The European Business Council for Africa

6 February 2025

Speech by Commissioner Sikela:

"Thank you for inviting me, and especially for coming here to our Brussels headquarters to discuss our cooperation. I believe that effective, proactive collaboration between our headquarters and you—our representatives in partner countries—will become more important than ever in the years ahead.

Why? Because the world is undergoing multiple shifts, and we should take note of the following key points:
First, the risk of Europe losing its economic influence. We are a reliable and principled partner to Africa and we work hard to strengthen our cooperation. At the same time, we can see that China gradually closing the gap to become the Africa's leading trading partner.

Second, the erosion of our political influence, as reflected in the growing number of countries that side with China or Russia on sensitive matters at the multilateral level.

Third, the reality that Europe's global perception does not match its investments. Unfortunately, our analyses show that even though Team Europe is the world's largest donor of official development aid, we are not recognized as the most influential or supportive, especially in the last two years. In some countries, Europe's image is not positive at all.
And fourth, the rise of a more transactional world, evident not only in the actions of our rivals but increasingly in those of our friends as well.

I believe it would be disastrous not to address these challenges, as these developments have tangible consequences for Europe's situation and stability. Voters feel increasingly uncertain, resulting in rising support for various populist or anti-EU forces. This is compounded by Russian aggression, its repercussions, and the use of disinformation to destabilize our society.

Two issues dominate: migration and the loss of competitiveness. But we must remember that to tackle both effectively, we need to work not only within our continent but also beyond—whether in Latin America and the Caribbean, Africa, or Asia.

To be able to face these challenges effectively, we have to change our approach to development cooperation. We must move rapidly from an inefficient donor-recipient approach and become much more assertive and focused on promoting European interests through mutually beneficial partnerships.

I realize that these changes are not easy, but they are necessary, and they also involve DG International Partnerships, whose work is undergoing a transformative reform. We must not forget one thing—there might be a reward waiting for us if we succeed and become more strategic and more agile.

I see in the current geopolitical context more demand for cooperation with the EU than ever before. Disappointment in what China promised (and then delivered), compounded by the Trump administration's increasingly transactional stance on foreign relations, makes the EU a reliable and predictable partner – while we should not become the donor of last resort. We cannot afford it. The momentum is right for the EU to offer the right incentives to partners.
That is where the Global Gateway Strategy comes in. It brings together geopolitics, geo-economics, and partnerships. It is about concrete investments at the crossroads of what our partners want and what we want—and can—deliver.
We've started doing this, but now we need to take it to the next level. I have a clear mandate: to move Global Gateway from start-up to scale-up. To succeed, we need to make changes to the way we work:

1. First, we need to cooperate more strongly with the private sector. They should be at the start of what we do, because without them we cannot deliver, and because it will allow us to connect Global Gateway with Europe's industrial capacities and interests.

2. Secondly, since we cannot do everything everywhere all at once, we need a focus on our real strategic interests. The strategic compass, the upcoming Clean Industrial Deal, and the ongoing work on economic security provide the pointers.

3. Thirdly, in our engagement with our partners, we need to match our interests with theirs, reinforcing through investments their position in global value chains and green industrialization. That is the logic behind the concept of Clean Trade and Investment Partnerships.

4. Fourth, all of this needs firepower that goes beyond the EU alone. That's why Team Europe was created: to mobilize European Member States, banks, export credit agencies, etc., on priority projects.

5. And finally, we must realize the limits of our budget and the size of the investment gap needed to be bridged to help our partners achieve their sustainable development. Therefore, we need strong involvement from the private international financial sector.

If we succeed, we will design a portfolio of investment projects that benefit both sides and bring us political recognition. This needs to be accompanied by a radical change in how we communicate in partner countries—by moving to a campaign mode to new audiences.

There are already more than 200 projects in over 100 partner countries where we are seen as the partner of choice, thanks to Global Gateway. For example, we are electrifying public transport in Costa Rica. On top of electric buses and trains, the San José area needs soft urban infrastructure like route planning and online ticket systems. Team Europe is providing a wide-ranging offer to help set up a sustainable mobility framework, together with the European private sector. During a recent Team Europe mission, the Vice President of Costa Rica said it was the best offer they had seen.

In Central Asia, we are working on the Trans-Caspian Transport Corridor. It aims to establish a modern, competitive, and sustainable route connecting Europe and Asia in no more than 15 days, boosting links between Europe and Central Asia and enhancing intra-regional cooperation. We are advancing on infrastructure and regulatory issues with Central Asian partners and supporting EU companies to invest in the corridor.

In Namibia, we have established a partnership on renewable hydrogen to facilitate investments, build capacity, and support higher education cooperation and research. Currently, there are seven projects by EU companies with an estimated investment volume of some 20 billion euros.

As I recalled last week in the European Parliament alongside Commissioner Lahbib, our offer is not a one-size-fits-all solution. I am also entrusted with building comprehensive partnerships that address the root causes and key drivers of irregular migration, support a differentiated approach towards countries in complex or fragile contexts, and promote effective multilateralism, including by leveraging Team Europe investments in global funds.

I think the reasons for the change are clear. I believe that I have also clearly described the concrete measures we need to take to accomplish it. And the consequences of not making the change—and the rewards for being successful—are equally clear.

Looking forward to our discussion, I would like to ask the following: How can you help scale up Global Gateway in partner countries? How can we work together to make this happen?

What I think we need is to be more efficient, professional, and specialized, to provide our companies—the backbone of the Global Gateway Strategy—with proper assistance and help them seek opportunities for their business.
Therefore, we are thinking of possible reorganization of the Delegation network, which I believe is one of the necessary prerequisites for strategically building mutually beneficial partnerships. It will allow us to deliver on the duty to scale up the Global Gateway Strategy and address the challenges we face, and it is also in line with the simplification agenda of the President.

One idea is to create centres with operational expertise to deliver on Global Gateway—covering areas like investment management, contract and finance, and strategic communication—while maintaining a core of INTPA staff in each Delegation. The key point for me is to have a clear chain of command so that I know who is steering, who is responsible, and how we can measure results.

However, the reality is that no decisions have been taken yet, and much of what has been written in the press does not reflect the current discussions. Also, I can assure you that whatever is proposed will go through the proper staff consultations and that any potential changes will be gradual. You can reassure staff that they will be fully involved before decisions are made on which hubs will be created, where they will be based, and what we expect from them.
Dear Ambassadors, whether we succeed in addressing these challenges could determine the future unity of the EU and its stability. However, the answer to this will be found as much on our own continent as abroad.
Therefore, I rely on you. Europe relies on you. And I very much look forward to our discussion about our future cooperation."

Source: European Commission