Policy Updates

On April 9, 2025, the CDU/ CSU and SPD parties in Germany finalized their coalition treaty, where Chancellor-designate Friedrich Merz, Bavarian Minister-President Markus Söder, and SPD Co-Chairs Lars Klingbeil and Saskia Esken presented an agreement that focuses on Germany’s global leadership, economic modernization, and migration control.

Key highlights include:

• BMZ remaining independent: The BMZ will retain its independent status, with Minister Svenja Schulze expected to continue her leadership. This decision reflects advocacy efforts from various stakeholders and ensures BMZ’s role in Germany’s development policy;
• ODA target revised: For the first time in 30 years, the 0.7% ODA/ GNI target has been excluded from the coalition treaty. Instead, the treaty calls for reducing the ODA quota to consolidate the federal budget. Germany’s ODA contribution was 0.82% of GNI in 2023 but saw a EUR940 million (US$1 billion) cut to BMZ ’s budget in 2024. Voluntary contributions to international organizations are also set to decrease;
• A new development policy approach: The treaty outlines a shift toward aligning development policy with Germany’s geopolitical and economic interests. It calls for consolidating development-related responsibilities under BMZ leadership, potentially including initiatives like the International Climate Initiative, currently housed in the BMWK;
• Strengthened inter-ministerial cooperation: The treaty emphasises better coordination across BMZ, the AA, and the BMVg to improve policy coherence and align development efforts with strategic objectives;
• Commitment to sovereign debt and tax systems: The treaty reaffirms support for resolving sovereign debt crises and strengthening tax systems in developing countries, aligning technical and financial cooperation with European development policy; and
• The climate sections remaining unchanged: The climate sections remain consistent with earlier drafts, with a focus on domestic action over international initiatives.

This coalition treaty signals a strategic pivot in Germany’s development policy, prioritizing geopolitical alignment and fiscal consolidation.

On April 7, 2025, JICA signed a grant agreement to provide equipment aimed at promoting emergency recovery and sustainable economic reconstruction,

The agreement focuses on supporting Ukraine’s recovery from ongoing challenges by enhancing infrastructure and providing critical resources to stabilize its economy. This initiative aligns with Japan’s commitment to fostering resilience and supporting reconstruction efforts in conflict-affected regions.

On April 7, 2025, Germany adopted the Amman-Berlin Declaration which aims to ensure that at least 15% of development projects globally promote inclusion at the Global Development Summit.

The summit convened 4,500 participants from 100 countries, including persons with disabilities, government representatives, and international organizations. Over two days, attendees engaged in more than 60 sessions focused on advancing the UN Convention on the Rights of Persons with Disabilities.

In addition, over 800 pledges were made by participating governments and organizations to enhance accessibility and inclusion. The declaration marks a historic step toward measurable goals for integrating disability rights into international development.

On April 6, 2025, South Korea pledged US$100 million in assistance to Ukraine, citing regional security threats linked to North Korea and Russia.

The funding will be allocated toward reconstruction projects, humanitarian relief, and infrastructure repair in conflict-affected regions. South Korea’s support underscores its commitment to international stability and countering aggression in Eastern Europe.

On April 6, 2025, Germany pledged EUR2 million (US$2 million) to the WHO following the US withdrawal of funding.

This contribution is in addition to Germany's US$317 milllion contribution for 2024-2025 which aims to strengthen global health systems, improve pandemic preparedness, and ensure continued access to essential healthcare services in vulnerable regions. Germany’s leadership in global health funding highlights its commitment to multilateral cooperation.

On April 5, 2025, Canada announced CAD20 million (US$14 million) in humanitarian assistance for Myanmar following the earthquake.

The funding will support emergency relief efforts, including food, water, and healthcare, delivered through trusted partners like the UN and the Red Cross. Canada’s assistance aims to address the urgent needs of displaced families and those affected by the collapse of critical infrastructure in the hardest-hit areas.

On April 4, 2025, Japan announced US$6 million in emergency assistance to support relief efforts in Myanmar following the earthquake disaster.

The funding will be used to provide food, shelter, and medical assistance to affected communities. Additionally, Japan has deployed a 32-member Japan Disaster Relief Medical Team to Yangon to assist with humanitarian needs on the ground. This assistance underscores Japan’s commitment to disaster response and its ongoing support for Myanmar during times of crisis.

On April 4, 2025, the UK pledged an additional GBP10 million (US$13 million) to support relief efforts in Myanmar following the devastating earthquake.

This brings the UK’s total contribution to GBP19 million (US$25 million). The funding will provide emergency shelter, food, water, and medical aid to affected communities, reaching over 15,000 people to date. UK-funded local partners are already on the ground delivering life-saving assistance, ensuring resources reach those most in need.

On April 3, 2025, Canada pledged CAD55 million (US$55 million) to bolster Ukraine’s air defense capabilities.

The funding will be used to procure advanced air defense systems and provide training for Ukrainian forces to operate the equipment effectively. This commitment is part of Canada’s broader support for Ukraine, which includes military, humanitarian, and economic assistance to counter ongoing regional threats.

On April 2, 2025, Japan announced an emergency grant of approximately US$6 million to support those affected by the devastating earthquake in Myanmar on March 28, 2025.

The grant will be channeled through international organizations to provide immediate humanitarian assistance, including shelter, food, and medical assistance.

This funding complements Japan's broader relief efforts, which include deploying a Japan Disaster Relief Medical Team and emergency relief goods through JICA. The government emphasized its commitment to delivering assistance that directly benefits the people of Myanmar, addressing critical needs amidst ongoing rescue operations.