Germany to end development aid to China (Roundup)

Oct 30, 2009, 11:52 GMT

   Berlin - Germany plans to stop giving development aid to China, Economic Assistance Minister Dirk Niebel said in a newspaper interview on Friday.

   'Battling poverty is more important than ever for Germany,' he told the mass-circulation Bild. 'That means we have to concentrate our resources effectively in the most needy areas. Economic giants like China and India do not meet this criteria.'

    The minister is a member of the pro-business Free Democrats (FDP), junior partner in Chancellor Angela Merkel's conservative coalition, which took office on Wednesday.

A spokesman for Niebel's ministry said financial assistance to China was halted at the end of 2008, but 27.5 million euros (40 million euros) in technical aid was marked for this year.

The spokesman said all promises made to China would be kept and current projects would be brought to an end.

   Germany plans to develop a new concept for cooperation with emerging economies like India, which in 2008 received 84 million euros in development aid from Germany.

The spokesman said the ministry was looking at three-way cooperation between industry, emerging economies and developing countries.

The needs of the recipient nations will play a decisive role in determining German aid, the spokesman added.