The Development Cooperation Fund in 2022

Established by the amended law of 6 January 1996 on development cooperation and humanitarian action, the Development Cooperation Fund (DCF) is an instrument enabling the Ministry of Foreign and European Affairs to carry out development programmes and projects extending over several years.

The state budget provided the DCF with EUR 338.12 million in 2022; added to which are the assets available on 1 January, i.e EUR 15.99 million, as well as revenue during the year (EUR 1 043 249.59). Revenue includes repayments by NGOs and agencies of undisbursed funds from projects co-funded by the Ministry. EUR 4.3 million was also routed through the DCF between Denmark’s development cooperation and LuxDev as delegated cooperation.

In 2022, a total of EUR 335.06 million was disbursed through the DCF. LuxDev, as the state’s principal agent responsible for the implementation of projects and programmes falling under the heading of governmental bilateral cooperation, benefited from the majority of this amount, i.e. EUR 124 million (36.91%). Humanitarian aid was credited with EUR 86.29 million (25.75%). Next come multilateral organisations and agencies (14.70%) and non-governmental development organisations, which received EUR 42.04 million (12.55%) as part of the co-financing of their projects and programmes and to cover some of their administrative costs. The balance was accounted for by projects implemented by the Ministry directly with other partners (8.90%) and programme support (1.19%).