Development challenges as investment and business opportunities: Greece's policy and practices
Greece emphasises the positive role that can be played by the private sector in promoting sustainable development and reducing poverty through job creation. It sees the public and private sectors playing complementary roles with business adding value to development goals through corporate social responsibility. Given the severe fiscal constraints that Greece faces and its commitment to Agenda 2030 for Sustainable Development, Greece is looking into the possibility of working with or through the private sector in order to promote sustainable development.
Financial flows from Greece to developing countries
Greece uses ODA to mobilise other resources for sustainable development
Greece promotes aid for trade to improve developing countries' trade performance and integration into the world economy. It committed USD 16 600 to trade-related activities in 2014 (0.2% of its bilateral allocable ODA), a further decrease of 76.5% in real terms from 2013. The trend has been negative since 2011.
Greece's official development assistance
In 2015, Greece provided USD 282 million in net ODA (preliminary data), which represented 0.14% of gross national income (GNI) and an increase of 38.7% in real terms from 2014, partly due to in-donor refugee costs. Greece's ODA budget decreased between 2009 and 2013, as a direct consequence of the severe economic crisis, and started to grow again in 2014. Greece is the 26th largest Development Assistance Committee (DAC) provider in terms of its share of ODA as a percentage of GNI, and the 24th in terms of volume.
Greece's share of untied ODA (excluding administrative costs and in-donor refugee costs) was 22% in 2014, showing an important increase from 2013 (when it was at 2.7%), but still well below the 2014 DAC average of 80.6%. The high share of tied aid reflects the composition of Greece's aid portfolio, affected by severe fiscal constraints in recent years, which has a high share of tied technical co-operation (i.e. scholarships, imputed students' costs – considered by the DAC as tied by definition). The grant element of total ODA was 100% in 2014.
Greece reported USD 21.3 million of its in-donor refugee costs as ODA in 2014. These costs represented 8.6% of its total net ODA.
In 2014, 18.6% of Greece's ODA was provided bilaterally. Greece allocated 81.4% of total ODA as core contributions to multilateral organisations, compared with the DAC country average of 28.3%. This high share reflects the overall decline in its ODA. In addition, it channelled 4.1% of its bilateral ODA for specific projects implemented by multilateral organisations (multi-bi/non-core contributions).
In 2014, only 13% of Greece's bilateral ODA was programmed at partner country level. Greece's share of country programmable aid (CPA) was low compared to the DAC country average (52.9%) in 2014. This is explained by its limited grant-giving funds, its high spending for refugees in Greece (46% of bilateral aid) and imputed student costs. Technical assistance accounted for 25% of CPA.
In 2014, USD 4.2 million of bilateral ODA was channelled to and through civil society organisations (CSOs), corresponding to 9.2% of bilateral aid (compared to the DAC country average of 17.4%).
Bilateral ODA primarily focused on Eastern Europe. In 2014, USD 7.3 million was allocated to Eastern Europe and USD 3.7 million to the Middle East.
In 2014, 22.3% of bilateral ODA went to Greece's top 10 recipients. It has 18 priority partner countries. All of Greece's priority countries feature on its list of top 10 recipients. In 2014, its support to fragile states reached USD 6.2 million (13.5% of gross bilateral ODA).
In 2014, 4% of bilateral ODA was allocated to least developed countries (LDCs), amounting to USD 1.9 million. This is a slight increase from 3.3% in 2013, but is still far from the DAC average of 25.6% in 2014. Lower middle-income countries received the highest share of bilateral ODA in 2014 (17%), noting that 64.3% was unallocated by income group.
At 0.02% of GNI in 2014, total ODA to LDCs was far below the UN target of 0.15% of GNI.
In 2014, 27.2% of bilateral ODA was allocated to social infrastructure and services, equal to USD 12.5 million, with a strong focus on education (USD 10.9 million).
USD 5.1 million of bilateral ODA supported gender equality in 2014. Gender equality is a priority issue for Greece, which provides equal opportunities to male and female students from developing countries granted tertiary scholarships and studying in Greek universities. In 2014, 75.9% of its bilateral allocable aid had gender equality and women's empowerment as a principal or significant objective, compared to the DAC country average of 34.7%. This is down from 2013, when it stood at 80.6%.
USD 0.3 million of bilateral ODA supported the environment in 2014. The share of Greek bilateral allocable aid focusing on the environment reached 3.1% in 2014, compared to 16.3% in 2009 and a 2014 DAC country average of 32.2%. The share of its bilateral allocable aid focusing on climate change was 3.1% in 2014 (USD 0.3 million), compared to the DAC country average of 23.9%.
Note to reader:Annex B provides “Methodological notes on definitions and measurement for the Profiles of Development Assistance Committee members” .
Indicator in PDF
19.1. Net resource flows to developing countries, 2004-14, Greece
19.2. Net ODA: Trends in volume and as a share of GNI, 1999-2015, Greece
19.3. Share of ODA channelled to and through the multilateral system, two year averages, gross disbursements, Greece
19.4. Composition of bilateral ODA, 2014, gross disbursements, Greece
19.5. Bilateral ODA to and through CSOs, two year averages, gross disbursements, Greece
19.6. Share of bilateral ODA by region, 2013-14 average, gross disbursements, Greece
19.7. Bilateral ODA to top recipients, 2013-14 average, gross disbursements, Greece
19.8. Bilateral ODA by income group, two year averages, gross disbursements, Greece
19.9. Share of bilateral ODA by sector, 2013-14 average, commitments, Greece
19.10. Share of bilateral allocable ODA in support of gender equality by sector, 2014, commitments, Greece
19.11. Bilateral allocable ODA in support of global and local environment objectives, two year averages, commitments, Greece