International Cooperation: Flexible approaches in an unstable world

International cooperation (IC) encompasses humanitarian aid, development cooperation and economic cooperation, as well as measures to promote peace and strengthen human rights.

IC's general goal is to combat poverty and support sustainable development in its three dimensions – economic, environmental and social. To finance these activities, the Federal Council submits the Dispatch on the International Cooperation Strategy to Parliament, combined with a request for guarantee credits for a four-year period, allowing it to plan Switzerland's commitment.

Security

IC promotes peace and security and creates opportunities for local populations. In 2022, in the annual study on security carried out by the Swiss Federal Institute of Technology in Zurich (ETHZ), 78% of participants interviewed indicated they were in favour of Switzerland stepping up mediation efforts or other means of supporting dialogue between the parties involved in conflict and 68% thought that Switzerland should increase its development aid.

Prosperity

As recognised in Switzerland's foreign economic policy, an open and heavily globalised economy is a key factor in Switzerland's prosperity as an export-oriented country. By contributing to income growth and favourable conditions for investment in developing countries, IC is enabling Swiss companies to access new markets in these countries and is having a positive effect on Switzerland's economic development indirectly.

Independence

The increase in the number of crises and the normative international framework being called into question have a direct impact on Switzerland's security and independence medium and long-term. Thanks to its international cooperation, multilateral commitment and good offices, Switzerland has created a climate of trust which opens doors for it. This means it can also effectively protect its independence and represent its interests when international rules are defined. In its capacity as a neutral country free of any alliance, it needs to find partners on the international stage.

Meeting global challenges

The current global challenges in fields such as the environment, migration, security and health are also having an impact in Switzerland (climate change, asylum, terrorism, pandemics etc.). Countries cannot face such challenges in isolation, but must join forces at international level. Their joint action is also contributing towards preserving the livelihoods of future generations in Switzerland.

Alternatives to irregular migration

Through its commitment in poor or crisis-affected countries, Switzerland is opening up economic, political and social prospects in migrants' countries or regions of origin. In this way, it is proposing medium and long-term alternatives to irregular migration.

International Geneva

International cooperation raises Switzerland's profile abroad and makes Geneva a more attractive location as the headquarters for international organisations. International Geneva's total contribution to Switzerland's GDP is estimated at 1%.

Economic impact for Switzerland

ODA also has a positive impact on the Swiss economy by stimulating demand, for example through the purchase of goods and services in Switzerland, additional activities undertaken by the private sector or NGOs, or by indirectly fostering the purchase of goods and services by multilateral organisations from Swiss companies.

Important long-term progress…

Humanity has achieved unprecedented progress in terms of prosperity, health, security and quality of life over the past 50 years. IC has contributed to this progress. Various scientific studies show that official development assistance has a positive effect on the standard of living, prosperity, productivity, governance, education system and healthcare in developing countries. This is demonstrated by a series of remarkable achievements:

• Over 35% of the world population (1.8 billion people) lived in extreme poverty 30 years ago. In 2019, that proportion fell to 8.4% (648 million). 
• Infant mortality has fallen by a factor of 2.5 since 1990 and the universal health coverage index climbed from 45 in 2000 to 67 in 2019.
• Between 2012 and 2017, the income of the poorest 40% rose, representing inclusive growth that benefited the most disadvantaged more than the whole of the population in 53 countries. 
• In 2001, 64 countries were classified as low-income countries; by 2023 there will be only 28.

Switzerland's contribution

This progress has been possible thanks in part to Switzerland's contribution. Here are a few examples taken from the interim and final reports on the implementation of the Message on International Cooperation 2021-2024.

Examples of results achieved between 2020 and 2022 thanks to the IC:

• 8.9 million people benefited from access to affordable drinking water.
• More than 16.2 million people have benefited from measures to adapt to climate change and around 69 million tonnes of CO2 emissions have been avoided.
• 1.3 million people have taken part in vocational training programmes.
• 510,000 jobs have been created, maintained or improved (generation of higher incomes, formalisation or more decent working conditions).
• The Swiss Humanitarian Aid Unit carried out 660 missions in 73 countries.
• Switzerland accompanied and made a significant contribution to 21 peace processes (including Colombia and Libya) and led ceasefire negotiations in seven countries (including Myanmar and Nigeria).
• Between 2020 and 2022, 59% of expenditure (CHF 3.7 billion) was devoted to projects that promoted gender equality.

The world has experienced major upheavals since 2020, including the COVID-19 pandemic, conflicts such as the war in Ukraine, climate change and economic crises with profound health, economic and social repercussions. Extreme poverty rose in 2020 for the first time in 30 years. Promising progress in terms of sustainable development has been interrupted or reversed.

Switzerland's contribution

In this climate, Swiss IC has helped individuals, groups and states to overcome crises and conflicts and to strengthen their long-term resilience. It has flexibly adapted existing projects and programmes, where necessary, to new circumstances and requirements without losing sight of the long-term picture and the work on addressing the deep-rooted causes of such crises. 

The four overarching objectives have proven effective in tackling new and existing challenges, which means they will be continued in the new strategy for 2025–28: 

• Economic development
  Low-income countries have been extremely hard hit by the economic consequences of the COVID-19 pandemic, the rising cost of living and high inflation. People on low incomes and disadvantaged groups are at particular risk of slipping deeper or falling back into poverty. This is why IC has supported the creation of decent jobs, contributed towards improving framework conditions and promoted the local private sector.
• Environment
  Over a third of people live in a context seriously jeopardised by climate change, exacerbating existing vulnerabilities. Extreme weather events, loss of harvests and water shortages have increased again, jeopardising the food security of millions of people. Half of the world population will live in water-scarce regions by 2025. In response, IC has supported the development of sustainable and resilient food systems.
• Human development
  UN estimates indicate that 339 million people worldwide were dependent on humanitarian aid in 2023 and around 117 million had been displaced or were stateless – both distressing negative records. That's why IC is implementing disaster protection measures to reach people in emergency situations and to enable migrants and those forcibly displaced to secure their livelihoods. The COVID-19 pandemic also had a devastating impact on the provision of basic services and led to regression in terms of medical provision, tropical and non-infectious diseases as well as sexual and reproductive health. Swiss IC raised awareness about the prevention of non-infectious diseases through information events and will step up its efforts in this area in future.
• Peace and governance
  Around a quarter of humanity lived in conflict regions at the beginning of 2023. Russia's war of aggression on Ukraine has inevitably reminded us that peace in Europe cannot be taken for granted. In various contexts, authoritarian tendencies and an erosion of the rule of law have increased, and the world is a long way from achieving gender equality. Through its IC, Switzerland is endeavouring to establish and secure peace, is helping governments to set up governance systems and is promoting the principles of the rule of law.

IC is one of the foreign policy instruments that enables Switzerland to take action to tackle the global challenges it faces. IC provides a response to climate change, pandemics, the challenges of migration and to preventing and resolving conflicts. It promotes the values that represent Switzerland's strengths: the rule of law and democracy, the market economy, human rights, gender equality, dialogue, solidarity, the integration of minorities and humanitarian principles. 

In 2023, an estimated 339 million people in 69 countries need humanitarian assistance. The number of displaced people reached 100 million in 2022. The effects of global warming are resulting in more natural disasters, such as forest fires, hurricanes, flooding and drought. The World Bank estimates that between 32 and 132 million people could fall into extreme poverty by 2030 for climate-related reasons and that 216 million will be displaced within their own countries by 2050 unless targeted action is taken to protect the climate and promote development.

Because of these crises, hunger already affects one tenth of the world population. In 2021, the Democracy Index saw its sharpest fall since 2012 and the erosion of rights mainly affected women and minority groups. In humanitarian contexts, gender-based violence affects up to 70% of women and girls. Debt crises are emerging again in many developing countries in a new geopolitical climate. 

In a globalised world, economic, political and social problems in one region soon have a negative impact on other countries. That's why joint action is required at international level.

Switzerland is committed long-term to ensuring the results achieved are consolidated. The current strategic framework for the period 2021–24 has proven effective. It enabled Switzerland to react in a flexible and agile way to the crises which have emerged over recent years, contributing to a well-coordinated and coherent response while continuing to work towards the achievement of long-term goals. The general strategic direction will be maintained for the 2025–28 period, while the approaches will be adapted to meet current challenges.

This means the course set remains the same with the renewal of the strategy:

• the three analysis criteria: 1) needs on the ground, 2) Switzerland's long-term interests and 3) Swiss IC's added value by international standards
• the four objectives of the International Cooperation Strategy 2021–24: 1) human development, 2) sustainable economic development, 3) climate and environment, 4) peace and governance
• the four priority regions: 1) Sub-Saharan Africa, 2) the Middle East and North Africa, 3) Asia and 4) Eastern Europe
• engagement with the private sector and new technologies

However, the following adjustments are required to respond to the current context:

• an increase in the guarantee credit for humanitarian aid
• a revision of the list of priority countries which now also includes those facing prolonged humanitarian crises in addition to priority countries for bilateral development cooperation
• a focus on certain challenges requiring greater attention, for example health and democracy
• a strong multilateral commitment focused on global challenges (peace, security, climate, new technologies etc.)
• activities which put people at the centre, managed as far as possible by local actors to ensure that they are relevant and sustainable
• leveraging Swiss expertise which is in demand and recognised – in particular in fields such as federalism, vocational training, mountain eco-systems and technological innovation – by promoting an inclusive approach in collaboration with the pertinent Swiss actors from academia, the private sector, NGOs, and also public administration

With the new strategy, the Federal Council is proposing to make four commitment credits totalling CHF 11.27 billion available for international cooperation between 2025 and 2028.

In 2023, ODA stood at 0.60% (2021: 0.50%), which was mainly due to the consequences of the war in Ukraine and in particular the costs of receiving refugees from Ukraine (status 'S'). Excluding asylum costs in the ODA, the ODA/GNI ratio was 0.43%. It is difficult to forecast Switzerland's ODA/GNI ratio for the 2025–28 period because GNI is based on estimates, but also due to the volatility of asylum costs given the international context.

An IC priority country since 1999, Switzerland's commitment in Ukraine is based on long-term partnerships and activities.

Switzerland immediately became involved in Ukraine through its humanitarian action. As of 31 December 2023, Switzerland has contributed CHF 2.75 billion since the beginning of the conflict, including CHF 400 million in humanitarian and cooperation measures through the three units responsible (SDC, SECO and PHRD). Switzerland has also stepped up its bilateral cooperation with Moldova, Ukraine's neighbour, in order to mitigate the effects of the war and contribute to stability in the region.

Switzerland's response to the conflict in Ukraine is twofold: The present strategy allocates CHF 1.5 billion to this response.

The use of the funds for the period 2025-2028, including financing and implementation arrangements, will be defined later in a joint Ukraine programme (humanitarian aid, development cooperation, reconstruction and the promotion of peace, democracy and human rights) to be approved by the Federal Council.

The Ukraine programme will be based on the seven Lugano principles:

1. Partnership
2. Reform focus
3. Transparency, accountability and the rule of law
4. Democratic participation
5. Multi-stakeholder engagement
6. Gender equality and inclusion
7. Sustainability

It will also be based on the following elements:

• Balanced bilateral and multilateral approach: use of appropriate bilateral and multilateral channels to implement the programme, taking into account Switzerland's visibility.
• Cooperation with the private sector to promote economic recovery: Swiss and Ukrainian companies must be involved in the work.
• Use of different instruments: non-repayable contributions, loans, shareholdings and guarantees will be used to implement the programme.
• Communicability: the benefits of the activities must be communicated, both nationally and internationally, to ensure that they are understood and traceable. Activities should reflect Swiss expertise and be accounted for internationally.
• Exit strategy: whatever the outcome of the war, Switzerland must be able to withdraw in an orderly fashion. The situation will be regularly reviewed.

The COVID-19 pandemic required close cooperation between various countries to tackle the global health crisis.

Switzerland contributed CHF 460 million to the global fight against the pandemic, in particular through multilateral initiatives that enabled new, affordable diagnostics solutions to be developed and almost 1.8 billion vaccine doses to be distributed to 87 low and medium-income countries. Switzerland also helped to improve hospital equipment by providing essential items, mainly in Asia. Beyond the health crisis, Switzerland also provided support with distance-learning solutions for children. The local economies of regions severely hit by the crisis (Peru, Tunisia and Albania) have been strengthened through fiscal, financial and monetary stabilisation programmes carried out by SECO. The Swiss Investment Fund for Emerging Markets (SIFEM) invested in the activities of an African manufacturer of COVID-19 vaccines.

The IC Strategy 2025–28 focuses on health and its determining factors to prevent upstream health crises. Over the medium-term, it is supporting public health and hygiene campaigns as well as strengthening the functions of a resilient health system capable of preventing and responding to health crises. Long-term, it is promoting the creation of healthy living environments that enable people to remain in good health and prevent diseases such as zoonoses.

International cooperation makes a threefold contribution to preventing the causes of forced displacement and irregular migration:

• Short-term, international cooperation contributes towards reducing the causes of forced displacement, improving the living conditions of displaced persons and protecting refugees in their initial country of reception.
• Medium-term, it aims to create local opportunities to provide alternatives to irregular migration and to find the best possible solutions for the integration of migrants and persons displaced by force in developing countries.
• Long-term, international cooperation tackles the deep-rooted causes of irregular migration, such as poverty, the lack of access to basic services, armed conflicts, poor governance and environmental damage, in particular the consequences of climate change.

There is a strategic link between international cooperation and migration policy. The aim is to strengthen this link on three levels specifically:

• At political level, migration is an issue that must be addressed consistently during political consultations. The Federal Council aims to conclude new migration agreements and partnerships.
• At geographical level, the Swiss Confederation's cooperation programmes consistently take account of migration. Greater financial flexibility will enable Switzerland to take advantage of opportunities in relation to migration policy more effectively – including outside of priority countries.
• At thematic level, the international cooperation programmes take account of migration and forced displacement, for example as part of projects focusing on the prevention, protection and integration of migrants in their countries of origin or the creation of economic, political and social prospects.

The climate and environment are included in Switzerland's four main IC objectives for 2025–28. Developing countries and low-income populations are hardest hit by the effects of climate change. Conversely, medium-income countries are seeing a strong growth trajectory from their greenhouse gas emissions. Faced with these challenges, Switzerland is taking action at various levels:

• Adaptation and mitigation
  Switzerland is strengthening the resilience of developing countries through efficient adaptation mechanisms, but is also contributing to the reduction of greenhouse gas emissions by implementing climate protection measures (for example: urban development with low CO2 emissions).
• Risk reduction
  IC also supports risk-reduction measures to protect the populations and limit financial losses and is helping to preserve biodiversity, eco-systems and related services.
• Bilateral and multilateral participation
  Switzerland also takes part in the international negotiations on climate change. It is working with governments and financial institutions to achieve the Paris Agreement goals.

Furthermore, the IC Strategy 2025–28 focuses on three specific objectives to meet the challenges of climate change: 1) fighting hunger 2) the sustainable use of water resources 3) the energy transition.

In total, Switzerland's CI is contributing 1.6 billion EUR to the financial objectives for the climate over the four-year period. Switzerland's IC commitment is complemented by other contributions, such as the framework credit on the global environment 2023–26 (Federal Council proposal 22.060) approved by the Swiss Parliament on 8 March 2023 as well as other funds to be provided.

Four priority regions

Switzerland will focus on four priority regions which have the greatest needs, are central to Switzerland's interests and where international cooperation activities can generate added value:

• Sub-Saharan Africa
• the Middle East and North Africa
• Asia
• Eastern Europe

In bilateral development cooperation, the SDC has reduced its long-term commitment from 35 to 34 priority countries. SECO is maintaining its commitment in the 13 priority countries of the 2021-24 strategy, with the exception of Colombia, where it plans to move towards other types of economic cooperation and exit from the IC by the end of 2028. Morocco becomes a priority country.

The humanitarian aid mandate is universal. While the response to disasters (earthquakes, floods, famine, cholera, etc.) cannot be predicted for the period 2025-28, it is clear that many so-called protracted crises require a humanitarian commitment over several years.

Peace policy is managed in a flexible and agile way, so that there is room for manoeuvre to adapt and seize opportunities. The plan is to concentrate on a maximum of 20 contexts.

Humanitarian aid, multilateral activities or global programmes (climate and environment, water, migration, health and food) as well as measures to promote peace and human rights will retain a universal mandate. While they will focus on the four priority regions, they will also be deployed outside them.