The Austrian Development Co-operation and Cooperation with Eastern Europe (ADC) is one of the pillars of Austria´s foreign policy and has three main objectives:

• Reducing global poverty
• Safeguarding peace and human security
• Preserving the environment

The Development Co-operation Act (2002) constitutes the basis for a coherent Austrian development policy, while Three-Year programmes set out the thematic priorities that form the working basis for a certain period. The “Austrian Development Agency” (ADA) is the operational unit of the Austrian Development Co-operation (ADC) responsible for the implementation of development projects and aid programmes. The Ministry of Foreign Affairs (MFA) is responsible for setting the overall strategic framework and defining the priorities of the ADC within the Department for Development Co-operation.  

Austria´s Official Development Assistance (ODA) has increased significantly over the last years. In 2004, net ODA was US$ 678 million (0.23% of its Gros National Income), an increase of 34% compared to 2004. The bilateral share of ODA was 52%. Preliminary data from the OECD DAC for 2005 suggest an increase of 124% with an estimated net ODA of US$ 1552 million (0.52% of GNI). This trend is in line with other OECD countries aiming to increase their ODA amounts to 0.7% of GNI by 2015. However, these figures should interpreted with caution: If we exclude debt relief (benefiting mainly Iraq and Madagascar), a real ODA growth of only 9% was achieved. 

The reform of Austria´s development policy has led to greater concentration on a number of long-term thematic priorities in areas where Austria believes it can offer comparative advantages. The “Three-Year Programme on Austrian Development Policy 2005-2007” defines the following ADC priority areas:

• Water and sanitation
• Rural development
• Energy
• Business and employment, promotion of small and medium-sized enterprises
• Education, training and research
• Promotion of Democracy and Good Governance
• Conflict Prevention
• Gender and environmental aspects are to be mainstreamed in all ADC programmes and project activities.

Austria´s aid resources have been concentrated on several priority countries and regions since 1992 in order to increase the impact and visibility of the ADC. Today, more than two-thirds of Austria´s resources are concentrated on priority countries and regions. The ADC operates in the following priority and co-operating countries in seven priority regions:

• Central America: Nicaragua, Guatemala, El Salvador
• West Africa: Cape Verde, Burkina Faso, Senegal
• East Africa: Ethiopia, Uganda, Kenya, Burundi, Tanzania, Rwanda
• Southern Africa: Mozambique, Zimbabwe, Namibia, South Africa
• Himalayas/Hindukush: Bhutan, Nepal, Pakistan
• Middle East: Palestine, Afghanistan, Iraq, Western Sahara
• South-Eastern Europe: Albania, Bosnia and Herzegovina, Macedonia, Serbia and Montenegro (including Kosovo), Moldova, Croatia, Bulgaria, Romania

This list is currently being reviewed as a further geographical concentration is planned in the future. Co-operation with South-Eastern Europe is an important element of Austria´s bilateral development assistance. It has prioritized this region as a result of its geographical proximity and traditional historic relations, but also to foster stability, security and economic prosperity in this part of Europe. The thematic priorities are education, investment and employment, environment, water and energy, rule of law and civil society, crisis prevention and reconciliation. 

In terms of financial aid flows, Poland (US$ 85 million), Cameroon (US$ 35 million), Serbia and Montenegro (US$ 22 million) , Russia (US$ 21 million) and Turkey (US$ 19 million) were the major recipients of gross Austrian aid in 2004 according to the OECD DAC. However, aid to Russia and Poland constitutes official aid (OA) only as these countries are not classified as developing countries by the OECD DAC list.

Austria is a member of the European Union, UN agencies, international financial institutions, such as the World Bank, and the OECD´s Development Assistance Committee. A large share of Austria`s ODA is channeled through multilateral institutions and aid instruments.

Although Austria fully supported the International Conference on Population and Development (ICPD) Programme of Action in 1994, Sexual and reproductive health and rights (SRHR) and ICPD-related programme support does not constitute a sectoral priority area in the “Three-Year Programme on Austrian Development Policy 2005-2007”. However, the ADC aims to strengthen the integration of HIV/AIDS into its policies, strategies and programmes in the coming years.

According to Resource Flows Project projections, Austria contributed US$ 2,7 million to population and HIV/AIDS activities in 2003. While this represents an increase compared to previous years, Austria still ranks only 14^th out of 15 western European countries. In 2004, Austria contributed US$ 672,000 to the UNFPA budget.

The contribution of non-state actors is seen as an important component of Austria´s development co-operation. As a result, a fair share of ADC´s project support is provided to (?) NGOs. Their contribution includes projects based on NGO initiatives financed both by ADC resources and NGO funds. Civil society organisations are also involved in projects contributing to the implementation of ADC country and sector programmes. Several funding instruments and co-financing arrangements were set up in 2005 to support NGOs activities ADC priority and other developing countries: 

• NGO Framework Agreements
• NGO Co-financing South
• NGO Co-financing East
• NGO Microprojects
• Supplementary co-financing of EU projects
• Access to country and regional budget lines via Calls for Proposals

These funding instruments available to NGOs are outlined in detail on the following pages.

Pdf download

Austrian Ministry of Foreign Affairs: Three-Year Programme on Austrian Development Policy 2005-2007 (revised version)

Austrian Federal Development Cooperation Act

OECD DAC: Net Official Development Assistance in 2005 (preliminary data)

UNFPA: Donor payments and pledges for 2004

UNFPA/UNAIDS/NIDI: Projections of Funds for Population and AIDS Activities, 2004-2006

Austrian Development Agency

Austrian Ministry of Foreign Affairs

OECD Development Assistance Committee