also emergency aid. The BMZ commissions the German implementing organisations (see below) with executing these agreements, and monitors the results of their work.
Cooperation with non-governmental organisations
In addition to the state-owned development cooperation organisations, a large number of non-governmental organisations, or NGOs, also work in this field. Church organisations, political foundations and other private bodies have long-standing experience, work more closely with poor and underprivileged groups and can mobilise self-help and individual initiative. In addition to providing financial support for the work of these organisations, the BMZ also exchanges views and experiences with them. Equally, NGOs are involved in formulating the BMZ’s country, regional and sector strategies.
Implementing Organisations
The BMZ contracts the implementing organisations with the concrete realisation of the development-policy projects and programmes of the German government.
The tasks of these organisations include:
Start-up course for
entrepreneurs in Afghanistan
Implementing Financial and Technical Cooperation projects
Preparing and seconding German experts and volunteers
Providing vocational training to specialists and executives from partner countries.
KfW Entwicklungsbank and the Deutsche Investitions- und Entwicklungsgesellschaft (DEG), a subsidiary of the KfW Group, are responsible for Financial Cooperation.
The Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) is responsible for technical cooperation with Germany’s partner countries, for preparing and sending out development workers, and for human resources development and further training. The Centrum für internationale Migration und Entwicklung (CIM) is in charge of placing experts in partner countries.
There are other, specialised implementing organisations of Technical Cooperation, such as the Federal Institute for Geosciences and Natural Resources (BGR) or the National Metrology Institute (PTB).
The individual implementing organisations have developed highly specialised skills, and cooperate in their work in partner countries.
For more information please visit: http://www.bmz.de/en/