FantasticSearch

1. Indicators to report on progress of the Instrument towards the achievement of the specific objectives laid down in Article 3(2) are set out in Annex VI. Those indicators, in line with the SDGs indicators, shall be used together with data from evaluations and other existing results reporting, as a basis for assessing the extent to which those specific objectives have been achieved.

2. The Commission shall continuously monitor its actions and, at least on an annual basis, review progress made towards delivering the targets established by this Regulation, as well as expected results, covering outputs and outcomes. Progress regarding expected results shall be monitored in a transparent and timely manner, on the basis of relevant, measurable, qualitative and quantitative data including, but not limited to those set out in Annex VI. Whenever possible, indicators shall be disagregated by sex, age and other relevant factors.

3. Joint results frameworks included and agreed within joint programming documents that fulfil the criteria set out in Article 14(4) shall provide, where feasible, the basis for the joint monitoring by the Union and its Member States of their collective support to a partner country. The performance reporting system shall ensure that data for monitoring programme implementation and results of the Instrument are collected efficiently, effectively, and in a timely manner. To that end, proportionate reporting requirements shall be imposed on recipients of Union funds.

4. The Commission shall examine the progress made in implementing the Instrument. Starting from 2022 onwards, the Commission shall, in a timely manner by 30 November each year, submit to the European Parliament and to the Council an annual report on progress towards the achievement of the objectives of the Instrument by means of indicators, including, but not limited to, those set in Annex VI, reporting on the ongoing activities, results delivered and the effectiveness of the Regulation. That report shall also be submitted to the European Economic and Social Committee and to the Committee of the Regions.

5. The annual report shall contain:

(a) information relating to the previous year on the measures financed;

(b) the results of monitoring and evaluation exercises;

(c) the involvement and level of cooperation of the relevant partners, broken down by type of entity as referred to in Article 62 of the Financial Regulation for both direct and indirect management;

(d) the budgetary commitments, including contracted amounts, and payment appropriations, broken down by country, region and cooperation sector;

(e) qualitative and quantitative information including on measures taken pursuant to Article 9, on the use of the emerging challenges and priorities cushion referred to in Article 17 and on the use of funds dedicated to the incentive-based approach responding to performance in key areas referred to in Article 20. The annual report shall assess the results of the Union funding using, as far as possible, specific and measurable indicators to show progress towards the targets and objectives of the Instrument as well as the progress made towards mainstreaming issues referred to in Article 8(8). It shall also present a breakdown on the forms of Union funding as set out in Article 27. In the case of development cooperation, the report shall also assess, where possible and relevant, the adherence to development effectiveness principles, including for innovative financial instruments.

6. The annual report prepared in 2021 shall contain consolidated information from annual reports concerning the period from 2014 to 2020 on all funding from the Regulations referred to in Article 50(2) of this Regulation, including external assigned revenues and contributions to trust funds, guarantees and a breakdown of spending by country, forms of Union funding, as set out in Article 27 of this Regulation, type of entity as referred to in Article 62 of the Financial Regulation for both direct and indirect management, commitments and payments. That annual report shall reflect the main lessons learnt and the follow-up to the recommendations of the external evaluative exercises carried out in previous years.

7. The Commission shall submit as part of the annual report detailed reporting on the financing and investment operations covered by the External Action Guarantee, and the functioning of the EFSD+, its management and its effective contribution to its objectives. It shall include the following elements:

(a) an assessment of the results contributing to the purpose and objectives of the Instrument and, where relevant, other funding instruments as laid down in Article 31(7);

(b) an assessment, on the basis of indicators in accordance with Articles 31(2) and 35(2), of the additionality and added value, the mobilisation of private sector resources including from SMEs, the type of private sector entities supported, the estimated and actual outputs and the outcomes and impact of the financing and investment operations covered by the External Action Guarantee under the EFSD+ on an aggregated basis, including the impact on decent job creation, and the eradication of poverty and on the way in which the specific socio-economic root causes of irregular migration and root causes of forced displacement are addressed; the assessment shall include an analysis of the risk measures and their impact on the financial and economic stability of the partners and a gender analysis of the operations covered based on evidence and data broken down by gender, country and sector where possible;

(c) an assessment of the compliance of the operations supported by the External Action Guarantee under the EFSD+ with the internationally agreed development effectiveness principles;

(d) an assessment of the leverage effect achieved by the operations covered;

(e) an assessment of the synergies and complementarity between operations covered by the External Action Guarantee under the EFSD+, including those referred to in Article 36, and other pillars of the External Investment Plan based on relevant existing reports, with particular regard to progress made on good governance, including in the fight against corruption and illicit financial flows, respect for human rights, the rule of law and gender-responsive policies, as well as the boosting of entrepreneurship, the local business environment and local financial markets;

(f) an assessment of the remuneration of the guarantees and of the implementation of Article 155(2) and (3) of the Financial Regulation;

8. An annual estimate of the overall spending related to climate action, desertification and biodiversity shall be made on the basis of the indicative programming documents adopted. The funding allocated under the Instrument shall be subject to an annual tracking system based on the methodology of the OECD, namely the ‘environmental markers’ and ‘Rio markers’, without excluding the use of more precise methodologies where these are available, integrated into the existing methodology for performance management of Union programmes, to quantify the expenditure related to environmental management and protection, climate action, desertification and biodiversity at the level of the action plans and measures referred to in Article 23 and recorded within evaluations and the annual report. The Commission shall make available information on development cooperation in accordance with recognised international standards such as those from the ILO and the OECD and by using the framework for a common standard developed by the International Aid Transparency Initiative.

9. To ensure effective assessment of progress of the Instrument towards the achievement of its objectives, the Commission is empowered to adopt delegated acts in accordance with Article 44 to amend Annex VI to review or complement the indicators where considered necessary and to supplement this Regulation with provisions on the establishment of a monitoring and evaluation framework.