European Union states must meet pledges to boost aid to poor countries, the EU executive said on Wednesday, warning that missing U.N. goals would be a disaster for developing nations and threaten global stability.

Progress has been made towards the United Nations Millennium Development Goals, the European Commission said, but each year 11 million children die of curable illnesses, one person in four lacks access to drinking water, 114 million children have no primary education and 584 million women are illiterate.

"Missing the Millennium Development Goals would be a disaster for developing countries, a failure for Europe, and a potential threat to global stability," the Commission said.

"With seven years remaining, the message for 2008 is that the Millennium Development Goals can be achieved, but for this to happen, increased political and public support will be needed," the EU executive said in a statement.

The Commission called on EU states to deliver on pledges to boost development aid to 0.56 percent of Gross National Income (GNI) by 2010 and 0.7 percent in 2015, terming this vital to containing problems like migration, security and climate change.

It called on each of the 27 EU states to draw up financial plans showing year by year increases to meet the goals.

The European Union is the world's biggest aid donor, committing more than 46 billion euros in 2007, but the total amount fell about 1.7 billion euros from 2006, enough to have financed 4,500 schools or 1,200 hospitals.

"SERIOUS FAILURE"

Aid and development Commissioner Louis Michel last week called this a "serious failure".

The Commission urged more effective aid by avoiding duplication of effort, help to developing countries to use biofuels to fight poverty, and steps to help limit brain drains, particularly in health, education and research.

"Fundamental principles of aid effectiveness are not yet being respected," it said, adding that it would put forward proposals to improve the situation state by state.

It called for 2 billion euros ($3.15 billion) to be allocated by 2010 to the Aid for Trade programme aimed at helping poorer countries take advantage of export opportunities, with special focus on African, Caribbean and Pacific states.

Commission President Jose Manuel Barroso said 2008 must be a year of action not just words. "If we want to remain credible, we have to deliver on our promises" he said in a statement.

A report last week by the 22 member Organisation for Economic Cooperation and Development said development aid from all the world's biggest donors fell last year, largely due to the end of big debt relief packages.

In 2000, 189 U.N. members agreed goals aimed at eradicating poverty, promoting human and social development and protecting the environment.

In 2005 EU heads of state agreed targets for 2015 of a halving of extreme poverty, access to primary education by all boys and girls and improved health standards.

Aid reached 0.38 percent of the EU's GNI last year, below an interim target for 2006 of 0.39 percent - which the bloc did fulfil in 2006.

The European Commission estimates Official Development Assistance amounted to 93 euros per EU citizen, compared to 53 euros per person in the United States and 44 euros in Japan.