EU to support private sector development in developing countries

BRUSSELS (Xinhua) - A new policy paper was adopted by the European Commission on Tuesday, outlining a new strategic framework to ensure that private sector operations in developing countries have a positive impact on society.

The policy paper - or communication as it is officially known - proposes 12 concrete actions to improve regulatory business environments in partner countries, support business development and increase access to finance with a focus on micro, small and medium-sized businesses.

It also identifies actions in other areas such as sustainable energy, agriculture, infrastructure and other green sectors.

European Union (EU) Development Commissioner Andris Piebalgs said, "The private sector has a crucial role to play in helping people to lift themselves out of poverty."

Over the last decade, support by the EU for private sector development in partner countries has averaged $480 million per year.

Approximately 50 percent of overall EU support to private sector development in developing countries is granted to partner countries on the African continent, including countries in Sub-Saharan Africa and Northern Africa, according to an EU statement.